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Auction Market Theory and Market Profile

  • #4,481
  • Feb 29, 2012 9:39pm Feb 29, 2012 9:39pm
  •  s7c
  • | Joined Mar 2011 | Status: try and fail but don't fail to try | 289 Posts
Quoting mzvega
Mind over Markets p 71
Open Auction out of range.........then determine how you might apply it to the session profiles......to help shape your analysis. Just as one might use "directional performance data", comparing the IB volume to its average, or to the previous IB volume, along with the basic directional performance analysis, may give you a few more pieces to form an opinion. Hope it helps.
k because i was lazy to read at that moment i lost a good opportunity.
i use the opening type and location but mostly on London&NY sessions in comparation with previous ones, i didn't thought to use it on Tokyo because of low conviction we have...
your point was to compare with whole previous day or just with previous Tokyo, or with both? the volume in the initial balance was ~ average and the directional conviction was balancing/weakening because we had attempted direction up, value unchanged and volume ~lower...that was your idea?
i'm using directional conviction into my last day analysis but i didn't use the IB volume comparation.
  • #4,482
  • Edited Mar 1, 2012 12:32am Feb 29, 2012 10:01pm | Edited Mar 1, 2012 12:32am
  •  s7c
  • | Joined Mar 2011 | Status: try and fail but don't fail to try | 289 Posts
from short/day time frame point of view: we have range extension down, double distribution day structure with value staying on the higher distribution overlapping with the previous ones and the closing was on the low, which contradicts with the value idea...
we had an open rejection and reverse in range so the amplitude of the move i put it mostly on Bernanke testify, so implying smart money activity. based on that i got long after i saw the high volume and the close off low on the down bar after the NYIB to that adding we were just IN the long time frame reference point considering the WIB i thought i had pretty good reason for long, the problem was i had to go and didn't had time to wait for confirmation. which costs me in the end...
from long term view: we have initiative range extension on weekly/with last week VAH as reference for now...

quesstion for evak or anybody who feels he needs to answer
the spike base thing, i don't find to much lecture about it but i keep looking.
anyway from what i understand an excess represent the OTF conviction so after we start to auction through it it means the sentiment changed and it will folow a contrary move. so my point is why spike base means so much after this auction i described, i would rather be inclined to use the end of spike as a strong reference. of course the recent history proved i'm wrong, but why?
by the way where is the spike base in today context, do we consider whole day or just the NY session?

could we combine NY&Tokyo to get resemble a LLB? of course we will need confirmation
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  • #4,483
  • Mar 1, 2012 3:48am Mar 1, 2012 3:48am
Took this Long after London open, cause it failed @ yesterday's low (and last week VAH) aiming for yest VAH. Day start set at London Open.
Actually it seems confirming yes as LLB, but not so sure.....
Anyway, set @ BE after >30 pips....
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  • #4,484
  • Mar 1, 2012 4:21am Mar 1, 2012 4:21am
Quoting s7c
k because i was lazy to read at that moment i lost a good opportunity.
i use the opening type and location but mostly on London&NY sessions in comparation with previous ones, i didn't thought to use it on Tokyo because of low conviction we have...
your point was to compare with whole previous day or just with previous Tokyo, or with both? the volume in the initial balance was ~ average and the directional conviction was balancing/weakening because we had attempted direction up, value unchanged and volume ~lower...that was your idea?
i'm using directional...
In relation to the session profiles the daily profile would be the otf. Since the otf moves the market, any analysis on the session (smaller) tf profile shouldn’t be expected to exceed the expectations of the otf daily dir. per. analysis. My point was to compare the daily profile to the previous days profile, this is good to do to prepare for the next trading day. My methodology, is basic AMT fundamentals, I analyze the session directional per, the same as if they were the daily profiles. To keep with the same methodology, if I’m treating each session as a daily profile, to base my session dir per. on a previous session (i.e. comparing Tokyo to previous Tokyo session) would be like doing daily dir, per. analysis with 2 days (2 sessions) of missing data. I suggested doing daily dir perf, that should have been a good guideline, and doing the same analysis on the session profiles (not i.e Tokyo compared to previous Tokyo) , may have given you a heads up, depending on your opening times
I only mentioned IB volume because you were trying to analyze a Tokyo profile. If you have a narrow IB that contains a lot/ample volume (transactions), and with the knowledge of the daily dir per, and after Tokyo’s outcome was enough imo to determine it wasn’t initiative buying volume. I don’t usually use IB vol comparison for session profiles, but if I have to narrow down a “balanced bias” it’s just a small piece of data that may help tip the scale in forming an opinion.
Markets are not efficient, rather they are effective - Jones
  • #4,485
  • Mar 1, 2012 5:21am Mar 1, 2012 5:21am
Quoting s7c
quesstion for evak or anybody who feels he needs to answer
the spike base thing, i don't find to much lecture about it but i keep looking
These are the only references That Ive found.......

