Last Updated:

ES 06-18 / 05 June 2018

wtl Daily Digest

Altough it was a boring trading day with a low volume of around 960k traded ES futures I want to point to an additional weapon in the arsenal of Bookmap™ which can help to survive such occurences. 

Volume Profile and Volume Delta

After good US PMI data market was in positive mood for a short time. I took the breakout trade because it was a perfect setup and the long worked for 2 points. 

Breakout trade

Most interesting part happened about 20 min. later. I was long 2nd time and bought the area at the previous breakout level again. Must admit that I didn't pay attention to the Volume Delta below. Which is a mistake but in this case price worked my way. 

Out of nothing a big sell order of more then 1800 contracts hit 2751.75 violently. This was the sign to close every long position at that level. 

In this case a sell at that price level would have been the right strategy. 

We never know when aggressors come in and drive the market in a certain direction.

After big selling hit the bid at 2751.75

Watching Volume is always a good idea to see what's actually happening and who is in control.