Trade pure price action using the Auction Market Theory. Try to identify opportunities using the Auction Process. Try to use non-parameter based indicators (Volume Profile and Market Internals). Remember, the best indicator that anyone can have is "screen time". Watching every day, how the market reacts, breathe, and moves. Most people don't have discipline to sit there and just watch the action. Be humble, unbiased, unemotional, and stay focused during your 'screen time'.
Follow this Auction Process, using Volume Profile, VWAP and Order Flow:
1 Watch yesterday/overnight auction and most likely Opening Type.
2 Define the bull/bear line or Line in the Sand (LIS) (Trading Plan).
1 Watch yesterday/overnight auction and most likely Opening Type.
2 Define the bull/bear line or Line in the Sand (LIS) (Trading Plan).
3 Define magnet targets that could be attractors: GAPs-PBTs-VAR.
4 Wait for NYSE opening bell and let CVD plus ADSPD suggest bias.
5 Follow VWAP slope (rising-falling) to confirm potential TREND.
6 Define the volume PROFILE, if 'b' 'p' imbalance or 'D' balance.
7 Lean on VAH-VAL on 'D', or VWAP-POC-1SD on 'p/b' shapes.
8 Use Tape Reading, Bookmap or Tickstrike to refine entries.
These are the instraday time (ET) parameters for a 'normal' day, if the usual signals are ignored we will be facing a potential trending session.
9 Exits at key magnet targets or end of TIME sequence.
10 Don't take trades without a magnet destination.
Consider an additional variable of the trading puzzle, 'TIME' (Timing). Usually, every half hour the big money starts a new sequence. Take advantage of that impulse. Most profitable half hour sequences are: First Reversal (10AM), IB Close (10:30) and the Last Half Hour (3:30PM). Avoid low volume sequences. Use 30m sequences to start a position and despite of any shake every quarter, try to hold it until half hour ends.
