 Good morning traders welcome to the live market analysis webinar here at bookmap. I'm your host Bruce We'll be going through The live markets here in whatever will be going instrument that you want. So Anyway, you guys know who I am. I've been that book map here for for quite a while going through all of the different markets and you can reach out to me at Bruce at bookmap on our Bookmap discord or my Twitter handle is at flow order Let's go through the closures and jump in to these markets All book map limited materials information and presentations are for educational purposes only and should not be considered specific investment advice Nor recommendations risk disclosure trading futures equities and digital currencies Involves a substantial risk of loss and is not suitable for all investors Past performance is not necessarily indicative of future results. All right So let's jump in and we are selling off and looking forward to continue to sell Into some of these areas here 4160 just jumping right in here in the ES and Yeah, you going lower here. Let's see 58 55. We got the figure down here at 41 50 as well Let's check out some of the liquidity along the way. Is it getting filled? That's gonna make a difference here and this is where book map really shines here Yes, they're staying in the order book at 4160. They're getting filled. That's pretty high liquidity You can see how the market reacts after buyers step up stay in the order book and Commit to these sellers hitting the bid This is how you get these small pullbacks You'll see this again and again and again now we're looking for Exhaustion over here on the buy side and we're looking for again sellers to step up probably right around in here We're looking for red dots here, and then we're looking for them to drop it down into 58 All right, this is very very typical in the order flow When price is trending so these are opportunities for pullbacks and Looking for taking it down to the bottom and continuation of it All right bottom of the range here So anyway, yeah, there was a small opportunity there for I Don't know a point and a half or so And it's up to you how you want to manage those things And there's many different ways to manage it we're just going through the order flow here and how to take a look at it and Glean something from it And something that makes it a higher probability Outcome due to the behavior of the participants. This is really the key Right, we can read them absorbing or staying in the order book here on the bid We know that there's heavy selling right. We're looking for the continuation of that selling But we we were looking for a bit of a pullback here after trading into this Okay, so then we're looking for exhaustion right we mentioned it in real time just now Here's our exhaustion or lack of buying up here a little bit of buying up there not much Now we're looking for sellers here at 41 60 and a quarter We got them. We're looking for it taking down here to the bottom of the range or the swing and then to 58 And like we said earlier to 55 53 and 50 all right, so Fast and furious just jumping right in here and Looking for this continuation now, let's take a bigger step back and first off are there any questions? bigger step and Let me know Good morning slowdown All right, so slow down. This is your your Set up here or you're looking for that continuation the Okay, what was I gonna say now the The oh, yeah the behavior of these traders. This is where bookmap really can give the insight is by understanding There's the participants here. It really it's not some sort of signal service. It's not some sort of Indicator it is just market data very simple market data Right that this is liquidity on the bid It's derived from the your level to your order book your dome right here. See will be current order book And then this is current liquidity. It's in a heat map form here But then it's plotted on the chart historically we can read their behavior over time You can see it in here as price is coming down. These guys are starting to add in At 55 here Okay, so they want to be buyers in here there. They're staying in the order book here is their behavior It's not an indicator is just showing you very plainly. They are staying in the order book and transacting here Hey, that gives us some insight. Look at how the market reacted All right, we're still looking for more sellers though to come in and try to trade into this here There's some exhaustion let's see if we get some sellers here No Okay, now we do so let's see if they can break it down into this 54 and three-quarters and through it Down to our next level of liquidity now. This was a pretty easy read. I thought over over here, I guess I guess it was and and then looking for it was Yeah, I forget where it was anyway You know, it's gonna get harder here It's not gonna become as easy And the reason being is that first off a lot of a lot of traders are getting filled on the bid Okay, we're gonna start to see we're not gonna see exhaustion up here As much it's not gonna be as clear as that other example Which was I believe it was right over here and then the You you'll start to see this and you might start to see That the trend here kind of slowed down a little bit. Maybe the line here in the in the trend As you can see this kind of broke it here, right it failed, but it did break it okay, so now The continuation of the trade or this trend is it's happening here but we'll see when we get down into here 50 you can see that they pulled here at 52 or 53 and We're gonna start to see some some buyers start to come in here Likely likely now we haven't looked at our higher time frame. We're just talking about liquidity getting filled on the bid. All right, so but this is How we're starting to read the behavior and this trend here and Starting to understand these participants. They are getting filled now do is there's still more selling pressure We're gonna look for these red dots in here compared to some of these over here Hey, maybe they've become less maybe we start to see more buyers come in Okay, I don't see that right now I do see a little bit of buying in here and a little bit of buying in here But that's been pretty consistent along the way here. All right So anyway That's what we look for in these in the trend continuation and then it's starting to kind of maybe slow it out See how buyers start to come in here All right, so look for a pullback maybe not just to the trend line maybe up a little bit higher here break the trend line Maybe we get start to get a different trend line here. Maybe it starts to trend off of something like this here Okay, a shallower trend Anyway, our 41 50 target was hit We were looking for that back at 41 60 Okay, so