TB - Brandon Profile picture
Apr 3, 2023 9 tweets 4 min read Read on X
Supply & Demand is a popular trading strategy used to identify areas of large buy and sell orders. In this thread I will show you how to identify these levels of interest 🧵

$SPY
Before showing you how to identify these zones, first you must understand the difference between Supply and Demand

Supply: Large unfilled sell orders waiting to be filled (Resistance)

Demand: Large unfilled buy orders waiting to be filled (Support)
Areas of Supply & Demand act as magnets in the market. Our job as traders is to identify these areas of imbalances and evaluate how price trades at these imbalanced areas.

There are two main ways I use to identify areas of Supply & Demand
In order to identify these zones of Supply & Demand, you must first identify a "Basing Candle"

A Basing Candle is a small bodied candle that forms before a large aggressive move in one direction. The Basing Candle MUST BE the opposite color of the aggressive candle. Example… twitter.com/i/web/status/1…
The idea behind the Basing Candle is this is where orders have been left unfilled. Since the Basing. Candle in this example was RED before we saw a large aggressive move UP, this would become DEMAND.

If the Basing Candle was GREEN before a large aggressive move DOWN, it would… twitter.com/i/web/status/1…
When drawing a Demand zone, I take the wick low to the body open. Some traders to wick to wick, but I prefer my way. If the following Green aggressive candle wicks lower than the Red basing candle, I will use that lower wick instead. Example below
When drawing Supply Zones, we are now looking for a GREEN Basing Candle before a large aggressive move DOWN. With supply I take the wick HIGH to the candle OPEN. Just like the last example, if the following red wick is higher than the basing candle's, I will use that/ Example… twitter.com/i/web/status/1…
Sometimes these Supply and Demand zones can be large. There is two ways to go about this. With larger zones, I primarily watch the BEGINNING of the zone as that spot tends to see the most price action. The second way is to break down the timeframes to see if there are smaller… twitter.com/i/web/status/1…
That is going to wrap up Part 1 of this Supply & Demand thread. If you would like Part 2, make sure to retweet and like the thread♥️

$SPY

• • •

Missing some Tweet in this thread? You can try to force a refresh
 

Keep Current with TB - Brandon

TB - Brandon Profile picture

Stay in touch and get notified when new unrolls are available from this author!

Read all threads

This Thread may be Removed Anytime!

PDF

Twitter may remove this content at anytime! Save it as PDF for later use!

Try unrolling a thread yourself!

how to unroll video
  1. Follow @ThreadReaderApp to mention us!

  2. From a Twitter thread mention us with a keyword "unroll"
@threadreaderapp unroll

Practice here first or read more on our help page!

More from @Carwhorns

Apr 27, 2023
Bookmap allows traders to visually see market participation and large buy/sell orders. Through proper inspection, Bookmap can give traders an edge to future price action

Here is how to properly use Bookmap, a thread🧵 twitter.com/i/web/status/1…
First I will be explaining the Heatmap. The Heatmap represents passive buy/sell orders sitting at a certain price. Red/Dark Red & Orange = LARGE passive orders and are the main ones I look out for. Image
Second is the Volume Dots which represent AGGRESSIVE buyers or sellers. The larger the dot, the more aggressive buyers/sellers are. Image
Read 7 tweets
Oct 3, 2022
In this trading thread, I will be discussing the one indicator that plays a roll in 99% of all my trades and how I use it to find profitable setups🧵
The indicator is known as the "TTM Squeeze Pro". This indicator is a combination of Bollinger Bands, Keltner Channels, and Momentum, which allows traders to identify tight consolidation and revealing overall momentum sentiment.
As seen in the picture, the TTM Squeeze Pro has 4 different colored histogram bars.

Light Blue = Strong Buying Momentum
Dark Blue = Buying Momentum Dying Down
Red = Strong Selling Momentum
Yellow = Buyers coming back in Image
Read 9 tweets
Sep 22, 2022
I began my trading journey with swing trading

With many years of experience through trial and error, here is some tips that helped me find success with swing trading

A thread🧵 $SPY
First things first, I avoid swing trading stocks like $TSLA, $META, $NVDA, the stocks I day trade (unless a spread)

The reason being premiums. Typically when swing trading, the majority of liquidity is found in the monthly expirations which is the third Friday of the month
For example, if I wanted to swing $NVDA for Oct monthly exp, I would be spending around $600-$700/contract

If instead, I swung $LVS, I could swing this at a fraction of the cost.

Now, not only do you get cheaper contracts, the secret lies in the Greeks.
Read 10 tweets

Did Thread Reader help you today?

Support us! We are indie developers!


This site is made by just two indie developers on a laptop doing marketing, support and development! Read more about the story.

Become a Premium Member ($3/month or $30/year) and get exclusive features!

Become Premium

Don't want to be a Premium member but still want to support us?

Make a small donation by buying us coffee ($5) or help with server cost ($10)

Donate via Paypal

Or Donate anonymously using crypto!

Ethereum

0xfe58350B80634f60Fa6Dc149a72b4DFbc17D341E copy

Bitcoin

3ATGMxNzCUFzxpMCHL5sWSt4DVtS8UqXpi copy

Thank you for your support!

Follow Us!

:(