Order Flow Value Area Strategy Trading Volatile Markets Breaking Out Of Balance

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Order Flow Value Area Strategy Trading Volatile Markets Breaking Out Of Balance.

Today was CPI day and as expected there was some great order flow.
A one-month, .1% dip in CPI doesn't mean inflation is cooling off. The core was up .3%, which annualizes to 4%, double the Fed's 2% target. YoY CPI still rose 6.5% and with the dollar weakening, federal budget deficits & consumer credit soaring, inflation is poised to heat up.


One of the aspects of order flow that I love to watch is bar value areas because it helps to determine if a market is balancing, when it breaks out of balance and how strong the move out of balance is.

Here is one of my favorite strategies involving balance, value areas and gaps.