MARKET STRUCTURE explained (THE ULTIMATE SIMPLIFIED GUIDE)(In this guide I will attempt for explain Market Structure in the most simplified and easy to understand terms)
WHAT IS MARKET STRUCTURE?
Market structure is the overall framework of a market that helps traders understand price movements and trends. Think of it as the skeleton of the market, showing how prices move over time and where key levels of support and resistance are located.
COMPONENTS OF MARKET STRUCTURE:
TRENDS:
Trends are the general direction in which the market is moving. There are three main types of trends:
- UPTREND: This is when the market is moving upwards. It is characterized by a series of higher highs (HH) and higher lows (HL). Imagine a staircase going up; each step represents a higher high and a higher low.
- HIGHER HIGH (HH): The highest point reached during a price movement before the price starts to fall again.
- HIGHER LOW (HL): The lowest point reached during a price movement before the price starts to rise again.
- DOWNTREND: This is when the market is moving downwards. It is characterized by a series of lower lows (LL) and lower highs (LH). Think of a staircase going down; each step represents a lower low and a lower high.
- LOWER LOW (LL): The lowest point reached during a price movement before the price starts to rise again.
-LOWER HIGH (LH): The highest point reached during a price movement before the price starts to fall again.
- SIDEWAYS/RANGE-BOUND: This is when the market is moving horizontally, neither up nor down. It is characterized by equal highs (EQH) and equal lows (EQL). Picture a flat road; the price moves back and forth within a certain range.
- EQUAL HIGH (EQH): The highest point reached during a price movement that is roughly the - EQUAL LOW (EQL): The lowest point reached during a price movement that is roughly the same as previous lows.
SUPPORT & RESISTANCE LEVELS:
- SUPPORT: A support level is a price point where the market tends to find buying interest, preventing the price from falling further. Think of it as a floor that supports the price.
- RESISTANCE: A resistance level is a price point where the market tends to find selling interest, preventing the price from rising further. Think of it as a ceiling that resists the price.
SWING POINTS:
Swing points are the peaks and troughs that form the structure of the market. They help in identifying the trend direction.
- SWING HIGH: A peak formed when the price reaches a high point and then starts to decline.
- SWING LOW: A trough formed when the price reaches a low point and then starts to rise.
ANALYZING MARKET STRUCTURE:
IDENTIFY THE TREND:
To identify the trend, look at the sequence of highs and lows on the price chart:
- UPTREND: Look for a series of higher highs and higher lows.
- DOWNTREND: Look for a series of lower lows and lower highs.
- SIDEWAYS: Look for equal highs and equal lows.
MARK KEY LEVELS:
Identify and mark significant support and resistance levels on the chart. These levels are where the price has previously reversed or paused.
OBSERVE PRICE ACTION:
Analyze how the price reacts at these key levels. Look for patterns such as:
- BREAKOUTS: When the price moves above a resistance level or below a support level.
- REVERSALS: When the price changes direction after reaching a support or resistance level.
- CONSOLIDATIONS: When the price moves within a narrow range, indicating indecision in the market.
RISK MANAGEMENT:
Always use stop-loss orders to manage risk. Place stop-loss orders:
- Below support levels in an uptrend.
- Above resistance levels in a downtrend.
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This is the basics of Market Structure, explained in the most simplified manner as possible. I hope this publication was simple and easy to understand and helps you understand Market structure better.
I will be doing more easy to understand publications like this within the upcoming days so stay tune...
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HAPPY TRADING :)
USTECH100MINICFD trade ideas
Nasdaq Thoughts 08-Oct-2024Good morning all, Kindly see my Nasdaq thoughts for today. These videos are aimed at making you compare charts with mine if you are a price acton trader and use my thoughts to improve your skill. They are not meant as signals even if they seem like they are. I want you to learn and be great
NAS100USD / UNDER DOWNWARD PRESSURE / 1HNAS100USD / 1H TIME FRAME
HELLO TRADERS
Price Range Observation , The asset is currently moving within a tight range between 19.908 and 19.651. This range suggests a short-term consolidation or indecision in the market, where neither buyers nor sellers are dominant.
Tight trading ranges often precede a breakout, either upwards or downwards, depending on key factors like volume, momentum, and news.
Attempt to Enter the Fair Value Gap (FVG) ,The price is attempting to move into the Fair Value Gap (FVG), a region between 19.910 and 20.078. This area represents an imbalance created by previous fast price action, typically due to market inefficiencies, and traders often look for price to revisit these gaps to either confirm a reversal or fill the gap.
As long as the price trades below 19.998 within this FVG, there’s a tendency to decline. This indicates that 19.998 acts as an important resistance.
Traders may look for short positions if the price remains below this level, anticipating a potential drop.
Potential Decline to Demand Zone , If the price remains under the key resistance level of 19.998, the analysis suggests a downward move toward the demand zone between 19.743 and 19.701 , This demand zone is likely an area where buyers previously showed strength, and there’s a chance that it could serve as a support level again. If buyers step in here, the price may stabilize or rebound.
