Catch Big Market Moves: How to Trade Liquidity Zones Like a Pro The charts provided showcase potential scenarios based on different liquidity zones (LQZ) on multiple timeframes, such as 15M, 1H, and 4H. Let's break down the key insights from the images:
Key Levels:
Weekly Flag Trendline: This yellow trendline represents the long-term trend and acts as a major resistance or support. It’s crucial to monitor price action around this level for significant moves.
4HR LQZ (Liquidity Zone) at 2,532.077: This level signifies an important area of liquidity on the 4-hour chart. It’s a potential reversal point or continuation area depending on how the price interacts with it.
1HR LQZ and 15M LQZ: These shorter timeframe liquidity zones are at 2,482.129 and 2,470.544 respectively. They act as interim targets or bounce zones based on the smaller trend movements.
Price Action Context:
Wedge Formation: The rising wedge pattern visible in all the charts, combined with slowing momentum near the top, suggests possible bearish pressure. Wedges often lead to sharp breakouts, so a breakout to the downside would align with the wedge structure.
Multi-Touch Confirmation: The multiple touches on trendlines, both support and resistance, increase the probability of significant movements. This concept is supported by multi-touch confirmation techniques.
Scenario Planning:
Upside Potential: A breakout above the 4HR LQZ suggests further bullish momentum, likely toward higher liquidity zones. This can result in a continuation to the upside, as shown with the green line projection on some charts.
Downside Risks: A breakdown below the wedge support and failing to hold the 15M or 1HR LQZ may lead to a bearish move toward the lower liquidity targets. The yellow line projections suggest a pullback to 2,485.055 and potentially lower.
The Trinity Rule Approach:
Confluence Setup: If price interacts with three major zones (like the 4HR LQZ, wedge support, and Weekly Flag Trendline), we can assess whether these align with other signals. This rule adds extra confirmation for higher-probability setups, as discussed in your document.
Overall, price action shows a decision point around the wedge and liquidity zones, with strong reactions expected in either direction.
Trendtradingstrategy
Maximizing Profits with Trend Trading: Today's Bitcoin InsightIn today's volatile market, leveraging the simplicity and potential of trend trading has never been more critical. Bitcoin's current trajectory underscores the value of following market trends for substantial gains, emphasizing the importance of technical analysis tools like moving averages and MACD for timely decisions. This approach not only simplifies trading decisions by aligning with market momentum but also enhances risk management through strategic stop-loss orders. As we navigate today's Bitcoin trends, remember the flexibility and psychological comfort trend trading offers across various time frames. Join our waiting list now for the upcoming MTOPS AI release, designed to harness the power of the MTOPS Strategy in trend trading for optimized market engagement.
#GBPCHF buying opportunityHello dear traders and friends, let's take a look at this chart and explore the potential buying opportunity.
As observed in the chart, we have a clear bullish market structure. Therefore, as long as the price remains above our horizontal arrow, which marks the 1-hour timeframe low in the market, as well as the previous day's low, we are interested in taking long positions.
In addition to the market structure, other confluences include the price being above the 1-hour and 4-hour timeframe EMAs, and above the 4-hour timeframe bullish trendline. This recent bearish move could also be viewed as a pullback to the bullish trendline, as indicated in the chart.
With the market structure in our favor and supported by a cluster of bullish confluences, we have sufficient confidence to open a long position in this pair.
I'll place my stop-loss just below the arrow line because if the price is able to go lower than that, it would signify a break in the structure to the downside.
If you've found this analysis helpful, please take a moment to like, comment, or share your thoughts with me.
Would You Buy Or Sell GBPUSD? Potential Pullback?GBPUSD is presenting a nice move back up to the upside as long as it can stay above the last low.
Now of course you may see things differently and thats perfectly fine because price is definitely bearish overall.
Let me know what would you do. In case you're wondering what I'd do, watch the video and let me know your thoughts after watching it.
Be sure to share, like, and follow for more. ❤️
USDJPY Trading A Bull volatile MarketHi my trading friends.
I've noticed USDJPY is in a beautiful uptrend and has been for awhile. I lost my last trade on her(I followed my rules of course), but now price made a new higher high continuing her bullish flow. Can you see the uptrend?
The entry
Price is at my Estimation Zone (my name for my zones where I want to enter the trade). I'll watch price to see if I more bullish evidence. If so, I'll trade her up back to the high and monitor if this will turn into a longer term position over a 1:2 risk-to-reward trade.
The exits
My stop loss will be placed to the low. I'll manage the trade by trailing my profits once it's back to the high if this trade is a longterm position. If not, I'll be happy with my profits and move on.
What will invalidate this trade?
If price reverses going past the last higher low I'll consider this trade a reversal. Or, at this point, consolidation depending on what happens first. If I'm given the chance to enter and am stopped out, the reversal will be taken more seriously.
Consider my trading styles:
* Swing trader
* Trend trader
* Conservative trader
* Higher timeframe trader
* Supply and demand trader
* Reversal trader
* Volatility trader
* High momentum trader
There are many trading styles which means there are many ways to trade. Only take this analysis into consideration if it meets your satisfaction and rules. If not, it's always good to watch for fellow trader entertainment purposes and give motivation.
Consider my past USDJPY post below and thanks for reading.
My Backtesting Results on NZDCHFHolding trades is what I want to get better at and backtesting is going to help me do it.
I've backtested NZDCHF today and found that it was a remarkable session.
