Seeing Inventory Across a Range
A practical way to identify inventory transfer.
This post is part of our Market Depth & Liquidity series:
Seeing Inventory Across a Range.
Throughout this series, most of the discussion around liquidity has focused on participation, positioning, and inventory transfer.
The challenge is that many of these interactions do not occur within a single candle.
Large participants rarely build meaningful positions in one bar.
Absorption may occur over several minutes. An iceberg may continue filling across multiple rotations. A participant may quietly accumulate inventory throughout an entire balance area before the market finally moves away.
When viewed one footprint bar at a time, it can sometimes be difficult to appreciate the full scale of what occurred.
This is where one of my favorite tools becomes useful.

