TinGull

Nice dalby. After I got back from lunch took a quick short off VAL at 133 for 10 fast ones. nailed 10 earlier from the rejection of 12100. Good trading!

And then like today...we shot right back up into value. And now we're out of fridays value...it's really a convictionless market at this point.

First, I'll see how the auctions first develop. Are we having an open test drive? Open drive...whats the confidence in the opening? If it's strong, I'll look to play downside moves. If confidence seems weak, then I'll look to play upside moves. Right now, the market is showing strength. YM is far off it's premarket lows. It hovered at daily S1 for a while this morning after going down to around the S1midpoint. I'll still be looking at 12117 (single print buying tail) as 12133 for some resistance levels if we get up to that point. Otherwise...using daily and weekly and monthly pivots to hold the game up.

Before I formulate an elaboration...how weird!! I was re-reading that section last night in MiP. So weird...

The latter of the 2. When price makes it's way up there searching out buyers, I want to see if those buyers are going to participate and bring it further up. If price stalls there, then buyers aren't willing to push further, and the decline should start to come into play.

I'm referring to an area like the boxed in one on this pic...the area certainly includes the POC, but also the area around it. Basically "the mean" area.

Just wanted to follow up on this and see what the high of the day was Friday...12254. Exactly in the middle of the range I had talked about before. Price wanted to get back to where it was last heavily traded at. The YM seems to be a perfect specimen when looking at price opening above or below a fat profile area and reverting back to that price. It happens soooo often.

I think, too, that with the high turnover of market participants, an edge that might have been given out will still remain an edge because those participants who might use it won't use it in the same way as you...and will get discouraged and go on to find the "next best thing" in their quest. As Paul said, a discretionary edge is a very difficult one for others to "get" even if you give them exact parameters.

dalby, yes, IRT MP charts They are the exact same charting platform. The same guy writes the code. And I'm excited to watch more on the single print action. I love learning new things!!!

Excellent stuff, dalby. This is exactly how I trade, too. One thing that I took special note of in yesterdays action was the single prints inside the profile of Thursday. Note how the POC (both time and volume) are right there. Price loves that spot as well as where C came down to the B period and stopped. Those two were great levels yesterday afternoon. I never had really put importance on single prints until yesterday. 12117 as well as 12254 will be important levels to watch. 12254 is the area that stopped price in 2 auction rotations and and 117 is a single print area.

Very interesting idea...I've never heard of anyone wanting to do that sort of thing. So...if I'm understanding correctly, you want to be able to input prices that haven't yet traded, just to see what the profile would end up looking like if the prices do trade there? What insights would be gained from this sort of thing? I'm intrigued

Hi Gomes, I've known only one other person who's had Market Profile in an excel spreadsheet, and that was inputted by hand. Out of curiosity....what learning and testing are you looking to do? There may be things that either I or others can run for you. Chris

What was the bid on the spread?

Alright...because I'm getting to be a sucker for good trade location....check this one out. This was an area I was watching today. We had a little confluence of single prints, one being a buying tail and the other being a bunch of singles inside the overall profile. Notice with the green line marking those S/R levels on the profile, YM's price nailed that line and only dropped a few ticks below before buyers shut the selling down and lifted YM for almost 50 points.

Very nice trade king!!!!

Thanks keymoo. I've just about finished the book now and...wow! This is amazing stuff. As Soul said...not for the first time Market Profile guy, and Dalton even states early on the book...if you haven't read Mind Over Markets, do that before proceeding. Very insightful and really has laid a better foundation to my market understanding.

Dude, shouldn't laugh at Mr Norris. He'll come to you in your dreams and give you a roundhouse. Man...that double oozi pattern killed your market, Mr Norris.

Thanks Soul I enjoy making them! Yesterday, you and I both spoke of the short covering during the day. What happened this morning? Sold off premarket very hard. Would've been nice to have a short in place overnight...even if just 1 car. Nice reward for sleeping hehe. Tomorrow, I'd expect a little of the same. We certainly could see selling in the morning, but quite possibly a reversion to the mean. If that doesn't happen...the only other alternative is...TREND DAY!!! We could build new value much lower.

