WoM Mean Average Condition

[Killer Qween]

Hello,

I'm used to approaching the market simply from a BACK and hedge strategy, however I am interested in whether anyone is aware of whether there is any condition whereby the WoM% for a given to period can be calculated to a mean average and then triggered given the right conditions?

Any thoughts are appreciated,

Joanne

[Killer Qween]

58 views and no responses... do I take that as a no there isn't a way to do it?

[James1st]

Hi Killer Qween. Welcome to the BA forum where you will get a reply.

Perhaps you need to rephrase the question to make things a tad clearer. The part "whereby the WoM% for a given to period can be calculated to a mean average " isn't very clear.

If you mean? "can the %wom be expressed as an average" then it already is (see settings spanner/chart settings).

[Killer Qween]

Thank you for the response and apologies for any confusion.

In short, I would be interested in viewing a MEAN WoM% for a set period of time, so for example, I want to know the MEAN WoM% for between 5mins-1mins before post time.

Obviously the WoM% changes all the time and jumps between money for and against... I'm just looking to ascertain a cumulative % as opposed to a current %.

Im not sure that's any clearer to be honest!!!

[James1st]

There are two choices. First you can use Excel to collect the data (%wom) at a specified refresh value and then average the results. But you would need to be proficient in Excel to create a sheet to collect the data.

Or you could set the refresh rate and chart settings to large values (60 seconds and 120 seconds) and this will only plot the %wom a few times, allowing you to average (by hand) those values.

However, the results will not be very informative as the wom will almost always follow the odds and an average may not tell you much.

[Iron]

However, the results will not be very informative as the wom will almost always follow the odds and an average may not tell you much.

Do I take it from the above that you regard wom as a
lagging indicator, rather than a leading indicator?

Jeff

[Alpha322]

However, the results will not be very informative as the wom will almost always follow the odds and an average may not tell you much.

Do I take it from the above that you regard wom as a
lagging indicator, rather than a leading indicator?

Jeff

The W.O.M Saga is over on BF when trading as there are times when orders are put in to manipulate the market on pre horse racing.

[James1st]

However, the results will not be very informative as the wom will almost always follow the odds and an average may not tell you much.

Do I take it from the above that you regard wom as a
lagging indicator, rather than a leading indicator?

Jeff

Jeff, as with ALL indicators, %WOM is by definition (intent/opinion) a lagging signal and only by accident, on a few occasions does any indicator appear to be leading. I do not say that indicators (including wom) are not useful when put to proper use but as an advanced signal for a change in direction, I wouldn't rely on them.

In the main the %wom above 50% "usually" indicates that odds are rising and vice versa but it is still a very broad brush (manipulated or not) used almost exclusively by traders. Matched bets, on the other hand, are the incontrovertible evidence that backers, layers and bookmakers don't hang about in the ladder.

[Iron]

Hi James

I find the money in the queue useful inasmuch as it gives me some indication of how much support and resistance there is in a market. For example, if the market is at the upper edge of a range and there is little money above the current spread wanting to back the horse, I would take that as a sign that the market may be about to break out of the range (given that there is little to hold the layers back).

Also, if the market has been moving strongly in one direction, but it then stalls and the WOM indicates that traders are keen to exit their positions before the market turns against them, that can indicate an imminent reversal IMHO.

All that said, I prefer to use price action that WOM when trading, particularly as WOM can be manipulated, but I don't question that lots of highly successful traders (including Peter) do use WOM to great effect.

Jeff

[Euler]

If you are interested in using weight of money it's best to use it on volatile markets where prices can not be easily manipulated. The market is formed by weight of money so following the overall trend can be useful in working out where the pressure is in the market. I use it to hint at the start or end of a trend.

[Iron]

Thanks Peter.

To clarify, would you say that the main use of wom is to show when a previously excited might have hit a brick wall, and could potentially be about to reverse, due to everyone heading for the door (or 'puking', as the financial ladder traders put it)?

Jeff