An Important Lesson on Reading the Tape

SMB Capital Workshop bit.ly/3lrFyrV
#smbcapital #stockmarket #daytrading
SMB Disclosures www.smbtraining.com/blog/smb-...

[@gregorystewart4887]

SMB has the best tape reading educational videos on KZbin, thanks

[@RosstonSmith]

"You're working too hard on this trade." A very enlightening GROWTH perspective, with follow through commentary on HOW to maximize that specific setup. I greatly enjoyed this!

[@smbcapital]

thx Ross!

[@renepungartnik7405]

I cannot thank you enough for these videos and knowledge. My trading has improved significantly since i started watching your videos and since i started taking trading very seriously. I went from red, emotional and amateur trading to breakeven and i am taking very small and quality steps towards improving every day. I am considering also taking some of your courses. Greeting and support from slovenia

[@smbcapital]

that's awesome Rene!

[@gregstewart8281]

Thank you so much for the video SMB has such great educational content it so helpful The step-by-step review process it's awesome, I started trading in 2019 and was strictly off the charts About a year ago I started recording my screens and reviewing after I get home from my day job, So anytime I can hear what you guys are looking for in the tape is so helpful, I shorted Amazon last week And I normally just set bracket orders and then just go to work But right away I could see the weakness in the tape canceled my orders I just followed it down until I could see the tape making a support level this was only possible from your SMB videos and Mike's Book ONE GOOD TRADE Thanks again

[@KT-zx9jr]

Very nice trade, discussion, and illustration Jeff and Yanni. Well done. I've been trading the OXY weekly call spreads. Love the sector strength at present. The tape is a nice compliment reflecting demand-supply imbalance at a given point n time and augments the argument for a higher probability trade nicely. Thank you.

[@SG_Network]

Looking forward to this one! Thanks

[@jimmycampbell5558]

Very good videos good advice.

[@tradeforcharity]

Great insights. Nice video 👍🏼

[@jeffreyhalverson2611]

This 'report card' stuff has got to be one of the most valuable 'skills' I can add to my playbook. Without your guidance, I would have no idea even how to begin. Very good stuff!! Thanks Much!:::)

[@smbcapital]

Great to hear Jeff!

[@mbellafiore19]

love hearing this Jeff. train well. trade well.

[@jeffreyhalverson2611]

@@mbellafiore19 I'm learning to be just like you and 'The Crew'! Had the opportunity to come work with you been presented to me 40 years ago, I would have jumped at the chance! Thanks again for all you guys do. Also, it is my intention to teach my adult Children to trade and maybe open a 'Desk" of our own:)

[@jeffreyhalverson2611]

Also, I just got "ONE GOOD TRADE" :)

[@mbellafiore19]

@@jeffreyhalverson2611 👊

[@chilatelover]

dude killed it

[@georgekatcharava6087]

great job Yanni!

[@mbossom22]

Great stuff

[@mbossom22]

This is what I needed

[@smbcapital]

awesome!

[@benjamins5165]

Grate trade Yanni. Excellent stock selection and generating an Idea and sticking to it. Man, you're a BOSS. I love the SMB content. Couple of my thoughts on this trade (Keep in mind I have less than 1-year experience as a retail trader). 1. On the initial pullback, during the first candle, to basically Yannis' stop would this be an opportunity to add another 10% of his stop because the R/R is much greater? 2. I would have liked to see XLE when the SPY was breaking lower and Yanni exited his position, around (9:48-9:50) If XLE didn't go below VWAP then consider leaving the trade, or adding a momentum lot if the tape supports it. The SPY was trading down while XLE was trading up, the SPY seemed like it would be lower on the list of importance than XLE.

[@Josh-Jones]

There's no reason to use USO, ever. The front/second month rebalance that occurs ensures that over a long period (like the one shown, 6+ month daily chart), it will deviate significantly from the underlying. Since you have TradingView, even if you don't subscribe to futures data, just look at CFD symbol USOIL which should track the front month WTI contract.

