Thursday, November 19, 2009

Morning Briefing for November 19th: A Legit Break


This morning's trade has given a great example of a breakout trade, as we moved below the range of the prior two trading sessions on expanded volume--and volume transacted at the market bid price. The skewed advance-decline ratio, very negative NYSE TICK, and dominance of volume at the bid all suggested that this break attempt (unlike ones yesterday) was legit. If so, we should not trade back into the overnight range.
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2 comments:

CBS said...

I have been reading your blog for about a month, and am extremely thankful for your generosity.
I have one question regarding the role of specialists. Can you please give your opinion about the influence they have in today's markets in terms of bull and bear market trends?

Thank You very much

Chris

BalaB said...

Thanks Dr. S. for this post and the previous.

Question: I notice different BidxAsk volume readings on my Market Delta charts (even when filtered for trade sizes) compared to your most recent post. While I would expect some variation between data feed vendors, the differential is somewhat significant. Any thoughts?

Thank you in advance.