💥Why does the price move? The answer lies in liquidity, not news
Let's now explain the first idea (identifying liquidity areas) based on the chart in front of you step by step and in a way that professional traders do 👇
🔍 Chart explanation
1️⃣ The zigzag line (price)
This represents the price movement over time
Upward = Influx of buying liquidity
Downward = Outflow of liquidity or selling pressure
2️⃣ The upper horizontal line ⬆️
Sell-side liquidity area (Buy-side Liquidity)
Here there are:
Large sell orders
Stop losses for sellers
The price often:
Moves up towards it
Then there is a strong rejection or reversal
📌 Whales target this area to offload their positions.
3️⃣ The lower horizontal line ⬇️
Buy-side liquidity area (Sell-side Liquidity)
Here there are:
Buy orders
Stop losses for buyers
The price:
Drops quickly
Then sometimes bounces violently
📌 This area is preferred for accumulation.
🧠 How to trade using liquidity areas?
✅ Simple strategy:
Do not buy in the middle of the move ❌
Wait:
For the price to reach a liquidity area
For price rejection to appear (long candle – wick)
Enter only after confirmation ✔️
⚠️ Common mistake
An upward move does not mean buy
A downward move does not mean sell
❗ The price always goes where liquidity exists
Professional summary 💡
The market does not move randomly
Liquidity = the real fuel of the price #Whoever understands liquidity... leads
90% of traders
