Also look at Open Interest. That's also a good indicator but it should be viewed in conjunction with other factors too
Hi Afin,
I am a layman ....... I am not concerned about Open Interest ...
All these terms leads to confusion for me.
I know a person who just believe in charts ( long term equity trading ) .. he speaks with his charts and picks stock based on his charts ... He is not concerned about any news or events ..
He always says to me ... I just believe in the charts and he doesn't even know what the company does nor the company fundamentals ( i am not exaggerating).
What do you say to those persons ....... Open Interest, bar patterns, premium, discount etc ?
I am not saying you need not know it ... Hope you understand ... I am stressing the point that - whatever one is comfortable .. let them follow it...
Cheers