I was able to enter 4 trades in the span of 3 months gaining over what would have been 15% from the trades, but one trade hit my break even point so I gained around 12% from my trades.
I used the monthly, weekly, and daily timeframes with most of my entries coming from the daily timeframe.
I used my own strategy known as TMP. It stands for Trend, Market Structure, Price Action(or, pending orders).
I identify the trend first, then set my estimation zone, then place my pending order. In that order, thats it.
I don't use support and resistance, trend lines, or indicators for the most part. I like using price action. Its my preference that has changed throughout my trading career.
I've noticed I a few reasons why I don't enter my best setups are due it
1) Money trauma( family had poor money management)
2) Time limit( pressure from showing results)
To get over those, I have set parameters to take partials, move my trades to break even, and set pending orders to eliminate myself not entering my own trades.
This helps in the long run and has helped since collecting data on myself since the start of me using prop firms.
I can only pray that through my backtesting and trading journey, this can help you too.
Please let me know if you have questions regarding my backtesting or found something unique that helped you.
Safe trading❤️
How To Find Trend Trading OpportunitiesTrend trading is a style of trading. It specifies what you are looking for when trading a specific market.
Style
Trend trading sets you on a path to looking for a clear and defined uptrend and downtrend. Anything outside of that realm is no longer considered trending.
A clear uptrend defines price forming a path of repetitive high prices called higher highs (last highest price to buy an asset before price declined) and higher lows(last discounted price to buy an asset before the price increased).
While a clear downtrend defines price forming a path of repetitive lower prices called lower highs
(last highest to buy an asset before price declines to a new discounted price) and lower lows(last highest(cheapest) price to buy an asset before price increased.)
If you desire to be a trend trader you want to see the market creating a clear and defined uptrend or downtrend to call it an opportunity.
Ignore the drama
The next best thing to do is to avoid assets that are not trending. I prefer to trade the forex market. So, if I see any currency pairs absent of a clear trend, I immediately move on to the next pair.
It's better on my mind to wait for my opportunity than to create one out of thin air.
The more pairs that are not trending the better. This way, I have a small group of currency pairs to watch and trade.
Limit the small mindset
I have no idea what trades will win or lose. When I'm in my right frame of mind I don't think about the opportunity not working instantly. Which is why I swing trade. I like to lose my money slowly vs. fast as a day trader.
It helps me stay clear of telling myself I'm wrong on a daily basis.
I found I focus better on the outcome of the trade when I remind myself the market will tell me that I'm wrong.
This way, as every outcome plays out I can handle each winning trade and losing with little emotion as possible.
Is this always easy to do? Nope! I'd dare not fool you.
But it does make it easier to setup for the next series of trades when I only focus on my "trend trading" opportunities.
Quick recap
You'll do better to find trend trading opportunities by focusing solely on currency pairs that are trending and ignoring the ones that are not.
Its wise to limit your mindset by believing you're wrong choosing to trend trade. Let the market tell you when your setup is wrong vs. you telling yourself you're wrong before the trade plays out.
This allows you to focus on the outcome of the trade to being overly emotional.
I really hope this helps and that you were able to find a gentle takeaway.
If you enjoyed this read, please like the post and comment on what your takeaway was.
Happy trading 🧡
Shaquan
AUDUSD- Not Afraid To Push Higher, A Buyers GuideHi traders! We have seen the buyers show AUD love this week on AUDUSD. For me, I've not traded this pair in a couple of months. My rules for my setup have not completed in awhile, but hopefully, that will change.
Let's talk about why this could be such an amazing buying opportunity!
1) Price is trending up.
If you are a trend trader this is the perfect setup for you. A trend trading system works well when price is creating higher highs and higher lows. This is the creation of an uptrend or development of increased prices.
2) We love discounts!
When price is trending up the idea is to buy low or as stock traders say, buy the dip! In order for that to happen, we must wait for a pullback a.k.a. a retracement.
A pullback is a discount in price before price increases again. You my friend want to profit when price makes it's way back up.
For example, I'm going to sit on my hands to observe when price will decrease to my estimation zone. My estimation zone is a simple rectangle that highlights an area of exchange rates where I desire price to show me a buying opportunity in this uptrend.
I'd love to know where you'd place you structure to buy😉
3)The risk to reward is amazing!
I'm a FOREX MOM who loves to keep trading simple. So, i swing trade and keep my target profits simple. My goal here is to trade back to the high and up past the high to 0.69155(my personal target. It's ok if yours are different).
My first RR is 1.65.
My second RR is 2.37
A quick tip for you if you're a swing trader like me, prepare to hold the trade for a few days, maybe a week or so. This way, you do't over trade the pair.
How to manage the trade?
1) Price may not pullback right away, but the entry and stop loss will stay the same. Unless price makes new highs and lows, this is the setup.
2. If all rules are met, it will be TRADE TIME!!! I'll personally move trail my stop loss when price reaches 75% of my TP.
I'm interested to know how you'll manage your trades😊
Welp, thanks for reading my quick analysis and let's pray the trade goes well. Happy trading!
Shaquan
TradingView & Trend-TemplateIn this video I explain how to integrate Minervini' Trend-Template into your daily stock screening routine.
This concept can be applied to all other securities including Commodities, FOREX and Cryptos.
The links to other relevant tutorials in this context (Stage-Analysis and Trend-Template criteria) are shown below.