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Marketmakermethod

SILVERThis chart shows Silver (XAG/USD) on a 4-hour timeframe with important levels and technical patterns marked. Here's a breakdown and analysis of the chart: Key Observations: 1. Price Structure: - The price of Silver has been moving in an ascending channel (marked by the blue trendlines), indicating a bullish trend over the period shown on the chart. The price makes higher highs and higher lows in a structured fashion. - Recently, the price reached the upper boundary of the channel and reversed, signaling a potential price correction. 2. FVG (Fair Value Gap): - The FVG (Fair Value Gap) is marked twice in the chart (at 32.40 - 32.50 and 33.10 - 33.40). An FVG represents an area where the market experienced a sharp price movement, leaving an imbalance. Price tends to return to fill these gaps, so the market could retrace to fill the FVG zones before continuing in either direction. - The FVG gap around 33.10 - 33.40 is particularly important as it has already seen a retest and can potentially act as resistance now. 3. Order Block:- An order block is identified around the 33.40 - 33.60 range, suggesting this is a key resistance zone. If the price approaches this level again, it could face selling pressure, which may result in further downside if the market fails to break above it. 4. Support Level: - The support level is indicated around 32.00 (just above the FVG gap), which could act as a strong floor for the price. If the price retraces lower, this zone is likely to act as a buying opportunity, providing strong support before any further upward movement. 5. Recent Drop: - The price has recently made a sharp bearish move from the upper boundary of the channel, signaling a correction from the recent high of 33.40. The market is likely testing the support level at 32.00 or the FVG zones. Potential Scenarios: 1. Bearish Continuation: - The price has recently broken below the FVG zone around 33.00 and is headed toward the support zone around 32.00. If 32.00 holds as support, we could see a reversal from this level. However, if the price continues lower and breaks through this level, it could target further downside levels, possibly reaching the next FVG gap around 31.50. 2. Bullish Reversal from Support:
TVC:SILVERLong
by Joan_Pro_Trader
XAUUSD SELL TARGET SUCCESSFUL HITTING READ IN CAPTIONSThis chart shows Gold (XAU/USD) on a 1-hour timeframe, with various key technical levels identified, including order blocks, FVG (Fair Value Gap), and target zones. Here's an analysis based on the chart: Key Observations: 1. Price Action: - The price of Gold has been moving in an ascending triangle pattern (denoted by the blue trendlines). Ascending triangles are typically bullish continuation patterns, where the price makes higher lows while encountering resistance at the top. In this case, the price is pushing upwards but facing resistance at around 3,147.84. - The price recently tested the FVG gap near 3,138.94, suggesting that the market might be filling an imbalance before continuing its movement. 2. FVG (Fair Value Gap): - The FVG identified between 3,138.94 and 3,147.84 represents an area where the price imbalance exists. In many cases, the market tends to revisit this gap to "fill" it before continuing its direction. The price has already started filling the gap, and traders often look for reversals in these areas. 3. Order Block:- The order block located around 3,163.99 indicates a zone of heavy selling pressure or institutional activity. This is an area where price previously faced rejection, making it a potential resistance zone. It might play a significant role if the price tries to move upward again. 4. Downward Move & Target: - After filling the FVG, the price has made a sharp downward movement, indicating that the bearish pressure has taken over. The target for this move is set at 3,100, which could be the next area of support. If the price continues its downward trajectory, it may eventually test this target area. - The target completion at 3,100 was reached, showing a strong bearish reaction after filling the gap. 5. Volume Analysis: - The volume bars indicate increased selling volume during the downward movement, especially around the time the price hit the FVG gap. This suggests that the market is more willing to sell after filling the gap, signaling strong selling interest. Potential Scenarios: 1. Bearish Continuation:
FX:XAUUSDShort
by Joan_Pro_Trader
