Firstly the term delta was introduced in trading in the year 2002 together with the footprint charts. But especially at that time it was still very difficult as a trader to get the real time data, which was mainly devoted to a small selective group on the market. But fortunately, today it is a lot easier to use the real-time data that we mainly need to trade with Order Flow. And this information can help us as retail traders get a lot closer to the professional level.
Delta order flow is the difference between the market buys and market sells at each price (Footprint Delta) in each candle/bar (Bar Delta) or for a period of time (Cumulative Delta). So if delta is greater than 0 you have more buying than selling pressure. If delta is less than 0, you have more selling than buying pressure. So Delta is calculated through subtraction of the volume of contracts traded at the Bid price from the volume of contracts traded at the Ask price.
To calculate the delta we need the following variables:
The bid price
The ask prive
The most recent price at which the instrument was traded.
The volume of the most recent trade.
The time of its execution.
But remember that the delta is calculated by the difference of the volume of the market buys and the market sells. So the Delta calculation by market, or as they say aggressive, orders is explained by the fact that namely market orders move the price in the market.
As most of you already know, there are different types of Delta that you can use, although they all come down to the same thing. We can also use the Delta in various ways in our trading as extra confirmation.
But the true power delta is revealed when we use it to determine the market’s reaction to powerful buying or selling. So we want to see if the market has reacted as we would expect or not. I also explain all this in my Order Flow course.
Where can I find the Delta?
You can find Delta order flow on different platforms. So I’ll list a few for you here.
–Sierra Charts. Lightweight platform you can go in many directions with it and it is one of the cheaper platforms.
–Ninja Trader. Lots of free choice but even more choice under their paid platform.
–MT4/MT5 And for MT4/MT5 there are also several indicators, sometimes by external parties.
These are a few examples. And there are probably many more to be found.
Conclusion Delta order flow.
If I give my personal opinion about the Delta order flow, the Delta is perhaps one of the best indicators that you can use in Order flow trading. It can give you a good indication of where you are in the market and who is in control at the moment. The buyers or the sellers. It gives you a good insight into the buying and selling pressure and how the market reacts to it. So my advice is therefore to definitely use delta when trading with the footprint charts or trading with supply and demand just before the extra confirmation.
So if you are a beginner trader and to become a good professional forex trader. Want to know more about Delta order flow? The Forex Scalper teaches you the best scalping trading strategy using supply and demand zones. Which are already traded and tested by thousands of TFS members and performs daily trades.
To become profitable from Beginner Trader and most successful Scalping trader in Supply and Demand. So join THEFOREXSCALPERS and trade with 3500+ community traders with daily analysis and educations. Which boosts your trading skills make you ProfessionalForex Market Trader.
TheForexScalper recommends you join ICMARKET which is regulated and the most trusted broker. They provide very tight raw spread account with fast execution and having multiples deposit and withdrawal options.
Order flow represents the amount of orders waiting to be executed at a given level.
Suppose that the price is going up very fast, the price is really in a rally, then we also know that at some point this will stop again.
The rally is there because at that point there are simply more people willing to buy than people willing to sell.
This causes an imbalance between the buyers and sellers.
And because there are more buyers at that time, the price shoots up.
But eventually the price will be driven to a place where at that moment there are more sellers than buyers and the price will be dropping again.
This simple scenario is what happens in the markets on the macro and micro levels.
This is the essence of what makes price move range or reverse.
That is in short what order flow is.
With order flow analysis it can help us predict with a good amount of certainty where orders imbalance awaits at a future price level.
This can ensure that we can take a trade with more precision and certainty.
Volume Data Forex.
Forex brokers offer an indicator known as volume.
In forex trading, volume is unable to deliver real order quantities.
Often we are dealing with tick volume and not the actual volume.
It can only display the number of taps, the number of trades broadcast at a specific broker.
So to see the real volume, we need the real data.
And we can see that on the futures.
For example, the 6E which stands for EUR/USD, take a look at the chart below.
On the chart we see the real real-time data.
