Lesson 6 of 11
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Imbalances 2


·  Market bid and ask.

·  Left = sells

·  right = buys

I like to use 618% imbalances.

Means that bid and ask was 6.18 times bigger than in opposite box.

Stacked imbalances

·  Stacked imbalances means 3 and more imbalances boxes stacked together.

How to use imbalances?

·  Look for imbalances around all your key levels. If you see a lot of buys into resistance (lot of green buying imbalance boxes) but price is not going up, this is showing you there must be someone with big limit order absorbing all of these big buys. [Same with shorts but opposite]

·  If you see a lot of buy/sell imbalance when breaking through support/resistance level, this is showing you that there is actually demand in buying/selling and price is likely to continue in it’s trend.