We've received some questions about how to use AlphaReveal to tape read thin markets. We've found that focusing on the volume histograms to be most valuable for reading the tape in thin markets. Studying these histograms and the price action around high and low areas of volume provides the trader a framework for producing valuable trading hypothesis. The ability to see the price action in relation to the volume histograms and how they build in real-time is a really strong combination and unique to the AlphaReveal platform.
If you use AlphaReveal to trade thin markets, and would like to share how you read thin markets then please drop us a line at firstname.lastname@example.org, and we'll share your tips in a future blog post!
AlphaReveal makes it really easy to track how PRICE moves in RELATION to the volume histogram. Focusing on the developing histogram shape and price action can provide insight into the market. Note, in the example above we've turned off AlphaReveal's advanced depth tracking capabilities to focus on the larger context.
Thursday, June 27, 2013 2:26:00 AM