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Orderflow

EURUSD LONG on Order Flow - Follow the smart money! Strong Bullish Signal: The price resumed rising after a sharp correction and totally absorbed it, which shows a weakness of sellers. Moreover, the upward move was supported by the increased volume and large positive delta, which implies that buyers are dominating the market now. Volume Zones: We need to point out an important level of resistance 1.1784 - 1.1792, which has been already tested and contains the large volume. Sentiment: This indicator shows that 68% retails traders are in short positions, which is a good additional signal for us (trading against the "crowd"). c.radikal.ru Consider Long Positions: Given all these factors, we may open long positions after a smooth downward correction of the price, in order to get a better entry point. A stop loss may be placed below the support level. Profit Potential: More than 120 points. To learn more about order flow based volume trading, sentiment analysis and trading against the retail crowd see the educational article below -
Long
by VARIANSE
1
EURUSD LONG on Order Flow - Follow the smart money! Strong Bullish Signal: The price continued growing and broke out the previous resistance level, which is a good bullish signal. Volume Zones: We need to highlight a new level of support 1.1784 - 1.1792, which contains the large volume. Moreover, the price has already tested it and resumed rising. Sentiment: This indicator shows that 67% retails traders are in short positions, which is a good additional signal for us (trading against the "crowd"). a.radikal.ru Consider Long Positions: Given all these factors, we may ponder long positions after a smooth downward correction, which will allow us to obtain a better entry point. A stop loss may be placed below the new support level. Profit Potential: Around 80-85 points. To learn more about order flow based volume trading, sentiment analysis and trading against the retail crowd see the educational article below -
Long
by VARIANSE
1
EURUSD LONG on Order Flow - Follow the smart money! Strong Bullish Signal: The pair demonstrated a sharp surge and tested the level of resistance. The price did not break it out, but is still trading near it. The move was supported by the large volume and positive delta. It implies that there is a significant purchases imbalance at the moment. Volume Zones: We need to point out an important level of resistance 1.1796 - 1.1800, which contains the large volume. Sentiment: This indicator shows that 59% retails traders are in short positions, which is a good additional signal for us (trading against the "crowd"). d.radikal.ru Consider Long Positions: Given all these factors, we may ponder a breakout of the resistance level, which will consent us to open long positions. The surge must be keen and supported by the large volume, which will be a more reliable signal for entering the market. A stop loss may be placed below the breakout volume bar. Profit Potential: Around 90 points. To learn more about order flow based volume trading, sentiment analysis and trading against the retail crowd see the educational article below -
Long
by VARIANSE
1
Smart Money LONG | AUDCAD Looking at the structure we have formed at a Daily POI With the descending kind of nature towards that level, we now have a break of major structure suggesting that price could be about to turn around and move to the upside. Waiting for some sort of lower timeframe structure to form in order to get in on this position, so we shall have to wait and see how it plays out. Any questions please feel free to ask in the comments or via a message Thank you Take Care Ben
Long
by BenFxLDN
GME and Wyckoff's Composite Man“…all the fluctuations in the market and in all the various stocks should be studied as if they were the result of one man’s operations. Let us call him the Composite Man, who, in theory, sits behind the scenes and manipulates the stocks to your disadvantage if you do not understand the game as he plays it; and to your great profit if you do understand it.” (The Richard D. Wyckoff Course in Stock Market Science and Technique, section 9, p. 1-2) Wyckoff advised retail traders to try to play the market game as the Composite Man played it. In fact, he even claimed that it doesn't matter if market moves “are real or artificial; that is, the result of actual buying and selling by the public and bona fide investors or artificial buying and selling by larger operators.” (The Richard D. Wyckoff Method of Trading and Investing in Stocks, section 9M, p. 2) Based on his years of observations of the market activities of large operators, Wyckoff taught that: The Composite Man carefully plans, executes and concludes his campaigns. The Composite Man attracts the public to buy a stock in which he has already accumulated a sizeable line of shares by making many transactions involving a large number of shares, in effect advertising his stock by creating the appearance of a “broad market.” One must study individual stock charts with the purpose of judging the behavior of the stock and the motives of those large operators who dominate it. With study and practice, one can acquire the ability to interpret the motives behind the action