MC

Great stuff James. I noted both those points in my chat today as I was tracking SPY and practicing on a 5 minute chart oddly enough. I faded both times for a scalper and an attempted trend freebie. First one no trend trade, 2nd one did well. I still am interested in MP but can't afford a solid setup with data at this stage. I owe alot of what I know to TL. I combine VSA with other things I've picked up here and elsewhere. It's nice to finally be feeling the action instead of seeing it.

Subbed means...Subscribed to see what you or others report on gaps. So from your studies middle of the week is the time to fade it seems. I'm curious of any psychology behind the gap moves if you guys have thoughts. On stocks they use gaps to keep you out of the move often, not really the case here. I know gaps on indices tend to be like black holes when weakness is shown and they gravitate to filling the open gaps. Kind of like how virgin POC tend to be tested at some point. Just throwing some random thoughts out. :missy:

Interesting...subbed. The only part I don't get is the 8 point or larger...this is the ES I presume and not the YM correct?

Good post. Plus a math based strategy that worked yesterday or even at 9:30AM today won't always hold up tomorrow, todays close etc... Every tick in the market is a unique event in a quirky kind of way. I'm learning more and more every day which is awesome. End of October will be 2 years for me so I'm a baby to the game still. I am getting to the point where I realize some indicators/internals are needed to help tilt the odds. But the core and trigger needs to be price action or what you see on the chart directly. It's hard to put into words what momentum "looks" like because when you've paid your screen time dues things start to "feel" more than "look".

I haven't used Ninja since a demo way back. What's your data feed? You need to check with the data provider to see what their tickers are for internals, assuming they give you them. I run Think or Swim for those charts. Free data and platform with an account of $3500 or more. They give internals, stocks, options, futures, some forex. I really like the setup though it's no where near as customizable as NT is. I really miss my Tradestation platform, though as a broker I was not happy with execution.

I know I wasn't asked, but my 2 cents is I prefer the VIX. TRIN often moves range bound where VIX tends to move more with the market (though inversely). The above actually shows the exact same days and time frames on both VIX and TRIN. You tell me what you see better through. I do use the TRIN to look for extremes (2.0 and .6) This is another tool I use to look for false breakouts. You can see how the up or down volume reacts to the range breaks.

You're telling me you've jumped into trading for a living after about 10 months of experience? :\ I hope you have deep pockets, or you have next to no living expenses. Otherwise without sufficient resources you'll probably find yourself pressuring "just one more trade" and maybe throwing money management to the wind so you can afford your bills that month. If you've been profitable from October and all the way down I'd say that's a nice accomplishment for a new trader so hats off to you. If you have the ability to jump all in like this that's cool. I wish you luck and hope it works out for you.

On trend trades...to try and max profit out thinking you know when the trend will end means you can pick tops/bottoms. It dosen't work that way, not enough to be consistant anyhow. Take the trade, stay in your timeframe and execute your trading plan all the way through. I've been guilty of changing timeframes only to find an excuse to override the trading plan and screw up the trade. I try to use fibs, trend lines and/or swing levels to attempt to set stops and to see when a cycle has broken down. Don't trail stops too agressively, don't try to pick a top, and be willing to risk some unbooked profit for the chance at even more of a gain. If you're on a trend trade with at least a break even stop you're executing a free trade so just remember there's no way to screw it up. Side note on the single timeframe comment above...I use multiple timeframes to filter for directional trades, but once in a trade I feel it should be executed from start to finish in the same timeframe. I still look at other timeframes to see where broad support/resistance is but that's used only as a warning sign for me. All JMHO.

I don't see chop on this indicator...That's precisely why I'm saying it's helpful. With some indicators it's about what you don't see. If you were watching say the SPY (see below)...you had a period of chop from 2:15 till about 3pm Friday. Hell you had a range break upwards so some got sucked into going long there no doubt. If you were looking at this indicator, you would have been pretty assured that the trend was still down and should have kept out of the long range break.

Done. Good thinking.

OUCH MY HEAD! Good info but very hard to read bud. The caps on every first letter and no spacing makes that very cluttered to read. I think many would benefit from what you said but wont take the time to read that as it is. MC

WOW. How above that 12:1 closing strength of the DVOL? Mid day there was some price action chop but all in all this should have helped you stay focused on trending short trades and scalping long trades if you even had the nerves to attempt a long.

