 Good morning traders and welcome to the book map live trading webinar. This is Bruce at book map So it would be live analysis Monday Tuesday and Friday 10 a.m. Is forward-looking. It is Read the current order flow and give insight to where price is going to go next or where we think Due to the edge in order flow and then we have live trading on Wednesday with J Trader a stocks trader and Thursday with Scott Paul senior futures trader Risk disclosures general disclosure all book map limited materials information and Presentations are for educational purposes only it should not be considered specific investment advice nor recommendations Risk disclosure trading futures equities and digital currencies involves substantial risk of loss And it's not suitable for all investors past performance. It's not necessarily indicative of future results. All right, let's jump right in Let's see what's going on here Here's our I'll go over this liquidity tracker or marker today But we can see the nice boost here 930 Consolidation and then I'll move quickly to the downside and then right back up high liquidity here at 4580 Also here around 84. It's gone through both of those areas and it's heading on up into 90 And let's see we have 4600 up here 4610 up here as well high liquidity as you guys can see In in the book at those areas here. Those are the targets based on this outlook or this time frame right now This is bullish. All right doesn't don't need to be a Wizard to figure that one out Let's just step back though. Take a look at our higher time frame. Good morning. Noel and Jose Alec techie girl Alan. Okay. Yep. Good morning guys. Oh Yeah, so Well, we'll see Alec. Yeah, Tom Tom will be away next week So, yeah, maybe maybe we'll have some special events and and other other Webinars and things to go over like this liquidity marker in here, you know and cover in more detail some of these things We'll have a trivia night coming up as well. All right, so we have a lot of different things kind of coming up special events here in in discord All right Yes, there will be prizes So All right guys, so let's just let's zoom in here. Let's jump into the order flow again Okay, I mean we're still bullish here. We see this You know strong pullback now on strong volume So we're looking for them to retest some of these areas here back to back to VWAP here VWAP is aligning quite nicely with structure right here So if we should see maybe a little bit of a bounce in here, I imagine maybe we have to go all the way back down here 4570 yeah, it looks like they're good. They're they're selling strong. So looking for 4570 here The swing is here and we're gonna get into kind of low volume areas here So it should reject around in here at least some profit taking maybe around 7250 now. That's not really very foresight Driven here however, you know, we're just kind of reading the volume in here and Where the liquidity is and understanding market structure here? Okay, I mean, it's very very typical you get down into these lower levels in here where there's not much trading You're it's gonna reject this. This is rejection. Okay auction market theory. This talks about You know, we're ejection in these areas here And so here we go. Did you come to sellers? Let's see if they can hit this 70 and then we get a bounce out of that Yeah, I really like 70 here here is why Okay, this is where it broke out from and here's our structure All right, so this is a really good area to to look for a bounce and back up and tag Maybe VWAP here. All right, let's read the structure down here quickly guys We do need to I do want to do a review of yesterday some, you know higher time frame analysis as well as for today and then also go over this Liquidity marker in here. Okay, there they go. There's 70 it is transacting and through We should see some nice stop runs in here And we indeed we do let's get rid of CVD as well Wow Still going still going Okay Yeah, they they they seem to mean business here. We might have tagged a higher time frame level in here The 60 is the next level and long longer Higher term liquidity down there at 60 and selling is continuing Anyway, there was nothing in here for to give us insight to a bounce nothing in the order flow Okay, we see a little bit of buying in here, but structurally nothing There's no big buying that we're looking for so we look for that continuation a trend until we see something different and And if you just look at this here, I mean there is nothing different nothing. I mean the selling is strong Julia or Julia Gola, okay the Fed Tightening policy, okay Yeah, it sounds like We were definitely seeing a market reaction to if that's some of the brain or to speaking right now Then and he's mentioning something in there boy, you know, we're seeing a reaction to that. There's 60 transacting right now Okay, lots of icebergs here. Hey, we can go a little bit lower. Maybe we can maybe we can get down to 50 here But we're waiting and watching now watching closely Okay, nothing has changed here in trend nothing Okay, so keep watching the structure. We keep we stay sell side until we see something different Okay, even the break of this trend line. It doesn't matter. We want to look at this level here and Then buying up here around 60. Okay, they're just testing it here And still remain sell side, I mean the trend just hasn't changed yet So we're waiting and watching and we're getting some insight here All right, we're right in the heat of the battle here So we will take a look at that higher time frame in just a minute here Okay, we're making slightly higher lows in here But you know, this is this is typical now. Here we go. All right, so now it's getting interesting All right, so we've gotten some buyers up here Yeah, let's see if they can push it a little higher here 62 on up to where it dropped from up here 64 ish 63 to 64 Liquidity here at 63. There we go. Okay, that's what we're looking for now Is it is it clear what we're looking for in these areas in here? Hey to understand this shift In order flow and now we're not quite out of the woods yet if we get lots of sellers that come in here Yeah, but it's looking pretty good And if we get a bit more up here buying up here, we should be able to explore a little bit higher here Okay, look at the shift in in the structure. Look at the shift in the order flow. So it's the context again between structure and Volume within it and the order book within it Okay sellers to be I mean these are very tricky little areas in here Okay, now they got the sellers on the hook here if they can get buyers back up here again Here we go. All right, let's see it buyers. Let's see if you can pull this higher This is really a like a cat-and-mouse game in here like yeah, I like it We get we're seeing buyers in here starting to come up Hey, but you know, it's like trying to get one guy, you know It's like a tug-of-war in here and they get get someone kind of off edge here And then run it. There's some exhaustion. There's some buyers. Yeah, that was very very quick and And and liquidity change here as well, right and then yeah now now We we got these guys on the hook up here Okay, these buyers up here. So let's see if we get sellers in here This is this is a nice setup here if we can get our sellers down here Top of the range not enough buying All right, let's look for ourselves. They're pulling liquidity here. I like that Let's let's see it and then we get our nice move down to 55 and maybe even 50 Down here selling looks good. Okay, but see how they're slightly lower here Now we're looking for follow-through though on that sell side We want to see the order book really Offer lower here with high liquidity and see if we can get that Little bit a little bit in the order book that starts to look okay And let's see if they pull here and we get our this is it This is where