000 contracts were traded. Thisbreakdown would enable you to define market activity withvolume, much like the leading traders back in the 1960s,who knew that other traders would follow their lead, whetherthey were buying or selling.The midday release can also give you low-volume numbers — prices at which a small amount of trading is occurring. These often serve äs support and resistance areas forthe remainder of the trading Session.Furthermore, the midday release can help you gain someinsight into early and late trade facilitation, and it can helpyou take a position for the next day. One stable elementof the market that can help with this is the level of commercial activity äs compared to the previous day. If it differs from the norm by several points, this can be significantand can help you make trading decisions.
THE MIDDAY RELEASE OF LDB
A&ESSING THE SIGNIFICANCE OF COMMERCIAL\ACTIVITY
The midday release of volume figures by CBOT is, of course,closer to the live market than the previous day's figures,and you can use it to look for significant changes in volumeäs compared to the mass of human behavior from the previous day's close. The midday release represents an estimated 25 percent of the day's total volume. It appears toolate and is too slow to help you determine which volumefor the day will be higher or lower; most of the Session isover by the time the release is available, which is too late.
As an example of commercial activity, let me cite an example from a trading dass I taught in May 1988. At thetime, the price ofsoybeans was around $7.50. The prospectof a drought had increased the price substantially, andsince the whole growing season was ahead of us, I feit thatbeans were overvalued.
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However, looking at commercial volume releases for theprevious ten days, I found that commercial activity on therally days had been less than 5 percent —very low. As responsive traders and long-term opportunity seekers, thecommercials should have been heavy sellers, especially atthe high end of the price ränge.This told me that we had one of two possible situations.First, the commercials might have already taken advantageof lower prices by hedging, and were in a predicament andcould not seil more; or, second, they might simply haveno desire to seil at all. Consequently, I reconsidered myidea that the market was overvalued and decided that themarket must be at value after all.Maybe you know how the story ended. Subsequent activity found the market trading between $7.50 and $10.50,äs the crop became seriously hurt by the 1988 drought. Soalthough I had been right to abandon the idea that themarket was overvalued, my second assessment had still beenwrong; at $7.50, the market was undervalued, not at value.A good trading friend of mine, Kenny M itchell, pointedout to me in the midst of that year's summer volatility inthe markets, that soybeans had been over $9 fewer than20 or 25 days in their entire history. Thus, the $9 pricehad not stood the test of time in the marketplace. Thisleads one to believe that $9 will remain an overvalued area,unless the market begins to spend more time there.All of this suggests an idea on how good traders assessopportunities in the light of background information. Youwouldn't want to make a stand at $9.00 on the basis ofbeans briefly reaching $10. Be aware of background information like this so that, when you do make mistakes, theywill be minor ones from which you can recover. Don'ttrade absolutes.•106
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To be of value, a theory must be practical and capable ofbeing used by people. Throughout this book, we've triedto combine practical guidelines for learning how to readand use the markets with the underlying principles of howmarkets work. In this chapter, we'll state in concise formthe theory of markets that has grown out of my work; thenwe'll explain in some detail the meaning and practical implications of each word in the theory. By the end of thisdiscussion, you should have all the basic information youneed to understand markets and how they work.Concisely stated, the Steidlmayer theory of markets isäs foilows:'The market is an organized medium that expresses human behaviors in different price areas at a given point intirhe, always presenting an opportunity to someone.Tnough this Statement appears simple, it contains a lotof meaning. Let's look closely at each word in this statement so that you can fully understand the theory and itsimplications for you äs a trader.
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Steidlmayer on Markets
The Steidlmayer Theory of Markets
THE MARKET
surface). The key to this organization is the negotiationprocess used by market participants. What takes place inthe negotiation process is the development of three reference points: the trade price, at which trade is consummated, and reference points above and below the tradeprice. The reference point above the trade price is apparently too high; the reference point below the trade priceis apparently too low.In a more complex negotiation process, we have anotherstructure that gives further organization. This is the auction process. In this Situation, instead of a single buyer andseller, there are multiple participants who would like tobuy or seil. This is also a known procedure for finding asingle buyer and seller in a competitive format. In theauction process, if we have ten people interested in buyingat a certain price, äs the price moves higher, participantswill drop out. For example, if an item is priced at $10 withten buyers interested, if the price moves to $15, we mayhave six buyers interested; if the price moves to $20, wemay have two buyers interested; and so on, until the transaction/is finally consummated.Two types of auctions take place that may be confusingto the uninitiated: the down auction, in which multiplepartjicipants wish to seil, and the up auction, in which multiple^ participants wish to buy. In either case, the marketis ordered around the fact that äs price moves, it rationsthe ac\ivity of people wishing to buy or seil; activity is shutoff äs the price moves either higher or lower.
The market is a location that constitutes a base for Services.It establishes rules and regulations for participants andproducts äs well äs a centralized meeting place in whichmarket activity can take place. In the past, market locationshave been fixed in major centers around the world, invehicles known äs exchanges. With the advent of changesin Communications and the globalization of markets, thesefixed locations are now subject to change in terms of thenew Services that the marketplace now requires.The first Service the market provides is liquidity, whichallows transactions to take place in an orderly fashion. Theorderly nature of market transactions makes it possible formarket participants to read market activity, which, in turn,leads to the single most important Service provided by themarket: information.Information on transactions is vital to all traders andneeds to be disseminated on an on-line, real-time basis sothat market activity can be defined with volume. Thereare three necessary elements in a complete market information source, or matrix data base: price, time and volume. These should be provided in a flexible format, ästhey have occurred and are occurring in the marketplace.As this information is disseminated to more people, themarkets tend to expand, serving the industry in a better,broader fashion.
IS AN ORGANIZED MEDIUM
THAT EXPRESSES HUMAN BEHAVIOR
The most revealing aspect of the market is the fact that itis naturally organized, not chaotic (äs it appears on the
This refers to the use of the market by participants. Marketdevelopment, which is the continual use of the market
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The Steidlmayer Theory of Markets
during its time frame (that is, its trading hours), consistsof six things: a current price; a reference price that is toolow; a reference price that is too high; a price area that isrecurring; any change in any of these; and the relationshipof each element to the others.From a small cell, not unlike John Schultz's minimumtrend, the unit that includes each of these six elementswill evolve from relative instability at a small sample sizeto relative stability äs the market develops. That is, thereference points will become more stable and reliable äs,the process continues.The weakness of past market theories, and the reasonthey have been largely impractical, is their failure to consider human behavior. The most important point past market theories have missed is that human behavior is neverbalanced. Because this is so, opportunities can be definedin any marketplace. Individuais and corporations in industries outside of the financial community do this every day,yet, amazingly, this basic concept has never been appliedto exchange markets.In essence, human behavior in the market is price/timeallocation, which is affected by each of four major kinds ofgroup activity. They are: confident activity; hesitant activity; gradual change; and beginning and ending activity occurring simultaneously in the same price area.There are also three main groups of market participants,each of which affects human activity in the marketplace ina different way: the local Professionals, the commercials,and the general market participants. We've discussed thesegroups in detail elsewhere in this book.
IN DIFFERENT PRICE AREAS AT A GIVEN POINTIN TIME
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By "different price areas," we refer to the ränge of distribution of prices in which all market activity takes place.The ränge of this distribution is important, and it gives themarket a time parameter. The relationship can be definedin this way: The larger the ränge, the longer the marketwill remain in that price area since it will take the marketlonger to unwind. By the same token, a small distributiongives one a small amount of time, äs the market can unwindmore quickly.Two other components that add to the stability of a distribution are the diversification of participants and theamount of trading volume. For instance, if we have a largedistribution with a diversified clientele of market participants, then the market is probably in a rather stable condition. However, unstable conditions can arise in the samegeneral framework if we find that the large, diversifiedclientele was operating from a single motive; when thismotive disappears, the market may unwind very quickly.By tjie same token, if the diversified clientele is replacedby ^ single operator causing a large price ränge and volume the stability of the market may again be weakened.Iii our analysis of the market, we are dealing with theprese^it tense —conditions that exist and are evolving now.Our On-line data base gives us price Information from thepast up to the present, defining the current point in timeand any changes taking place in it.
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The Steidlmayer Theory of Markets
ALWAYS PRESENTING AN OPPORTUNITY TOSOMEONE
the market and buy at a price away from the best opportunity.The purpose of the market is to serve society by bringingmore people into the distribution System. The larger thedistribution and the greater the portion of society using it,the more effectively the market will serve äs a medium forchange. Thus, it is important for the market to increasinglyattract participants who are already active in the market(increasing the use of the marketplace) äs well äs attractnew participants from the outside.The Steidlmayer theory of markets draws together, in asimple form, many of the conclusions I've reached äs aresult of my years of practical work in various markets. Ithink you'll find it a useful framework within which toorganize your own thinking about markets and how theywork. Trading practices that are based on a sound understanding of market activity are likely to succeed; those thatare not soundly based may work for a time, but, äs marketschange, they will no longer apply. Without a fundamentalmarket understanding, you will lack a solid foundation fromwhich to make the necessary adjustments. Thus, any tradercan/benefit from learning and applying this theory in hisdaijly work in the marketplace.
There are three time frames in any marketplace: the market-imposed time frame, defined by the operating hoursof the exchange; the participant time frame, which is theindividual trader's time frame for buying or selling; andthe opportunity time frame. The opportunity time frameis a moment in the market that forces a participant to actbecause of the favorable price opportunity it offers.In the past, there were two main types of traders: daytime frame traders and beyond-the-day traders. Day timeframe traders are simply looking for a fair price. Those whotrade beyond the day are more distant from the market;they are not interested in trading unless a very favorableopportunity is presented to them.As the markets move toward 24-hour trading, the firsttwo time frames are taking a smaller role, and the opportunity time frame trader is growing in importance. Today'sopportunity time frame trader is distinguished from thebeyond-the-day trader by the fact that the opportunity tradermust watch the markets closely and continually, to ferretout the opportunity that may arise at any time. So he iscloser to the market and follows it rigorously, knowing thathe may want to trade at any time of the day or night —whenever a trading opportunity may arise.The emergence of this new type of trader is contributingto the volatility of today's markets. He generally followsone of two behavior patterns: If the market gets too faraway from him, he may conclude that he will have theopportunity to do just äs well a day or two down the road,and so he will wait patiently; or, if he has just missed hisbest price opportunity by a small margin, he may follow114
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The building block of any market is it's distribution — thebasic unit of market movement. Although the term "distribution" had been associated with markets, the nature ofmarket distributions has never been fully examined. In thischapter I'm going to discuss a new type of distributioncalled the Steidlmayer distribution, which is quite different from the more familiär, so-called normal distribution.
PURPOSE OF MARKET
To understand the market naturally it is necessary to findits purpose. The real purpose of any market is to distribute,which is also its economic function. Any number of peopletradmg among themselves without this purpose would notbe seWing society, and the marketplace would be doomedto failure. Trade facilitation is a measurement of activitythat defines this purpose because it is volume. All activitytakes place within a distribution. Just think of distributionäs you would a Company's market share. The purpose is topenetrate the market and gain an increasing share. Thevolume of activity would describe this.Also, try to think of the different support groups theCompany has in order to maintain and enhance its market•117-
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The Steidlmayer Distribution
share —warehouses, advertising, research and the like.Analyzing any of these critical parts gives insight into thestrength or weakness of the distribution. This representsthe natural flow of Information and we want to take thesame approach to the markets. In other words, we wantto be inside the workings that support the market.
The Steidlmayer distribution is what all good traders perceive, although it has not been fully expressed or explainedbefore. For a trader to have been consistently successfulfor a longer period, he must be doing something right. TheSteidlmayer distribution offers the explanation.
ILLUSTRATING THE STEIDLMAYER DISTRIBUTION
THE NORMAL DISTRIBUTION VS. THE STEIDLMAYERDISTRIBUTION
As you know, in the normal distributions, variables clusteraround an average, or mean, value. When a normal distribution takes place in the market, prices center aroundthe mean. By contrast, in the Steidlmayer distribution,prices develop a ränge. In a sense, a normal distributionis past tense, representing the filling out of an alreadydiscounted distribution, whereas the Steidlmayer distribution represents the present tense development of anongoing distribution. Later, it will usually be accumulatedinto a normal distribution pattern.Thus, a trader who is looking for the Steidlmayer distribution can have timely Information from which to trade,rather than late information. He has a far more efficienttool with which to take advantage of price when puttingon a trade because he can take advantage of movementsin the market on an informed basis. The Steidlmayer distribution lends itself to opportunistic trading, for it presents a defined beginning or ending from which developmentevolves.This phenomenon represents, I believe, the long-soughtexplanation of how Professional traders can make moneyin what most academics believe is a totally efficient market.
