Have You Side-Stepped Every Major Down-Turn? From Now On For Real!
Up-Volume Breaks Before Prices Do!
This outstanding market breadth indicator is calculated by dividing the weekly upside and downside volumes by the weekly total volume. If prices move steadily upward (strong uptrend) with strong volume, this indicates that buyers are accumulating shares. A healthy market should be supported by strong up volume. If not there is a negative divergence between the market and breadth.
This could happen, if only heavy weighted stocks in an index are pushing the market higher but the majority of small weighted stocks are already being sold by investors. By separating the up volume from the down volume, investors can get an insight about the future direction of the given index or market. Divergences between the market and volume should be monitored closely as a trend reversal could be ahead!
Below you will find one example of one of the finest market breadth indicators published by WallStreetCourier.com!
Bullish: Upside volume above downside volume
Bearish: Upside volume below downside volume
Watch out for divergences between the market and advancing issues
Why The Crowd Has To Lose All The Time!
The markets are an ever and everything discounting mechanism and the product of the behavior of all their participants and, of course, not everybody can win. In order for every market to function, the majority of the participants have to lose. This majority is usually the uninformed and ignorant crowd, who rather relies on hot tips or even sheer luck like a gambler, instead of doing some homework and spending an extra buck for valuable and useful information.
When will you join the fabulous "Upside-/Downside Volume Index Weekly"?
Get a weekly update of this magnificent indicator for the ridiculous rate of only a couple of cents a day
Plus all the other proven indicators of the Wall Street pros!
More information and related content in our Breadth Indicators section: