NAS100USD: Targeting Low-Resistance Liquidity ZonesGreetings Traders!
In today’s analysis of NAS100USD, we observe a recent bullish shift in price action, presenting opportunities to capitalize on buying setups. Wednesday’s volatile move to the downside, triggered by the FOMC announcement, created a liquidity void—an inefficiency in price delivery where only sell-side action was present. The market tends to revisit these zones to rebalance, making them key areas of interest.
This liquidity void also qualifies as a low-resistance liquidity zone, where minimal obstacles exist to impede price movement. Consequently, we aim to target price progression through this zone until reaching the high-resistance liquidity zone, the last area where significant price resistance occurred.
Key Observations:
Institutional Perspective: Price moved from a discount zone, where institutions order-paired against sell stops, indicating they are now running their trades toward fair value.
Fair Value Areas: Liquidity voids and fair value gaps are prime zones for institutions to scale out of their positions, making them strategic targets for our trades.
Trading Strategy:
We will look for confirmation to align with bullish institutional order flow and target the liquidity void as a fair value zone. The FOMC-induced displacement provides a clear inefficiency that institutions are likely to use to balance their positions.
Let’s analyze the price action carefully and adapt as the market develops. Share your thoughts or questions in the comments, and let’s navigate the markets together!
Kind Regards,
The Architect