It's probably easier for us to give you a visual explanationof this type of distribution than to explain it in words. Lookat Figure 9-1, which shows four days of Market Profilesfor December 1988 T-bonds. Note the distinctive shapethat characterizes several of the distributions shown in thischart. (WeVe highlighted it by superimposing an outlineon the distributions.) As you can see, the Steidlmayer distribution can be described äs resembling the letter /, afishhopk or a teardrop (either right side up or inverted).The/ize of the distribution can vary, äs can its time frame.Ancf the distribution may Start from either end, though notfrom the middle. That is, development follows either froma first Standard deviation or from a third Standard deviation— never from a second.I^i a normal distribution, the first Standard deviation appears in the middle of the ränge, with the second and thirddeviations falling above and below this median. This is thebasis of the efficient market theory that a price away fromvalue will always tend to move back to the center. Thisdoes occur in the marketplace, but only in a non-dynamicmarket, where there is no development. So the efficientmarket theory is not wrong; it just doesn't apply very oftenin real markets. The Steidlmayer distribution is far morecommon in dynamic markets where development is taking
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The Steidlmayer Distributionplace. Traders can sense the existence of either type ofdistribution.
THE STEIDLMAYER DISTRIBUTION AND SPEED OFMARKET MOVEMENT
Parts of the Steidlmayer distribution have the characteristic of being initiating or responsive in relation to thedeveloping distribution — initiating in the second and thirdStandard deviations, where the market moves quickly, andresponsive in the first, where it moves slowly. This volumerelationship gives us the speed of market movement, ästhe market will move quickly away from the third Standarddeviation but slowly away from the first.Another benefit of recognizing this distribution is that itcontributes to the natural flow of information — informationthat is indisputable, since the market is clearly either distribüting or not distributing at any given time. The rängeof this distribution, along with the diversity of ownershipand volume, gives us time; the greater the ränge, the diversity and the volume, the more time we have.Just imagine the ability of a distribution to unwind, andyou will see the premise. Suppose that a hundred tradersaround the world buy soybeans, and the market moves upeight cents a bushel. The market pauses in its distribution,and a few people decide to buy the pause, while a fewothers decide to take profits. Under these circumstances,the price with probably stay in the same general area.However, in the same Situation, if we suppose that all ofthe one hundred traders had the same purpose —say, tocover shorts —the same distribution could unwind fairly•121 •
Steidlmayer on Markets
The Steidlmayer Distribution
quickly. More rapid price change could then be anticipated.Another example: Suppose we have one hundred peoplebuy the market, and the ränge is only a cent. If the marketstops and moves down, with all these people under water,many of them will seil at once; so the one-cent ränge hasn'tgiven you miich opportunity for free exposure in the market. Although the participation was diversified, the smallprice ränge limited your opportunity to trade.The existence of the Steidlmayer distribution has beenobscured by the fact that the larger time frame distributionoften takes the appearance, after the fact, of a normal distribution. However, this is usually made up of several distributions that are profiled äs one. In looking at thisconglomerate, a trader is not getting pure, fast informationbut a blend; and a trader cannot successfully use blendedinformation without making some adjustments.Working with pure information is the best way to builda data base and adjust to changes in the markets. I amcurrently working with two large vendors to build an entirely new matrix data base that will allow the user to arrange data to yield pure information, including the elementsof price, time and volume. This will allow the trader tobecome even more closely involved in the markets thanever before, enhancing his ability to "feel" market conditions äs they develop.
