Video Transcript:
Have you ever wondered what really causes big market moves and, more importantly, can you learn how to spot it, how to understand it, and how to use it in your trading? In today’s webinar, I’m going to show you exactly how to reveal this hidden truth—the unseen strength behind the market moves—by using Orderflow, specifically focusing on imbalances. You will learn what imbalances are, what they reveal, and how to use them to identify market strength and aggression. Here is exactly what we will cover today: First, I’ll show you how to use imbalances to spot market aggressivity, market strength, and determination. Then, I’ll show you how to use stacked imbalances to identify powerful support and resistance zones. I’ll also show you an uncommon technique of trading horizontal imbalances, which is a method that most traders aren’t even aware of. Then, I’ll show you how to identify and profit from a scenario called trapped traders. And I’ll also show you my personal favorite breakout strategy that relies solely on imbalances. You will learn to trade each of these setups effectively and you’ll learn how to integrate them into your own trading. So, let’s get started and let’s start with a little quiz so you can see where you are at right now. And by the way, don’t worry if you don’t understand a thing from the quiz because by the end of the video, I promise that you’ll perfectly understand everything. Alright, so let’s check out the quiz, and here is my first question for you: What you see before you is an Orderflow chart, five-minute timeframe, and those are footprints. The red numbers highlight selling imbalances, the green numbers highlight buying imbalances, and I want you to look at this footprint chart and tell me what will happen next. Will the price go up or will the price go down? What’s more likely? Okay, let me show you: the price went down. The reason is that there was a stacked selling imbalance here. My software highlights that zone in red like this, and that means that this is a resistance. The price made a pullback to it and made a beautiful reaction to that resistance. So because of that stacked imbalance here, the price went downwards. Now, question number two: Again, check this five-minute chart, check those footprints, and tell me where the price will go. Will it go up or will it go down? Let me show you how it played out: the price went down, and the reason for that is this: this is a buying imbalance at the top of this little swing point. What this is telling us is that there were trapped buyers. Buyers got trapped here, but the price did not go up first as it should when you see aggressive buyers at the top of a candle. The price should go up. If it doesn’t, it’s trapped buyers, and if the price doesn’t go up, well, then it should go down, right? So that’s why the price went down because of the trapped buyers here. Okay, question number three: Again, look at the chart and tell me, is the price going to go up or down from here? Again, in this case, we have trapped buyers, the same setup as in the previous chart. The trapped buyers are here, highlighted in green. They’re at the top of this pin bar, and let me show you how this played out: Alright, the price went downwards. The reason is, we had trapped buyers at the top of this pin bar, and the price did not go up after those buyers showed up. That’s why the price went down. This is the setup called the trapped traders. Don’t worry if you don’t understand a thing; I’ll explain everything in detail. Alright, but let’s now continue with the next question from our little quiz, so you can see where you are at right now. So again, we have a five-minute footprint chart, and I want you to look at it and tell me, is the price going to go up or down? Let me show you: the price went up, and the reason for that is that there were horizontal imbalances here. Those horizontal imbalances mark strong support and resistance zones. The horizontal imbalance is those imbalances formed at the same level, that represents a support, and when the price makes a pullback to it, it goes up from there, right? Because this is a support. So, those were the horizontal imbalances, and again, I’ll talk about those more in detail just after we finish up with the quiz. Okay, here is the next one: look at the chart and tell me, is the price going to go up or is the price going to go down? Okay, let me show you: the price went down, and the reason for that is that this is actually a breakout strategy that I’m going to teach you later. There was this rotation, from this rotation there was a breakout, that’s this footprint, and the breakout had those imbalances, those aggressive sellers in that breakout, and that means that the price is likely to go downwards, right? Alright, so that’s for the little quiz. Again, if you guys haven’t understood a word from what I was just showing you here, don’t worry, you’ll understand everything perfectly once we are finished with this little webinar here. Alright, now I haven’t properly introduced myself yet, so let me do that real quick: I’m Dale, and I’ve been trading since 2008. Around 8 years ago, I founded a website, traderdale.com, where I teach traders how to trade