sleepy v2

This also highlights the importance of why Williams recommends using multiple timeframes. If you dont occassionally look at the bigger picture you may find yourself "too close to the market" and in effect swimming against the prevailing current (or as in this case ... the trend). Alexander Elder got around this problem by coming up with his "Triple-screen Trading" technique. For example, a long term trader would first look at a monthly chart, then a weekly chart and finally the daily chart before making a trade, and then only if they all lined up. sleepy By the way has anyone found a way in TradeGuider to apply a group of charts (ie. a Monthly, Weekly, Daily chart of a particular stock) to ALL stocks in a folder. As creating a 'Group' for every stock I want to monitor is so time consuming.

JJ, My analysis may be wrong here as Im still learning VSA ... but the key IMO is the close on the LOW. If the last bar had closed on a HIGH then you could argue there was strength coming in. High volume on a down-day/bar always means selling. However, if the day’s action has closed in the middle or high, then market-makers and other professional money must have attempted to buy into the selling, or absorbed the selling (by buying), which then causes the market to stop going down..... Absorption volume typically marks the end of a downward trend. It is characterised by a very high volume bar that closes below the previous bar, on a wide spread. In normal circumstances, this would be construed as selling, but the defining difference is that the bar closes on the high. If the high volume had represented selling, how can the price action close on the high? Williams P90-91 But at the moment the close on the LOW signifys weakness. However, if the next bar is UP then you have buyers coming back in and what yourve just observed is either: Failed Down Move A rapid price move on wide spreads down, on high volume (especially if closing low), is a sign of weakness (i.e. Effort to go down). However, this type of action causes the market to become rapidly oversold and vulnerable to up-moves. If the next day (or hour) is up, it must show that there was buying as well as selling contained in the high volume down-move (no results from the effort). This shows that the brakes are being applied to the falls at that moment. P.147 Selling Climax After substantial falls have already taken place (bear market), the market may open with wide spreads down, on very high volume. There will be panic amongst the herd! However, the next day (or bar) is up. This action represents a rapid transfer of stock, generated from panic selling to professional money (news will be doom and gloom to help this transfer of stock). This is known as a selling climax. P.161 Selling Pressue For a market to drop, selling pressure needs to be evident, which normally shows itself as wide spreads down on high volume. If the next day is down this usually confirms that the volume seen on the day (bar) before was genuine selling. However, if the next day is up then it shows that there was selling going on, but the professional money was prepared to buy and support the market as well. You would now be expecting testing at some time, as a check is made on the level of latent supply. P.166 So until theres confirmation (i.e., an UP bar) theres still weakness and it could go even lower. Similar to what occured around September 20. sleepy

"Simply get the screen recorder software like camtasia or ZD soft. Record the trade that you made in the simulator mode. You can record whatever you like while you are trading, i.e chart with indicators,time and sales,etc." Great advice ...scalper on steroid

Its a known fact that as you get older you require less sleep ... dont ask me why.

His book "The Stock Trader: How I Make a Living Trading Stocks" is definately worth a read if you are serious ... its follows all his trades over several months

His website is .... google his name

Try getting your hands on any books by Tony Oz

This article by Ted Butler explains why ... http://www.investmentrarities.com/tb-archives.html

If you didnt need the money in 8 months time Id be putting it into silver

If you didnt need the money in 10 months time Id be buying Silver