NexusFi: Find Your Edge


Home Menu

 





How to use smart dom


Discussion in Platforms and Indicators

Updated
      Top Posters
    1. looks_one skraadiing with 8 posts (2 thanks)
    2. looks_two ivoTrades with 3 posts (4 thanks)
    3. looks_3 EminiTraderCBOT with 2 posts (0 thanks)
    4. looks_4 matthew28 with 2 posts (3 thanks)
      Best Posters
    1. looks_one cordoba with 4 thanks per post
    2. looks_two matthew28 with 1.5 thanks per post
    3. looks_3 ivoTrades with 1.3 thanks per post
    4. looks_4 skraadiing with 0.3 thanks per post
    1. trending_up 12,649 views
    2. thumb_up 20 thanks given
    3. group 6 followers
    1. forum 19 posts
    2. attach_file 2 attachments




 
Search this Thread

How to use smart dom

  #1 (permalink)
skraadiing
Espaņa Madrid
 
Posts: 26 since Oct 2020
Thanks Given: 16
Thanks Received: 18

Hi im learning now how to use the smart dom.
I already learn the basics but i dont know how to trade with the dom. for example i see the dom and i dont know where are going to go the price observing the orders i need some help in that.
Thank you to all the users.
PD: sorry for my english , im spanish
I cant find any similar if its any thread that can help me please sen it.

Roberto,skraadiing

Reply With Quote

Can you help answer these questions
from other members on NexusFi?
Better Renko Gaps
The Elite Circle
Online prop firm The Funded Trader (TFT) going under?
Traders Hideout
New Micros: Ultra 10-Year & Ultra T-Bond -- Live Now
Treasury Notes and Bonds
NT7 Indicator Script Troubleshooting - Camarilla Pivots
NinjaTrader
Deepmoney LLM
Elite Quantitative GenAI/LLM
 
Best Threads (Most Thanked)
in the last 7 days on NexusFi
Get funded firms 2023/2024 - Any recommendations or word …
59 thanks
Funded Trader platforms
37 thanks
NexusFi site changelog and issues/problem reporting
24 thanks
GFIs1 1 DAX trade per day journal
22 thanks
The Program
19 thanks
  #2 (permalink)
 
matthew28's Avatar
 matthew28 
United Kingdom
 
Experience: Beginner
Platform: Bookmap
Broker: Stage 5, Rithmic
Trading: US Equity Index Futures
Posts: 1,250 since Sep 2013
Thanks Given: 3,500
Thanks Received: 2,532


skraadiing View Post
PD: sorry for my english , im spanish
I cant find any similar if its any thread that can help me please sen it.

John Grady at NoBSDay trading is very good for DOM training. He has done some webinars for this site but you may not be able to watch them as it doesn't look like you are an paid member.
He does that have a lot of videos on his site that might be useful for you. Tricky I know if English isn't your first language, but good information there.
His website: https://www.nobsdaytrading.com/videos/
The vendor review for him on this website (click on the panel):

You do not win as a trader, you just get to play again the next day. If that game doesn’t appeal to you then you should not trade. Gary Norden
Reply With Quote
Thanked by:
  #3 (permalink)
skraadiing
Espaņa Madrid
 
Posts: 26 since Oct 2020
Thanks Given: 16
Thanks Received: 18



matthew28 View Post
John Grady at NoBSDay trading is very good for DOM training. He has done some webinars for this site but you may not be able to watch them as it doesn't look like you are an paid member.
He does that have a lot of videos on his site that might be useful for you. Tricky I know if English isn't your first language, but good information there.
His website: https://www.nobsdaytrading.com/videos/
The vendor review for him on this website (click on the panel):

Thank you for that material i apreaciate that.
Im going to see the videos later .
But my personal opinion of the webinars are that the teacher are more focused on sell you something and not focused on teach you, no mather that im going to see the webinars.
Thank you sir @matthew28

Roberto

Reply With Quote
Thanked by:
  #4 (permalink)
Mozart2112
Minoqua Wi USA
 
Posts: 119 since Sep 2019
Thanks Given: 68
Thanks Received: 82


skraadiing View Post
Hi im learning now how to use the smart dom.
I already learn the basics but i dont know how to trade with the dom. for example i see the dom and i dont know where are going to go the price observing the orders i need some help in that.
Thank you to all the users.
PD: sorry for my english , im spanish
I cant find any similar if its any thread that can help me please sen it.