with Volume Profile, VWAP, and Orderflow, and I teach them how to trade like institutional traders. I wrote a couple of books on trading; the first one was the Volume Profile book, then there was the Orderflow book, then there was the book about VWAP trading, then the book about stock investing with Volume Profile, and the latest book, which I wrote, is about prop firm trading. It’s a recent release; I don’t have the hardcover yet, but it’s in print, so I should have it rather soon. Anyways, because I wrote a couple of books, doesn’t mean that you need to listen to me and spend time with me, but I think that the reason why you should spend time with me is that I actually deliver results, and you can check that out yourself. If you go to the TradingView page and if you search for my profile here, Trader Dale, then you can see that I’ve published almost 1,500 trade predictions. A prediction, like for example, this one on the ES: this is a prediction which I published on Monday, marking this level as a support. As you can see, this was a very nice trade; the price hit that level yesterday, in here, and this was the reaction to it, right? So this was the predicted support, and this was a prediction from Monday, so everybody could actually trade this with me, right? But this is just one prediction; I’ve done 1,500 of them, or almost 1,500 of them, and if you go through them, you will see that the win rate is around 67% on the long run. That means that over the years, I’ve been publishing those predictions; 67% of the trades were winners, and that’s only if you are trading them blindly, without any position management, without order flow, without any confirmations, just like that, just as that trade that I’ve just showed you on the ES. Now you might say that 67% is not that huge; people claim to have bigger win rates, and yeah, that might be true, but you know, show me a person that’s able to do predictions like that for a couple of years and hold this 67% win rate. You know, I’m not really sure how many you will find, and you know, 67% win rate, that’s only like blind trading; you can obviously improve that, especially with what I’m going to show you today about the imbalances. So what I’m trying to say is you can check what I do, you can check how my levels work. If you like how I use the Volume Profile, how I use VWAP, and how I combine that into trading levels, and if you do like it, then well, maybe you will want to spend some more time with me. And if you guys want to learn what the members of our course say about our service and about what they learn and about the indicators that I provide, then you can check the Trust Pilot site. So this is the Trust Pilot site, this is my profile; most of the reviews are five-star reviews, and if you want to read through them, then you can do so in here. Alright, so if you are still with me, then I think it’s time to talk about the imbalances, so let me start with a little introduction to what imbalances are, what they tell us, and how to read them. Alright, so what you see here, um, those are two footprints, this one and this one. The left side of the footprint, that’s called Bid, that’s this side. The right side of the footprint is Ask, and that’s this side. Now, my software highlights the imbalances; it is green for buying imbalance, red for selling imbalance. When you see a buying imbalance, then it means aggressive buyers. When you see a selling imbalance, then it means aggressive sellers. Now, if you look at the footprint, then you always compare those two numbers; you compare the volumes diagonally, right? This is how you read a footprint properly. Now, this is important: if you compare this number and this number, let me highlight that, this one and this one, the reason the 17, those 17 contracts, are highlighted, is
because 17 is four times or more bigger than zero, right? You compare those two numbers, and if this one is four times or more bigger, then it is an imbalance. It shows aggressivity; in this case, aggressive buyers. If you look at the other footprint, again, you compare diagonally, right? Then the reason those 18 contracts are highlighted is because 18 is four times or more bigger than zero in here, 25 compared to one; it’s also four times or more bigger, and uh, 15 is also four times or more bigger than two, right? That’s why this is highlighted; that’s why those are imbalances, and imbalances are showing us aggressivity, right? So, on those levels, sellers were way more aggressive than buyers. If you look at the first footprint, then at this level, buyers were way more aggressive than sellers, right? This is what imbalances are telling us. Now, let me tell you what can cause an imbalance to occur: there could either be a big order being executed on one level or across more levels, so this could be one big order being executed across multiple levels. So that’s one way how an imbalance can form. Another way could be more traders coming in to trade at the same time, right? So imagine, for example, a strong macro news or another strong impulse, and everybody just wants to enter a short trade, right? So more traders are coming in; they are selling, and the footprint chart is showing us selling