Here's a snapshot from my
Medved Quote Tracker program, I use it because it has Vol%, which is nice, many
times I just focus on the ones with good volume % and ignore the
others, especially if I have say a lot of trade ideas, it's a good
filter! For example if I have 30 trade ideas, I can narrow in
on the ones with good vol% and cut my focus down to say 2 - 4
stocks only! members are always saying, you have so many trade
ideas, how do I filter them down, well this is one way!
The program used to be free, but unfortuntely they charge now,
but it's cheap, hell one good trade would pay for it for 10 years.
However I think it's free if you have a TD Ameritrade
acccount. It also links well with IB and you can actually
trade from it instead of IB
as you can see today, ROIAK closed with 1023% Vol above the
average 60 day vol, it traded over 100% volume the first thing in
the morning; when you see that, it gives you confidence.
Otherwise you can see all the other trade ideas on
here.
This is what I do, I add trade ideas to this list every night
and I set alarms as well, then I'm ready to go each day with new
trade ideas!
download Quote Tracker and if you have a funded TD Amer. acct
sign in with that account info and you automatically get registered
with Quote Tracker for free.....
Here's another way to calculate vol%, you adjust it for the
intra day time. For example if 1/2 the day has past, you
would multiply the current vol by 2 and then calculate the volume %
since you still have 1/2 the day left.
----------------
Some basic rules to follow while trading breakout/breakdown
patterns:
1.It's a good idea to avoid entering new positions
the first 15 minutes of the market open.
2.Only trade breakouts that have excellent volume
% relative to its 60 day volume average. I generally only trade
breakout stocks that exceed their 60 day moving average. Some
programs like Medved Quote Tracker already do this for you. The 60
day moving average can also be found on Yahoo Finance under
detailed quotes. Trading breakouts with big volume % greatly
enhances your chances for a successful trade. This is especially
true when Day Trading or Swing Trading. (Please note: Shorting a
stock doesn't rely on volume as much as longs do. When shorting, I
don't watch the volume near as much.)
Here is a simple formula that I use to decide how the volume %
is acting during the day:
[total volume
/hours into the trading day
]multiplied by 6.5
(trading hours in a day
)
You then compare your result to the 60 day average daily volume
for the stock.
Here's an Example:
Stock ABC has a breakpoint of $10.25 with a 60 day average
volume of 500,000 shares. At 11:30 eastern time, stock ABC broke
the $10.25 price resistance (breakpoint) and there has been 100,000
shares traded so far.
Should you go long this breakout stock since it has broken the
$10.25 resistance? The answer would be NO, because by using the
following formula, the adjusted volume is only 325,000 shares,
which does not meet or exceed the 500,000 share 60 daily average
volume.
100,000 / 2 = 50,000
50,000 x (6.5) = 325,000
3. Do not hold a position into earnings as this
can cause major losses. True if earnings are good it can provide
significant gains but is it worth it? My experiance is no.
4. Do not overweight your $$ into one position. It
is a good idea to keep minimal $$ in one particular position.
5. Do not enter a position early. Wait for a
pattern to setup, make sure it has excellent volume %, then only
enter after the price has traded through the breakout price.
6.It's a good habit to sell 1/2 your position on
the initial pop and reset stops at entry to ensure a profitable
trade. Always use stops as they help avoid disasters. Avoid
averaging down if a position goes against you. Maintain proper
stops and realize that if the stock comes back up one can always
reenter.
I agree that the better way to watch the volume is on a time
adjusted basis (which I think Medved QuoteTracker does not do).
It's easy to do this using TD Ameritrade's Strategy Desk. The image
below has some of today's stocks sorted by %V which is the daily
volume percentage relative to the 50 day moving average **IF** the
stock continues to trade at the same rate for the rest of the day.
The number tends to be too high in the early going because of the
rush of trading at the open. I think you can open an account at TDA
for $2000. and even if you never trade there IMO it would be worth
it just to have this tool. The average could be based on 60 days if
preferred. I'll PM the formula to anyone that wants it. BTW the
first 3 col show the position of the stock within the 65 day, 20
day and today's range -- so at stock at the high of the day will
show 100 in the %DR col. The alarm just came up on PPC -- I can
look and see that while PPC is at HOD it is only on track to trade
74% of average volume. Doesn't mean volume can't come in if the
stock starts showing up on screens and attracting buyers but at the
moment that's what's happening. Sometimes it's good to check a 1
minute chart to see more of where the volume is.
first off, the quote prices are real time from the alerts on the
watchlist and the pop ups are real time! As I said, we have to pay
about $800 a month for those quotes, very expensive.
as far as vol, I think it's delayed 15 min, however after the
first hr or so it can give a good guilde line, even if it's
delayed, it's still very useful. For example if a stock is
trading over 100% relative volume at 11 am real time, then I'm sure
the vol% from 10:45 am delayed is still high enough to show a high
vol%
>>>>60 day avg volume for ROIAK was
443,721 on the TradeStation Platform. Volume Today =2,650,008.