[@nickboretz1774]

I agree with the one minute chart and being able to see the full move. In the long move..I would have waited for a pull back to a protected level which you see on T and S. And then taken the long. Just my opinion

[@lexbotkin3729]

These videos are great! Thanks guys. Being new at reading the tape, it seems you were using the tape to identify key levels, would you say that was the main tape reading that was happening on this trade? When I'm long and again im a beginner, I'm using the tape and level 2 to identify key price areas and Big sell walls.Thanks again for the lesson and for the trade management breakdown.

[@victor_vasileuski]

hi, thank you for this educational video! I've got a question though: around 11:35 when 65 offers were lifted for the second time - how did you spot that 64.80 was the new risk level on the trade?

[@TheGreeneggsandkam]

Thanks for the excellent dissection of this trade in the seven principles of a "one good trade". Yanni did an outstanding job and I want to know how long much experience he had in his training to get to this point? The only thing that I would like to see the video is that it's only showing the 5 mins chart of oxy but at the end Jeff alluded the trade level was based at the higher hourly time frame, and then summary slide showed buy and sell based on 2 minutes time frame. It would be good to show those different time frames chronologically. Initial set up is clean and break out is beautiful and I can see why he flatten out due to weakness of major indexes and the fear of lossing overcome his confidence of solid levels he so deligently identified. It would be great if Jeff could go into more detail the different set up in this trade, ie momentum and breakout and at which point the transition took place. Thanks!

[@smbcapital]

definitely additional videos we can do on this. Yanni has been with SMB for about a year and I think was doing some trading on his own before coming to the firm

[@procalcs2939]

Great lesson. What software are you using for your level II?

[@maxsetting5021]

you tell me which broker do you use to see the level 2 and time and sale?

[@anthonyyoung3826]

Take high + low / 2 = average, graph each candle on chart, compare this to the same for top 10 instruments in an industry, also use true volume and not on boarding volume. Track consistent volume over a period, this is major player accumulation, this will show a trend before the charts show a trend. Learn to read charts without any indicators. Indicators are delayed expression of tape reading. I turned $100 into over $175,000 in 5 days of demo trading, 1:1 leverage, no Indicators. Master Tape reading, it works.

[@bobhope707]

So basically the big issues for Yanni’s trade were: - Too much “micromanagement” of the position, when he should’ve just been monitoring for continuation using the Level 2 and leaving the position alone until a more obvious/stronger reason2sell. - Too quick to get flat into that 66.20 Pull-In when he should’ve either done nothing or added more size. The trade was still working. Also would’ve been good location to move up his stop. Are my statements accurate? And are those common issues with these “Daily Chart Breakout, Open Drive” plays?

[@smbcapital]

sounds about right

[@nickboretz1774]

I trade futures and use time and sales at important S and R levels which coincide with supply and demand areas. There is a compilation of T and S which is cumulative delta, but delta doesn't show the block trades or the buys above ask or the action below bid as it happens. These are tremendously important in my trading. I find when the ask starts losing it's levels..or the bid starts moving up..this is like gold for me. I set the ES product T and S to only show me 10 fills and blocks at 80 during the day trading period on a 1 minute chart. I'm sure there are other aspects to using it, but the main thing is..I cannot understand how people trade without this. It seems to me they are flying blind..guessing and hoping. Time and Sales is the only true thing that will tell you whether you will break out or reverse at Support and Resistance areas.

[@NathanDStocks]

Can you talk about how breakouts vs fakeouts look on the Time and Sales. Also is there any good resources about the Time and sales that you recommended?

[@nickboretz1774]

@@NathanDStocksLet's talk long breakouts from R. What you will see on T and S is jumps in ask price being filled. Sometimes you see fills above the ask or block trades above the ask, but I mainly look for jumps in price of $1.50 to $2 at least..and repeating. Fakeouts will show a price jump answered by bid fills. I don't take first candle breakouts. It has to prove itself. It's better to take the pullback after the BO. You won't get caught that way. I haven't found a really good video that gets down to the granular level on this technique. I had to find it after just watching what happened at support and resistance and trading paper over and over until I got it. All I can say is that it works for me. And don't be fooled into assuming a long trade by yr. time and sales screen filling up green. What are the prices in that buying frenzy? Are they jumping or staying the same..or getting lower? Lots to try out, but it is worth it.

