No of trades for a share, for example can increase if a share is bought in 10,100 chunks.. Or even 200, 300 chunks.. This can easily mislead investors/traders.. Say that ur selling 10000 shares and if I want to buy 8000 of it, I can still buy it in chunks of 100 makin it to 80 trades know? So would ppl think the share has too much demand then?
I guess you are wrong Small...
Let hypothetically assume, u have 50 million liquid money and I am a average trader with 500,000 rupees. When both of us invest in PAP I will buy 1000-5000 of PAP in one shot, rather I could go with 100 shares in 50 trade. If I do so I am manipulator my intention is to keep mkt active. If you think that even If I wanna increase trades then I can go with 1 shares per trade..Probably in a month time I will get notice from SEC for clarification..
. You have to think about general behaviour. People are not crazy to manipulate trades. It consume significant time- processing time for brokers as well.
We should trust on general phenomena. I would go with 1000-5000 shares per shot, mostly per day whereas u, who hold millions, will buy 100,000-500,000 shares per day of PAP. You wouldn't waste ur time with 1000 shares. Higher the capacity higher the expected return is. So need more volume with less trade. How many guys like u will be in mky?? few hundreds. But guys like me must in thousands... We are the guys who keep mkt active-not u...
If you think about logically u would probably accept my argument. Analyse the data carefully...Even volume could be easily manipulated by penny stocks like SEMB.x0000 or near maturity date of warrants which has no fundamental value. all 100mn shares would be traded in two days..
Yes I remember about ADX facts u provided. I have less experience with that since I miserably failed with MACD and Bollinger band with GRAN, just blindly followed. Then later studies I found those techniques rarely work and need better understanding about macro behaviour of the mkt... I guess common sense and rational thinking is more than enough.....
In ur comment under REEF, u said.
Ppl dumped at the last runs.. May have accumulated too at 2-2.5 levels..
I'm seeing a weak ADX signal and a ADX cross over as of today as well.. I'm a bit relieved as MACD is also positive..
So lets watch Wink
This mean u were expecting a possible run ahead or the price wouldn't fall from that price range. Am I right?? At the date u made this comment ADX was about 32 and was declining that mean it became less active..But MACD indicate positive cross over -bullish cross over.
So th price was 2 and it came 1.5 a months time..Now MACD positive ADX is about 23 which came 18 few weeks before. Can you say possibility of uptrend?? So buying signal. Am I right??
I would pbly say yes. It could go up. but I would wait and see for few more weeks....