Price can move up with little or no volume. Price can move down with little or no volume. Price can move up with a lot of volume. Price can move down with a lot of volume. Price can move up with average volume. Price can move down with average volume. Price can move up with a little above average volume. Price can move down with a little above average volume. Price can move up with a little below average volume. Price can move down with a little below average volume. Price can move up with a little less than a lot of volume. Price can move down with a little less than a lot of volume. Price can remain unchanged with little or no volume. Price can remain unchanged with a lot of volume. Price can remain unchanged with average volume. Price can remain unchanged with a little above average volume. Price can remain unchanged with a little below average volume. Price can remain unchanged with a little less than a lot of volume. Price can -----
The trouble with the posting of trades and then claiming that volume analysis made it more profitable is that it typically is posted in hindsight. Furthermore, when looking at these charts and trades, one can easily see other more definitive reasons to get long and short at the times mentioned. Bottom line--volume analysis should be discarded as it is "too much information". --Izzy P.S. --Nice to have Thunderdog with me on this one--
My account balance changes up and down with price not volume. It can go down with too much volume however due to commissions. Volume analysis is only important to the brokerage house. It is unimportant and unnecessary to the successful trader.--Izzy
From my experience, volume has been helpful in helping you to determine the beginning and the end of a move/swing. Other than that, I haven't found volume analysis to be that useful. Then again, I guess those two things are really the only two things that matter. Using volume to determine every single fluctuation, IMO, isn't at all helpful.
%%%%%%%%%%%%%%%%%%%%%%%%%%% Volume of one unit can be real important + profitable; REALTY. I do like stair stepping volume [UP or DOWN volume trend ], on my trends; but the market does NOT care about that, much of the TIME .Ultra low volume can be real hard to get in or out.................................................................................LOL
Just using Volume to me is rather random, but using it along with average swing move or price patterns in Index day trading gives me much higher probable chance for success. One of my signals is based strictly on volume providing there is some type of confirmation. Long term wise I only use high volume when making lows after extended amount of price moves.