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Strategies & Market Trends : MARKET INDEX TECHNICAL ANALYSIS - MITA -- Ignore unavailable to you. Want to Upgrade?

To: KymarFye who wrote (10703)	2/21/2002 10:20:29 PM
From: Dominick	Read Replies (1) \| Respond to of 19219

That's a pretty neat chart. If I had to analyze that chart my read on it would be this: The beginning of 01 showed decreasing volume on the rally of QQQ indicating a lack of interest for higher prices. That's not necessarily bad. But the composite volume increased with relatively narrow price spreads shows distribution. Either way the result would be down. Between April and June. That major price and volume spike in the beginning of April indicates exhaustion, a sign of weakness. Confirmed by the upthrust through the trading range in May that failed with less volume on the break out then the previous spike and the price fell back through the trading range. Which may mean a sign of weakness or the trading range has to have more accumulation to break out. The volumes on both increased together. In September, I see both with heavy volume and narrow price spread on the pull back which indicates support. A sign of strength. Volume was heavy for both during the rally from September to December. For QQQ volume decrease during the pullback which indicates selling is drying up. For the composite it did stay relatively heavy compared to volume from May to April. The volume spike in the beginning of December would indicate another exhaustion. In the beginning of 02 volume was increasing during the rally back and failed. A sign of distribution. Now volume is increasing on both as QQQ breaks support. A test of the September lows would not be suprising. Nice chart. Hope I wasn't boring, Dominick