we're looking for our sellers right here right now And Let's see it sellers get some of these buyers on the hook. All right, and I got these buyers on the hook yet again Looking for a big seller here, and then we're gonna get our follow-through to the downside Okay, looking for that That would be our higher probability scenario at this point Yeah, let's see it sellers. Come on come on. Let's see it You it's like they're they just they want it They just said we were we keep getting buyers come in but we're making lower highs in here And now we're making a higher high It's still open to this scenario though sellers here at 57 and a half Let's look for it. There we go now. They've got the all these buyers on the hook here So we're looking for of the long squeeze More liquidity on the offer here. There we go here. Our sellers are pulling on the bid. Let's see it sellers This is where they can move it. There we go. There's our quick move See how this is it's kind of challenging and in the in the quick move unfolds. It's kind of late to the party You know, it's it's a tricky kind of Way to get involved in here And This is where there's just you just have to accept the risk You know to capture this kind of game It was very very difficult to jump in here Like you have to have your finger on the trigger ready for it when you see that big sell dot and you start to see the break here Okay, or else you're in here and and you're starting to see the signs for the move and you've got to take the risk. All right, so Let's see, so we made lows for the day here looking for continuation Another thing in here. See how this is very very typical We'll see this again and again on higher time frames lower time frames, etc. It does not matter We typically assume around this 45 70 level here, and we've seen this for years now a Lot of traders when we were looking for it to where we're expecting a bounce Okay, I mean we're bullish. We're expecting a bounce here Maybe re-tag back up to the VWAP up in here something like that and then Continuation if there's enough selling in here. It does not matter how low volume node this is or not and it means rejection It does not matter if they're selling in here. They will mow this this area right down and That's exactly what happened. There's just tons of selling pressure. I Continued on lower to 60 now we're looking for 50 and we're just about there Okay, we're looking for 55 In these areas as well 55 and then 50 any questions on maybe some of the nuances in here I know this is tricky in here But what we're looking for is to get you know fuel on one side We're gonna anticipate the stop run here, which we do see here and We're looking to see who's gonna kind of win the battle in here and There is a battle in here back and forth And finally they got it, you know a lot of times we'll see this little move in here And it kind of it gets some people on the hook And then we look for the selling here. I thought at this point we were gonna we were gonna drop This is good enough in here usually is what we Typically see is you know, we're looking for the sellers in these areas in here We're making lower highs and and slightly lower lows in here Structurally, this is making sense We're we were zoomed in and we were starting to see selling at these areas. We saw some exhaustion in here Little bit of a boost in here Buyers had the potential here Okay, and then get them on the hook get the sellers here and drop It came back up a couple more times and then finally you can see they did not tangle with this liquidity up here They added into the order book and then we look for the drop again We're looking looking for that selling down here, and then then it happened very very quickly Okay, but we were looking for it that scenario To unfold now if it was going to be the opposite if it was going to be buyers in here And then continuation this scenario in here this would look very very different Okay, this would be the first kind of signal and then we don't want to see sellers in here at all We want to see in fact maybe a bounce off of this kind of high volume node in this little range here Which would be right here Around 58 and a quarter We'd be looking for that and we look for exhaustion no selling here Exhaustion on the sell side and see buyers come in here and then more buying in here and Then the break okay two different totally different scenarios in the order flow we would be looking for Okay, I hope that makes sense We'll go over it again and again, but it's understanding the context in this range here the context of the of the Where that selling and buying is taking place as well as what the order book is is showing here So you can see that in fact sellers They took this liquidity on here and then in here. They did not take it on And we did find some buyers and they polled Okay, and then they did not tangle. No, they did actually they did tangle with this liquidity up here. It looks like not much Only eight contracts in there. They did trade though and we should be down at 50 by now right or through it Just about look at the high liquidity here 55 56 Okay, like to see the push through 50 We've got some combo levels here from spot gamma And and liquidity down here at 40 so 45 and 40 here looks good Looking for their continuation Okay, now another another kind of event here to look for is order flow around this 50 level Hey, we see a lot of times You know get get sellers to sell below it and then come back up above it Kind of like this. Okay, but not not quite enough here. We need to see more back up here around 51 else continuation 47 liquidity 45 and Maybe 40 here. Yeah. Yeah, Alec. Yeah, I mean there was some tricky order flowing here I mean it we look for clarity. We want clarity in our order flow And again, it's back to these three elements here and understanding the context Okay, we're in a downtrend What's the structure in here? Okay? Well, we did make a we kind of bumped up above that structure here But you can still see sellers in control here. Hey, we did not get above where they took control up here And then we're making lower highs and we're making lower lows in here And so we're looking for sellers down at this bottom level here bottom of the range here and then the push lower And the long squeeze Okay, and we got it. We got it. You see you see the stop run here And you you basically you have to kind of look for if I mean these are tricky events, but To utilize these in here You have to be positioned Is very difficult unless you have your finger right on the trigger here and a lot of times that's what what I look for basically When we get that kind of clarity like okay, they should drop it here like I thought they'd drop it here I'm pretty sure I would have been Finger on the on the trigger right around here. Maybe maybe needed to go one tick lower Maybe not though. I might have gotten involved and gotten caught up in it here Okay, but yeah, you even even if you even if I did like the stop would be up in here Okay, or maybe even through point of control it take us I take a small loss right here It depends You know as a small loss and then look again And then get involved again because I'm looking for it here. They're selling down here if there's more selling here I'm looking for the break Okay, all right, let's let's let's take a step back and look at our higher time frame. Look at this Wow All right, this is just so typical. I thought they'd take it further to be honest for 4745 40 just just because You know Get below and and get sellers down below Engaged below 50 Once there's enough selling down below in here, then the buyers can come in and do the short squeeze Okay, so this is kind of kind of Interesting move here. It just kind of slightly went down below and then we see the move back up so in fact now The logic here would be that okay Well, if