This is the natural progression from Conveyor Belts. They are basically a convoyor belt with a halo roll. Do a conveyor belt but instead of letting the staff roll over your second elbow, place the staff onto your shoulder staight from your hand and turn with the staff to do a halo roll and then catch it with the back of your hand to allow it to roll out. This move can be done continuously.
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Place the inside of the elbow against the forehead and duck your head down out of the hat. The little drop to the side in the video clip is based on a move normally done with plates.
This trick links nicely to levitation.