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Many traders would absolutely love to develop the "book reading skills". Unfortunately, for the most of us an ability to visually “read the book” is not obtainable. The overwhelming majority of us, “non-book readers”, definitely need some sort of an edge or “special glasses” to see...

Generally speaking, the Order Book is a mirror that reflects the intensity of Buying/Selling activities that in turn result in price fluctuations. By simply observing the ever changing dynamics of the Order Book one could literally “see” the “built up pressure” on either the Bid or the...

SENTIMENT READING AND INTUITION AMPLIFICATION Sentiment is a state of mind of an individual or a group of people that is a result of their perceptions, feelings and emotions. It directly influences our attitude toward something and promotes our opinions, actions and intents. Sentiment is...

I do not hesitate to maintain, that what we are conscious of is constructed out of what we are not conscious of - that our whole knowledge, in fact, is made up of the unknown and incognisable. Sir William Hamilton (1865) Outside consciousness there rolls a vast tide of life which is...

I usually create my own random charts using either MATLAB or .NET programs. However, I know that Tom Gastaldi ( http://www.datatime.eu/public/gbot/MetricsForAlgorithmicTrading.htm ) does a lot of work on creating the simulation models of the markets and he does generate pretty good random...

Markets are usually compared to a poker game. However, there are many other games that can shed some light on the market’s underlying forces and, therefore, on market participants’ psychology. Let’s take a look at the blackjack game played in casinos. What I have discovered is the...

It depends on your auditor.

We have billions of interconnected neurons in our brains. For the long time it has been perceived as mainly random network of neurons; a neuron soup if you will. It is now established that it is not true! As the result of latest advances in psychology and neurobiology our brains looks more and...

Until relatively recently, human memory was perceived as one unified entity. Today, after so many advances in FMRI and in other areas of experimental neurobiology we know that there are at least two types of memory. To illustrate this let’s take a look at the following: Knowledge about a...

Great questions! I love when people think smart! 1) Amplifying intuition is one thing, knowing it's something worth of amplifying is another. How do you handle that? Let’s take a look at driving. Experienced drivers have instant reflexes when they hit a patch of ice on the road. They...

Here is my professional advice. I have 30+ years of experience in the fields of behavioral and cognitive psychology. I also used to be a pro "shrink". So, here is the advice that you should be able to appreciate if you have the intelligence that you claim you have. WRITE THE BOOK Not...

Look at the picture below. Each bar on the histogram that we call “Sentiment Spectrum” represents Buying/Selling activity of the short-term traders in the ES market over 55 different time frames. The lengths of the bars represent the relative activity strength and the color represents the...

Amplification of Associations Here is a test to establish how much your brain relies on associations. Read the following list of words and try to memorize them: Bearish, Sell-Off, Meltdown, Panic, Plunge, Disaster, Capitulation, Fear, Anxiety, Ruin, Catastrophe, Collapse, Breakdown...

Although I do enjoy the discussion, I feel that I should try to steer this thread to its original topic – Intuition Amplifiers. There is a lot more to be said about them and I have not had a chance yet to dive into the meat of their algorithms. So, why don’t we do that? Our brains are...

Well, because I have no idea of what a trend is (except being a meaningless representation of what had happen in the past) I consider those returns a coin flip trading. However, looking at my sentiment gauges I get a very strong feeling, INTUITION if you will, that buying some cheap way OTM...

PERFECT!!!

And personally, I think you are doing a good job at it. It is certainly interesting to watch. Frankly, lots of CTAs that I know are down this year. Bernanke literally killed the vol, so it is hard to get any traction at all.

Well, let's kindly ask the Xspurt. I think you would be amaized by his answer.

You are too smart for me :D But isn't that true that without your excessive knowledge and your hands-on experience you wouldn’t be able to tell? This is exactly what I am trying to say. This is one of the most powerful demonstrations of INTUITION. Thank you BTW, you are as always bang on...

All it says that if you flip a fair coin and create a random walk out of the multiple flips you will have a chart that is based on a normally (Gaussian) distributed data. It has been proven beyond any doubts that no matter what tactic you would use to trade this chart you guarantee not to win...