[@Augie..]

@@NathanDStocks tape in general is L2 and time and sales, or what most people refer to it as. SMB has tons of videos on how to read it, the courses they offer through SMB edge is 🔥 changed my life

[@NathanDStocks]

@@Augie.. have you personally taken the course? What kind of content does it contain and what price?

[@Augie..]

@@NathanDStocks I did a remote internship awhile ago, not sure on the prices but yes. I have done a ton of the content

[@isaacwest5037]

This video is a 10.

[@danielwestereng155]

Let’s gooooo

[@wayneaustin5533]

Simplicity is power

[@smbcapital]

yes!

[@StillJustJoey]

question, i noticed that every video that is being done on tape reading is using the same software... one of the guys mentioned this is think or swim.... i only recently started using them for data but their level 2 does not layout like this and is not customizable... does anybody have any insight into this or suggest any good data streaming services with a similar layout on the L2 or an L2 that is customizable? thanks

[@malik373]

Can you also tell me the scanner parameters you use to pick your stocks plz

[@mikekerr5940]

Is there a Tape reading course with SMB that explains the difference between when a prices comes in At The Bid or At the Ask and in between? These videos are interesting to review but I don’t get a sense of what is being looked for.

[@maxsetting5021]

What platforms do you use to watch the tape? Can you tell me, please?"

[@GLOBALBL]

The range breakouts he said that wasn't working was it for scalping,or more of intraday

[@smbcapital]

more intraday. Even companies reporting good earnings aren't working well on breakouts. We continue to remain in a weak tape

[@nekros9194]

How did he establish the 65.45 & 66.82 levels?

[@QuantApplicantMattKulis]

What software is the L2, black is 100contracts+? sweet.

[@alexleiser6100]

😎😎😎

[@truth6242]

I want to work for you guys after taking the course in NYC, can I trade my personal accounts at the same time while trading your money?

[@Dougie33]

Either he wasn’t picking up what the instructor is putting down or he doesn’t want to hear any constructive feedback back, he totally glazed over the 5 min candle thing, the instructor was right why look at a 5 min on a market open play there is no info! Haha

[@vwaptrader9657]

Around 10:55 in the video notice the bidders kind of chasing the price up

[@olvinfuentes7514]

This guy knows what he's doing lmao

[@malik373]

Can you tell me how you added the time and sales tape to your tradingview chart. I like your trading style btw

[@Augie..]

Time and sales isn't on trading view. You need a platform like DAS trader/light speed to use it

[@gomesdiogo]

type "tape lucf" in the indicator search and you will find one but make sure you either buy real time data or you are trading assets that have real time data for free, a lot of assets in tradingview are delayed

[@fuadlawal9967]

what platform is the tape reading?

[@smbcapital]

it's our own in-house platform

[@kahuna2]

Ok, I'll be Bella here; What was the VIX that day? I want you to start adding VIX to your list of intraday fundamentals.

[@smbcapital]

haha, VIX is important to know

[@mbellafiore19]

thxs for stepping in for me here Kahuna2

[@olvinfuentes7514]

I wish I could do this and not have to wage slave every day

[@mr.moneymaker270]

Hi, who is the Coach and how do I get a coaching from him? I have some issues with the execution / trademanagement as well? Thank you

[@JensKlattTrading]

His name is Jeff Holden, Head of Recruiting at SMB Capital.

[@revamp2245]

These vids are great,, PLEASE STOP MISUISING THE WORD UNDERSTAND !!!! their is NO REQUIREMENT TO "UNDERSTAND".. your Americans and your forefathers fought to get out from underneath the "understanding"....

[@user-kf3zb9tp2p]

😡Don't appreciate that Ultimate Trend Day Video with Garrett..... I'mmmmm going to the Underground, Traders4Cause....deep down in my heart.... I believe WE💣 make videos when we @#$%up!, and if that's a truism I have no chance to catch you Harvard and Yale flunkies

[@maxsetting5021]

you tell me which broker do you use to see the level 2 and time and sale?