Are Low-Volume Rallies here to stay ?

[OAC 10]

The volume on daily rallies from the Aug 16 low has benn rather poor except

a couple days inspired by the Fed. Now we are approaching 90% retracement

back to the summer high. Does the low-volume phenomena means we will

have serious trouble breaking the old high :hmmmm:

[Soultrader 12]

Interesting you mention that. Volume has been low here on the Nikkei as well with choppy price action. Due to the lack of swings at the moment, its been all program buying/selling, arbitrage, etc... Even the trading day following the fed rates, volatility shrunk and volume was extremely low.

 

The sad part is that the Nikkei is the laggard across most global markets. The Nikkei is roughly at the 50% retracement mark since the credit crisis crash.

[Reaver 10]

Wouldn't a low volume rally really just be a range extension that would more than likely find rejection, and therefore a probably reversion to value?

[TinGull 10]

Spoken wisely young one....very wisely....

[Reaver 10]

ha ha Thanks-

 

Nate aka Grasshoppa

[OAC 10]

Wouldn't a low volume rally really just be a range extension that would more than likely find rejection, and therefore a probably reversion to value?

 

Was last Thursday's sudden collapse in the afternoon hours a sign of exhaustion and attempted reversion to value ? If so, where would the value be ?

[Reaver 10]

Forgive my ignorance, but what market are you referring to? I'll look into it....

[OAC 10]

ES, YM, and NQ

[OAC 10]

or Equity Symbols: SPY, DIA, QQQQ

Free Intraday Charts on http://www.bigcharts.com

[Reaver 10]

I can't get a volume profile up from where I am...when I get home tonight, I'll pull up the symbosl on my charts and take a look. Thanks for the info. I am interested to see this myself.

[Reaver 10]

Also,even though I am unable to look for myself right now I will say this...if the market is not in a bracketing condition..then there technically is no value, as that is what a market is doing while trending or moving out of balance is "searching" for value in order to faclilitate trade.....

[OAC 10]

I can't get a volume profile up from where I am...when I get home tonight, I'll pull up the symbosl on my charts and take a look. Thanks for the info. I am interested to see this myself.

 

 

Where are you ? Are you busy attending TinGull's Swinging Trading Bootcamp ?

[Reaver 10]

LOL, nope I am at work. I use Ensign charting and can only pull up my charts from my home PC....

 

Though he does have some good posts going on over there now that you mention it...think I'll head on over. ha ha

[Reaver 10]

Hmm I looked at a daily chart and in September there were two distributions ....the drop on Thursday just so happened to be testing the top of the previous, most recent distribution in September...FWIW.

[TinGull 10]

Where are you ? Are you busy attending TinGull's Swinging Trading Bootcamp ?

 

HAHAHAHAHAHA!!!!!!! I love it!

[Reaver 10]

heh heh cracked me up when I read it yesterday myself. lol

[OAC 10]

The volume on daily rallies from the Aug 16 low has benn rather poor except

a couple days inspired by the Fed. Now we are approaching 90% retracement

back to the summer high. Does the low-volume phenomena means we will

have serious trouble breaking the old high :hmmmm:

 

 

Now we may not have to worry about the Low-Volume part because we now simply may get fewer rallies. :o

Swing Traders, did you put in your stops ?