Trading Time - has a double meaning, referring to the allocation of the time to trade, and also understanding the critical information regarding where you are in time when a trade is placed. This facet of time has many characteristics: the timeframe of the chart that was used? How critical is the immediate price action directly after the trade is placed? At what point in time is the trade within the trend, or are we at the end of the trend? How strong is the trend, based on the time it has existed? What is the risk and expectation in relationship to time? What is the dominant and correct time frame to be trading? Obtaining a true measure of expectation in any one period of time is critical to improving the chances of success. Fear and greed can be removed from the equation, providing a framework for the good trader and an understanding of risk and expectation to the new one. This book looks at the characteristics of time in detail, using propriety studies that analyse time through referencing each part of the day to its previous behaviour at similar periods previously.
This creates a true measure of momentum, and allows for fixed reference points that understand normal and unusual behaviour in multiple time frames at the same time. This means the trader no longer has to wait for the current bar to finish before he can implement trades, as many of the studies reference the opening price, and not the close, unlike many established momentum-based concepts. New studies such as Oasis Volatility Time Bands, Range Deviation Pivots, Time Average Bands and Trade Flow provide short-term day trading opportunities, giving exact support and resistances as low as the next 10 minutes. These can then be connected and quantified with original methods and concepts using Steidlmayer's Market Profile. The second half of the book looks at what is the correct time frame to be trading, what is the dominant time frame, and when must a trend move up a time frame to continue or die. This helps traders identify the beginnings of new trends when in their infancy, in time frames as low as 5 minutes, and how to ride the trend to its conclusion many months later.
Various trade sequences are explained in depth and show how Market Profile with step theory allows for short-term counter trend trades to be made whilst maintaining a core position with the trend. Finally, the book looks at the various methods around Peak steps, which provides new concepts of swing theory, trailing stops, when trend corrections are due, and when the trend is strong, needs to correct, but will restart. The reader will learn new methods of quantifying swing patterns by connecting it with time, range and volume. A CD comes with the book to provide an easy guide to all the graphics, and allows for the reader's own notes and library to be built to aid their trading education.