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Thursday, 19 November 2015

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Trading Strategy based on Volume

Trading Strategy based on Volume
There are many indicators which are used in the technical analysis. Volume is an important indicator which is often neglected. The volume can be used as a confirmation signal for trend formation. An uptrend with an increasing volume gives the confirmation that the trend is strong. Similarly the downtrend with an increasing volume gives the confirmation that the downtrend is strong. The volume signal is used by the traders extensively to generate intraday tradingtips.

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