Cubes Update – Churning

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Just a quick post to note the intraday reversal and close in the lower half of the day’s trading range on above average volume. This is important because many people will simple see the higher close and think all is good. Some will notice the higher close and higher volume and think all is very good. However…


… the close in the lower half of the range on higher volume is called churning, and shows distribution going on even though the market closed up. This is an excellent example of why candlestick charts are much better than most other commonly available charts. Cheers! PS: Today’s candle is called a spinning top and warns of a change in trend when it comes after a move up or down. We’ve had a 7-day move up.

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