Gauging Mobility with Price Distributions by Mel Widner, Ph.D.
ARTICLE SYNOPSIS ...NEW TECHNIQUES
With Price Distributions
The price distribution function, which analyzes the distribution of prices over a lookback period, is useful for predicting price mobility. Here's a new method called the mobility oscillator that will allow you to do so. By Mel Widner Ph.D.
When prices remain about the same for a given period, that indicates that, essentially, buying and selling
pressures are in balance. If this persists, then the area of price activity represents an area of congestion. Since traders often place stop orders, take profits and open new positions based o...