this is like a 10-point move right off the bat now Let's cover this here. Why such an easy read in here And continuation. Well, let's look at the bigger picture. Okay, we have a daily chart hourly chart and our 15-minute chart here yesterday We were looking for it was you know, we had this strong daily move here from a Couple of days and then yesterday We saw we were breaking above these swings in here And I think when the webinar started it kind of broke back Yeah, didn't it didn't make the high at that point. That's right. We were I Think a let's take a look at the hourly here. How did it? How did it work? I know that we were looking around this. I think the swing right around here And then we were looking forward to continue and we're looking for 4200 And above Yeah, that's that's what we're looking at and it was back and forth in here during that time We're looking for the the pullback to 41 85 in here. Okay, so that unfolded And here, let's take a look. Let's look at the 15-minute chart. This might be a little bit better Yeah, and I would like to see more bars in here Yeah, it's not not really showing it, but We wanted to see maybe the hourly charts better to go with That's fine Okay. Yeah, let's go with this. Okay, so We had momentum on hourly and We were looking for the continuation on up Here it was right around here was the webinar Okay, so I believe is that 11 a 10 11 a.m. Yeah So we're looking for the continuation on up to some of these swings and we're looking at the figure So we got that And then we're looking for where those potential pullbacks might come well We looked at 85 right here. Okay, this this level here And we had our reasons for it. There was a swing down there and We got the sell-off into it. So during the webinar, we got the move up We got the pullback and then it went right back up again Then it failed above like I think the high was around 05 or so 4205 And then you can see the sell-off now If we take a look at this in the bigger picture In the range here on the daily we see the break above and the move back in So today and we're below it already Okay at the open so we're looking now for a momentum to the downside to test some of these areas probably Down here, maybe around 32 An easy one today was looking at the figure here at 41 50 All right, let's take a look at the hourly And then the 15 minute so the hourly looks pretty good for what it what is already unfolded here Here's the the open here. Here's the move down And yeah, this little class. There's a little cluster in here or probably a high volume node in here someplace Plus the swing swings down here. Okay, so yeah, these areas look pretty good here on the hourly for the continuation for 41 40 down to 35 or so All right now on the 15 minute chart We're already kind of in some swings here in some of these little areas in here So I imagine we're probably gonna see a little bit of profit taking now And maybe some kind of retracements back up and then looking for that continuation Okay, so Anyway Yeah, this is a pretty important swing at least on the 15 minute chart here and that's around 44 or 43 All right. So anyway, it starts over here with the daily and the breakout above Was not sustained and then the move back in and then now looking for the sellers to drop it back down into these Middle of this range in here someplace and and maybe maybe further. All right, so that's our bigger picture And then here at the open Well, we have also had some data here at 10 a.m. As you can see but The 930 cash open the move to the downside Data move to the downside liquidity liquidity liquidity getting filled on the bid on the way down To the figure and a little bit below here Now we're getting see see the buyers start to come in now Okay, so let me know if there's any questions in here on this Okay, this is pretty straightforward stuff and But we're we're seeing it Develop here right right in book map. Okay, we can see that there's high liquidity on the bid getting filled And now we see some of those buyers coming in and we drew up this trend line and and we were even forecasting That the the trend might start to get a little more shallow not as steep As before and it will not be as easy to read now Okay, so yeah, and here we go. So it's already tested back up to the figure and a little bit above it here at 41 50 it's come up to about 52 almost and Then now you can see we're back down now all right, so We can start to look at a few different possible setups in here where Above this range here If the sellers and start to come in which they are looking for them to try to drop it down to this 47 and a half here Okay, and the liquidity right below it here And it's already already Unfolding here Okay, but yeah still actually there's some buying in here So there's probably gonna probably see a little bit of bounce back up and retest here around this 4950 Okay, we'll see might be more selling pressure but Anyway retest back up here, and let's see if we get exhaustion on the buy side and sellers start to roll in again And maybe that was it. We'll see this can get this at this time of day and After this big move and after the move down to some of these key levels the figure as well as this swing here You know we're gonna get some back-and-forth in here It's gonna be a lot more challenging to read now, and what we're gonna start to look for Maybe we'll get our trend continuation, but I'm gonna start to look for trapped volume in certain areas Okay, like buyers back up above sellers below here Okay sellers below here and Maybe we can get a trap going here back up above and see buyers stream back up into This area here, okay sellers taking it down Okay, so there's still still more selling pressure in here Still very careful here Watching this as the potential trap here Okay, so let's see if we already got the big stop run here See see how we're looking for that like these some of these traps and some of the stop runs Look at icebergs on the other side here, you know This is this is what we're talking about it gets kind of kind of a little bit more complex now Sellers come right back in so they're still driving it still driving it lower. We're looking Let the 41 40 area is about to test Okay, so we're also down below here Our swing Okay, we're just around 43 Okay, so yeah, I'm looking at this 30 36 this little cluster in here Now I know that doesn't look like much or maybe the next one would be down here But I'm looking at this one here. I like it And let's see if we can get maybe a bounce off of that area here Okay, now we're not looking for much here just a bounce I mean this is strong momentum to the downside. We're just looking for a bounce though Okay buyers, let's see if you can move it back up to 