Non-Trending Strategies

Below are various snapshots showing range bound markets (non-vertical). A primary benefit offered by the Footprint® chart graphic is the ability to read indecision in the market and lack of momentum and volume.

A unique pattern that the Footprint® uncovers is the candy stripe pattern. This pattern is often seen in sideways and bracketing markets. The Footprints® for a given bar alternate in color and often do not close at the extremes. This signifies a neutral or two sided market in which the aggressive buyers and sellers are evenly matched causing random price rotations between two extremes. This type of pattern highlights the fact that the current market is lacking the ability to trend and is more likely to rotate within a given range.

Footprints® also provide a very clear picture of whether trading is being facilitated at higher and higher prices or lower and lower prices.