ES Journal - 2021/2022

Discussion in 'Journals' started by Buy1Sell2, Dec 15, 2020.

  1. NumberZ

    NumberZ

    @vanzandt explained well. I think I also explained well.

    Price being higher attracts volume. Price is the flame, market participants the moths. No flame, no moths. Moths don't gather in darkness.
     
    #3341     Dec 7, 2021
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  2. tiddlywinks

    tiddlywinks


    If that works for you, that's fine. No problem.

    For me, there are too many bugs.
     
    #3342     Dec 7, 2021
  3. NumberZ

    NumberZ

    I don't know what this is. I'm not trying to fight. But it does seem like you have the price volume relation backwards. I am doing fine. Not using volume. Price is doing the job for me. I want for you good trading. Good luck!
     
    #3343     Dec 7, 2021
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  4. mervyn

    mervyn

    So what is the trade?

    Already hit all time high 4705 again. My target is 4750 year end but I really don’t want to put “new” risks on. the rolling date is next week.

    Took my “downside deposit” back today, merely few days
     
    #3344     Dec 7, 2021
  5. Overnight

    Overnight

  6. tiddlywinks

    tiddlywinks

    As mentioned, no problem. I couldn't care less what you or anyone thinks of volume or uses it at all. If there are a million traders, there are 999,900 ways to trade.

    As for "what this is"... surely you can appreciate that moths are bugs!!

    Price follows volume.

    All the best, and abundance to you.
     
    #3346     Dec 8, 2021
    Laissez Faire likes this.
  7. ElCubano

    ElCubano

    price can drop or rise with little volume.
    Huge volume may or may not move price.
     
    #3347     Dec 8, 2021
    DevBru, NoahA, vanzandt and 4 others like this.
  8. This is not clear to me. Can you show with an example how price follows volume?

    The way I understand it - price moves because of liquidity imbalances, i.e., market orders (liquidity takers) overwhelming the available limit orders (liquidity providers) at a given level.

    If the supply was unlimited at a given level, say 4700, price would never move higher regardless of how many market buy orders were hitting the market. So, high volume, but price won't move one tick.

    However, if the available liquidity is thin - the market will frequently move quickly higher on even low volume.

    In fact, this is how I've come to understand how markets work. It's nothing other than matching of orders day in and day out.

    In markets that are less liquid than ES you'll have price gaps where price will actually jump between levels with no traded prices in between. And maybe the last quoted price won't be traded either. But that price can still be there as a quoted price, i.e., price can exist without volume. But volume can't exist without a price traded.

    Thank you.
     
    #3348     Dec 8, 2021
  9. Zodiac4u

    Zodiac4u

    Presently seeing pops and drops, VIX up and SPY down, all temporary of course, but $ES steep slide from that 12 area is cool, good sign for now,
     
    #3349     Dec 8, 2021
    Laissez Faire likes this.
  10. No strong statistical edge here from my point of view. I'd say neutral / bullish for the day ahead.

    Still looking for that 4698,50 print during RTH. So, maybe targeting 4700 and not trying to get too greedy after that.

    Could pull back a bit on the Open, but it's possible the main move out of the gate is higher.
     
    #3350     Dec 8, 2021
    Builder17 likes this.