Market Depth

cafeole

cafeole

I have noticed something about the market depth that is interesting. However, I don't know how reliable it is. I have only been watching it for about a week now.

I find where the largest red and blue lines are and put a line there. I move it as the largest price line changes.

If the largest line (by far) is higher in price the action tends to be up. Especially if I have to keep moving the line up.

Same for the blue line.

The higher red line is the larger market depth line at the time. Notice it almost hit it.
When the blue started to get much larger the price went down.

Any comments?

Market depth.jpg
 
Last edited:
Unable to follow what you say.
On the Blue entries, look closely the bids against price. You see everywhere less than 200 bids except one where it is 276. The price 4393.25 is likely a minor support area. Hypothetically if you had 576 bids instead of 276 on 4393.25, place your order at 4393.5 and you get filled, more than likely you will ride a wave up for a quick scalp.
As always nothing works all the time.
 
Thanks. It just looked like the imbalance indicated direction. I just didn't know how much of an imbalance to look for.
 
cafeole said:
I have noticed something about the market depth that is interesting. However, I don't know how reliable it is. I have only been watching it for about a week now.

I find where the largest red and blue lines are and put a line there. I move it as the largest price line changes.

If the largest line (by far) is higher in price the action tends to be up. Especially if I have to keep moving the line up.

Same for the blue line.

The higher red line is the larger market depth line at the time. Notice it almost hit it.
When the blue started to get much larger the price went down.

Any comments?

View attachment 264267
More...
My friend does quite well day trading with Bookmap.
 
You must log in or register to reply here.
Back
Top