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Marketmaker

Market Structure Identification ✅Hello traders! ✅ MARKET STRUCUTURE . Today we will talk about market structure in the financial markets, market structure is basically the understading where the institutional traders/investors are positioned are they short or long on certain financial asset, it is very important to be positioned your trading opportunities with the trend as the saying says trend is your friend follow the trend when you are taking trades that are alligned with the strucutre you have a better probability of them closing in profit. ✅ Types of Market Structure Bearish Market Structure - institutions are positioned LONG, look only to enter long/buy trades, we are spotingt the bullish market strucutre if price is making higher highs (hh) and higher lows (hl) Bullish Market Structure - institutions are positioned SHORT, look only to enter short/sell trades, we are spoting the bearish market strucutre when price is making lower highs (lh) and lower lows (ll) Range Market Structure - the volumes on short/long trades are equall instiutions dont have a clear direction we are spoting this strucutre if we see price making equal highs and equal lows and is accumulating . I hope I was clear enough so you can understand this very important trading concept, remember its not in the number its in the quality of the trades and to have a better quality try to allign every trading idea with the actual strucutre
Education
by Snick3rSD
GBPUSD H1 potential short positionHi As chart If price breaks out of the below supply zone (red block below) Uptrend has momentum to continue rising But it has possibilities to meet selling pressure since there is a resistance zone that hasn't been successfully broken since 9/22 decline. When price hits the upper supply zone and there is a "clear bearish singal" could be bearish engulfing, evening star... so on I'll consider placing short position for short term After all, it has gone up for a while RR 1:2 but depending on the situation DXY drops and there is a new UK minister, unsure what policy he will do on currency. UK also took office as a new prime minister, and he doesn't know what policy he will have on the currency. All are personal opinions, not investment advice, all suggestions and feedback are welcome!
Short
by Aki_0123
Market Maker Pattern with Multiple Long / Short TradesIf this Market Maker pattern plays out in symmetry to the left side, which is more visible even on the 5m chart, then there will be several long opportunities and several short opportunities with opportunity to either reverse positions right into the next drop or retrace. There is also a large red candle on the left side, seen on linked chart of 30m timeframe, that was only partially recovered and these red candles typically always get recovered by a corresponding green candle to the right side of the chart. Thatt gives additional strength to the idea that price will return to previous high of the structure to reclain the red candle. And each of these drop and recoveries is a significant percentage move, ranging from 9% to 30% and with 20x leverage that could make for a fairly safe and profitable series of plays. Of course, these patterns don't always play out completely symmetrical, but even if it fulfills a few of the moves or does so in smaller proportion to the moves on the left side, it's still a solid opportunity due to likelihood of move to upside to reclaim red candle and then likelihood of fulfillment of at least approximate fulfillment of the markdown / drop phase of the pattern.
K
by bitcalib
1
BTCUSD H1 Potential short positionpersonally tend to place short position at the higher supply zone (is given on chart) The finance market's volatility also impacts cryptocurrencies e.g., DXY So place orders only if apparent signal appears when price hit supply zone and appears bearish signal then try short position (could be bearish engulfing, evening star...so on) All data are given on chart Just personal sharing, not investment advice. Any suggestions and feedback are welcome!
Short
by Aki_0123
9
EURJPY H4 potential short positionAfter retracement, price goes upside and is close to previous H(9/22) but the upward momentum has slowed down and it is close to HTF supply zone( is given on chart) which is also 8 years high If the price goes up to supply zone and bearish signal appears, consider entering the short position SL: 145.8 TP1: 143.03 TP2: 142.60 TP3: upper edge of the demand zone which is141.1 (short is still against the current trend, please evaluate carefully) all are personal opinions, not investment advice. any suggestions and feedback are welcome!
by Aki_0123
EURJPY LONG IDEAHello Dear Traders. My idea on Eurjpy with layered and incremental TP levels. Follow your own R:R:R rules and do not trade blindly. And please, do not forget that we are retail traders, with limited access to the right tools like banks. So, we have to adjust our Stop loss levels far away from the most predictable areas in order not to be heat. We have to provide space for our traders to breathe and evolve in such a way that it will definitely end up giving profit hit even of few pips e.g. 30. I am not fond of huge R:R:R if the SL is pretty close to a support and the price grabs the liquidity trapping us and then reverses on the way to TP. Good luck1!
