Sort of, but only as a measure of capitulation (high volume spikes 2x-3x more than average)
Low volume is not considered.
I think my model is a day or two or three early shorting here. SPY will probably tag 132 before a good sized pullback. I expect a good covering opportunity next week. I also predict this short trade will be profitable, with a bit of patience.
J, do you take market volume into account in your system?
ReplyDeleteSort of, but only as a measure of capitulation (high volume spikes 2x-3x more than average)
DeleteLow volume is not considered.
I think my model is a day or two or three early shorting here. SPY will probably tag 132 before a good sized pullback. I expect a good covering opportunity next week. I also predict this short trade will be profitable, with a bit of patience.
Low volume is the bane of shorting as low volume gives the market a neutral to up bias...
DeleteJust a thought :D
Interesting movement so far today.
ReplyDeleteHow is your system holding out?