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Options flow and GEX: reading SPX context to trade ES and NQ

Module 08 · 8 · The daily workflow in confluenceLesson 28 of 3111 min🔒 Students only

During the session: GEX, heatmap and footprint in confluence

The reading stack

The Heatmap course gave you four reading layers, from context to trigger. This course adds one on top, not in place of them.

The confluence protocol, trade by trade

On every candidate:

  1. Regime. Am I on the right side of the flip for this type of setup? Mean reversion above, continuation below. Otherwise, no trade.
  2. Gamma level. Is price at or near a wall, an active 0DTE strike, a band edge? If yes, the hedging flow is concentrated here and the confluence is strong. If not, gamma is neutral: the setup lives on order flow alone, and deserves a smaller size.
  3. Liquidity. Does the heatmap show a dense, persistent band at the level, in the right direction? No liquidity, no limit to defend, no fade.
  4. Aggression. Do the footprint and the CVD show an aggression that is exhausting (fade) or accelerating (continuation)? The reload test lives here.
  5. Risk. Stop and target come from the regime's scale; size comes from the stop. Never the other way around.
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Also in this lesson
  • The two checks during the session

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→ Three cards: two setups and one no-trade