NZDUSD Market Structure 20 SEP 2019

This is an excellent example of a repeatable pattern in the FX market. I would say Textbook because it is perfect - but this happens so often that it is core to the way we think about Market Structure. Study this Market Structure thoroughly and understand what is going on here. If you understand this - you understand the core of Market Structure. First you have a mark up ("uptrend") - by the first Higher High (HH) then a Higher Low (HL). Price continues to drive upward until it reaches a zone where it can no longer continue [...]

By |September 21st, 2019|

Liquidity Gap Fill Trade

What is a Liquidity Gap? First - without getting too much into market mechanics ( I will do so in a future blog post ) - you have to understand a basic concept. Markets are really trying to find the balance between buyers and sellers. Period. So if you learn anything here - take this away -> MARKETS WANT BALANCE. You may hear people say that markets are consolidating - what professionals take this to mean is that price is in balance. Markets will continue to be in balance unless some sort of news or force [...]

By |September 16th, 2019|