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SMC

GLOSSARY Smart Money Concepts - Complete Terms!It's taking the world by a storm. Smart Money Concepts is what has become famous lately. Now I've been trading for 20 years and even I have learnt to adapt and adjust SMC to my trading strategy. I guess we have to evolve and adapt with what there is. Anyways, Today, I've written a complete Glossary on Smart Money Concepts terms for you. Enjoy! SMART MONEY CONCEPTS GLOSSARY Break Of Structure (BOS) (CONTINUATION) A BOS is when the price breaks above or below, and continues in the direction of the trend. (CONTINUATION). Break Of Structure Down When the price breaks and closes BELOW the wick of the previous LOW in a DOWNTREND. Break Of Structure Up When the price breaks and closes ABOVE the wick of the previous HIGH in an UPTREND. Buy Side Liquidity (Smart Money SELLS) Where an Order Block forms where Smart Money SELLS into retailers (dumb money) BUYING orders - Pushing the price DOWN. Change of Character (CHoCH) (REVERSAL) Refers to a much larger shift in the underlying market trend, dynamic or sentiment. This is where the price moves to the point where there is a change in the overall trend. (REVERSAL) Change of Character Down When the price breaks and closes below the previous uptrend. Change of Character Up When the price breaks and closes above the previous downtrend. Daily bias Tells us which direction, trend and environment the market is in and what we are looking to trade. Daily bias Bearish When the market environment is DOWN and the trend is DOWN - we look for shorts (sells) in the market. Daily bias Bullish When the market environment is UP and the trend is UP - we look for long positions (buys) in the market. Discount market <50% The market is at a discount when the price trades BELOW the equilibrium level. We say the price is at a discount (low price). Equilibrium Equilibrium is a state of the market where the demand and supply are in balance with the price. We say the price of the market is at fair value. Fair Value Gap (FVG) A 3 candle structure with an up or down impulse candle that indicates and creates an imbalance or an inefficiency in the market. Fair Value Gap Bearish A 3 candle structure with a DOWN impulse candle that indicates and creates an imbalance or an inefficiency in the market. Between candle 1 and 3, do NOT show common prices. The price needs to move back up to rebalance and fill the gap. Fair Value Gap Bullish A 3 candle structure with an UP impulse candle that indicates and creates an imbalance or an inefficiency in the market. Between candle 1 and 3, do NOT show common prices. The price needs to come back down to rebalance and fill the gap. Levels of liquidity The area of prices where smart money players, identify and choose to BUY or SELL large quantities. E.g. Supports, resistances, highs, lows, key levels, trend lines, volume, indicators, psychological levels. Liquidity The degree, rate and ability for an asset or security to be easily bought (flow in) or sold (flow out) in the market at a specific price. Liquidity sweep (Liquidity grab) Smart money buys or sells (and sweeps or grabs liquidity) from traders who enter, exit or get stopped. Market down structure When the price makes lower lows and lower highs. Market structure Indicates what a market is doing, which direction it’s in and where it is more likely to go. Market Structure Shift (MSS) MSS shows you when the price is breaking a structure or changing the direction in the market. Market up structure When the price makes higher lows and higher highs. Order block Large market orders (big block of orders) where smart money buys or sells from different levels of liquidity. Order Block Bearish A strong selling or a supply zone for smart money. Order Block Bullish A strong buying or a demand zone for smart money. Order block events Large market orders where smart money buys or sells from certain events i.e. High volume, supports, resistances, highs, lows, key levels, Break Of Structure, Change of Character, News or economic event. Point Of Interest (POI) POI is an area or level in the market where there is expected to be a large amount of buying or selling activity i.e. Order blocks. Premium market >50% The market is at a premium when the price trades ABOVE the equilibrium level. We say the price is at a premium (high price). Sell Side Liquidity (Smart Money BUYS) Where an Order Block forms where the Smart Money BUYS into the retail (dumb money traders orders - Pushing the price UP. Smart Money These are the smart, informed, and savvy financial institutions that invest (buy and sell) their large capital into different financial markets. Smart Money Concepts SMC is a more sophisticated method of price action to spot, identify and locate where smart money is buying and selling their positions Sweep Buy Side Liquidity (Smart Money SELLS) Smart Money SELLS into positions (and sweeps liquidity) from retail traders who are short (get stopped) and for long traders who buy and enter their trades. Sweep Sell Side Liquidity (Smart Money BUYS) Smart Money BUYS into positions (and sweeps liquidity) from traders who are long (get stopped) and for short traders who enter their trades. Feel free to print this out and have it as a guide to your Smart Money Concepts trading journey. All the best!
