----- Original Message -----
Sent: Tuesday, March 13, 2007 3:54 PM
Subject: Re: [RT] Monday 3/12 - A Down Day
The attached picture is your formula for one stock, AA, in this case.
In the top subgraph, your formula value is red referencing the left
scale and the price is green referencing the right scale.
In the bottom
subgraph, I divided your formula by the price to normalize
it.
TradeStation can easily sum these values across up to 50 stocks on
one chart.
Bob Fulks
At 04:20 PM 3/13/2007, Pete Lieber
wrote:
>For years and years now (ever since I bought an original IBM
PC) I been trying to use volume to track the market. For most of those years I
have been using the formula of Prev + ((V / average(V, 30) * (( C - C[1])/(H -
L))) for each of the Dow 30 component stocks and then adding all 30 results
together. Trouble is volume analysis for big cap stock does not work as well as
for mid-cap (i.e., less widely held companies). I've assumed this is because
much of the volume in these biggest of big cap stocks is generated by program
trading and thus volume is not neccessarily a precurser/indicator to future
price movements. Lately to circumvent this problem, I've used surrogates for the
Dow 30 - thus my "unique market volume" statement.
