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Tag Archives: trading volume
technical analysis for covered call writing

Volume Versus “Deliverable Volume” Explained and Analyzed

Trading volume is the number of trades for a security in a given time frame. On a chart volume is typically represented as a histogram (vertical bars) and represents a confirmation or lack thereof of the other technical indicators. For example, if a moving average breaks below support on high volume, it is more significant […]

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Screening stocks for covered call writing

Stock Exchanges: The New Way To Calculate Trading Volume

In the BCI methodology for covered call writing, we require an average minimum daily trading volume for the underlying security of 250,000 shares or more. This is important because it increases the likelihood of favorable trade execution pricing and decreases the chances of price manipulation characteristic of highly illiquid stocks. For our premium members the […]

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