The Way to Trade the Emini.

[steve46 12]

Sorry to be late in replying. Frankly I was taken by surprise Ammo. In your post you start by saying "one of the first things you learn in the pit..." and I assumed you had been there....If that is so...Ben's office is nearby in an office (they remodeled recently so his location may have changed), his business is called "Traders Audio" otherwise known as "The Squawk". He "calls" the market action from before the open (indications) to close in a style similar to that of an auctioneer. Reading "the Squawk" is simply getting used the idiomatic phrases and terminology that is used to describe the action. Naturally it speeds the process tremendously if you have experience work in or around the big pit, the options pit, or perhaps the bond pit. A person familiar with how business is transacted there could listen to the broadcast and do very well. On the other hand, I think it would take a newbie a while to learn to decipher the calls. Like most things in life, it depends on your skills and background.

Edited October 25, 2008 by steve46

[minoo 11]

You can try out, Ben Squawk speak on Youtube

Several recent past recordings here

 

http://uk.youtube.com/user/tradersaudio

[ammo 10]

thanks for the link minno,steve, at the cboe from '78-91

[Guest biswayroop]

Thanks guys, yeah once i get the basics down going to start the grind of screen time. That's why i love ninjatrader so much, i just leave my pc on the entire day while at work, then come home and replay the day's action tick by tick and paper trade it.

[Ants88 10]

  minoo said:

You can try out, Ben Squawk speak on Youtube

Several recent past recordings here

 

http://uk.youtube.com/user/tradersaudio

 

I agree, Minoo. The fastest way to know how and when to act on the ES is to listen to the SP squawk, and Ben is the best.

 

http://www.youtube.com/tradersaudio

 

http://www.youtube.com/SquawkAnalyzer

[ammo 10]

  BlowFish said:

That is an exercise I have done many times over the years (except using 50 as a filter on the ES). As I said above nothing really 'clicked', sure you see patterns but there always seems to be two possible outcomes.

 

As an example, sometimes you see a 'wall of support' at a level. This will sometimes hold sometimes break. Just to confound things sometimes it breaks for a few ticks to have the break firmly rejected and then the price subsequently hold!!! Sometimes I do get into the 'flow' but other times it confounds me. I have never managed to quantify things in a meaningful way.

 

Maybe I am just daft or my brain is 'wired wrong' for this.

 

blowfish,if you watch market profile these bids or offers that hold fo ra part of a day are broken 80% of the time so on a break u can buy or sell and grab a point or 3 and see if the move continues,it is usually in the case of a bid , a house holding up the price so they can distribute,buy 1 sell 1.5 or 2 or 3,it's usually disguised pretty well but if u watch the uvol/dol on the touch and the move away from the touch it's more often than not a divergence and a good fade

[NeoTrader 10]

  ammo said:

blowfish,if you watch market profile these bids or offers that hold fo ra part of a day are broken 80% of the time so on a break u can buy or sell and grab a point or 3 and see if the move continues,it is usually in the case of a bid , a house holding up the price so they can distribute,buy 1 sell 1.5 or 2 or 3,it's usually disguised pretty well but if u watch the uvol/dol on the touch and the move away from the touch it's more often than not a divergence and a good fade

 

Ammo what is it you mean by "touch" ?

The support or resistance level?

[ammo 10]

on fri,2/13 there was an es bid of 826 that was the low til 12 :30 -1 pm cst,we had been there 4 times and stopped,thats a ledge,when i see a ledge i suspect it will not hold,each time we approach it if u are watching the uvol/dvol ,when we were at 828-831 the uvol was 140 and the dvol 260 ,or a 7 to 13 negative ratio, i shorted 28 for a sh scalp and watched that ratio,i was willing to cover at 26 but the ratio kept getting worse,es went to 822.75 and the ratio started to reverse ,i covered 24.50,didnt catch the bottom,but the fact that the ledge would most likely be broken and the ratio was working in my favor,this became a high probability trade,the touch i mentioned was the ledge at 826 would continue to keep being touched

[NeoTrader 10]

I see what you are saying. Thank you

[minoo 11]

Ammo its interesting to note that 826 is Value Area Low for the next trading day

Today (Mon 16th) is holiday so still valid for Tues 17 Feb

 

My battle line was 825.50.

Lets see if Globex-only to preopening action retraces some of the lost ground

ES now at 810.50 EST 19:45

 

Value Areas from below URL

http://www.mypivots.com/forum/topic.asp?TOPIC_ID=3681&whichpage=3

 

Trade Well

Minoo

[bizfun07 10]

Hello!

After reading your advice, I would like to learn tape reading. I am completely new to tape reading. In fact this is the first time I came across tape. Could you tell me briefly what is tape reading and where can I learn more about tape reading.

 

Your advice is very much appreciated.

 

Thanks.

 

Lee

[BlowFish 10]

http://tinyurl.com/bstvql

 

I've been dying to use that for a while now There are some decent threads here at Traders Lab also.

[mike21 10]

  BlowFish said:

http://tinyurl.com/bstvql

 

 

Now that's funny. :haha:

[great1one 10]

Rollover Beethoven...

[cipher4d 10]

I feel most would argue that to "Tape Read" one must look at the time&sales/DOM but in thread Zdo posted, Soultrader seems to discuss his tape reading setup as a visual indicator rather than a setup based on numbers/bidask size.

 

"As price approach a key level, watch the tape carefully. What you are looking for is a quick price rejection on the tape. Preferably 1-3 prints of a certain price and then a quick rejection back down/up. For example, if my key price level is 12100 on the dow mini's, I want to see 1-3 prints of 12101 then a quick rejection back to 12099, 12098, 12097. etc..." - Soultrader

 

This setup Soultrader talks about is something that can be viewed from any small timeframe OHLC/Candlestick chart. My point is that you might be tape reading even if you are not watching the prints and/or DOM.

 

  brownsfan019 said:

Like I said, never seen anyone able to do it in real-time with real money. I've read plenty on it.

 

A trader friend of mine saw another trader see another trader use tape reading to make +60K a day. Heh

Edited March 29, 2009 by cipher4d

[Tams 20]

  cipher4d said:

A trader friend of mine saw another trader see another trader use tape reading to make +60K a day. Heh

 

A trader friend of mine saw another trader see another trader posted a blotter of +60K on ONE day. LOL

 

BFD

[Robert Joyce 10]

some of you guys are pretty funny.... lol lol lol lol.....

[Theodocious 10]

  Quote

For example, if my key price level is 12100 on the dow mini's, I want to see 1-3 prints of 12101 then a quick rejection back to 12099, 12098, 12097.

 

cipher...based this example, would he be long at 12100, and the suffer thru the 3 tick reversal in hopes for a turn-around surge thru 12100 and higher? Or, would he be short at 12100 and then happy to see three prints at 12101 and then rejection, where he exits and pockets the 3 or more ticks?

 

Thx....

[cipher4d 10]

I don't know how soultrader trades. I was trying to point out how one would see the setup/clue he described using only the charts without the time&sales.

 

Some people might enter short off that hint of weakness. I don't, I just consider it useful information.

[Theodocious 10]

Slap-slap for asking you a question on someone elses system. I should have thought twice before clicking.

 

Have a good one...