Vol%=597% almost 6x the average of the daily volume. Where is the
computation rationale for 1023%.
they probably use a different day to calculate vol%, in
Stockcharts the default is 60 days, so it could be 30 or 15 or 90,
IDK, not really that big of a concern of mine since it's all
relative
Ok, this is interesting, 271,489 is the average volume when
using td ameritrade as the data feed, when I switch it to
interactive brokers the average volume is 393,000 and the volume %
is 670%.
Ok, I'm getting 393,000 for both data sources now and vol% of
670, must've been a timing/refresh cause for the difference between
the two feeds in my case.
could be showing after hrs volume which would make it higher.
again I wouldn't worry about it too much, it's just a guideline and
it doesn't have to be perfect to be a big help
Medved Quote Tracker - Education on using it to trade setups
Posted by matt on 11th of Jan 2011 at 04:24 pm
Here's a snapshot from my Medved Quote Tracke r program, I use it because it has Vol%, which is nice, many times I just focus on the ones with good volume % and ignore the others, especially if I have say a lot of trade ideas, it's a good filter! For example if I have 30 trade ideas, I can narrow in on the ones with good vol% and cut my focus down to say 2 - 4 stocks only! members are always saying, you have so many trade ideas, how do I filter them down, well this is one way!
The program used to be free, but unfortuntely they charge now, but it's cheap, hell one good trade would pay for it for 10 years. However I think it's free if you have a TD Ameritrade acccount. It also links well with IB and you can actually trade from it instead of IB
as you can see today, ROIAK closed with 1023% Vol above the average 60 day vol, it traded over 100% volume the first thing in the morning; when you see that, it gives you confidence.
Otherwise you can see all the other trade ideas on here.
This is what I do, I add trade ideas to this list every night and I set alarms as well, then I'm ready to go each day with new trade ideas!
hmm.. I probably have this and don't know it..
Posted by zach06 on 11th of Jan 2011 at 09:48 pm
Does anyone know if THink or Swim has this? THey are owned by TD ameritrade.
download Quote Tracker and if
Posted by Michael on 12th of Jan 2011 at 08:24 am
download Quote Tracker and if you have a funded TD Amer. acct sign in with that account info and you automatically get registered with Quote Tracker for free.....
intra day vol% calculation
Posted by matt on 11th of Jan 2011 at 09:33 pm
Here's another way to calculate vol%, you adjust it for the intra day time. For example if 1/2 the day has past, you would multiply the current vol by 2 and then calculate the volume % since you still have 1/2 the day left.
----------------
Some basic rules to follow while trading breakout/breakdown patterns:
1.It's a good idea to avoid entering new positions the first 15 minutes of the market open.
2.Only trade breakouts that have excellent volume % relative to its 60 day volume average. I generally only trade breakout stocks that exceed their 60 day moving average. Some programs like Medved Quote Tracker already do this for you. The 60 day moving average can also be found on Yahoo Finance under detailed quotes. Trading breakouts with big volume % greatly enhances your chances for a successful trade. This is especially true when Day Trading or Swing Trading. (Please note: Shorting a stock doesn't rely on volume as much as longs do. When shorting, I don't watch the volume near as much.)
Here is a simple formula that I use to decide how the volume % is acting during the day:
[total volume /hours into the trading day ]multiplied by 6.5 (trading hours in a day )
You then compare your result to the 60 day average daily volume for the stock.
Here's an Example:
Stock ABC has a breakpoint of $10.25 with a 60 day average volume of 500,000 shares. At 11:30 eastern time, stock ABC broke the $10.25 price resistance (breakpoint) and there has been 100,000 shares traded so far.
Should you go long this breakout stock since it has broken the $10.25 resistance? The answer would be NO, because by using the following formula, the adjusted volume is only 325,000 shares, which does not meet or exceed the 500,000 share 60 daily average volume.
100,000 / 2 = 50,000
50,000 x (6.5) = 325,000
3. Do not hold a position into earnings as this can cause major losses. True if earnings are good it can provide significant gains but is it worth it? My experiance is no.
4. Do not overweight your $$ into one position. It is a good idea to keep minimal $$ in one particular position.
5. Do not enter a position early. Wait for a pattern to setup, make sure it has excellent volume %, then only enter after the price has traded through the breakout price.
