TradeFlow Trading Action Ahead of the FOMC Meeting
TradeFlow is CQG’s innovative charting style that is color coded to track traded volume at the ask price versus bid price. The high and the low of the TradeFlow bar is the best bid and ask prices. The TradeFlow bar is colored green for the percentage of volume at the ask price (buying) and red for the percentage of volume of trades at the bid price (selling). For more information on TradeFlow, please see the article list.
The chart is using the 5-tick aggregation.
On Tuesday, the market traded sideways until heading into the close. The buying volume (green) and selling volume (red) lines for the TFCross kept crossing back and forth with each short-term trend. Then buyers stepped up and bid the market higher going into the close, and we see the buying line outpaced the selling line.
Today, the market headed higher, but notice that on the high for early trading the green line was not as high as the previous peak. In other words, there was less volume of offers being lifted on the second high.