NOT FINANCIAL ADVICE
It's been a while since I posted any updates for
ZIL and yes, the incumbent bearish market has everything to do with it.
Also, there really isn't much to do during a bear market except to BTFD.
But we do have to roughly figure out if the bottom is here, or not.
Let us take a very simple look atZIL's volume since Dec 2020.
Bear, no pun intended, in mind that what I aim to get out of this study is to have a general idea of how total volume correlates with price action.
Uptrends are consolidated and measured as if they represent a stepping up-block for the price to move up. Vice-versa for downtrends or side trends, represented by a down-block.
Allow me to extrapolate the following 4 super simple deductions when looking at these blocks:
So now let's take a look at the latest up-block, which is still only 7bars young.
While its volume is still a mere slight reduction from the previous one, there is a chance that it meets the median 12 bars and outgrows the volume significantly.
If this were to happen within the next 3 to 5 days, then I gather that things may be looking really good forZIL soon, but perhaps not before another occurrence of a down-block.
Lending credence to this premise is the diminishing volume of down-blocks.
So are we going to start calling for a potential market bottom?
Not yet, but I do think we are quite close to one.
It's been a while since I posted any updates for
ZIL and yes, the incumbent bearish market has everything to do with it.Also, there really isn't much to do during a bear market except to BTFD.
But we do have to roughly figure out if the bottom is here, or not.
Let us take a very simple look at
ZIL's volume since Dec 2020.Bear, no pun intended, in mind that what I aim to get out of this study is to have a general idea of how total volume correlates with price action.
Uptrends are consolidated and measured as if they represent a stepping up-block for the price to move up. Vice-versa for downtrends or side trends, represented by a down-block.
Allow me to extrapolate the following 4 super simple deductions when looking at these blocks:
The median up-block lasts 12bars
The volume for up-block decreases with each iteration as we reach the apex of the bull market, and keeps decreasing through the bear market.
The median down-block lasts 19bars
The volume for down-block decreases significantly as we reach the apex of the bull market but then explodes resulting in a bear market, before levelling off.
So now let's take a look at the latest up-block, which is still only 7bars young.
While its volume is still a mere slight reduction from the previous one, there is a chance that it meets the median 12 bars and outgrows the volume significantly.
If this were to happen within the next 3 to 5 days, then I gather that things may be looking really good for
ZIL soon, but perhaps not before another occurrence of a down-block.Lending credence to this premise is the diminishing volume of down-blocks.
So are we going to start calling for a potential market bottom?
Not yet, but I do think we are quite close to one.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.