Strong bullish movement leading up to the inducement area.Analysis & Key Zones:
1. Inducement High & Bearish Zone:
• The top level is marked as the “zone for Bearish” around 4256.45.
• This is where price might reverse or face selling pressure.
2. Inducement Low & Bullish Zone:
• The bottom level is marked as the “zone for Bullish” around 4206.78.
• This is where buying interest may appear.
3. Inducement Concept:
• The chart highlights a short-term push (inducement) to trap traders.
• The note says: “As long as this inducement doesn’t take the low’s liquidity and doesn’t make a new high, we will wait. Once it takes the liquidity, then we will buy from its low.”
• This indicates a liquidity-based trading strategy, waiting for price to sweep lows before entering a bullish trade.
Trend:
• Potential for either continuation (if liquidity is taken) or a bearish reversal near the top zone.
Overall Summary:
This chart shows a liquidity sweep strategy where traders monitor inducement highs/lows to determine optimal entries. The key action points are:
• Buy from the low after liquidity sweep.
• Watch the top zone for potential bearish reversal.
