medium · Order Flow Analysis absorption-exhaustion-imbalance

A trader is monitoring a 15-minute CL bar. At the high of 74.50, the ask volume is 420 contracts. At 74.49, the ask volume is 135 contracts. The bar closes lower.

What is the R_top ratio and its signal?

  1. R ≈ 0.32, signifying a 'single-print' exhaustion high.
  2. R ≈ 1.0, signifying a standard balanced auction.
  3. R ≈ 0.32, signifying a 'top-heavy' bar where an institutional seller is capping the high.
  4. R ≈ 3.11, signifying an initiative buying breakout.

Sign up free to see the explanation and track your rank →

More Order Flow Analysis absorption-exhaustion-imbalance practice

KomFi Academy — Stop doomscrolling. Get KomFi.

Build your intelligence, anytime, anywhere.

KomFi Academy is a curated training platform with 46,000+ practice questions, 20,000+ flashcards, on-demand video lectures, podcasts, and 4K slide decks across the topics serious professionals study: GMAT, LSAT, MCAT, Investment Banking, Private Equity (LBOs & PE math), Private Credit, Quantitative Finance, Financial Accounting, Asset- Backed Securities, Volume Profile Analysis, Order Flow Trading, Market Microstructure, Volume Spread Analysis, Elliott Wave Theory, Volume-Price Analysis, and Public Offering Frameworks.

What's inside

Topics

View pricing · Read testimonials