Investing with Volume Analysis: Identify, Follow, and Profit from Trends

by Buff Dormeier

Overview

In the continual pursuit for higher profits, investors and traders alike often assume significantly higher risks while chasing the next hot opportunity. Other more sophisticated investors attempt to employ complicated indicators while not fully understanding the information the indicator was designed to reveal. On the other hand, savvy investors employ analysis to gauge the market, positioning themselves to potentially earn higher profits with significantly less risk. Volume analysis attempts to delve deep inside the market trends to help identify shifts within the markets.  Investing with Volume Analysis: Identify, Follow, and Profit from Trendspresents an enlightened perspective on the role of volume, not only in pragmatic terms but also in terms of apprehending the underlying rationale of how and why. Award-winning technical analyst Buff Pelz Dormeier teaches state-of-the-art methods for analyzing the relationship of volume to price movements and the evolution of market trends.

Product Details

ISBN-13:	9780132613293
Publisher:	Pearson Education
Publication date:	03/16/2011
Sold by:	Barnes & Noble
Format:	eBook
Pages:	176
File size:	10 MB

About the Author

Armed with proprietary indicators and investment programs, Buff Pelz Dormeier, CMT dynamically manages private investment portfolios for affluent individuals, institutions, trusts, and endowments. Buff builds customized strategies designed to meet or exceed a client’s specific investment objectives in what is often uncertain market conditions. This is accomplished by utilizing proprietary state-of-the-art portfolio management tools designed to grow and preserve wealth in a risk-conscience manner.

 

In Buff’s 15+ years in the securities industry, he has been employed as a financial advisor, an analyst, and a portfolio manager. An award-winning industry innovator, Buff is the developer of Volume Weighted Moving Averages (VWMA), the VW-MACD, the Volume Price Confirmation Indicator (VPCI), VPCI Stochastics, the Anti-Volume Stop Loss (AVSL), the Trend Thrust Indicator (TTI), Capital Weighted Volume Indexes, and a host of cap-weighted, volume-based breadth indicators.

 

As a celebrated source of investment knowledge, Buff’s work with market indicators and trading system design has been published and/or referenced in Barron’s, Stock’s & Commodities, SFO and Active Trader magazines, and the IFTA & MTA Journals. A Chartered Market Technician, Buff received the 2006 Charles Dow Award recognizing research papers breaking new ground or which make innovative use of established techniques in the field of technical analysis. The Charles H. Dow Award is considered one of the most important recognitions in the field of technical analysis. He has also been a featured speaker at national and international conferences including Expo Trader Brazil, the TradeStation World Conference, and the Moneyshow International Trader’s Expo.

 

Buff was a double major graduate of Indiana State University participating in varsity track and cross country as a student athlete. Still an avid runner, Buff is a former Indiana Marathon champion.

 

Table of Contents

Introduction     1

Chapter 1: Two Perspectives of Market Analysis     5

Chapter 2: The History of Technical Analysis     12

Chapter 3: Price Analysis     27

Chapter 4: Volume Analysis     32

Chapter 5: Volume: The Force of the Market     39

Chapter 6: How to Read the Market Like a Book     53

Chapter 7: Volume in Trends     73

Chapter 8: Volume in Patterns     93

Chapter 9: Measuring Volume Information     112

Chapter 10: Pure Volume Indicators     118

Chapter 11: Interday Volume Accumulation Indicators     127

Chapter 12: Intraday Volume Accumulation Oscillators     132

Chapter 13: Price Range Volume Indicators     140

Chapter 14: Price Accumulation Based on Volume Indicators     147

Chapter 15: Tick-Based Volume Indicators     151

Chapter 16: Volume-Weighted Price Indicators     157

Chapter 17: The Volume Price Confirmation Indicator     182

Chapter 18: A Compendium of Breadth Indicators     209

Chapter 19: Buff Up Your Volume: Introducing Capital Weighted Volume     226

Chapter 20: Risky Business     241

Chapter 21 Putting It All Together: Volume-Dictated Strategies     259

Chapter 22: Modern Day Volume Issues     281

Bibliography     306