SP:SPXEducation
by Timonrosso
HOW IMPORTANT IS TIME IN THE FOREX MARKETS 💡⏰📊HELLO EVERYONE HOPE EVERYONE IS DOING GOOD ITS MONDAY LOTS OF OPPORTUNITIES AHEAD. JUST SOMETHING ON TIMING IN THE MARKERT 📈📉📊⌚⏰⏱⏲ Every chart in trading has two axis ie. TIME & PRICE. The most ignored of this two axis is TIME, now how important is time in trading. Are there some periods during the day that are most volatile than others of cause we all know NEW-YORK session will definitely be more volatile than ASIA or even LONDON sometimes, we know news releases are highly volatile and sessions opens normally see most spikes. If this is the case why is TIME so underrated in trading or less incorporated in trading. If you are starting out your Journey in trading you most likely have already invested in patterns ,support & resistance and everything price in the market in excitement watching various economic calendars and trade voraciously on every release of data, viewing the markets 24 hours a day, five days a week. Understanding time will remove this edge to be on charts all day long worse even seeing things that are just not there preventing unnecessary loses. Unlike Wall Street, which runs on regular business hours, the forex market runs on the normal business hours of four different parts of the world and their respective time zones, which means trading lasts all day and night. But understanding where you are in this Business will limit a lot of errors and back testing with Time will give you a perception of when your trades take off and what are your High success rate sessions, if you are scalping what are your range bound sessions, what ever type of trader you are time is a crucial aspect in trading. So according to investopedia When only one market is open, currency pairs tend to get locked in a tight pip spread of roughly 30 pips of movement. Two markets opening at once can easily see movement north of 70 pips, particularly when big news is released. So understanding this will help in reaching targets timely and reduces anxiety of being range bound in red before your trade takes you out and goes in your direction 😀 Overlaps in Forex Trading Sessions The most traded & most popular will have to be the U.S./London (8 am. to noon NY TIME): This is the heaviest overlap within the markets with More than 70% of all trades happening when these markets overlap because of moves seen within this markets. The we have the Sydney/Tokyo (2 am to 4 am NY TIME): This time period is not as volatile as the U.S./London overlap, but it still offers a chance to trade in a period of higher pip fluctuation, and certain pairs tend to be volatile during this certainly especially the once aligned with the sessions, tends to also be great for scalpers as most are range bound during this sessions and scalps can dominate during this sessions without unforeseen spikes 😁 • Last but definitely not least London/Tokyo (3 am to 4 am NY time) This overlap sees the least amount of action of the three because of the time (most U.S.-based traders won't be awake at this time), and the one-hour overlap gives little opportunity to watch large pip changes occur. But this is the sessions that creates some important key levels to plan the day and execution of trades so no session is less important than the other the out come of each sessions lies with us as traders • The forex market runs on the normal business hours of four different parts of the world and their respective time zones. • The U.S./London markets overlap (8 a.m. to noon EST) has the heaviest volume of trading and is best for trading opportunities. • The Sydney/Tokyo markets overlap (2 a.m. to 4 a.m.) is not as volatile as the U.S./London overlap, but it still offers opportunities Then we have news Releases that are also based on time, if your strategy is based on capitalizing on news releases you are most likely aware of time and its importance in once trading. I don't want this to be long so basically what I am saying is you have two axis on a chart, why are you only looking at the price axis, time has to come into playing some how 🤔 Invest in time to limit wasting your time on the charts... Hope you enjoy this Leave a comment & like for more atticles like this REFEREMCES. Investopedia The Best Times to Trade the Forex Markets ARTICLE Volutrades Timing Is Everything: The Best Times to (and Not to) Trade Forex ARTICLE ICT SMART MONEY CONCEPTS By THE PROP TRADER ICT SMART MONEY CONCEPTS KILLZONES IF THIS ARTICLE ASSISTS IN ANY WAY OR IF YOU LIKE THIS ONE SMASH THAT LIKE BUTTON & LEAVE A COMMENT. ALWAYS APPRECIATED ____________________________________________________________________________________________________________________ * Kindly follow your entry rules on entries & stops. |* Some of The idea's may be predictive yet are not financial advice or signals. | *Trading plans can change at anytime reactive to the market. | * Many stars must align with the plan before executing the trade, kindly follow your rules & RISK MANAGEMENT. _____________________________________________________________________________________________________________________ | * ENTRY & SL -KINDLY FOLLOW YOUR RULES | * RISK-MANAGEMENT | *PERIOD - I TAKE MY TRADES ON A INTRA DAY SESSIONS BASIS THIS IS NOT FINACIAL ADVICE TO EXCECUTE ❤ LOVELY TRADING WEEK TO YOU!
