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ES 7-8-2011


Here is the deveolping weekly volume profile. Trading now in the large bulge of volume between 1330-1335, essential where prices were trading before yesterdays smack up. Completely reversed now. In MP theory this large volume are should slow prices down a bit. Watch both extremes of this zone for resistance/support. Obviously the Wed low of1326.50 is now important support as well.


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es30min07082011
Originally posted by BruceM

what happened to the effort to make some recordings regarding the point and fiqure footpprint ? Seems like a waste of time to keep having skype sessions individually when we could have something permanant posted to the forum....just looking for follow up on that..


Bruce, to put something permanent, like a short film, is not easy. I would need to know the questions. SOme people ask me about the software, some about set up of the chart, some about action at "significant level". I am not is a position to write a book. It is like asking you to post your detailed Trading Plan - then everyone would read it and you do not have to post your comments. You yourself would not be able to cover it in a 5-min movie segment. So I answer the questions as they come, sometimes several times the same thing, as new people join. Just like you do.
I guess Lisa that I am of the opinion that you have not been very clear on how to utilize the levels...it always seems so far after that you imply that you were long or short...

I realize that if u are trading you can only do so much but I'd like to see something like this " We just showed big buyers and the reason I went long is ..............? " Or " We just showed big buyers but that is really a fade because............" and then fill in the blanks...I don't see any consistent pattern over time..

Otherwise all we ever really know is that you use a 5 tic reversal chart, you like to see 10,000 to declare it "Mr. big wig"....but we really haven't had info on how to use the data....

So I'm interested in how you take the trade and the qualifications....that can be done with a reply and a few short videos...

Maybe it's only me but I get the feeling that people are often wondering if you are long or short....and the posted footprints, due to the nature of buyers and sellers is not crystal clear...
Originally posted by BruceM

I guess Lisa that I am of the opinion that you have not been very clear on how to utilize the levels...it always seems so far after that you imply that you were long or short...

I realize that if u are trading you can only do so much but I'd like to see something like this " We just showed big buyers and the reason I went long is ..............? " Or " We just showed big buyers but that is really a fade because............" and then fill in the blanks...I don't see any consistent pattern over time..

Otherwise all we ever really know is that you use a 5 tic reversal chart, you like to see 10,000 to declare it "Mr. big wig"....but we really haven't had info on how to use the data....

So I'm interested in how you take the trade and the qualifications....that can be done with a reply and a few short videos...

Maybe it's only me but I get the feeling that people are often wondering if you are long or short....and the posted footprints, due to the nature of buyers and sellers is not crystal clear...

Bruce, I have answered this question a couple of times before, but I guess you were not there at the time of my answer. This is the problem with using this Forum, rather than a conversation in Skype. However... Lets look at a long trade.

When I see a big order pop, or several smaller orders accumulate at the same price level to a significant amount -say 10K or more- I assume that a big trader took a position. Say the order shows that it was filled at "ask" (blue on my charts), which means Mr. BigWig is not fooling around with a spread and wants to fill a long position at that level. If it happens at 1327 (my support level), I will join him, because it makes sense to me. If Mr. BigWig's entry does not hold, I exit with a small stop. That means that Mr. BiggerWig is playing against us and we have no chance.

However, it is safer to wait for a re-test of that level. If the re-test happens on lower volume and price bounces, I assume that Mr. BigWig is right. If I am not in the long trade at the first sight of the big order, I would get in a long trade after the retest, when the color on my chart rolls to blue, meaning traders are hitting the "ask".

Sometimes there is no re-test and market just rockets up. It shows as "single prints" on your MP chart. Then I mark the "big volume" level and wait for a pull-back to it at the later date. I assume that there would be some residual of the big order.

YOu are right about the big orders, we do not know if it is an "initiating order", like the long I described, or the "resting order" which is the residual from a past short trade - or just Mr. BiggerWig sitting there with his short order. I have to make that decision based on length of the previous move, etc... Sometimes I am wrong. There are nuances, but to write it all in this small space is difficult.

With regard to consistency, MP theory does not always work either, as all of us trying to fade a trend day would know.

Hope this helps
Originally posted by BruceM


Maybe it's only me but I get the feeling that people are often wondering if you are long or short....and the posted footprints, due to the nature of buyers and sellers is not crystal clear...

Bruce, I post my big volume levels as soon as I see them, unles I have to manage a fast trade.

Most often I enter on a retest, so there is plenty of time to take a trade. This Forum takes relatively long time for me to post a comment and even longer to post a chart, but most of the time, there is plenty of time to take a trade on a retest.

When a large order pops, I have to make a decision wether it is initiating or resting order and take or not to take a trade. So a post is just that, alerting the Forum that there is an action by a large trader. Everyone would have time to make decision, if the posts were instant, like they would be in a Skype room. I cannot alert the Forum earlier, like you do, as I noticed that Mr. BigWig does not always enter at your levels, so I wait until he does enter. I post when I see them.

These days I am in and out, so not all levels get posted, especially in the mid-day.

I mark levels that have not been tested (NEAR bottom or top of the single print areas) and keep notes of them, just like you do with the single prints. Those levels tell me exactly where Mr. BigWig entered, not the 30-min time slice.

Hope this helps too