there's not a whole lot of sellers on the hook down here, we just might get trend continuation here Okay, I don't know if that do you follow me on that? So because they did not get a lot down here. We're not going to get that big short squeeze Okay, we're looking for trend continuation and then the squeeze maybe later Good morning, David 32 is an old Naked V-Pock, okay Excellent. Well, that's highly could he still in the book up here around this 50 55 and three quarters. All right, let's see if we get our sellers here Looking for I'm at 52 and then push through back down to 50 and below lower high here Looking for more sellers in here not much from the order book right now at all So not getting a lot of clarity there, you know buyers can move it right back up to 55 sellers can move it right down to 50 Okay, what we want more clarity in in the order book here Else we open ourselves up to some pretty wild swings in here Okay, does that make sense as well? like you know why why or if maybe a And it's fine if you want to take the risk and Place your stops accordingly Okay, but but why I'm mentioning this here is What we looked at yesterday when it's kind of dark in here and there's not a whole lot of equity In these areas in here. You can get erratic swings less liquidity equals higher volatility Okay, it doesn't take as much to move the market. Okay. It makes sense So why open yourself up to that risk? Okay, use the heat map Understand like imbalances in the heat map and and and structure Okay, so let's just turn off volume here. Let's just take one of the elements away for a moment here Whoops not volume bars Leave that on. Okay, and let's just look at Price action and liquidity Hey, see you see your buyers can move it up here very very quickly. Okay, there's not a whole lot here Okay, there's liquidity down here now. What's the reaction to price action to this context of this liquidity in here? Well, it's it's not really pushing it away. Is it in fact looking higher probability Trade here more likely would be that these these these sellers in here are gonna hit it And the reason I say that is because in here Now is it's not doing that right now But the reason I mentioned it in here was because price was accepting in this area here It seemed pretty comfortable with this liquidity And when you see like a boost in liquidity here and you see price move away from it It doesn't want to deal at that area Okay, so now let's see if we can get our sellers again. See this small little range in here We're looking for sellers here and then we're looking for the test of 50. Hey, there there's price action So now we came down here Now we're looking for follow-through Let's see if they can Okay, 51 and three-quarters Somewhere around there And we're not getting it not getting it. Okay. Now see the order book in here Okay, there's they're kind of adding a little bit more in here and we're seeing the move back up into 55 Toward 55 Okay, structurally they have not broken this still an equal high here from these little points here All right, let's see if we get more on the offer here Looking for it and it pushed right back down into this liquidity down here 50 Here we go. Now, let's see the order book though. We want that clarity in the order book in here We don't want we're not looking at this kind of slop and and and in price action between areas of high liquidity We want some more clarity in here now that they're showing more here on the bid And the reaction was that well price didn't really move that much Okay, so it Yeah, okay. All right. We're back up again and now we're seeing it now We're seeing the order book. Okay, so let's see if we can get our buyers in here and trade into and through I'll make a make make a new high here. Okay 56 And then maybe back up into 60 here. Okay, so that's how we that's the way we're looking at it here See see the the demand in here coming in and we're trading into and then we're looking for higher higher areas For price action to go to to reach this liquidity here 58 through 60 again, it is testing the You can see how the traders Know test test the market in here. What's the reaction to liquidity in here? And it gives us insight. Okay, that was a nice little stop run up there They added more in here 88 contracts our new liquidity marker here and they pulled Okay, this this ought to help us here. So we're seeing seeing the order book in here Okay, all right, and we're getting buyers in here. All right, let's let's see them trade up to 56 And maybe you get our break out here. No not yet. In fact sellers are starting to come in Looks like they want that liquidity. All right, here we go. Okay. Let's see it buyers Let's see it now. If you can get back up here 55 here we go Let's see it now. They're pulling a Bit or you know pulling and adding higher here So we have that dark area in here looking for buyers to move it back up into 57 through 60 Structurally we keep making lower highs and lower lows in here and that's not good doesn't bode well for it All right, here's our test 53 and a half see that liquidity come in and we found some buyers Okay, but now we're back down into it So we're trying to read this we're trying to get some understanding about that What's what's the market feel about this liquidity now see the flip here? Let's see if we get sellers now now. We're looking for sellers and we're looking for the drop Okay, and we're looking for the target being 50. Hey, does that make sense? I had to flip and The flip came from this reading in here right in here. There's a literally a flip of the order book okay Else we kept on saying buying pressure come in here when there was Liquidity that came in and they're pulling here at 52 So we have not traded to 50 yet, but looking for it What are the numbers in the rectangles? This is the new liquidity marker? I should I can show you guys where this is and I'll cover it in here What exactly it is? Um This sport is so exciting. Okay, so I'm just getting to the questions here Well, what we're trying to read we're trying to understand the market We're getting insight. What do players think of this? That's that's what the under understanding the order flow is all about and how does the market react? I mean the larger players. I mean Many of the players we can read the larger players because they have liquidity. They had they have power and You know when you start to see And it makes sense that you know if I had a lot of power and a lot of money in the market I would be testing these areas in here. What does the market feel about this area in here now? In fact if I'm sure a lot of you have read Reminiscent of a stock operator There was a brilliant passage in there And it really stood out to me And it wasn't Jesse live-a-more. He was talking about someone else Who he said who's just an amazing trader probably better than he I believe But there was no documentation about his life except from that book Where whereas someone came in boomed into the into the office and said so-and-so is buying this stock a larger player and It was a tip and What this trader did was immediately He said go and sell, you know, I don't know thousand thousand shares and then sell another thousand shares and then the The the person who came in and gave the tip said no, I told you you should be buying and What he was doing was testing were they absorbing He noted he was reading that the tape literally from the ticker machine That the the tape was They were absorbing and they were buying indeed. So as soon as he fight figure that out He said, you know dump the ship dump the shorts and go along So, you know, he tested it He wanted to verify it was that tip correct. He just didn't take it as word of mouth Hey, and this is the same thing with this order book in here. See it look more liquidity here. They're pulling here at 50 Let's see