Order flow forex
So we see the EUR/USD future chart above the 6E.
What can we do with order flow? / Order flow forex
Order Flow helps us to remove random trade decisions.
Traders who use technical indicators often base their trading decisions on these indicators.
For example the Moving average.
But honestly?
There’s no logic behind that.
Technical indicators simply fit past results to make the results look nice.
But Order flow will help to keep you out of the choppy markets.
Order flow helps us in our trading to make more accurate decisions.
It is a lot easier to make a profit if the market is trending very nicely in 1 direction.
But of course the market doesn’t always do that.
The market trends, stops, turns, continuous.
And most technical indicators go wrong there, especially with the current price.
When the behavior or direction of the market changes, you should be able to anticipate it as quickly as possible.
So that you can capitalize on the opportunities as they happen.
Order Flow can also show you how aggressive the other traders are.
Order flow shows you exactly where to get out of a trade when it is not going as planned.
You are not left to guess if a trade is working out or not.
You will know before you get in.
So if you are a beginner trader and to become a good professional forex trader.
Want to know more about Order flow forex?
The Forex Scalper teaches you the best scalping trading strategy using supply and demand zones. Which are already traded and tested by thousands of TFS members and performs daily trades.
To become profitable from Beginner Trader and most successful Scalping trader in Supply and Demand.
So join THEFOREXSCALPERS and trade with 3500+ community traders with daily analysis and educations.
Which boosts your trading skills make you ProfessionalForex Market Trader.
TheForexScalper recommends you join ICMARKET which is regulated and the most trusted broker.
They provide very tight raw spread account with fast execution and having multiples deposit and withdrawal options.
An order block is the accumulation of orders from financial institutions and central banks. Order blocks are actually special Supply and Demand zones that are formed when there is a block order. That is where the name order blocks comes from. It is formed by buying and selling of the banks and institutions. And it may be that you are already familiar with order flow trading and then you will certainly know the name order blocks. We know that banks use special orders to buy, sell and close their orders. When banks want to open a position with volume, they don’t just randomly open a position to upset the price and trigger their order at a worse price that may result in lowering their profit.
No what their doing is they try to split their positions into small and manageable blocks using order blocks.
How it works?
I see trading from an order block as a high probability trading setup. So if you use order blocks in your trading setup you can find really high-probability trade entries, and you can use them to reap additional profits alongside your core trading strategy. You can use the order blocks in different trading strategies. That is why it is very important to learn to recognize them.
Below I will share with you some images of the charts where we can find the order blocks. And I will also give a short explanation on how you can find the order blocks on the charts yourself.
Order blocks forex
Bearish Order Blocks.
In the image above we see 2 times a bearish order block. Here we are looking at the GBP/JPY chart at the 1h. You can clearly see here that the price has formed an order block. The price breaks out of the order block after coming back down and then breaking back down again. We can also see very well here that the price is making a new low or lower low. Such a structure is anticipated to render resistance to the price. Then we see that a new order block has been created that we can use again if the price possibly comes back in this block. Of course we also take all other rules into account before we can only take a trade from this block.
Order blocks forex
Above is the chart of US30 at the 1H. Here too we see a nice Bearish order block. If you look closely at the image you will understand exactly what I mean.
Order blocks forex
XAUUSD on the 1H chart. Here we actually see the exact same thing happening again.
Bullish Order Blocks.
We also have the Bullish Order Blocks, of course. These are, the exact opposite of the Bearish Order Blocks. The price breaks out of the order block after coming back up and then breaking back up again. We can also see very well here that the price is making a new high or higher high. Below we also see an example of it on EUR/USD on the 4H timeframe.
Order blocks forex
Are Order Blocks and Supply and Demand Zones the Same?
Opinions are divided on this. Because when I say that all Supply and Demand Zones are Order Blocks. But not every Order Block is a Supply and Demand zone? That is why we cannot use all order blocks when trading Supply and Demand. In the course you will also learn exactly what to look for in order to find the right blocks. I mean when we look for nice Supply and Demand Zones we look for good Order Blocks to create a zone.
