Fabervaale ENG — Order Flow Method

Auction Market
Execution Model

No indicators. No candlestick patterns. Just raw volume execution, institutional footprints, and the auction of price.

Chapter 01

Core Philosophy: Auction Market Theory

Price is not moved by indicators or patterns — it's moved by the execution of real volume. The goal is to locate high-probability reversal areas by visualizing exact moments when large aggressive orders enter the market.

What He Rejects

Traditional technical indicators, candlestick patterns, simple support/resistance logic, and "secret sauce" algorithms. These are lagging derivatives of price — not the cause of movement.

What He Uses

Raw order flow data and auction market theory. Real executed volume on the bid and ask, volume profiles, delta analysis, and the internal footprint of every candle — the actual mechanics of price discovery.

⎯⟶

The Edge: Locate where large aggressive orders were concentrated, then follow that institutional flow with the established trend. The data tells you what happened — the model tells you what to do next.

Chapter 02

Identifying Market Trend via Profile Shape

Before searching for an entry, establish a directional bias by reading the fixed volume profile. No bias = no trade.

PREVIOUS VALUE AREA VAH VAL POC BREAKOUT Below VAL NEW ACCEPTANCE ZONE Market seeks new balance — trade in this direction
1

Analyze Fixed Volume Profile

Read the distribution shape of the previous session(s). Identify the Value Area boundaries — where 68% of volume was transacted.

2

Confirm the Trend Scenario

Directional bias is confirmed when price breaks out of the previous zone and is accepted beyond the Value Area boundary. This signals the market is aggressively seeking new balance.

Chapter 03

Locating the "Best" Entry Zones

Instead of guessing where a pullback stops, use three structural data points to identify zones where institutional participants are concentrated. The magic is in their confluence.

Δ
Data Layer 01

Delta Profile

Measure the net buying or selling pressure from previous swing points. The Delta Profile reveals exactly where aggressive directional orders were concentrated — showing which price levels were driven by genuine conviction, not noise.

Data Layer 02

Big Trades

Map the exact price levels where volume was heavily supported by large block orders. These "big trades" represent institutional execution — when smart money commits capital at a specific level, that level gains structural significance.

Highest Probability Setup

Confluence Zone

The best setups occur when three layers align at a single area: the Value Area High, past Big Trades, and a highly concentrated Delta Level. When the market retraces to this confluent zone, expect aggressive participants to reload their positions.

Confluence Stack — Bearish Reload Zone
VAH BT BT BT BIG TRADES DELTA CONFLUENCE Sellers reload here on retrace
Chapter 04

Execution Trigger: Footprint Internals

Once price reaches the confluence zone, zoom into the internal footprint of the candles to time the precise entry. Three sequential signals confirm the trade.

Signal 01 — Structural

Volume Ledges

Inside the footprint, scan for areas where volume drops off sharply — a transition from a high volume node to a low volume node. This "ledge" reveals where institutional activity suddenly stops, creating a structural edge in the order flow.

High Volume Node → sudden drop → Low Volume Node = Volume Ledge
Signal 02 — Confirmation

Order Absorption

Inside the volume ledge zone, watch for a real-time battle between buyers and sellers. The critical pattern: aggressive buyers attempt to seize control but fail — their volume is completely absorbed by aggressive sellers defending the level.

AGGRESSIVE BUYERS 2,847 lots 1,923 lots 1,104 lots WALL AGGRESSIVE SELLERS 3,410 lots ✓ 2,680 lots ✓ 1,540 lots ✓ BUYERS TRAPPED Sellers absorb every attempt
🛡 Trapped buyers + aggressive selling = absorption confirmed
Signal 03 — Execution

Limit Order Entry

Once absorption is confirmed — trapped buyers completely overwhelmed by aggressive selling — the situation becomes "incredibly clear." Place a limit order to follow the trend direction. No market order chasing. No hesitation. The data has spoken.

Absorption at confluence zone → Limit sell order → Follow the established trend