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What's going on guys? Today I have a
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great video for you all. It's not going
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to be too long of a video, but it's
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going to be very very powerful and
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important for you all. So, it's going to
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be how to identify which highs and lows
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in the community, they like to say that
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there's liquidity above every high and
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every low. To a certain degree, yes,
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that is correct, but what we have to be
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able to identify is basically like the
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important liquidity, okay? Where retail
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traders are trading at and from. All
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right, so we're going to get right into
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a couple examples here. Okay? And again,
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I want you guys to understand that I'm
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not going to be drawing out these
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diagrams for you to find these kind of
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like a as like a pattern on your own
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charts. You have to make sure you
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understand these diagrams, okay? We're
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not trading off patterns, we're trading
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off logic and understanding. Okay?
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Again, how to identify which highs and
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lows have liquidity. I can run through a
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bullish example to begin with. What do
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that the market has printed a high, a
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low, and then we've went bullish and
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printed a new high, okay?
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As we know, once taking out previous
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high here, retail will like to trade
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Okay? That's just how retail mindset is,
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how retail strategies work. They want to
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see a BOS in the market, and again, once
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we approach these areas like this, the
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extreme, this is where they will be
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entering buy positions. Okay? We want to
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see the market react and move away.
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Okay? Telling me that buyers have now
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entered positions in this area,
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okay? And then look how the market even
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puts them in profit, okay? That's fine.
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I want you guys to understand that since
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we have now respected this red box,
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respected this low from the left-hand
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side, and again, moved away to the
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upside, we now have liquidity at this
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low. So, this right here is actually so,
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so powerful, yet not really looked at
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quite a bit. Okay? Same thing
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goes for a bearish example.
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Okay. So, again, here we have low, high,
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Taking out previous low, so again,
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retail will see this as a BOS in the
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market. This is where they will be
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selling from. We do not want to look for
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entries from here, okay? Cuz this is a
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low-probability setup, and we don't
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always know when the market will respect
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retail strategies and when it won't. So,
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we let the market react from it. Now we
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understand that there's liquidity above
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this high. And you can use this to your
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benefit. So, let's say we are trying to
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look for a buy scenario, and we're
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moving to the upside, and then we
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approach these highs, okay? Remember, we
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understand now that retail has entered
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positions here with stop-losses above
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the high, aka the black line.
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Okay? Use that to your advantage. All
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right? What do I mean by that?
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okay? And again, this is where retail is
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Same thing. BOS to downside.
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Okay? So, retail is looking to sell
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anywhere within this red box area. Look
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how it gives them a reaction to the
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Here's a BOS for them as well.
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And then all of a sudden what the market
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is it'll run bullish back to the upside.
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So, again, I want you guys to understand
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the logic of these diagrams that I have
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drawn out in front of you, okay? I don't
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want you guys to look at them as
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patterns, because if you look at these
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as patterns, then you'll just get
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yourself wrecked in the market, okay?
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We're not pattern traders here. You need
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to make sure you add logic and reasoning
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to your analysis, okay? So, now that we
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know which highs and lows have liquidity
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above them and below them,
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now we need to go through which highs
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and lows don't have liquidity above and
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below them, okay? Again, very simple
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concept, but very very powerful.
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just like we drew before,
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Market has respected the low and moved
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away, which means we now have liquidity
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below these lows, okay?
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What will tend to happen
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is the market will hunt for it, okay?
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Now, in this situation right here, what
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We have swept liquidity to the upside,
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if we move away, we have swept liquidity
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to the downside as well, okay? Now,
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again, this can be very simple, but very
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A lot of traders will look to trade
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since we have taken liquidity to the
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downside, they immediately want to look
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for buys back up. But, the question you
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got to ask yourself is, what are you
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targeting, right? Why are we going to
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target this high up here?
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From this point, from this high, all we
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have done is swept liquidity, okay?
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Swept the previous high, which allowed
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us to go bearish from A
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whatsoever at this high. So, a lot of
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traders make the mistake of
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looking to trade bullish into the high,
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okay? And then maybe you guys get a
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That's because we had no liquidity above
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right? Again, all we've done from this
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point is swept this this high over here,
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this structural high.
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to B, we sold off, okay? Leaving no
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liquidity above this high.
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But look what's happened now.
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We have respected this high.
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Right? We've went bullish after taking
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the lows, approached the highs over
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here, respected them, moved away. So,
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what does that now tell me? Same
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concept. We now have liquidity above
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Same thing with the bearish scenario.
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Let's go through this.
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So, retail induced and then they enter
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sell positions up here. So, now we have
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liquidity above these highs, just like
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we spoke about before.
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Then, what will happen?
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Boom. We run that liquidity, okay?
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That bullish move from A to B was fueled
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because we swept out the liquidity at
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Okay? So, again, grabbing that
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printing this low in the market here,
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and then moving bullish to the upside,
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okay? Again, what a lot of traders will
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make the mistake of doing is immediately
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immediately looking for sells when there
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no liquidity here yet. But again, look
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what I've just drawn on.
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now we have liquidity.
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Now we have liquidity below this low.
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Okay? So, again, these are very very
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simple concepts, but very very powerful.
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If you don't understand that structure
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is liquidity, the market will keep
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humbling you over and over. But if
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you're ready to finally get it and learn
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how we actually trade, hit the link in
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the description. You can steal our
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entire strategy for free and trade with