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Post by traderAllen on Jun 24, 2015 11:12:56 GMT -5
Always pay attention to your spreads you're getting from your broker. This tells you a lot about the market. The spreads today was wider than normal this should give you a clue. The market action itself was weak. But it's the spreads that tip you off whether you should even be attempting to scalp. As you set and watch your charts for the price action you should also be keeping an eye on the spread action. I myself, use a script that displays the spread in the bottom right-hand corner of my charts in whole numbers this is what I want to see because it gives me a good idea of where my fills will most likely come in. I also use a script that prints the bid and ask on the chart over top of the price action so I can see it at a glance at the same time I'm watching the price action. Smart money rarely likes to show their hand and this is one of the ways that you can keep track of what they're doing. When the spreads are wider than normal not only are your fills going to be bad but your stops are going to be hit even sooner this takes the odds out of your favor.
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Post by Segwin on Jun 25, 2015 9:44:46 GMT -5
Thanks for the post Allan.
A few questions: I've been looking for a indicator that would show the spread on the chart but have not been able to find one so far, where did you get your script?
There is a blue box with white type at the top of the chart, what does CDN, CDR, ADN etc stand for?
Thanks Allan.
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Post by traderAllen on Jun 26, 2015 0:33:19 GMT -5
go to my web page www.wallstreet2easystreet.com/ and click in the Ninza.co banner. thay have some there. I think still for free. The blue box is what I used to monitor the current days range. So I can compare the current days range to the five-day average and the 10 day average. This is important to know if the average range is 110 pips and we are close to or exceeded 110 for the current day the likelihood of the market continuing goes down dramatically. If I see for example the average range is 110 pips and the market so far has only moved 40 in its current trend. Then the likelihood of the trend having more room to run is increased. You may hear me say in the chat room we are close to the ADR all trades from here out our high risk.
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Post by Segwin on Jun 26, 2015 10:55:37 GMT -5
The blue box is what I used to monitor the current days range. So I can compare the current days range to the five-day average and the 10 day average. This is important to know if the average range is 110 pips and we are close to or exceeded 110 for the current day the likelihood of the market continuing goes down dramatically. If I see for example the average range is 110 pips and the market so far has only moved 40 in its current trend. Then the likelihood of the trend having more room to run is increased. You may hear me say in the chat room we are close to the ADR all trades from here out our high risk. Great information Allan, thank you! You share your knowledge freely and there is a lot to be said for that. What do you consider to be the "day", start of the day in GMT? Also is the blue box a pre-installed Ninja indicator?
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Post by traderAllen on Jun 26, 2015 10:59:40 GMT -5
The 5:00 New York rollover. Its the most watched. So GMT-5
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