Can Someone explain the significance of Deliverable volumes to plan the trades for buying/selling?
What are good nos? To analyse the volume impact using % of delivery volume of a security.
If someone help to categorize it by increase/decrease in %of delivery volume in uptrend and downtrend.
If any average methods to use??
Thanks Karthik for the promptus reply.Glad to find u in taking effort for answering.
My Questions was related to Deliverable volume, but the chapter on volumes is related to traded volume.
I was looking to find some added insights for Delivery Volume, that’s is why I posted this Question.
To keep it simple, the chapter on volumes ha a table on “how to use volume information” which is very useful.
My question is if we can play some analysis on % of delivery volume with price change info.
Higher Delivery Volume with increase in price indicates investors interest in the stock.
Same in down trend. If Higher Delivery Volumes and decrease in price indicates down turn.
This can be confirmed with FnO data and can take positions.
At present. INFY, TATASTEEL, NMDC are in down turn with high volumes.
CONCOR RECLTD, PFC, PEL, are in strong Uptrend.
you can see charts of the above stocks.
The above image is from NSE WEBSITE.
The general assumption is that the higher the deliverable qty, higher is the bulls conviction that the stock price will go up over the following trading sessions.
Frankly, I’d pay little or no attention to this. Many may have bought the stock on a BTST basis with an intention of selling at the following day’s open. Transactions such as these will also get reported as a high % delivery.
That was edging knowledge to gain from the discussion.Thanks haribabu and Karthik for giving ur insights.
