Recently I have been getting alot of DM concerning Liquidity, picking out a valid OrderBlock...
I trade EURUSD only... I discovered focus on a single or fewer pairs is healthier for a Trader.
I will be using today's PRICE ACTION to shade more light on it.
Walk with Me🚶🏾♂️🚶🏾♂️
This was my outlook for the Day... FROM 4H
We have a BOS to the downside... Indicating Bearish pressure.
Of course... We don't take ENTRIES from H4
Refinements are necessary to reduce our SL
On H1 we see a Trend line Liquidity Below the POIs (Extreme and Decisional)
If you observe I marked out the sweep of Liquidity and min structure Break
This is often known as QM (Quasimodo) or CHOCH etc
Most times your entries will be inside the Quasimodo region 📍
The Breaker OB is of high Interest as it does the following
- Break Structure
- has Liquidity closely Below it
- in the Quasimodo Area (on H4 its a Bearish OB)
This is a clearly View of the STRUCTURAL LIQUIDITY just below my POI
I had to play PATIENCE and wait for Price to get to my SPECIFIC POI
Currently on a 1:13RR...
The 2nd Picture is an example for you to spot out the STRUCTURAL LIQUIDITY just below the SELL POI.
NOTE : I can refine EU down to the Secs Timeframe because I have backtested it properly.
I recommend you do same before you refine to M1 especially in Crypto
As it could lead to missed entries.
These traders trade other pairs so you can always use there charts as a Guide.
These traders trade other pairs like US30, NAS100, Crypto etc so you can always use their charts as a Guide.
Recently I observed that some of my Friends were missing some entries despite the amazing setup and all...
I decided to share a #Thread today on the King... LIQUIDITY
Believe you me... This will change the way you look at the market
Let's go 👇🏾
Liquidity is the degree of which something is in high supply and demand, making it easily convertible to cash... Based on this
Liquidity is an area that causes price to change from BUY to SELL and vice visa
If you observe price often changes from after sweeping Liquidity.
With this we expect price to react (reverse) from the nearest Orderblock, Supply or Demand etc after sweeping Liquidity... Either BUYside Liquidity or SELLside Liquidity
How can you add this Knowledge into TRADING 👇🏾 👇🏾 👇🏾