monad

18TH MAY EUROSTOXX 15MIN Over 100pt move and still going, what more can we ask;)

Traderjean, you are right, it is not volatility per se, we want markets to move and not be dull, guess the right word would be spikey, choppy on individual bars, otherwise both Dax and Eurostoxx move in tandem with each other in the morning session and then with the ES in the afternoon session. Slippage and being stopped out is the main problem with Dax. Last year when the prices were tumbling, there was much more vol, and less of such problems, With Eurostoxx, the volume is consistently high like ES, hence this is not much of an issue.

Besides profit/commission, the other crucial issue is the timeframe you wish to focus on and the risk factor i.e stop loss and slippage. Dax being volatile, you are likely to get more slippage and get stopped out more often unless you employ wider stops in which can you take on board more risk. The average range on Eurostoxx is approx 70 compared to 140 on Dax. Hence there are enough trading opportunities on Eurostoxx. Don't be fooled by the wide range of Dax. It appears enticing but can deplete your account fast. Finally there is no substitue for experience. why not try out a simulated platform but remember on these, you may not experience slippage etc if you enter orders on Dax for example -different from live platforms.

Dax indeed does trend well, however it is pretty volatile and if you read another thread on the subject here, the volume on the DOM i.e orders on the offer and bid are not great (20-30 average) and overall the market moves can be pretty volatile. You would be better off with Eurostoxx where the liquidity on the order book is very good, behaves smoothly like ESmini and though the point move may be somewhat less than Dax, you can always increase size to compensate for that

"Asinine Remarks" - talk about language, You persist in being unnecessarily confrontational whilst all the time I am trying to be civil in keeping up with the ethics of this website. Quite capable of responding robustly but it will be pointless for you have already assumed (or possess clairvoyant powers) 1. You are the Master here and in charge of this thead.(which you are not) 2. "I have not read the book" whereas in fact I have gone over it during my exchanges with WHY? so many times and have detailed notes with the relevant patterns for my reference on each day of trading. 3. Unfortunately you are laboring under the delusion that you have made a unique contribution here and any newcomer reading the aforementioned discussions with WHY? and Richbois and Hakuna etc would have nothing to gain.. Infact those very discussion which I had with these guys would motivate and enable a newcomer to gain more knowledge and clarification on the Taylor Methodology. But as I said this is getting us nowhere, as it is, there are not many participants on this thread. I am perfectly happy with what I do, you keep posting what you like. I have nothing much to discuss with you anymore. Finally refer to Taylor's Book, Chapter 2, p15 "We are not concerned with how the book started on the first day, whether it was a Buy, Sell or Short Sale. The book is always kept in this order, never change the continuity and there are no lines left open for Sundays or Holidays, the market is considered as a series of continuous sessions without a break.

It is really pointless being at loggerheads on this issue. It is not about "other people's method", it is about this thread "Taylor Trading Technique" if somebody wishes to adhere to the 3 day cycle year in and year out, you cannot impose your variation on to that person just as you do not want the other person to dictate to you. As I have stated like WHY? and Richbois in particular I believe has been doing so successfully, I like to follow the Book Method and is working fine for me, for in the final analysis, it is the tape reading skills which I have acquired over many year's study of Wykcoff/VSA/Pivots etc that determine the entry/exit and consistent profitability on intraday trading basis. Hence lets just leave it that, shall we In leaving, a Quote from Taylor's book, Chapter 1, p.14 "The trader using the Book Method of trading has a choice, in that he has an Objective for each trading day or he can use the Three Day Method, that of buying and then selling every third day. This Three Day Method is explained in a later Chapter." You prefer the 3 Day Method, somebody like Dogpile prefer to employ Linda Raschke or G. Angell take on Taylor. In short whatever jingles your bells, I have no problem whatsoever with that:cool:

1. It is not a question of WHY? or Richbois dictating their cycles, what they emphasized was as per Taylor , once a book is started, it does not benefit to keep tweaking the cycles. Richbois has I believe kept a book since start of 2008 and conducted statistical analysis on this matter ie. shifting the cycles and established that it did not materially bring about any increased value. 2. If you wish to superimpose your own variations, whatever jingles your bells, nobody is stopping that. Afterall G. Angell and L. Raschke have done the same, but that is not strictly Taylor's Methodology , is it? As for bringing perspective, I stick with what I have learnt from WHY? and Richbois who both IMO have indepth insight into the Methodology and that in conjunction with my own study of Taylor's Method and Rules has taught me the need to adhere to the principles and has proved profitable for me.

As WHY? and Richbois have explained, it is better to stick to the cycle depending on when the book was started and not to keep switching. Then the rules work fine, otherwise it just ends in confusion overall. QUOTE FROM WHY? "just follow Taylors rules when employing the daily tactics. Be ruthless in this. Sure, following the rules will inevitably cause you to miss out on some moves but you will also save your hide when things go wrong and you lessen the chances of being caught with your pants down. It is all about having system that puts the odds in your favor and FOLLOWING that system. It takes a heart of steel and a disciplined mind" and again as Eiger has posted on VSA thread it is better to use the word "Anticipation" rather than "Prediction"

If you are keen on trading currency why not trade Currency futures (CME) a regulated market and where true vol is reported, VSA principles will work just as well and the moves will be in line with forex, only less spikey.