So if you are a beginner trader and to become a good professional forex trader. Want to know more about Order blocks forex? The Forex Scalper teaches you the best scalping trading strategy using supply and demand zones. Which are already traded and tested by thousands of TFS members and performs daily trades.
To become profitable from Beginner Trader and most successful Scalping trader in Supply and Demand. So join THEFOREXSCALPERS and trade with 3500+ community traders with daily analysis and educations. Which boosts your trading skills make you ProfessionalForex Market Trader.
TheForexScalper recommends you join ICMARKET which is regulated and the most trusted broker. They provide very tight raw spread account with fast execution and having multiples deposit and withdrawal options.
This is a question I hear a lot around me.
And the answer to it is yes!
But let me be very clear that this is not easy.
It’s not as easy as some ads show you sometimes.
We all see those ads every day that promise you all kinds of things “Become a millionaire in a few months.” “Get Rich Quick!” “Anyone can now become a millionaire with my system!” Except that this does not apply to trading at all and I even find it misleading and fake.
Of course, this also applies to many other things.
So don’t fall for this!
Because of everything we see around us, the big beautiful houses the super cars the most expensive jewelry, many people also want to achieve this and are therefore more likely to fall for certain false ads.
I just told you that you can definitely become a millionaire by trading forex.
But then you ask yourself how?
Let me explain that in a really honest way.
Learning to trade forex correctly just takes time.
For some it takes a year and for others sometimes 5 years before you are really successful.
It also takes a lot of effort and hours behind the charts.
And what about a good risk management?
Because if you master the technique well, but not the rest, you will never become a millionaire trading forex.
Funds
And now we come to the next point. Funds!
Also how many funds you have to trade with will ultimately determine within what time you can become a millionaire by trading forex.
Because someone with an account of 100,000 will of course achieve this sooner than someone with an account of 5000.
Provided of course that the person of 100,000 masters good risk management.
But if you do not have a large piggy bank and do not immediately have that much money at your disposal, are there still options?
There are also possibilities for that.
Nowadays there are many companies that want to offer you a larger trading account if you can show that you can do it.
From the profits you make, you and the company share the profit.
With many companies you only have to pay an entry fee to get into the test phase.
The level of the entry fee is often determined on the basis of the amount linked to the account.
But beware, if you do not get through the test phase or if you have not adhered to the rules, you will in most cases lose your money.
But if it goes well and if you achieve the goals of the first test phases, you will be rewarded with a large trading account.
And you can certainly earn a lot of money with a minimal investment!
Conclusion / Can you be a millionaire trading forex?
Arriving now at my conclusion, my answer to this question is definitely yes!
Of course I also speak from my own experience, but I have to be honest to tell you that the road to it has not been easy.
I too lost a lot of money in the beginning and was often on the verge of giving up.
In the end I did not do this and I can now proudly say that trading has provided me with a very good income.
So I think it’s possible for you too?
Sure!
If you are willing to work hard, spend many hours behind the charts and do a lot of backtesting, you will definitely succeed!
Have a very good plan and very good risk management so that you don’t have to hurt yourself unnecessarily with blowing up your account.
I think this is step 1 on the road to becoming a Forex millionaire!
Or want to know more about Can you be a millionaire trading forex?
So if you are a beginner trader and to become a good professional forex trader.
Want to know more about when to enter a trade forex?
The Forex Scalper teaches you the best scalping trading strategy using supply and demand zones. Which are already traded and tested by thousands of TFS members and performs daily trades.
To become profitable from Beginner Trader and most successful Scalping trader in Supply and Demand.
So join THEFOREXSCALPERS and trade with 3500+ community traders with daily analysis and educations.
Which boosts your trading skills make you ProfessionalForex Market Trader.
TheForexScalper recommends you join ICMARKET which is regulated and the most trusted broker.
They provide very tight raw spread account with fast execution and having multiples deposit and withdrawal options.
Very often I get the question which brokers are actually good and reliable.
