Does AlphaReveal combine well with graybox systems?

Does AlphaReveal combine well with graybox systems?

The answer to that is absolutely and most definitely! Recently, I've been moving more toward graybox systems which give me additional information and help to systemize my trades but I still find AlphaReveal immensely valuable-- yes even critical. I've configured my setup to use 30 second order flow bars and find reading the tape still yields significant value for me. I run it side-by-side my charts now (previously did not use any charts). 

Ok but what is tape reading and what is order flow? Does it really work?

If you're going to trade intraday, you need something to trade off of. People trade off all kinds of things. But, it is a fact that the market moves as a result of the orders coming into the market and the orders resting in the market. AlphaReveal displays this information for the active futures day trader in a super easy to read fashion. Tape reading is the intellectual process of making uses of that information to make trade decisions. Answering whether or not tape reading works is difficult because your tape reading may not be my tape reading or his or her tape reading. But, if you want to actively trade the market, trading off the actual orders moving the market seems like a start. 

But, does it really work?

AlphaReveal surfaces the order flow and the order book information in the way that we think is most easy to read. It is up to the trader to make use of that information. Trading is difficult because you have to develop your own measure of success, own risk limits, own style, and there is risk in the markets. You get to decide if you want to trade at a leisurely pace or race in the fast lane. There are many ways to use our software. You can run it side-by-side Ninjatrader or Tradestation and wait for specific areas to trade or you can just trade the open or you can trade off specific event triggers and just use the orderflow to help with risk management and entry. You can look for specific order flow patterns or just read the tape to get a general feel for activity as a way to work your positions. There are many possibilities. Of course, trading is risky and many (or even most by some reports) are likely to lose money. But, if you are already decided to trade and it makes sense to you then take the free trial and see if this is something that you can add to your trading.

And, remember you can trade using our software with the Ninjatrader simulator. Trade in the simulator until your comfortable with the software and your methods.

You can read more about graybox and systems development at my other site,

Wednesday, June 07, 2017 6:01:00 PM


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Risk Disclosure:

Futures and forex trading contains substantial risk and is not for every investor. An investor could potentially lose all or more than the initial investment. Risk capital is money that can be lost without jeopardizing ones’ financial security or life style. Only risk capital should be used for trading and only those with sufficient risk capital should consider trading. Past performance is not necessarily indicative of future results.

Hypothetical Performance Disclosure:

Hypothetical performance results have many inherent limitations, some of which are described below. no representation is being made that any account will or is likely to achieve profits or losses similar to those shown; in fact, there are frequently sharp differences between hypothetical performance results and the actual results subsequently achieved by any particular trading program. One of the limitations of hypothetical performance results is that they are generally prepared with the benefit of hindsight. In addition, hypothetical trading does not involve financial risk, and no hypothetical trading record can completely account for the impact of financial risk of actual trading. for example, the ability to withstand losses or to adhere to a particular trading program in spite of trading losses are material points which can also adversely affect actual trading results. There are numerous other factors related to the markets in general or to the implementation of any specific trading program which cannot be fully accounted for in the preparation of hypothetical performance results and all which can adversely affect trading results.