|
PureBytes Links
Trading Reference Links
|
>While this may be true HOW is it used?
Every daytrading primer has lots of info on the subject. As an example, see
descriptions of accumulation-distribution, on-balance volume, and TRIN to
name a few. Volume confirms a trend. If price rises/falls on low volume,
the rally/decline is unsupported and will likely reverse. If price moves on
heavy volume, the trend is likely to continue.
While imo this approach is too simple to yield success as a position trader,
for daytrading it has its loyal and successful group of adherents who use
nothing else.
|