Or the question with which broker I trade myself.
When you enter the world of trading, there are many brokers to choose from.
And that often makes it so difficult to find the right broker for yourself.
Of course I can’t talk about all brokers in this blog or about which of the many brokers can be trusted.
But in this blog I will give you a good insight into what you should pay attention to with a broker before you put your capital in the broker.
In this blog I will also tell you exactly which brokers I use and why.
What should you pay attention to?
Maybe you are currently looking for a good broker or do you want to switch to another broker?
I will tell you what you should definitely pay attention to when looking for a good broker.
-ECN Broker.
I advise you to pay close attention to whether the broker is an ECN Broker.
The abbreviation ECN in ECN broker stands for Electronic Communication Network.
ECN brokers enable parties to trade directly with each other.
Because the trader and liquidity provider are in direct contact with each other, orders can be executed very quickly, regardless of the geographical location of the parties.
It also means that trading through an ECN broker enjoys a certain degree of anonymity and protection.
ECN Brokers make their money by charging fees on every transaction performed.
There are ECN brokers that focus specifically on the retail market, while other ECN brokers only serve institutional investors.
Many traders choose ECN brokers because they usually have lower spreads and overall transaction costs and commissions are generally lower.
What is the best forex broker?
-Regulated broker.
Find out if the broker is a regulated broker.
I’ll tell you why this is very important.
Why is it very important for a broker to be regulated?
Because we are talking about the safety of your money here.
The money you invest and the broker’s promise to only use that money for the right purpose.
In short, if a broker is not regulated, this means that there is no supervision over it.
So there is no regulated organization or group that monitors whether the broker adheres to the rules.
In the worst case, this can mean that the unregulated broker can just run away with your capital.
So the first thing you should do is check if it is a regulated broker before putting your capital into it.
-A Book / B Book Brokers.
What exactly is the difference between A booked brokers and B booked brokers and which one is the best?
I will first give you an explanation of what an A Book broker is and entails.
A Book
ECN/STP brokers all use an A Book, they are intermediaries that send their clients’ trading orders directly to liquidity providers or multilateral trading facilities (MTFs).
These forex brokers make money by increasing the spread or by charging commissions on the volume of orders.
Therefore, there are no conflicts of interest, these brokers earn the same amount of money with both winning and losing traders.
B Book
Forex brokers that use a B Book keep their clients’ orders internally.
They take the other side of their clients’ trades, which means that the brokers’ profits are often equal to their clients’ losses.
Brokerage firms are able to manage the risks associated with the holding of a B Book by using certain risk management strategies: internal hedging through the matching of opposite orders submitted by other clients, spread variations, etc.
As the majority of retail traders lose money, the use of a B Book is very profitable for brokers.
I would therefore also recommend that you always go for an A Booked ECN Broker.
What is the best forex broker?
-And finally.
Although everything I have described above is crucial to choose the right broker, there is still one point that is very important.
Because the environment of the broker is of course also an important aspect.
Therefore, also check whether the broker has a good environment, instruments and help.
Look if they have a trading platform which is easy to navigate and has all the required tools, advanced charts and optimal speed.
Also look at the different account types and of course the minimum deposit, spread and leverage.
Which broker do I use myself?
Well with all the tips above I am sure that you can make a good choice for the right broker.
And what you should especially pay attention to when choosing the right broker.
Because I often get the question which broker I use, I’ll tell you now.
I have actually been using IC Markets for a number of years now.
IC Markets is an ECN Broker which I really like.
They pay your winnings quickly and they have friendly and good customer service.
Which I personally find very important.
IC Markets also has a relatively low spread, which is of course very attractive for us as traders!
Would you like to know more about IC Markets or perhaps create a (demo) account so you can experience it for yourself? Then click on this link!
If you are a beginner trader and to become a good professional forex trader. Want to know more about What is the best forex broker? The Forex Scalper teaches you the best scalping trading strategy using supply and demand zones which are already traded and tested by thousands of TFS members and performs daily trades.
