I have been applying this concept to OB's with good results: http://www.elitetrader.com/vb/showthread.php?s=&postid=2019573&highlight=stirrups#post2019573 Also with internals we are told to look for the bar which comes out of the shadow of bar 1 for clues on the tape. Also in cases where we have a steepening tape, if price closes within the existing tape I have been extending it (the original tape) as well as drawing a new one (depending on P/V). hth
I've been doing a lot of that, drawing 2 tapes if the situation offers, what at my current level appears as a multiple choice. Than monitor and see how it plays out. I get the same benefit from debriefing an unannotated chart and drawing tapes that contain price, than try to figure how it would appear in realtime. Definetly an art to tape drawing, much more so than I would have imagined. And the difference it makes is not a SUBTLE one.
The 7 cases Jack provided + the additional cases offered by Spyder show us that we have 2 types of conditions within L2 traverses: tapes and internals. With this in mind, the issue becomes choosing an appropriate taping/boxing style given particular price behavior and sentiment, while also being mindful of where we are in the sequences for each level. I agree this is an art which comes from skill and experience. Spyder has been giving us masterpieces to learn from though
Here's something Jack posted a couple of weeks ago... P.S. Please ignore the shoddy taping... <img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=2178780>
Amid the deluge of my charts and logs - as I'm sure you know - there's a lot of great material by Jack.