Bullish Breakout Scenario . If the price breaks above 19.998 and closes a 4-hour candle above this level, it indicates the possibility of a bullish breakout. The break above resistance signifies a potential shift in momentum.
The next target would be the supply zone between 20.078 and 20.155, which is where sellers may start to exert pressure. Traders might expect profit-taking or a reversal in this area.
Overall Sentiment , Downward Pressure: The overall sentiment remains bearish, and the market is facing downward pressure unless the price successfully breaks above key resistance levels.
Caution for Bullish Traders , Bullish traders need to wait for clear confirmation of a breakout above 19.998 before entering long positions to avoid false signals.
Supply Zone : 20,078 and 20,155
Demand Zone : 19,743 and 19,701
FVG : 19,910 , 20,078
Nasdaq TOO BULLISH?We just shy of the 50% retracement on the daily at 19000 i do think we still have a chance to see a bullish move up to 21300 level area. This is based of technicals there is a need a need to go over the big company earning and the Nas perfomance historically for the specific month.
US100 1.31212 -1.09% SHORT IDEA INTRADAY MULTI TF ANALYSISHELLO TRADERS
Hope everyone is doing great
📌 A look at NAS100 from MULTI TIME-FRAME ANALYSIS
From the 4H TF
* we swept Thursday highs, which was the short term high within the range.
* Beautiful rejection forming a wick favouring bearish move.
* So seems we may see a reversal before continuation with the bulls.
US100 1H TF
* Strong bearish rejection.
* 1H looking for a push into the - FVG (po3) ✔ to sell intraday
.
US100 15 TF
* Multiple rejection of bullish move.
* Looking at the 1H -fvg, this is where I would look for short as we are rejecting upside.
* Should this PD ARRAY hold will be Short for the US100.
* BASED on the price action served this week.
- ASIA HIGHS
- DAILY OPEN
-TRUE DAILY OPEN
- LONDON HIGHS
HOPE YOU ENJOYED THIS OUT LOOK, SHARE YOUR PLAN BELOW,🚀 & LETS TAKE SOME WINS THIS WEEK.
SEE YOU ON THE CHARTS.
IF THIS IDEA ASSISTS IN ANY WAY OR IF YOU ENJOYED THIS ONE
SMASH THAT 🚀 & LEAVE A COMMENT.
ALWAYS APPRECIATED
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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.
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| * 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!
Recap on my today NY session with a Silver shortAfter watching DXY giving a bearish signal for the overall market sentiment i was looking at Gold, Silver, NAS and DJ30. Silver was my favourite setup that also confirmed into 3rd hour.
US100US100 just entering into bearish trend.
Bearish divergence also shown in Rsi.
sellers are active now.
we sell at Cmp.
Will the Nasdaq Play Catch-up?The Nasdaq-100 has lagged the S&P 500 since the summer, but some traders may look for it to catch up in coming weeks.
The first pattern on today’s chart is the August 23 weekly close of 19,721. NDX tested and held that level last week, potentially turning old resistance into new support.
Second, MACD and the 21-day exponential moving average are rising. Those may reflect a short-term uptrend.
Third the index ended last week 3 percent below its all-time high, while the S&P 500 closed less than half a percent below record territory. Does that provide space for NDX to play catch-up?
Last, Friday’s bullish candle broke an apparent falling trendline from late September.
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Bigger Bubble" Creation vs. Downtrend Bubble Burst: What Comes NMore Giant Bubble" Creation vs. Downtrend Bubble Burst: What Comes Next?
As the Federal Reserve (Fed) begins its rate-cutting cycle, the stock market and gold prices are hitting record highs, fueling growing investor confidence in a soft landing for the U.S. economy. However, it’s important to remain cautious. The market may appear to be creating a "bigger bubble," but investors should consider secondary effects. An economic slowdown could trigger a sudden market crash even with continued rate cuts.
A critical indicator to watch is the U.S. Treasury yield curve, which often signals an impending recession. Recently, a closely watched segment of the yield curve has returned to a typical slope after being inverted, signaling that a sharp economic downturn may be imminent. "When the inversion ends, the real countdown begins, and that’s where we are now."
"Bigger bubble" creation vs. downtrend bubble burst?!
Waiting for a LONG trade: Please refer to the chart. Long trade entry set up target and s/l.
Methodology: Fibonacci Channel & Fibonacci Retracement
Risk control reference pivot points:
Daily pivot points (table provided)
4-hour pivot points (table provided)
www.tradingview.com
Disclaimer: The content represents expert opinions and is not investment advice. Investors should make independent decisions, carefully assess risks, and bear full responsibility for their outcomes.
Nasdaqhello👋
Nasdaq index analysis
An important number for the coming week is 19950
If this number is kept up, the market can continue the rising wave and reach the target of 20550.
