Daily Trading Volume

  • Posted: 18 July 2011 05:18 PM

    If I am correct that the institutions began bailing on AAPL (at the very least not buying), then it started right after last July’s earnings report.

    For the period April earnings to July earnings 2010 daily average daily volume was 28,935,000 shares.

    Average volume for the period July earnings to October earnings 2010 dropped to 19,053,000.

    Average volume for the period October earnings to January earnings 2011 dropped to 15,209,000.

    Average volume for the period January earnings to April earnings 2011 picked up slightly to 17,753,000.

    Since April earnings average volume has been 14,328,000 (low average of past 5 quarters).  That’s a drop of over 50% from July 2010 average.

    50%.  That’s a lot of head room if the institutions are pleased with Apple’s earnings report Tuesday afternoon.  I believe they will be.

    Wear a hard hat Wednesday.  You could hurt yourself going through the roof.

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    Posted: 18 July 2011 05:32 PM #1

    Greg,  You can’t compare volume from 2010 without factoring in the share price.  Dollar traded should be the metric.  10m shares traded today is the same a 30m in 2010 when the PPS was $125.

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  • Posted: 18 July 2011 05:52 PM #2

    macglenn - 18 July 2011 08:32 PM

    Greg,  You can’t compare volume from 2010 without factoring in the share price.  Dollar traded should be the metric.  10m shares traded today is the same as 30m in 2010 when the PPS was $125.

    That explains why volume dropped 50%: AAPL went up 32%.  Dollars traded daily: $7.54 Billion.

    It would also explain why average trading volume increased 17% during the March quarter 2011, when AAPL increased 8%.  Dollars traded daily: $4.93 Billion (down 34%).


    Yep, I can see the correlation.

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  • Posted: 18 July 2011 06:18 PM #3

    Gregg Thurman - 18 July 2011 08:52 PM
    macglenn - 18 July 2011 08:32 PM

    Greg,  You can’t compare volume from 2010 without factoring in the share price.  Dollar traded should be the metric.  10m shares traded today is the same as 30m in 2010 when the PPS was $125.

    That explains why volume dropped 50%: AAPL went up 32%.  Dollars traded daily: $7.54 Billion.

    It would also explain why average trading volume increased 17% during the March quarter 2011, when AAPL increased 8%.  Dollars traded daily: $4.93 Billion (down 34%).


    Yep, I can see the correlation.

    Gregg,
    The numbers in your penultimate sentence don’t compute—why would dollars be down if volume and AAPL price are up?

    Alan

         
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    Posted: 18 July 2011 06:34 PM #4

    Hannibal - 18 July 2011 09:18 PM
    Gregg Thurman - 18 July 2011 08:52 PM
    macglenn - 18 July 2011 08:32 PM

    Greg,  You can’t compare volume from 2010 without factoring in the share price.  Dollar traded should be the metric.  10m shares traded today is the same as 30m in 2010 when the PPS was $125.

    That explains why volume dropped 50%: AAPL went up 32%.  Dollars traded daily: $7.54 Billion.

    It would also explain why average trading volume increased 17% during the March quarter 2011, when AAPL increased 8%.  Dollars traded daily: $4.93 Billion (down 34%).


    Yep, I can see the correlation.

    Gregg,
    The numbers in your penultimate sentence don’t compute—why would dollars be down if volume and AAPL price are up?

    Alan

    I can’t find the gentle sarcasm smiley, but I think that is what Gregg is after here….

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