On Balanced Volume : Part 1:

Well, I have decided that to share some of the tips here but for those subscribe with me will be definitely more that I am writing in my blog..Thanks for those that appreciate my tips and knowledge given till now.


On Balanced Volume..Part 1: What is Volume and why it is so important?

1) What is Volume?
As everyone knows, volume is the number of shares traded during a time period which is created when there are buy and sell activity happens on a particular stock.
All the investors,traders be it novice or expert know this. But how important is Volume? Volume gives the overall picture of the supply and demand for stocks that being traded. So how exactly important is volume? It is definitely one of the most important indicators to trade a stock! Remember that even a single share can move a stock so you will know the reason know-how on looking at volumes is part of the successful trade.

2) So How we determine the volumes is trading against you or with you?
As you can see, Volume can be a significant element to determine your trades. You must be thinking how good if you know that with volumes, you can actually tell how far the stock will go. This is where On Balanced Volume come in.. There are many methods to check how the volumes can affect a stock.. but this is basically one of them that can see the momentum if the stocks going to be pushed higher or lower for the next wave.

3) How do the price being pushed up or down with volumes?
Remember, when you are trading a stock, everything is determined by volumes. Every time after the end of the market closing session, we will only see the total volumes but exactly what is happening on the volumes? Are traders buying in bulks to push the stock up or selling when they have accumulated enough ? This is where this little important information which is hidden can be a help to us whether we should place a position on a particular stock.

Which means....Part 2: On Balanced Volume Explained will be released very soon..

Till now,
Star-Trader