New Functionality in Session Statistics

Hi guys,
I wanted to show you guys some of the new functionality in Market Delta and Investor/RT 9.2.13. There have been some cool improvements made to the Session Statistics Indicator. Check out the chart. The way I have it set up, it will now project the relative volume and relative range of each 30 minute bar compared to the last X number bars on a specific day. (I've included the settings).

Here is what's going on in this chart example. After 5 minutes (for example), the indicator will now essentially multiply the volume or range x 6 and compare the volume and range of the 30 minute bar to the similar time period on the same day of the week. So, as Monday's A period bar opens, the software can look at and compare Monday's A period to the past 12 Monday A periods. This gives a much more accurate projection of what is happening with volume and range, so far, on the uncompleted bar.

BTW, the readings oscillate around 100% of average. +120 relative range means the range is 20 % above the average for the time period. - 150 means the range is 50% less than the average.

This is so useful because as the bar opens, it is now projecting volume and range based on the amount of time that has transpired on that bar so far.

Note that you will have to download one additional day of data beyond the look back period. If you are looking back 60 days (for example), you will need 61 days of data.

Chad Payne of IRT has a very good video on this new functionality. Here is a link: http://www.screencast.com/users/LinnSoftware/folders/Investor%20RT/media/3655a7f7-07fc-4446-a793-d1ec3fe822de

There are a lot of useful videos on the Linn Soft site for MD and IRT users. (http://linnsoft.com/)

I hope this helps,

MG

A Look at the Current Market Conditon

Hi guys,
I had to give a big presentation this evening, so I didn't have time to prepare anything for you. I have lots of things on my mind that I am looking for to share though.

Tonight's post is a view 5 day market prepared by Bill Duryea of IOAMT. Thanks Bill. I think it gives a really nice look at the current market condition. I added the Single print at 904.50 from today. It was the first (and most important) breakout. It also has some nice Supply above it. As I have mentioned many times before, these are the ones I really like and watch out for. Let's see what happens.

Take care and be well,

MG

Trend Trade

Hi Guys,
I have received several comments/questions about getting with-the-trend opportunities on trend days. Obviously we had a trend day today and trading to the long side was where the big money was. There were very small pullbacks making it difficult to take a long position. We all hate buying at the high. Here is an example of a long trade on a small pullback with good location. On day's like today, you gotta take what you can get.

At some point we need to get the idea that the market is likely going up. Even if you are looking for counter trend opportunities, like I was, you need to find good locations to go with the move.

I hope this helps.

MG

Long from Value Area Low

Hi Guys,
I didn't have much time to trade today. But, here was a really nice one. One like this one is enough. We had a great long from the Value Area Low from Thursday. We also had great volume to lean on. The market gave you plenty of time to enter.

These are the ones you can be more aggressive on. There were lots of possible entries. The keys are to have your charts set up so you can see this stuff real easily and to be prepared. I knew the VAL was there and a possible trade op. I knew there was Initiated Buying from Thursday right beneath it - just like I like it. I knew that if the Footprints and the Delta Momentum supported the trade, I would jump in aggressively.

I added two additional filtered Volume Breakdown indicators (>24, >99, >199). As you know, I have had an additional VB filtered for trades >199. I added these today after seeing a chart set up with 3 VB's by a great chap named Howard in the IOAMT room today. Is three filtered VB's better than one? We'll see.

Have a great holiday weekend. I'll catch you all on Tuesday.

MG

Market Delta Webinar

Hi guys,
I mentioned in my last post about the webinar: 'Using the Market Delta Footprint for Evidence and Execution' with Kam Dhadwar given yesterday by Market Delta . If you missed it, its totally worthwhile watching. The first half was on the 'basics'. If you are new to Market Delta or unclear on any on the theory behind the Footprints, you'll get a good intro on the subject.

The second half of the webinar covered some of the ways that Kam Dhadwar (http://www.l2st.co.uk/) uses the footprint to aid his trade execution. He goes over his charts and settings in some detail.

He seems quite knowledgeable on the subject and presented his material in a clear, concise manner. Check it out if you missed the live presentation. (www.screencast.com/users/MarketDelta/folders/Webinars/media/dde234e2-139f-4ef0-a455-f1997362befa)

Enjoy,

MG

More Uses of the Market Delta Footprints

Hi guys,
I have two really nice charts to show you today. I added a new chart yesterday. I got the idea from the webinar at Market Delta yesterday with Kam Dhadwar. The new chart is a 10000 Volume Candle Chart. MD will have the video posted shortly on their web site and I will also post a link. Totally worth watching.