imbalances, right? So it could be more traders coming in to trade at the same time. Also, it could be stops getting triggered. Imagine that there are some buyers who went long from here, but then the market starts to move downwards, and those buyers are quitting their positions, and when you are long, and you want to quit your trade, you do so with a market sell, right? So that’s a stop getting triggered, and if the price shoots past stop-loss orders like this, then it could seem like an aggressive selling, even though it could be just, you know, stop-loss orders getting triggered. But no matter the reason, no matter if it’s this reason, this reason, or this reason, what’s important is that imbalance always means one side, either buyers or sellers, is currently dominating, right? So again, if you look at this example, then at this level, sellers are dominating. The same goes for this level; the same goes for this level. Those levels were levels where sellers were way more aggressive than buyers, right? They were dominating, and that’s important; that’s a thing that you want to remember. Now, before I start talking about setups and about how to trade the imbalances, let me just show you a couple of things so we are on the same page. Alright, when you want to trade imbalances and the setups which I’m going to show you, you need to use Bid and Ask data. That means ideally, currency futures, indices, commodity futures, or stocks, simply put, everything that is uh, that has a Bid/Ask data. So, unfortunately, if you want to trade forex, you can’t do that. You can’t trade forex because forex doesn’t give you true Bid/Ask data, but if you want to trade currencies, then you can obviously trade the currency futures, right? But not forex. Um, regarding the timeframe, this is for intraday trading, right? Intraday trading, scalp trading, real quick in and out trades, that’s uh, what this is all about. That’s where the imbalances really shine, so the preferred timeframe that I use is a five-minute timeframe, but uh, you can go for lower timeframes, like 1 minute, or you can also use like different charts, let’s say volumetric charts or whatever, but the point being is that this is for intraday traders or scalp traders using fast timeframes, right? Now, the platform where I do my analysis is Ninja Trader 8. You don’t really need to pay for their full version or for their paid version; the free version that they offer is completely fine. I’m using the free version as well, so yeah, there’s no cost as far as the platform is concerned. Um, the software which I’m using is my own custom-made overflow software, but you know, I’m not really forcing you to use my software, even though I think it’s really, really good. You can use whatever Orderflow software you like; the only thing that you really need this software to do is highlight imbalances, but most of the good Orderflow software will do that for you, right? So yeah, that’s for the software. Regarding the broker, since this is intraday trading, and you need to be fast in and out, the broker needs to have tight spreads, quick execution, low commission. I’ve been personally trading with IC Markets for years, and uh, yeah, I’ve been happy with them, so I can only recommend this broker. Alright, that’s for that. Let’s now talk about the setups, shall we? So uh, the first setup is about aggressive buyers and aggressive sellers, and we spot those guys using imbalances, and what you see on the screen now, this is, I think, a perfect example. This is straight from yesterday; it was straight on the uh, on the Euro futures. And the first thing I want you to look at is this chart. This is a price action chart with a volume profile in here; there was a heavy volume zone followed by a strong sell-off. So this is a scenario that I like to trade; I wait for a pullback and go short from the beginning of the heavy volume zone. So I wanted to go short from this place, like this. Now, if you look at this chart, this is a five-minute footprint chart, and right here, this was the level. The price went upwards, hit that level, and what occurred here were those imbalances, and if you remember, I was saying that imbalances show aggressive buyers or aggressive sellers if they are marked in red. That means that those are aggressive sellers, and those aggressive sellers showed up right after the short level got hit, right? This is beautiful confirmation of the big guys jumping in as the level got hit, and this is a confirmation that made me enter the short trade, right? So you can use the imbalance, for example, like this: when the price hits a level, and it doesn’t need to be a volume profile level, it could be, for example, the previous day’s high or VWAP or anything that you like to trade. If the price hits your support or resistance level, and then you see aggressivity at that level or close to the level, then it is a signal that the level is most likely going to work, right? So at the level, we saw the aggressivity; that was a clear signal to jump in the trade. So at the close of this 5-minute footprint, I went short. So this is trading the aggressivity. Let me show you another example in here, uh, you see a five-minute footprint chart, and