BTCUSDThis chart shows Bitcoin (BTC/USDT) on a 1-hour timeframe, with several key levels identified and a potential bullish continuation setup. Here's a breakdown of the chart and its components: Key Observations: 1. Price Channel: - The price is currently moving within an ascending channel between 82,579.97 (lower boundary) and 85,576.69 (upper boundary). The price has been respecting these boundaries, making higher highs and higher lows. The channel indicates a bullish trend, and if the price continues within this structure, it could aim for the upper boundary near 85,576.69. 2. FVG (Fair Value Gap): - There is an FVG (Fair Value Gap) identified between 83,200 and 83,626.01. FVG represents a price imbalance where the market may return to fill the gap. The gap is likely to act as support on any retracement, providing a potential buying opportunity before the price continues upward. 3. Support Level: - The support level is around 82,579.97, which is the lower boundary of the ascending channel. If the price retraces to this level, it may find support and bounce back upward, respecting the channel's structure. 4. Order Block:- The order block is a significant level identified at 87,075.05. This level is likely to act as resistance, and if the price approaches it, there could be selling pressure, which may result in a price pullback or rejection. 5. Target: - The target for this setup is set at 85,200, which is within the FVG area. The price is expected to continue its bullish move towards this level, potentially filling the FVG gap and testing the upper boundary of the channel. This target is based on the current bullish trend and the price's movement within the ascending channel. 6. Volume: - The volume bars show increasing activity as the price rises, which indicates strong buying interest. However, as the price reaches near the upper boundary of the channel, the volume decreases, suggesting that the buying pressure is weakening. If the price tests the FVG gap, it could act as a reversal point before another leg higher. Potential Scenarios: 1. Bullish Continuation:
Long
by Joan_Pro_Trader
GOLDThe chart displays Gold (XAU/USD) on a 1-hour timeframe, showcasing a possible reversal and price target. Here’s a detailed analysis of the chart: Key Observations: 1. FVG (Fair Value Gap): - The FVG zone is highlighted between 3,130.68 and 3,138.94. This represents a price imbalance that typically acts as a resistance zone. The price has recently tested the upper part of this gap around 3,138.94, showing rejection, indicating that the market may not sustain the upward movement. 2. Order Block: - An order block is identified at the higher level, around 3,163.99. This area is likely a strong resistance where market participants may have placed selling orders. Price rejection here could push the market downward, as suggested by the current price action. 3. Price Action: - The price has recently formed an ascending triangle pattern, suggesting bullish continuation. However, it has now reached the FVG zone, where it faced rejection, and the price is now showing signs of moving downward. - After testing the FVG, the price appears to be in a retracement phase. The pullback could eventually target 3,100 if the price fills the FVG gap. 4. Target:- The target is set at 3,100, just below the FVG zone. This level represents a potential support zone, where the price might stabilize before deciding whether to continue down further or reverse to test higher levels again. 5. Volume: - The volume bars suggest relatively strong buying in the early part of the trend. However, there is declining volume as the price reaches the FVG zone, indicating that the buying pressure is weakening. This suggests a higher likelihood of a pullback towards the target of 3,100. Potential Scenarios: 1. Bearish Retracement: - After reaching the FVG zone around 3,138.94, the price might face resistance and reverse down toward the target of 3,100. If the price breaks below this target level, further downside movement is possible toward the next support levels. 2. Support at 3,100: - If the price reaches 3,100 and shows signs of reversal (such as a bullish candlestick pattern or an increase in volume), it could find support at this level, leading to a potential recovery toward the FVG zone again. A successful break above the FVG would suggest further upside toward the order block. 3. Break Below Support:
FX:XAUUSDShort
by Joan_Pro_Trader
