Kardec Trader argues that real CME order flow data beats guessing from price action. The same price pattern can hide three different scenarios: failed auctions, stop runs, or absorptions. Delta prints pinpoint order blocks better than candles do.
Smart money trading is actually dumb money if you are just guessing order flow from price action. Instead use real order flow to be even more objective and precise. And don't get me wrong, I'm not hating on ICT concepts, but you can put them on steroids by simply using a CME data feed. For example a liquidity grab or a stop hunt. From an order flow perspective can can be at least three things. First, a failed auction. Aggressive buyers push price outside of the range but are not ready to pay premium prices. So there is a dry up in volume and sellers take control of the price option. Two a stop run. Stop orders are above a high and they enter the market all at once creating a so called called book sweeping. Now the path of least resistance is the bid or the buy side of the book so sellers will have an easy time to push price downwards. The third option is an absorption. So buyers are aggressive outside of the range but they are being absorbed by a wall of passive sellers and as soon as they stop buying sellers gets in control. So one pattern in price action can be three radically different in order flow but it doesn't end here. A price action traders will take a fair value gap from a week to the other one. But from the perspective of an order flow trader, a fair value gap is actually an imbalance in volume. So you can track imbalance with actual numbers not guessing where it could be. And lastly, if you are looking for order blocks, why look at candles? Just look at orders. You have the actual level not the area. Use something like a delta print where you can actually see in the area where the buyers were the most aggressive. This is your actual order block because it's a block of orders so you can save the headache of multi time frame analysis because your area is already refined by orders. I made a full guide on how I trade order flow on YouTube comment guide and I will send it to you.