first, there was a strong rejection of higher prices, and if you look at the volume profile on the left, then there is a significant volume cluster formed within the rejection. That’s a setup that I like to trade; the resistance being basically this zone. This is a resistance. Now, what happened when the price made a pullback to that resistance is that first, there was a pin bar, and then sellers, aggressive sellers, started to jump in. Those aggressive sellers, those imbalances, right? That’s a signal that somebody big is reacting to that level aggressively; sellers are jumping in or one big seller, and this is a confirmation for you to jump in that trade, right? To go short. So you wait for the close of this candle, of this footprint, and then it is short from here. You are reacting to the aggressive sellers that show up at your level. Now, one more example of this: this is a long trade scenario. There was this rejection of lower prices, and this daily low formed here, and when the price made that daily low, what happened? If you look at this footprint, this one, so many buying imbalances, right? Buyers jumping in, aggressive buyers. There’s even a stacked buying imbalance here, this one. So this is telling you buyers are active; buyers really, really want to jump in, no matter what, and just push the price upwards, right? So this is a clear signal of aggressive buyers jumping in and also a signal for you to jump in as well and participate in this uptrend. So that’s the aggressive buyers and aggressive sellers, and imbalance is really the ideal way how to track those guys. Now, another thing that I like to show you is stacked imbalances. A stacked imbalance is when you have an imbalance, but more of them are stacked at the top of each other, like for example in here, we have three buying imbalances. My software is set to show this, you know, highlighted zone at the places where three or more imbalances are stacked. So if it’s three or more stacked, then it is a stacked imbalance. My software draws this rectangle there, and that means that this is a support. The price makes a little pullback to it, and you go long from there, right? Now there’s one more example on this chart; those imbalances, those are stacked imbalances. The software highlights that in green, uh, you wait for a pullback, the price goes into that stacked imbalance zone, and either from the top or from the middle of the zone, you go long, right? This is how you trade the stacked imbalances. The ideal case is, for example, when there is a trend, and let
‘s say that there is a stacked imbalance and a little pullback to it, a very quick pullback, the quicker the better, and you enter the trade at the imbalance zone and enter the long and participate in that uptrend with a tight stop-loss just behind the imbalance zone and risk-reward uh, bigger than two, right? So if you enter here, then the take-profit should be at least here, so you can gain twice the amount of money you risked, right? This is like the ideal scenario when you’re trading those imbalances. The general rule is a tight stop-loss, usually behind a stacked imbalance or behind a low of a candle, but you know, just a couple of points, and the risk-reward should always be positive, and since we are trading with such a tight stop-loss, you want to aim for a risk-reward uh, bigger than two, right? So let me show you another example of the stacked imbalances. Here, in this case, this is a short trade scenario. There’s a downtrend, and within that downtrend, we have those stacked imbalances here, one, two, three, stacked at the top of each other, right? The software draws this reddish rectangle; there’s a pullback to it, and a short from there. And by the way, there was a nice confirmation, this setting imbalance, right? Aggressive sellers right in the middle of that uh, stacked imbalance. So that’s a little confirmation of the trade, a little confirmation to go short. Now, one more example of this, and we have a pretty big stack imbalance in here, one, two, three, four, five, six imbalances stacked at the top of each other. That’s a pretty solid imbalance, and the price makes a pullback to that zone, and you go short from there, right? This is the way how to approach this. There’s also one more, this one was a losing trade. There was this little imbalance; the price made a pullback, short from here, and this was a loser, which is completely fine, you know. They’re bound to be losers; we can’t win them all. Okay, one more example here, and this example shows a long trade scenario. Again, we have a pretty big imbalance; in this case, it is a buying imbalance, one, two, three, four, five buying imbalances, showing us aggressivity of buyers, right? So we know that at this area, buyers were aggressive, and we want to buy here, right? So, wait for a pullback, the price goes into that area, and long from there. Alright, by the way, there is one more stacked imbalance in here, this small one. Again, the way to trade this is, you know, wait for a pullback and go long from there, but you know, this is not a scenario which I would trade. I sort of prefer having this inside a trend, as I was drawing before, or you know, a bigger