This video is targeted at those who may be new to reading order flow as well as those that are struggling when the liquidity drops on the ES and we just have a few hundred contracts each side.
One aspect of reading turns in the order flow is seeing momentum of one side "die out". This is different from the "absorption" turns where somebody steps up and absorbs a lot of contracts, effectively holding the market.
When absorption occurs, you have lots of time to make a decision. When buyers or sellers fade, you have very little time and so you have to be a little faster on the button.
I have been asked by a few customers to produce a video showing what to look for when the market gets more volatile. This is the first video where I do that. It's quite simple, I watch the open, talk about the action about the related markets and I take a few short term or 'scalp' trades.
Yesterday was rollover day and the rolling from December to March is still going on today. so I didn't hang around long after the open as that can muddy the action order-flow wise.
Anyway - it's just thinking out loud, looking at places where the market looks to turn and hitting into a couple of them.
It's not edited or scripted so feel free to send questions if something doesn't make sense.
Comments would be appreciated!
As usual - switch to Full HD, Full screen for best results