Yes Blowfish, Dax has tendency to do just that, found it easier to trade during latter half of 2008, when prices were tumbling, it was easier to get on(short) any retracements on low vol. However introduction of Daxemini should improve situation when more traders participate as in Eurostoxx. Ftse used to be spikey as well, even now there are not many orders on the DOM compared to Eurostoxx.

Sooner the better, Daxmini will certainly reflect any moves on the FDAX , yesterday FDAX plummetted nearly 200pts.

One of the chief representative of the Eurexchange was in the webinar held by Infinity on Eurostoxx and she stated that there were plans to launch Dax emini which would be 1/5 the size of the full contract , she did not mention the exact date, presume they want to see more liquidity in that market compared to what it is now.

Looks like Eurex is going to launch Dax mini, 1pt = 5 euro. perhaps volume will pick up then.

Anybody interested in Eurostoxx, seminar being held by folks at Infinity using Market Profile and Price Action, Contact www. Infinity.com To start in about 10min last for 90min 7th May.

If this is a Buy day and considering only day session, surely a gap up past yesterday's high calls for a Short according to Taylors Rules.

Interesting take although not connected with trading Personally don't belong to any particular faith or have bias to any belief system, but more towards logic/science and More interested in trading and my own peace of mind:) and peace amongst various nations on this precious and unique planet however is it not possible that others who would be located on the same latitude around the globe may also come to the same conclusion about their own particular location. And then there may be some in the Southern Hemisphere ie. South America, etc, on a particular latitude and will calculate only in reverse to establish certain locations pertaining to this ratio. Infact there are claims of advanced civilisations and visitors from space in parts of S.A. Then there are places in South East Asia with similar constructions as in Egypt. and to top it all , the tectonic plates on the Earth's surface are in perpetual motion and in a few million years the locations would have shifted. Could not all this lead to controversy???

Get hold of : 1. High Probability Trading by Marcel Link 2. Techniques of Tape Reading by Vadym Graifer et al Latter is not about time and sales but more on how to read price /volume and keeping it simple to a few setup Then focus on the Wyckoff forum , study the case history (1930-31) by Wyckoff (pdf file available free) and get Dbphoenix's publication in form of an e-book. This will provide great insights into price and vol relationships. Then there is also Brownsfan forum on candlesticks where simple setups have been illustrated. and most important of all 3. Trading in the Zone by M. Douglas, this is 90% of this business, total understanding of probability and uncertainty of markets is paramount, ignore this aspect at your peril, you may become an expert at all the technical analysis and be able to read price/vol bar by bar like those at Tradeguider, however without the right mindset, well............... This should keep you busy for a while. Finally you could learn about Taylor Trading method, his book is pretty difficult to slog through, however there is enough here to get you started. This will allow you to plan your strategy for the day in advance and focus only on certain setups as per the rules for a particular day ie. Buy day, Sell Day or Short Sale Day. But once again reiterate first learn some basic from previous books , this comes later. That is all you should ever need. Remember it is all about keeping it Simple. Intraday trading is difficult as it is, burden yourself with all unnecessary info. and you will suffer from paralysis. All the best

Did you get your short trade elovemer today

After many years in this business, my best advice, try to focus on understanding price/vol relationship based on Wyckoff's original teaching(Supply/demand Effort/Result), there is enough material on the Wyckoff forum for that, keep clear of getting mired into professional/dumb money , buy/sell vol etc for the time being, however if you are bent on pursuing that , well then, all the best to you.

Guess they wish to keep it pure Wyckoff, devoid of the various other terms like jumping over the creek, breaking the ice etc which is not in the original Wyckoff. Folks at ltg-trading.com also employ these terminology, VSA lot have their own, so really having a separate thread in another forum for discussion should not be a problem. However if you keep on about the newsletter, then obviously this will be construed as exhorting traders in here to subscribe.

Programmer, on dax, the market is thin in the first hour prior to opening of the Cash market, then next couple of hours from 9-10.30,11, there is enough liquidity. Vol peters out during the lunch period before picking up as US session opens. Once again 14hr-16.30, enough liquidity and then vol decreases. So really trading during those 2 periods of nearly 90-120mins should be no problem.

programmer, Which trading platform you use for trading Dax and also what timeframe intraday. Have you tried futuresbetting.com in London, unlike spreadbetting, the orders go through the normal exchange, however the advantage is on capital gains tax.

excellent video, the only downside is the constant interruption by the woffling interviewer, and his moronic statements, butting in without just sitting back and letting the Master explain the concepts. He just can't wait to get in and come out with his take

elovemer, Frank does not employ terms Buy Day, Sell day etc, however as per the count in here 16th April would be Buy Day and on my chart, the market opened above previous day high, hence first play was a short as per taylor albeit a reaction play

Frank, Would you say yesterday 15th April, the market opened low, traded towards the close of the previous day, and then took out the morning High later in the session. OTOH today the market has opened higher as the high was made Last yesterday, and then traded towards yesterdays close. Infact this would be a classic Buy Day short on a High made Last on SS day as per Taylor