imbalance, like this one. That’s uh, what I prefer. Alright, so that’s for the stacked imbalances. Uh, by the way, if you guys are interested in learning more about Orderflow trading, not just about imbalances but about different setups, about delta, about how to use Orderflow with Volume Profile, and all that stuff, you can download a book. It is uh, this book, the Orderflow book. You can download it for free; I’ll drop a link below this video, and if you want a printed version, you can get it from Amazon. So yeah, check the book out. As I was saying, it is free, so go ahead and download our copy using the link below this video. Now, the next thing that I’d like to show you is something pretty unique, I would say, and it is horizontal imbalances. This is a setup uh, it is not my setup, it’s a setup from my friend Mike, and you know, usually, people look at imbalances in footprints like uh, vertically, right? So, for example, like this, vertically, or like this, but horizontal imbalances mean that you look for imbalances like when they are stacked horizontally, like this, in two consecutive, or it actually doesn’t need to be consecutive footprints, but when they are at the same level, then this forms uh, support or resistance zone. In this case, this is a resistance; those two imbalances, selling imbalance, selling imbalance at the same level, that’s a resistance. The price goes like this, makes a pullback, and should make a reaction to it, right? That’s the whole trick behind the horizontal imbalances. Um, looking at this chart, I can see one more in here; those two, the price makes a pullback and reaction to it, right? Oh, there is one more in here, horizontal imbalances in this footprint and in this footprint at the same price level. So this is a resistance; when the price makes a pullback, it should go down from there. Now, let me show you a couple of examples so it’s clearer. And as I was saying, the imbalances, the horizontal imbalances, do not need to be in two consecutive footprints, so take a look, for example, at this and this imbalance; they are at the same level, they represent a support. The price goes above the support, hits that level, and you go long from there, right? Another one I can see here is actually a triple imbalance, this one, this one, and this one, all at the same level. So this is a support, and if the price reaches this level in the future, then it should go up from there, right? Now, another imbalance I can see here is this double imbalance, this one and this one. If the price reaches this level in the future, it should go up from there, right? And one more that I can see here is, um, right here, this one and this one are at the same level. The price makes a pullback to it, and you go long from there. The cool thing about this is that there’s actually also a stacked imbalance, this one. As you can see, it highlights this zone as a support, so that’s kind of a, you know, two trading setups, right? And those two trading setups combined show us a really strong support to trade from. What’s cool about this is that the price hits this support, and there’s even a buying imbalance here, you know, so nice confirmation to jump in that long trade. Alright, and here I can see three imbalances at the same price level, those three. You wait for that pullback and go long from there, right? And the reason is that, you know, this marks a level where buyers were aggressive, right? Buyers were aggressive at this level in the past, so when there’s a pullback, there’s a chance that uh, that they’ll be aggressive again and push the price upwards. That’s the logic uh, behind the horizontal imbalances. Now, coming up next is another setup, and this one is called trapped traders. Now if you look at the chart, this is again a five-minute footprint chart, and look at this: the price is in an uptrend, the price goes higher and higher and higher, and then at the top, we have two buying imbalances, and actually, it doesn’t need to be two, just one, you know, would suffice, but in this case, we have two buying imbalances. And as I was saying, a buying imbalance means aggressive buyers, right? So what the price should do after aggressive buyers show up, the price should go up, right? Should go up. But when it doesn’t, like in here, the price goes down, then you know that the big guys are playing a different game; they don’t want to push the price up higher and higher; they want to push the price down, right? So if you see something like this, a clear sign that the price should continue to move up, but it doesn’t, it goes down, then it’s a sign that buyers failed; those guys got trapped, those are trapped buyers, and the price goes downwards, right? Now, those guys, they aren’t really trapped, you know, because they can, you know, quit their trades anytime, but you know, they are just called trapped buyers; people call them trapped buyers, but you know, they are welcome to quit their trade anytime. It’s not like they are locked in their long positions here, and with the losing trades, they are just fueling uh, the selling activity. It’s not like that, because you know, the volumes are not that huge here, so it’s not a big deal; those guys are not trapped, but