Long
by The_Forex_Path
6
BTC D short-term ideaHi this is my idea about BTC for few days since the August CPI announcement, the percentage of downtrend after important data releases (at least for now) has been getting littler (9/13→August CPI) (9/22→FED Interest rate releasing) (10/7→FED Non-farm Payrolls) ***but the Sep CPI announcement on the coming Thursday should impact prices (just a matter of how big)*** BTC price has been in an uptrend tunnel since 9/21 continue to make HL, even NFP impacted, the price stopped falling once it hit demand zone (is given on chart) if uptrend tunnel is still valid after CPI announcemt (10/13), I will consider finding a bullish entry point that should be found in LTF and match demand zone is better (LTF & HTF''s demand zone) TP set at the lower edge of supply zone (is given on chart as well) that's is just personal opinion, not investment advice any suggestion and feedback are welcome!
Long
by Aki_0123
1
VET/BTC Expanding Triangle Clamping the price before the impulseLocal trend. Time frame 1 day. Expanding triangle. Coinmarketcap: VeChain Price squeeze during “market doubt”. A zone of price squeezing in a narrow range at the moment of uncertainty (doubt) of the market in general. Clamped by large orders in the required buy/sell range on liquid exchanges. The range is spammed with orders, basically a bot is triggered to make the trades visible and to “protect” the large orders (so as not to “grizzly”, but if they gnaw—"go down steam"). Small exchanges themselves will “pull up” in price over time. It works the same way (first of all) in pairs also to dollar, but the step is bigger (it is more difficult to hold a range). In pairs to bitcoin, it's easier to do due to smaller % of step (crypto price). The lower the price in satoshi, the more effective step clamping (range holding) is done. Unfortunately, here on the site it is impossible to show the order stack, it would be more obvious, the chart is a consequence, not the root cause. The meaning of the action—before a strong impulse up/down price movement, does not matter. You, unlike hamsters (those who are constantly losing money) cannot know exactly in which direction the market will locally go. The impulse (exit) is made under the general market trend (direction of movement). There are exceptions, but it is more about low liquid altcoins during the so-called “market window” (it is now). It helps a lot to move the price impulsively at such moments (decoupling): 1) stops (“market fuel”) 2) scalpers of course 3) oppositely tuned (in most cases, but not always) crowd (the main market participants) at the moment, that is the cloned behavior of people. This is what the expanding triangle area looks like on a line chart. This is what this "price squeeze" looks like locally. On a linear to understand the without the "market noise". The graph is a consequence of the sense of action in the glass.
by SpartaBTC
16
ADAUSDT 4H Fundamentals/News: almost all financial markets are waiting for Fed interest rate decision this week. Estimated the rate will rise in a range between 0.75-1 most staying out of the market and wait for clear direction. Technical: Presently, the price has reached the position of the previous 4-hour demand zone (0.4240-0.436) and temporarily stopped falling But there is still no clear signal Entry signal do long "only if" when the LTF is in the demand zone (0.4240-0.436), and return to HL-HH constructure, or K bar appears as a clear signal First TP: 0.451 Second TP: 0.463 Third TP: 0.483 SL is the lower edge of the demand zone at 0.424 All are personal opinion, not investment advice. Any suggestions and feedback are welcome!
by Aki_0123
BTC USDT ELLIOT WAVE , Market Maker , Pattern AnalysisBTC USD. I was going through the charts and found a pattern that could play out... Of course, everything here is definitely NFA. This is a 1H BTC chart. This anlysis combines Elliot Waves, Market Maker strategy along with some basic technical analysis . The green background showing were done with the first 5 waves and on the red background part price is currently sitting on the beginning of the last third leg. I use channels for S/R , and fib circles for timing the moves. I think if we might see a move when we cross the circle, or close to it and since the wave cannot be considered if the price breaks the previous higher high, and we have already seen previous waves develop, i have to assume the pattern is valid, and we may see 20141 as highest it can go.... for now.. maybe. Ill add some more confluence...The chart also has 3 vector candles that need to be recovered marked by the red arrows on the chart .. which gives it an even higher probability of the drop. The pink line and the green arrow is showing where we could see the last point where it could bounce from, before heading down.. The Cyan line represents the measured move we could see in the next leg.... which also adds to the confluence of this idea... There also an alternate version of the chart, which expands the fib circle a little more just in case the price lingers on a bit, but i would still expect a move right around where the next ring crossing is. Comments and Thoughts are welcome..
