The Market Map Tutorial

Fact Sheet | General overview | The Perfect Market Map | Anticipation Move | Inversions | Other examples | Summary

Case Study: Dow 27th October 2006

The Market Map for the Dow Jones index on Friday looked as follows:

As you can see from the chart it looked like we would see the big move of the day around 17:30 London time, or 3 hours into the New York trading session. According to the Market Map this move would be lasting all day. The Map pointed to higher prices.

What actually happened was according to one viewer “completely opposite” and thereby disproving the validity of the Market Map. I understand that this appears to be the case and indeed the chart underneath with the original Dow map placed over the price action of the Dow on Friday looks very incorrect.

However, as it is pointed out repeatedly in the tutorial there is always the possibility of the Market Maps inverting. It is therefore that I always have patience, look at the time frame where the Maps are supposed to turn, and I try to tie it in with for example geometry(creating support and resistance), volume spikes, and trend line breaks.

The chart underneath shows the result of inverting the Maps. As you can see it is an extremely accurate Market Map, which made the user a lot of money on the day. The risk was small as a stop was placed just above the 12,153 area which the Dow had repeatedly hit.

I hope this is of some help to the use of the Market Map. If you have any questions, please do not hesitate to contact me.