paddington's bear, donkey and rabbit - tuesday, page-58

Just a reminder about what happened in the week leading up to Columbus Day last year - and what happened afterwards. ( I might add that a number of exogenous factors are affecting volume in the current period. It's a Jewish holiday period when many people involved in the trading world have their minds on other matters. Columbus Day also coincides with Canadian Thanksgiving Day - so most institutional traders from Canada were also out of the market.)

Note that volume last week was much in line with the two previous weeks and down a bit on the week before that. So volume was not extreme one way or another last week - and the market went up with a long tail indicating buying pressure.

In 2010, price/volume pattern was similar to 2011. (I've marked the relevant week with arrows.) Price was up, volume was about in line with the two previous weeks and down a little on the week before that. So the price/volume pattern in the week leading up to Columbus Day this year was similar to 2010.

And have a look what happened last year after Columbus Day? Not bad for the bulls.

I"m not saying that will happen this year - but the comparison must be of interest to anybody interested in price/volume analysis.

Good luck
Redbacka