TVC:DXYEducation
by PULEMokhothu
2
📊 Smart Money Concepts: A Market Structure Showcase 📍What Is Smart Money? Smart money is the capital that is being controlled by institutional investors, market mavens, central banks, funds, and other financial professionals. Smart money was originally a gambling term that referred to the wagers made by gamblers with a track record of success. 📍Principles of Smart Money Market Structure in Order Block Trading Price moves within a structural of support and resistance. A breakout of the structural of support or resistance will lead to price movement in the next area of the support or resistance. When the price broke market structure was high the low point becomes a strong low. Strong Low is The Low that caused Manipulation and Break Structure (resistance). Fresh high in an uptrend and fresh low in a downtrend. Weak Low/High is the Low that fails To Break Structure 🔹For every strong LOW, there is a weak High 🔹For every strong High, there is a weak Low After a zone is tested many times or during a strong move, Supply and Demand levels eventually break. Due to the remaining orders being triggered and gradually removed, or an overwhelming number of orders in the opposite direction breaking the level. 👤 @AlgoBuddy 📅 Daily Ideas about market update, psychology & indicators ❤️ If you appreciate our work, please like, comment and follow ❤️
Education
by QuantVue
10
EXPLAINED: Runaway GapLESSON OF THE DAY Runaway Gap A Runaway Gap is a continuation move where the price gaps in the middle of a trend e..g Up or Down. The gap is a void (where no prices overlap between two candles) And then the price follows the previous trend. I like to think of a Runaway Gap as a horse that goes from trotting to galloping. The trend then starts to accelerate and continue in the direction. Specifics for this example: · Previous price moves in a downtrend. · Price then gaps. · Price then follows the continuous downtrend. Please react so I know to provide more daily lessons...
JSE:PIKEducation
by Timonrosso
2
What exactly is FOMC? What is FOMC, and what does it do? FOMC stands for Federal Open Market Committee. It's a group of people who work for the US government and makes decisions about the country's money. They decide how much money should be in circulation and how much it should cost to borrow money. How does FOMC affect the forex market? FOMC's decisions can affect the forex market because they can change the value of the US dollar compared to other currencies. For example, suppose FOMC raises interest rates. In that case, it can make the US dollar more attractive than other currencies, increasing the exchange rate. If they lower interest rates, it can make the US dollar less attractive, which can decrease the exchange rate. What is the FOMC statement, and why is it essential for the forex market? The FOMC statement is a document that FOMC releases after each meeting. It explains what the FOMC members talked about and what they decided to do with interest rates and the economy. This statement is essential for the forex market because it helps investors and traders decide what to do with their money. They might buy or sell different currencies based on the FOMC statement. How does FOMC affect currency exchange rates? FOMC can affect currency exchange rates by changing the value of the US dollar compared to other currencies. If FOMC raises interest rates, it can make the US dollar more attractive than other currencies, increasing the exchange rate. If they lower interest rates, it can make the US dollar less attractive, which can decrease the exchange rate. Why do traders pay attention to FOMC meetings? Traders pay attention to FOMC meetings and the FOMC statement because it can give them an idea of what might happen to the US dollar and other currencies. They might make trades based on what they think will happen after the FOMC meeting. For example, if they believe the FOMC will raise interest rates, they might buy US dollars because they think the exchange rate will increase. NOT FINANCIAL ADVICE DISCLAIMER The trading related ideas posted by OlympusLabs are for educational and informational purposes only and should not be considered as financial advice. Trading in financial markets involves a high degree of risk, and individuals should carefully consider their investment objectives, financial situation, and risk tolerance before making any trading decisions based on our ideas. We are not a licensed financial advisor or professional, and the information we are providing is based on our personal experience and research. We make no guarantees or promises regarding the accuracy, completeness, or reliability of the information provided, and users should do their own research and analysis before making any trades. Users should be aware that trading involves significant risk, and there is no guarantee of profit. Any trading strategy may result in losses, and individuals should be prepared to accept those risks. OlympusLabs and its affiliates are not responsible for any losses or damages that may result from the use of our trading related ideas or the information provided on our platform. Users should seek the advice of a licensed financial advisor or professional if they have any doubts or concerns about their investment strategies.
