The market constantly changes. BUT What stays the same?? - Traders Hideout | futures io social day trading
futures io futures trading


The market constantly changes. BUT What stays the same??
Updated: Views / Replies:3,869 / 48
Created: by xylem Attachments:1

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
 1  
 
Thread Tools Search this Thread
 

The market constantly changes. BUT What stays the same??

  #21 (permalink)
Live Your Bliss
Canary Islands, Spain
 
Futures Experience: Advanced
Platform: OA
Favorite Futures: What Moves
 
Anagami's Avatar
 
Posts: 701 since Dec 2010
Thanks: 474 given, 1,398 received


DbPhoenix View Post
Consider the virgin being tossed into the volcano: sometimes it results in a great crop, sometimes it doesn't. Maybe tossing her in earlier or later will change the probability of a healthy crop. Maybe two virgins are better than one. Maybe six. Maybe tall virgins are more effective than short ones. And surely age is important. But does the robustness of the crop really have anything to do with tossing the virgin into the volcano in the first place?

That's why ancient Mayans were smarter about this, keeping the virgins for themselves and sacrificing boys instead.
I would personally argue that 2 virgins are better than 1, but that's just me.

Thank you for enlightening analogies.

"...the degree to which you think you know, assume you know, or in any way need to know what is going to happen next, is equal to the degree to which you will fail as a trader." - Mark Douglas
Reply With Quote
The following 2 users say Thank You to Anagami for this post:
 
  #22 (permalink)
Every Day I'm a n00b
San Tan Valley, AZ/USA
 
Futures Experience: Advanced
Platform: NT7
Broker/Data: IB, Tallinex, & 10 others.
Favorite Futures: Futures
 
FABRICATORX's Avatar
 
Posts: 195 since Jun 2013
Thanks: 693 given, 160 received

A favorite recurring topic is that of volume (on it's own, as a bar indicator).

If the volume is spiking, and price is still chopping, well that means the auction is balanced, even if there's ten million trades going on. 5 million are buys, 5 million are sells.

For price to go anywhere, one needs to overcome the other, and even at that, the other side needs to agree with them somewhere. I suppose that's where gaps occur.

PLEASE correct me if I'm wrong (seriously). I don't want to perpetuate false understanding.

Reply With Quote
 
  #23 (permalink)
Banned: Vendor self-promotion
Phoenix AZ
 
Futures Experience: Advanced
Platform: IB
Broker/Data: IB
Favorite Futures: NQ
 
DbPhoenix's Avatar
 
Posts: 470 since Dec 2012
Thanks: 95 given, 1,543 received



FABRICATORX View Post
A favorite recurring topic is that of volume (on it's own, as a bar indicator).

If the volume is spiking, and price is still chopping, well that means the auction is balanced, even if there's ten million trades going on. 5 million are buys, 5 million are sells.

For price to go anywhere, one needs to overcome the other, and even at that, the other side needs to agree with them somewhere. I suppose that's where gaps occur.

PLEASE correct me if I'm wrong (seriously). I don't want to perpetuate false understanding.

You're not wrong, exactly, but the volume has nothing to do with it. The chop is defined by the price movement, not the volume. Given that for every transaction there must be both a buyer and a seller, there is no such thing as "buy volume" or "sell volume", though some use those terms to define resting orders. Until the transaction is completed, however, there's no print.

At its simplest, price moves up because buyers are willing to pay the ask. It moves down because sellers have to lower the ask to make a deal. The number of traders may have something to do with whether or not an advance continues and is sustainable, but it has nothing to do with the advance -- or decline -- itself.

As for gaps, you ought to look at a 1t chart sometime. You'd be surprised at the number and extent of the gaps in that bar or candle that appears to be whole.

