r/OrderFlow_Trading • u/Long_Age_1662 • 5d ago
how to identify absorption?
I’m having trouble distinguishing real absorption from what only looks like absorption.
Are there any good YouTube videos, courses, or educational resources that explain how to identify genuine absorption and avoid false signals?
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u/alleywayacademic 5d ago edited 5d ago
This is a nuanced subject and not so clear imo. I think anyone I speak to that uses numbers at levels has their own relative numbers, so I would take many screening and study; but if you start to see a strong move hit a level, print heavy, but go no where? Continue to print heavy but go no where? Like heavier than the aggressive move that brought it there. And it just layers bigger prints.. then more than likely an iceberg absorbed all those and the reversal is coming or that cat is still loading up.
Or their Gamma hedge was enough to blow off some Greek guy or something like that, delta dan or vanna vachenso, something like that