42 or maybe even 44 Or 45 there we go a Little bit more than that Here we go All right buyers, let's see it here break this little swing here and on some big green dots here And let's see if they can just pull it up again. This is just a pullback, right? Or it depends on your time frame and then this would be a trend up if you're looking for a micro Micro time frame here. Okay, the trend line is still holding here. It's very shallow Very shallow channel though to the upside Okay, again, it's not very strong, right? That's something we talked about last week in price action The strong move and is to the downside and the the participants are hitting a bit hard And to into these high levels of liquidity Along the way, okay, it's breaking it So let's see if we can get down to maybe this 35 area here and we're at lows of the day and Yeah, if anyone's trapped in here, I see just maybe a bunch of buyers here For the potential trap And these all of these buyers in here and there's quite a bit in here for the potential move right back down Okay, we'll see I do not see sellers down here now if sellers aren't down here There's not much of a trap, right? There's not much fuel to the upside here So I would say like, you know due to that It is less likely we'll get this move back up It's just that we'll get sellers. They'll be down here though. They're not selling right now Pemek. Yeah, the I I use the stops and icebergs all the time and the way that I like to use them is It is a subset of the order flow. It's the actual order types that are transacting. All right, so How do I look for that? Well, I look for if you know going with the order flow and then this would be a confluence That wow, you know look at a lot of selling icebergs And these can be really strong trending days when you see a lot of selling icebergs and a lot of stops going the same direction All right guys watch for the trap here. See how we just made a little higher hide. This is the trap now You can see the sellers coming in And moving it away trying to move it away quickly from these areas here Okay, so let's see if we can get a little bit more here How do I spot imbalances? Well, the imbalance would be in my mind is this is a little different here It would be this is out of balance here Right or as kind of a trap right the larger player came in here and and dumped and and drove it away pretty quickly here And now I would look for their behavior again. In fact If they sold up here, well, they can sell more and then other people start to You know see that behavior and jump on the bandwagon. There's many different ways to look at imbalances Like this move here. This is what we covered yesterday and this is relates to something like Slowdown had mentioned to me that he really likes as when we cover Who's in control in areas? Well, you know, we know sellers are and we know sellers from this point on are in control right and Here's our trap guys. So this is this did turn out to be a nice little trap now We should see the stop run. We do see the stop run Right. So it's all of these traders in here buying it Getting really hurt now And that's not that much of a stop run. I actually anticipated quite a bit more now in this instance It was this seller here that drove this market away Okay, now there's a stop run in here but it's mostly I believe it is just just a larger player I was able to move this market See how the stop run happened down here that that gives us some insight, right? 68 stops down here with this little red line here outside of Bestbidden Offer That's where it transacted here. So, you know, someone that had a lot of a Lot of lots to sell well, they sold them they drove the market lower Hitting stops along the way and then stops ultimately Transacting down here at 41 40 Okay, now that drove the market away from this area up here Okay, and then We're looking for the continuation and move below here. Now we we mentioned that Okay, so if you're just joining now, this is not a bunch of hooey like we mentioned it We're looking for these areas as potential stops or traps and then stop runs So in balances, all right So there's a lot of different ways to look at imbalances. It depends. Are you volume and balance book and balance? something else Cumulative volume the Delta. I mean one thing that's really nice about book map is, you know, a lot of times the you see in the Footprint charts Look at this. Look at this player come in I'll cover the footprint chart in a minute here lot one larger player here about 600 contracts or more Pushing this down high liquidity here. Now they're getting filled here. This is not a spoof Okay, order book and balance. All right. Well Yeah, it depends on the Here's your imbalance right in front of us right right here All right, it's heavily in balance here. All right. Now it's the context here. We want to read Okay, so it got it got the market to trade down into this liquidity here Look look look at how buyers are taking this guy on though here Okay, so they're trading into him Okay, so it's an imbalance in the order book. There's no question about that It's just right in front of us now. He pulled that liquidity Okay, so now it's a little more a little more in balance There are a lot of different ways to look at the imbalance in the order book. We can duplicate this this Order book here There's you can look at it. We can configure this here as an aggregate you can look at imbalances this way And you can also Limit the depth in here. Let's let's do that And we can look at kind of an inside market here Maybe we'll look at five levels instead of ten Okay, and you can read the top here of the order book here and you can look for imbalances this way This is another way. This is the aggregate here 700 versus 600 right, so it's pretty pretty balanced right now Or you can just look at the heat map as well Yeah, yeah today RJ big. I mean big week here. Obviously, you know beginning of the month. I You get the FOMC you get the non-farm on the first Friday typically so We've got a lot of data coming out right, but what we started off with was going through the The higher time frame here right and we knew that this failed on the outside We saw a momentum coming in on the daily, so we were looking for this to drop And continue on and then I was looking at this kind of 41 or 43 area here As a potential like just just a bit of a pullback. I guess we got it a bit But you can see the the momentum here is is just continuing on then our next little level was right here And then our next little level is in here probably See how it just kind of slowed down in here Yeah, or or down here 41 14 Okay, so Or 4105 I mean you can see what I'm looking at these little clusters in here and this kind of back