sellers now take it Down through this area into 47 It's set up nicely here. Okay, they're being a little stubborn here They're staying in the book at this 48 and a half, but now they're starting to pull Now they're starting to pull Okay, let's see it 47. Okay, so we can we're just reading two elements here There's no volume here Jeff you want to take a look at the hero? Sure. We can do that. I'm sorry I I've been kind of ranting on a rant here. I haven't gotten to your guys questions very much here So let me let me continue on here. I think I'm caught up on YouTube there. Let's take a look at Oh, thank you Nat. I really appreciate it. Oh Boy, yeah, I'm really blind on YouTube here and discord here. Sorry guys You think that the the lack of is spring break and lack of liquidity in here. Well, maybe I kind of doubt it but Maybe and then dove. What are you looking at here? You're looking at some Yeah, you got your volume profile. You got high liquidity there. This is beautiful Doug. I Dove. Yeah, I really like it. Be beautiful stuff Very simple very very clean Yeah, so this is what I'm talking about. It's in discord here dove posted this Maybe you guys want to take a look at it high liquidity up in here low volume node in here He's got a level in here. That's a the V pock and Looking for low liquidity down in here and some beautiful stuff in here Doug a dove Yeah, really appreciate it. Thank you. And let's see David. You also. Yeah, hi liquidity in here Whoops. Sorry. Let me get back to that Nice one. Yeah, look at that. Hi liquidity in here. It pulled though pulled This one's a little a little harder to kind of understand like it because it's pretty far away And what's the reaction in here? Yeah, I mean we see the move to the upside here and then it kind of comes down I'm not really sure How to how to read this one? Yeah, it's very curious on that one there Anyway, I think Yeah, we'll have to take a look deeper into some of those things Yeah, if you don't know what to make of it and then well, basically, I think the answer is this David If we don't understand a reaction to it Then disregard it as simple as that And you know try to we try to get some sort of value out of it If we don't like then forget it We don't have to we don't have to we can just simply cut cut that out of the equation. Oh god. Oh god, Alec I'm not touching that so Yeah, the Yeah, MC local. Yeah, that part it just it really stands out and you know, it's amazing too It's like you read parts of and once you kind of comprehend some of that It can lead to so much insight like about that trader in Reminiscence of a stock operator. I mean see how they're they're they're gonna trade into these guys here at 49 and three quarters And now he pulled no he looks like he traded Yeah, definitely Okay, now, what's the reaction? Okay sellers wanted it Do they still have more selling pressure looking for him right here at 49 and a half and then looking for the drop if we Have exhaustion here if we have exhaustion here and we don't know Because I don't have a volume on but I'd be looking for sellers here and them to now push it into 47 Which is what we were looking for earlier was 47 When this move unfolded here And we didn't quite get down to 47 a few three ticks away from it. It looks like All right, so we'd be looking for exhaustion in here Okay, no buying up here is what what we're looking for and then selling here And see see see how they're pulling up here now at 52 and we're getting buyers interested So, you know, there seems to be a bit of a bit of buying interest now Hey, we sellers we're gonna take these guys on we we saw that it was hanging out up here and They're looking to trade it now. We're looking for follow-through. We didn't get it and Then they pull up here and now we're kind of back up into these areas here Okay, now, let's see if they come back into the order book here Add more in I want to see them pull. I want to see this area in here. I want to look for Price to come start to come down toward these areas and then them to be pulling and then trade back down into Well, yeah 49 48 maybe maybe we can finally break into 47 Okay, this is just back and forth action in here right now Okay Yeah, let's start in a starting to unfold. They're starting to pull here They're starting to add here. So at least bottom of the range is what we're looking for So there's a range-bound trading strategy right there you know something to study look at the order book in here and start to Look for These areas them them to be Exhausting out up here. Let's see if we get our exhaustion Let's turn the volume back on for a minute Not much a little bit up here not much and then the selling does come in here So they're actually auctioning up here. This is this is gonna Let's keep the maybe the volume off here for now and It adds a lot more to the analysis that's for sure Let's just look at the order book for for right now Well, anyway, you can see that. Yeah, we're they're coming back up in here Now this this move here happened without much of an order book change. So this is actually I would I would say This is kind of interesting here If we're finding buyers and it doesn't take much in the order book Well, then they should be able to trade back up into here 55 and and above Matt maybe back up into these swings up here 56 Yeah, I mean, it's dark in here. Maybe maybe we'll find sellers and they'll drop it really quickly down here It's dark in here, but without much skew in the order book. We're finding buyers Then that's we're looking for buyers to take it higher then Because then a skew in the order book with a skew we should see a sweep of the order book higher So they're they're trying to There here we go the 52 and a half. All right Do we get more buyers in here looking for it and looking for a 56 57 area here? And that didn't unfold Okay, let's see if we get it again though Yeah, the book they're reacting to this order book. So I want to see these guys pull now at 56 And 57 and they're not they're not pulling So the the buying appetite seems to kind of dry up once we get up into here if they're not pulling Yet again skew in the book find buyers Okay, we want to see these guys pull though the equation here and we want to see them pull up here at 56 56 and a quarter Hey, we've we've got our skew here at 54. That's great. What's the reaction to it? Not much. We're right in the middle between two areas of high liquidity here And now he pulls what's the reaction? Yeah, all right. All right, let's see one more skew here at a higher level Maybe around 55 and we should get a nice move higher 59 to 60 Okay, or I should say more likely to get that move Yeah, elevator downstairs up Yeah, very typical Okay, V pock moved down to 51 and a half. Thank you David Gula anyway to get rid of the Small dot of the small four lot iceberg Yeah, sure sure So here let me just Get to that I'm not sure exactly what you mean here. I'm still looking for this move guys This 12 this is a 12 lot in here, right or at least 12 have Transacted it's still live in the order book. That's what it's showing here Okay, well, we traded up to 59 almost 60 here It one take away from 60 So let's just zoom out here and take a look Higher time from level 60s looks good. We drew up a line there High liquidity can also maybe even get back up into the WAP here 65, which I like Anyway, we got to see quite a bit of buying for that to happen There's 60 All right, let's see it then. Let's see if we can continue on mean reversion At least back to VWAP, which like I said, I like the structure there the market structure Horizontal line here and then also up here Let's go with that one so 65. Yeah, it could be a nice nice area to read retest Boy, we didn't look at any of our higher time frame yet. So let's let's do that And just quickly kind of cover it We saw some nice