Could be. However, your proposition was that the volume spike was on the downside. If as you say volume is also high on the upside, then your scenario is legitimate. And kudos to buyers for being able to work their way through all of that (I should also point out that sellers may be somewhat taken aback by the intensity of the buying and think that maybe they had it wrong and become buyers themselves; this also contributes to high volume). This is part of the "story", and if one can view it in these terms rather than whether or not a green line has crossed a red line, he will be far more likely to make the best decision when the road price is traveling to the upside gets a little bumpy.
Chalk this one up to my idiot writing style My sentence you quoted and took exception - was me offering up a "starting" point from which to try and learn volume reading ================================ Like you say, there are many nuances, context, and what price is doing - to consider when deciphering volume And truth is - as with all things market related - we never really "know" or ever will eta - but when the big boys play - they do leave tracks DB - RN
read a lot. all I can say is I saw a will be similar again but not the "same", it was a breakout, but what is your opening range etc... if you use some sort of measure in conjunction with time- well that should be easy to explain reading a lot of DB posts- subjectivity all around
If you're looking for objective and mechanical, you may as well stop reading anything I've written now. Trading is behavior, and it can be objective and mechanical only to the extent that behavior is objective and mechanical.
I'm too "logical" then. I would think the exact way to calculate would be evident ? what sort of size loss should be taken- stops start with one basic set up These threads are all over the place, very frustrating I will just listen in once in a while- bet it goes nowhere
If one doesn't understand what trading is all about then it is frustrating. Which is why nearly everyone fails. Year after year. But good luck to you in your endeavors.
We need to start an ET chatroom. Have all of the apparent gurus in there call realtime trades. I'd love to see it. Would be really interesting.
They did such in the past. Worked well for awhile until the trolls showed up to try derailing any serious discussions. Eventually those calling real-time trades left the chat room and only the troublemakers remained. Baron, Joe and ET management had enough of what was remaining in the chat room and shut it down permanently. Anyways, that was many years ago (chat room closure) and Baron has been clear he doesn't want to go down that road again. As a consolation, those calling real-time trades in the chat room moved back into the regular forum area of ET to post their real-time trades instead of the chat room. If you look carefully in Journal section, you'll see traders posting real-time trades or "before the fact" trades but don't expect them to share their trade methodology with you and they don't seem to care about folks calling them "gurus" when they themselves don't behave as such.