How to establish a trading framework?

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1. Determine market structure

Confirm whether the market is in an uptrend or downtrend.

Identify key points such as HH, HL, LH, LL.

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2. Identify liquidity pools

Find the buyers and sellers' liquidity pools in the market.

Mark potential high and low points that may be cleared.

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3. Look for order blocks

Identify the possible order areas for institutions.

Look for entry opportunities near the order blocks.

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4. Use FVG to confirm entry points

Confirm whether the price tests the imbalance area.

Look for reversal signals after the retest is complete.

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5. Set stop loss and target levels

Place the stop loss outside the liquidity sweep area.

Set the target level near the next liquidity pool.