follow-through from yesterday. We were looking for it and yeah Nice we were looking for that move to the upside and these are the Zones that we marked up here on our 15 minute chart and Yeah, here's the move up into it In fact, I think we even I might have had a line down here and then I think I might have moved it up. I Can't remember But anyway, we see the you know hitting this area in this zone here Pulled back. No, maybe I didn't pulled back and Look look where that pullback came to Came back to the top of the range Okay, so it came here and then top of this range in here where it kind of broke out from and Then it continued and that was the pullback during our webinar I believe or maybe maybe it we had already ended we we saw the move back up into this kind of 67-ish level And then we got the continuation in the afternoon here These were the levels we were looking for And yeah, trade it up nicely. We talked about this area up in here the wicks we talked about candlesticks yesterday Understanding rejection and wicks mean rejection And it came back up spiked above it and rejected again And and since then since that rejection we've been moving down Except for just now moving to the upside a bit Okay, so again like these areas and understanding is in candlesticks. It just it disguises the meaning of what this is actually This is what we want to see in the order flow So it's like a derivative of what is trying to tell us here And we're trying to get insight to it. Well, just look at the order flow Okay, here's our move to 65, you know our We like this level. It's the VWAP We have a we have market structure up here as well. Great Okay, we saw we had to flip a few times in here due to the order flow Here we are looking for the move lower Right in here They traded into this 50 level here. We're looking for 47 because we knew they were selling pressure They traded into this. This is the event here and The re and it was and there was no follow-through So then then we started to look for the Into the order book in these areas here And then yeah, so top of the range then we're looking for the move back down to bottom of the range And then we saw something in here though Where they were adding in here and pulling over here That's when we're looking for the move higher and we're looking for this 55 and then again liquidity high liquidity and some of these areas in here and And continuation it's kind of curious they trade up in this area here and it there's still more buying pressure here That became kind of a little bit of an under over line in here So up to 60 65 bouncing off of 60 Our line let's see if we can get back up into 65 again liquidity here at 64 and 65 All right, let's go over this liquidity marker a bit. This is free. It's new I'll show you where you guys can find it if you click on help and you go to our User guide here the user guide brings you to the knowledge base. It opens up this tab here And you're now in the knowledge base user guide section the user guide sections up here And the knowledge base is this entire section a user guide add-ons Java API and JavaScript API So we're in the user guide section. We want to go to the add-on section. So we'll click on that and then in here All the book map add-ons you can see listed on the left margin We're looking at stops and icebergs here. It's it it's blue here. It's selected So that's the area we're in and then on the right hand side. You'll see the the Sub-directory for this center article here on stops and icebergs. So you click on that and you'll scroll down through it All right, so let's go through Liquidity marker is the one down here added. So we'll click on that And here we go. Okay. What is it? So it's showing significant changes in liquidity where they have occurred now It's interesting. It's a very it seems like such a simple indicator I Still have not digest all of this yet to be honest It is very simple in some regards, but it's showing a lot of things is actually kind of complex and What is showing here? There's a couple different modes to take a look at there's two modes one will show you Significant change in the liquidity within a five-second period The other one it will show you the maximum levels of liquidity, which is this one is very simple actually this one's quite quite simple here They guess more complex with the aggregation in here and showing the slash and the number behind it here so Right now it's aggregating all liquidity within a certain area a bid and offer We may change that Likely change that and We'll go through the different scenarios in here and take a look at it when we zoom in but yeah, it can show you there's different filters for this and You know, you can read through this article and you can also download it through the article in here You click on install. Where is it? Install right here. Okay, that's where you can find it at the top And you got the download link you will have to have 7.3 build 24 or greater Okay, which is currently our beta version All right, so let's go through it and take a look here Chopping around guys. We're kind of still bouncing around around our our 60 level here Back up to 63. That's about it Okay, let's see some buyers come in. Let's see if we can see more more liquidity here No, interesting. All right All right, let's see if we get it now Interesting interesting move here. Okay. We may get our drop here. They're showing liquidity in here and we're down here And now they're showing on the bid now watch these guys pull on the offer Okay, so then we're looking for the move back up to the top of the range here. Okay, they show on the bid here We start to pull on the offer. We're looking for move back up to around here. Okay 62 and a quarter Hey, let's see if we can get it here. We we basically change the range has kind of diminished into this very small range here between 61 and three quarters and 60 Okay, now they're pulling And let's get back up to 62 and a half Okay, there's still they're adding the liquidity here and they're pulling up here So we can even get to 63 potentially there's 62 and a half Anyway, guys, well, I mean you can see like how you can develop a range bound strategy out of understanding the order book and just the context of even two elements here just the order book and Price action. Okay, put some volume in there. You're gonna get a lot more Information out of it. Okay. This is rejection up here. We're back down here So and let's see if we get more skew here on the offer And I want to see these guys pull then we can get a move back back down lower because this rejected up here Basically, it came up here and it quickly traded right back down here again Okay, so we're open to a scenario down here of breaking the range now Okay, so more liquidity at a lower level pulling on the on the bid and then the the follow through to the downside 58 57 or so something like that. Yeah, let's see it Let's see it sellers Let's see a break and in yeah higher time frame. Yeah 57 looks really good For for if this can break here Hey, we see how it rejected again up here And now here's our break, but this was this was kind of the key here To be honest like this is this was very very catchable. I think to be honest We saw the rejection up here very very quickly Came right right back down it traded outside of this range It did not accept it came back down into the range and then we were looking for the sellers here at this point They should move it We got one more pushback up here and it rejected again really quickly really quickly it came up here It came right back down into this smaller range. Okay, our analysis here on the range. It's kind of a range within a range Okay, we saw that here. Here's what I mean. Here's our range. Here's our range within a range right here Here's our rejection Here we're back in our range again. Here's our rejection and