Roberto,skraadiing

Your broker may have instructional videos on their website or you can try youtube. There are plenty of DOM trading videos. You should also get familiar with 'order types' when trading on DOM.

Reply With Quote
Thanked by:
  #5 (permalink)
skraadiing
Espaņa Madrid
 
Posts: 26 since Oct 2020
Thanks Given: 16
Thanks Received: 18


Mozart2112 View Post
Your broker may have instructional videos on their website or you can try youtube. There are plenty of DOM trading videos. You should also get familiar with 'order types' when trading on DOM.

Thanks @Mozart2112, I said I know the basics.
Maybe I didnt explain my question correctly (because I dont speak English as the first language)
I see on youtube, in internet a lot of guys that only trade looking the dom, they dont have any chart or similar like charts, only dom doms.
My question is: What are they looking in to the dom o put a buy or to put a sell?
Im looking the dom but I didnt understand how they trade only with the dom anyone have an idea?

Roberto.

Reply With Quote
  #6 (permalink)
ivoTrades
Europe
 
Posts: 30 since Aug 2018
Thanks Given: 20
Thanks Received: 47


skraadiing View Post
Thanks @Mozart2112, I said I know the basics.
Maybe I didnt explain my question correctly (because I dont speak English as the first language)
I see on youtube, in internet a lot of guys that only trade looking the dom, they dont have any chart or similar like charts, only dom doms.
My question is: What are they looking in to the dom o put a buy or to put a sell?
Im looking the dom but I didnt understand how they trade only with the dom anyone have an idea?

Roberto.

You sound like somebody who's familiar with chart trading, so let me use an analogy. How do you feel when you switch from the candlestick charts you're used to, to a line chart?
My guess is that it's like you just lost half of your senses - line charts remove 90% of the information that candlestick charts give you. With line charts you see the close, but you have no idea what the trading range was in the timeframe you're looking at. In other words line charts give you a subset of the the information that candlestick charts provide.

The relationship between DOM & charts in general is pretty similar. The DOM gives you all the information about the market at the current moment - not just price, but also traded volume at price, limit orders, orders that were removed. Candlesticks charts give you just a subset of that information. That's why daytraders gravitate towards the DOM it gives crucial information especially around order execution.

Trading from the DOM is usually short term. You see an imbalance in bids & offers and you open a position, or you see a big market order at a significant level and you join it. You rarely expect more than a few ticks from the market, because you entered your position on the basis of short term market internals and not an underlying trend.

If you've just found out about DOM trading my suggestion is to use it in addition to your charts. Do not change your strategy but keep the DOM open next to your charts and look how it changes next to significant price levels. More importantly, every time you open a trade do it though the DOM. With time you'll learn how to incorporate more of the information that the DOM provides in your trading.

As @matthew28 mentioned, John Grady at NoBSDayTrading is an excellent resource. He does offer paid educational materials but there is more than enough free information. You can also look at the jigsaw & bookmap videos on YouTube.

Reply With Quote
Thanked by:
  #7 (permalink)
skraadiing
Espaņa Madrid
 
Posts: 26 since Oct 2020
Thanks Given: 16
Thanks Received: 18


ivoTrades View Post
You sound like somebody who's familiar with chart trading, so let me use an analogy. How do you feel when you switch from the candlestick charts you're used to, to a line chart?
My guess is that it's like you just lost half of your senses - line charts remove 90% of the information that candlestick charts give you. With line charts you see the close, but you have no idea what the trading range was in the timeframe you're looking at. In other words line charts give you a subset of the the information that candlestick charts provide.

The relationship between DOM & charts in general is pretty similar. The DOM gives you all the information about the market at the current moment - not just price, but also traded volume at price, limit orders, orders that were removed. Candlesticks charts give you just a subset of that information. That's why daytraders gravitate towards the DOM it gives crucial information especially around order execution.

