The 56 Point TA; Charts With an Attitude Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : The 56 Point TA; Charts With an Attitude

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Warthog who wrote (29175)	5/6/1999 4:13:00 AM
From: milesofstyles	Read Replies (1) of 79429

my thoughts it would seem that most valid breakouts consist of volume 1.5-2.0x normal volume. my guess is this is the initial push of or outside the band. for the bo to continue strong volume will be required to create the first peak in price, further stretching prior band activity. now, the stock hits a peak and pulls back, volume decreases at that time as witnessed by the dip in the upper band.many people ask "the stock is dipping, should i sell it?". my point is the strength in volume pushes the stock up. declining volume on selling and a pullback is not a bad thing...this occurs very nicely on espi, that's why i called it a classic study...now as far as the subsequent volume over the bands...you start with the original break that stretches them, you get the small contraction effect on the selling as vol decreases and a return to normal movavgs...but it takes longer for the deviations to contract than it does for the volume to return to its ma level...you can see it when price blows out a bb...once the stock is viewed as cheap the next surge of volume again comes off the moving avg...my thought is those thinking "i missed the boat last time" all step in and as the trend is renewed i would suspect a movavg ov volume to be increasing, thereby making it more and more difficult with each additional peak to exceed the deviations. this is confirmed by the fact that in the overall trend of the volume over the entire move such volume should be forming an uptrend. the uptrending ma maintaining a wider range of the deviations...its a great idea and will be interesting to see what kicks up...it may also be possible to use as a guide to where the blowoff tops should occur as additional peaks occur and the trend continues, something to keep in mind... milesov

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next