Order Flow Trading: DOM Foundations

Mind Over Markets

Want to learn how to find out what traders are doing? This is called following the smart money, and order flow is a key analysis tool to help you gain an edge on the market. In today’s episode Leo and I discuss our trading into the end of the year, and openly share some of our personal struggles with our trading. More importantly, we go into details on finding the problem and helping each other fix the issues. We then move into the topic of using the DOM (or price ladder). This is a tool that allows you to see EVERY order that trades through the book. This is a big advantage to find continuation or turning points in the stock market, and to trade with the momentum. We get down into the nitty gritty details of how to use this tool, and discuss the following in this episode:

1. What is the Order Book
2. Visible Liquidity

• Big Inventory as a Magnet / Target
• Why is a big sell order above a bullish thing?
• Why is a big buy order below a bearish thing?

3. Hidden Liquidity

This was an incredibly fun episode to record with Leo, an amazing trader and all round great person to talk trading with. We look forward to seeing you at our third installment of Between the Spread series on our podcast. Just a reminder, new episodes of the series are released on the first Thursday of each month. Thank you so much for listening and have a wonderful day. Resources

• Follow LEO on Twitter here
• LEO's DOM here.
• Checkout the TRADEPRO Futures & Order Flow Course here
• Enjoying this podcast? We’d appreciate it if you can drop us a rating and review on iTunes here
• Connect with our community online: Trade Pro Academy
• Catch up with our earlier episodes: Mind Over Markets Podcast
• Join our FREE trading room here
• Follow me on Instagram here and on Twitter here