we're back in the range again Okay, looking for the break and looking for our 57 liquidity. Does that make sense? You guys have questions on that I'll I'll go over this again, but I think more as a Now this is rejecting now to And we're back up into the range now Okay, so now we can trade back back even to 63 here Okay, all of this selling back Did not it did not accept at a lower level here. We're looking for exception Acceptance down here below This 59 and a half here It's not we're back up here. All right, then we're looking for the scenario here for buyers to try to trade it higher here Okay, it rejected here at 50 at 62 and then also at 62 and a half or 63 up here Now we're looking to see if we can get back up in here and not see it reject Hey, because we're finding buyers in here Okay, let's see if we can bounce off of this here at 60 come back up here and then trade to the other side to 63 No, nothing happening yet Yeah, it's choppy Tommy if you're talking about different correlations Yeah, the We've looked at that quite a bit in the in the past looking at the all stock indexes and correlated markets All right, all right, so it's it's still rejecting up here. I thought we'd have the move higher It's rejecting so looking for a continuation here to the downside now I mean, we're back down below this area here at 60. Okay, so we're there is still rejecting up here Okay, the structure The order book is still staying in the in the book up here basically And we're back down here here. Let's get insight here High liquidity here at 60. Okay, we should see sellers come in and looking at 58 down to the bottom of the range 57 and maybe we can get back back down into The C David was looking around this 55 level and 54 here. Okay, so rejection up here. Okay, high liquidity More high liquidity here again a little bit lower here. This will this will give us some insight Did now they looks like they traded it. Okay, didn't expect that back up to 60 So let's see if we still get rejection though. Did not expect that at all All right, we're starting to reject again All right, this sellers have it here. I should be able to looking for the likely move into 57 and 56 Yeah, I like I really like 55 as well down here again looking at market structure Here's why structure and structure Okay, so that's gonna be your low volume node as well due to the structure and Come on sellers hit the bid hard here and let's break this low And get back down into that 55 area There's 56 Retest to 57 and a half Yeah, Gigi definitely looking at some European clothes and some some chop here We're about 20 minutes away No, it's not an absorption indicator of this liquidity tracker here I keep getting distracted by going over this because we we're looking at this price action. Here's our 55 guys this is what we're looking for and You know, we're reading all of this just by understanding context of these two elements here This is a great exercise to understand the order book and liquidity and its effect on price action Yeah, let's um Okay, David you request to go through the quity settings end of the day. Yeah, we can we can do a special event webinar and go through Maybe like after Tom's session or something So should price go up after the European second session is done. No, not necessarily at all Yeah, see the aggregation here. There's 234 and then slash to let's zoom into that area here And what what this meant? There's just multiple there. See how there's just so many different changes here within a five-second range But you you'll note how see I have I have sellers and buyers here in changing But if I zoom vertically note how it aggregates them together Okay, and I have four here 327 plus 327 but for four different levels here or four different changes I should say in this case those changes are four different levels But it doesn't have to be okay. It could actually be on the same level So that was confusing to me as well But you know I spoke with the developers About that you'll see like at one price level. Sometimes you'll see the change multiple times Okay, so we keep seeing like just one big change here in liquidity But you'll see like the kind of pulling and adding over time at one level Like we might see it over here No, we're just seeing one big change right now But you'll see 25 50, you know 75 and they're pulling they're adding, you know across Level and it will aggregate them for that same price level as well. That's that's the point the other settings in here Well, I think you're you've got the right idea David will hold a separate event maybe after the market And and go through it, but you you can they've got in very nice Programmers did a really nice job. I think You can calculate and filter here And so right now it's showing the equity has to change by 19 contracts or more click on that and now I'm zoomed out and I want to I want to see like 231 contracts change or more so there's also this Filter marker near best bid and offer. This is really nice because a lot of times you'll see the the Market making algos you want to filter them out. Okay, so if we boost this up, it'll really help And that you for eight ticks from best bid and offer you won't see the change You'll it'll be further away. It will filter out anything close to the market And then there's also this filter here so it doesn't clog up your entire screen really nice idea You can input the amount That you want to display on the current chart so up to 10 Levels or you know markers and then that's it So, you know If you zoom it will recalculate that All right guys, you can see we got our move to 55. That's what we're looking for is bounced since Okay, but we were just looking for you know this little area in here 55 went a little bit lower here David's got it spot on around that 54 area Yeah, this liquidity in here 55 and then here 54 yeah the the other other Items in here So decreasing for You know showing the the increase of liquidity and the decrease or just you know the increase of liquidity It'll make a calculation a little bit easier That's how that works So there are a lot of different filters for that five second change in here for the liquidity marker and if you Within that five second change if it's a big boost, you know, we've got our filters in here for it Okay, there's and they're pretty powerful filters here. So 231 based on the the Viewable range in here, then there's also By best bid and offer and then the number of markers to show on that viewable range Okay Moreover, let's go to the max. This one's very simple very straightforward that show the max liquidity levels here a more than 20 and Number of levels to display show up to Three different levels in here So let's see what was it was it calculate here and Nothing No, here it is right here It's kind of hard it was hard to see five five hundred and forty here and that was the big that's the big change right here That's it and then here 255 right here And that's it Okay, that made met that filtering Condition we'll play around with it. We'll cover it. I think in a separate event Okay here in in discord Nuffle platypus. I'm not sure if if sellers seem offsides or not in here. There seems to be I mean structurally there still seems to be you know Well, yeah, I mean this this whole structure changed here when that move back to VWAP in here So yeah, they might be You know get the hook right here move it back up into the range. I Mean this definitely rejected in here Okay, it came down just slightly but it did make a slightly lower low So, you know and look look where it tested Okay, so let me put the question Out there Where would you guys look for that first retest if it rejected here and cut and comes back into the range Where would you be looking for the first retest? Okay, you're looking at initial balance, but I'm not covering an initial balance David, but