TVC:DXYEducation
by OlympusLab
How to trade Smart Money Concepts:Smart Money Concepts is a more sophisticated way of trading price action, while taking advantage of where institutions are likely to place their orders. This makes Smart Money Concepts a usable tool whenever you are dealing with hedge funds. What you are about to read is an elaborate tutorial explaining a lot about this trading strategy, including some trading strategies (NOTE: there are many SMC indicators and the one I’ll be using is the one by LuxAlgo since I believe is the most “complete” out of all). Let's start. 1) Order Blocks: Order Blocks are, in my opinion, the most important feature in SMC trading, as it shows where these institutions are likely to place their orders. In order for an order block to form, look at where the market is consolidating, creating an area of volume price is likely to be attracted to (some order blocks are formed due to imbalances in the market). In this image, you can see how order blocks are formed right after a ranging market has been broken. Because of this unique feature, order blocks are not the same as support/resistance zones. In order for us to trade using order blocks, look for where an order block has been formed recently, as the longer an order block survives, the weaker it becomes. Buy when the candle that hit the order block closes and set your stop loss under that order block. In this example it worked since the volume wasn’t too high and the order block had formed a few candles before the retest. You can do this for shorts as well (NOTE: the more retests the order block gets, the weaker it becomes) 2) BOS & CHoCH: Supports and resistances usually apply on Price Action, but they can be applied in Smart Money Concepts as well. The difference is that in Smart Money Concepts, you these supports and resistances when the price breaks through them. However, in many occasions these signals can be false and it’s only a retest of the support/resistance. In order to understand what BOS/CHoCH means, we need to look at the graph: This is an example I made. From the graph, a BOS or a Break of Structure is whenever the price breaks the most recent support/resistance in the direction of the trend direction(bullish/bearish). A CHoCH or a Change of Character is whenever the price breaks the most recent support/resistance in the direction opposite of the trend direction. What I mean by this is that in the example I have shown, the trend was bullish until it was not. Normally a bullish trend breaks the resistances instead of the supports, and vice-versa. This is why the name Break of Structure since the price continues going the direction it wants while solving any “issue” in its path. If this “issue” is big enough to break the support/resistance maintaining the trend intact, then it’s known as a Change of Character , since it changes the character of the trend. When this happens, there is a chance for a trend reversal to happen, which is the case for the example I’ve shown. Now I’ll show how to trade BOS/CHoCH in a real graph. As you can see from the chart, there are a lot of Breakthroughs of Structure and Changes of Character, but this indicator actually shows which of these BOS/CHoCH are major. The trick is that if the indicator shows a BOS/CHoCH marked by a straight line instead of a bunch of lines, this means that it is more accurate. In this example, we ignore the smaller BOS/CHoCH and just look at the 2 important ones. We know they are important because they are marked by a straight line. You buy after the CHoCH/BOS label appears and when the candle that retested the broken resistance/new support closes and the volume doesn’t increase before that (unless the market is ranging after it broke). Same thing with shorts. You short after the BOS/CHoCH label appears when the candle that retested the broken support/new resistance and the volume doesn’t increase from the candle before that. 3) EQH/EQL: In Price Action , there are chart patterns. One of the most known ones are the double top and the double bottom . Smart Money Concepts refers to these double tops/bottoms as Equal Highs and Equal Lows (EQH/EQL for short). Here’s an example: As you can see, there is a double top (EQH) which came after an uptrend, meaning that there is a chance that the price will break the necklace (the support line made in the middle of the double tops), causing a change of character, which it did. Due to the nature of double tops and bottoms, this rarely happens. You should use this tool in confluence with other SMC tools like Order Blocks and BOS/CHoCH. Personally, I don’t use them much. I just use them to identify strong supports and resistances, as well as double tops and bottoms. They could also be used to identify trend reversals on major areas of support and resistance. 