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Old 01-17-2008, 08:02 PM
dandxg dandxg is offline
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Re: [VSA] Volume Spread Analysis

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I'm a new user of Tradeguider (TG) and am wondering if someone might recommend a good Parent Stock Index to use for Stock Scanning in TG. Thank you.
Well I don't have TG, but I have read Williams' book and have read a fair amount on Wyckoff so let me attempt to give you a hand. I trade index futures.

On what exchange does your stock exist. It is S and P, DOW, NAS, Russ? The way I read it before, and correct me someone if I am wrong, is you want to get a macro view of the parent index, let say S&P 500. On a daily I feel it is down and that's as high as I need to go because I am a day trader. So then I would pick some stocks in that index using their scanner that show the greatest weakness and I wait for a signal and hit it. Some in Wyckoff use Dow Theory and look at the DJI, dow jones transports. If you determine they look weak you can then drill down to a specific stock showing the greatest signs of weakness and sell it when you have a signal. Make sense?

Conversely in a strong market you would want to look for the specific stock showing the greatest strength and trade that. It's covered in Master the Markets. Hopefully I answered your question.

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