medium · Order Flow Analysis footprint-delta
When reading a footprint bar diagonally, a trader compares the bid volume at 1.1245 (53 contracts) to the ask volume at 1.1246 (13 contracts).
What does this ratio (4.1:1) suggest about that specific market state?
- The market is essentially in equilibrium because the total volume traded at both adjacent price levels is fairly low.
- A buying imbalance is forming because price is actively attempting to move higher and trade through the 1.1246 level.
- Aggressive buyers are in full control of this auction because more total contract volume traded at the higher offer price of 1.1246.
- Aggressive sellers are dominant, as the volume hit into the bid significantly outweighs the volume lifted from the offer.
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