NYSE UP and DOWN VOLUME = AMOUNT of INTEREST = AMOUNT of CONFIDENCE

let's explain what up and down volume really represents. You'd think that up volume means buying and down volume means selling but that isn't true. Up volume is recorded by the NYSE when a trade occurs on an uptick and down volume is recorded when a trade occurs on a downtick. An uptick means that the price rose by a penny and a downtick means that the price dropped by a penny. Plus remember that at any given time you have both buyers and sellers in the market and that every trade represents both a buyer and a seller. You can't have a buyer without a seller and you can't sell without a buyer. So what the NYSE is showing isn't really buying and selling but rather the amount of interest in stocks rising versus the amount of interest in stocks declining. This confusion with up volume as buying and down volume with selling is very common, but it isn't accurate. Please note that not every order in the market is a market order. Limit orders for example, are executed when the investor's price target gets through the bid and offer and are generally counter-trend orders. Remember that a limit buy gets executed when the current price drops down to the order's price and limit sells are when the price rises to the order's price. So these limit orders contribute to up and down volume but the limit buy order increases the down volume and the limit sell order increases the up volume. For example, let's say that you are looking to buy a stock but you are waiting for a price that is 5 cents under the current price. The price drops a nickel and your order to buy is executed. Your volume is considered down volume despite the fact that you were a buyer.