The numbers are in. Once volume started building from the extreme low volume signal, prices fell 11 of 16 times (68.8%).
To pick it apart a bit... - on signals that followed August or December (seasonal low volume months), prices were down 5 of 8 times (62.5%). - on signals that occurred, but did not follow a low volume month, prices were down 6 of 8 times (75%).
This study began in 2007 and encompasses 7.5 years. Overall, this appears to lend a bearish bias to the next couple of months. 6/22/14
Once volume started building from the extreme low volume signal, prices fell 11 of 16 times (68.8%).
To pick it apart a bit...
- on signals that followed August or December (seasonal low volume months), prices were down 5 of 8 times (62.5%).
- on signals that occurred, but did not follow a low volume month, prices were down 6 of 8 times (75%).
This study began in 2007 and encompasses 7.5 years. Overall, this appears to lend a bearish bias to the next couple of months. 6/22/14