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Lesson 32

  13. 50 percent {(50%) (The 50 percent Body/imbalance candle/indicator)}

The 50 percent balance candle is a valuable tool for determining proper supply and demand levels. This tool can help you find the right candles because we all know how to determine an imbalance/indecision candle. As the name implies, this indicator highlights all levels where there is or was a price imbalance. All other candles, such as engulfing and so on, are excluded by using a different color. I will show you how and where you can spot them in the examples below.

The color white is used to indicate all imbalance candles in this example.

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As you can see from the highlighted color code, I have highlighted the imbalance candles, which indicate that the price has reached an imbalance level and that there are still orders. At that specific level of the candle imbalance, a clear order block from the institutions and banks, the “big boys” We usually dive deep into such a level to trigger all those orders and then fill the orders until the next order block reaches the supply & demand level where the profit is taken.

The location of new or possibly old orders is then determined.

After a break from a support, we see two imbalance/supply levels above each other. Following that, the price pulls back to fill the last orders, and we see the price push in a bearish direction everywhere. There were also more sellers than buyers, indicating that the market is in a bearish trend. Again, in this example, you can see how beautiful the imbalance candles can be when using the “50 percent body indicator.”

I will go over how we should view the market from the perspective of a bank/institution in more detail below.

With billions of orders per day, the market is nothing more than a supply and demand device.

As you can see above, I want you to look at the market not just in terms of support and resistance but also in terms of supply and demand (order blocks) everywhere!