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gassah

QQQQ Merge

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The attached is a QQQQ composite (merge) back to 5/9 that shows three distinct high volume nodes (POCs - red lines). The blue lines approximate value around each POC. Today QQQQ tested the upper POC and reversed, closing above the high of the composite.

5aa70e720131d_QQQQComposite.thumb.png.1e800dfcac60b521c608f6cbdb595a26.png

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Thanks...just making me want to get into MP some more. I only know the bare basics and have no platform for it yet either. :(

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I separated out Friday's action and split today's. With the selling conviction down through the POC and lows of the composite Friday I'd be looking for a place to short today. The high volume node from Friday seems like a logical location for resistance.

 

There was a spike also and I'd be interested in seeing whether or not price accepts or rejects this region.

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I separated out Friday's action and split today's. With the selling conviction down through the POC and lows of the composite Friday I'd be looking for a place to short today. The high volume node from Friday seems like a logical location for resistance.

 

There was a spike also and I'd be interested in seeing whether or not price accepts or rejects this region.

 

OK, I think I am following... any chance you could annotate this on your chart in terms of what 'nodes' you are looking at and why? Forgive me as I haven't used delta much before, but curious on how this is used in real time.

 

Thanks!

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I watch the TPOs and volume nodes for potential S/R, to provide the market structure and then utilize other techniques to decide if they are good locations, such as Wyckoff, VSA, breadth, Delta.

 

I don't daytrade (yet) but will use this information in an attempt to optimize the EOD trades, sometimes taking positions intraday.

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I watch the TPOs and volume nodes for potential S/R, to provide the market structure and then utilize other techniques to decide if they are good locations, such as Wyckoff, VSA, breadth, Delta.

 

I don't daytrade (yet) but will use this information in an attempt to optimize the EOD trades, sometimes taking positions intraday.

 

That's a foreign language to me. :roll eyes:

 

Some of us learn by pictures. So if you have time, annotating and illustrating the screenshots would be great!

 

Thanks again.

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I just realized I didn't include the attachment in my of the posts. The first one shows Friday separated out and today split. The high volume area (node) would have been a place to look for resistance during the B and/or E periods today.

 

Looking at the other chart I've pointed out the weak rally with the supply bars in the same region that also shows the congestion to the left.

5aa70e74050d9_SPYComp2.thumb.png.bf63e0c1f7235e9cd5ec0ac78ea4e5d7.png

5aa70e740edb8_SPY5m.thumb.png.3ed2a6262078ca09cc6f0e3df19474bc.png

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While I see the annotation on my chart I might as well point it out. It's something Balancetrader mentioned. Notice that the little range in early January didn't offer any resistance on the way up in early April. It was passed through. When this happens it will usually offer S/R from the other side which did occur in May-June.

5aa70e7474451_QQQQPassThrough.thumb.png.8909f071bd6d689f7d1a1072be6b727a.png

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This example ties up two of my current reading materials.

"It is those areas with the fewest trades, those areas where traders are least secure, where the most potential for price movement..often sustained price movement..occurs".

 

DbPhoenix..."Springboards" on his blog.

 

From Eng. Market Profile..Familiar Patterns in Statistics.

He calls this the double distribution pattern (not Wyckoff distribution, but statistical). "Volume is the final indicator of whether or not a newly-achieved price level, is accepted or not, by current market conditions. If volume is high, at one end, then one could expect price to work around that area more before it moves away from that area."

qqqqspace.png.f05bdcf8bb025719eeb3644a9f97a452.png

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