After spending a small fortune and much sweat, it looks like my trading is turning around. Discarded most all conventional technical indicators and explored a new approach. Market Profile analysis. Which takes market data and places it inside a gaussian distribution model. It allows you to see much more than simple open-close, high/low. It looks at market as a auction process and lets you guage the fair market price as well as the value areas have formed where 70% of participants have traded (+ 1, -1 standard divation). A very holistic view of what is happening and as a result I no longer take a trade based on where the technicals point alone.
I can see major support and resistance levels several days back and well as judge who is trading? long-term traders or short term. Learning this type of analysis is not easy, I have read multiple books on the subject but what really put it into perspective was a Market profile bootcamp from profiletraders.com. The creater is a guy named REZA. Also a lot cheaper than other courses offered out there on market profile.
Shortly I will be posting screen shots of some of my recent succesful trades.
I can not believe I am writing this post considering a few months back when I wrote Ten-thousand and still not profilable, I was about to give up!
Warning, Market profile is not easy to learn and use, but so far I can tell you, it has made a huge difference in my trading results and approach. I will keep you posted.....
Can you help answer these questions from other members on futures io?
"Faith is the substance of things hoped for, the evidence of things not seen." --- "Therefore, I Believe it and I will see it. And every day and in every way, I am healthier, wealthier, and wiser."
The following user says Thank You to rtrade for this post:
If there was one book that I wish I read in the first year of my trading career it would be Mind over Markets by Dalton. The AMT framework is good antidote to viewing the markets like a video game that can be beaten with the latest and greatest new indicator.
The following user says Thank You to emerson for this post:
I read it and his other book. i really liked michael jardin "one trade a day" because he combines technicals with market profile, has a nice strategy using virgin point of control. A really great read on market profile was a 6 part guide put out by the Cbot in 1996 that updates Peter Seidlemayer(developer of market profile analysis for trading) work.
You can find it around if you drill down. I found a copy and literally devoured it. I have it in PDf format, it really strieves at a comprehensive explanation of market profile and its use. If I can figure out how to upload it, i will.
Also -Practical trading applications of market profile by alexander trading was an excellant book.
But Reza's market profile bootcamp was the best at making this a useful tool in real-life trading because he discloses his own setups with market profile, the same ones he uses to trade LIVE in his trading room, Yes! he shows the ninja superdom!!!