CTI2 — commercial activity

CBOT commercials (CTI2): known behaviour below/above value, initiating signals when buying above or selling below, and flat top/bottom from overwhelm.

On this page

Who this entry is for — Anyone using LDB who wants to separate «routine» volume from volume that can start a trend. CBOT Study Guide Part VI; operational complement to Liquidity Data Bank.

Source: CBOT, Market Profile Home Study Guide (1996), Part VI. Raw: raw/patrimonio-emiciclo/studio-steidlmayer/cbot/part-06-liquidity-data-bank.


Prerequisites

Liquidity Data Bank, Initiating vs responsive.


Who CTI2 is

CTI Role
CTI1 Local / floor trader
CTI2 Clearing commercial members (house account)
CTI3–4 Execution for other members / public

Estimated «outside» participation: 100 − (CTI1% + CTI2%). CTI2 have known behaviour → reliable indicator when they act unexpectedly.


Expected vs initiating behaviour

CTI2 — expected vs initiating behaviour Commercials: buy below value, sell above value Value area (70%) Above value → CTI2 sell (normal) Below value → CTI2 buy (normal) ! Buy above value = initiating → trend? ! Sell below value = initiating CBOT LDB Part VI · Steidlmayer Schema Cyclepedia · Emiciclo
Routine: buy below, sell above value. Initiating: buy above or sell below → possible trend.
CTI2 behaviour Read
Buy below value / sell above Routine — fade toward value
Buy above value / sell below Initiating — longer timeframe, possible trend
Overwhelm at a level Flat top or flat bottom → volumetric minus development
No selling at top / no buying at bottom Commercials still see undervalued/overvalued → continuation

Guide cases (CBOT) — Bonds 10/9/90 flat top CTI2 → decline; bonds 24/4/91 flat bottom → rally; wheat 22/6/92 flat top at uptrend → reversal; corn 12/5/92 CTI2 buy above control price 256 → long next day.

CBOT — bond futures flat top with CTI2 selling, 10 Sep 1990
Bond futures 10/9/90 — heavy CTI2 at top, flat top, market turns down (CBOT p. 307).
CBOT — bond futures flat top CTI2, 10 Sep 1992
Bond futures 10/9/92 — flat top with CTI2, new down beginning (CBOT p. 317).

LDB checklist (item 6)

In the six-item LDB checklist, CTI2 activity in value area weighs medium — cross with total volume, range extremes, and value area position (items 1–3 high weight).

Common mistake — Ignoring distribution-unit context. CTI2 initiating only makes sense placed in the long-period move («who?» and «where are we?»).