Assessing Market Action With Indicators And History
Tuesday, August 26, 2008
Bad Breadth & Volume Make Good Combo
Extremely negative breadth and extremely low volume is an unusual combination. On Monday we saw this combination. Below is a quick study which looks at it:
Not a huge edge, but it appears to suggest we should see a respite and a bounce sometime soon.
It's your blog and I very much appreciate your work, but why volume as a breadth measure? Volume on any given day can be dominated by a few large names (GE earnings miss, FNM collapse/rebound, etc)
How do you quantify "worst breadth"? What are you using to measure breadth?
ReplyDeleteGood question. Poor ommission on my part. I was using NYSE up volume%. (Up volume / total volume)
ReplyDeleteRob
It's your blog and I very much appreciate your work, but why volume as a breadth measure? Volume on any given day can be dominated by a few large names (GE earnings miss, FNM collapse/rebound, etc)
ReplyDelete