help us visualize activity and development in many otherareas. For instance, let's visualize the "distribution" of theskills of a good, young trader äs they develop throughouthis career (see Figure 9-2).In Figure 9-2, the vertical axis represents the skill levelof the trader, from lowest to highest. The letters representhis level of attainment from the earliest period of his career(letters A and B) to the latest period (F and G). As thetrader begins his career, he gains understanding of themarket and of himself. His abilities grow, and he "distributes" or moves away from his beginning base to a new,higher level. This may take six, eight or ten years.Now he is more relaxed and self-confident, and äs somenew opportunity emerges, he enters a second phase ofgrowth — a further distribution up. Now he is at the 22 or23 year mark in his trading career. At this point, aroundthe age of 45 or 50, he is likely to top out. He has arrivedin terms of his career; he has assets and a family, his desirehas diminished, he is comfortable and less "hungry." There
A NATURAL PATTERN OF DEVELOPMENT
Let's step away from the financial markets for a momentand look at how the Steidlmayer distribution may apply inother fields. It's possible that this type of distribution can•122-
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Steidlmayer on Markets
is no distribution away from this point; the trader's development has slowed.Note the shape that has emerged: the characteristic fishhook shape of the Steidlmayer distribution. The ups anddowns that a typical trader experiences — the growth heexperiences and the setbacks he learns to overcome —canbe charted in a pattern similar to the one we see in themarket.Figure 9-3 shows another pattern by which a trader'sskills might develop. In this case, the trader attains a higherlevel of skill only late in his career. Thus, the latest portions of the profile — represented by letters F and G — are
at the upper end of the distribution. In Figure 9-2, theSteidlmayer distribution began in the third Standard deviation, then moved on to the second and the first. InFigure 9-3, the reverse pattern appeared: The distributionbegan in the first Standard deviation, then moved on to
The Steidlmayer Distribution
the second and the third. These are the two classic patternsby which the Steidlmayer distribution normally develops.Note that the life history of an individual may containmore than one distribution. For instance, a trader mightenter some other career at the age of 45 and so begin asecond distribution, which itself would be likely to takethe form of a Steidlmayer distribution. This mirrors theway in which a market may contain more than one Steidlmayer distribution during a single trading Session.A similar kind of pattern could be traced in the careerof a Professional golfer, the sales of a Company or manyother natural patterns of growth and development (see Figures 9-4, 9-5, and 9-6).An even more meaningful comparison might be to lookat the development of the economy of the United Statesor any other country. We can expect a form similar to thatof the Steidlmayer distribution to appear here äs well.Change in any environment creates a development thatmay be measured or defined with the same underlying
Figure 9-4. Possible profile of the developing skills of a Professional athlete overthe first eleven years of his career (A-K). A more-or-less steady improvement is followedby a plateauing period during the last few years of the distribution.
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The Steidlmayer Distribution
Figure 9-5. Possible profile of the stock price of a Company äs it grows in value overa period of years. Note the print at I: this represents the markedly higher price offeredwhen the Company attracts the attention of a takeover artist on Wall Street. From thispoint, a new distribution will begin; it may distribute higher or lower, depending onvarious factors.
form. Of course, I am not personally qualified to analyzethe relationship of the Steidlmayer distribution to all theseareas of human endeavor; but my experience and knowledge strongly suggest to me that this type of distributiondoes apply to all forms of growth and development, an ideawhich others may wish to pursue.Now that this essential building block of the markets hasbeen discovered, many important topics can be more fullyresearched. These include the speed of the markets; distributions that can be pulled to the center; cumulativechange factors that lead to larger moves; net balance factorsthat abort apparent moves. Partly äs a result of this discovery, the years ahead promise to be an exciting time forresearch into the nature of markets.
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Figure 9-6. Possible distribution of inflation rates over a ten-year period (A-J). Theearly years are high-inflation years, much like the late 1970s in the United States. Theseare follow^d by a series of years characterized by stable price levels and low inflation,like the years of the Reagan Administration. Eventually, a new distribution will begin.
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Volume is the track that traders leave when they use themarket, not unlike the tracks hikers leave when they usea trail through the woods. Volume teils the story of marketactivity —the use of the markets.
READING VOLUME DATA
Even /without being presented in a carefully designed format, volume falls naturally into an organized form. In somemarkpts, this form happens to be the same äs the bellcurveV—the normal distribution. This is one of the reasonswhy me bell curve of price/time relationships, which isessentially a volume profile, takes the form it does. Whenthe market is in a responsive mode, it distributes arounda high-volume price in a virtually symmetrical fashion.By contrast, when the market is in an initiating mode,the volume profile shows small, approximately equal volumes at each successive price. This indicates that the market has yet to find the fair price it is seeking. The marketis looking for a responsive zone, but has not yet located it(see Figure 10-1). Thus, volume reflects the mode of activity of the users of the market and describes the conditiontheir use is giving to the market.•129-
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Natural Volume
MARKET PROFILE (R) COPYRIGHT 1984 CE-OT.COPYRIGHT 19B7 CQG INC.
Figure 10-1. Volume profile for January 1989 soybeans. The line across the profiledivides it into responsive and initiating segments. Above the line is the responsive partof the market. Note the symmetrical pattern of volume, centered on the high-volumeprice (8074), with the same number of price ticks above and below. Below the line isthe initiating portion of the market. Note the small, approximately equal volumes ateach tick. Note that responsive area is the same äs it was in the 1960's.