And in the second case, if the number 19950 is broken, we will correct it down to 19550
⚠️Important number 19950
NAS100 / US100 (NASDAQ) Technical Analysis and Trade Idea👀 👉 The US100 (NASDAQ) has maintained a bullish trend, but we recently observed a bearish break in market structure, followed by a bullish shift in the trend again. Currently, price action appears uncertain. However, I am watching the NAS100 closely for potential opportunities if and when the conditions discussed in the video unfold. Disclaimer: Trading carries significant risk, and market conditions can change rapidly. The information in this video is for educational purposes only and should not be interpreted as financial advice. Always conduct your own research before making any trading decisions. 📊✅
NAS SHORTSSS !!!Daily showing signs of bearish behavior. Trendline broken on 4H, DT being made, bearish structure being respected, looking for retest before going short to 19501.
NAS100 | Potential Change In State DeliveryUPDATES
Higher Time Frame PD Array + SMT = Holy Grail
Few days ago we saw price trending above the previous monthly high and rejecting at the the high time frame potential key level (20.200). On hourly time frame we have SMT (Between SandP500, NAS100 and US30) forming at the daily key level which confirms a potential shift in institutional order flow. As a result, price may deliver in the opposite direction this week in an effort to find fresh liquidity pools and correct imbalances...
UPDATED ANALYSIS ON NASDAQNAS100 1H - As you can see price is playing out well from the analysis we completed in this weeks Sunday Sessions video. Price has shown great signs of rejection to the downside and we have seen price put in the structure we want.
Moving forward I am expecting price to continue trading us lower creating new lows and highs in the market, this giving us further potential profits. Its important we are patient with price as it plays out.
This trade is running + 175 pips. (+ 3.3%) 3.3RR
If you did get involved in this market in shorts based on the Sunday Sessions video, ensure you are taking partials and implementing safety measures throughout the running trade.
Its important we manage trades correctly to make sure that we get the most out of them, any questions as always drop me a message or comment below and I will get back to you as soon as possible!
NAS100 - Did NFP provide the last push before the fall?Please check your calendars daily: CPI Week, rough seas ahead!
At this exact time: NAS100 is @ 19870.
How I see it:
1) If 19850 and/or 19640 continue to offer an interim bottom, we could have a prevailing rally.
2) If price breaks and holds below 19640, we might see price break down to 19000.
Did NFP provide the last 4HR shoulder before a possible big fall?
Thank you for your time reading, boosting or following my analysis.
I deeply appreciate it.
NAS100 View!!U.S. stock index futures extended gains on Friday after a crucial labor report showed a higher-than-expected rise in payrolls and lower-than-expected rise in unemployment, calming worries of a rapid cooldown in the jobs market.
A Labor Department report showed nonfarm payrolls rose 254,000 in September compared with an estimate of 140,000, according to economists Reuters polled. The number was revised upwards to 159,000 for August.
The unemployment rate was 4.1% for the previous month, versus an estimate of 4.2%.
NASDAQ critical crossroads for the short-term.Nasdaq (NDX) recovered its 4H MA50 (blue trend-line) on Friday, which is something that puts the short-term pull-back since September 26 on hold. In fact, as long as the 4H MA200 (orange trend-line) holds, the index is more likely to resume the long-term Channel Up pattern and post a similar +11.00% rebound. So for now, we remain bullish, targeting 21600 (+11.00% from the last week's low).
If on the other hand the 4H MA200 breaks, we will most likely extend the short-term correction all the way to the dotted Higher Lows trend-line. Of course in that case, the (blue) Channel Up will be invalidated, and we will take the loss on the long and sell instead, targeting 19000.
The 4H RSI is posting a Bear Flag similar to August 29 - September 02, which favors the bearish scenario.
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👇 👇 👇 👇 👇 👇
#NAS100 1H#NAS100 Weekly Outlook
Timeframe: H1
👉 The market trend is currently bearish, so our primary focus will be on sell positions near the order block.
Good luck for the upcoming week
US100 H4 - Sell SignalUS100 H4
Working from the slightly larger timeframes at the moment, as we are trying to block out the market open gaps/noise and surrounding factors. If the dollar is looking to trade closer to 103.000 we could see NAS fall in the short term and continue, but we could also see the correction unfold for the dollar.
At the moment, we are in no mans land, we are neither confident in longs or shorts, we are merely just waiting for a little bit more confirmation on where we are heading, so we can then try and measure opportunity accordingly. Hopefully we can see something for consideration around the time of US market open.
NAS100 - what are we plan for today trade?Team, we are waiting for these prices to confirm our entry.
Being patient is the key.
I will keep you updated. Once the price is hit.
SMART MONEY TOOLHELLO everyone❤... this is for educational purpose, the previous idea i published , you can see that "sellside liquidity"($ NYSE:L ) was not swept , you must compare assets that are closely correlated "ALWAYS"...Identify Key Times: Look for SMT divergence during significant trading times, such as the London and New York market openings, as these periods often see increased volatility and institutional activity...