Thanks...just making me want to get into MP some more. I only know the bare basics and have no platform for it yet either.

No clue, I'm no coder. My mind isn't good for that type of stuff once it gets beyond "if/then" complexity. I do however have a knack for psychology and love that aspect of the market. Keep in mind I'm a newer trader (under 2 years) and I have plenty to learn still. :o I think Kiwi gave a very accurate comparison of newer traders and those raking in the cash. Pure systems and indicators are hints, but fully understanding the psychology behind the market movement is crucial. No set of indicators or basic system could ever give you that. IMO Discretionary with MP and VSA and any other mix of things to tune you into market sentiment and then systematic execution on your interpretation is the way to be timeless and profit from the market forever. Seems that black box systems would need to be tweaked or totally redone under different market conditions (the market is ever evolving). Look at volume alone from the last 10 years, as more people come into the market indicators present new patterns. So to attept to produce an eternal system you would have to find a way to code discretion and interpretation of market sentiment. That's one hell of a tall order if not damn near impossible IMO. NOTE: I'm not saying basic system based trading can't bring profit. I just feel systematic execution on a discretionary interpretation of events is probably the most profitable and long lasting strategy one could develop. Either way you can expect to put in a ton of screentime and/or a ton of coding time.

IMO yes, people sell systems they don't trade for profit. Who's going to sell their true edge really? We have a few members here that are hardcore coders, I would bet that their 100's if not 1000's of hours spent programming a blackbox system will never be up for sale, at least not if they are still working. I really intended for my main point to be that even if someone was to sell a legit edge... "Good execution can save the worst strategy, Poor execution will destroy the best strategy" In other words, the execution and discipline of the trader is often the difference between winning big or losing big.

Well the thing is unless he can code your mind you're not going to get much out of a canned system. The market is dynamic for one...add to that the mind is the real key to winning the market and I think you'll see why BF was so sarcastic in his reply. You have to develop a profitable plan that fits your mind and trading goals and then execute. One size does NOT fit all.

I'm posting less on the web, but I'm still reading so keep up the good work.

WOOOOHAH! Missed ya here. Welcome back Walt, lookin forward to your new work.

Keep us posted. On my divergence counter trend backtesting, I often got an opposing signal as the reversal was impending. Then again I found that the false signals often left alot on the table. If there was a clear trendline break I used that as an exit off divergence. If no trendline was holding up I would then use the last swing level as the exit trigger. On a free trade it seems you have to be willing to not pick a top and risk some of the unbooked profit to get the continuation moves which often are quite explosive.

Gotcha, almost scalping with in and out moves. In this market climate not a horrible idea perhaps. I think consolidating below the 200ma is often bullish. When that breaks it's often explosive with so many stops above that level ready to buy and/or cover shorts. Keep up the good work bud.

I have to ask...VTIV you're risking about $4 to make $2? MENT I like, I'd love to see it bust that 200sma first though as it's backed by a swing low as double resistance. Of course they could gap it or even push right through quickly so an aggressive entry here could work, just not in my trading plan. DD broke the trendline and I'd like that $48 level to get short like you said. The targets you give, are you scaling out there and holding some for a shot at the bigger moves? Cause those targets are sound first targets but don't give me the risk to reward ratio I look for. Just my 2 cents...good luck.

Subscribed...can't wait to see the charts. Also can you shed any light on what you scanned for, without giving the scan away of course. This has to be my new trading style since I can no longer daytrade at work.

Did they shut that down? It now asks for a password, last night it wasn't asking that.

Of course we are all adults and can behave though right? :crap: It takes 2 to have a pissing match, if one walks away and is the bigger man then the other is left with no reason to continue the BS. Also James is a busy guy I'm sure, it's not like he can add a web code at someones beck n' call. I would ask you to be more patient and less demanding. Thanks, MC

Gotcha, I just glance and pick the titles that appeal to me other than the ones I'm subscribed to. But I agree that 152 unread posts is daunting each morning. :missy: Just don't ignore any of my threads and I'll fix it for ya. :o J/K, I have no access to the settings as a mod. Only Admins can do that stuff.