Peterg

What indicator do you think any of these vendors will give you 90%? Do they provide stats on their indicator's performance? Are you aware of how many ninja trader indicators and automated strategies are in the public domain. Are you aware that their are vendors that daily trade their indicators and strategies with real money in very reasonable price chat rooms anywhere from .50 to a 3 bucks a day cost. And you can see them in action and how to implement them. Its all about context, not the indicator or vendor quality per se. Loads of free stuff out there, its obscene.

Actually we ARE talking about reading all the limit orders on the ES book, thats the "depth" in depth of market. My next point was how "time of sales" the actual "tape" of transactions is more important than what is displayed as limit orders; and the histogram gives a better read... a "market profile." My next point was that even the "tape" of the ES, is better than the limit orders, but still does not represent the S&P cash as a whole since there are other associated derivatives SP, SPY and their derivative options contracts. Right the ES does not trade in a pit, but the SP does; and nothing can stop one from buying SP pit and laying off in the ES, or Buying the ES and Laying off electronic SP or the pit or both. Take it a step further and "lay off" off exchange .... across to dark pools. So you dont know the REAL exposure and commitment in the market as a whole...Maybe with the COT report on each Fri. and still its even a week old. So, the depth of market, DOM is best used as an order entry tool ( since some have sophisticated properties), rather than to gain insight as to purposed intent/exposure and direction in the underlying. Finally, one of the best "READ" features of some DOMs are the transaction histograms, but again its just representative of the derivative on the DOM, and not the composite of the underlying.

What is "Shown" on a DOM display is not as important as what is actually "transacted" on TOS(time of sales) as displayed in a chart or the Vol/Price histogram feature displayed on some DOM modules. This Histogram is essentially a concrete "market profile" history and more characteristic of real support and resistance (supply and demand), and consequently more important than the display of "CIC" limit orders. Some software packages allow relative Volume Weighted candles with buy/sell ratios formulas which display fatter candles and Volume Vectors for an “easy read” graphic representation of distribution/accumulation scenarios. There are a number of "TAT" strategies and tactics for trading the various histogram levels being formed. Some are simple and visual, others more complex and use software routines to calculate what is required volume wise to move price to a new level. Then again what is being traded TOS on an electronic product, does not account for what is traded "open out cry" in the PIT, or other derivative products and thus is not representative of the market as a WHOLE.

Hey AKM, Who's capital are you trading? Have you seen the actual statements of any "successful" OTA members, staff or instructors? Have you actually sat down in person with someone and watched them trade their Strategies and Tactics live with real capital on the line. Maybe their strategies aren't your strategies. What markets are you trading and when? Trading is about finding "your" niche and style.

I'm up for the group chat; unfortunately I'm going on vacation on 24th. But I'm interested in participating when I return. So count me in