The MarketDelta Blog

It just had to be crude oil. With so much news and geopolitical maneuvering we felt it only appropriate to give crude oil some more attention. There where numerable possible trades we could of focused in on, but this one really jumped out since it highlights a couple key points.

- Potential highly rewarding trade location.
- Potential for a momentum reversal in a very momentum driven market.
- Showcases information only the Footprint chart can provide.

The bottom screenshot shows the Bid Ask Footprint chart. The beauty of this view is that it shows how bad the trapped buyers are stuck at the high. Yeah, of course price could have popped and taken out the high on the retest, but the fact it is didn’t. Armed with this information you have the transparency that very few people do and transparency provides confidence to do the right thing.

It is this type of buying on the highs or selling on the lows that can produce a very nice pullback from that level, which aggressive scalpers can take advantage of. These two trades both had at least $0.50 ($500) pullbacks on 1 contract!

Have you ever wondered when you go for the breakout trade and the market sometimes moves quickly against your position why this happens? This shows why…and traders using the Footprint know what to do.