and forth in here right, and and I'm just I Want to know it's gonna happen at these levels and I look for I match these levels with liquidity That's that's what I want to see because then I know that there's buyers here. There's buying interest All right, and then then that starts to make sense to me Lot of different ways to read the imbalance in the order book We have an order book and balance indicator up here as well You might want to play around with that it comes with the global plus version of book map and Yeah, it basically makes the imbalance based off of the current and viewable Chart range here. So if I zoom in you're gonna see this change right you can see the order book and balance now is it's heavily skewed 10 11 12 percent 15 percent because of this liquidity and some of this here Now look at the appetite here and buyers came in. Hey, we got down to 30 Hit this liquidity and we got some buyers coming in Okay, yeah, and you said the day before if OMC is quiet. Well, yeah, I think it really is just because of the Yesterday, well, I mean the banking industry. I mean, there's a lot of things pushing and pulling on on the economy right now in the in the markets a lot of things But you know this kind of rejection above here on this daily here And the move back into this range here. That's in my mind. That's kind of the bigger read here And then we'll wait and see about the data Good morning shadow, can I filter the bigger liquidity orders only sure. Oh, thank you gentle bend the bear and How do you how do you trade in balances? Well trading in balances is Yeah, something that like is it again, I I feel I mean they You know, I've read like several like a white papers where it's incredible. This was years ago like you know it was rather kind of popular to And I don't I haven't followed up on it since to be honest But when I was learning about book map and learning about order book and balances You would get these financial engineers that want to work for the bank And they were they had all sorts of data that you know, they're they're you know quants basically And they're writing papers studying order book and balances and how that relates to price and That's when people say like, you know, oh the order book doesn't really have much effect on on price it I Really disagree on that There's it influence it technically cannot move the market, but man can it influence it and It can stop the market from moving that's for sure All right, so like right now, you know, you can see that We're kind of in a little little balance area here between the bid here and the offer up here Okay, but this will something will happen in here and you'll see something shift and change And typically you'll see maybe liquidity like it kind of did it here a little bit see how it came In here on the bid and then these guys pulled the last minute up here a little bit Some of it transacted, but see this order book and balance here. What was the reaction now? The price was already kind of kind of already up here But you can see it again. So now we're looking for the next level up here as a possible possible test Okay, if we still get the aggressor in here now if we don't deep the imbalance is gonna be between these two areas Which is right here. Okay, we're priced. Just just return to it Okay, but what watch you'll see a skew in the order book in here one way or the other here it is right here Okay, now how to price react. Well, it seemed seemed to like it here went after it Okay, let's see if they throw more on the offer and start pulling on the bid here And get price to come back down into these areas. That would be one of the scenarios in the order book and balances Okay, see you see I'm starting to come a little bit more on the on the offer here They're not really pulling on the bid though. Okay. Now the context we're looking for is this order book and balance here we're looking for sellers it to kind of Push buyers away And it's not it's not really having that effect right now. In fact, we're finding buyers So now we have a little bit of a bias in here due to this order book It actually looks like we're finding some some interest on the bid Okay, so let's see if we get up here and we see green dots then I'm looking for the move back up into 29 Maybe 31 32 Okay, due to what we just read in here And that there was this kind of activity Interested now, you know, I see how we read that in here and I'll go through it again for you guys Okay, now they're pulling here. They're adding here on the bid pulling on the offer finding our buyers up here Okay, so still looking for them to go higher here And now how this might shift and change with the order book and also the the aggressors the sellers in here All right, so yeah, it's still doing this and still going higher here Okay, based off of the little read in here. So do you guys want me to go through that again? We're still looking for 31 32 here And you can see everything got kind of pulled now. It's all kind of dark in here. Yeah, okay. We can go through it again Yeah, and we're starting to kind of dig into more kind of you know Microstructural stuff in here, but we can use this same process here Well, you can be like Gary Norden and look at the the actual don't you don't even care about the historical market here You care about only what's in the current book and that's it, right? You can see them on the bid here They're on the offer up here Let's see if we get a push by buyers up into this area here 31 or 32 He you know, I don't know what he's looking at Precisely, but we do see you know this imbalance here Okay, in this case the imbalance we're looking for price to come and test these areas here. Well, anyway, let's start off and Let's go through what we read over here, yeah so we resumed in and You know, we saw that price was coming down into this 41 25. I believe this is where we were and I Yeah, you know, we there is some high liquidity in here at 26 and a half that the buyers went after it now Through some liquidity underneath here and then pulled it away and then in here we got to read we got it we got some insight in here and This is where we can really optimize our trading Okay, we can get insight from this order book and balance And the price structure and the transactions of the aggressors how they're relating to this order book Okay, because it's an auction This is what we we want to understand and Understand the in detail here or more detail that if there are buyers here on the bid And we don't find sellers interested and we find more buyers away from it Then we're looking for higher liquidity up above to transact All right, and we were starting to now. We didn't know at first But we our read came later our read in this started