BITSTAMP:BTCUSD
by NashtyBoy
2
Lesson 1: The Market-Maker's GameLet's look at how market-makers succeed in trapping you and I in the market to make billions. These techniques, when grasped, can have an immense positive influence in your trading. Market-Makers use areas of support and resistance to accumulate/distribute order blocks. This creates massive liquidity for them to be able extract big profits, leaving the ordinary retail trader holding an empty bag. ---------------------------------------------------------------------------------------------------------------------------------- 1. Support was broken at the 0.79000 zone. They break support zones like this to trap all the SELLERS. those who placed STOP LOSSES at 0.77400 anticipating price to go down are kicked out of the market before price starts to climb higher and higher. This is the biggest reason why traders wonder why the market kicks them out before it moves in their desired direction. It's as if someone is watching your trades. Well, market-maker can see where most STOP LOSS orders are placed. They push the price to those levels to wipe traders' positions. 2. The maker-maker's intention is to take the price up without being too transparent. Their intention is to make you believe that price is headed downwards when in fact it's going up. Their first target in this case is the 0.98000 zone. When price gets to that zone both BUYERS and SELLERS will be shaken off the market so that they can take the price up some more to the 1.2500 zone (3). 3. At 1.25000 more manipulation will take place. At that price level a lot of amateur retail traders will be thinking that price is still going up. What ensues then is a big drop. Maker-makers would have now trapped BUYERS to create liquidity for taking the price down. This is critical to understand. If you can trade how MARKET-MAKERS are trading you'd be able to extract profits off the markets on a consistent basis. --------------------------------------------------------------------------------------------------------------------------------------- Do drop questions in the comments section. I will be ready to answer.
Education
by SMCSmartSniper1
BTC: Reading the Tape on the DailyScenarios I'm considering: 1) Price makes a run upward to the short-term target above (note that these moves can take weeks or months). 2) Price continues lower into deeper levels of liquidity seeking more sell orders (the logic for this is explained down below). 3) Price crashes below anything I've mapped out here. My Longs get liquidated and I cry myself to sleep with all the Moon Boys and Moon Girls out there. (JK I only trade spot, so I can't get liquidated). Scenarios I'm not considering: 1) Price skyrockets to the moon and annihilates the ATHs over the next few days, weeks or months. 2) BTC goes to zero and proves all the no-coiners right. Things to watch: DXY (US Dollar Index): If it continues higher, we can anticipate some more pain in crypto and riskier equities. FOMC Meetings on September 21-22: We need to know the narrative of interest rates. ********************************************************************************************************************************************************************************************************** If this is your first time reading one of my posts, I recommend reading through this section at least once. Otherwise, you can skip this section of concepts and terms. ********************************************************************************************************************************************************************************************************** Key Concepts and Terms: ICT: The Inner Circle Trader (Michael J. Huddleston). He is considered a controversial trader due to some of the chest beating alpha male behavior and trolling antics he was known for in his younger days. Additionally, many traders feel insulted when their retail trading indicators and axioms (i.e., their ideologies of how the market works and how they view market structure etc.) are criticized and questioned by ICT. There is a religious element to trading schools and communities. Traders from any school, and people in general, get rather defensive when you poke them in their fundamental axioms. You can make an argument that ICT himself, ICT students and SMC traders are as guilty of this as the traders they often poke fun at. However, when it comes to reading Price Action and Market Structure, I respect ICT as one of the few mentors out there who applies a market making model to trading and who teaches traders to think outside of retail logic. By this, I mean how we interpret things such as order flow, liquidity, and algorithmic price delivery on the charts. From the retail side, we do not have access to the same level of data feeds and analytics to filter out DOM noise (order spoofing, HFTs, etc.) that “professional” traders supposedly do have access to, so I would argue that we really need to try theorizing what price action fractals might look like on the charts from our retail trading avenues with the data that we do have – most notably the ability to tape read. Note that I am not talking about reading the DOM, which is one definition of tape reading. Instead, I am talking about reading price action on the charts from candlesticks (or bars) in order to analyze Time and Price. This is not the same as trading patterns such as flags and pennants or individual candlestick patterns (dojis, hammers, etc.). We are trying to interpret the context and the series of candlesticks (i.e., pure price action OHLC and time) as a reflection of price seeking liquidity and how large orders are booked into the markets. Market Makers: There are three ways you are likely to hear this term used. The first use is for large banks and financial institutions who provide liquidity and who capture the