Crash course into MP

[Northern boy]

	Quote:	Soultrader
	This is because you have not studied mp well enough to be able to use what mp is providing. More than the strategies revolving around mp... you need to first grasp the mp concepts. As traders use candle patterns to trade... mp can be used in the exact way. Familiarize yourself with it and you can see what type of profile we are likely to develop. If you can see the type of day we are likely to have wouldnt this be a tremendous edge? You can easily build strategies around it.

ST, what particular book on MP teaches you to assume the type of day the MP will have? thanks.

[Rocky Mtn Trader]

Why is it so hard to talk about a topic...ie MP, and just talk about it. Look at the title of this thread, "crash course into MP".

This thread is designed to talk about MP and what it might be able to do for your trading style. I am trying to learn more about MP and enjoy reading all the information I can. I have gained a tremendous amount of knowledge from this site...thank you.

No one has the answers. No ones method is right. Does it really matter what indicators someone uses or what method someone uses?...No. If you can make money,. ie feed your family trading, then good for you.

What that tells me is that you have a system, a method, a strategy, etc....that works for you, and you know how to use it to take a piece out of the market.

If someone starts a thread about a topic....support the topic and give your opinion on supporting the topic....OR shut the **** up and stay off this thread. No one wants to hear your negative comments.

Start a new thread AgeKay and tell us why you think MP is crap and a waste of time. But dont post your slander on this thread.

BTW AgeKay...what system do you trade with...you never told us?

Why dont you share your strategies and methods with all of us MP users?

[Northern boy]

nobody answered my question

[ammo]

north boy,heres all you need to know,the normal pattern makes a shape like a pennant or boob,the nipple on th boob is the value area,some days it will make 2 boobs and leave a cleavage area,if that doesn't turn into a trend day and starts to retrace it will go to the 1st nipple on the closest boob, it it gets above there, 80% of the time it will fill the cleavage,if its doing this at the end of the day it may go back and touch the 2nd nipple,those nipples and that cleavage are what you need to make primary in your study. If it makes a boob with a long bottom tail thats a p pattern ,thats usually bullish,the boob on the bottom with long tail above is bearish b pattern for the next day. On a normal day you go with the mrkt as it moves away from the nipple,as the market retraces as the S&P is now it stops at the next nipple ,fri stopped on the nipple from tue at the high and the nipple on wed is where it stopped around 11:30 on the intraday low before reversing ,fridays chart at that time had cleavage at 1354 and thats where it went from 46,that was a 2 boob day and the upper nip was at 57,it went there, the top of that day had a ledge at 59,they usually are not there in the final drawing of the day so it told you that as it moved above the top nipple u got long and you were gonna cover when it hit tuesdays nip at 63-64 the best way to learn this is by hand charting and don't bother taking a class, you will learn it the same way the originator,pete steidlmeir, did. Buy a graph paper notebook at office depot and chart it in points,you will soon see things very clearly

[ammo]

i have'nt found the 70% value area useful so i don't use it,know where the nips ,cleavage and trendlines are on normal daily graphs and the mrkt will respect one or the other 80% of the time, if you trade with stops, i know no one likes them but u have to when the dow has 300 point moves in a day,you will be protected when you are wrong,no one likes to admit it but to normally progress we have to be wrong, you've been doing it since birth so don't feel stupid when your wrong, just stupid when u don't use stops or trailing stops on your profits

[Northern boy]

Ammo,

Thanks for your sex-ed class, it got things across alot clearer. But I should of been more specific in my question. What you demonstrated was an opportunity to take advantage of price movement relative to VA and POC (or tit and nipple) as the day developes.

Currently I'm developping an intra-day trading strategy, and I'm working on the little tid-bit called cutting costs... or reducing trade frequency. I need to anticipate the next days volatility.

Does anyone have solid ideas on how MP can anticipate a Trend-day VS a Range-Bound Day? I already have some ideas outside of MP, but maybe you guys can help me in this area. Or if you have ideas of how to anticipate volatility outside MP maybe you can post it here or PM.

Thanks.

[OAC]

	Quote:	Northern boy
	Does anyone have solid ideas on how MP can anticipate a Trend-day VS a Range-Bound Day? .

