Hello Traders,
As you can see, the price dropped from the previous supply zone and has formed a new one. Along the way, it created both internal and external liquidity, which helps strengthen the newly formed zone — a common pattern we see repeatedly.
Remember, just because price didn’t move as expected and hit your stop loss, it doesn’t mean your analysis was wrong. That’s exactly why we use stop losses — to protect our capital before chasing profit.
I’ve marked the internal and external liquidity, along with the new supply and demand zones on the chart. As always, without liquidity, there’s no valid zone confirmation. Risk management is key — that’s all you really need.
Wishing you all the best and happy trading.
Thank you!
As you can see, the price dropped from the previous supply zone and has formed a new one. Along the way, it created both internal and external liquidity, which helps strengthen the newly formed zone — a common pattern we see repeatedly.
Remember, just because price didn’t move as expected and hit your stop loss, it doesn’t mean your analysis was wrong. That’s exactly why we use stop losses — to protect our capital before chasing profit.
I’ve marked the internal and external liquidity, along with the new supply and demand zones on the chart. As always, without liquidity, there’s no valid zone confirmation. Risk management is key — that’s all you really need.
Wishing you all the best and happy trading.
Thank you!
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.