To become profitable from Beginner Trader and most successful Scalping trader in Supply and Demand.
Join THEFOREXSCALPERS and trade with 3500+ community traders with daily analysis and educations which boosts your trading skills make you ProfessionalForex Market Trader.
TheForexScalper recommends you join ICMARKET which is regulated and the most trusted broker. They provide very tight raw spread account with fast execution and having multiples deposit and withdrawal options.
This blog is about forex trading vs real estate.
However, these two investments can actually be combined very well.
This way you could very well invest the money you earn by trading forex in real estate.
This way you ensure a passive income which is returned to your bank account every month.
I also invest a lot of my forex profits in real estate this gives me some form of security.
So that I earn a fixed amount every month by renting out houses and apartments.
In this way you build up good security for your future.
Most people who want to establish a financially secure future choose to invest or trade in real estate.
And if we take a look at the list of the richest people in the world in any category they all have large investments in real estate.
Let’s look at Donald Trump, for example. Who made a fortune in real estate.
And Books like Rich Dad, Poor Dad , by Robert Kiyosaki and other property investing books written in the last fifteen years, introduced the average person to real estate investing.
Thanks to these books, many people have opened their minds to new possibilities which they can now envision for themselves.
Capital Gains Versus Cashflow / Forex vs real estate
When talking about capital gains, most people refer to the value you gained after a winning position.
On the other hand, cashflow generally means an investment vehicle that will produce money for you on a periodic basis.
That’s why I also think this is an ideal combination.
Personally, I find the best way to buy a property and rent it out for a monthly rent.
You could of course also buy a property and sell it later for a higher amount, but renting out a property naturally gives you a monthly cash flow.
The profit you eventually earn from renting out a property is of course much slower than making a big move on the forex market where you can ultimately earn a lot in 1 trade.
But it’s safer because of the low volatility.
With Forex trading, it’s faster to gain value, but you can also blow your bankroll faster.
That means to me that I have security with my real estate and a stable income every month.
And with trading I can earn a lot of money but in a lesser week or month I still have my certainty in the monthly cash flow from the real estate.
Do you understand what I mean?
Forex vs real estate
But how do you actually start buying your first property?
Well, for example, you can already buy a house in the Netherlands with 20% to 30% equity and you can get an investment mortgage for the remaining amount.
This will of course be different in every country, but you can easily find out for yourself how it is for your situation.
But actually it comes down to the fact that it is possible for anyone with a little savings to buy a property for rent.
For this, of course, you have to look for a property in a good place in the right location.
If you don’t have enough savings, don’t be disappointed, there are still options for you.
There are also funds in which you can invest. In this case, you bet a certain amount with several people to buy an object together.
Sometimes this is possible from as little as 200 euros.
You can also get a monthly cash flow here. This will of course not be a lot in the beginning, but you can always expand this.
Always do good research into these funds so that you are sure that you are investing with the right fund.
Forex vs real estate
Oh and a small addition, you can of course invest in many objects.
For example, you can also buy a garage and rent it out.
Or a retail building, an office building or even a holiday home.
Let’s just say plenty of choice.
Are you interested?
If yes, you can start by checking investing books in the market, such as The Essays of Warren Buffet or Robert Kiyosaki’s Rich Dad, Poor Dad.
You can learn the basics, plus some tips and tricks to help you get started with investing.
These books helped many average individuals to professionals open their minds to new ideas with a brighter future.
If you are a beginner trader and to become a good professional forex trader. Want to know more about How to trade GBPUSD? ? The Forex Scalper teaches you the best scalping trading strategy using supply and demand zones which are already traded and tested by thousands of TFS members and performs daily trades.
To become profitable from Beginner Trader and most successful Scalping trader in Supply and Demand.
Join THEFOREXSCALPERS and trade with 3500+ community traders with daily analysis and educations which boosts your trading skills make you ProfessionalForex Market Trader.
TheForexScalper recommends you join ICMARKET which is regulated and the most trusted broker. They provide very tight raw spread account with fast execution and having multiples deposit and withdrawal options.