4) Premium and Discount zones: Premium and Discount zones are ranges that form in the market when a recent major support and resistance has been established. In this example, you can see when did the premium and discount zones form. The price made a major support and resistance. The equilibrium zone is the 50% line in the Fibonacci Retracement tool if you pay close attention. This means that price can react off of the Equilibrium zone, and if you pay close attention, you can see it was ranging for a while. For a trading strategy, wait for the price to reach the Premium or Discount zones, and, if the market's volume decreases, enter a trade and set your take profit at the equilibrium zone. The reason why you should set your take profit at the equilibrium zone is because there is a chance the price rejects off of the equilibrium zone. 5) Fair Value Gaps: Fair Value Gaps are imbalances that form in the market and can be good support/resistance areas. They usually form when the market is volatile and when a breakout or retest just happened. In order to identify what a fair value gap is, look for a huge candle body like the one shown in the picture, then, draw a rectangle with its base being at the highest point of the previous candle's upper wick and with its top being the lowest point of the following candle's lower wick. Now, extend the rectangle to the right and now you have a fair value gap. For a trading strategy, look for the line in the middle which is shown in the fair value gap. This line acts as a support, and the price can bounce off of it. For an entry point, wait for the price to react to the fair value gap, and, if the volume decreases while the reaction is happening, enter. 6) Liquidity Grabs: Even if you think your trading strategy is amazing, you will always have to deal with scams. No matter how good your trading strategy is, all trading strategies fail to deal with hedge funds and whales. They sometimes act when the price is very close to a support or resistance, and when the people expect a bounce, they place their stop losses under the area of confluence. These hedge funds then act, and end up manipulating the market, forcing the people to panic buy or panic sell, depending on the area of confluence. One major example of market manipulation is in the Crypto Exchange. Trading Crypto is almost like gambling. Liquidity grabs perfectly reference the scam. You can spot them if, on a ranging market, there is a sudden increase or decrease in price. Always pay attention to traps like the ones in these examples shown below: For a trading strategy, wait for the scam pump or dump to stagnate and then enter your trade in the opposite direction that the candle was going to. In conclusion, Smart Money Concepts is a fascinating trading strategy for me, and it could be for you too. There are many aspects of it, and it is another way of trading Price Action, which itself is already fantastic. This tutorial took me 3 hours to make, so please make sure to heart and comment your opinion on this. Thank you for reading through all of this.
BITSTAMP:BTCUSDEducation
by lorinstocksinvesting
15
📊 Smart Money Concepts | Supply & Demand🧐What is Smart Money? Smart money refers to the capital that institutional investors, central banks, and other professionals or financial institutions control. It is managed by expert investors who can foresee market trends and make most of the profits. Smart money was originally a gambling term, where it refers to the gamblers that have extensive knowledge of the activity that they wager on or have insider information that the common public is not able to access. The smart money concept suggests that these investors can identify trends and opportunities before the broader market and position themselves accordingly. They may also be able to manipulate the market to their advantage by creating buying or selling pressure on certain securities. Some traders try to follow the smart money by analyzing the actions of these large investors through public filings, news reports, or other sources of information. However, it is important to note that not all trades made by institutional investors or large financial institutions are necessarily "smart," and blindly following their actions can be risky. 🔹 Supply Zone In trading, a supply zone is a price range where there is an abundance of sell orders, resulting in increased selling pressure and potentially a temporary resistance level. A supply zone can be identified on a price chart as an area where the price has previously reversed or stalled, and where there are many unfilled sell orders or pending sell orders. Traders may use supply zones as a reference point for making trading decisions. For example, if the price approaches a supply zone, traders may consider selling or taking profits on existing positions. Conversely, if the price breaks through a supply zone, traders may see it as a bullish signal and consider buying or adding to long positions. 🔹 Demand Zone In trading, a demand zone is a price range where there is an abundance of buy orders, resulting in increased buying pressure and potentially a temporary support level. A demand zone can be identified on a price chart as an area where the price has previously reversed or found support, and where there are many unfilled buy orders or pending buy orders. For example, if the price approaches a demand zone, traders may consider buying or adding to long positions. Conversely, if the price breaks through a demand zone, traders may see it as a bearish signal and consider selling or taking profits on existing positions. 👤 @AlgoBuddy 📅 Daily Ideas about market update, psychology & indicators ❤️ If you appreciate our work, please like, comment and follow ❤️
Education
by QuantVue
34
SMART MONEY CONCEPTS #1: LIQUIDITY THEORYHi everyone! As you all should know by now, I mainly use smart-money concepts to enter into my trades. Today I will be talking about the concept of liquidity and how to capitalise on it. Looking at the graph, there are 4 main types of liquidity that I use and as stated in the chart, I will normally look for entries off the liquidity grab zones or liquidity hotspots as I would describe. Make sure to backtest and forward test into your chart data to identify which type of liquidity are the most prevalent. There are many many different forms to liquidity zones and knowing when a liquidity grab occur can be a very profitable strategy.