"Spike: A spike is a late price probe either to the upside or downside during the market’s two-way auction process. It happens too late in the day to be verified as having been accepted or rejected. For example, if an upside probe was rejected we would be left with a selling tail. Similarly, if a downside probe was rejected a buying tail would emerge. If the spike was accepted, price would trade within the range of the spike over time. We are forced to await the market’s opening during the pit session of the following day for the market’s verdict."

Evak can give you a much better opinion than I can, as I dont apply them to the sessions........he has more experience than me
I dont trade spikes on the session profiles, As I personally wouldnt know how best to apply it and I find it too subjective for my taste, and if I use the the definition per JD and apply it to a sessions I would have to take it as "It happens too late in the day/session to be verified as having been accepted or rejected", imo according to JD you cant technically have a spike in the "A" period if a spike is a "late in the session price probe"
Again, its very subjective to where your open & close is.

here is a link to JD glossary, it has some spike references
http://jamesdaltontrading.com/blog/glossary/

also mind over markets p280 may give you some insight.
Markets are not efficient, rather they are effective - Jones
  • #4,486
  • Mar 1, 2012 6:23am Mar 1, 2012 6:23am
no lbst
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  • #4,487
  • Mar 1, 2012 8:40am Mar 1, 2012 8:40am
Quoting ivonivon
no lbst
ok, that's twice you've posted "no lbst", and I can't figure out for the life of me what lbst means...can you clarify pls
Change is the only constant
  • #4,488
  • Mar 1, 2012 9:15am Mar 1, 2012 9:15am
Quoting tgwhbb
ok, that's twice you've posted "no lbst", and I can't figure out for the life of me what lbst means...can you clarify pls
, I guess he said 1.3300 is not naked anymore.

i'm sorry.. just want to show off.. the box now a little bit glossy
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...
  • #4,489
  • Mar 1, 2012 9:22am Mar 1, 2012 9:22am
Quoting s7c
by the way where is the spike base in today context, do we consider whole day or just the NY session?

could we combine NY&Tokyo to get resemble a LLB? of course we will need confirmation
The base would be the break below the UK low, that would be the spikebase & yes we have a LLB with NY+TK; this is typical after a strong move during NY & TK would balance thereafter...again the 4step process...
  • #4,490
  • Mar 1, 2012 9:29am Mar 1, 2012 9:29am
Quoting Aztrader2
Took this Long after London open, cause it failed @ yesterday's low (and last week VAH) aiming for yest VAH. Day start set at London Open.
Actually it seems confirming yes as LLB, but not so sure.....
Anyway, set @ BE after >30 pips....
With both NY TK poor low & lack of excess running below it when UK opens, typically the R/R would be inferior. Only a good low then would tip the favor for a good long....
  • #4,491
  • Mar 1, 2012 9:33am Mar 1, 2012 9:33am
Quoting bandung
, I guess he said 1.3300 is not naked anymore.

i'm sorry.. just want to show off.. the box now a little bit glossy

NICE

I have yet to try even your previous update. Tks you bro..

anyway with regards to a downloadable version of that video u asked...i found a link. But i have not try to download it myself. I have seen through the video, pretty hard to catch what he is saying & w/o the handouts is like stabbing in the dark....anywy..

