Here's a relatively simple trade, trading the MES contract. This week has been very difficult week of trading for many traders due to the markets extreme volatility and slow pace.
I've been trading at my usual pace.
Still, I'm making the migration over to TickBlaze and am still tweaking the tools that I have at my disposal.
So, let's roll the tape... (Pun Intended)
Please take notice of those large red down bars to the left of the chart...
Zoom into that large down bar and you'll notice many zeros on both sides of the bar. This bid and offer side of the bar is showing that price just basically teleported 10 points lower from 5870 to 5860 without picking up or dropping off so much as one contract.
First things first:
Understanding the bigger picture of market context and time of day is additionally assisting in the decision making of this particular trade, as it continually does on every trade.
Moving on...
Understanding my levels while utilizing Order Flow and a few additional nuances, you'll notice that the intermediate term bottom is slowing being implemented.
After a brief liquidity sweep between 10:53 and 10:56 Buyers are showing to begin overcoming the Sellers as a Delta shift begins to get underway.
Waiting to see a break and hold of the previous / last down-bar to give a platform to launch from.
We start to pick up speed. I then get my Order Flow confirmation, in accordance with my Price Action Levels.
Stacked Imbalance and Confluence under strong Buying Volume and an influx of Aggressive Buying (Delta) confirm my conservative entry for this small conservative trade.
Entry is taken and quickly snatches up my first target. That was a $3.25 first target hit.
Notice the placement of my second Target. It's resting at the midpoint of that large down-bar from earlier.
A little ebb and flow, flirting with my entry mark, but I'm not a bit concerned that my stop is anywhere near being in jeopardy.
Order Flow, once again, is assisting in confirmation that we appear, I repeat, we 'appear' to have a pretty solid base above that solid green band. That solid green band represents a SI or Stacked Imbalance, in which I will anticipate a very hard bounce higher...
Let's see what happens...
🔥 BOOM! 🔥
Gotcha Bitch!!!!
Can you stand it?!?
The bounce immediately off of my initial entry and immediately took my second target out!
But wait... there's more...
After hitting my second target at 5856.50, the market quickly scurries lower, down to the 5853 level before heading back higher.
Once again, using Price points, Time (especially) and Order Flow to get some more of those market gains, I'll let the first ripple pass and focus on the next, the reaction off of the Order Flow level...
Let's see how that plays out...
I actually got into this position a bit earlier than I would like.
I get my entry in on the second 11:30am bar, I see practically no more selling on the 11:31am bar. So my anticipation pays off. I get entered into the market on a passive order @ 5855
Note Depending on market conditions and market structure, I'll decide then when and how I will enter the market. Either a Passive Resting Order or an Aggressive Market Order.
Experience being a key factor in this particular trade.
This is proving to be a nice little trade on the overlap.
Trapping Short Orders from Retail Shorts and Fades along the way...
Once again, experience is leading the way.
Oh man! I can taste that target... it's so close 🤦♂️
And, what trade would be complete without a taunt... 🤯
Hey... you're going the wrong way...
Remaining patient and staying the course....
I'm still getting my Order Flow confirmations.... (Finger on the trigger.... just in case 😉)
Can you stand it?!?
🔥Boom Shaka Laka Tora🔥
Go ahead... say it with me...
"Gotcha Bitch!"
Success - almost exactly to the tick 😎
Both trades yielding a nice tidy profit of $6,800 before commissions and fees.
That'll conclude today's post.