I don't want to get too deep into the You know market auction theory auction market theory The in the V pock. Well, these are kind of fancy ways of saying something else and So I kind of want to shift away from from that And and talk about just order flow so initial balance low Okay, well, what exactly does that mean? Okay, well the initial balance is Defined defined as within the first hour Okay, what is the volume within that first hour from the cash open? right, so what was the low was the high and what was the the Average or mean Which are different But and then you're marking that up and then now you're playing off of that that volume because the the concept is very simple majority of the transactions happen in the Beginning and the end of the market Market open and close so the concept is No different than this range right in here This is a consolidation range There's volume in here it turned into a high volume node over here And we don't even have to have volume on in here We know that there there's a lot of volume in here We can also look at our let's get rid of the Delta column here for now. Hey, we can also look at our Volume column over here. Okay, so the concept is this High volume If we reject down here And come back up into the range You're looking for a test back to then this initial balance low of this range Okay, so the concept works on all time frames So I'm trying to not debunk these theories at all. I'm just trying to Understand the concept behind them Because these concepts repeat again and again And here it is it traded back down to the bottom of this range and It accepted it rejected up here. It came back down lower and it made a lower low here So here's your initial balance concept this can be taken forward into micro in you know nano structural levels We've even done that exercise. We've looked at it We can do it again if you guys like We're kind of running out of time here today, but We will we'll do it again. Anyway, that's the concept here of understanding initial balance highs lows and in medians the low volume nodes high volume nodes same concepts here Or understanding the concepts in more depth. There's going to be a low volume node in here Because there's a lot of volume that traded here and This is kind of the under over line when we talk about under over lines right here Okay, so we know that that's going to be a low volume node Don't doesn't we don't have to understand like from the book that a low volume node and again Just you know, bear with me I know you got a lot of you guys are complete experts here and know this in your sleep. So The concept though is that it rejected here and then finally broke down and then here it came back up and Accepted back up into the range and then it rejected and broke down Tested the other side of it here and it and it did not accept into the range again Okay, and it we made a lower low in here Okay, so this is our low volume node and that would be the retest so David you nailed it on both there With the concept here of this kind of balance area And it might it might be the initial balance low. I don't know. I didn't look at it But the concept is is the same so now once you understand that concept you can move forward in all sorts of time frames Okay, the only reason that what's so nice about the initial balance Concept is that it is a lot of volume within the first hour Okay, you can take that for any Amount of volume at any time though Okay, it did not touch it yet. Okay, it's at 48 and a half All right so anyway, that's a you know understanding these concepts though which the concepts are excellent And it's understanding like who's who might be off-sides within that balance area Or consolidation period and that's when we look for the stop runs and also it absorption exhaustion Where other traders might be positioning themselves? Okay, so this one tested back up into kind of the The the volume the high volume node up here Okay of this range that that little this little range in here. We can look right at it Okay, it's right here. This is the high volume node right here Okay at at 58 and it went just a little bit higher. It rejected Okay, so we'd look for a bounce to see if it may be bounce off of this here at 57 and retest back up here and then if it could then we'd be looking for our 60 You can see what happened It rejected here and enough for sellers to trade back down below our kind of under overline and Look at here's the retest back to it Okay, and we got more sellers down here. Okay, great now We're gonna zoom in here and what we're gonna look for is Is an imbalance in the order book and sellers at this level here pulling on the offer and then a trade back down into potential trade No trade recommendations here, but a potential trade back down into 51 and a half or 50 All right, just by understanding the structure in this area here And we're not even we can even dim the the heat map completely here We're just talking purely about structure right now and we're making you know Giving insight to where price might be going just purely based on the structure and that's it You can see how powerful just understanding structure is alone All right and some of these concepts and then now we add in the order book Okay with the heat map And we're starting to understand. Wow. Okay. Look more demand at this area here. Well, we didn't get our drop yet Hey there the reaction to this demand in here was They're actually pulling on the offer They're adding on the bid and price has been going up And let's see now. Let's see if we get now. It's starting to kind of reverse back down now. We're looking to see them pull here I want to see them add on the offer And then we did make a slightly no we made an equal low here All right, so we can if we can get a break of it. It's what I was about to say And here's our skew in the order book here. It does happen very very quickly Right. So likely likely the move is still to the downside And just a cut kind of curious though I mean on this one here because you're still seeing demand come come in here So it might it might reject and come back to the other side of the range here And this is when we cut when we cover that and understanding this false breakdown Again, we want to understand the order flow here In this area and what we're talking about in the order flow is we're looking for strong moves to move it away from an area and This is not a strong move It might do it. It might still do it but It's not as likely There's they're still showing demand here and we're back up into the range now. So it basically it's a false breakdown So buyers can now take it to the other side here and trade to 55 and maybe 56 Or 56 and a quarter this liquidity up here Okay, so that's why when we look for the breakdowns and breakouts we look for not only The price movement Hey, we're looking for strong volume and a certain amount of price movement to move it away from that area So then when we get a retest, maybe we get very shallow retest back up into areas And so this one has you know, it's it's come Came back down. It's back up above. We're gonna see a stop run And then now we can get to the other side of the range as well T46, what are you looking at here? Let's let's take a look you're talking about And this will balance low breaking 1040 Yeah, and you can see that that was a false breakdown there. I mean look at that. Look at this squeeze here, right? I mean Understanding these concepts. Okay, so just just this alone like understanding this concept You know and and look at the order flow in here. That's where you're gonna get the edge The concept was okay We broke all of this range and all of this volume in here doesn't matter if it's initial balance or not There's a lot of volume in here. We broke it. We're back in Okay Looking to trade to the other side of the range in here right