SET 50 Index : Volume is the missing ingredient

Looking a the SET 50 chart without a glace at the volume an all looks well…or sort of well, but when the flows are added in to the analysis it seems clear they are well short of the levels needed for a trend breaking move above 680 or so.

In our view, if SET50 volume suddenly increases to THB 33-35bn, and a daily close at 680 or more is posted it will be a splendid sign to follow buy for those who are currently just trading in and out for short term gains, and have yet to re-enter for the swing trade portion of their funds.

If the SET 50 closed below 670 today it will not be a good sign though, and increase the likelihood of the early week gap (662.95 down to 657.97)  being closed sooner rather than later.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: