Thread by @CyrusOlogun

MARKET STRUCTURE 01

A Thread

1️⃣ INTRODUCTION

Market Structure (MS) is the foundation of every trading strategy — the true secret sauce that separates consistent traders from confused ones.

Sadly, most traders skip this step.
They chase quick setups, memorize patterns, and jump into price action they don’t fully understand.

But the truth is simple:
Without Market Structure, you’re trading blind.
You’re just a leaf blowing in the wind — at the mercy of every candle.

WHY MARKET STRUCTURE MATTERS
When you master MS, everything else starts to make sense.

You gain:
✅ A higher average Risk-to-Reward ratio (RR)
✅ A better win rate
✅ Clarity — you stop over-analyzing and start understanding

MS builds the foundation of confidence and consistency. It gives you a mechanical way to interpret what price is doing and where it’s heading.

MY PHILOSOPHY ON MARKET STRUCTURE

Whenever I open a chart — whether it’s BTC, XAUUSD, or a random altcoin — the first thing I analyze is structure.

Structure tells me three key things:
1.Where price has been (the past narrative)
2.Where price currently is (context)
3.Where price wants to go next (intention)

When combined with Points of Interest (POIs), MS helps me identify the highest-probability zones to enter trades.
It’s the backbone of all confluence.

MULTI-TIMEFRAME STRUCTURE

One of the most powerful things about MS is that it replicates across all timeframes.
The same logic that plays out on a 1-minute chart repeats on a 4H or Daily chart.

This is what makes multi-timeframe analysis extremely powerful.
You can align short-term moves with higher-timeframe bias for sniper-level accuracy.

We’ll dive deep into this in Market Structure 02 — but for now, understand this:

Structure is fractal. The same patterns repeat across every timeframe.

5️⃣ READING A TREND
At its core, Market Structure is about identifying the direction of price.

When price makes:
📈 Higher Highs (HH) and Higher Lows (HL) → that’s a bullish trend.
📉 Lower Highs (LH) and Lower Lows (LL) → that’s a bearish trend.

Each time price breaks a previous swing point, it’s called a Break of Structure (BOS) — confirming continuation of that trend.

This is how you read the market’s rhythm.

6️⃣ CORE DEFINITIONS

To speak the language of structure, you must know these terms by heart:
•Swing High (SH): The highest point before price swings downward.
•Swing Low (SL): The lowest point before price swings upward.
•Strong High: A high that successfully creates a lower low.
•Strong Low: A low that successfully creates a higher high.
•Weak High: A high that fails to create a new low.
•Weak Low: A low that fails to create a new high.

•BOS (Break of Structure): When price breaks a previous swing to continue trend.
•ChoCH (Change of Character): When price breaks the opposite side — hinting trend reversal.

Once you internalize these, charts start speaking clearly.

7️⃣ EXPECTATIONAL STRUCTURE
When you identify the trend, you can start forming expectations.

🔹 In an uptrend:
Price should keep forming HHs and HLs.
Each HL becomes a potential buy zone.

🔹 In a downtrend:

Price should keep forming LHs and LLs.
Each LH becomes a potential sell zone.

Every break of a previous swing (BOS) confirms continuation.
If a ChoCH appears, it might signal a potential reversal — or a deeper pullback.

8️⃣ MARKET STRUCTURE IN REALITY
On paper, structure looks smooth and easy.
But real charts aren’t that clean.

Price moves in waves within waves — full of fakeouts, liquidity grabs, and consolidations.
The market often hides its true intention behind “noise.”

Your job is to filter the noise and focus only on the key swing highs and lows.
Those are your anchors — the pivots that tell the real story.

9️⃣ INTERNAL STRUCTURE (IS)
Between two major pivots (swing high and swing low), there’s what we call Internal Structure (IS).

IS captures all the smaller fluctuations within a major swing.
It gives early clues of reversals before they’re visible on higher timeframes.

Example:

If price is bullish on the H4 but shows bearish IS on M15 — it might be preparing for a retracement or reversal.

Internal Structure = early warning system.

🔟 HOW TO PICK KEY PIVOTS CORRECTLY
One of the biggest mistakes traders make is randomly picking pivots.

To stay consistent and mechanical:
•Always use the highest extreme for a swing high.
•Always use the lowest extreme for a swing low.
•Don’t chase every small move — focus on the ones that shift market intent.

This keeps your analysis clean and reduces confusion.

11️⃣ STRONG VS WEAK HIGHS & LOWS
Here’s an easy way to think about it:
•Highs want to make new lows.
•Lows want to make new highs.

The pivot that succeeds is strong.
The one that fails is weak.

So:
✅ If a low breaks structure upward → it’s a Strong Low
✅ If a high breaks structure downward → it’s a Strong High

Strong levels define the dominant trend.
Weak ones are often the liquidity targets.

⸻

12️⃣ WHY THIS MATTERS IN TRADING
Once you can identify the strong and weak sides of structure, your trades become aligned with momentum instead of fighting it.

You’ll stop asking, “Is the market bullish or bearish?”
You’ll see it.
And you’ll trade with the flow — not against it.

That shift alone can double your accuracy.💜🔥

13️⃣ FINAL TAKEAWAY
Market Structure isn’t just technical knowledge.
It’s how the market speaks.

Once you understand its rhythm, you’ll realize:

Every candle tells a story.
Every BOS, ChoCH, or pivot has meaning.

Before you think of entries or indicators, master structure.
Because once you see structure clearly, everything else becomes easy.

Up Next:
MARKET STRUCTURE 02 – Multi-Timeframe Alignment
How to combine structure from the higher and lower timeframes for sniper precision.

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By Cyrus The Creator
#30DaysOfTAWithCyrus
#SmartMoneyConcepts #PriceAction #ForexEducation #CryptoTrading