You must fade the Jacks of the world to make money in the markets. BAck when I was a professional trader concerned with making a living in the markets -- one of the first things I learned was that all these idiots teaching about volume were just like the idiots teaching about improving your performance through zen. All these guys had no idea how to make money so they gave the masses what they wanted to hear. You must fade the Jacks of the world to make money in the markets. Jack interprets volume in a very conventional way. If we are all here to make money how come jack never shows anyone how to make money? i am about making money not drawing cute charts with little roof tops on my volume bars after the fact. Anyone who has spent time watching every tick knows that we have price discovery. Price goes to orders. That is what price discovery is. Floor traders let the market move to what they call a two way market after news. Big orders seek big orders. Big traders get to do business with big funds because they were trained to do the right thing by the markets. big orders get done most frequently at well known suppport resistance points - but not always. price is going to move to these liquidity pools unless really big orders say other wise. (then you may have a big fast move) Price will move through the prices in between the big orders- in whatever manner it takes. Sometimes big volume and sometimes everyone just steps out of the way. When the market knows the next obvious technical point for big orders it tries to get there as efficiently as possible. Depending on how you "parse" your charts you can have your volume bars do anything. Did Jack every mention that every vendors charts start at different times and that they all report volume differently? I will explain while dry up volume is about as good an indicator as wide range bars - or squat bars some other time. for now Just let it be known if you are making money it is not because of the conventional crap jack is teaching. its cause you are lucky we have been in good trading markets lately. Jack is feeding out a bunch of shit.
Why not explain now? Extreme low and high volume bars have significance. But what about the wide range and squat bars (squat bar meaning small range/high volume), some view inside bars as significant. What's your view on these?
there is a time and place for everything. right now let me say on a 5 minute chart in the s&p dry up volume probably preceds a big move bar a reasonable percentage of the time to be interesting. would you say more or less than 50%. But drv also precedes more consolidation bars quite frequently too. it seems to be just like squat and wide range bars they are present before some big moves too. But not enough to make a living with.
Jack, I have not come to save you, but to take you down. You invited me into your home, I went, I saw the BS. I am behind the enemy's lines. Veni. Vidi. Vici.
It might be cute for you, I don't know. ET is where you and others do the talk. DO IT comes after you know what you are after, of course. How long does it take you to know what you are after?