Is Volume Data Contaminated? Mike Webster On Price And Market Mechanics | Investing With IBD

Derivatives, dark pools and algos - oh my! IBD’s Mike Webster talks about how volume has evolved as a market indicator over time and why it’s problematic to lean on that metric when determining conviction and momentum.
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[@payam5330]

Mike, I am glad you clarified that subject.

[@MrTsatia]

I cant get enough of this gentleman. Please invite him as frequently as possible. I like how he doesnt just express an opinion but he also explains the reasoning behind from the problem to the insight to the way he tackled that issue and where he is now.
For a beginner like me this is gold. He is expanding my understanding of the market.
Amazing job ❤

[@edbickford996]

You may want to try a trial of IBD live where you can see Mike almost every day in an interactive format. I wish the product would have been availabe to me as a beginner. I agree you can't get enough of his insights!

[@rouse1120mc]

Mike, we look for volume 'action', right? Volume relative to itself... we say "volume above the prior day", or above the 50day sma. We use it to determine/confirm rally and follow-through days, And on breakouts we expect to see unusual volume (if not it is an 'expectation breaker'). Yes, the volume measure is imperfect (ie dirty) BUT relative changes are noteworthy/confirming. Right?

[@AgSus-xq8rz]

Thank you

[@edbickford996]

In the three months trial with IBD live, which is soon coming to an end I have found the Accumulation/Distribution rating on Market Surge to be helpful (along with many other data ponts) in decision making. Has a study been done of the correlation between levels of Institutional Investment changes over time and price changes? Is there anywhere in IBD digital where one could get the data necessary for this type of study?

[@wshobson]

We definitely understand "playing possum" here in NC. 😉

[@BullCombo]

Pull up a weekly chart of NVDA.. look at the massive big green volume that cause the stock to almost double in 8 weeks. There are times when volume might not matter but I typically avoid those situations.

[@NTSALAH]

Totally agree
Volume is extremely important but it's measurement could be inaccurate

[@meeravyas4769]

Is highest % delivery taken data of volume helpful and relevant? How to get this data

[@mwd473]

This guy is really good. However, I heard Tom Dorsey speaking about this 10 years ago or so.

[@ImNotHereToArgueFacts]

I never want to see volume on another chart of Webby's😂

[@spykiller26]

O my the guy over at mission winners is gonna be so sad. He claims he learned and taught under the great one, Mr. Can Slim