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To: TechTrader42 who wrote (1345)	5/2/2001 7:12:35 AM
From: Arthur Tang	Read Replies (1) \| Respond to of 1471

Liquidity calculation is easy in TA. It is the daily trading volume x the bid or ask offers(price). In the case of outstanding shorts; the cash available is the sum x the average shorts' cost, which has to be calculated from volume data. Which is on the trend lines going up, the volume of ask minus the volume of bids each day(net) x the ask offer. The average cost of shorts however becomes the resistance in TA(generally will pull back 30% from the immediate peak in the curve). Bull pan bosses(brokerages) advise the inside market makers how to make bid and offers by the liquidity interpretation(average daily volume). Therefore liquidity predicts supply and demand which effects offers. Good luck on all your investments.

To: TechTrader42 who wrote (1345)	5/8/2001 11:27:14 AM
From: James F. Hopkins	Read Replies (2) \| Respond to of 1471

Brook; I'm starting to use Volume of Dollars traded instead of just Volume of trades when I use a volume type TA. I'm grabbing the average trade volume / average price of the what ever time frame I'm looking at ; then I divide the trade volume by that result to get a $volume somewhere near the price. ( this lets me chart $ volume Vs price in a simple chart with them crossing one another. ) I haven't done much of this, and can't say what time frame will work the best.. I expect the best time frame wont be some arbitrary number but will vary from stock to stock. While this seems to confuse standard TA, it looks interisting..however it's to soon for me to say if it will work any better. --------------------- I'm now almost 100% cash .( Money Markets ) and while I would like to have stayed long I sold almost every ting on last weeks rally. If we don't get another 10% down side I'll stay with (MMs ) no matter how high this run goes. We are getting to much rotation and Energy cost is eating up the good the rate cuts do..on top of that too many people are counting on more rate cuts.. Most companies borrow money to expand and if they think rates are going down they will put off buying new stuff. No one seems to want to point out how Japan cut rates to zero and still went down the tubes. Also the dollar is starting to slip south ( old debt will cost more to service ), and there is a LOT of old debt to service, so if they do borrow at lower rates it will be used to retire old debt more than to buy new widgets. Jim ( is cash, working in his garden and happy about it )