Volume also reveals the points of inflection of this behavior äs it changes. A point of inflection is an area in whicha change in the behavior of the market is taking place. Itis characterized by relatively low volume in comparison tothe developed ränge (see Figure 10-2). In a larger context,a low-volume price area similarly indicates the beginningand ending of market distribution.
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MARKET PROFILE (R) COPYRIGHT 1984 CBOT.
COPYRIGHT 1987 CQG INC.
Figure 10-2. Note the points of infection (arrows), indicated by low-volume pricepoints. These are areas in which a change in market activity is occurring. Points ofinflection indicate change in market activity.
As we've previously noted, large or small volume in adistribution gives us a time reference. So does concentrated or diversified participation. Volume is organizednaturally into three Standard deviations, with about twothirds of the volume falling into the first Standard deviation, another quarter into the second Standard deviation131
Steidlmayer on Markets
and the remaining 5 percent or so into the third Standarddeviation. This pattern can give us insights into the probable speed of market price movements and how long themarket will probably remain in a given price area.The procedure is äs follows: Let's assume that we willhave 100,000 contracts of a particular commodity tradedduring the day. Let's also assume that we can correctlyplace a trade price area in the third Standard deviation fora given distribution. Finally, let's say that the market hasjust traded 4,900 contracts in this area. If these assumptions are correct, we can know — not just hypothesize — thatthe market must quickly move out of this price area. It hasno more room to trade (see Figure 10-3).Conversely, suppose we put this price area into the firstStandard deviation of volume. If we've traded 40,000 contracts at this price, we now know, if our assumptions arecorrect, that the market will stay in this price area for awhile — specifically, until it reaches a volume of around68,000 contracts — before it moves out.Note that this doesn't mean that we know which waythe market is going to move; we know only whether it islikely to move or stay put, and, if it is going to move, howquickly.Look at Figure 10-4, a real-market example that closelyresembles the hypothetical profile shown in Figure 10-3.In this example, the prices at the upper end of the profileconstitute the first Standard deviation of volume for thisdistribution. When the market was trading in this area, itwas likely to remain there for a while. The prices belowthis point represent the second and third Standard deviations. A price in the third Standard deviation area represents an opportunity for the trader, since it could beassumed that the market would move relatively quicklyaway from this price and begin a new distribution.•132«
Figure 10-3. A hypothetical volume profile, showing first, second, and third Standard deviations. The assumption is that 100,000 contracts will be traded for the entiresession. This pattern can be used to draw differing conclusions about the expected speedof market price movement, depending on where in the ränge the market is currentlytrading.
When the market is trading in the first Standard deviation of volume, it is in a responsive mode, trading arounda fair price. When the market is in the second or third133
Natural Volume
Steidlmayer on Markets
dard deviation may appear either at the top or the bottomof the profile. Furthermore, the market may develop ineither of two Orders: either first Standard deviation, secondand then third; or third deviation, second and then first.Consider Figures 10-5 and 10-6 for two more examplesof how the Steidlmayer distribution is reflected in the volume profile.In Figure 10-5, two Steidlmayer distributions occurredduring the same trading Session. To indicate the two distributions, we've superimposed outlines of the characteristic "fishhook" shape over the volume profile. The first
C80T,
Figure 10-4. Volume profile for January 1989 soybeans. Note that a new distributionhas begun in J-K time period. Note that new distributions do not necessarily start withthe next day's opening.
Standard deviation, it is in an initiating mode, moving tofind a fair price.
VOLUME AND THE STEIDLMAYER DISTRIBUTION
In the so-called normal distribution, the first Standard deviation appears in the middle, around the mean price, withthe second and third Standard deviations tailing off aboveand below. In the Steidlmayer distribution, the first stan-
Figure 10-5. Volume profile for December 1988 T-Bonds, showing two Steidlmayerdistributions in a single day. The first occurred during the A-D periods, the secondduring E-L.
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MflRKET PROFILE (R) COPYRIGHT 1984 CBOT.CQPYRlGHt 19ß7 CQG
Steidlmayer on Markets
Natural Volume
MARKET PROFILE (R) COPYRIGHT 1984 CBOT.COPYRIGHT 1987 CDG INC.
Figure 10-6. Volume profile for December 1988 T-Bonds, showing another twodistribution day.
Figure 10-7. Volume profile for December 1988 copper. The profile shows a nearlycomple^e Steidlm