Can we also think that UP bars with decreassing volume (ie, higher highs on price, Higher lows on price, BUT lower Vol) can mean that there is not much interest from traders to keep the market in that direction?
Cause you said that this isnt mandatory... But it kinda makes sense to me.
If the market is rising, but there are fewer and fewer people trading in that direction... It means lack of interest, right? Otherwise bulls would get in, price moves higher, call other bulls... so on so on... and volume would increase.
Im trying to do this analysis live, but daaaammn, not so easy now huh? lol
Thanks for a great thread, guys, which I just stumbled on today. Earlier someone remarked: "Also I like cumulative VWAP, especially when it plots daily figures on intraday charts but not yet found that for Ninja"
VwapMulti - which draws weird bands which can be turned off - can be made to start at any day and time which you like. One way of using this is to start at a key high/low/reversal point etc.
I don't think there is a rolling vwap in Ninja yet (i.e. past 8 hours, past 3 hours, past 72 hours etc.).
One friendly and cynical remark:
alot of discussion about indicators for something billed as indicator-free! But I am of the school that is interested in combining price with a few volume-based indicators because volume from a lower histogram alone can be a little hard to read although still helpful.
Personally I am now mainly using the dValueArea PriceVolume histogram along with a dynamic PVP. Because this is not a live-updating indicator the displays work better with tick or faster charts since it averages the volume across each bar after the close. (Greatly reduces processor usage, also does not require ongoing live connection/monitoring to work.)
I also find the BetterVolume2 helpful, especially the climaxes and low vols, and although often they are obvious without an indicator, often they are not, especially with tick charts where you can get very high volume relative to range which does not show up as exceptionally high volume on the basic lower panel histogram.
Again, though, great thread. Thanks.
The following 3 users say Thank You to cclsys for this post:
Up bars with decreasing volume means there is not much interest from buyers or sellers. Either one can step in at any time which makes low volume bars particularly dangerous. You would think that it'd be bearish but if you look in the charts I post, the LV bars are yellow and you will find plenty of moves that started yellow and then demand came in and it continued higher.
The following user says Thank You to cunparis for this post:
If UP bar on tiny volume, after last DOWN bar, I'm of opinion that all pro already reversed during that last big volume down bar, so after that on tiny volume 1+1+1+1+1+etc+etc contracts they will push it until we retailers will start finally buy it
however sometimes retailers not buy it, because pro can not do all work for us it goes down again, or anyway they can wait because their entry level much lower than we think.
If not any SR or other important levels up there.
Last edited by Andrew; January 12th, 2010 at 08:36 PM.
it's nice thing if it calculated/works correctly + cumulative great at all.
if you did that "anchored" that would be more than great.
do you know about "anchored" MAs which plots just lines for certain period of bars like almost like zig-zag indicator?
PVP great thing, but in principle you can see it by yourself and thus will keep in mind together with it important SR levels as well.