02/17/2023

Resonance offers a range of tools for intraday, middle-term traders, and portfolio investors. In this article, we will examine the BAS tool, which is useful for any type of trader as it allows you to analyze both scalping and more long-term ideas without limitation.

BAS (an acronym for Bid Ask Summary) is a search algorithm that allows you to analyze the dynamics of order book data for any asset on the available exchanges.

The tool consists of:

- A table with filtering
- A line chart;
- Bar chart (delta).

You can add or hide columns in the Settings window. The following data is available for analysis:

- Sum of 100 Bids and 100 Asks for an asset
- Sum of 500 Bids and 500 Asks for an asset
- Difference between 100 Bids and 100 Asks
- Difference between 500 Bids and 500 Asks
- Bid-Ask average difference between 100 assets and 500 assets
- Delta difference (difference in differences) and Delta average difference for 100 assets and 500 assets

The table has a ticker filter by group and from and to filters for numerical values. You can also sort any column by simply clicking on the column name.

There is a Common Ticker Mode icon in the table header. This allows the selected pair in any instrument to be displayed in all other instruments.

The line chart display is required to estimate the sum of the volume on bids and the sum of the volume on asks. To open the line chart, click on the Unified Ticker button in the asset table.

In a line chart of sums:

- The green line is the sum of buyers’ limit order volumes.
- The red line is the sum of sellers’ limit order volumes.

These sum charts are also available as line charts:

- Bid Ask 100 – the sum of 100 buy and sell limit orders
- Bid Ask 500 – the sum of 500 buy and sell limit orders

To select the desired chart type, click on the Line button.

To change the chart to a bar chart, click on the Delta by volume button.

Meaning of the colors:

- Green – delta is positive. The volume of limit orders from buyers is greater than the volume of limit orders from sellers.
- Red – delta is negative. The volume of limit orders from buyers is smaller than the volume of limit orders from sellers.

General Scale Mode and Single Scale Mode are also available in the chart settings.

- General Scale Mode displays the Bid and Ask charts between the minimum and maximum values of both charts. If the difference in values is large, changes in the sum of limit orders may not be visible.
- Single Scale mode details changes in the values and overlays the Bid and Ask charts. This makes it easier to see changes in the sum of limit orders. The right coordinate scale is hidden for easier viewing.

Once you understand the tool’s settings, it’s time to find out how exactly BAS helps you trade and, more importantly, **gives you additional arguments for entering a trade**.

Below we look at real market situations for short and long trades. The cluster chart for MKR/USDT asset on the Binance exchange shows a decrease in buying during the rally. Have the buyers run out of steam and you need to look for a short entry? Nothing of the kind, let’s take a look at the dynamics of limit orders using BAS.

The dynamics show a sharp change in the buy limit orders (green line, which represents the sum of bids), which means that buyers are interested in this price. And we expect it continues to move in long.

What is the result of entering the trade?

Almost 10% of the entry point, and that’s intraday. Now let’s figure out whether this approach works for middle-term trading.

Below is a daily cluster chart of the LPT coin to USDT on the Binance exchange. It shows large Delta selling, so does this mean further declines? Possibly, but let’s take another look at the dynamics of limit orders in BAS.

There is a sharp increase in buy limit orders in the search engine. A buyer is interested in the price range – so, we open a long position.

And let’s take a look at the result: 150% growth.

Certainly, we cannot predict how much of a percentage increase % a particular asset will give, but we can see the imbalance of limit orders in time and make money from it.

If you just look at the cluster, you can see what is happening with the market orders, but if you look at the BAS, you can see the limit orders and their activity. This is why BAS is an essential part of the analysis.

You can find more information in the online university or you can use the mentorship and make out the material individually with our trusted author Resonance.

Topic:Tools

For the successful work of a trader, it is necessary to evaluate volumes. We have created a Market Stat tool that aggregates data from all exchanges and visualizes volumes, delta, and market balance to assess liquidity.

04/25/2023

How is it possible to find a larger-than-usual limit among hundreds or thousands of pairs? It is physically impossible for a human to do that. That is why we have created an algorithm that makes it possible since it has "all the moves written down".

03/09/2023

The task of the Speed Print tool is to track the increase in the speed of market orders across all tapes and report who is currently above average. It monitors all pairs and reports when the average value of the number of orders is exceeded.

03/07/2023