[emios]

Hi there everyone. Basically I'm at university and desperate to start trading live as soon as I can, as I wish to enter the world of finance (I don't do economics, which makes it nigh on impossible in the first place). I wanted to be able to trade stocks, as they are more simple to trade, as I can understand the volume in them, but the $25,000 pattern day trader rule has made it impossible for me to enter the market.

The only option I have open to me is futures. Is tape reading now obsolete due to the changes in the way that the CME report tick data?

Please respond. I am aware that time is running out, and my chances of entering the world of finance as a grad doing a pathetic french degree are very slim already.

[brownsfan019]

This was being discussed when the announcement was made. There's at least 1 thread talking about this on here, try the search feature.

[emios]

Hi Browns, I've looked at the thread, and unfortunately, no one came to any conclusion about this issue. I was just wondering if there was anyone here who was using volume in their futures trade analysis...

[i trade]

If volume ever becomes obsolete I quit!

[Spydertrader]

Originally Posted by emios »

I was just wondering if there was anyone here who was using volume in their futures trade analysis...

The change in the methods by which the CME reports Volume had zero net effect on how I see Volume. As long as Volume reporting (from whatever source) remains constant across all time intervals on any given chart, nothing is ever going to change - with respect to Volume.

- Spydertrader

[bathrobe]

Originally Posted by Spydertrader »

The change in the methods by which the CME reports Volume had zero net effect on how I see Volume. As long as Volume reporting (from whatever source) remains constant across all time intervals on any given chart, nothing is ever going to change - with respect to Volume.

- Spydertrader

I completely agree with Spydertrader and volume remains the most important analysis tool for me.

[zdo]

emios,
Most of the replies to your question answer re total volume – which has not changed.
My understanding of your question was that you were asking about the volume reported on the ‘tape’, correct?
I’ll take a stab at answering that.
I was told by an ES trader who uses the tape exclusively that it took him about a month to fully adjust…. that it was a process of understanding the changes, compensating / changing, testing - and then he was ‘back in business’

But he may be an exception. For one, not just any ole brain has the necessary knack to read via numbers instead of graphically day in and day out. Also, many may have been able to discern their ‘patterns’ in the old stream, but simply not be wired to learn new equivalent patterns (easily enough for it to be worth it) – so they are out of the game or their performance seriously compromised. In sum, a whiz savant could utilize either stream. Less than whiz savants may only be good at one of them, etc… and most people are simply good at neither... etc

What attracts you to do tape reading? Have you done it before?
If you never tape read the old stream, then you do not have to adjust!

[RichardTodd]

Originally Posted by zdo »

I was told by an ES trader who uses the tape exclusively that it took him about a month to fully adjust…. that it was a process of understanding the changes, compensating / changing, testing - and then he was ‘back in business’

I just made additions to my indicators to heuristically re-bundle the trades that were unbundled. It's not perfect but it seems to be good enough. And, with the new reporting, you do sometimes get more info than you got before (such as you know for sure when a large order is matched to a large resting order), so there can even be some advantages.