the smallest move

Stephen,

I do not know anything about scalping with this product, but I like what I see from the start.

This footprint inside the candlestick is quite powerful for you to pull it all together and see the direction of the flow.

I believe that if you can memorize the footprints through repetition and repeated hours of use, you will be able to get into your entries earlier and discover when to exit more efficiently also. Give it time as there is a lot to watch and learn on the fly.

I am not using the product, but this would be what I would use if I were to learn scalping or wanted to improve on my entries and exits.

In Retal Scalping you must have real low commissions, so I hope you have a lot of capital to commit and I hope your are a good negotiater, when driving your broker down to the level you need. This part of the business I regret, as everybody gets a different price, but thats America, and the one that has the biggest mouth, wins.

Michael B.

Quote from stephenszpak:

I just watched Market Delta Simplified. You can change the
colors. Maybe you are refering to some other part of their
product. (?)

I think I have to watch the other vidoes by them. Hope this
isn't a waste of time. It seems incredibly abstract compared
to a tick chart.

Stephen Szpak
More...
 
I think the idea is to see WHY a price is rising or falling.
  • Is there an abundnace of buyers? or a lack of sellers?
  • Is there a lack of buyers, or an abundance of sellers?
  • Will the price's ease of movement be long or short....
  • Are there any significant bids and offers?

There are many other detals that the pro's will not share with you openly here on these boards.

Michael B.
 
Quote from stephenszpak:

Just found out that Depth of Market is a term of some sort.
The abreviation is DOM. Everyone knew that except me I'm
sure. Beyond this I don't know why DOM is important. I really
doubt I'll be able to use anything that is NOT a graph. Just
the way my mind works.

Stephen Szpak
More...


This is an example: for the depth of market of nasdaq 100 emini futures, from interactive brokers - trader workstation. (TWS)

The upper numbers represent the inside market. The lower numbers represent the depth of the bid and ask. Size represents the number of contracts for buy/sell. Hope this helps.
 

Attachments

From ElectricSavant:

In Retal Scalping you must have real low commissions, so I hope you have a lot of capital to commit and I hope your are a good negotiater, when driving your broker down to the level you need. This part of the business I regret, as everybody gets a different price, but thats America, and the one that has the biggest mouth, wins.

Michael B.

Thanks Michael. I'm on the sidelines as you might remember.
On the plus side, there is no way I can lose money in this
market (hee, hee).

I'm not sure if someone commented on the cost of commissions
here. I thought I read that they were $5 per round turn for
the E-mini S&P 500 futures. If that is correct this is what I
computed:

Scalping for single ticks only:

12.50 - 5 = 7.50 trade is winner
12.50 -5 =7.50 trade is winner
12.50 -5 = 7.50 trade is winner
-12.50 -5 = -17.50 trade is loser

If this is right, then if 3 of 4 trades are winners,
the profit is only $5. I would prefer a higher winning
percentage than that.

Maybe scalping would not be the best way to do
this. One certainly misses all the big moves. It reminds
me of the saying: "Don't just do something. Stand there."

Someone here, in some post I've lost track of, said something
like: "I keep my hand off the mouse."

I checked out some of the video instruction that they offer
at Market Delta. Don't get it yet. They used 5 minute bars
for some of the presentation. Maybe 1 minute bars with
candlevolume or equivolume would be helpful to someone (?).
That is generic charting, not their stuff.

I'll keep at it,

Stephen Szpak
 
Quote from plumlazy:

This is an example: for the depth of market of nasdaq 100 emini futures, from interactive brokers - trader workstation. (TWS)

The upper numbers represent the inside market. The lower numbers represent the depth of the bid and ask. Size represents the number of contracts for buy/sell. Hope this helps.
More...

Thanks, I did look at it.

Stephen Szpak
 
Quote from stephenszpak:

I just watched Market Delta Simplified. You can change the
colors. Maybe you are referring to some other part of their
product. (?)

I think I have to watch the other videos by them. Hope this
isn't a waste of time. It seems incredibly abstract compared
to a tick chart.

Stephen Szpak
More...

stephen -

i'm referring to the actual chart background. it is white and will remain white. i've corresponded with MD's developers regarding the topic and they confirmed it is not a changeable attribute.

regarding whether or not it is a waste of your time, how can it be? if you come to the conclusion it is something that would not facilitate your trading you have not wasted your time. Edison went through thousands of iterations before designing the light bulb. in his mind he just discovered thousands of ways not to do something. keep what works, ditch what doesn't. no biggie.

