Chances are that the price of whatever is being bought/sold will go up.
Imagine a moment in which there are more buyers than sellers looking to transact the same (or similar) product. If you want to try the indicators yourself, they are all available in the Optimus Flow platform. We will provide a simple introduction for each one, providing a lengthier “how to” post in the following weeks. We are going to discuss the seven best order flow indicators that might be useful, particularly for short-term trading scenarios. Now, the question is, “what tools might you use to better detect and, most importantly, interpret buying and selling pressure?”. So, putting all three elements together, you get a clearer picture of buying and selling pressure–the factors that drive the order flow behind price movements.
The significance of time in trading is best defined by the volume that drives prices. The volume of trades cannot signal direction unless you look at the price context in relation to time. Price movements within a given time period mean nothing unless you can see the volume driving it. Although “volume” is sometimes treated as just another “indicator,” what many traders miss is that the combination of price, time, and volume can reveal something far more important than any of those three factors alone: the driving force behind the market. Indicators, though important, are variable and supplemental. On every chart, price and time tend to be the dominant features. Our charts are like “maps,” indicating potential headwinds, tailwinds, critical levels, and turning points. We identify patterns that might give us a better sense as to where price might be heading. When we trade a financial asset, we often rely on charts to identify market opportunities.
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