Monday AM indicator post) in addition to today's book inwards pink. Notice how the pinkish trace of piece of job increasingly falls brusk of the blueish one, equally book today tailed off relative to expected, median volume. We know that volume correlates good amongst volatility, then recognizing the slowing marketplace was primal to scaling dorsum toll drive expectations during the day.
Plotting today's book during the solar daytime versus the "expected" book is a dandy indicator, equally you lot tin run into crossovers--points at which today's book accelerates or decelerates relative to usual--and divergences, where today's book either meaningfully exceeds or falls brusk of average. These patterns enjoin us how much drive to await inwards the market, which inwards plough tin tending us inwards placing stops in addition to setting toll targets for trades. In my case, the relative book told me to remain out of the marketplace belatedly inwards the day; it wasn't my sort of trade. Sometimes proficient trading is only belongings onto your capital.
I volition endure updating weekly relative book benchmarks each Mon earlier the opened upwards and, when I'm non tied upwards amongst traders, volition postal service existent fourth dimension relative book observations via Twitter (subscription via RSS is free).
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