trying to understand lingo - how supply was thinner this time ?
ES Journal - 2019/2020
- Thread starter Buy1Sell2
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I'm sorry ... whqat I mean is that when you watch the DOM you can sometimes see that the market gets "thick" ... the offers just keep coming and even as more and more trades are done at the offer more and more offers keep coming in to replace what has been filled. That is often a sign that a short term reversal is immanent, especially if it goes on for more than a few seconds (as opposed to spoofing where you'll see a large bid or offer that magically disappears as price gets to that level.
Obviously those have been filled ... will take some more at 48.50 if the market is willing ... stop at 43 on all that remains.
For example, there is a big number on 47.50 right now ... is it a real offer or not ... we will find out.
FWIW, none of the DOM stuff really matters all that much unless you are trading multiples, taking partials, scaling back in, etc. I use it as a tool to keep my avg cost down. I will also use it at key S/R to exit or enter whole positions. But in the middle of the range it is just a tool to tweak my position. Nothing takes precedence over my plan and my signals.
chewed through it
Not too bad for someone using old fashioned, behind the times, out-dates methods ... huh?
2019 ...
And because of this underlying structure, should that third push get taken out to the upside, it is often a face ripping rally because The Money themselves are often taking profits there expecting a pullback. No pullback, The MOney wants back in. Not to mention all the retain shorts who are selling the 2950's expecting the big sell off to finally come. Short sellers become short coverers.
And because of this underlying structure, should that third push get taken out to the upside, it is often a face ripping rally because The Money themselves are often taking profits there expecting a pullback. No pullback, The MOney wants back in. Not to mention all the retain shorts who are selling the 2950's expecting the big sell off to finally come. Short sellers become short coverers.
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