MarketDelta can be a very useful program, in that it shows you how much volume was traded at a given price, and can give you a good idea of turning points if you know how to use it. However, it's not for everybody, since it takes some getting used to. They have a free trial I think, so you should give it a shot and see if it makes sense to you. Their website also has a lot of free training videos on how to read the charts, so you should probably start there.
Okay for the trader who wanted to know more about Market Delta. I use a custom program that is very similar to it. Have relied on it for several years. What you do with it is called "reading the tape" Basically Market Delta is a spreadsheet format, displaying the data in columns. In that respect it is similar to a trading DOM. Unlike the DOM however, Market Delta only displays what actually trades in real time (the DOM on your execution platform displays bids & offers, but often times those bids/offers are "spoofs" that are withdrawn before they are hit. In other words they aren't real). So picture two columns like on an Excel Spreadsheet. On the left you see the where buyers come in to "lift the offer" (depending on the amount of buyers coming in, this could move the price higher) and on the right you see sellers coming in to "hit the bid" (and again depending on the number of people deciding to act, it MAY move price lower). Depending on how you have it setup, you can color the display so that as people act to buy or sell, the "cells" in the column turn from light pink to dark red (for selling) and from light blue to dark blue (for buying). On one side of the display you have a "histogram" that shows you a visual representation of the cumulative volume at each price. This allows you to see how much volume is occuring at each price point. Skilled traders can use this kind of display to see how price moves back & forth similar to the ocean tides move in and out. You see the players (different sizes buys & sells) come in and move the market back and forth and if you study the process you can learn to see where the turning points are. Even if you have skills and experience it will take you some time to learn to "see the market" this way. Ultimately I use it in conjunction with my own support and resistance on long term charts. In other words as price approaches a support or resistance areas I watch to see whether they will "take it out" and break through or fail and breakdown back into the previous range. I don't pay the fees so I don't know what they are, but I would imagine they offer some kind of trial. Like anything else in this business it requires an investment both money and time and persistence to learn how to use it. I hope that helps. Best of luck to you Stevesbg
fb123, would you say that Market Profile is more important or VSA? i have spend enormouse amount of time on MarketProfile so far
Market Profile is useful for determining areas of congestion vs. areas where price is likely to move rapidly... it doesn't necessarily tell you which way price is likely to break, only that once it breaks out of a congestion area, it is likely to move a good distance. VSA is something you can use to spot reversal patterns at the end of trends. So really, I would learn to use both, as they are different tools.
None of them I know is free ! They all have to pay for, although some of them are as cheap as 29$ and some as expensive as 295$. None of those I tried so far as courageous and I though!!! Most of them seem to follow specific systems or strategy plan (specific entry and exit) and when they lose they blame the market and call it a day. What I saw from most of them is that, they never try to adapt to the market conditions, use a simulator, or worse never even trade live just tells you there could be opportunity to go short or long (expect incometrader.com, where we did well all the summer sideway market until I got crashed by July rally, thinking that the world will go side way for ever!!) They all tell you that they are just there for educations and not trading!! And this is why they seems to fantasize a lot and seems so hesitant to enter the market, miss most of the rallies because they seems to take 1 or 2 points and call it a victory and that there is no need to over trade!! What?? Dont any one love to have extra 500-1000$ in his account. What about the days you get out with -ve 500$? You lose money, time and a day from the year.... how would they balance that?? (May be from our subscriptions!!) The one that I didnât try is Pro Trading Course! Although he seems to be great educational entertainer from the name of his website... but he talks like a trader (using the math for your advantage and cutting lose short and try to catch a runner right from the start) although there was a lot of criticism about him here in ET website. He has terrible website, not so clear info...etc for someone who runs a multi-million business as he claim! I wonder if its possible to just try his room without joining his expensive proprietary program! Seems that like most of what they guys said in the beginning is true:; you have to set up your own plan and risk to lose any way!! Timing the bottom and top is not easy job, but seems to be much better than those crap, unless you want some entertainment while you trading. I would say that the market usually run between 2 points: the top and bottom. It can also go down all the day or up all the day on a 10 point range easily. How to spot where the market reverse so you get on safe and keep holding is the tough job! You might get stopped out couple of times trying the bottom or top... but sure you might catch the very bottom and hold for couple of hours to maximize your profile! It seems that the only way to do that is to trade multiple lots (quite dangerous game, and need a lot of cash) where you scale out on 2 ticks and hope to leave the last one for a runner, or get stopped out with a breakeven and try again! Any thoughts?? I am personally looking to try some types of indicators that can help me maximize my chances of profit and hope that I would be able to get some help from some guys here. I am looking at http://blog.marketdelta.com/ http://www.tradeguider.com/ and hopefully the guys here can advice me more and give me insite about which one they are working with and saw a good results from (or at least helped them to get better eyes) Please share your thought about this. Thanks
Try the CCI indicator along with volume and see how that works for you. It's a simple indicator to use. You can learn it in 15 minutes.