Reply With Quote
The following user says Thank You to DbPhoenix for this post:
 
  #24 (permalink)
Every Day I'm a n00b
San Tan Valley, AZ/USA
 
Futures Experience: Advanced
Platform: NT7
Broker/Data: IB, Tallinex, & 10 others.
Favorite Futures: Futures
 
FABRICATORX's Avatar
 
Posts: 195 since Jun 2013
Thanks: 693 given, 160 received

Also, I just read this (https://www.mathsisfun.com/data/correlation.html)

...which states that correlations CAN exist, but not in all conditions. Sometimes a third variable is involved that once it is met, throws the rest of the correlation out the window.

In this example (from the mathisfun website) we see a correlation between outside temperature, and ice cream sales. But once the temp got too high, ice cream sales dropped, because people stooped going out to buy.

Please register on futures.io to view futures trading content such as post attachment(s), image(s), and screenshot(s).



DbPhoenix View Post
You're not wrong, exactly, but the volume has nothing to do with it. The chop is defined by the price movement, not the volume. Given that for every transaction there must be both a buyer and a seller, there is no such thing as "buy volume" or "sell volume", though some use those terms to define resting orders. Until the transaction is completed, however, there's no print.

At its simplest, price moves up because buyers are willing to pay the ask. It moves down because sellers have to lower the ask to make a deal. The number of traders may have something to do with whether or not an advance continues and is sustainable, but it has nothing to do with the advance -- or decline -- itself.

As for gaps, you ought to look at a 1t chart sometime. You'd be surprised at the number and extent of the gaps in that bar or candle that appears to be whole.

I will do that, good idea!

So is volume only completed transactions then? Or is it standing orders just sitting there, anywhere on the print? I feel like I'm so close to wrapping my head around market internals, but you know how it goes, the more you know, the more you know you don't know.


Last edited by FABRICATORX; July 15th, 2015 at 02:39 PM. Reason: Consolidate posts.
Reply With Quote
 
  #25 (permalink)
Banned: Vendor self-promotion
Phoenix AZ
 
Futures Experience: Advanced
Platform: IB
Broker/Data: IB
Favorite Futures: NQ
 
DbPhoenix's Avatar
 
Posts: 470 since Dec 2012
Thanks: 95 given, 1,543 received


FABRICATORX View Post

So is volume only completed transactions then? Or is it standing orders just sitting there, anywhere on the print? I feel like I'm so close to wrapping my head around market internals, but you know how it goes, the more you know, the more you know you don't know.

Volume is only the number of shares/whatever changing hands.

Volume matters at extremes. It can help the trader determine whether or not a move is climactic and, if so, what he should do about it. Otherwise, it's irrelevant. What matters is the price movement itself: either it's doing what you expected it to do or it isn't. If it is, fine. If it isn't, then you need to do whatever you planned to do in this circumstance.

We may be venturing off the topic here, though.

Reply With Quote
The following user says Thank You to DbPhoenix for this post:
 
  #26 (permalink)
Live Your Bliss
Canary Islands, Spain
 
Futures Experience: Advanced
Platform: OA
Favorite Futures: What Moves
 
Anagami's Avatar
 
Posts: 701 since Dec 2010
Thanks: 474 given, 1,398 received

My trading improved once I started to include volume in my analysis. The subject is too big for a post, but do check out:

Please register on futures.io to view futures trading content such as post attachment(s), image(s), and screenshot(s).

"...the degree to which you think you know, assume you know, or in any way need to know what is going to happen next, is equal to the degree to which you will fail as a trader." - Mark Douglas
Reply With Quote
The following user says Thank You to Anagami for this post:
 
  #27 (permalink)
Every Day I'm a n00b
San Tan Valley, AZ/USA
 
Futures Experience: Advanced
Platform: NT7
Broker/Data: IB, Tallinex, & 10 others.
Favorite Futures: Futures
 
FABRICATORX's Avatar
 
Posts: 195 since Jun 2013
Thanks: 693 given, 160 received


Anagami View Post
My trading improved once I started to include volume in my analysis. The subject is too big for a post, but do check out:

Please register on futures.io to view futures trading content such as post attachment(s), image(s), and screenshot(s).