to come after We started understand why they tested a few times here They tested it again Tested it again, and we're finding buyers up here Okay, so let's see if they we can trade up to 28 and a half or or maybe or maybe higher Okay, so and I forget we were kind of looking at I think like this right more more like this and now we have our read here now the other participants also They're it's more like just testing here, but we're reading the test and If we can properly read the test and they get insight from the testing as well we can jump along Okay So what let's see why I we have to go back and replay mode. It's actually I find it easier to be honest To see it in real time then I do it will going back like this Because you can just you can you can get a feel for it in here. Oh, okay buyers want this liquidity in here Okay, alright, so we get more buyers up here. This is getting ready to move We saw the testing in here. We saw the reaction. That was the the thing to read That was the insight Okay, so we're looking forward to go up and test these areas and we said 31. Did we ever get up to 31? No, we got up to 30 and a and a half or so That was it. It never came up to 31 or 32 All right. Now, does that make any sense? You know, how to kind of start to read that in real time and then in here We really started to get the read in here when they started to pull here and we're we're still finding more buyers And they're bidding up underneath here. Okay, we can see the Bit of the bid here, but also here is kind of blue. It's not much But they're pulling over here and we're finding buyers. That's one. We're looking for it to go higher, right? And now it went it went higher and but never hit what we were looking for and now we are in a pretty serious downtrend here, so That was a countertrend move and read of the order book in here now We can take that same process and look on much much higher time frames Okay, so now we're getting a continuation of the move and let's look at this on the higher time frame. All right, so All right, they pulled here. We're getting sellers here Well, the order book here there. There's more on the offer up here at 28 or so here they are seen that see this skew coming in here now. Do we find sellers here? Okay, if so, I'm looking for the sellers to take it down And try to trade it into the first little level is this it's still here, you know at this 23 it looks like Okay, so and they're still here, right? They were here earlier and they're still kind of in and out of the market here All right, so the bigger read though is we're looking for 20 to trade Okay, now now let's come in here now. We just saw a little flash in here in a test Okay Other traders are seeing what the demand what the supply or they're providing demand in here And how does the market react? I have have you guys who's read the? Reminiscence of a stock operator. Oh Thanks, Deborah. Okay, so it makes good sense in here. I'm happy about that so Yeah, so our here's our higher time frame read right and so looking for that continuation and into 20 now it's not much of a higher time frame read but You know that that's the next level here Yeah, reminiscence is an It's an unbelievable book. I I don't I don't know how many times I've read it And oh God, I think I forget the guy's name. Was it Kane or something like He said he hasn't you know, he's not documented he but he was one of the best traders that he had never come across and There was a story where someone came into the office And God, I gotta look it does anyone remember it was it was it Kane Kane is is that is the name of the trader Not Jesse Livermore. I'm talking about Someone else within the book Let's see if I can find the even the pad passage in here Okay, or maybe maybe one of you guys remember. No. Yeah. Thanks, Thaddeus. It wasn't wasn't Jesse Livermore, but That I'm speaking of Anyway, this let me just go through the example in the story here So, you know, this is back in the ticker tape days in the floor of course and what Had happened was down on the in this this guy's in his in his trading office Someone came in and said he's got a tip that so-and-so is buying a certain stock and buying it hand over fist and immediately What what this trader did was he he turned around he said sell thousand shares or you know sell sell like 5,000 shares or I don't know something like this But you know little barrages of You know pretty pretty high high liquidity there High volume so Then he looked at the tape and he saw that it was being absorbed that his selling was was Easily being absorbed. So what was what was funny was that the the the tipper who came in and said You know so-and-so is buying the market or buying this stock he He said no, no, I told you that he's buying you should be buying and And he said no the No, no, that's not it. I'll find it. I'll find it for you guys the trader but Anyway, yeah the He said yeah, I heard you I heard he's buying but he wanted to test it and he and so he Read the tape he went to the ticker tape after he sent the orders to the floor And he read the tape as they came through and he said okay now You know flatten the position and start buying Buying hand over fist basically Okay, so he read it. This is I view this as being no different in here I can see the testing by other traders and I can see the reaction Okay, and the best test of all is here Trading into high liquidity Did they stay in the order book and did they transact and what was now? That's just the test though the reaction after is what we want to understand Okay, it's just like a stop run. It's who cares about the stop run What happens after the stop run? So we're looking for the event and the event here is that this high liquidity traded And this is around 21 And then we look for what happened after and we'll go through this in just a minute here But I'm I'm now looking for Sellers to hit into our 20 level. It's come all the way back up here Now I'm looking for sellers to trade into it and hit it hard here. Maybe they could get down to 18 Okay, we have we have a fuel here We have a hold on here. Sorry about that Okay, we have fuel here The fuel is the buyers up here. They will be compelled sellers down here Okay, so we've already hit 20 and we're still looking to go lower. All right, so now we'll go over this example in here And just a second here. I got to look it up. I read I can't stand it. I'm sorry guys Let's see if this is the Huh, okay, actually I found it a PDF of it now hold on God you guys maybe maybe you can find it in here It's just it's really worth it though. It's a lesson of You know testing the market and understanding Context in here. So, you know, it had an effect on me You might want to check out this