 Welcome to Nasdaq Trade Talks. I'm your host Jill Malandrino, global market reporter at Nasdaq. Joining me at the market site in Times Square in New York City, we have Fasto Puglisi. He's the founder and CEO of Cybertrading University. And we're going to take a look at how traders use Nasdaq TotalView to determine support and resistance levels and some other technicals that they look for trading clues. Now, Nasdaq TotalView is used by institutional asset managers, traders, retail investors. And we're going to look firsthand on how traders actually apply this platform. Fasto, thanks so much for joining us at MarketSite. We're going to take a look at our first slide here to see what the actual platform looks like on Nasdaq TotalView. Yeah, so TotalView right here, you could see, I've been using this system since the day it actually came out. And basically, if you're familiar with high frequency trading, this is basically where a lot of the orders are going. It's basically, I call it one big chat room. So you got your buy orders. You got your sell orders. The big thing I like about this is I haven't aggregated because what's happening, you can see there's like 15 orders here that make up 7,000 shares, 14 orders make up 6,000. So I kind of aggregate the orders, but I kind of keep it more or less with three different columns. How many orders there are, how many shares, who wants to buy, who wants to sell. And what you're looking at is like I said, one big chat room. Whoever wants to buy for the most amount of money is up on top. Whoever wants to buy for less money is down at the bottom. Same thing here. Whoever wants to buy for the most, down at the bottom. So you're seeing all the orders out there. And that's pretty much what we look at when we trade today's markets. All right, let's move along to our next slide. We're looking for support here. Where people are buying this is in stock IQ. Right, so what you have here, buyers equal support. So everybody likes to look at this great looking chart. So they look at the chart and like, oh wow, look at this nice little support here. Well, what makes support levels? They're buyers. Well, how do you know there's a buyer out there? Well, when I go to the total view, we're looking at IQ and everybody's like, okay, what's IQ? It doesn't matter. Everybody wants to know exactly what makes this thing go up. And when you look your way down here, what I look as a trader and what I teach people what to look at is as you see the shares, remember, buyers at what makes support levels. So as you're looking down here, you got 1,900, 6,000, bam, 134,000 share buyer. Well, it kind of makes sense why the stock basically came here and went back up. You had from like one o'clock all the way to about four, a three o'clock, and then finally that order never moved and that's what drove that stock up. Because remember, that's what makes a support level. All right, now on the flip side, let's take a look at resistance where people are looking to sell. Right, so now when you're looking at a chart and you're like, everybody wants to wonder what makes a resistance level? So here you have a stock that we're looking at and you can see how the stock just literally started all the way down here, $40.40 from 40 cents, maxed out at 41 and finally came down. And when you look over here, we're looking at sell orders on the total view and you can see on the NASDAQ book, as you go down, I think if you change the slide, you'll see, you'll probably get another arrow that comes across right there, thank you. So right here you can see there's a 60,000 share buyer at 41.50, which would explain why that stock is having a tough time breaking that resistance. All right, let's move on to our next slide and this is on Tvix and this is where it's really helpful because Tvix is one of those ETFs, ETNs that are intraday only. These are not good for longer term hedges and so forth. So having this kind of technology really makes it helpful when you're looking to see, especially with these stocks that trade within a range and day trading only. Well, what happens, a lot of people think that this only works for like, the stocks that we're looking at, it works for all ETFs, works for everything. Here you have an ETF that literally went from $14 down to $13.60 and the first thing people will look at is like, okay, the trend is down. What are why are people selling? Remember, what drives stocks up and down? Supplying demand, buyers and sellers. So you have a big sell. So what do you think the stock's gonna do? Go lower. But this is the question, when is it gonna stop? Right, and that's what we could see on our next slide as we advance that, all right? Well, here we are looking at the Tvix and then sure enough, okay, so we have the stock that's going down, we'll read back here at the total view and here I'm looking at, I'm saying, okay, listen, stock's going down. I wanna have that little game plan. As I work my way down, boom, 77,000 shares sitting here at $13.58. So think about it, what