USOILThis chart shows the WTI Crude Oil (CL) on a 1-hour timeframe with key levels and potential trade setups based on the FVG (Fair Value Gap) and support and resistance zones. Here's a breakdown of the analysis: Key Observations: 1. Support and Resistance Levels: - Support Level: The price has recently tested the support level around 69.00. This area has acted as a bounce zone previously, which shows that buyers might be looking to enter the market here again. - Resistance Level: The resistance level is around 71.50 to 72.00. This level was previously tested multiple times, and each time the price faced rejection from this level, making it a key area for potential price reversal. 2. Fair Value Gap (FVG): - There is a Fair Value Gap (FVG) between 70.50 and 71.00. This gap represents a price imbalance where the market might eventually return to fill it. As the price is currently moving downwards, it suggests a potential retracement or reversal toward this gap in the near future. 3. Price Action: - The price has recently shown a downward movement, breaking below the support zone at 69.00. After a sharp decline, there is a possibility of retracement towards the FVG area around 70.50.- Volume: The volume bars show significant buying pressure around the support zone, followed by decreasing volume during the price decline. This could indicate that the selling momentum is weakening, and a retracement towards the FVG area is likely. Potential Scenarios: 1. Bullish Retracement Towards FVG: - After the price dropped towards 69.00, it could now retrace towards the FVG gap around 70.50. The FVG gap might act as a resistance zone if the price attempts to fill it. If this happens, the price might face resistance at this gap level before turning downward again. 2. Bearish Continuation: - If the price fails to hold above 69.00 and breaks further below this support level, it could continue to decline towards the next support zone below 68.50. This would invalidate the retracement scenario and suggest a bearish continuation. 3. Bullish Reversal from Support: - If the price finds support at 69.00 and shows bullish price action (like a bullish engulfing candle or a strong green candle), a reversal could occur, and the price may start moving back toward the FVG gap. A break above the FVG gap could lead to a further rally toward the resistance zone around 71.50. 4. Target Completion:
TVC:USOILLong
by Joan_Pro_Trader
GBP/USD: Distribution Signals a Drop to 1.25GBP/USD appears to be in a distribution phase, struggling to break through resistance around 1.2620. The price has formed multiple rejection points at this level, indicating weakening bullish momentum. The recent lower high, combined with a potential break of the ascending trendline, suggests sellers are regaining control. If price breaches the key support zone, a move towards the 1.2500 region becomes increasingly likely. With a bearish harmonic pattern and liquidity grab indications, GBP/USD could see further downside as selling pressure intensifies.
Short
by BeaucoupPips
EUR USD IdeaAs our grand Bullback and Continuation Theory from yesterday could still be in play, there is a critical observation to consider: our daily candle wick 1.10089 closed only over the previous range high. From years of trading experience, this is not a bullish move warranting full risk on the bullback. To think like a professional trader, if the market maker didn’t push these highs, what's the reasoning behind it? Did they just grab liquidity and go short, or are we still on the path to continuation? The answer is elusive. Therefore, my swing trade idea here will be scaled down in terms of risk. Here’s my warning if you have a similar trading plan: Be patient. Market makers are extremely tricky, and there's no need to let them hit our stops. Wait for a 4-hour shift before making a trade. We will keep our ideas posted, so stay tuned and let's navigate the market smartly!
Long
by themarketknight
