Module 3 · DOM Behaviors

Icebergs & Absorption

Hidden refills that eat aggression without moving price.

In this lesson you'll

Recognize an iceberg on the ladder/tape
Define absorption and its signal
Spot a 'wall' that holds via hidden size

Iceberg / refresh order

A large order that displays only a small slice on the ladder; each time the visible piece fills, it automatically reloads the same size, hiding the true depth. You detect it when far more volume trades at a price (on the tape) than the DOM ever displayed there.

Absorption

A large resting (often iceberg) order soaks up incoming market orders without price moving — the takers keep firing but can't push through because the maker keeps getting refilled. Heavy tape volume at a price, but the level holds.

Resting bidsResting offersWall / absorption

An absorbing offer: 800 lots resting at 4500.25 (highlighted). Aggressive buyers keep lifting, the tape shows heavy volume here, yet price can't get above it — a large passive seller (possibly an iceberg) absorbing the buying.

The detection tell for an iceberg: volume on the tape far exceeds the size the DOM ever showed at that price, and the level won't break. Absorption that holds can mark a turn — but the same pattern can be a mere pause, so confirm with context.

Key takeaways

Iceberg = a small visible slice that auto-reloads, hiding true size.
Detect it when tape volume at a price ≫ the size the DOM showed.
Absorption = a big resting order eats market orders without price moving.
Absorption can mark a reversal, but confirm — it can also be a pause.

Check your understanding

Pick an answer to reveal instant feedback. Answer every question to complete the lesson.

Question 1 of 2

Aggressive buyers keep lifting 4500.25, the tape shows heavy volume there, but price won't get above it. This is:

Heavy aggressive buying into a resting offer that holds = absorption. If far more trades than the visible size, it's likely an iceberg refilling.

Question 2 of 2

How do you detect a likely iceberg?

Icebergs hide size, so the giveaway is executed volume (tape) far exceeding the visible DOM size at that price, with the level refusing to break.

Educational content only. Nothing here is financial or trading advice. Order-flow and options patterns shift probabilities; they never guarantee outcomes.

Icebergs & Absorption

In this lesson you'll

Key takeaways

Check your understanding

Read order flow on a platform built for it.

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