This question is specifically for those of you who rely primarily or exclusively on the DOM (Price Ladder/Order Book) for your trading decisions, with minimal or no use of traditional charts.
I'm fascinated by the concept of reading "market rhythm" or the "flow" directly from the DOM. It seems like a distinct skill compared to chart-based analysis.
For those of you who trade this way:
How do you perceive or interpret "market rhythm" solely through the DOM interface? What are you watching? Is it the speed of the tape, the way liquidity is added or pulled, how price reacts aggressively or tentatively at certain levels, patterns in absorption vs. failure, or something else entirely?
What specific, observable signals or patterns on the DOM constitute your primary entry triggers? What makes you decide "NOW is the moment to enter"?
Similarly, what DOM-based signals tell you it's time to exit? This could be for taking profit (hitting a target based on flow?) or for cutting a loss/scratching the trade (what tells you the immediate idea is invalidated based only on the DOM action?).
I'm not looking for secret formulas, but rather trying to understand the general approach and the types of real-time DOM cues that are crucial for this style of trading. Any insights into how you translate the DOM's flow into actionable entry and exit decisions would be greatly appreciated.

I watch the rhithm of the market moving up and down and how fast its moving. I watch the prints of the market orders hitting the bids and offers to measure which is the dominant side. And also through the dom I watch if we are making new highs or new lows and if there is continuation. You want to prepare and enter before the breakout happens and not have your take profit to far off. Also as it runs out of steam in the highs or the lows you want to be prepared for the market to turn back inside. Also if you have a position and the market is moving with heat in your direction (moving fast) then you might want to adjust your take profit for a bigger gain. That's all. Simple, simple simple. Its going to take time but it will become second nature. Good luck.

onemorenik99 

This question is specifically for those of you who rely primarily or exclusively on the DOM (Price Ladder/Order Book) for your trading decisions, with minimal or no use of traditional charts. ...

Your curiosity about DOM (Depth of Market) trading and reading market rhythm is spot on—it's a totally different language compared to chart-based analysis, and traders who specialize in DOM often operate more like short-term price psychologists than technical analysts.

Here’s a breakdown of how experienced DOM traders generally interpret and act on what they see:

🔍 1. Perceiving Market Rhythm via DOM

A. Speed of the Tape (Time & Sales)

What it tells you: Acceleration often indicates strong interest, either buying or selling.

Example: If prints speed up and consistently hit the ask with size, it's a strong sign buyers are aggressive. This could indicate a potential breakout or continuation.

Market rhythm cue: You sense momentum not from a line on a chart but from the pace and direction of execution.

B. Liquidity Dynamics (Adding/Pulling)

Spoofing and real intent: Watching resting limit orders at key levels and how often they're added or pulled quickly gives insight into intent.

Passive vs aggressive liquidity: If offers are getting hit and not refreshing, sellers are drying up. If they keep refreshing, supply is strong.

Market rhythm cue: It “feels heavy” when buyers keep hitting but the ask doesn’t budge—classic absorption.

C. Reaction to Key Levels

Many DOM traders “anchor” to structural price levels (prior VWAP, opening range, large round numbers), then watch the reaction.

Market rhythm cue: If price hesitates and pulls back multiple times at a level and finally breaks it with speed, the rhythm flips.

🎯 2. Entry Triggers (DOM-Based)

A. Aggressive Lifting/Hitting with No Pushback

Rapid, repeated executions at one price level (e.g., 3895.00 gets hit 300 times in 2 seconds) without moving back down shows buyers dominating.

If there’s no absorption and the next price ticks up, that's often a green light.

B. Absorption + Break

Example: At 4375.00, buyers hit the ask repeatedly but can't break. Suddenly they do—often signals a breakout.

Clue: Watch for iceberg absorption followed by a shift in speed and size; that’s your edge.

C. Spoof-Pull Traps

If a large order appears to cap the market but disappears just as the price surges, it was likely a trap—a great momentum signal.

🚪 3. Exit Signals (Profit Taking or Scratches)

A. Stalling at Known Liquidity

You’re long, price pushes into 4420 where there’s visible size. It stalls. You see aggressive buys but no follow-through. That’s a take profit signal.

B. Reversal in Aggression

You’re long and suddenly sellers dominate, hitting bids and pushing price back into your entry range. If tape slows and reverses, scratch or exit.

C. Failed Follow-Through

Let’s say price broke out of consolidation at 4405, hit 4412, and now it’s back at 4405 being hit again—momentum failed. Exit.

🧠 Mental Framework

DOM trading is about feel and flow, but not in a mystical way—it's about observing micro-behaviors:

Who is in control (buyers/sellers)?

Are they pressing or probing?

Is the market absorbing, accepting, or rejecting price?

Think of it like being in a crowd: are people pushing forward (momentum)? Holding ground (absorption)? Backing off (pulling liquidity)?

Would you like an example screenshot of a DOM moment (like an absorption followed by breakout) annotated with entry/exit logic?

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Source: ChatGPT

@onemorenik99 Might look at Jigsaw example videos as well as PriceSquawk for an audible way of monitoring.