ajtj99's Market Pulse

[ajtj99]

Generally I've learned that volume follows price. I never thought that until LG mentioned it, and I've seen it to be the case over the years.

Often times you will have volume tests of support and resistance. Using Tim Ord's volume test method you generally reverse pivot when a level is tested and the volume shrinks by 8-15% or more. Consequently, when a level is tested and volume increases by 8-15% or more, price should continue in the direction of the area that was tested. If that is overhead resistance, price should eventually continue up. If it is underlying support, price should eventually breach the support.