[1/X] Attempt to explain Imbalance Chart to a 10 year old
You want into an air conditioner (AC) in the peak summers.. the shopkeeper tells you that the price of the AC is 35 k, which you think is expensive.. this price of 35k which the shopkeeper quoted is Ask Price
Imbalance is a special variation of the Footprint chart that highlights aggressive buying and selling (some market participants manifested aggressive behavior)
[2/X] Imbalance compares bids and asks diagonally and shows a significant excess of one over the other. That is, a bid is compared with an ask, which is one level higher, and an ask is compared with a bid, which is one level lower.
[3/X] The bar in the picture above shows how aggressive sellers entered the market and pushed the price at each price level. Such an aggression, as a rule, results in price reduction.
The yellow highligted cells reflect such aggressive behaviour on the buy and sell sides
Basics of Auction and Profile Distribution - terms like Market Profile and Volume Profile simplified
What is Profile Distribution?
Distribution is the process of trading activity that takes place in the market auction. Some also know it by a consolidation or range.
A Distribution tends to define the fairest area/ price where the current auction has been taking place.
However, during some trading sessions, after the market forms a distribution around a certain fair price/ value, something changes.....
It could be anything - some big money stepping in deeming the price to be auctioning below value, news, event ,etc.. we don't know that and it doesn't matter.. what we are interested in is what happens after....
The next version of the Orderflow Module is now released on Beta
Follow this thread along..... on the updates
First Important Change - Now you can manually set the size of the cluster boxes using the Tick Multiplier Parameter under Settings Tab.
What it means?
Now Cluster Boxsize = TickSize X Multiplier
If Nifty Tick = 0.5 INR and Multilplier = 3
Boxsize = 0.5 X 3 = 1.5 INR
[3/X] The default view is on AUTO tick multiplier mode. This means that an algorithm will decide the cluster box size using a tick multplier computed on the basis of your screen dimensions to make the underlying figures visible and readable
Poor low and Poor High are market profile structure which generally indicates a market that is too long or too short and the shorter timeframe players in the market has low confidence about the current market direction
...and takes control of market to move it in opposite direction. Generally happens when the market is continuing its trend in one direction and the momentum of the trend starts loosing at the peaks which makes the shorter timeframe traders to think that market is toolong/short