that a chart portrays. Wyckoff and his associates believed that if one could understand the market behavior of the Composite Man, one could identify many trading and investment opportunities early enough to profit from them. Wyckoff's composite man theories, price cycles, schematics of accumulation/distribution and three laws have helped me a great deal in understanding how markets work. Just as important has been Cem Karsan . The 19th I mapped out in this chart of a buy the dip trend: was originally identified by Cem since 2020 as the Fed pumping stimulus (liquidity) into the markets. The Fed stimulus creates a well fed Gary (ape). Gary is what people in vol markets refer to as how the majority of market markers are positioned for volatility. If a majority of MMs are long vol (well fed ape) it makes it harder for the underlying structure of the market to break down (corrections). Karsan identified this cycle of (dips) as a result of end of MM and HF 20 day cycles. With so much liquidity in the stock markets right now a well fed gary creates a pinning effect in major indexes for expiring contracts /hedging cycles. Using order flow (supply / demand) of major derivatives, Karsan is able to identify market support/resistance levels from volatility hedges and dozens of other factors with weekly/monthly pin point accuracy. What I think is causing all the short squeezes lately (AMC, SPRT, etc..) is that more people are identifying this cycle. All the short squeezes started up again at this wyckoff markup phase. Gamestop is one of the OG short squeezes and the effects of these cycles/phases are clear in the charts now. There are several posts on popular subreddits related to these phases/cycles going back to the original short squeeze in Jan. The thing with Gamestop are the Wyckoff price cycles are diminishing in volume and I don't know what that means.
NYSE:GME
by SPYvsGME
4
HOW-TO Add Precision To Entries & Exits With AutoUFOs (patented)HOW-TO Add Precision To Entries & Exits With AutoUFOs (patented) What does this invite-only script do? This app aims to plot Price regions in a chart where potential BUY and/or SELL Orders are in a pending state. Those potential Orders are expected to be in waiting mode and could be executed once that market revisits or returns to those Price regions. The above concept is the reason for the name of this indicator: Un-Filled Orders (UFOs). Once those potential Un-Filled Orders are filled, a bounce or movement is likely to happen and therefore those UFO areas could be selected for Entries and/or Exits for any type of trade or investment. This may include but is not limited to long-term, intermediate-term, short-term or hedging. The desired trade duration (position, swing or intraday trades) would depend on the time interval (time frame) selected when applying the indicator. For example; by applying the indicator to a chart selected with a daily time interval this is likely to produce trades that could potentially last multiple days or applying it using a 60 minute time interval would likely produce trades that could last a few hours and so on. Note: Those Price regions identified are referred to as UFOs and are automatically plotted in the form of oval shapes in the charts which are also known as “Flying Saucers”. Note: This app can be applied to any interval based on Time (Second, Minute, Daily, Weekly and Monthly Bars), ranges or other. The visual example displays Green and Red UFO Price areas in a chart where Green would suggest that BUY Un-Filled orders may be waiting and Red would suggest that SELL Un-Filled orders may be waiting to be filled. A trader could decide to buy when Price enters the Green UFO and sell when Price enters the Red UFO. Based on that concept, those colored UFOs could be selected to plan trades where a trader, investor or a hedger; is planning to catch and ride a Market move and profit from it (Directional Strategies: Enter or Exit Long or Short Positions). They are expecting that the market will move in a certain direction after hitting and reacting to those Un-Filled Orders (colored areas in the chart) and later reach a certain Exit Price. is planning to profit from selling Out of The Money (OTM) options and collect time decay as these traders are hoping that they will expire OTM (Non-Directional Options Strategies such as Iron Condors, Credit Spreads, Strangles, Straddles, etc.: Profit from time passing while a Market trades within a Range or sideways). They are expecting that a market will not reach a certain point in the chart before a certain date and sell or write options to collect premium waiting for their expiration date while price stays within certain limits without surpassing the Strike Price of the Options sold.  How to manually insert this indicator into a TradingView chart? Step 1: Locate the upper toolbar within the Chart where you plan to insert this indicator, Click on Indicators and Click on Invite-Only Scripts Step 2: Select “AutoUFOs” by left-clicking on it Note: Once this app is inserted in a chart it then needs to be calibrated. Please refer to the Section on Calibration to understand how to perform this process. Which components are displayed? The example illustrates the various components available when using AutoUFOs®: UFO Bands: Are a visual representation of Price regions in a chart where BUY and/or SELL Orders are potentially still in a pending state: Un-Filled Orders (UFOs). Different Colors... Green UFOs would suggest that BUY Un-Filled Orders may be available and Red UFOs would suggest that SELL Un-Filled Orders may be available and waiting to be filled. 