I dunno. Perhaps you didn't make yourself clear? Sort of like the old saying, "the student fails to learn when the instructor fails to teach". I try to make a point of being "clear and unambiguous". Otherwise, why bother saying anything at all?
Help me understand volume/price relationship
- Thread starter mute9003
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I dunno. Perhaps you didn't make yourself clear? Sort of like the old saying, "the student fails to learn when the instructor fails to teach". I try to make a point of being "clear and unambiguous". Otherwise, why bother saying anything at all?
I remain unconvinced that Volume based intraday trading pays off.
I am open to the idea.
Just because I am Told the way it is, I Still Need Proof before I consider it seriously.
Marked Up Charts would offer a start.
I've seen none that offer enough to base a method on.
The inverse is true as well.
I'm told it doesn't work. I factor that in and consider the source fer sure.
"Believe none of what you read and hear and only half of what you see" they say.
I haven't seen The Money in Volume for Intraday Trading. Same for you, cuz?
I am open to the idea.
Just because I am Told the way it is, I Still Need Proof before I consider it seriously.
Marked Up Charts would offer a start.
I've seen none that offer enough to base a method on.
The inverse is true as well.
I'm told it doesn't work. I factor that in and consider the source fer sure.
"Believe none of what you read and hear and only half of what you see" they say.
I haven't seen The Money in Volume for Intraday Trading. Same for you, cuz?
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This is the best way to test a strategy. Try and prove that it doesn't work. If you can't prove it doesn't work then maybe, just maybe, you'll have a strategy that works.
This works fine for me.
After a mere half dozen instances, the Volume aspect of Creek, Jump, Backup went out the window. Generally it takes a Dozen rejects to put a prospective method out the running.
It takes 100 instances of stats to get in the toolbox.
As for your suggestion, I find it useful After 100 instances with stats, the non-workings can offer refinements to the method.
Eg simple Candlestick Signals can work.
simple candlestick signals can work better at support and resistance.
This can be determined by the method above.
pdf is sharing results of statistical studies. if you want to test a signal you need to try it across thousands of securities through various time periods. using a chart on a single security, or even 100, is not sufficient to establish a view because your sample size is too small. but keep doing you, man.
My method of signal trigger discovery works for me for intraday trading by hand.
How much time would something like what you describe take to test by hand per Each and Every method test?
Thanks for taking a look. RTL? LTL?
Explanation:?
less-than-truckload (LTL)
Regular Truck Load (RTL)
full-truck-load (FTL)
It's hilarious watching people talk about volume/price relationship without even thinking about why you can have volume.
Consider all the market participants. For example, institutional investors.
They want to go long $FOO and buy $250 million worth for a current market cap of 25 billion (just assume).
They can't just go to the market and buy 250 million because that is likely to move the market against them.
So they start buying dips below VWAP over a period of a few months. This starts looking like support. And you start seeing volume at this price.
Multiply this scenario by all the different types of market participants and recognize that the volume number tells you NOTHING except someone wants to transact there for reasons YOU CAN ONLY INFER.
Consider all the market participants. For example, institutional investors.
They want to go long $FOO and buy $250 million worth for a current market cap of 25 billion (just assume).
They can't just go to the market and buy 250 million because that is likely to move the market against them.
So they start buying dips below VWAP over a period of a few months. This starts looking like support. And you start seeing volume at this price.
Multiply this scenario by all the different types of market participants and recognize that the volume number tells you NOTHING except someone wants to transact there for reasons YOU CAN ONLY INFER.
%%
OP has 1 minute chart of NILE, no wonder, he is confused. WHO would have ever guessed a penny stock is still worth pennies, volume seems to not matter much there...................??
AS far as paying attention to volume on SPY, liquidity leader, TQQQ..... that may not help much/but could easily be worth more than pennies
Sure is worth more than pennies but almost 2 hours to close, so thats not a prediction/LOL
Take two parallel lines and draw them vertically to intersect a horizontal axis. They define a vertical channel. The two parallel vertical lines can be tilted to the left (short channel) or to the right (long channel). In either case the line on the right of the pair as it intersects the horizontal axis is the RTL, line to the left is the LTL.
Channels are used to encapsulate (bracket) price oscillations. Channels are built from tapes. Tapes are bars grouped together on the fastest fractal. Tapes combined together form Traverses. Traverses are tapes that form Channels. Channels are constructed by trendlines connecting pt1 and pt3 of price and duplicating that line vector at pt2 of price.
Channels encapsulate oscillations until they do not. When they do not, that BO will either succeed or fail. When they succeed, they form a separate and distinct channel in another direction. When they fail, a larger dominant channel of the original direction has occurred. When this occurs on increasing volume, the dominant channel has another leg to move. When this occurs on decreasing volume, the market is waiting for increasing volume to come into the market. This volume is directional and will either 'continue' the dominant trend or 'change' sentiment to it's opposite.
Channels are simply S/R lines that incorporate momentum and thus are angular and not simply horizontal.