I'm not sure if someone commented on the cost of commissions
here. I thought I read that they were $5 per round turn for
the E-mini S&P 500 futures. If that is correct this is what I
computed:

Scalping for single ticks only:

12.50 - 5 = 7.50 trade is winner
12.50 -5 =7.50 trade is winner
12.50 -5 = 7.50 trade is winner
-12.50 -5 = -17.50 trade is loser

If this is right, then if 3 of 4 trades are winners,
the profit is only $5. I would prefer a higher winning
percentage than that.
More...

if you plan on scalping as a primary tactic, i think it is imperative to get lower commissions than $5/rt. most will give volume breaks, so the more you trade or the bigger you trade, the better rates you get.

Maybe scalping would not be the best way to do
this. One certainly misses all the big moves. It reminds
me of the saying: "Don't just do something. Stand there."

Someone here, in some post I've lost track of, said something
like: "I keep my hand off the mouse."
More...

scalping is a very viable option, but that does not mean it has to be your only method. many traders scalp within a trade (go long, scalp up with adds and takeaways). others scalp against a position with other accounts (go long, scalp the short side on pullbacks in a different account). some do both. some neither.

also, even within scalping there are countless variations. scalping doesn't mean you can't hold on for a big move. you could get in on a scalp, but then it really takes off in your favor. your scalp has now become more of a position trade. no worries. to each his own :)

hth

take care and gtty -

omni
 
Quote from stephenszpak:
Scalping for single ticks only:

12.50 - 5 = 7.50 trade is winner
12.50 -5 =7.50 trade is winner
12.50 -5 = 7.50 trade is winner
-12.50 -5 = -17.50 trade is loser

If this is right, then if 3 of 4 trades are winners,
the profit is only $5. I would prefer a higher winning
percentage than that.
[/B]
More...

You have to keep in mind you sometimes can steal 2 ticks (or even more!) also, and I do that more often than I have a losing trade.
 
Quote from syrre:

You have to keep in mind you sometimes can steal 2 ticks (or even more!) also, and I do that more often than I have a losing trade.
More...

Also from syrre:

well, in the way i am able to give a sort of advice i would say the most relevant/important thing you should do before trading, is watching the market depth A LOT, and try to get a "feeling" for the movements.

What product do you use? Website?
How many hours of practice before one reaches
competency?

Thanks if you have the time to respond,

Stephen Szpak
 
Quote from omniscient:

i use MarketDelta and like it - a lot. it gives a graphical footprint of the DOM.

so far my biggest criticism is that you can't change background colors.

anyway, i like it.

as for trading from the DOM, i find i rely more and more on the DOM lately. i still use other charts (mainly an MP chart), but by watching what happens to the bids and offers on the DOM you can anticipate better what you will soon see in a typical chart. i'm not an expert at it, but it is very valuable to me.
hth

take care and gtty -

omni
More...

I've been looking at some of their videos today and yesterday.
I know now you can't change the backround colors, but even the
colors of the bars are *too* colorful. I believe this can be
changed somewhat using their software.

A thought, you might want to reduce the number of colors
to 2 reddish and 2 blueish. Even this is probably too much.

Think about this Market Delta "bar" looking downward:

dark red
light red
dark blue
light red
light blue
dark blue
light red

What is this? Maybe visually it would be easier to understand,
but why not use one color for the entire bar? Blue or red?

Or maybe split the bar at the midpoint and color code
the top its color and the bottom its color?

I personally like the concept of a neutral colored bar.
How this could be done here is open to debate. I don't
think this software would allow for it anyway.

I don't know if what I've said could be done, but I think
the displays in the videos as is, are *way* to colorful to
allow for quick interpretation.

Stephen Szpak
 
Quote from ElectricSavant:

Stephen,

I do not know anything about scalping with this product, but I like what I see from the start.

This footprint inside the candlestick is quite powerful for you to pull it all together and see the direction of the flow.

I am not using the product, but this would be what I would use if I were to learn scalping or wanted to improve on my entries and exits.

In Retal Scalping you must have real low commissions, so I hope you have a lot of capital to commit and I hope your are a good negotiater, when driving your broker down to the level you need. This part of the business I regret, as everybody gets a different price, but thats America, and the one that has the biggest mouth, wins.

Michael B.
More...

Michael

Didn't see any candlestick footprints. Unless I'm
misunderstanding you here.

What do you use? (time permitting)

What are decent commissions and who has them? (time per.)

Thanks, as always,

Stephen Szpak
 
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