the 50% balance candle a handy tool to use to determine the correct supply & demand levels.
as we all know how to determine an imbalance / indecision candle, this tool can help you find the right candles. as the name suggests imbalance this indicator highlights all levels where the price imbalance is and was. by means of a different color all other candles such as engulfing etc are not included here. below I will give a number of examples of how and where you can recognize them. in this example you see all imbalance candles in the color orangje indicated.
as you can clearly see and with the highlighted color code, I have indicated the imbalance candles, it clearly indicates that the price finds an imbalance level here, and that there are still orders. at that specific level of the imbalance candles. a clear order block from the ” big boys ” the institutions & banks. this is often indicated that the price reacts strongly to such a level of imbalance, we usually dive deep into such a level as this to trigger all those orders and then fill the orders until the next order block reaches the level of supply & demand where the profit is taken and new or possible old orders are located. I will show this an example below.
again we see two imbalance / supply levels above each other after a break from a support. just after this the price withdraws to fill the last orders, just after that we see that the price push in the everywhere direction bearish there were more sellers than buyers too, the market is in an everywhere bearish trend. again in this example you can see how beautiful we can find the imbalance candles with the ” 50% body indicator ”
I will show it in more detail below how we should view the market from the point of view of a bank / instutions. the market is simply a device from supply & demand with billions of orders per day.
as you can see above an example of how I want you to see the market not in simple support & resistance but with more attention to details in terms of supply & demand (order blocks) everywhere!
see below for which indicator you need
send me 2 examples on 2 different pairs and indicate at least 2 good and clear levels of supply & demand with the 50% body imbalance indicator. you can only find this in tradingview. Goodluck!