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<reading DOM #es_f $spy $spx $qqq>
my DOM setup - price discovery in action
https://abs.twimg.com/emoji/v2/... draggable="false" alt="🧐" title="Gesicht mit Monokel" aria-label="Emoji: Gesicht mit Monokel">
breaking it down in small pieces
1) in blue col, people’s bids are lined up (limit orders)
in red col, offers are lined up
these numbers always change as people add / pull limit orders
my DOM setup - price discovery in action
breaking it down in small pieces
1) in blue col, people’s bids are lined up (limit orders)
in red col, offers are lined up
these numbers always change as people add / pull limit orders
2) inside grey columns are market orders
‘inside ask’ + ‘inside bid’
these arrive in real time
3) in the img, 19 orders are on the bid @ 3225.75
meanwhile, 3 market offers hit the bid (grey col)
19 on bid, minus 3 offers, takes orders on the bid down to 16
cont..
‘inside ask’ + ‘inside bid’
these arrive in real time
3) in the img, 19 orders are on the bid @ 3225.75
meanwhile, 3 market offers hit the bid (grey col)
19 on bid, minus 3 offers, takes orders on the bid down to 16
cont..
4) when 16 more inside offers arrive, all 19 contracts on the bid are taken out
price then goeshttps://abs.twimg.com/emoji/v2/... draggable="false" alt="🔻" title="Nach unten zeigendes rotes Dreieck" aria-label="Emoji: Nach unten zeigendes rotes Dreieck">to 3225.50
to fill 45 orders there
https://abs.twimg.com/emoji/v2/... draggable="false" alt="🥇" title="Goldmedaille" aria-label="Emoji: Goldmedaille"> ...and yes you guessed it
same thing happens on the other side / all in real time
THIS is #orderflow
what are the implications tho?
price then goes
to fill 45 orders there
same thing happens on the other side / all in real time
THIS is #orderflow
what are the implications tho?
+ we know what moves price
+ liquid markets move quickly
+ if watching DOM + analyst sees irregular volume pattern at a ‘level’, it could indicate a breakout / breakdown
helps to understand this + watch DOM to get idea of rhythmhttps://abs.twimg.com/emoji/v2/... draggable="false" alt="🕺🏻" title="Tanzender Mann (heller Hautton)" aria-label="Emoji: Tanzender Mann (heller Hautton)">https://abs.twimg.com/emoji/v2/... draggable="false" alt="💃🏿" title="Woman dancing (dunkler Hautton)" aria-label="Emoji: Woman dancing (dunkler Hautton)">
we already discussed profile +https://abs.twimg.com/emoji/v2/... draggable="false" alt="🎯" title="Volltreffer" aria-label="Emoji: Volltreffer">
+ liquid markets move quickly
+ if watching DOM + analyst sees irregular volume pattern at a ‘level’, it could indicate a breakout / breakdown
helps to understand this + watch DOM to get idea of rhythm
we already discussed profile +
in the future, will explore specific setups!
but want to get a feel first
https://abs.twimg.com/emoji/v2/... draggable="false" alt="❓" title="Rotes Fragezeichen-Symbol" aria-label="Emoji: Rotes Fragezeichen-Symbol">why may #es_f be particularly hard using DOM?
also! Please retweet my first tweet of this thread if you liked it!
also also! if you have feedback / think tweet form is too short, lemme know!
but want to get a feel first
also! Please retweet my first tweet of this thread if you liked it!
also also! if you have feedback / think tweet form is too short, lemme know!
why may #es_f be particularly hard using DOM? also! Please retweet my first tweet of this thread if you liked it! also also! if you have feedback / think tweet form is too short, lemme know!" title="in the future, will explore specific setups! but want to get a feel firsthttps://abs.twimg.com/emoji/v2/... draggable="false" alt="❓" title="Rotes Fragezeichen-Symbol" aria-label="Emoji: Rotes Fragezeichen-Symbol">why may #es_f be particularly hard using DOM? also! Please retweet my first tweet of this thread if you liked it! also also! if you have feedback / think tweet form is too short, lemme know!" class="img-responsive" style="max-width:100%;"/>
