Inventory Grab Alert 4/30/09!

Discussion in 'Trading' started by AMT4SWA, May 1, 2009.

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  1. I suggest you talk with Dr. Bill Linn ( www.linnsoft.com ) to get yourself out of your skewed perceptions about the data used and how delta is computed.
     
    #321     May 11, 2009
  2. ivanbaj,

    MO's move price. Just when cum delta looks good to roll, MO's will come in and do you like a dogs dinner.
    That is why AMT qualifies his entries and rightly so.
    Therefore cum delta is good only for a setup zone and you can hook that out of price if you want to.

    If I remember correctly, cum delta is reactive to total volume ... ie volume increases and so will CD without changing the bid/ask ratio.... just by sheer weight of numbers.
    That is why I expressed cum delta as a ratio ...ask vol/total vol *100 to try to overcome this.
    In the end it gave me no more (actually less) than I could massage from price and so I let it go and moved on.

    regards
    f9
     
    #322     May 11, 2009
  3. Yes....so far we have not yet neutralized all previously held inventory from the pullback to 909.75 area on Friday. Each time price trades below this area you will see additional holders of buy inventory finally taking their positions off as they loose confidence this area will hold as support.

    BTW, I did buy the first break below 909.75's on an intraday buy signal I had with an entry at 906.75 this morning.
     
    #323     May 11, 2009
  4. Just as I thought.....you DO NOT even properly understand cumulative delta....(shakes head). :eek: :D
     
    #324     May 11, 2009
  5. I think that you are running behind me AMT.

    If you trawl back through my posts to this thread you will come across a post I made in reference to bid-ask which also applied to tics.

    Which ever way you try to massage the data, it can not run ahead of the data trapped from CME.
    Move your mind (and you have a good mind from what I have read here) ahead of your emotions and see this subject for what it really is.

    regards
    f9
     
    #325     May 11, 2009
  6. #326     May 11, 2009
  7. Whisky

    Whisky

    As an asshole entitled to my own opinion (and maybe completely out of the topic of this thread??), I always like to think or find out where is the maximum number of stops parked, that will become market orders when triggered.

    I like to think of those stops as an exit. I then just have to pick an entry or two along the way to those stops. (Not so easy).

    I believe delta and CD gives some advantages here, but have not quite pinpointed it as exactly and as precisely as AMT4SWA obviously has.

    I also see what f9 refers to in that the volume data as reported from the exchange, and as processed by the different providers is not 100% reliable.

    I do not see those two viewpoints as opposite, but perhaps complementary.

    I think I'm learning a lot from this thread. And I also think that everybody is entitled to trade in whichever way they please.

    JW
     
    #327     May 11, 2009
  8. jfw215

    jfw215

    I just downloaded a trial of Sierra Charts,

    Could someone tell me the name of the study that does the CD?

    Thanks

    JW
     
    #328     May 11, 2009
  9. veggen

    veggen

    1) bid volume vs. ask volume
    2) cumulative study based on the above.
     
    #329     May 11, 2009
  10. jfw215

    jfw215

    Thanks V,

    Attached is the image using SC historical backfill data. This looks way off. Do you think this is due to the data provider?

    Thanks

    JW
     
    #330     May 11, 2009
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