Money behind price formations - Psychology and Money Management | futures io social day trading
futures io futures trading


Money behind price formations
Updated: Views / Replies:324 / 2
Created: by porschivez Attachments:0

Welcome to futures io.

(If you already have an account, login at the top of the page)

futures io is the largest futures trading community on the planet, with over 90,000 members. At futures io, our goal has always been and always will be to create a friendly, positive, forward-thinking community where members can openly share and discuss everything the world of trading has to offer. The community is one of the friendliest you will find on any subject, with members going out of their way to help others. Some of the primary differences between futures io and other trading sites revolve around the standards of our community. Those standards include a code of conduct for our members, as well as extremely high standards that govern which partners we do business with, and which products or services we recommend to our members.

At futures io, our focus is on quality education. No hype, gimmicks, or secret sauce. The truth is: trading is hard. To succeed, you need to surround yourself with the right support system, educational content, and trading mentors Ė all of which you can find on futures io, utilizing our social trading environment.

With futures io, you can find honest trading reviews on brokers, trading rooms, indicator packages, trading strategies, and much more. Our trading review process is highly moderated to ensure that only genuine users are allowed, so you donít need to worry about fake reviews.

We are fundamentally different than most other trading sites:
  • We are here to help. Just let us know what you need.
  • We work extremely hard to keep things positive in our community.
  • We do not tolerate rude behavior, trolling, or vendors advertising in posts.
  • We firmly believe in and encourage sharing. The holy grail is within you, we can help you find it.
  • We expect our members to participate and become a part of the community. Help yourself by helping others.

You'll need to register in order to view the content of the threads and start contributing to our community.  It's free and simple.

-- Big Mike, Site Administrator

Reply
 
Thread Tools Search this Thread
 

Money behind price formations

  #1 (permalink)
Trading Apprentice
Moscow
 
Futures Experience: Intermediate
Platform: Sierra Chart
Favorite Futures: EUR/USD
 
Posts: 2 since Mar 2014
Thanks: 1 given, 1 received

Money behind price formations

Hey guys!
Have you ever thought about the process of money allocation? The question might seem a little bit noobie, but it isn't.

The point is that those people who had experience at trading desk in an investment bank often tell that their eyes had been opened by that experience because afterwards when they saw a chart they could imagine the process behind price formations.

We all know the main principles of accumulation and distribution of smart money, but maybe there is some information on the web on the technical schemes of real money accumulation and distribution. I assume that accumulation of a large position should take time and should be done in a range and mostly this process is done by algorithms. But how do staff learn in an investment bank how and when to accumulate? There is no information on that in any financial course or CFA or other stuff. But financial sphere is huge and every year many ex-traders come in and out of banks. Is it really the case that there is still no leaks on that technical process?

I know that it is real for a retail trader to distinguish flat(range) from a trend, but it would be awsome to understand the principles of those trading algos that keep price in a range and real reasons for squeezes or widenings of a range. Cause begind every candle and every price formation is money and behind money are algos=people.

Is there any literature on the subject concerning futures market?

Thanks indeed!

Reply With Quote
The following user says Thank You to porschivez for this post:
 
  #2 (permalink)
Quick Summary
Quick Summary Post

Quick Summary is created and edited by users like you... Add FAQ's, Links and other Relevant Information by clicking the edit button in the lower right hand corner of this message.

 
  #3 (permalink)
Trading Apprentice
Moscow
 
Futures Experience: Intermediate
Platform: Sierra Chart
Favorite Futures: EUR/USD
 
Posts: 2 since Mar 2014
Thanks: 1 given, 1 received


I should break it down, I think. Just to make it clear. The most obvious thing in my opinion on futures market is that as strong hands has accumulated position (for hedging for instance) they will defend it every time the price comes back (if that position is still opened and relevant for strong hands). The price movement that we see on a chart at that moment is rejection of the price level. But more interesting is to find out the nature of any level like this with strong money inside!) Such a level consists of smart money or open interest and it was somehow accumulated. But how can smart participants keep price in a range by provoking everyone buy and sell but nevertheless keeping the price in the channel and accumulating a position? What are those technical principles? Is it possible that those technical nature of such professional actions on the market is still a great secret? Of course it is the bread of investment banks and it IS a real secret but every year the algos for such accumulations change although the main principles remain the same I suppose.


Last edited by porschivez; December 22nd, 2014 at 07:14 PM.
Reply With Quote

Reply



futures io > > > Money behind price formations

Thread Tools Search this Thread
Search this Thread:

Advanced Search



Upcoming Webinars and Events (4:30PM ET unless noted)

Linda Bradford Raschke: Reading The Tape

Elite only

Adam Grimes: TBA

Elite only

NinjaTrader: TBA

January

Ran Aroussi: TBA

Elite only
     

Similar Threads
Thread Thread Starter Forum Replies Last Post
Which typ of order I need to buy or sell at the Last Price (Chart Price) TraderMaze Emini Index Futures Trading 8 April 22nd, 2014 09:25 AM
Testing strategies based on chart formations durri Platforms and Indicators 6 August 13th, 2013 04:45 PM
Ollie's Cloud Formations ollie Trading Journals 27 February 12th, 2013 09:13 PM
The Ascent of Money - The Origins of Our Feast or Famine Money System Victory Trader Off-Topic 2 October 8th, 2012 04:34 AM
Fear of losing deposited money versus "made" money josh Psychology and Money Management 5 April 13th, 2011 05:49 PM


All times are GMT -4. The time now is 01:49 AM.

Copyright © 2017 by futures io, s.a., Av Ricardo J. Alfaro, Century Tower, Panama, +507 833-9432, info@futures.io
All information is for educational use only and is not investment advice.
There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
no new posts
Page generated 2017-12-11 in 0.07 seconds with 19 queries on phoenix via your IP 54.226.34.209