Market sessions and liquidityVolatility is a measure of how much a market moves up and down over time. It's an important factor to consider when trading, because it can have a big impact on your profits (or losses).
Liquidity is another important factor to consider when trading. It refers to the ease with which you can buy or sell a security. A liquid market is one where there are plenty of buyers and sellers, and prices don't change too much. A illiquid market is one where there are fewer buyers and sellers, and prices can change dramatically.
So, what does market volatility tell you about its participants?
Well, it can give you an idea of how confident they are. If a market is volatile, it means that participants are constantly buying and selling, which can be a sign of confidence. On the other hand, if a market is relatively stable, it may mean that participants are content to hold onto their positions for a longer period of time.
Volatility can also give you an idea of how informed the participants are. If a market is moving up and down a lot, it means that participants are constantly reacting to new information. In contrast, if a market is relatively stable, it may mean that participants have a good understanding of the underlying conditions and aren't as easily swayed by new information.
So, what does market liquidity tell you about its participants?
Liquidity is important because it affects how easy it is to buy or sell a security. If a market is liquid, it means that there are plenty of buyers and sellers and prices don't change too much. This can be a sign that participants are confident in the market and expect prices to stay around the same level.
Marketstructure
GBP/JPY Potential 380 pip sell setup!we have seen a nice transition for price respecting the daily support level , still lover timeframe we see price doing a full retracement of the 100% fib level, and got a nice rejection of it.
we shall see a nice continuation to toward side, go with the downward momentum and if we see price breaking the upside then the setup becomes invalid
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#AUDJPY sell opportunityPrice clear bearish structure in 1H timeframe, price shows reaction to structural point ( previously acting as a support but now its acting as a resistance area ).
Now for a short position we need price to comes up one more time and reject from the area and forming a kind of toping formation like double top which is possible in lower timeframe to be able to sell.
Also price taking out liquidity from above the arrow but failing to close above them is another great signal to take a sell position on this pair.
BTC Detailed Top-Down Analysis - Day 110Hello TradingView Family / Fellow Traders. This is Richard Nasr, as known as theSignalyst.
110 out of 500 days done.
I truly appreciate your continuous support everyone!
Let me know if you like the series, and if you would like me to change or add anything.
Always follow your trading plan regarding entry, risk management, and trade management.
Good Luck!.
All Strategies Are Good; If Managed Properly!
~Rich
BTCUSDT H1 potential short position Hi,
BTCUSDT H1 is almost at the end of the triangle pattern ,
price usually acts more volatile once the stock market opens (Monday is coming)
price already gets closer to supply zone which price has tried to reach several times but failed,
if price reaches supply zone (red block) and appears bearish signal,
can try short position,
entry, SL, TP are given on chart
just personal opinion, not investment advice.
MATIC / USDT LONG Hello traders
In today's session, we are watching the cryptocurrency Matic for a short-term buying opportunity after closing the downside wave for a small correction. Our first target is the top, and the second target is 1.27 FB Level.
#USDCAD another sell opportunityPrice has formed a V-TOP chart pattern formation as you can see in 4H timeframe and also managed to close below 4H low which means that our structure now turned to bearish again. due to V-TOP formation price formed a bearish engulfing candle in Daily timeframe which is a strong signal for bearish move and also as we can see we are in overall in bearish move so we can interpret this daily candle as an continuation signal for higher wave cycle.
Now that we have bearish bias we should be looking for areas which potentially price can tap into in lower timeframe like 1H or lower, take out some liquidity and turn to the downside again.
#EURUSD next moveIn order to analyze EURUSD move we can use intermarket analysis as well, and as you can see for a past couple of month we have high positive correlation between EURUSD and TLT ( US 20 year treasury bond ETF).
Right now that price has been trapped in a rangy area for a Days, we can say for a breakout of any side we need to see confirmation from TLT as well. which means if price wants to create a Higher high and penetrate the high we need to see TLT create new high as well and goes above the arrow on TLT curve.
However, if TLT is unable to create new high but EURUSD does there might be intermarket divergence between these two assets and that perhaps could signal for a bearish divergence which can be followed by a downside reversal on EURUSD.
A third scenario would be that they both fail to create high and turn to the downside which in this case EURUSD chance to break to the downside is higher.
A lot of news can have impact on the movement of TLT like tomorrow unemployment rate but for sure the single most important one would be federal reserve fund rate which going to be announce on 14th of December , and if fed hike rates is lower than expectation that can bring TLT Higher and drive EURUSD Higher as well.
#JPYbasket bullish move confirmationsyesterday red candle was not only a retest to a broken bearish channel upper line, but also head and shoulder neckline. in addition to these two confluence we should be aware that JPY index suffers a lot through past month during rate hike cycle of central banks and fall massively like never before.
But now that we have some confluences that we are close to end of rate hike cycle JPY has found some room to appreciate against other currencies and as a result in technical aspect we can see it had formed and broke bullish chart pattern and its no longer trading in bearish channel.
with the look at the text book chart pattern target we can see that price can come all the way up to the oldest bearish channel midline and from there we should be looking for other confirmation and change in macro-economy.