Welcome to the daily report , of the relevant high frequency trading events surfaced by
sceeto and Follow the Bots for trading the S&P 500 e-mini futures and the Spyder ETF.
Today is Tuesday January 22th and you are looking at a 4 tick range bar chart in the
forward e-mini S&P 500 futures contract.
Today's market offered great insights into a day when there was both strong Red WIND
and Strong green Wind - both of these indications gave traders a solid trade direction posture
which kept them on the right side of the market.
This afternoon's rally had typical price movement behavior in a trading bot dominated market...that
is price moved essentially in a straight line and did not pullback.
Straigth line Rallies such as today's that do not offer pullbacks frustrate many long
time traders.
I think that this lack of classic ebb and flow of the market that traders have historically
depeneded upon to offer pullbacks for entries has disappeared in recent years because of
the presence of trading bots, which trade differenlty than human beings.
Bots don't suffer from fear or greed and will thus, I believe, trade more steadily than
humans.
Trader's using ...sceeto have learned that the lack of ebb and flow is actually a good
thing as getting into a trade that goes in a straight line towards your profit target
offers very high probaility yet low stress trading.
Using the same techniques that we spotlight regularly in our daily recap videos let's
look at how to jump on a trend that is already in motion without bothering to wait for a
pullback.
First comparing Retail vs. Institutional order flow we know from prior tutorials that in
a uptrend, especially one that has strong green wind we want to see retail more bearish
than institutional trade and you can see that today where the white line is below institutional
here
here
here
and here
You could have also entered the trend by looking for Spikes in MacDaddy - which worked quite
well both in the morning going short, or in this afternoon's rally.
Today as usual you can see that the bulk of order flow and high frequency trading alerts
surfaced by sceeto's order flow monitor correlated quite nicely with price and that in the day's
early trade the bots were selling and hence the market moved down.
One item to note today is a very interesting trading bot behavior that we refer to as Trading
Bot Rotation.
Trading Bot Rotation is when the Sell Bots exhaust themselves then the market finds itself
at a Tipping Point then new buying fuel comes into the market.
Today's classic Trading Bot rotation played out perfectly with a final exhaustive High
Frequency Trading sell surge followed by sceeto's Order Flow Monitor's Sell Programs Waning
at the very low of the day followed by a green tape imbalance which looks like the catatlyst
that sparked today's rally upward.
I hope that you found these trading bot and order flow insights helpful.
Thanks for stopping by.
Hi. I'm Carl Weiss the chief architect of sceeto
sceeto’s real-time data advanced algorithmic order flow monitoring data can surfaced in
Ninja Trader, tradeStation, Sierracharts and Multicharts
Register for a free trial of sceeto at www.sceeto.com
