Forex Trading with Order Imbalances
Most Forex traders are living in a matrix world that is filled with millions of pages of advice about how to trade currencies and CFD’s. Recently there has been a rush to explain Forex trading with order imbalances and how to see them. Although there is no single silver bullet to fire that shows imbalance there are evidences of the imbalances that can be considered as vital to seeing these imbalances on your charts. When you experience price move from a demand zone upward with almost a vertical move that is the clearest evidence that there is not adequate supply to satisfy demand. Conversely when price moves up and down for a significant period of time the interpretation should be balance between buyers and sellers exists. Trader avoid these areas. The zones where price moves rapidly up to a supply zone or down to a demand zone are zones where prices will return. The “secret sauce” needed to be able to know how to interpret these moves and use them for profit is contained in this video recorded live yesterday.
Technical Analysis “whale sirens” beg us to believe we want key “support” and “resistance” levels, Some even suggest there are single price points called pivots that you can be trained to see. They tell us traders should look for areas of significant trading activity, many candles on the screen, and “heavy” volume. They strongly suggest we should look for support and resistance levels that have many candles in the area and above average volume. I assure you this is not a sign of order imbalance. Buyers and sellers re matching up and keeping each other happy. NO NO NO This is not a level to but or sell . You want a level where there is little action from a fresh demand or supply. Watch the video and see our Forex Trading with Order Imbalance. If you have questions , we are here to help you.