bid-ask spread at a granular level for profits. The second use is for the technical definition of liquidity on the order books. You have likely heard of maker fees vs. taker fees. Makers add liquidity to the markets and takers remove liquidity from the markets by hitting the bid or lifting the offer. Under the second definition, we retail traders can also be “market makers.” The third use of the term is for those entities who we posit as the real string pullers behind the scenes. In Forex, we know for a fact that the central banks directly control the ultimate direction of everything. Outside of Forex, the central banks still impact everything in other markets, but we might assume the direct string pullers to be commercial banks, funds, whales or some other entity. In some ways, this definition does overlap with the first one if we consider the narrative of who controls the balance (areas of fair value) and imbalance (fair value gaps) in any given market. The main difference between the first and third definition is the degree of macro level cynicism and price manipulation that we ascribe to the latter definition of “market makers.” Many traders – myself included – believe that these market makers (the string pullers) leave certain clues in price action based on the algorithms they use and we try to hunt for setups based on signatures of time and price in a given market. Smart Money: This a rather ambiguous term that is used often by certain trading communities. It can refer to large funds (whales), market makers(string pullers), or “in-the-know” traders who supposedly know how to read the footprints of what the market makers are doing. I tend to use the term to refer to the latter group, but you would have to interpret what someone means on a case-by-case basis from context. Smart Money Concepts (SMC): According to ICT, he has taught hundreds of thousands of students over the last three decades through his online mentorship. Apparently, some of the former ICT students did not uphold their NDA and ICT’s teachings have allegedly been leaked over the years and rebranded as SMC. These SMC traders argue that they are teaching Wyckoff. ICT has made multiple videos to highlight how Wyckoff and ICT teachings are different. Having studied about the real Richard D. Wyckoff from books and StockCharts.com, I tend to agree with ICT on this issue, but you would really have to do your own research and come to your own conclusion. I get the impression that many of the newer SMC traders genuinely believe they are using Wyckoff when they first start studying smart money trading systems, so I am guessing only a percentage of traders intentionally try to steal ideas and concepts. That said, be wary of any “traders” who try to sell you any trading “education,” systems, indicators, and setups – regardless of whether it is smart money or some other trading framework. While you cannot expect anyone to reveal 100% of their cards or to hold your hand for free, people who genuinely care about you should be willing to provide at least some information at no cost. Imbalance: I am using this term to refer to broader areas where price has been delivered too much in one direction. ICT’s Fair Value Gap is more precise, so I leave it to you to go study on your own from ICT since most of his content is available for free now. Liquidity: I am using this term on the charts to refer specifically to counterparty liquidity. ICT splits this into two categories: Buyside and Sellside Liquidity. Above old highs, we anticipate a large number of potential Buy Orders because that is where Short positions get stopped out (a stop loss for a Short is a Buy Order), Breakout Long Traders ape in at these levels, and overleveraged Short Positions can potentially get liquidated. Thus, ICT refers to these areas of value as Buyside Liquidity. This does not mean traders should be looking to Buy here. The idea is to think counterparty and realize that it is a potential opportunity to pair those Buy Orders with Sell Orders which would be Profit Taking from Longs or Short entries. Below old lows, we anticipate a larger number of potential Sell Orders because that is where Long positions get stopped out, Breakout Short Traders ape in at these levels, and overleveraged Long positions can potentially get liquidated, especially in markets such as crypto. Thus, ICT refers to this as Sellside Liquidity because of the counterparty potential for pairing those Sell Orders with Buy Orders – which of course amounts to new Long entries and Profit Taking from Shorts. After one area of liquidity has been “taken out,” then we anticipate price to potentially reverse and go after the nearest liquidity in the opposite direction. However, recent lows can continuously get attacked and recent highs can continuously get attacked, so it does not mean we are expecting immediate price reversals or continuations. You would need to use a top-down approach from the HTFs to the LTFs and look for market structure shifts or breaks. While I personally anticipate price to behave a certain way after reaching these areas of value, I would never try to call the exact bottom or top of any short-term, intermediate-term or long-term move. Price can run much deeper into liquidity than I anticipate. As I am still in the process of improving as a trader myself, there are likely more experienced traders than me out there who have a better sense of depth expectations while trading from the same framework and way of viewing the markets. Regardless, I believe strongly in the idea of taking partials and taking risk off the table after we reach each area of liquidity, as price can always go higher towards intermediate-term liquidity after claiming short-term liquidity to the upside and price can always go lower towards intermediate-term liquidity after claiming short-term liquidity to the downside.
