Sunday, February 6, 2011

Why volume is important...

I tweeted that I had removed this stock from my watch list although it had broken out because the move had no volume. I am always suspicious of low volume moves. Look at what happened only one day later:

The stock fell over 8% on heavy volume! Volume equals confirmation. So look for big volume to come in during and after your entries!

Hope this helps.

Good luck and good trading!

No comments:

Post a Comment