I quoted a Ratio of below one for the AdvVol/DeclVol in my...

I quoted a Ratio of below one for the AdvVol/DeclVol in my previous post.

I've been mulling over those figures - and something just didn't "jive". I get my data from eTrade.

The numbers provided by eTrade were:

Advancing Volume 1,353,358,892
Declining Volume 1,759,403,391

Those figures looked a little odd, as the gross came to over 3billion shares traded. Last Thursday and Friday, on much higher market volumes, the total AdvVol plus DeclVol was only around 2.5billion (very round numbers). A discrepancy of half a billion or so.

So I checked with another site that provides a comprehensive set of data marketmentat.com.

Here's what that site said about the All Ords:

Of the 497 All Ordinaries components, 215 rose while 132 fell. Volume was tilted in favour of the gainers by a margin of 2.3:1, with 745.97m shares traded in gainers while 321.24m shares traded in the day's losers.

But for the whole market, his figures were similarly bearish to the eTrade ones (though not the same). His figures were even more bearish than the eTrade ones.

So he is providing conflicting data - the All Ords AdvVol/DeclVol is bullish while for the whole market it is quite bearish.

I think the "whole market" figures on eTrade and marketmentat.com are incorrect. The All Ords figure makes more sense - bullish. Sometimes the AdvVol/DeclVol can be a little bearish on a moderately up day but I can't remember a day when they were very bearish.

That makes me much happier about the market action today.

I think the eTrade figures are out by one billion on the Declining Volume data.

That gives new figures of:

Advancing Volume 1,353,358,892
Declining Volume 759,403,391

That's more consistent with market action and total shares traded on a relatively "normal" day.

The chart pattern today didn't conform to the chart patterns we've seen in previous reversals since this correction started.

So - after adjusting the AdvancingVolume/DecliningVolume figures I'm leaning a little to the bullish side rather than the bearish side.

Today's market action was a little disconcerting - but consistent with tentative sentiment ahead of the Greek an U.S. Fed actions.

Good luck
Redb

Good luck
Redb