ES Journal Archive (2011)

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Quote from ammo:

was a typo JSH,..note the cleavage,nip ledge areas on chart,,,if we are near one of those heading in that direction,chances are it will touch,usually a stop or stall,sometimes a reverse sometimes continues thru,based on momentum,wider the nip in relation to rest of chart,better chance of a reverse,temporary or large,depends on the rest of the markets
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For my own edification, how do these graphs aid you in making a decision to place a trade?
Thank you.
 
the wide spots (nips)are the price where the most trades took place,the narrow(cleavage)are gaps,(on a larger time frame, areas of price/move exhaustion) and the ledges are areas where price stopped repeatedly,like a large seller or buyer that capped a market all day,the wide spots (nips) and ledges had a buyer and seller or hedger for each trade,that 1113- 16 nip ,for instance, had a lot of left over sellers,shorts that were happy to break even,so when price hit there ,buyers stopped the fall,price moves up til it finds offers,down til it finds bids,this tells you where a number of buyers .sellers are and you can usually ride it to that point,if you have 2 nips with a cleavgae in the middle as it travels between it returns to the cleavage,on a larger time frame the bell curve with a nip is the area we are working,when it leaves one area and travels to the next,those points of buyers and sellers are already mapped out..it moves from one bell curve to the next ... we are currently working into the lower bell curve in oil
 

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Thanks Ammo.
I will have to take some time with your graphs and explanation.
I assume this is market profile with a bit of a twist.
 
Quote from ammo:

the wide spots (nips)are the price where the most trades took place,the narrow(cleavage)are gaps,(on a larger time frame, areas of price/move exhaustion) and the ledges are areas where price stopped repeatedly,like a large seller or buyer that capped a market all day,the wide spots (nips) and ledges had a buyer and seller or hedger for each trade,that 1113- 16 nip ,for instance, had a lot of left over sellers,shorts that were happy to break even,so when price hit there ,buyers stopped the fall,price moves up til it finds offers,down til it finds bids,this tells you where a number of buyers .sellers are and you can usually ride it to that point,if you have 2 nips with a cleavgae in the middle as it travels between it returns to the cleavage,on a larger time frame the bell curve with a nip is the area we are working,when it leaves one area and travels to the next,those points of buyers and sellers are already mapped out..it moves from one bell curve to the next ... we are currently working into the lower bell curve in oil
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You are very good at explaining things and the only thing i take notice of is your comments on volume change.

The cleavage is now easy to handle and I am always seeing 2 nips.

It helps me with trading by giving me confidence. There has been a lot of support and not much resistance:D
 
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