4 possible colors are available to visually represent UFOs. Two are variations of Red and the other two are variations of Green. The app assumes that the “purer” the color the greater the potential for a larger amount of Un-Filled Orders. - Red Pure Red Maroon Red - Green Pure Green Olive Green Flying Saucers: The round Flying Saucers are located where the app identifies the greatest concentration of Un-Filled Orders. The app highlights where the key price points are by plotting inner circles within the UFO Band. UFO Price Labels: The two figures displayed point at the upper part of the UFO Band and the lower part of the UFO Band. What Visual settings are available? TradingView has an enormous amount of available customizations that impact the visual look of a chart and the indicators in it, hence our AutoUFOs® app can look slightly different depending on some of those customization settings. Below are a few options that have been proven useful to some of our app users. Keep in mind that TradingView often adds new settings and functionality and therefore other settings not covered in this how-to idea could be helpful as well. To access the customization menu left-click on the wheel located on the bottom right part of the chart.   Indicator Last Value Label: Left-click to check or uncheck. This setting will display or hide the UFO Price Labels. No Overlapping Labels: Left-click to check or uncheck. This setting will stop or allow the UFO Price Labels to overlap. Apart from the above customization options, AutoUFOs® for TradingView has one important input that varies the way on how the UFO Bands are displayed on the screen. To access this input locate the "AutoUFOs" indicator title on the upper left part of your chart and click on the settings wheel. HideHitUFOs: Left-click to check or uncheck. This setting will display UFO Bands with a greater or a lesser concentration of Un-Filled Orders. Note: The grey UFO Bands represent areas of price with a lesser concentration of Un-Filled Orders and therefore these are likely to produce lower probability trades. How to calibrate this app? Calibration is a key process in defining how the analysis is carried out and will impact the potential results obtained by the user using this app. The calibration input is down to the user’s personal judgement and is at their own risk. A few steps will be needed to calibrate AutoUFOs®. The following steps will need to be repeated in a cycle until the app user is satisfied with the results. Step 1: Access the input dialog box by following the below steps: Locate the AutoUFOs indicator title on the upper left part of your chart. Click on the settings wheel. Notice the default calibration setting is set to 0.5. Feel free to change to any value between 0 and 1. click "OK" Step 2: Find and left-click on the “Replay” button located in the upper part of your chart. This will get you ready to begin a back-test process in order to adjust the calibration input.   Step 3: Notice the vertical red line. Move it to a desired date/time in the past and left-click in order to set that date/time as the origin of the back-test. Step 4: A new chart will load with the last bar on the chart being the one where the above vertical red line was located. Use the rectangle drawing tool to mark two UFO Bands of your choice where one should be Green and the next one should be Red or vice-versa. Step 5: Once this is done you are ready to replay the market and observe how this market reacted to your current settings. Using the replay bar, click on play and observe the movement of the new candles forming until price touches one of your rectangles and make notes to report if price turned and reached the rival UFO Band marked with the opposing rectangle or if price didn't react properly to the UFO Band you selected. Note: When performing this process you could certainly add additional rules that you may have in your current trading plan and combine those rules while you perform this back-test process. Note: Since some failed trades are to be expected, one of the objectives of this calibration process is to fine-tune the settings of the app in a way where you gain an adequate performance and by doing so you become familiar with its functionality and while you begin developing the skillset needed to trade efficiently with it. Step 6: In order to exit the chart replay mode, click on the cross located on the right extreme of the “Replay” floating tool bar Step 7: If this exercise was satisfactory enough, you could decide that the Calibration parameter used will be the one you would use for your trades moving forward. If you are not fully satisfied with the statistical performance obtained, you would need to go back to Step 1, change the calibration input to a greater or lesser value between 0 and 1 and redo the above back-test process until reaching results that are satisfactory enough. Note: When performing this process you could chose to use the AutoUFOs® app by itself, calibrate it and then add additional trading rules when trading, or you could run the process and combine your trading rules together with the app and run the calibration process altogether. Note: The chart replay mode does not work with continuous futures ticker symbols such as ES1!, CL1! or GC1!. When calibrating the app to trade Futures products you would need to avoid using continuous ticker symbols and use contract-specific ticker symbols.   