Using TTM Squeeze Pro: Measure Explosive Moves

2021-09-02 | Taylor Horton

If you are a fan of the original TTM Squeeze Indicator, you might have seen the TTM Squeeze Pro and wondered if it was worth upgrading. To me, the decision to upgrade is a no-brainer. Reason being, to put it simply, is that the pro version of the squeeze will present you with far more actionable opportunities than the original indicator.

The TTM Squeeze Pro was tweaked in an effort to find more “moments in time”. Setups that may not register as a squeeze with the original indicator often will with the pro version. In addition to more opportunities, the TTM Squeeze Pro offers more edge in the form of different types of compression.

There are three types of squeezes that can develop with the TTM Squeeze Pro:
1. Low compression squeezes (black dots)
2. Mid compression squeezes (red dots)
3. High compression squeezes (orange dots)

Histogram of Low and Mid Compression Squeezes

The higher the compression, the more energy there is being built up inside the squeeze, and as a result, the higher the likelihood of an explosive move once the squeeze fires.

NOW Daily Chart with High and Mid Compression Squeezes

So, not only does the TTM Squeeze Pro bring more opportunities to the table (more squeezes), but it also helps traders determine the potential power of the move around the corner. This can help aid a trader when making decisions regarding position sizing, time until expiration, and choice of strategy.

FB Daily Chart with Low and Mid Compression Squeezes

Trading is a numbers game, and our job as traders is to “work the numbers” by swinging at nothing but setups over, and over, and over again. The squeeze, by design, is a setup and one that a trading career can be built around. The pro version of the indicator makes our job of “working the numbers” easier (and more efficient) by capturing far more squeezes than the original version, giving us more at-bats and more opportunities to turn our capital over.

If you’d like to learn more about how I use the TTM Squeeze Pro to trade for a living, check out the video linked below where I break down the power of this setup/indicator!

Stay Focused!