Long
by Intermarket_Trader
Short-term and intermediate-term targets for COIN (ICT)ICT traders and "SMC" traders will be familiar with most of the Market Making ideas on here. For traders who aren't familiar with any of the terminology: Buyside Liquidity refers to where we expect Short positions to get stopped out when Price runs on old Highs. We anticipate Order Pairing at these levels where Smart Money Sell Orders are paired with losing Short traders who're forced to Buy at a "Premium." Sellside Liquidity refers to where we expect Long positions to get stopped out when Price runs on old Lows. We anticipate Order Pairing at these levels where Smart Money Buy Orders are paired with losing Long traders who're forced to Sell at a "Discount." I won't explain what Order Blocks are in detail here. I'm not an expert on Order Block Theory and ICT teaches it over on his Youtube Channel for free. Basically, we're looking at theoretical price levels that should be "supported" or "resisted" in the traditional retail trading sense based on Institutional Order Flow. Scenarios I'm considering: 1) Price runs down to the Preliminary Target and then makes a small rally back to the Gap before reversing back again to make an aggressive run down to the Main Target levels. After the Main Target has been reached, we'd anticipate an aggressive rally back up. 2) Price crashes straight through to the Main Target levels (short-term Bearish ) and then rallies to target the Gap (intermediate-term Bullish ) and to potentially higher Buyside Liquidity levels (with the darker green areas representing more ambitious Price Targets). 3) I'm wrong and Price recovers at the current choppy Gap Filling area and rallies straight up to take out the Buyside Liquidity immediately. 4) I'm completely wrong and Price does nothing that I'm anticipating based on the logic I've outlined here. Some traders might wonder how what I've outlined is any different from traditional Support / Resistance levels or Supply / Demand zones. The main difference is the logical framework around liquidity and order flow combined with ICT's Top-Down approach and Time & Price Theories. ICT traders are anticipating targets based on an Imbalance or old Highs and Lows. We're always thinking "to and through" as opposed to the Price respecting some Support / Resistance level unless there is a valid context such as Institutional Order Flow. If you're interested in the concepts here, you can check out ICT's Youtube channel. I'm not affiliated with ICT in any way and I'm not a paying student of his. He's been making most of his elite content available for free in 2022, so everything I've learned is through his free content. Most of the "SMC" concepts out there are taken from ICT, so I would recommend going to the source to learn. Note that ICT does not consider volume. I used to rely on volume all the time, especially when applying Wyckoff and "VSA" strategies. I no longer consider volume as much as before, but I do glance at volume (real and tick volume) for markets with centralized volume across a long span of time on the HTFs to make sure there is confluence with my theories around accumulation, re-accumulation, distribution, re-distribution, and manipulation. This is why I bothered to mention it on the chart (orange box) where we do see a heightened level of contracts traded within this range. Also, we know that Cathie Wood and other institutional investors have an interest in accumulating within this range. That said, I still prioritize HTF liquidity narratives over anything based on volume.
NASDAQ:COIN
by Intermarket_Trader
15