Order Flow Key Area Price Reaction - Live Trade

Hi traders, today we detect a textbook A+ trade using their hammer orderflow pro tools. Why A+? Because we had a strong key area and a clear context. Let's start with the context. As you can see, the RTH volume profile opened above the previous VA. That gives us an imbalanced up context. In this context, longs from key areas are favored. Now let's analyze a bit the key areas. One of the most used orderflow tools for defining key areas is volume profile on the chart. We had support at the confluence of a previous VAL and a low volume node. Resistance at the confluence of a previous VH and PC. Keeping in mind that these areas become even stronger when they align with dynamic zones like VWAP and its standard deviations. In our case, the volume profile keyone overlapped with the ETH plus one VWAP standard deviation band and the RTH VWAP. This triple confluence volume profile level plus ETH + 1 VWAP standard deviation plus RTH VWAP made the buy area particularly strong. This is why at the beginning we were talking about a plus setup. Let's zoom in and analyze the reaction and the entry signal. In this zone, we saw a clear reaction. Cumulative delta began to show aggressive buying on the footprint. Sellers were absorbed at the lows. Price closed above the footprint PC. The next candle printed multiple buying balances. Delta turned positive quickly. Delta change ramped to around 1.6K. A meaningful reading for this instrument to consider along. A good entry can be considered on confirmation of the buy imbalances slash close above footprint PC. The stop loss below the reaction candle and the takerit at the previous. As price approached TP and momentum slowed, we secured plus 20 points by trailing the stop higher. This is one example of how to read the market with orderflow. There are many ways to apply it, but one thing is constant. Orderflow shows what's happening inside every move. Do you like examples like this?