Charting VS orderflow | Traders Hideout


futures.io - futures trading strategies, market news, trading charts and platforms


Traders Hideout


Discuss day trading practices and futures trading strategies on this forum for all markets. This forum is also for discussing and reviews for brokers, data feeds, and commercial or third party add-ons




 

Charting VS orderflow

  #11 (permalink)

Elite_Member
Wiltshire, United Kingdom
 
Trading Experience: Beginner
Platform: Jigsaw daytradr
Favorite Futures: US Equity Index Futures
 
matthew28's Avatar
 
Posts: 737 since Sep 2013
Thanks: 1,499 given, 1,246 received


Grantx View Post
The problem though is that sometimes this absorption level does break which makes the whole clever analysis a little bit pointless IMO.

It does allow you to use a much tighter stop though. Instead of just putting a stop beyond the nearest swing high or low like people tend to do, if you see that your level stops absorbing and price gets through it by a few ticks and now the bids or offers are quickly being cleared out and pulled you can hit out too and reassess. Smaller stops gives better R/R on the winners and less fear of taking a loss. And If price clears out a few stops then comes back through that level you can always re-enter with more confidence.

Visit my futures io Trade Journal Reply With Quote
The following 4 users say Thank You to matthew28 for this post: