Introduction to cTrader Price DoM
DoM stands for Depth of Market. We already covered what DoM is in a previous post and how it can be a helpful indicator when trading. In this guide, we look specifically at the cTrader Price DoM. This feature is a tradable ladder. It not only shows the prices and volumes available but also shows your positions and orders too. The ladder also allows you to place stop orders and limit orders on the interface. It’s an ideal tool for scalping since you focus on small price increments. For this feature to make sense you will need to have a grasp on some basic trading concepts and jargon, if you don’t, check out our glossary and head back to this article.
In the Price DoM Ladder, you can see the prices in the centre. You will see that there are only three digits shown, this is not to bombard traders with more numbers than is necessary. The full price is shown only for the spot (top of the book) prices. For example, the price for EUR/USD would be abbreviated to 567 instead of 1.12567. Since this is primarily a scalping tool it’s not necessary to show more details than this.
The column on the left shows the volume behind the Bid prices. The column on the right shows the volume behind the Ask prices. Any positions that you have open will be shown as an indent into the centre column that shows the price. If it’s a Buy position it will be coloured green and indented from the right. If it’s a Sell position it will be coloured Orange and indented from the left. The indent will show the size of the position.
Trading on cTrader Price DoM
Trading on the Price DoM in cTrader can be quite fun. It allows you to react quickly to a fast-moving market. Order placed using this feature will inherit the quick trade settings you have set up already. If they are disabled, you should turn them on first.
To trade with this feature you first need to select the size you want your orders to be. Then you quite simply click inside either the left or right column. In the left column, you will place Sell orders. If you click above the bid price you will create a limit order. If you click below the bid price you will create a stop order. Similarly, if you create buy orders by clicking above the ask price for a stop order and below the ask price for a limit order.
To modify your orders you can drag them up and down the ladder. Except you can’t turn a stop order into a limit order by dragging. I.e. you will not be able to drag a buy limit order past the ask price. You can close any order by clicking on the cross. And you can close any position by hovering over it on the ladder to display the cross and then clicking it.