Hello everyone!
Liquidity is the main force that moves all markets, understand it well, and everything becomes clearer...
Liquidity, simply, is "where orders are resting". Sometimes it is clear, other times not. So you have to look really well into where we have relative equal highs (sell-side) or lows (buy-side).Does that mean to jump into buying below relative equal lows/selling above relative equal highs right away? Of course no. As explained above, most of the time we have an indication as to whether the Market is responding as it shouldmd or not. Like a rejection or multiple rejections or a candle pattern or whatever.. you should see and indiction in price action, not indicators. Also pay attention to time frames. Equal highs/lows should not be treated the same way in small and big time frames... At least 15-min timeframe is recommended...
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