You may try comparing the Russell 2000 volume (small cap stocks) to the S&P 500 volume (large cap stocks).
You may check the snapshot from http://www.marketvolume.com
Not very nice picture. See the location of the stocks traded on the NYSE in relation to their 52-week highs and lows and how dramatically it changed over the past 8 trading sessions:
chart courtesy of www.marketvolume.com
If we take a look inside of the S&P 500 index to see where the S&P 500 stock are traded over the past 4 trading sessions (see High-Low Range Charts below) we will see that the number of stocks traded close to their 52-week is decreasing. We have some increase in weak stocks from 23 to 31 (stocks...
And it will possibly go higher until major players will distribute (dump) their investments to the crowd. I am not stating that the market will crash tomorrow. I'm stating that the market is moving into a new stage (wave) when it may continue to to go up for several months and even a year. Yet...
Trend is described by 3 parameters: price volume and volatility. It is logical for full analysis to analyze all of them
1. for price: SMI or TSI
2. for volume: Selling/Buying Volume Flow or MV Money Flow
3. for Volatility: ATR
Squeeze in volatility usually predict strong run on the next trading session - however it does not tell where the run will go, down or up.
You may use Bollinger Bands or Bollinger Bandwidth to rack it.
We have strong increase in volume from the beginning of October. Major players are attracted and are buying, could be close to a bounce up.
chart courtesy of marketvolume.com
Yesterday the GLD tested 50-day MA, yet, today it is down as US dollar moving up. Looks like the fate of the Gold greatly depends on the dollar at this time.
New York opens at 8:00 am to 5:00 pm EST (EDT)
Tokyo opens at 7:00 pm to 4:00 am EST (EDT)
Sydney opens at 5:00 pm to 2:00 am EST (EDT)
London opens at 3:00 am to 12:00 noon EST (EDT)
check
http://www.marketvolume.com/stocks/select.asp
you will have overbought/oversold stock scanners, volatility, volume and money flow filters, plus technical scanners like stocks that dropped below specific MA and etc.
ATR is average true range. It is not average of closing prices - it is average of true range which is usually difference between high and low of a bar (unless previous bar's close price is above current bar high or below current bar low).
Basically, ATR shows how volatile analyzed instrument is...
As was mentioned before it depends on time frame. Would be looking for an indicator that would cover price and volatility at the same time like (Relative Momentum Index) - by scan results it holds the first place on daily charts (1 day = 1 bar) at...
Simple example:
Monday's close price: $100
Tuesday's close price: $101
Wednesday's close price: $102
Thursday's close price: $103
Friday's close price: $104
5-day average = (100 + 101 + 102 + 103 + 104) / 5 = $102
1-week average is based on the Friday's close price and = $104
There are no...