Setup 10 · Speed of Tape Breakout

Level: expert · Target R:R: 1:2 to 1:5 · Window: New York open, breaks of major levels

When an institution takes a position aggressively, it generates a brutal acceleration in the flow of executions. That acceleration, combined with a price move and an order book that empties on one side, announces a powerful directional move. It is the fastest entry in the course, and the riskiest: it is taken at market, without waiting, and managed tick by tick.

The signal, long case

• The Speed of Tape rises to two and a half to three times its moving average. The absolute number does not matter, the multiple does.
• Deep Trades marks a cluster of large buys in the direction of the move.
• The heatmap on the ask side empties: the walls above thin out or disappear, price has nothing left to consume.
• A break of a structural level (previous day's high, VAH, overnight range) accompanies it all.