this PDF. I don't know how I came across the PDF. I just I just put in a Search quick search here. Yeah, I found it. Okay, excellent. It was on sugar actually so All right, so it's on page it starts on page like I think 68 Or 69. All right so Yeah, I'll put this into The discord here too, okay, and I can share it here as well Okay, let's just take a quick look at the market here Yeah, we're gonna get a pullback here and it's gonna be pretty gnarly. I think pretty wicked Let's let's take a look at our bigger picture in here. This. Yeah, this looks like a good area down here It's tested at once but it's you know, we're still we still have a ton of momentum here To the downside Maybe maybe 41 10, but we're looking at this area to our 41 14 that we looked at earlier. So Anyway What are we seeing in book map right now is yes, it's kind of going sideways here some back and forth in here All right. So anyway, here it is And yeah, he remembers a story of it says on page 68 of Deacon v. White was one of the biggest operators on the street very very fine old man. I love the The way these this old book reads here and he was Selling sugar and then the tipster comes in here and says well, I've got something for you so I'm you know kind of going rifling through this quickly He's buying sugar. Hey remire is buying sugar So I know for a fact he is How so anyway, let's just skip down here. He's buying sugar at said that Deacon absently Yep, he goes so he turns around and he says yes, I'm gonna use it use the information here and Here it is right here. I wish you to go over the board and sell 10,000 sugar sell yelled the hipster There was such a suffering in his voice that Frank who had started out on on the run Halted in his tracks. Why yes said Deacon mildly so anyway as you go through here, you'll see that You know, I he said I told you he was buying. Yeah, I heard you and Then he goes in I'm now at this point that you've you've got the page. You can check it out here, but Understand the process here And understand how this relates to the order book and the context that we're talking about and this was you know a hundred years ago So the process is the same the market is an auction and understanding The context of supply and demand in here is essential and you can see it right here plainly in bookmap Someone like Gary Norden is looking plainly at it in the COB column Or the the dome Okay for the current market only and he's looking for something high probability in that auction Okay, we're doing something kind of similar, but we're looking at the liquidity over time Okay, we can see that. Wow. Okay. These guys got filled here. They got filled here previously as well All right. This is starting to look good. All right. So now is there still more selling pressure? Yeah, there is All right, so our 114 level is down here, but we know that these guys are getting filled on the bid Okay, so what do we know now? And in this market right now in this current view, there's still more selling pressure in here Okay, now see see look at the skew in the book here a little bit of buying, but it's just a little bit here Right. It's still mostly selling Okay, and it didn't break the structure. It just came up to this liquidity here at 19 and didn't even trade it exhausted out Okay, so what we're looking and trying to read at is are the sellers finished and right now? It doesn't look like it Even though that there's high liquidity on the bid getting filled I don't see aggressive buyers come in yet So what do we do? What are our actions stick with the trend? Okay, it's an easy read Hey, just stick with the trend And now we have our 4110 level down here. All right now. Let's read this liquidity. Did it fill? Yeah, it did Look at the exhaustion here. Look at that No buying up here at all more selling. It's just driving it lower just driving it lower now We had our hard reads back here Like in here or maybe in here, right? We read this as the Fuel to the move to the downside. This is another easy read. I feel Okay, especially after going over the and reading the Jesse Livermore passage there. Okay, so now we're down at 4110 Hey at 4100 the figures down below another 10 points But let's let's take a look now. All right So because yeah, you know, the obvious thing to look for now is for is 4100 Well, is there still more selling pressure? That's what we want to know. What's the reaction? Okay sellers hitting into this liquidity. It's is transacting. It's transacting here as well 4110 we see some buyers start to come in now. They trade up to this liquidity on the offer. That's lower Okay, now look at that this this buying in here Yeah, it's not, you know, it's not bad, but look at it compared to the selling it's relative volume here We can even draw up our little line in here as the potential for these sellers in here to be the trap Okay, or the opposite. Is it these buyers that are gonna be the trap? This is what we want to see is liquidity or I'm sorry not only liquidity But the transactions around this 4111 and a half Okay, so it's still still going up And these guys are pulling liquidity or some of it was pulling some of it transacted here All right, now I would imagine not only do we have a trend line up here, but we have some structure up here I'm looking for it to fail here potentially More likely to fail and to see sellers come back in It will see though. I just I don't think this is enough buying yet Now this will change it's possible. It could change. We've seen this move so many times It didn't take much volume to get up here, but if we see the buying up here It look out it doesn't matter that we're up to these little areas What matters is the volume that pushes it through the area Okay, if we see strong buying all the way up though That's that's definitely better than looking at weak volume on the way up All right, let me get back to your questions in here so I Mean we're seeing a really nice nice trending move here and We're going through lots of details in the order flow the order book historically current and the this context between the aggressors and this order book and price structure All right, it looks like I'm caught up here all the questions Yeah, all right. What about over on the Discord All right RJ. That's great. You're looking at the VIX as well excellent Yeah, look for it. Let's see if we get our buyers right here now. We're looking for you know Big green dots up here. Now. This is I don't like this as a trade It really could be you can get you can try to break or buy the breakout here and really get stopped out And and caught up in it really quickly if It just kind of goes up a little bit and then sellers come in and pound it right back down Right. It was a false breakout. In