|
|
|
Volume and Market Timing!
Why is Volume Important
for Market Timing?
 When
you look at a chart for a major
market index such as the SP500, you see only a history of the price
paid for a basket of stocks. What you don't see is the total volume
for the entire SP 500 minute-by-minute or even day-by-day. What
you don't see can hurt you.
What Volume Offers for
your MARKET TIMING Strategy:
- A moving average of the volume should also
be taken into consideration. This is important because when
the current volume rises above a long term volume moving average,
this is potentially a signal that there is increased market
activity that will be affecting the price. Thus, it is important
to provide this indicator as an input.
- Volume technical analysis for QQQQ timing (AMEX:
QQQQ), S&P 500 (AMEX:
SPY), Dow Jones Industrials (AMEX:
DIA) based on the volume of all index constituents works
very well for index shifts timing.
- Volume is the indication of supply and demand.
It's defined as the number of units traded during a time period.
This number is significant in that it supports the prevailing
price trend.
- Volume offers a complete picture of the market.
- Minute-by-minute trading volume shows the
reversal points of the market, and therefore when to buy and
sell!
- Currently when a change in sentiment occurs
on the market, most people don’t find out until it is too late.
This can be costly to an investor. Trading volume offers investors
an invaluable tool to know when and where a change in sentiment
is going to occur, and act accordingly.
- Related Links:
-
ETF Trading -
ETFs index trading signals for QQQQ, SPDRs (SPY) and DOW (DIA). Signals are
design for mid-term traders who would prefer to make 6-10 profitable signals
a year.
-
Market Timing - Stock
market timing based on the index technical analysis for NASDAQ 100, S&P 500,
DJI and other U.S. indexes and Exchanges.
-
Stock Market - Stock
market news, directories, financial articles. You may submit your article or
sign up for a daily news.
|
|
 |
QQQQ Options Trading
|
|
|