6.It's a good habit to sell 1/2 your position on the initial pop and reset stops at entry to ensure a profitable trade. Always use stops as they help avoid disasters. Avoid averaging down if a position goes against you. Maintain proper stops and realize that if the stock comes back up one can always reenter.
Title: Volume percent -- the
Posted by bkout3 on 12th of Jan 2011 at 10:10 am
I agree that the better way to watch the volume is on a time adjusted basis (which I think Medved QuoteTracker does not do). It's easy to do this using TD Ameritrade's Strategy Desk. The image below has some of today's stocks sorted by %V which is the daily volume percentage relative to the 50 day moving average **IF** the stock continues to trade at the same rate for the rest of the day. The number tends to be too high in the early going because of the rush of trading at the open. I think you can open an account at TDA for $2000. and even if you never trade there IMO it would be worth it just to have this tool. The average could be based on 60 days if preferred. I'll PM the formula to anyone that wants it. BTW the first 3 col show the position of the stock within the 65 day, 20 day and today's range -- so at stock at the high of the day will show 100 in the %DR col. The alarm just came up on PPC -- I can look and see that while PPC is at HOD it is only on track to trade 74% of average volume. Doesn't mean volume can't come in if the stock starts showing up on screens and attracting buyers but at the moment that's what's happening. Sometimes it's good to check a 1 minute chart to see more of where the volume is.
BTW guys, you do know
Posted by matt on 12th of Jan 2011 at 10:13 am
BTW guys, you do know that the watchlist does this right? It shows vol% adjusted for time. It's been there for many months.
I had my programmer add that calculation months ago
Matt, Is it still time
Posted by bkout3 on 12th of Jan 2011 at 10:14 am
Matt, Is it still time delayed?
first off, the quote prices
Posted by matt on 12th of Jan 2011 at 10:18 am
first off, the quote prices are real time from the alerts on the watchlist and the pop ups are real time! As I said, we have to pay about $800 a month for those quotes, very expensive.
as far as vol, I think it's delayed 15 min, however after the first hr or so it can give a good guilde line, even if it's delayed, it's still very useful. For example if a stock is trading over 100% relative volume at 11 am real time, then I'm sure the vol% from 10:45 am delayed is still high enough to show a high vol%
relative volume for TOS users
Posted by jimbodad on 12th of Jan 2011 at 12:00 am
came across this - perhaps it will help track volume %
Vol%
Posted by alver08 on 11th of Jan 2011 at 07:20 pm
One question about the volume%
>>>>60 day avg volume for ROIAK was 443,721 on the TradeStation Platform. Volume Today =2,650,008. Vol%=597% almost 6x the average of the daily volume. Where is the computation rationale for 1023%.
Thanks for explaining this.
they probably use a different
Posted by matt on 11th of Jan 2011 at 09:30 pm
they probably use a different day to calculate vol%, in Stockcharts the default is 60 days, so it could be 30 or 15 or 90, IDK, not really that big of a concern of mine since it's all relative
That's because the avg volume
Posted by aharon on 11th of Jan 2011 at 09:16 pm
That's because the avg volume in quote tracker is 271,489, I don't see anywhere that the number of days used for the average can be modified.
Ok, this is interesting, 271,489
Posted by aharon on 11th of Jan 2011 at 09:27 pm
Ok, this is interesting, 271,489 is the average volume when using td ameritrade as the data feed, when I switch it to interactive brokers the average volume is 393,000 and the volume % is 670%.
Ok, I'm getting 393,000 for
Posted by aharon on 11th of Jan 2011 at 09:36 pm
Ok, I'm getting 393,000 for both data sources now and vol% of 670, must've been a timing/refresh cause for the difference between the two feeds in my case.
could be showing after hrs
Posted by matt on 11th of Jan 2011 at 09:40 pm
could be showing after hrs volume which would make it higher. again I wouldn't worry about it too much, it's just a guideline and it doesn't have to be perfect to be a big help
QT
Posted by vdonato on 11th of Jan 2011 at 05:29 pm
Matt, I have an AMTD account and currently use QT, what is medved QT? Never heard of it, is it another version of QT?
Thanks,
Vince
its the same Vince....Medved is
Posted by MT_pockets on 11th of Jan 2011 at 05:38 pm
its the same Vince....Medved is the guy who runs and created the software
JB
Bought a sub to this
Posted by jambo1 on 11th of Jan 2011 at 04:29 pm
Bought a sub to this a while back is my next best trading tool to the BPT site. Well worth the sub.