OANDA:XAUUSDEducation
by Jon_Jones_Junior
3
Smart Money Concept - TerminologyToday i would like to share full list of basic terminology Smart Money Concept To all newbies this list will be useful HH (Higher High) - high maximum HL (Higher Low) - high low LH (Lower High) - low high LL (Lower Low) - low minimum Fib (Fibonacci) PDH is the high of the previous day. PDL is the low of the previous day. PWH is the high of the previous week. PWL is the low of the previous week. DO - opening of the day. WO - opening of the week. MO is the opening of the month. YO - discovery of the year. TF (TF) – timeframe MN (Monthly) - monthly W (Weekly) - weekly D (Daily) - daily H4 (4 hours) - 4 hours H1 (1 hour) M15 (15 minute) - 15 minutes M1 (1 minute) MS (Market Structure) - market structure BOS (Break of Structure) MOM (Momentum) - momentum. Time difference between impulse and corrective wave HTF (Higher Time Frame) LTF (Lower Time Frame) – lower timeframe RSP (Real Structure Point) - key structural point PRZ (Price Reversal Zone) – price reversal zone CPB (Complex Pullback) RR (Risk:Reward) – risk/reward TGT (Target) SL (Stop-loss) - stop order BE (Breakeven) - breakeven PA (Price Action) - price movement Liq (Liquidity) – liquidity EQH (Equal Highs) - equal highs EQL (Equal Lows) - equal lows SMC (Smart Money Concept) - the concept of smart money DD (Drawdown) - drawdown Be (Bearish) – bearish trend Bu (Bullish) – bullish trend HNS (Head and Shoulders) - head and shoulders IT (Institutional Traders) - institutional traders CO (Composite Operators) - composite operators WHB (Weak Handed Buyers) - Weak Buyers WHS (Weak Handed Sellers) - Weak Sellers DP or POI (Decision Point) or (Point of Interest) - decision point or point of interest IMB (Imbalance) - imbalance SHC (Stop Hunt Candle) OB (Order Block) - block of orders OBIM (Order Block with Imbalance) - a block of orders with an imbalance OBOB (Lower timeframe Order Block with a higher timeframe Order Block) – LTF order block in the HTF order block zone WKF (Wyckoff) PS (Preliminary Support) - preliminary support PSY (Preliminary Supply) - preliminary offer SC (Selling Climax) - Selling Climax AR (Automatic Rally) - automatic rally ST(Secondary Test) - secondary test SPR (Spring) - the final position by a major player, followed by the liquidation of the last players in the market Test (Test) SOS (Sign of Strength) - a sign of strength SOW (Sign of Weakness) - a sign of weakness LPS (Last Point of Support/Supply) LPSY (Last Point of Supply) - the last point of the offer BU (Back-up) - price return to the range to cover the imbalance JAC (Jump across the creek) is another name for SOS UT (Upthrust) - the primary move out of the range to capture liquidity TR (Trading Range) – trading range WAS (Wyckoff Accumulation Schematic) WDS (Wyckoff Distribution Schematic) WICK - a candle with a long shadow, which removes liquidity, stops. A squeeze is a rapid rise or fall in prices. Range - sideways price movement in a certain period without updating highs and lows. Deviation (deviation) - a false exit, beyond the boundaries of the range. EQ - (equlibrium) - the middle of the range. TBX is the entry point. Take Profit - take profit. STB - sweep (manipulation) of liquidity, the sale of an asset before growth. BTS - sweep (manipulation) of liquidity, the purchase of an asset before the fall. AMD (accumulation manipulation distribution) - accumulation, manipulation, distribution ( distribution) Hope you enjoyed the content I created, You can support with your likes and comments this idea so more people can watch! ✅Disclaimer: Please be aware of the risks involved in trading. This idea was made for educational purposes only not for financial Investment Purposes. --- • Look at my ideas about interesting altcoins in the related section down below ↓ • For more ideas please hit "Like" and "Follow"!
