Iterative Refinement

[Ezzy]

Quote from Spydertrader:

Short Quiz: Define the Price - Volume Relationship in 20 words or less

Since many people still find themselves confused with respect to the recent discussion, the above short quiz should shed some light on the areas still needing focus.

If volume increases, expect price to continue. If volume decreases, expect price to change. Price confirms whether or not these expectations are being met.

- EZ

 

[Spydertrader]

Quote from gravitonium77:

Price movement on increasing volume indicates the direction of price will continue. Decreasing volume indicates price direction will change.

Bzzzzzzt. Incorrect.

Thanks for posting, and feel free to try again.

I do expect everyone who recently posted a question to participate.

- Spydertrader

 

[Spydertrader]

Quote from Ezzy:

If volume increases, expect price to continue. If volume decreases, expect price to change. Price confirms whether or not these expectations are being met.

Bzzzzt. Incorrect.

See Non-Dominant Price movement which causes your definition to fail (we actully had three bars of decreasing Non- Dominant Volume today one after the other. Price did not change). Please try again.

- Spydertrader

 

[R/R]

Quote from Spydertrader:

Short Quiz:...

 

[Gregor_S]

Volume sustains price, when volume drops, price changes direction. And the process repeats as long as there is interest in the new direction.

Maybe I should have used pushes instead of sustains.

 

[innersky]

pv = Jokari window

 

[ivob]

Quote from Spydertrader:

Short Quiz: Define the Price - Volume Relationship in 20 words or less

Since many people still find themselves confused with respect to the recent discussion, the above short quiz should shed some light on the areas still needing focus.

"Increasing volume is required for price to keep on moving up or down."

regards,
Ivo

 

[gravitonium77]

Quote from Spydertrader:

Bzzzzt. Incorrect.

See Non-Dominant Price movement which causes your definition to fail (we actully had three bars of decreasing Non- Dominant Volume today one after the other. Price did not change). Please try again.

- Spydertrader

Aha, this has bugged me to the point of migraine! Succesive lower volume non-dom movement can't all be change, change, change, etc. That simply doesn't make logical sense.

New Answer:

If volume is up, price will contine. If volume is down, price will change.

Only problem is, I can't see how this is any different than my first answer.

Thank you very much Spydertrader for playing along with the dolts.

 

[Specterx]

Quote from Spydertrader:

Short Quiz: Define the Price - Volume Relationship in 20 words or less

Since many people still find themselves confused with respect to the recent discussion, the above short quiz should shed some light on the areas still needing focus.

Dominant price movement is sustained by increasing volume. We expect these to appear at the same time.


[WRT to the question at hand: failure to break a pennant on increasing volume is analogous to price which fails to traverse on a volume peak?]

 

[romanus]

That seems to be the perfect time to bring out my lack of understanding of P/V relationship. I understand how it manifests itself: Dominant traverses on increasing volume, non dominant traverses on decreasing volume. However I find the Jokari window itself beyond my comprehension. Spent many hours reading posts, temporarily gave up, decided if one can make money pt3->FTT/FTT->FTT, the haven can wait

However this post:
http://www.elitetrader.com/vb/showthread.php?s=&postid=1833108&highlight=jokari#post1833108

pointed to the possibility that I might be able to understand it.