Tradable vs non-tradable order blocks
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- FLIP ZONE [FZ] This is when Resistant [R] becomes Support [S] vice vasa [vv] Hint
K e n n e D y n e s p o t • 2 | 27 MITIGATION Mitigation means; to reduce risk. When the MM moves price away from a level with strength and magnitude, say they are buying; it is assumed that they are enticing retail traders to join the move. And because most retail traders are price chasers, they join the ride with their Stop Loses [SL] set. This is the reason (assumed) that the MM will come back to clear retail traders SL. When their (Retail Traders) SL are hit, they are knocked out of the move, hence MM mitigating their risk (THEY WILL RESUME THE INITIAL TREND HENCE MOVING ALONE). NOTE; Mitigation is not a must thing after imbalance trading in the market because this will always depend on how much profit the MM has made Hint: To know that the MM are mitigating, there are a number of things you need to consider. For instance, the LV must accomplish some tasks before validating the OB. Exhibit: For Instance; To validate a BuOB with a Bullish LV; 1) LV should take out opposing OB or 2) LV should Break Out Market Structure or 3) LV should Create Equal High EQL. This is valid IFF the price is bouncing from HTF BuOB (For Reversal Entry) or a trading market (for re-entries) NOTE; HTF OBs are more effective than LTF OBs, especially when these conditions are met K e n n e D y n e s p o t • 3 | 27 FLIP ZONE [FZ] This is when Resistant [R] becomes Support [S] & vice vasa [vv] Hint: Before buying at Support (initially resistance), check the strength that was used to break the Resistance. Here, we want to see LV before we locate our OB. Download 1.27 Mb. Do'stlaringiz bilan baham: |
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