Market Makers in Crypto: Who Controls the Cryptocurrency Market?Functions of Market Makers Market makers perform several essential functions in the cryptocurrency market, including: Providing Liquidity: They ensure there is enough liquidity between buyers and sellers to maintain active market participation. Providing Quotes: They offer bid and ask prices at any given time, facilitating trades between market participants. Risk Management: Market makers manage trading risks and maintain a balanced risk-return ratio to protect their interests and those of their clients. Providing Advice: They supply market information and analysis to assist clients in making informed trading decisions. Improving Market Efficiency: By reducing the spread between buyers and sellers, market makers enhance overall market efficiency. Market makers in the crypto industry operate similarly to traditional market makers. They provide market liquidity, execute buy and sell orders instantly, and earn profits from the spreads between these orders. However, due to the relatively unregulated nature of the cryptocurrency market, there is no stringent code of conduct for market makers, and the technical demands for ensuring transaction security are higher. Market makers follow a simple principle: "buy low, sell high." This approach requires handling large volumes of transactions, sometimes up to tens of thousands per second. They use advanced algorithmic programs to monitor numerous parameters and recalculate forecast prices multiple times per second, thus providing market liquidity without incurring losses. Despite this, even sophisticated trading algorithms can falter due to rapid trade speeds or incorrect price predictions. During periods of high volatility, market makers might incur losses while trying to stabilize the market. Therefore, a stable or slightly fluctuating market is ideal for them, while days with significant price movements can lead to substantial losses. In essence, while regular market participants react to past events, market makers anticipate future market movements to set optimal buy and sell prices and determine order volumes. Cryptocurrency exchanges and market makers often collaborate closely. Some exchanges maintain their own market-making teams, while others partner with third-party market makers. This cooperation can take two forms: Direct Cooperation with Crypto Exchanges: Exchanges offer special programs for market makers, providing personalized trading terminals. Through APIs, exchanges share order book information and market depth with market makers, facilitating pricing and matchmaking. Indirect Cooperation with Crypto Exchanges: Market makers provide over-the-counter (OTC) market-making services through intermediaries or platforms. Market makers are crucial but not mandatory for liquidity provision on crypto exchanges. They must negotiate terms such as commission distribution and trading volumes with exchanges to ensure profitable and smooth cooperation. Additionally, they must adhere to exchange rules and external regulations to ensure legal compliance. From a trading mechanism perspective, market makers with internal exchange connections play a significant role in price determination, which can help prevent price manipulation to some extent. Their presence enhances exchange liquidity, improving user experience and loyalty, and making the exchange more profitable. Consequently, exchanges often offer discounts to market makers for their activities. ✅Disclaimer: Please be aware of the risks involved in trading. This idea was made for educational purposes only not for financial Investment Purposes. --- • Look at my ideas about interesting altcoins in the related section down below ↓ • For more ideas please hit "Like" and "Follow"!
BITSTAMP:BTCUSDEducation
by Crypto4light
Long BTC/USDTP - Potential MM's Weekend TrapLooks like a 5-wave Elliott wave move up, with waves 3 and 5 hopefully hitting over the weekend. Wave 0 starting during the NYC session/reversal, potentially offering-up a nice “market maker weekend trap”, topping-out at wave 5. If true, price should also retrace back down for the “midweek reversal” next week. Invalidation (stop loss) would be price closing below wave 0 (red S1 line on the CPR). Shout out to Tino @TradersReality Craig Percoco, @TradeTravelChill and Anup's magical CPR.
Long
by dimuthj
Exploring the S&P500: Decoding the Market Maker-Here's my quad chart analysis of ES1!, the S&P500 futures index, displaying striking accuracy with Fibonacci retracements. -The top two boxes present micro charts on daily tf's, showing recent Fibonacci-based peaks and troughs. The bottom two are weekly schematics on 3 Day tf's, revealing longer-term trends obediently following Fib levels. -KEEP IN MIND THE BOTTOM TWO "WEEKLY" ARE ACTUALLY 3 DAY CHARTS MAPPING A WEEKLY SCHEMATIC -This alignment suggests the Market Maker's playful maneuvers before an anticipated significant move. Based on the patterns, I hypothesize a considerable downtrend on the horizon for the S&P Futures Index (ES1!). -Remember, market predictions aren't set in stone and require vigilance. However... dump city here we come.
