If you want to learn just about everything there is to know about incorporating volume in your tradingÂ or investing you’re going to want to pick up a copy ofÂ Investing with Volume Analysis by Buff Dormeier. The author is a Chartered Market Technician (CMT) and an experienced money manager andÂ he’s pulled together for this book a very comprehensive collection of volume studies and indicators, including some of his own devising.
This isn’t just some encyclopedia of volume analysis tools, though. There is considerable discussion of how to implement them, including studies demonstrating their performance. The author also discusses recent developments (high frequency trading, etc.)Â in the markets and their impact on volume and the analysis thereof.
My one issue with the book is that it has the feel of a manifesto, especially early on, and there are some religious undertones which may bother some readers. Most of that stuff is in the first few chapters which provide some background and historical perspective of volume and technical analysis. At times I found the reading slow going through that section, though itÂ gets easierÂ later.
All in all, I found this a very useful book. If you are looking to use volume in your trading/investing and market analysis, this is definitely the book for you.
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About the Author
John Forman, author of this blog, has traded for more than 20 years, is a professional market analyst, and authored The Essentials of Trading. He is an active participant in trading forums, consults for trading related businesses, as published literally dozens of trading articles, and has been quoted in a number of books and in the media.
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