The rule of 30 is a concept that allows you to find the timeframe you should use for confirmations on your trades. Keep in mind that this gives you an idea of the timeframe range you should be looking in and not an end all be all timeframe for that trade.
Watch this video to learn how to adjust your thought process when the market does not give you any valid POIs to work with. I struggled with this for a long time.
When the price changes its direction from making LH and LL to HH and HL is called CHOCH(Change of character or change of structure). Please hit like👍 and follow. Thanks.
Please like, share & comment on my educational post.
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After a BOS we expect price to pullback and
mitigate a significant zone in the previous
range before continuing
to break structure again.
If we do not get this mitigation it is likely that the
high/low that failed to mitigate will become liquidity.
To properly illustrate a level of liquidity where an opportunity to buy or sell may be present, simply draw a horizontal line from the latest wick or swing high/low and extend it all the way until it intersects with price again.
Happy Trading Traders.
As promised, here is the breakdown of my trade on GBPUSD :)
Check the links to related ideas for more context.
Make sure you watch the Element of Time tutorial to better understand this breakdown.
🔹 Liquidity is like fuel to move the market in a specific price zone.
🔹 We can find liquidity in zones where a lot of people set their stop losses and buy/sell stops.
🔹 The market makers will manipulate the price to break these obvious zones and take the liquidity.
🔹 These are the most common liquidity patterns.
Smart Money Concept or rather 'SMC' is the new retail approach to the market with virtually everyone involved with this method yet people are still loosing money and blowing accounts, the question is why? Click on the video and find out.
Why are order blocks formed?
Order blocks are created when a breakout move doesn't go to plan.
If banks get caught in a fake breakout move, they aren't going to sit and cry about it.
They are going to push the price back up/down so that they can close out of their negative positions to join the correct side of the market.
Stop using order blocks that have no...
Inducement is a trap before an area of supply or demand.
Price will usually lure impatient buyers/sellers into the market before the zone is met to create liquidity.
Once the impatient traders get trap [ped and stopped out, the true move begins.
This just goes to show the importance of sitting on your hands!
Traders, if you have your own opinion about this...
The market is declining but will not last long.
In my opinion, this price correction in the market is a trap for small traders to sell their assets at a low price.
Buying at low prices makes a profit.
Il mercato è in calo, ma non durerà a lungo.
A mio parere, questa correzione dei prezzi nel mercato è una trappola per i piccoli trader per vendere i propri asset a...
Here is a breakdown on LTC because some have complained about my call to short LTC. I have not changed my bias. I want to give an example of the phases as I see it now and what I am looking for before I go LONG. This will be interesting for breakout traders since they usually don't realize that the break and retest trade is contained within phase C and may or may...
![BTCUSD: [LOKEN] Smart Money MCDX BULLISH study](https://s3.tradingview.com/a/AungRH0y_mid.png "[LOKEN] Smart Money MCDX BULLISH study")