you know, people just call them trapped traders. Anyways, if this fails and the price goes downwards, this is a sign that the price will go down, right? This is a long trade scenario; here, the price goes downwards, and almost at the bottom of this candle, this pin bar candle, we have a selling imbalance, aggressive sellers at the bottom of a candle. This candle is a pin bar; it’s a signal to go long, right? And the price continues upwards, and those guys got trapped here; the price did not go lower as it should; instead of doing that, the price turns and goes upwards, and right after this candle closes, it’s clear that those are trapped sellers, and that you should enter your long from here, right? This is the level with the candle closed; that’s the level to go long from, right? So those are trapped sellers. Now, another example of trapped traders is in here, uh, the price was going higher and higher
and higher, and at this point, it looked like the price should continue even higher, right? Because we saw aggressive buyers here; we saw a buying imbalance, but instead of that, the price just dropped. That’s not what should happen, right? When you see aggressive buyers at the top of a candle like this, so there is something fishy; the game is not to push the price up, the game is to go down, right? So when you see the trapped buyers, when you see this candle, then you know that we are not going up anymore because after this, the price should go up; it didn’t, so we go down, right? Now, what I’m going to show you is my favorite strategy. It is a breakout strategy, and it is a strategy based on imbalances. It’s very, very simple; I’m pretty sure you guys will love it. So it goes like this: first, you need to see a rotation, and by the way, we are still on a five-minute chart, right? Five-minute footprint chart. So you need to see a rotation, something like this. Footprints overlap each other, so that’s a rotation; it’s going nowhere. But then you see a breakout; this is the breakout. But how to tell this is not going to be a false breakout? Well, you tell because you see those imbalances here, and what the imbalances tell you, they tell you that there are aggressive buyers here, right? So it’s not likely to be a false breakout because aggressive buyers are jumping in, and they’re likely to follow this through and push the price upwards. So when you see a breakout with imbalances, and it doesn’t need to be that many as in here, but when you see a breakout with imbalances, it is a sign that this is not a false breakout but a true breakout, and the price will continue in the direction of the breakout, right? Now, looking at this picture here, there’s also one smaller rotation in here, followed by a breakout where many buying imbalances are, right here on the ask side of that footprint. Alright, so this is a clear sign of buyers jumping in, and you should join them, right? You should go long as well. Now, let me show you a couple of more examples of the breakout strategy. Alright, so what you see here, in this example, we have this nice and tight rotation, which is followed by this footprint. This is a breakout, and the way to tell if this is a true breakout or a false breakout is to look whether they’re selling imbalances, whether the sellers really mean it, and looking at this, I can tell that they really do mean it. So yeah, we see selling imbalances here, right after the breakout occurred. So yeah, that’s a beautiful signal to join those guys right away. You can wait for the candle to close in here and then, you know, go short from there. And again, the stop loss uh, doesn’t really need to be too wide; you can place it uh, for example, in here, behind this heavy volume zone, which is, you know, just a couple of ticks, which is completely fine, allowing you to trade with a positive risk-reward ratio. In this case, even if you are trading with a risk-reward ratio too oh, this would be a winning trade. Now, let me give you another example of the breakout strategy. Again, in here, we have a rotation, tight rotation, where the footprints overlap, so that’s how we can tell that that’s a rotation, right? If the footprints overlap, and from this zone, there’s this breakout, and as you can see, beautiful imbalances, right? So this is telling you the sellers mean it, that this is not a false breakout, and this is telling you you should join them, right? So wait for the candle to close and go short from there. Now, another one is in here, this rotation, and from that rotation, we have this footprint shooting out of it with all those selling imbalances, right? Right. So again, this is showing you that this is not a false breakout, that the sellers mean it, and that if you join them, so you enter your short right after you see those sellers jump in, you know, you join them and participate in that beautiful downtrend. Now, another scenario here, here you can see this rotation. You can look at it like a rotation like this one or even a smaller one; it doesn’t really matter. What’s important here is that from this zone or from this zone, um, there is this breakout candle with those imbalances, and what is actually cool about this is this is a stacked imbalance, right? So