Trading from the DOM is usually short term. You see an imbalance in bids & offers and you open a position, or you see a big market order at a significant level and you join it. You rarely expect more than a few ticks from the market, because you entered your position on the basis of short term market internals and not an underlying trend.

If you've just found out about DOM trading my suggestion is to use it in addition to your charts. Do not change your strategy but keep the DOM open next to your charts and look how it changes next to significant price levels. More importantly, every time you open a trade do it though the DOM. With time you'll learn how to incorporate more of the information that the DOM provides in your trading.

As @matthew28 mentioned, John Grady at NoBSDayTrading is an excellent resource. He does offer paid educational materials but there is more than enough free information. You can also look at the jigsaw & bookmap videos on YouTube.

Hi @ivoTrades thank you for the response.
Now im trading with order flow, volumen profile, vwap etc..
Thank you for that information its helpful.


Thats mi two screens, do you see the dom levels?
do you think that the dom provide me better information?
PD: SORRY for my english, i dont speak it well

Roberto

Reply With Quote
  #8 (permalink)
ivoTrades
Europe
 
Posts: 30 since Aug 2018
Thanks Given: 20
Thanks Received: 47


skraadiing View Post
Thats mi two screens, do you see the dom levels?
do you think that the dom provide me better information?

It's up to you to decide which one is better for your trading.

Personally I don't find the 2nd style of chart very useful, I'd rater use the first chart + a live DOM, or something like Bookmap / Jigsaw

Reply With Quote
  #9 (permalink)
 cordoba 
Dubai, UAE
 
Experience: Intermediate
Platform: Quantower
Trading: Futures Spreads and Options on Futures
Posts: 34 since Feb 2016
Thanks Given: 14
Thanks Received: 62

Both @Mozart2112 and @ivoTrades have offered sound advice.

Order flow is a conversation between market participants - both human and algorithmic. Like any language, the basics are only going to take you so far. At some point you have to enter into the flow of that conversation, make mistakes, try things out and improve as you go. Trading order flow is no different than that - it similarly requires application, repetition, and reflection. In other words, there is no substitute for practice. It isn't realistic for someone to give you a simple checklist of things that orderflow traders are looking out for. Much depends on the market they trade, the time of day they trade it, the time of year, the proximity to economic data etc. - context matters.

As @ivoTrades suggests, reviewing the DOM behaviour alongside other references, such as a chart, can help you to get familiar with the auctioning process. There is no need to assume that you must aspire to a prop shop-style multi-DOM setup, without charts. The important thing is to understand the interplay - both within the market at hand and in its relationship with correlated markets. When you understand how a market typically behaves, over time, you can begin to see when there are anomalies that you might capitalize upon. It is also important to understand the interaction between passive buyers/sellers and active buyers/sellers. Such is at the heart of concepts such as absorption and icebergs.

It is also worth mentioning that the DOM is only one vantage point you might take on orderflow. Depending on the DOM you use, it has the benefit of distilling multiple useful data points into a single window e.g. resting limit orders, pulling & stacking from the limit book, traded volume on the bid & ask, volume profile. However, you may find that another type of orderflow tool connects with you better - a fooprint chart, or a time & sales window, for example. Consequently, what to look for in a DOM is subordinate to the much larger question of whether orderflow trading is right for you.

In an industry populated with so many charlatans, it is of course prudent to be sceptical about vendors. However, in so quickly discounting the value of vendor-provided webinars, you may be missing out on elements that would contribute to addressing the question you asked. (Dicho de otra manera, cuidado de no tirar las frutas frescas con las pochas). Similar to any other information source, we have the obligation to be discerning for ourselves as to the value and utility of information we receive. Just because somebody sells a tool, or additional training, doesn't mean that what they have to say on orderflow is inherently flawed or worthless. There may be selective insights that can be incorporated into your trading development. John Grady of No BS Day Trading, and Peter Davies of Jigsaw, have already been mentioned. To these I would also add Axia Futures. They all use webinars as a social proof device, obviously with the intention of reaching potential customers - they are in business after all. However, if you were to seriously engage with their free content on YouTube, your awareness of orderflow trading would increase. Beyond that, you have to put in the screen time to then reinforce you understanding of the concepts. Such then permits the determination as to whether orderflow should be abandoned as a concept, should form the core of a trading approach or should act as an add-on to another trading style (e.g. just to support order entry).

