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Strategies & Market Trends : Ask Vendit Off-Topic Questions

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To: Walkingshadow who wrote (7247)4/1/2005 5:51:22 PM
From: Vendit™  Read Replies (1) of 8752
 
Terry,

Your point is excellent and one that should be thought of as “the volume exception” rule.

Generally speaking I teach that it takes both volume and volatility to equal a good trading stock and I point to the 1mm share per day lower limit.

If you ask me if I have ever traded stocks that are less than 1mm shares per day the answer is yes, many times. The rules change when you do this and so does the risk so until now I don’t normally advertise nor advise dabbling in low volume stocks, but what the hell; we can change the rules.

The KEY is volatility and a reliable chart history. If you have those two ingredients and are an experienced trader then you can relax the volume rule.

How does that sound?

Reid
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