Cannuran Capital

Academy

THE
ALGORITHM
Introduction
 Cannuan Capital Academy

What is
the
Algorithm?
 Cannuan Capital Academy

What is 1 IPDA - Interbank Price Delivery Algorithm

the
Algorithm?
 Cannuan Capital Academy

What is 1 IPDA - Interbank Price Delivery Algorithm

the 2
Its job is to engineer Liquidity in the markets by
moving Price

Algorithm?
 Cannuan Capital Academy

What is 1 IPDA - Interbank Price Delivery Algorithm

the 2
Its job is to engineer Liquidity in the markets by
moving Price

Algorithm?
3 Its not buying and Selling Pressure
 Cannuan Capital Academy

What is 1 IPDA - Interbank Price Delivery Algorithm

the 2
Its job is to engineer Liquidity in the markets by
moving Price

Algorithm?
3 Its not buying and Selling Pressure

4 Old highs and Lows

 Cannuan Capital Academy

What is 1 IPDA - Interbank Price Delivery Algorithm

the 2
Its job is to engineer Liquidity in the markets by
moving Price

Algorithm?
3 Its not buying and Selling Pressure

4 Old highs and Lows

Its Programming Logic is based on human

5 emotion( Manipulation)
 Cannuan Capital Academy

How dose
IPDA work?
 Cannuan Capital Academy

How does
The central banks created IPDA - They own
1
the money

IPDA work?
 Cannuan Capital Academy

How does
The central banks created IPDA - They own
1
the money

IPDA work? 2 Retail money is the Luquidity

 Cannuan Capital Academy

How does
The central banks created IPDA - They own
1
the money

IPDA work? 2 Retail money is the Luquidity

Deliver price Efficiently to buyers and sellers

3
in the marketplace
 Cannuan Capital Academy

How does
The central banks created IPDA - They own
1
the money

IPDA work? 2 Retail money is the Luquidity

Deliver price Efficiently to buyers and sellers

3
in the marketplace

4 There are TWO main ways IPDA dose this:

 Cannuan Capital Academy

OBJECTIVES 1.Rebalancing Inefficient Price Action

OF IPDA
 Cannuan Capital Academy

OBJECTIVES 1.Rebalancing Inefficient Price Action

OF IPDA

2.Seek Liquidity (Offset distribution/

accumulation - paring of orders
1. Rebalancing inefficient
price action
1. Rebalancing inefficient
price action
Price moved too quickly to offer any buy side
delivery
1. Rebalancing inefficient
price action
Price moved too quickly to offer any buy side
delivery (Sellside price displacement)
1. Rebalancing inefficient
price action
Price moved too quickly to offer any buy side
delivery (Sellside price displacement)

IPDA will seek to re-offer buyside delivery to this

buyside inefficient price delivery
1. Offset distribution/accumilation-
pairing of orders
 Cannuran Capital
Academy

THE FAIR VALUE

GAP
Introduction
 Cannuan Capital Academy

What is the
Fair Value
Gap?
 Cannuan Capital Academy

What is 1 The inefficient delivery of price.

the Fair
Value
Gap?
 Cannuan Capital Academy

What is 1 The inefficient delivery of price.

the Fair 2
When we see price move quickly in 1 direction
only

Value
Gap?
 Cannuan Capital Academy

What is 1 IPDA - Interbank Price Delivery Algorithm

the Fair 2
When we see price move quickly in 1 direction
only

Value
Gap?
3 Buyside/Sellside delivery
 Cannuan Capital Academy

What is 1 IPDA - Interbank Price Delivery Algorithm

the Fair 2
When we see price move quickly in 1 direction
only

Value
Gap?
3 Buyside/Sellside delivery

Leaves behind porous price action that the

4
algorithm will seek to rebalace
 Cannuan Capital Academy

Why do we
see FVGs in
Price action?
 Cannuan Capital Academy

Why do we
When the algorithm is in a hurry to reach a
1
price point

see FVGs in
Price
action?
 Cannuan Capital Academy

Why do we
When the algorithm is in a hurry to reach a
1
price point

see FVGs in 2
Price displacement when Smart Money enters
the markets

Price
action?
 Cannuan Capital Academy

Why do we
When the algorithm is in a hurry to reach a
1
price point

see FVGs in 2
Price displacement when Smart Money enters
the markets

Price
action?
3 Too large to hide their footprints
 Cannuan Capital Academy

Why do we
When the algorithm is in a hurry to reach a
1
price point

see FVGs in 2
Price displacement when Smart Money enters
the markets

Price
action?
3 Too large to hide their footprints

* Categorized in 2 different ways

Cannuan Capital Academy

BISI
Buyside imbalance,Sellside

Inefficiency
Cannuan Capital Academy

BISI
Buyside imbalance,Sellside

Inefficiency

Price offers ONLY buyside delivery

The algorithm moves price too quickly

to offer any sellside delivery.

Cannuan Capital Academy

BISI
Buyside imbalance,Sellside

Inefficiency

Price offers ONLY buyside delivery

The algorithm moves price too quickly

to offer any sellside delivery.

The wicks offered price in both

directions
Cannuan Capital Academy

BISI
Buyside imbalance,Sellside

Inefficiency

Price offers ONLY buyside delivery

The algorithm moves price too quickly

to offer any sellside delivery.

The wicks offered price in both

directions

The algorithm will seek to re-balance

the inefficiency
Cannuan Capital Academy

SIBI
Cannuan Capital Academy

SIBI
Sellside imbalance,Buyside

Inefficiency
Cannuan Capital Academy

SIBI
Sellside imbalance,Buyside

Inefficiency

Price offers ONLY sellside delivery

The algorithm moves price too quickly

to offer any buyside delivery.

Cannuan Capital Academy

SIBI
Sellside imbalance,Buyside

Inefficiency

Price offers ONLY sellside delivery

The algorithm moves price too quickly

to offer any buyside delivery.

The wicks offered price in both

directions
Cannuan Capital Academy

Balanced Price
Range
Price has been efficiently balanced
Cannuan Capital Academy

Balanced Price
Range
Price has been efficiently balanced

The algorithm then reprices lower