Definition. A level in the footprint where one side's aggressive volume clearly exceeds the other side's.
How it works
Usually the ask volume at a level is compared with the bid volume one level lower (diagonally). When the difference exceeds a set threshold, the level is marked as an imbalance.
Example
Several buy imbalances stacked on top of one another during a move up show strong buyer initiative.
What to watch out for
The number and significance of imbalances depend on the threshold and settings. They're part of the picture, not a signal.
You'll find the full explanation with graphics, examples and exercises in the 🖥️ Order flow atlas space, and its use in the live market in the 🔴 Live Room. Both are available to Club members (in Polish).