here And then back up into potentially our VWAP, which you know traded out. I played out perfectly And then we're back down here again All right, so good stuff there and Also again like even like this here is is is no different. Hey, this is a meaner version to back back to the top of the range here This is a false breakdown And it came back in This is no different than that VWAP trade. We just looked at Okay in concept Anyway, understanding these concepts like it will just open up the floodgates For all sorts of ways of looking at the market and strategies and trading Okay, we can you can once you start to understand like that what's behind some of these things And and context really context is key Then we can we can really open this up and look at many many different things in here We can add in candlesticks and we can go over candlesticks Concepts here like here's rejection in the candle, right? Well, we're back up here. All right, great Well, what if we get buyers back up here then? in the candle And we see sellers bringing it right back down now They got a we got to see like a lot of volume trade back down here at 53 then we can get a break But see we're getting rejection again So I'm looking to see if we can break this now based on just candles and then trade back up into 57 And maybe even higher Okay, now the candlestick, you know Trade here is you're looking for our buyer buyers up here in the breakout, but we got our rejection And twice we're looking for the move higher So let's see if that now they can break it here All right, let's look at the order book was the order books are telling us not much A little bit more on the on the on the bid in here, but it's not it's nothing to you know shout about here Let's see a skew here in the order book See you see all the order book it kind of kept you out of that candlestick trade Even though you see that rejection in here this dark in here and trade it right back down to the bottom of the range All right, let's see if we get back up here And let's see a skew in the order book if we get a skew in the order book now. We've got something. I Want to see them pull it 57? I see them add in here on the bid around 54 55 Let's see if we get it Then the likely move is higher. I think it is Jeff in here. I have to thank him for the I like the likely Because order flow tells you something and it because due to the order flow it should move higher, you know, so Anyway, that's I'm gonna leave that though. I using likely is is better So thank you for that Was it Jeff P? Were you the one that were suggesting? I thought it was another Jeff but anyway Appreciate it. All right guys. So anyway, see even if you trade simple simple candlesticks like this You know, you understand that concept and understand the order book context in here This is this played out exactly like we we were looking for well here. It played out It was like well, they're not in the order book. Well, they can trade it back down to the bottom of the range Okay, we're back up here And we're looking for the potential breakout. They're starting you can see them pulling in here They're not adding much in here, but now they're adding here And so still trying to look see if we can get back up above here back up into 60 All right, so very very simple stuff Now we're getting that that is disrupted here. We had 500 contracts come in here There we have 380 coming in here more 700 from two different price levels there Okay, so this is now is getting kind of is disrupting that that our outlook our analysis here Okay, some some changes in the order flow in here. So we have to react to that now You know, that's what we're looking for to get insight from what what happened in here. And what does the market think of it? The hero indicator. Okay. Well, I'm sorry. We've got to get going. I'll cover it another time Jeff I mean, I'll quickly throw it in here And and take a look at it. Well, you know, they're hedging on the other side here. So actually If they're hedging here the hedge impact is going the opposite direction. That's weird So in the order flow, what we'd be looking for then is let's see if we can get back down with some exhaustion in here and and really Looking for this to drop then I don't see any reaction to this hedge impact They're going the opposite way. That's really really strange Right, we should see a drop in here So we'll look for it it might unfold it might just take a little while here to unfold All right. Anyway guys, let me let me get back to the discord a few more questions Okay, it was Future story of 71 that preached the likely versus should Yeah, yeah, that's that's fine. I mean, it's it's more correct. It's not a big deal I just there is a point to be made that the order flow tells you something And then it should play out that way Doesn't doesn't have to do anything though. That's that is absolutely true Absolutely true Doesn't have to do anything But due to the order flow, it's kind of like saying like, you know Look, you got a 90% you know free throw A player on the line He should make it You know compared to someone who like, you know Shaquille O'Neill or something. It was like, I don't know 20% I mean, he should likely miss it, you know, but like when you really have that like 90 92 or 3% trade Player like yeah, it should it should unfold. It's just highly likely. So anyway Yeah, he was hard to wash from the free flow line. Definitely So, let's see here a few more questions. I'm sorry guys. I didn't get to all your questions See Thank you order book last been plenty of liquidity and downside. Okay Yeah, here's our drop at hero. I'm glad we did look at the hero I mean this made really good sense that it should be dropping here guys due to this hedge impact So this is not that's a nice opportunity And we're back down here Okay, so now the way that I've been reading this hedge impact from Brent at least and it's so simplified I'm no expert in it whatsoever But I would imagine that the hedge impact should be done by now And we'll probably see it kind of dribble lower, but this will probably flat line And then we just might just kind of go sideways for a bit Okay, so the hedge impact is already now now it has unfolded. Okay. This gave us an edge in here Okay, and you actually you can see them starting to hedge impact on the other side now So we're looking at some maybe some back and forth in here now. Okay, but this was this was nice Hey, this is uh, I'm some foresight here Yeah, I'm the speaker in here. Yeah, I can do what I like. That is true. Um, so Doug, let's see. Doug is writing a Doug P. I think I missed your question earlier Doug. So I'm sorry on that um So, uh, Doug's got some probably some options information to take a look at here Okay, thank you. Uh mosaic Traders are selling us spy calls and buying plits Thanks Thanks, Doug. Excellent Yep All right guys, let's wrap it up. Thanks for coming everybody. Uh, and we'll continue tomorrow with a good exercise though to go through this and just understand context of and some of these concepts Of just price action pure price action. No aggregated data here Uh, and uh the order for the order book Okay, and what does the market think about that? Order book, how does it react to it and you can see that you can just read even these two elements and get tremendous insight All right, thanks for coming everybody and we will catch up tomorrow for 20 minutes or 10 minutes with Just me going through s and p and then j trader will come in and we'll go through some live trading with stocks We'll see you then and then line it up right now. I'm sure tom is kind of itching To get going. Sorry tom End of webinar now and tom will begin his traders lab room probably in the next five or 10 minutes, I imagine and you can jump over there and Continue on with the Live analysis. Okay. Thanks for coming. Bye. Bye You