What Is The Light Volume In The Markets Telling Traders?

David Frost // Market Outlook


May 14  

Even though you will hear calls for another market sell off from the talking heads on CNBC and other media outlets, the light volume won’t let anything drastic happen.  When there aren’t any real large sellers in the market, the institutional traders, program traders and our favorite high frequency trading machines can easily manipulate the market up and down.  Today’s action in the stock market is most likely more due to the wacky option expiration week shenanigans than anything materially wrong right now.

I go into more depth in the video below, including a quick look at the gold and oil markets.

In addition, I provide two trade set up ideas that are actionable either now or in the near term.

About the Author

Trading and investing in markets is second nature to some, but a mystery to others. The goal is to provide a forum where everyday people aspiring to be part time or full time traders will learn how view markets differently and profit beyond their wildest dreams.

David Frost