we have those imbalances shooting out of the rotation zone, and that’s telling you that the sellers mean it, and that you should join them, right? So short from there. Alright, one more example here; we have a rotation here; at the end of the rotation, here you can see this candle, and it’s already full of imbalances, already; it’s showing you aggressive sellers, um, but this is really not a true breakout, right? True breakout comes in here, and we have a beautiful imbalance here. If it weren’t the imbalances in this candle, only this one, then I would sort of hesitate to take it because there’s only one, but you know, since we saw the aggressivity in this candle followed by this, then yeah, this is a signal that tells you go short because the sellers mean it. Now here is the last one, the last example of the breakout strategy: in here, we have this rotation followed by this breakout footprint. Again, as you can see, there are multiple aggressive sellings here, all those imbalances, telling you that the sellers who made the breakouts really mean it, more and more sellers are likely to join them, and that the price is most likely to go downwards, right? So yeah, that’s the breakout strategy. I hope you guys like it, and if you want to learn more about Orderflow trading, if you really want the whole process from A to Z, exactly how I trade using Orderflow, not just imbalances but also delta, also other Bid/Ask setups, also how to combine Volume Profile and Orderflow, then I recommend getting the Orderflow pack. It consists of a video course where I’ll teach you everything that I do from A to Z, then there is the Orderflow software; that’s my custom-made Orderflow software which I developed for the Ninja Trader 8 platform, and I must say, I really think this is one of the best on the market, so yeah, you’re getting that, and you’re also getting a volume profile pack, which is a pack of my custom-made volume profiles. And the reason that this is a part of the Orderflow pack is that I combine volume profile and Orderflow, you know, and I’ll teach you that in that video course, and I think that volume profile and Orderflow are just, you know, the best combo there is because you use the volume profile first to identify a strong level, a big level, you know, you read the big picture using volume profile, and then when the price goes to that level, you use Orderflow to confirm the trade, to have a better entry in your trade, to manage your trade. So those two work together like perfectly, so that’s why the volume profile is also part of the Orderflow pack. Now, what you’ll also get is free tech support, and that means that our tech support will connect to your computer, and they’ll install the Ninja Trader for you, they’ll install the software, the workspaces, that connect you to data, they’ll show you around, help you with anything you need helping with, you know, so you hit the ground running. You don’t need to set everything up yourself. You can find the Orderflow pack on my website. Let me show you real quick. So if you go to trader-dale.com, this is the website, and if you click on Trading Course and Tools, then it’ll take you to this page, and you can get the Orderflow pack in here. Alright, this is the Orderflow pack. If you guys are interested in the other packs as well, you just scroll down a bit, and there’s a combo of the other packs, discounted. Alright, so anyways, let’s go back to that uh, little presentation of ours because what I want to do is I want to do a little recap. We covered quite a lot of things, so I want to put things together and make it simple. So let’s do a little recap, and in this recap, I just wanted to you know, cover the things we’ve already covered. So first thing, aggressivity: we talked about how imbalances show aggressive buyers and aggressive sellers. In this case, you can see the price rejecting lower prices, going upwards, and in that upwards move, you can see the imbalances here, and here, and here, and here. All those are showing you that the buyers mean it, that they are aggressive, and that they are likely to push the price upwards, right? So imbalances, the first thing that should come to your mind when you see it is aggressivity. Then, we’ve covered stacked imbalances; it is when three or more imbalances are stacked vertically like that. My software draws this zone, so you can clearly see where a support or resistance is. The way to trade this is, wait for the pullback and then trade from that zone, alright? So that’s stacked imbalances. The next thing we talked about, the horizontal imbalances; those are imbalances which print at the same level. In this case, this one and this one,
