How do you define “Tape Reading”

Discussion in 'Technical Analysis' started by AlmostGotIt, Mar 18, 2008.

  1. Is tape reading what people are talking about when they say they only use Price to trade as opposed to using indicators… or does it mean something more, like time & sales or level 2?
     
  2. reading the tape : Attempting to predict short-term price changes by examining price and volume information as it comes across the ticker tape.
     
  3. mokwit

    mokwit

    Above is not wrong, but alternatively getting a feel for who is doing what i.e looking for things that give something away.
     
  4. is Level 2 still useful these days( more useful during the Nasdaq bubble era), or are too many games played on it?
     
  5. Game playing maximus. They got bots now doing the head-faking.
    My take: best to look at Level 1 and that's not easy visually, especially with active instruments like e-mini financial index futures...so it's best to build your own software model to analyze Level 1.
     
  6. syswizard, which software and programming languages are you using for this task?