GEX-ASH Gamma Liquidity Divergence

Family: hybrid · Regime: high_vol · Complexity: high · Asset classes: Equities, Indices (NQ, NDX, QQQ) · Timeframes: 5m, 15m

Thesis

Institutional liquidity in NQ/QQQ is heavily influenced by Options Gamma exposure. When price approaches 'Zero Gamma' or 'Volatility Walls', market makers must hedge, creating momentum. By identifying institutional money flow via CMF and smoothed momentum shifts via ASH, we can enter positions as price bounces off these 'invisible' structural levels, using the levels themselves as mathematically sound risk anchors.

Components

• Unsupported While Expression Continue Result Test (regime) — Acts as a runtime 'Heartbeat' or syntax integrity check; logic execution only proceeds if the expression evaluates to null (na) as expected.
• Chaikin Money Flow (CMF) (direction) — Ensures that momentum is backed by actual volume accumulation or distribution before a trade is considered.
• Absolute Strength Histogram (ASH) (entry) — Provides the final entry trigger by identifying the point where smoothed RSI-based bullish strength overcomes bearish strength.
• Bears Power (exit) — Used to detect when the 'selling floor' (daily low relative to EMA) is shifting against the position, signaling a loss of momentum.
• GEX Levels + Breakout Structure + Session AVWAP — NQ/NDX/QQQ (risk) — Provides structural anchors (Zero Gamma, Max Pain) for stop-loss placement and position sizing based on institutional liquidity levels.

Known failure conditions

• Price oscillates within the 'Confluence Band' of the Zero Gamma level for more than 4 hours.
• ASH signals a direction contrary to the Session AVWAP trend.
• CMF remains between -0.05 and 0.05 (neutral) despite ASH entry signals.

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