Why technical Indicators fails in stock trading
Volume Analysis of Stock is a very important part of technical analysis, but traders rely on the technical indicators and do not understand the psychology behind the candlestick which is just created by the market.
Normally, retail investors are confused while doing volume analysis hence they don't use volume in their trading. To clarify this confusion, first, we need not only to understand the definition of volume in the cash segment but we also need to know why the volume has been generated? what is the market is expecting? Inequities, all know that we've been taught that volume is a total no of shares that exchanged hands on any given normal trading days, but can we look into a different angle to this volume. can it be an interest of buyers for the particular stock? This can be one of the reasons why the technical indicators fail to make retail investor money, understanding this Simple Rupee is now coming up with the series of videos on how you can only trade with Price and volume, yes you can trade only with price and volume no indicators required. The series consists of taking appropriate trades considering
- Spread of candle
- Volume of candle
- Close of candle