11/10/11: CSCO gap-up indicates the direction
Despite the gapped up index walking consistently down in the first hour, however, gapped up CSCO, which made a new high in the up trending, held super strongly by conslidating in a narrow range and refusing to join the intraday so far downward general market.
NDX is being dragged down by pulling back stocks on daily charts such as AAPL/AMZN while gappers AMGN/SBUX held well though another gapper QCOM followed the intraday index.
Instant tape reading still applies to a different or assumed/implied time frame although it's on the fly. Such as, reading intraday movement is integrated with its daily charts and beyond such as a weighted component is playing some important role on index dynamic force.
Furthermore, there are things that can never be pre-diagnosed such as sudden big counter movements that happen a lot since the end of July 2011. But we still could read the possibly real going-on with how it's structurally done instead of taking the bullets on that it's just factually done. In addition, such counter movements or consolidation may mean very differently on appropriate scalable time frames.
The method or skill, once commanded will take away so much headache in making investment decisions, no need to worry about all the peripheral stuff - valuation, insider trading, macro analysis etc, which the small traders don't have the right info to do anyway, unless you wonna believe the brain wash stuff that the media jams at the public 24/7. But it doesn't come easy though, it takes years of practice, looking at price action. Like reading poker hands.... the theory itself is not that complex, but it takes playing thousands of hands for a player to sense and grasp at the instinct.
Money management tells that prediction is one thing and action another. Prediction is always interpreted on different and scalable time frames. If a prediction on some time frame is so wrong that an action has to be taken toward some positon(s), it's none of the business of whether the prediction is right or wrong because it's already a simple factual mistake which needs to be handled on behalf of the account balance.