BITSTAMP:BTCUSDEducation
by Crypto4light
3
Imbalance- Today we will talk about imbalance. What exactly is an imbalance, and how to recognize it? - Imbalance can often occur in forex due to many reasons. Imbalance can move upwards or downwards. - Most of the imbalances get filled up within minutes, hours or in one daily session. But it is not always like that, some can take days to fill up. - Imbalance is like a gap, it drives the price to go in the direction where it made the imbalance in order to fill it up. - We can use all that information in our favour to maximize our edge in the markets in different ways. - Here we have 2 examples, on the left example, the price left an imbalance, but on the right, it did not. How? - At first glance, these 2 examples look totally the same, but they are not. In the example on the left, the price left an imbalance, and the wicks are not touching, while on the left side the wicks are touching and therefore we do not have an imbalance as in the first example. - If this post helped you better understand imbalance and its role, leave a like and follow us for more content like this.
Education
by hybridtradingfx
How To Choose High Probability OBHello traders - In this example, we will explain how to choose a high probability OB for your entry. And what you need to pay attention to. - If you want to choose a good OB, you must read every detail on the chart and take into account everything you see so that you can determine whether your OB is the high probability or not. - One of the most important things we need to have with a high probability OB is the present momentum. When we see momentum, we know that the price has the potential to continue in the same direction. - Here you can see 2 examples. In one example, we have high probability OB, and in the other, low probability OB. - High probability example: On the left, we see a high probability example. Momentum is present, and the price is making strong BOS. When the price impulsively breaks through the high, as in this case, we know that the price has a great potential to continue in that direction. In the end, we see a good closing of the candle, the price did not leave a big wick and filled the entire bullish candle. In this situation, we have a high probability OB. - Low probability example: On the right side, we see a low probability example. Momentum is not present, and the price makes BOS weak. When the price weakly breaks through the high with wick, we know that the price no longer has momentum and will most likely change direction. We see a low candle close and a large wick which tells us that the price has no momentum. In this situation, we have low probability OB. If this example helped you better understand low probability and high probability OB, leave a like and follow us for more content like this.
Education
by hybridtradingfx
1
SMC TrapHello traders - In this part, we will talk about the smart money trap. - There are a lot of traps for traders left by big boys in the markets to take your money. That's why it's important to be careful, and don't swim with fish but swim with sharks if you don't want to be eaten. - The move is designed to first take out early sellers, then take SMC traders. -We'll explain this example in a few steps: 1) We see that the price is in a downtrend, reacting from OB, and supply has full control in this situation. 2) We can all assume that the price will continue to be bearish. 3) Now you can see that the price is coming aggressively to the last OB, and before that, we had WBOS, and there was a trap made for SMC traders. 4) This is inducement, and we talked about it in one of the previous posts, you can go back to it for a more detailed explanation. 5) This OB is not valid for us, because we have seen a lot of liquidity that the price needs to pick up and an aggressive retest. 6) We waited for the price to pick up all the SMC entries, and then the price came to our safe entry, which is marked on the chart as a valid OB. If you liked this example, leave a like for more content like this.
BITSTAMP:BTCUSDEducation
by hybridtradingfx
4
Inducement Hello traders -In this example, we will explain what INDUCEMENT is. -Inducement is a trap for traders left by big boys in the markets to take your money. -The move is designed to first take out early sellers, then take retail pattern traders, then break out and break and retest traders together in one move. -The beauty of it is that everybody thinks they win, but in reality, the big boys go home with your money. -Look at this example carefully and next time you see it play out on the chart, look at how you can profit from it instead of getting your SL hit. Example: 1) Here, we see that the price is in a downtrend 2) Then, at the last BOS, the price barely breaks through the low and makes a trap for retail traders, breakout and retest traders, etc. 3) As you can see, this was an obvious fakeout and trap for other traders 4) In the end, the price picked up all SL, and came to our entry, from where it starts to move in our direction. -And remember, you want to swim with the whales and follow them, not go against them. Don't forget to leave a like and follow us for more quality content.
Education
by hybridtradingfx
1