jmarzano's  Instablog

Send Message
J. Patrick Marzano manages the operations and communications of Metrixx. He began his career in the futures industry as a broker at the Chicago Mercantile Exchange (CME Group) working for Aries Options Brokers and American-Way Futures. He also served on the Dow Jones Options Pit Committee. In... More
My company:
My blog:
Metrixx Fair Price Report
  • Gold (GCEZ13) Value Summary Friday Review 0 comments
    Nov 11, 2013 10:27 AM

    The December Gold contract saw some interesting price action. After the release of NFP at 7:30 am CST, a large Value Gap was created extending from 1308.1 - 1296.1. Prices in gold continued their downward trend eventually establishing Fair Price at 1284.8; with a Value Area High of 1287.9 and a Value Area Low of 1281.7. Gold did rebound off of their lows settling above the Value Area High. Late day price activity coupled with the early Value Gap can make for an interesting opening for the week.

    (click to enlarge)

    Fair Value Definition: The Metrixx Fair Value indicator provides traders a measure of fair value in listed derivatives markets by showing at what prices levels have the most liquidity for a certain period of time. Traders can use this indicator to map out entries, exits or appropriate stop levels. Or they can simply use it as more precise support and resistance that they can incorporate with other indicators. Subscribers to Metrixx see this information in real time when it can help them the most.

    What am I seeing: The lightest colors show the beginning of the session, the darker the color the later in the trading session. The larger the distribution the more value market participants have placed at that price level. A distribution outside of the blue colored area is viewed as being outside of that session's Value Area. Those areas of single distribution are noted as Value Gaps.

    Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Back To jmarzano's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers
Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.