Check out the video for the specifics on the chart. It is just a Volume Breakdown set to a 3 bar average of Delta (Histogram) and a 2nd VB set to 5 bars (line).

It seems like a useful addition to my screen set up especially to make it easier to see divergences. I have used it to my benefit several times today. It is just a different view. It is very easy to read and I already feel quite comfortable with it already.

Multiple views of Delta are very useful. Sometimes one chart tells the story more clearly than the others.

I hope it helps,

MG

Footprint Chart Screams 'Buy'

Hi guys,
I have told you several times how I love trading a Single with volume behind it to lean on. Well, we had one today and it worked really well. We had a Single from yesterday at 904.25 where the market took off in M period. We also had initiated buying from yesterday in the 903-904 area. We also had the Volume Value Area High at 904.25

I probably would have taken this trade without the footprint chart knocking me over the head to go long. But, the footprint was absolutely brilliant. Check it out. I hope many of you took this trade.

Hope it helps,

MG

My Support and Resistance Levels

Hi guys,
Here are some of the levels I am looking at. I scrunched the chart so you could see further out levels. I also look at the dark blue areas of heavy volume concentration. Note that the bars over 10 days old show thinned data as I only have the tick set to look back 10 days.

I also have a 10 day FPPS and a 20 and 60 day Profile on the chart. They are set up as buttons. I have these so that I can look at the high and low volume areas. I also look for Singles that haven't been filled like at 886 on my Market Profile Chart (not shown). I also track past and current areas of initiated buying and selling on my 30 minute Footprint Chart.

With practice, and this excellent Market Delta software, it gets very easy to track and see these levels.

I hope this gives you some ideas on how you might want to set up your own charts.

Good trading,

MG

Right Idea But No Reward

Hi guys,
I got a question the other day whether I ever have a losing trade. I have been guilty of mostly focusing on the times I was right. Like all of you, I have losing trades and losing days. I got to trading late today, after the major down move and walked away with two losing trades and a small and manageable loss.

I took a long trade at 878.50 and got stopped at 877. The market went one tick lower and moved up around 7 points. As irritating as that can be, I feel like I was reading the market correctly. I had clear reasons for taking the trade where I did. I had reasons why I placed my stop where I did. It just didn't work out for me.

Check out the chart for my reasons. One thing that you will notice is that I didn't wait for Footprint confirmation before entering. In retrospect, I believe I wasn't patient enough. I wanted a winner. So, even though I didn't see what I was looking for in the footprints, I went for it anyway.

In trading, we need to make decisions. Every day, analyze your trades. See, in retrospect, what you were seeing and the inferences you were making. Notice if you missed any information that might have clarified the picture. Evaluate you strengths and weaknesses and work on those weaknesses. In this way, you will grow every day as a trader and as a person.

Hope it helps,

MG

Another Footprint Lesson

Hi guys,
Today, I wanted to show you some more nuance in my trade (or no trade) decisions. I have enclosed a 30 minute chart so you could see why I was interested in the 894 level. You can also see the Initiated Selling at the 889 area which I also shorted. The 1.25 Range Chart showed a pretty similar picture, so I didn't include it here. These two trades set up really nicely.

I snag shots throughout the day whenever I see anything interesting. I constantly analyze what I am seeing (or think I am seeing). Then I note what actually occurred. I also snag shots of stuff I missed in real time, so I can be more aware of it.

Hope it helps.

MG

Footprint Lesson

Hi guys,
I wanted to show you an example of how I interplay the 1.25 Range and the 6 Reversal Charts. They both play their roles. It takes a while to become adept at reading one chart, let alone two. So, I suggest, you keep it simple until you master one chart setup.

Hope it helps,

MG

IOAMT Daily Recap

Hi guys,
For those of you not in the IOAMT room, I thought I would post the Daily Recap from Bill Duryea (with Bill's kind permission). There are a lot of important ideas to mull over. I thought it was a really good lesson.

For those of you in Bill's room, I suggest you read it over again and make sure you understand every concept he puts forward. Mark the levels on your own charts so you will be prepared for tomorrow. If you have a different take on the markets, that's totally cool too. These are just one man's ideas. We need to be clear on our own analysis and our own ideas of what has occurred and what 'evidence' we will be observing tomorrow to make our 'real time' analysis and trade decisions.

I hope you enjoy it and find it useful.

MG

Good Entries with Footprint Confirmation

Hi guys,
I wanted to show you that it is possible to use the footprints for confirmation and still get very nice entries (much of the time).

See you tomorrow,

MG

Market Logic

Hi guys,
I wanted to get into some of the subtlety that needs to go into determining whether or not to take a trade. The example above lets us look at a trade I considered taking but passed on and one that I took. Even though I have shown you many patterns that I look for, it takes far more than trading patterns that determines our success as a trader.