they show at the same level, so that represents a level where aggressive sellers were active in the past. When there’s a pullback to that zone, it works as a resistance or a support if it’s the other way around, and you know, the price should react there. By the way, looking at this example, there’s also one more here, which is pretty cool, so this is also like a second resistance, right? So yeah, this is a resistance, and the price should react to it, right? Horizontal imbalances. The next thing we talked about were the trapped traders; you can see them at the top or at the bottom of footprints. In this case, we see trapped sellers in here, as well as in here. So imbalance at the bottom of this swing low means sellers got trapped, and because the price did not follow those aggressive sellers, did not go lower and lower, instead it turned and went upwards, that means that the big guys want to play the game differently, and the market is likely to go up, alright? So that’s trapped traders. And the last thing we talked about was that breakout strategy; just you know, look for a rotation, which is followed by a breakout, and uh, that breakout candle or the breakout footprint needs to have imbalances. It doesn’t need to be a stacked imbalance like in here, just you know, one, two, three imbalances in that breakout candle shows aggressivity of the sellers doing the breakout, so that shows that they really mean it, so that’s the signal for you to enter your trade, right? Now, what I want to do now is another quiz because we are getting towards the end of the video, and I want to show you how you improved since we started, and if you went right through the whole video, then I want to show you how you improved, right? So let’s do another quiz, and let’s see how you do. So let’s start simple; let’s take a look at this chart and tell me whether the price will go up or down, alright? So I think this one is quite simple since the software highlights that support for you, so this is a support because of those stacked imbalances, right? This is a support, and that’s why, let me show you, the price goes up, right? As a reaction to those stacked imbalances. Now, another question, the question remains the same: is the price going to go up, or is the price going to go down? So look carefully, and here at this swing low, we have this selling imbalance. What does it mean? It means trapped sellers, right? That’s why the price goes up because the price did not go lower; it left those sellers at the bottom of this footprint; instead, you know, it started to go up, and that’s the signal that the big guys don’t want to push the price lower; instead, it will go the other direction. Alright, another question here is, will the price go up, or will the price go down? In this case, this is the breakout strategy, so let me first show you how it played out: the price went down, and the reason it went down is that there was this rotation, and that rotation was followed by this footprint, which broke out of this rotation, and in that footprint, and that’s important, there were those imbalances, right? Those imbalances are showing us that aggressive sellers are jumping in, and that they are likely to pour fuel into this sell-off, and you know, if you enter a short, you’re most likely going to end up in a nice profit, right? So that’s why the price went down from here because of the breakout setup. Alright, so here is another question: will the price go up, or will the price go down? In this case, this is a bit tricky, um, what I recommend here is looking at the volume profile here on the left. Because as you can see in here, there was a heavy volume cluster, the price reached that heavy, heavy volume cluster here, and there were aggressive buyers, but the price did not continue upwards, did not follow through; instead, aggressive sellers started to jump in, and that’s what caused the price to go down, right? So first, trapped buyers, second, aggressive sellers jumping in, right? That’s why the price went downwards, and all this was a beautiful confirmation of this volume-based level, right? Remember when I was telling you that volume profile is best combined with Orderflow, so yeah, this is exactly the scenario where you find a strong level using volume profile. In this case, there’s a little volume profile implemented in the Orderflow software, but I sort of prefer using the volume profile as a standalone chart and then adding to that on a different screen, there’s the Orderflow chart. So anyways, a significant level formed on volume profile, then it got confirmed on the Orderflow using those imbalances. Alright, so let’s check this one out: where the price will go, will it go up, or will it go down? Well, in this case, I must say that it’s really clear, isn’t it? Because you went through the whole video and you now know that you should look at the highs and lows of footprints to see trapped buyers, right? So in this massive footprint, you see at the bottom aggressive sellers, but did the price continue to drop from this low even lower? No, it didn’t; it went up again, and those guys got trapped, so the plan probably is not to go down; instead, the big guys want to push the price up, right? So that’s what they did, pushed the price up. Alright, so that’s about that. I hope you did well in that second quiz. I hope you found the video helpful, and I hope you liked it, and if you guys have any questions, then here’s an email, and don’t hesitate to contact me, and I’ll be happy to help with anything you need helping with. Alright, so yeah, that’s about that. Thanks for watching, and I’ll be looking forward to seeing you next time. Until then, happy trading!
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