What you intend to trade (Futures, Crypto, or Stocks). If you want a breakdown of how to set up a Footprint chart .
Leo sat with his coffee and highlighted three main takeaways from the 2021 edition: Imbalance is Opportunity:
: Reliable data (like Kinetick or CQG) that provides Bid and Ask data is essential for accurate order flow analysis. Order Flows Practical Trading Setups Stop Loss Hunting order flow trading for fun and profit pdf 2021
Situations where buying or selling volume heavily outweighs the other, indicating aggressive market participants trying to move the price.
Order Flow Trading for Fun and Profit " is a book by , originally published in October 2011 . While you may be looking for a 2021 version, the primary text remains the original 205-page guide focused on market sentiment and institutional order flow. Key Concepts from the Book What you intend to trade (Futures, Crypto, or Stocks)
An imbalance occurs when aggressive buyers overwhelm passive sellers (or vice versa) by a significant ratio, usually 3:1 or 4:1. When you see consecutive price levels with massive aggressive buying volume on a footprint chart, it creates a "buying imbalance." This area acts as strong support if the price retests it. Identify Absorption
: Large institutions and funds control "trend days," gradually distributing capital in one direction. Order flow helps retail traders identify when these longer-term players have taken control. Order Flows Practical Trading Setups Stop Loss Hunting
Large players often place big orders to manipulate retail sentiment, only to pull them before execution.
Order flow moves fast. Focus on high-probability setups rather than micro-movements.
To successfully trade using order flow, you must master three primary data visualizations.