Finally, a YouTube channel you might consider taking a look at would be that of Christian Anthony. To the best of my knowledge, he isn't selling anything. He just posts videos about his thinking process when trading orderflow. You may find that his reflections on sessions he has traded and what he observed in the order book may help orientate you.

Reply With Quote
  #10 (permalink)
skraadiing
Espaņa Madrid
 
Posts: 26 since Oct 2020
Thanks Given: 16
Thanks Received: 18



cordoba View Post
Both @Mozart2112 and @ivoTrades have offered sound advice.

Order flow is a conversation between market participants - both human and algorithmic. Like any language, the basics are only going to take you so far. At some point you have to enter into the flow of that conversation, make mistakes, try things out and improve as you go. Trading order flow is no different than that - it similarly requires application, repetition, and reflection. In other words, there is no substitute for practice. It isn't realistic for someone to give you a simple checklist of things that orderflow traders are looking out for. Much depends on the market they trade, the time of day they trade it, the time of year, the proximity to economic data etc. - context matters.

As @ivoTrades suggests, reviewing the DOM behaviour alongside other references, such as a chart, can help you to get familiar with the auctioning process. There is no need to assume that you must aspire to a prop shop-style multi-DOM setup, without charts. The important thing is to understand the interplay - both within the market at hand and in its relationship with correlated markets. When you understand how a market typically behaves, over time, you can begin to see when there are anomalies that you might capitalize upon. It is also important to understand the interaction between passive buyers/sellers and active buyers/sellers. Such is at the heart of concepts such as absorption and icebergs.

It is also worth mentioning that the DOM is only one vantage point you might take on orderflow. Depending on the DOM you use, it has the benefit of distilling multiple useful data points into a single window e.g. resting limit orders, pulling & stacking from the limit book, traded volume on the bid & ask, volume profile. However, you may find that another type of orderflow tool connects with you better - a fooprint chart, or a time & sales window, for example. Consequently, what to look for in a DOM is subordinate to the much larger question of whether orderflow trading is right for you.

In an industry populated with so many charlatans, it is of course prudent to be sceptical about vendors. However, in so quickly discounting the value of vendor-provided webinars, you may be missing out on elements that would contribute to addressing the question you asked. (Dicho de otra manera, cuidado de no tirar las frutas frescas con las pochas). Similar to any other information source, we have the obligation to be discerning for ourselves as to the value and utility of information we receive. Just because somebody sells a tool, or additional training, doesn't mean that what they have to say on orderflow is inherently flawed or worthless. There may be selective insights that can be incorporated into your trading development. John Grady of No BS Day Trading, and Peter Davies of Jigsaw, have already been mentioned. To these I would also add Axia Futures. They all use webinars as a social proof device, obviously with the intention of reaching potential customers - they are in business after all. However, if you were to seriously engage with their free content on YouTube, your awareness of orderflow trading would increase. Beyond that, you have to put in the screen time to then reinforce you understanding of the concepts. Such then permits the determination as to whether orderflow should be abandoned as a concept, should form the core of a trading approach or should act as an add-on to another trading style (e.g. just to support order entry).

Finally, a YouTube channel you might consider taking a look at would be that of Christian Anthony. To the best of my knowledge, he isn't selling anything. He just posts videos about his thinking process when trading orderflow. You may find that his reflections on sessions he has traded and what he observed in the order book may help orientate you.

Thenk you sir , very helpfull.
I think order flow is not a indicator like others its a way of looking the market .



Sent using the NexusFi mobile app

Reply With Quote




Last Updated on January 24, 2021


© 2024 NexusFi™, s.a., All Rights Reserved.
Av Ricardo J. Alfaro, Century Tower, Panama City, Panama, Ph: +507 833-9432 (Panama and Intl), +1 888-312-3001 (USA and Canada)
All information is for educational use only and is not investment advice. There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
About Us - Contact Us - Site Rules, Acceptable Use, and Terms and Conditions - Privacy Policy - Downloads - Top
no new posts