hoots, page-119

Asuming you were responding to me, I have never really made sense of volume spike/contraction independent of other considerations. I have read and viewed many videos commenting that when price fall or rally in a momentous way usually generated by some news, succedding candles attracting much smaller volume is a good thing in general. It 'indicates' on a rally the absence of sellers and vice versa.

When you start data mining ie. Backtesting using spoftware generated tools, the process is endless especially when one doesn't know what they are testing. The idea of using the premium parameters is just that, works in the past asuming hostory replicates the past. A big debate as both sides does have merits but I've kinda stepped away from mechanical trading systems. Imagine this time last year if you have an intraday system that is aggressive Long only but there are filters to avoid such scenarios is the usual commentary.

Lately since the pandemic low, I have been refocusing on chart patterns, another strategy I used to thumb my nose to without fully understand the logic benind them. Very useful because it is more leading than indicators and risk can bedefined much more accurately as in when to jump off when the market is punishing...

Good luck to your journey, the more you investigate the more you will come across exotic tools & strategies.

Here is a list I have studies to some degree:

Harmonic (Gartley/Butterfly) pattern
RSI, MACD, STOCHASTIC, BOLLINGER, MOIVING AVERAGES, DMI,
Wedge, Ascending triangles, DT, S/R, TL, OBV, divergence
Renko, candlesticks
Ichimoku clouds
Fibonacci and its derivatives

Plenty more, the plethora is just mind boggling and you will notice some very high profile strategies missing there wih big followers. I now just stick to KISS... Good Luck.