In this chart, you can see the chronology of trading in the gold futures market on the Moscow Exchange. Small gray strokes display the limit-orders from the DOM (Depth of Market or Level2). Gray strokes created on the chart by the DOM Levels indicator. The brighter the line, the more orders are in the DOM on this particular level.

With its help, you can judge how the activity in the DOM-book has been changing during the session. And this indication is very important. Look.

  1. During the uptrend, limit orders were below the price, supporting its growth. But then something changed.
  2. We see the appearance of black lines. This is a guaranteed sign of the emergence of big orders professionals. What are they up to?
  3. Bang! Godzilla Volume! After this special candle, the character of the strokes has changed.
  4. They have now moved higher and occupied space above the price. Thus, putting pressure on it from top to bottom and hindering its growth.
  5. And there are no dashes below – the support is gone. What happened to the price in this case?
  6. Right. The price quickly lost all progress from growth.

Want to try the DOM Levels indicator in action? Download ATAS, it’s free for crypto markets. The only drawback is that DOM-Level indicator needs time to start drawing strokes, since ATAS does not store DOM history on its servers.

 

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