It is imperative that we gain an understanding of market behavior and that we make ongoing evaluations of what we believe is likely to occur. We won't always be right. But, over time, we become more and more adept at reading the market.

My entries vary a great deal. If we wait for more footprint confirmation, we often give up trade location. Sometimes, I indeed want to see more confirmation than on this trade. But, in this situation, I had clear reasons for being more aggressive.

I hope it helps,

MG

Counter Trend Trade from Wednesday's Volume POC

Hi Guys,
I had to work my day job and only had about 30 minutes to trade today. I got lucky as a nice opportunity appeared in my small window of time. I grabbed a quick 5 points.

I wanted to show you the three charts I was looking at and why I decided to take the trade. Sorry, I forgot to Snag It in real time. Once again, the clear views that these Market Delta charts offered made my decision easy.

See you tomorrow.

MG

IOAMT Daily Recap

Hi there guys,
Here is a link to Bill Duryea's IOAMT recap for today. It's only 8 minutes long but (as always) has thoughtful insights into the market.

It is essential for us as day traders to look at the longer term picture and economic factors effecting the market. Everything we do intra-day must be in the context of the previous day the and longer term price/volume structure. Bill does a great job of explaining this.

http://www.ioamt.com/media/videos/dailyrecaps/9879212/sforecap.html

I hope you enjoy it.

MG

Tomorrow's Probability Range

Hi guys,
Here is a very cool chart just posted by Bill Duryea of IOAMT. I thought that you would find this very useful. I love the simplicity and clarity of it. Thanks totally to Bill for this.

MG

Range Chart and Filtered Volume Breakdown

Hi there guys,
I hope you have been making good use of the new Range Chart with Volume Breakdown. I have gotten a lot of positive feedback on it. Here is an update on this chart set up. I have added a 2nd filtered Volume Breakdown Indicator set to only show orders of >199. I could have used > 25 or >99 or whatever. If you like the idea, experiment with it.

I borrowed this idea of superimposing a 2nd VB on the unfiltered VB from Bob Hoffman of Market Delta. So, much thanks to him. He posted an article entitled 'Delta, Delta, Delta" detailing how to set up this chart, in the MD blog on March 17th. http://blog.marketdelta.com/?paged=4

I have observed this addition to the chart for several days now and it has proven extremely useful. Here is an example of its use from today's trading.

Hope it helps,

MG

Singles Trade Followup

Hi guys,
I hope that you are having a great weekend. I wanted to show you a few more ideas (and additional clues) on that Singles trade from Friday. Whenever we take a trade, we want as much confirmation as possible to support our reasoning. This short at the Single had so much going for it. And, it worked really well.

The key is to have your charts set up to let you see these areas of confirmation really easily. Also, you really need to have the teachings of Auction Market Theory really be a part of you. If you haven't mastered the concepts in Mind Over Markets by Jim Dalton, I suggest you read it again and again.

After a winning or losing or missed trade, I snag a picture and note everything I saw as the trade unfolded. Perhaps even more importantly, I note the things that I missed. This process needs to be repeated over and over again. Eventually, you just begin to see more of the whole picture from a micro and mini perspective.

Market Delta's new 9.2 software has been an extraordinary revelation for. Almost daily, I find new ways to see the action better. I have more cool stuff I am checking out and will share with you after I have some time to establish it's value. My recommendation to you (if you are using MD) is to really learn what this software has to offer to you. I regularly visit the MD blog and read the commentary and watch the videos. They have a Community Forum at: http://www.seeinsidethechart.com/ I have learned a lot there. Check it out.

Hope all this helps,

MG

Range Chart and Volume Breakdown

Hi guys,
Here is a lesson on using a Range Chart along with a Volume Breakdown indicator. Trevor Harnett of Market Delta recently put out a nice video on VWAP Strategy (on his blog http://blog.marketdelta.com/) which goes over this subject. If you haven't seen it, check it out.

I have been using this type of chart set up (along with a 6 tick Reversal chart for a good while now. I run them side by side. They each give a different view of the market action. The range chart prints bars of the same size which has its advantages. It is especially useful with the addition of the VB indicator set to Delta.

A really nice trade opportunity showed up today in which this chart set up really shined. I have annotated the chart in detail to help you see what I was looking at.

This kind of situation is not rare. We also a a very nice sense of deceleration near the end of the day when the market came down to developing value area low. I suggest you set up your own chart like this and check it out. Notice what you see.

If you have any questions, feel free to ask.

Hope it helps,

MG