fact here we go. So it didn't even break out really and We're starting to starting to see it Well, at least it we don't see a lot of selling in here yet either You know, it's at the bottom of this little range here. All right Let's zoom out again here and take a take a bigger picture look Yeah, you can hide you can be highlighted these little areas in here where you thought, you know Well, yeah, maybe maybe we'll get buyers But we'll maybe start to see a slowdown and then maybe we start to see a kind of a move back up or at least the trend Starting to become a little more shallow. Oh, I did for a little bit, but boy, then it just continued on down lower But it's these little pockets in here that We want to be kind of careful with But yeah, beautiful continuation here And then again a kind of tricky little pocket at this 4140 area And then and then this was I think are pretty easy read. I was it here or was it maybe down here? Well, let's jump back in now. We got something kind of a little more interesting here and Let's see if we get our buyers up here now. No, not yet. Not even close Couldn't even come up and make make an equal high here I'm gonna get rid of this column guys There we go. Yeah, the quity stand right here around 17 It's transacting Okay, now it's starting to pull now look at the liquidity here at 16 Okay, so again, we're just reading this right now looking looking at this skew in here and trying to understand All right, they're pulling up here. We're starting to get some buyers these guys come in and and and it kind of Rotates lower So it's really kind of all over the place in here. I don't really have a good read on this It's between these two areas, but they're this transacted this one had not now They raised the liquidity here and now we find some sellers high liquidity here and Then pulled See how this is being tested over here there and it actually transacted so these guys are short Now now the squeeze is on Or in this little move here Let's see though, like I'm kind of curious to see if we can get a bigger squeeze out of this now Okay, so now we're looking for the potential move above the 17 on up to 20 and you can you can see the fuel here in This selling here now we we have to remain above the 16 and a half here And it's not in fact we have buyers here exhaustion here sellers here Okay Yeah, I'm not not an easy read still in here. All right, let's look for an order book and there we go There's an order book and balance right there Okay, so now let's see here because it was just between here these two areas of high liquidity at 17 and 12 okay, now we see the skew here and We're back down into between 16 and 12. Okay back down to almost 14 years So actually looking to see if we can get down to 14 You know kind of be in balance here There's another in balance right there And what happened? Well, we're not really fine in that Too many buyers here All right. Well, let's see if we get our sellers here at 14 and then a push down to 12 now Okay, there's there's again see see how that see how this kind of tested the area They dropped it here and then they dropped it here and that actually found some buying interest All right, so that that actually Didn't give us much insight here. It kind of convolutes the the read in here Okay, well now they're bidding up at 13. All right. Well, do we find some buyers? Yeah, starting to find a few All right, well, let's see if buyers now can let's see if they can reach 17 There's another skew at 14 and it goes right after it as soon as that came in it went right after it Sellers went after it here Here's more at 14 again Not so interested in sellers not so interested now No, our buyers. All right. Ultimately, we got some buyers here. That was a yeah, this is this. This is not an easy read in here Try trying to understand and read the you know Reaction to this auction in here and it's just not not too clear RJ the VIX is up 20 22% Wow Look for some is it hitting any kind of previous highs RJ, you know, look at your correlations Nuri, how do you connect to a CQG? No problem Here, let me show you. How can you tell if we if we have an aggressive aggression on the bid? Well, I mean Okay, so the limit limit buys on the bid down here in these areas These are limit buy orders. They're limit sell up above now what I mean by the aggressor that these are passive orders Now what I mean by the aggressor are they market buy and sell orders green dot is a market buy that crosses the spread This is lifting right now. It's currently lifting the market Okay, lifting the offer And it's hitting the bid when you see this the sellers come in and start to hit into the bid and take it lower All right, so these are the aggressors the the red and green dots the market sell and market buy and the liquidity Below current price or historical price is limit buy and limit sell above However, these passive orders can have aggressive activity by just being really close to the market Okay, so jumping in like this over here. That's pretty aggressive It's aggressive behavior with passive orders Okay, not trying to confuse you but like, you know, usually you'll see in stocks for example We can just jump over to a stock You know these passive orders kind of sit here at these at these price levels. It's a little easier to read And and you know if we get enough aggressors, they'll they'll trade up into it Okay, now you do see that skew here as well like You'll see in Tesla see how they came in with you know, pretty high liquidity and it got filled Okay, now see see how this this they're coming in here see the imbalance. So I'm looking for Tesla to drop There's an imbalance right here. Now the imbalance here in Tesla and I'll get to CQG in just a second Is between here and here, right? However, and it's already through that and you know, you're kind of looking at this little area in here It's already through that. So we're looking for 62 now to transact All right, so now see how that that was a good example in real time because you know before this happened And let's clear the drawings before this happened it's liquidity up here or At 62 85 or 63 and then down here at 62 And then they came in here We got to move down into 62 All right Okay, CQG. Let's go over that go to book map calm Go to the more button and go to our new learning center here and go to get connected and Then in here Stocks and futures click here CQG is right here and watch this new video that we put together All right, it's a minute and 39 seconds. That should do the trick I'll put this in this link into the chat for you and You can go directly there Just note that CQG in some Instruments it has full depth of market and others it does not Again, it does not offer the market by order