http://filenewz.com/download/0627a50...Volume-Strips/
  • #4,492
  • Mar 1, 2012 9:42am Mar 1, 2012 9:42am
Quoting Evak
NICE

I have yet to try even your previous update. Tks you bro..

anyway with regards to a downloadable version of that video u asked...i found a link. But i have not try to download it myself. I have seen through the video, pretty hard to catch what he is saying & w/o the handouts is like stabbing in the dark....anywy..

http://filenewz.com/download/0627a50...Volume-Strips/
thanks k..
i wish there is english subtitle in the video...
...
  • #4,493
  • Mar 1, 2012 9:44am Mar 1, 2012 9:44am
Quoting tgwhbb
ok, that's twice you've posted "no lbst", and I can't figure out for the life of me what lbst means...can you clarify pls

Italian Biochemical Society Transactions
Integrated Battlespace Simulation and Test
Institute of Building Science and Technology
International Bureau of Software Test, Inc
Inter Branch Stock Transfer
Institute of BioScience and Technology
  • #4,494
  • Mar 1, 2012 10:34am Mar 1, 2012 10:34am
Quoting Evak
NICE

I have yet to try even your previous update. Tks you bro..

anyway with regards to a downloadable version of that video u asked...i found a link. But i have not try to download it myself. I have seen through the video, pretty hard to catch what he is saying & w/o the handouts is like stabbing in the dark....anywy..

http://filenewz.com/download/0627a50...Volume-Strips/
i've only watched half the video so far. indeed it is hard to fully understand without hte handouts. But from what I can tell, his software allows you to place orders using volume conditions rather than price conditions. interesting, and i'm sure it works, but the question i have is how is this possible on spot forex where you don't have distinctions between buy and sell volumes like you do on stocks or futures. Maybe that is addressed in the video but i haven't gotten through it all yet.
Change is the only constant
  • #4,495
  • Mar 1, 2012 10:35am Mar 1, 2012 10:35am
Quoting Evak

Italian Biochemical Society Transactions
Integrated Battlespace Simulation and Test
Institute of Building Science and Technology
International Bureau of Software Test, Inc
Inter Branch Stock Transfer
Institute of BioScience and Technology
and i thought the first letter as L, not I
Change is the only constant
  • #4,496
  • Mar 1, 2012 10:59am Mar 1, 2012 10:59am
Quoting tgwhbb
and i thought the first letter as L, not I
an L? well anyway still need ivon to shed some light on this matter..

@ivon..just pulling your socks pal, no puns intended...
  • #4,497
  • Mar 1, 2012 11:05am Mar 1, 2012 11:05am
Quoting tgwhbb
i've only watched half the video so far. indeed it is hard to fully understand without hte handouts. But from what I can tell, his software allows you to place orders using volume conditions rather than price conditions. interesting, and i'm sure it works, but the question i have is how is this possible on spot forex where you don't have distinctions between buy and sell volumes like you do on stocks or futures. Maybe that is addressed in the video but i haven't gotten through it all yet.
Interesting terms he use in this video. Concave profile, "Supply" which seems to reference to volume. Of coz the jiss it is to address the orderflow of electronic markets as compare to pit. But there isn;t much of an eloboration of what & why on the diff though...& he mention the s/w which he parner with cunningham LLC...

this one?
http://www.ctsfutures.com/
  • #4,498
  • Mar 1, 2012 1:38pm Mar 1, 2012 1:38pm
Quoting Evak
With both NY TK poor low & lack of excess running below it when UK opens, typically the R/R would be inferior. Only a good low then would tip the favor for a good long....
Thanks Evak...
  • #4,499
  • Mar 1, 2012 1:53pm Mar 1, 2012 1:53pm
  •  s7c
  • | Joined Mar 2011 | Status: try and fail but don't fail to try | 289 Posts
hmmm, what's going on with JD videos from vimeo? and lately he doesn't update his free morning update everyday...
  • #4,500
  • Mar 1, 2012 5:16pm Mar 1, 2012 5:16pm
Its the profile from november..
The white area is what should happen so it becomes a proper bell curve.
What do you guys think? can it happen ?
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