Replies to post #53930 on Blackout Media Corp (BKMP)

[Rasica]

Cowboy....THE VOLUME IS ARTIFICIAL Don't confuse Accumulation with Volume.

The Accumulation/Distribution Line can be used to gauge the general flow of money. An uptrend indicates that buying pressure is prevailing, and a downtrend indicates that selling pressure is prevailing.


Accumulation/Distribution Line formed a huge positive divergence that was over 4 months in the making. Even though the stock fell from above 35 to below 30, the Accumulation/Distribution Line continued on a relentless march north. If one did not know better, it would seem that the two plots did not belong together. However, the stock finally caught up with the Accumulation/Distribution Line when it broke resistance in November.

Another means of using the Accumulation/Distribution Line is to confirm the strength or sustainability behind an advance. In a healthy advance, the Accumulation/Distribution Line should keep up or, at the very least, move in an uptrend.
http://stockcharts.com/education/IndicatorAnalysis/indic_AccumDistLine.html

[Rasica]

The Accumulation Chart....................