Trading
Trap for Investor (9) – Awareness of the Dark Pools in the US Market that Distort the Accuracy of Tape Reading
By KH Tang's Blog  •  September 25, 2014
For those well trained traders and trading professional, they know that trading volume is a very important indicator to judge the state of the trend for the stocks - as it is a measure of money flow.And, the classical books on Jesse Livermore and Richard D. Wyckoff emphasis on the importance of volume through Tape Reading.... Now here is a video clip from CNN showing that the trading volume of the Dark Pool is up to 40% of the total trading... Which means that there is a Change in Rule on Technical Analysis as on How to Interpret the Volume.  Be aware! .
So, what’s the Impact???
Though the above video trying to project an idea that these activities does not affect the public...Yes, it is true for the untrained traders that don't use volume indicators and mass public who don' trade. Actually, it shows that “Volume” information is ...
...
Read the full article
By KH Tang's Blog
LEAVE A COMMENT
LEAVE A COMMENT

Your email address will not be published.

*

Your Email Address will not be published
*

Read More Articles
More from thefinance