There are many technical indicators for traders to choose from. For Carter Worth, there is one that stands out above all others: volume.
“A lot of charters don’t look at volume. They say it’s all in the price action. … But volume is the essential criteria,” Worth, the founder of Worth Charting with more than three decades on the Street, told CNBC’s Dominic Chu in this special Pro Talks discussion available to all readers. “The study of volume and price volume correlation is the single-most important thing one can do if one wants to engage in pattern recognition and studying price action trying to profit in the market.”
“[Philosophers] Camus and Sartre would argue that existence precedes essence, and in markets, volume precedes price,” he added.
(Pro subscribers can watch the full interview here.)
In this interview, Worth talks about:
- How his career in finance began
- His approach to chart analysis
- The importance of a defined time horizon for investors
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This article was originally published on CNBC