CME_MINI:ES1!Short
by MichaelBsul
The true thinking process of the banks - Forex Master Pattern Hello there traders, in this article I have compressed information which will be useful for every trader. There is this trading methodology which very little know of (Even though its public information) that revolves around a market cycle which consist of an contraction, expansion, and trend. This article will just open the doors to your understanding of these principles, and will just go over the basics, to master it you must practice it a lot and identify many different zones in the markets. Practice Makes Perfect __________________________________________________________________________________________________________________________________________________________________ What will be gone over in this article? This article will explain what exactly are contraction phases, expansions, and trends and how to identify these different market phases. Get a basic understanding of what institutional traders look for and how they operate vs Retail. What exactly is the value line and how it acts like the "center of gravity". __________________________________________________________________________________________________________________________________________________________________ What is the Forex Master Pattern? The “Forex Master Pattern”, is a alternative type of Technical Analysis which shows the true psychological patterns of the Financial Markets. This pattern has 3 Phases, which is known as the Contraction, Expansion, and the Trend Phase, which will complete one market cycle in this term. This pattern also creates a concept known as the “value line,” which is the fair value zone or the neutral belief zone where buyers and sellers agree is the fair value. Consider it in terms of the center of gravity. This pattern is present on every timeframe and in every market with enough liquidity and volume, and shows the behavior, psychology and activity of retail, professional traders, institutional traders and investors and market makers. __________________________________________________________________________________________________________________________________________________________________ The Contraction Phase The contraction phase is the setup and it indicates a period that the market is in consolidation, with a tight and narrow range. During the contraction phase there is going to be low institutional volume and they are avoiding positions and trades. It is best to avoid trade entries in this phase and wait for a clear trend after the expansion. The Expansion Phase The expansion phase is the play and its when the institutional traders begin to accumulate positions. There are many things that institutional traders would do in this phase. If the institutional trader or "market maker", main goal is to buy the asset, they will drive the price lower with their money to draw in retail traders to place shorts and sell their positions which will generate liquidity for "smart money" to buy cheaper. and vice versa. If the institutional trader or "market maker", main goal is to sell then they will make the price go up a little with their own money to lure in traders who will buy their bags so that "smart money", can sell in a profit and overvalued. The Trend Phase The trend phase is the final phase that completes this market cycle. Once the institutional traders feel like it is time for them to start taking profits, will commence the distribution cycle which causes price to move down. All this profit taking from "smart money", will eventually lead retail traders to understanding that they were in the wrong side of the trade and the panic, liquidations, and stops start. Eventually they panic and start buying back in, and this generates liquidity for institutional investors and traders to take profits, leaving retail with overvalued bags, for the cycle to repeat itself again. For the short scenario it'll be a vice versa too, they will move price up with their own money, cause retail to believe the price is going up so that they get into wrong trades (Retail buys, Smart Money Shorts), they start accumulating short positions or selling their bag and with the trend drive price back to value or even below, and at this point retail again begin the panic, liquidations, and get stopped, and ultimately sell their bags to institutional traders who buy at a discount. This pattern is also similar to the accumulation and distribution cycle and are basically the same theories with different executions. __________________________________________________________________________________________________________________________________________________________________ What is the value line? Previously in this article I have explained how contraction zones create fair value lines. Value lines can be described as the average price and the neutral belief zone for price. It sorta acts like an center of gravity. Knowing the HTF value lines can be your key to success since you will understand the general direction of the market. Value lines help you visually understand what territory the market is in, like if its consolidating at value you should avoid entering any trade at all cost and wait for the expansion and perhaps the trend. These value lines and contractions can also be used to find certain broadening wedge ranges and the longer price stays in a proper broadening wedge the more volatile it will get. The broadening wedge starting from the origin of the contraction is rare to find but can create some pretty good scalping environments and conditions. Conclusion: Well I hope this was educational, and it gives you another way of understanding the markets. This article was pretty basic in understanding this pattern and methodology but hopefully now you have more awareness. The best way to start understanding these principles is to practice in the charts and learn to identify the three phases. This isn't a strategy but more like a theory or a concept which explains the behavior of the market. With proper understanding you can create many different strategies since this is extremely versatile and works on any market and timeframe if the liquidity is there. So go on the charts and try to identify the three phases and see how you can improve your trading game!.
Education
by Traders_Endeavors
2
BTCUSDT H1 Hi if price backtests demand zone and appears bullish signal, could be bullish engulfing, morning star, hammer...so on entry - demand zone when signal appears SL - lower edge of demand zone which is given on chart can set a bit more space for preventing fake move TP - 20798 It's supposed to be an uptrend parallels channel but faces a bit of selling pressure, so TP at the point which meets the resistance line which is given on chart as well all are just personal opinions, not investment advice! any suggestions and feedback are welocme!
Long
by Aki_0123
4