Examples on how to use this app? The following approaches describe two different ways on how a trader, investor or a hedger could use this app. There probably are many other ways to make this app useful and we would love to receive your suggestions and know more about your experiences as well. Please treat the following examples for demonstration purposes and feel free to comment below and phrase your questions, experiences and ideas. Going Long (by Buying Low and Selling High in order to profit from a rising market) or Going Short (by Selling High and Buying Low in order to profit from a falling market) The thought behind Going Long or Going Short is to enter a market ready to catch and ride a market move in a given direction and profit from it: Going Long would profit from an upwards move, where Going Short would profit from a downwards move. In order to do so, the opening and closing time of the trade is critical since entering or exiting too soon or too late would end up in a problematic situation. The Un-Filled Orders (UFOs) concept behind the AutoUFOs® app could certainly be useful when aiming to identify the best moment to initiate a trade and when to finalize it and collect any profit that may have been produced. Selling Options and keep the Premium collected The thought behind Selling Options and keep the Premium collected is based on identifying certain places on a price chart that are not likely to be reached and Sell Options with strike prices beyond those places. The Options contracts sold would be Out of the Money (OTM) and they would remain OTM until their expiration date as long as the Market price does not reach the Strike price of the Options sold within that given period of time. If all of the above was true, the trader would have collected the Premium for selling those Options that would expire worthless, allowing the trader to keep that previously collected Premium. The Un-Filled Orders (UFOs) concept behind the AutoUFOs® app could be useful to theoretically identify certain places on a chart that are likely or unlikely to be reached anytime soon. Keeping in mind the concept that when a market enters a UFO the expectation would be to see a reaction or a bounce from that price region adding duration to a trade. Think of a case where those UFOs are quite far from the current available price or cases where there are multiple UFOs upon UFOs. In this instance it would be reasonable to expect that a market with these characteristics is unlikely to surpass any of those UFOs anytime soon and therefore an Options trader could capitalize on a setup like this by Selling Options where price is unlikely to reach. In addition to this, time passing would lead to a decay of the Options Premiums helping this type of trade to accumulate profitability little by little, keeping in mind that nothing stops time from passing. Furthermore, think in terms of probability and ask yourself the following question: what is of a higher probability? To determine with precision where a market is going to turn and where it is headed to, or to determine where a market is not likely to go within a certain amount of time? If you would rather choose the second case you may be interested in using advanced Options Strategies such as Iron Condors where a profit would be produced from time passing while a Market trades within a Range or sideways. In other words while a Market remains trading within a Range defined by Red UFOs and Green UFOs causing its price to remain range bound during a given period of time as a consequence of the potential bounces produced when its ¬¬price travels from UFO to UFO (Green-to-Red or Red-to-Green). Note: In all cases described in this how-to idea, it would be advisable to have a contingency plan on what to do in case a market moves against the trader, investor or the hedger. The use of Stop Market Orders, Protective Long Options Contracts or any other type of risk management technique could be useful. These sort of decisions are to be taken by the user of this app. Legal Considerations Disclaimer: When using this App you understand and acknowledge that the risk of trading can be substantial and that each investor and/or trader must personally consider whether this is a suitable investment. Past performance, whether actual, or indicated by simulated historical tests of indicators, is not indicative and in no way a guarantee of future results. Your actual trading may result in profits or losses as no trading system is, or can be, guaranteed. By using this app, you accept full responsibility for your actions, the trades taken and any profits and losses made. You also agree not to hold the developer of this app responsible for any outcome arising out of your use of this app.
NYMEX:CL1!Education
by traddictiv
6