Yeah I just totally downloaded that. $5 on Amazon Kindle.

Sent from my SM-N900T using Tapatalk

-Jimmy
Reply With Quote
 
  #28 (permalink)
Live Your Bliss
Canary Islands, Spain
 
Futures Experience: Advanced
Platform: OA
Favorite Futures: What Moves
 
Anagami's Avatar
 
Posts: 701 since Dec 2010
Thanks: 474 given, 1,398 received

I like her contextual use of volume as a validation tool for price action. Volume is not always important or relevant, but there are times when it is. It is crucial to know when there is a large participation on a move.

"...the degree to which you think you know, assume you know, or in any way need to know what is going to happen next, is equal to the degree to which you will fail as a trader." - Mark Douglas
Reply With Quote
The following user says Thank You to Anagami for this post:
 
  #29 (permalink)
Every Day I'm a n00b
San Tan Valley, AZ/USA
 
Futures Experience: Advanced
Platform: NT7
Broker/Data: IB, Tallinex, & 10 others.
Favorite Futures: Futures
 
FABRICATORX's Avatar
 
Posts: 195 since Jun 2013
Thanks: 693 given, 160 received


Anagami View Post
I like her contextual use of volume as a validation tool for price action. Volume is not always important or relevant, but there are times when it is. It is crucial to know when there is a large participation on a move.

Would you call that the herd/mob/bandwagon mentality?

Or are those the laggards, and the initial oomph comes from big money movement?

Sent from my SM-N900T using Tapatalk

-Jimmy
Reply With Quote
 
  #30 (permalink)
Live Your Bliss
Canary Islands, Spain
 
Futures Experience: Advanced
Platform: OA
Favorite Futures: What Moves
 
Anagami's Avatar
 
Posts: 701 since Dec 2010
Thanks: 474 given, 1,398 received



FABRICATORX View Post
Would you call that the herd/mob/bandwagon mentality?

Or are those the laggards, and the initial oomph comes from big money movement?

Sent from my SM-N900T using Tapatalk

Big volume does not always have the same meaning. There is stopping volume, where the move hits significant resistance on large volume but price does not move much.

I personally focus on what I call inception volume, an increase in volume at the beginning of moves (in the right price action context). This is where the odds are the best for a strong continuation.

I never enter on weak volume, unless it is a choice pullback... but if there is a trend, I am typically in it already.

"...the degree to which you think you know, assume you know, or in any way need to know what is going to happen next, is equal to the degree to which you will fail as a trader." - Mark Douglas
Reply With Quote
The following user says Thank You to Anagami for this post:

Reply



futures io > > > The market constantly changes. BUT What stays the same??

Thread Tools Search this Thread
Search this Thread:

Advanced Search



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

Jigsaw Trading: TBA

Elite only

FuturesTrader71: TBA

Elite only

NinjaTrader: TBA

Jan 18

RandBots: TBA

Jan 23

GFF Brokers & CME Group: Futures & Bitcoin

Elite only

Adam Grimes: TBA

Elite only

Ran Aroussi: TBA

Elite only
     

Similar Threads
Thread Thread Starter Forum Replies Last Post
if the stock price stays about the same, this strategy works; crazyhorse Options on Futures 3 March 14th, 2013 06:02 PM
Constantly Updated Symbol CSV for Ninjatrader patroqueeet NinjaTrader 1 March 8th, 2013 07:51 AM
Entry stop order stays active? EasyLanguage alexfdv Open E Cry 6 January 16th, 2013 05:21 PM
Funds Bet on Mortgage Sector Even as Housing Stays Weak Quick Summary News and Current Events 0 April 30th, 2012 12:20 PM
Markets are constantly changing and are never exactly the same trendisyourfriend Traders Hideout 11 March 29th, 2012 11:28 AM


All times are GMT -4. The time now is 03:07 PM.

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 2017-12-13 in 0.14 seconds with 20 queries on phoenix via your IP 54.163.209.109