do you think is gonna happen at $13.57 with all those orders? Remember, some traders are trading 1,000, a couple of hundred but that is what we call an iceberg order. That's where I came up with like 20 years ago after watching you move Titanic. So that's what we call an iceberg order and that basically you would think, okay, well, big demand. So that's where it's just stopped. So now when you change the slide and you go to the next one you'll see what happens to that chart. Yep, and we can see that on our next slide, yep. So here you go, you see the stock how it literally just went up, this is what we were looking at just now and everybody's like, okay, well the stock's not gonna go to zero, why is the stock gonna bounce? Well sure enough, you could see we have a candle stick here, these are basically bar charts. After several minutes, what did it do? It ended up going back up to $14.20. So when you're trying to figure it out, why did the stock go up? Well because when you look at the total view, that tell-tale guy basically is what made that go up. Right, and it's like you were saying before, it doesn't even matter what the ticker is as long as you have those in front of you that's where your supply and demand's up. It's all about following the money, Jill. Right, all right, next one, US Steel, X. Okay, so here we're looking at US Steel. So here we're looking at a situation, right, and say, okay, what is the stock doing? And everybody looks at the chart and they're like, wow, it's a gorgeous chart, it's going up. So what is it gonna do? It's obviously gonna keep going up. Now the question is, everybody, you know, the thing is we don't try to predict the past, we're trying to predict the future. How we predict the future, we have to see where the resistance levels are. People look at the chart, but it's not about the chart. Remember, a chart gets its data from orders that happen in the past. So it's not indicative of the future. So we have to look at, okay, well where are the orders? Is the stock gonna go back to 30, back to 50, or is it gonna stop here? And that's why we gotta look at the total view. All right, and we see that on the next slide over here where we're gonna go in to get those levels based on the volume that we're seeing on total view. So now we're not even looking at a chart. We're just looking straight at the data. So we're looking at a stock that was going up. So what are we looking for? When's the stock gonna back off? Resistance levels. So we gotta look at the ask, we gotta look at the orders, we have them aggregated, and as I'm working myself down, what do we have here? The 1125 level. 1125, at 162,000 shares. You're talking close to over what? $2 million worth of stock right there? Big orders. So without even looking at a chart, most of the state traders will be like, okay, well that's obviously a big iceberg order, a very big resistance level, without even looking at a chart. And then when we go to the next slide. All right, and then we can see it on the next slide. Here you are. This is what we were looking at earlier, but sure enough, what did it do? Hit that resistance level, boom, it went right back down. Why did it go down? Not because the chart said so, because that seller said so. Remember, that is a seller. And by the way, people always joke, it was asked me, how do I know that's a real seller? And I tell them, yeah, you want how it's real? Go execute them, see what happens. Those are real orders. There's nothing fake about that order. Can a guy cancel an order? He could, but realistically, you can't sit there and second guess what total view is telling you. This is where the high frequency trades are. I've been doing this for 25 years. I even helped, I was working with Nasek when this originally came out in the beginning. And the thing is, this is where the orders are, that's resistance, don't buck the trend. Because if you did, guess what? You lost yourself to a good nice 25, 30 cents. Now is this where you put your limits and your stops in? Yes, yes. All your limits go in here. And actually, the big thing is, people realize there's two different types of brokerage firms. There's online brokers and direct access. You gotta make sure, if you have a direct access broker, they give you access to what's called, this is actually called an ECN, Electronic Communication Network. So by having access to that, you'll see your order go out there. So that's the power of why we like the book viewer. So we can actually see our orders be posted. Say I wanna shave this and go a penny bow. Let's say I wanna go at 1123. You'll see your order get posted out there. So what you're talking about is right. Those are your limit orders. So you'll see your orders out there. But the thing is, the power of a direct access broker is one thing, seeing your orders is a totally different ball game. All right, Pasto, thanks so much for joining us at MarketSight. And thank you for joining me on Trade Talks. I'm Jill Melandrino, Global Market to Reporter at NASDAQ.