data Okay, rhythmic does so we do recommend rhythmic for those reasons And we don't make any money off of it or anything like that is just for those reasons Full depth is a big deal being able to see like all this liquidity up at these levels in here And then being able to read stops in icebergs is pretty incredible Okay, well as you guys can see that, you know during this time in here We kind of struggled or chat it was challenging to read the the order flow in here Well, I mean it hasn't done anything though So, you know even with these tests in here We can read this very objectively and we can and kind of take away from here Well, we don't know and that's information though. Well, if you don't if you don't see some sort of like Insight from the reaction in the behavior of these traders Then then I don't do anything Until you get some sort of insight now, maybe it's something that you know, we covered here in the education or maybe some of your own insight Maybe you've taken Gary's class you know all of these Educators and Traders out there. They have excellent Strategies and excellent ways of of trading. I found some sellers into this liquidity here Is it time for the sellers to take control here? Let's see Looks like it looks like they'll trade down to 10 It's pretty pretty strong selling now. I Don't know. I mean, I don't see any kind of a little bit of a book flip here I mean like on the on the bid here now on the offer, but not really So I'm I'm being still kind of weary or wary and careful here As this a potential trap and then a move back up Okay, it's only a few points in the S&P especially We want to see it move like three or four more than three four points That's when you start to see a strong move and you know that The aggressors are taking it away from an area Okay here. We're not we're not so sure yet. In fact, there's icebergs on the other side here We have our stop run. We have icebergs on the other side buying absorbing Hey question is Are there more aggressive sellers here? See see how this might turn into a potential trap now Okay, so if it does we're looking for the buyers up here at 12 Okay, and then look out. I mean if they can get up here at 12 on strong buying and No one's in the way on the offer and they're maybe on the bid pushing it look out This is could be a really nice move up into Well, not only just 15 here, but probably like 18 or maybe even 20 And you know here here we go see what see what we're saying see how they're they're on the it's not It's not strong volume that we don't have we do see the aggressors But it's not that strong but the order book it pulled here And they see them out on the on the bid here and here it is again at 13 What's the reaction here? They are again 13 and a half reaction is still buyers here Okay, now a seller took them on now a seller see see the transaction took place here the seller said okay if you're gonna If you're gonna buy it here, I'll sell you know, I'll I'll I'll deal with you you want to buy okay? I'll sell to you and that these transactions just took place Okay, so now we want to read what happens after that because at before that event happened we're looking for 15 and And 20 18 and then this event really changed everything here. Let's see here. There's Something more to cover here. Yeah, if you guys if you like this and You know, you're looking for You know getting getting much better at reading the the the order book and and the transactions here Then I would recommend a jumping over to here at our competition. Okay, it's called the blue jacket I'll put this link into into the chat for you and Yeah, you can win book map, but for three months with a global plus and stocks and futures data But and that's great, right? However I This opens up the door for you if if you enter and you start participating and making content in here It's gonna lead to something We're gonna cover soon. I will have more information on it Called the book map Academy and junior Academy But your entry point you can start now by entering this competition. Hey, it's it's by invite only This Academy All right, there'll be more information soon on it. I'm kind of Mentioning it now. We haven't even really soft launched it. Well, we have soft launched it, but we have not really launched it yet But you can kind of jump jump ahead and start creating some content on it We'll take a look at it in that blue jacket competition now What that means is basically we'll be going through, you know, you know this kind of stuff all the time in in book map and You'll be creating content with others and if your content is meets certain Criteria Then you can you can join the book map Academy. You can you can bump up from junior Academy to Academy At that point you can get book map for free as well as some of the add-ons All right, so basically I view this as a win-win you guys are doing something That helps you document your trades and you're getting better at it We are getting good content from you Out there and you're teaching people how to read order flow at a higher level. So that's helpful for them That's a win-win right there And then for that we will we recognize that and want to help subsidize your trading your trading costs All right, so yeah, if you're interested in that then I would recommend that you Jump over to this blue jacket competition and this this is kind of the We've been we've been drawing people from here already Okay Jack slow down others are Bambosa I need to reach out to you. So they're all part of the book map junior Academy and Some will bump up to the Academy here very soon All right All right guys. Well, let's see if there's anything else if please if you like this, please hit the like button This really helps us out I know that I know that it helps us Try to gauge like what you're interested in so we can provide a better content for you guys to learn from Okay, and then once you understand Our goal is pretty clear here. I mean once you start to understand the how these markets operate and work It's it opens it all up. You can trade any method you want Your trend line trader your pattern trader your volume profile trader does not matter You understand the behavior of participants in the auction will give you insight to a fib trader You know support and resistance trader it doesn't matter Even indicator traders or VWAP traders And so yeah, please hit the like button that helps us then that's it for me I I'll be back on Friday. So we'll see a Friday at 10 a.m We have J trader tomorrow at 10 and then Scott Polsini at 10 on Thursday stocks and futures traders. All right Have a good day everybody and we will catch up on Friday Okay, good trading out there and keep your eye on the data Thanks everyone. Bye. Bye