To follow that up...what could we look for TOMORROW? Hindsight is always nice, but let's lay it out on the line here. What we saw today was a rejection at the lows with balance at the top. This would lead some to think...higher tomorrow. Perhaps. I would look at it differently, though. Value placement was lower, though overlapping. BUT, value was placed lower than even on the heavy selloff we had the other day. This leads me to believe that we could auction lower still. IF we do auction higher or lower...The 12230-12270 area is going to act as a magnet. Price will most likely want to revert to the mean, which is right there. POC for today is ending up at 12241. Notice there that the yellow lines on the right of the profiles (value) is moving lower. It's interesting to look at it that way. We didn't have enough fresh buying to move us further into value today, and that isn't a bullish sign.

I'm exactly the same. Work now play later. I need to figure out how to get into a meditative state. I've tried many times, but it's so hard to clear my mind...mostly clear it of candles and lines....

Today was a fabulous day looking at auction theory. Yesterday we had a late day spike to downside, shown at the P period on the left hand profile. Noticing this late day spike downwards, we want to look at the open for continuation of that auction downward, or a reversal. So, this first chart is of the close yesterday and the open this morning. Notice how A period auctioned down, but failed to bring in more sellers. B period began to auction past the open, but couldn't manage 20 ticks. This is an immediate eye opener that the downward auction can not continue. Fabulous trade location would've been inside the 12140-12160 range. A potential exit? Value Area Low from yesterday. Why? Chances are that if we're holding outside of value, people won't want to see price advertise back in value. They've worked this hard to bring it lower, why give that up? As you can see, that trade location say at 12155 would've netted 70 points within 30 minutes. Market Profile is an extremely useful tool to help locate amazing trade locations.

When the auctioneer is trying to sell Elvis's last peanut butter and banana sandwich and starts the bidding at 12270 dollars, there's a little interest, yea? Right..just a little. It gets bid up to about 12300 dollars, and then no one is interested in it at that point. Why? Too expensive for their taste buds. Then, when people aren't interested at that point...the other bidders think to themselves, "eh...that really just doesn't look tasty anymore. No one else wants it, why should I?". So the bidding goes down, and down, and down to find some buyers. Any takers at 12266? That was valuable at yesterdays auction for some Elvis toast spread with honey! A few people want to get in on it, but then...interest really dries up. No volume at those higher prices. Overvalued at the moment. So, the auctioneer sends his price lower to see if anyone is gonna be a taker. Eventually it gets so dirt cheap, that someone says "FINE! I'll take it just to not hear your voice anymore!!". This is what happened on the YM today. Notice in the blue circle that volume dried up. There was about half the volume in that 5min bar with the red dot than there was in the prior bar. Buyers are no long interested in this contract. So...price auctions lower. Price is simply an advertisement for the contract. A lot of people will get too caught up in the price of something...priced closed at the lows, closed at the highs...That doesn't matter! What was the perceived value of that contract for the day? For the hour? While price may be king, value is the Kings constituents who can overthrow him so they choose.

MrPaul had sparked up a conversation this afternoon in the chatroom that Soul and I were there for...don't know if anyone else was...but it sparked a fire. I'm relatively new to trading, been doing eminis for about 6 months now and been a student of Market Profile for maybe...3-4 months. I'm not well capitalized, which was something that was said could be a severe crutch for traders. I wanted to write a little story about things that I've learned, the insights I've taken from many of the forums and groups I've hunted around with. Passion is the first thing that I think traders need to have. Really, any entrepreneur needs to have passion for what he does. I think I've got drive like few other newbies have. I know I want to succeed, I know I need to succeed. I was a salesman in my previous gig and that got me into the power of positive thinking. Knowing that things happen when you're positive is something very powerful. Trading is very, very, very difficult to "get" and few do. I think sales was the same way. Having to mine for contacts for hours and hours over the course of weeks, and months...until you have a client base to support your living. It was a probabilities game there. Make enough phone calls and someone is bound to buy something. Sound familiar? Sure enough! Make enough trades and some are bound to win. Knowing when to cut the phone call loose if it was a dead lead was of super importance. It was my stop loss in sales. Trading can be thought of the same as many endeavors. There's chance, risk, hope, calculations, perseverance, sweat, tears....you name it, trading will give it to ya. It has to me. The biggest insights I've got...love to learn, love to dream, and love to focus. As hard as the focus part is...it's a must.

Perfect setup. It did look like price wanted to go further into value after the buying that came into the market. Watching the net selling at that level told it all, though.

anytime