Monday, 5 April 2010

Thar's the Picture

These days I spend some of my weekend reading a few blogs, as do many of you. Occasionally I chime in and add my two cents worth if I think I can add some insight. Sadly, less occasionally, I come across something quite worthwhile. I'd like to share one of these worthwhile posts with you today.

I was up at 4am on Sunday, jet lagged after coming back from Oz, catching up with Dr Brett Steenbarger's blog and read this. He talks about successful traders looking at "themes" - the thing I call the picture that I look for at the end of a bar. His "themes" also encompass my idea of envisioning the possibilities in the market.

Both these ideas are the opposite of how most unsuccessful traders operate, focusing on what indicators are doing at any particular moment, rather than focusing on what the market - price - is doing and what it is telling them in the context that exists at that time.

I think my process makes the trader part of the market rather than an external observer. It seems that it is this integration that provides the feel, insight or recognition that makes the difference.


  1. Tom,

    in terms of the article I would like to ask if you look at other (higher) timeframes during your pretrading analysis.

    Like James Dalton recommends looking at Daily Charts or something like that.


  2. I only look at the Market Profile and the range bar chart. No point in looking at a different timeframe as I'm not trading that trend. I trade the trend of the range bar chart.

    BTW, I hit the delete button by accident on comments from over the week-end so if yours hasn't appeared you may want to re-post.

  3. Hi Tom,

    would be great if you could answer this unanswered comment of 2 April 2010 12:09:

    Hi Tom,

    any reasons the flowbot did not take the trade of the bar close around 16.06? The bar closed red below a red EMA33, the CVDSMA(9)was red, too, CCI 45 was declining and close to zero and CCI6 was below zero for a while, EMA 99 would have been a far enough target for the trade. I'm just wondering and hoping for an explanation.


  4. Hi,

    Can i ask who you use for a broker? I'm also in the UK and looking for a good broker.


  5. Can your exact setup be duplicated in ninjatrader without marketdelta, etc?

  6. if your setup can be duplicated in Ninja?

    all indicators are free and available here:

    and of course here:

    Thanks for your blog! I'm learning everyday.