To anticipate a trend day is like anticipating a successful break out from a current VA. As far as I knowm MP has no predictive capability in that regard other than to say that a breakout is more probable if yesterday's VA or a composite VA from the past few days have a symmetrical-looking distribution or a "completed look".

[Hlm]

	Quote:	Northern boy
	Does anyone have solid ideas on how MP can anticipate a Trend-day VS a Range-Bound Day? I already have some ideas outside of MP, but maybe you guys can help me in this area. Or if you have ideas of how to anticipate volatility outside MP maybe you can post it here or PM.

I am not big into reading so I can't really point you to a book that I know explains some concepts. I have always been the kind who after skimming over a book throws it into a corner to collect dust and then dives in head first to get dirty.

The following is a basic idea of how one can look at MP to get an idea of future market conditions. I will try to make it simple and to the point. To get more detailed it is best for the newbie to get dirty with that screen time.

Market opens inside VA:
One looks for a two-sided range bound day until we exit the VA and find interest. If we test one side with no interest we expect price to return to the POC if not completely to the other side of VA to test for interest.

Market opens outside VA:
One looks for a test of the VA without any interest. At this point we anticipate that price will continue in the direction away from the VA looking for the new VA (many times behing held up by previous Value Areas).

Confirmation:
One of the best ways to confirm the above is by using Market Internals (e.g. TRIN). If we punch outside the VA but the Market Internals are not confirming the move one should be very cautious. Many times this will result in a move back inside the VA at which time we would look for a possible 80% rule to the other side. The opposite is true as well. If we are wiggling around inside the VA and Market Internals are strengthening in one direction, we would look to trade the move outside the VA in that direction.

Volatility Outside VA:
One can usually estimate the volatility by looking at A) Market Internals and B) previous Value Areas. If we exit one VA just to enter another one with two-sided internals you can expect some consolidation. One should also take note of significant highs, lows, and consolidation areas (intraday MP areas) both in rths and overnight.

Again, this is VERY BASIC information. In my opinion the best way to learn MP is to throw up the volume by price (or the pretty letters if you feel so inclined) and tpo lines and just study-study-study the chart. This will also allow you to start getting the feel for how the different distributions affect the above.

[ammo]

you never know if its a trend day until the market closes,but if it gets to the next nip and the bounce doesnt bounce much and you have left several single traded prices, a wide cleavage,chances are it will drop to next nip,you should be prepared on those days with daily trendlines drawn that you can easily refer to so you know where to get in or out of a position since it picks nips or trendlines for major support and you wont know which til after the fact

[Northern boy]

	Quote:	Hlm
	I am not big into reading so I can't really point you to a book that I know explains some concepts. I have always been the kind who after skimming over a book throws it into a corner to collect dust and then dives in head first to get dirty. The following is a basic idea of how one can look at MP to get an idea of future market conditions. I will try to make it simple and to the point. To get more detailed it is best for the newbie to get dirty with that screen time. Market opens inside VA: One looks for a two-sided range bound day until we exit the VA and find interest. If we test one side with no interest we expect price to return to the POC if not completely to the other side of VA to test for interest. Market opens outside VA: One looks for a test of the VA without any interest. At this point we anticipate that price will continue in the direction away from the VA looking for the new VA (many times behing held up by previous Value Areas). Confirmation: One of the best ways to confirm the above is by using Market Internals (e.g. TRIN). If we punch outside the VA but the Market Internals are not confirming the move one should be very cautious. Many times this will result in a move back inside the VA at which time we would look for a possible 80% rule to the other side. The opposite is true as well. If we are wiggling around inside the VA and Market Internals are strengthening in one direction, we would look to trade the move outside the VA in that direction. Volatility Outside VA: One can usually estimate the volatility by looking at A) Market Internals and B) previous Value Areas. If we exit one VA just to enter another one with two-sided internals you can expect some consolidation. One should also take note of significant highs, lows, and consolidation areas (intraday MP areas) both in rths and overnight. Again, this is VERY BASIC information. In my opinion the best way to learn MP is to throw up the volume by price (or the pretty letters if you feel so inclined) and tpo lines and just study-study-study the chart. This will also allow you to start getting the feel for how the different distributions affect the above.

Thanks for the good post. that was fine i wasn't looking for too much detail in this. I will look into those ideas to adjust order brackets in my strategy, thanks alot hlm.