Trading Order Flow: Understanding & Profiting From Market Generated Information As It Occurs

My name is Michael Valtos and since 1994 I have been trading for banks(JP Morgan and Commerzbank) as well commodity trading houses(Cargill and EDF Man) and for myself. While trading for the investmentbanks I learned how to get information out of the market and how totrade off that information into a profitable position; when there is anopportunity to earn a significant return relative to risk you get into aposition. While trading at commodity trading houses I learned to thinkhow commercial end-users think; you are always in a position just bybeing in that business whether or not you chose to hedge a position inthe futures market. While trading for myself I learned to take low riskhigh return trades; I do not try and capture every random move in themarket. What I look for is what I like to call “Stress Free Trades” which tome are low risk entries that have high profit potential. I have enoughstress in my life I don’t want trading to add to it.Order flow analysis is a visual representation of market price movementsconstructed by recording the volume traded on the bid and the offer asopposed to just looking solely at price. The value in order flow analysis isin instantly confirming market tops and bottoms when they form,determining where changes in supply and demand have occurred andproviding insight into market psychology and market conditions. Read more