@I_Am_Emisky: My Trading Model and Rationale...

My Trading Model and Rationale "SLK"
Part 1🧵

SLK - means structure, liquidity and key levels.

What is structure?
Structure tells us the direction of market. We have Bullish, Bearish and Ranging structure.

Bullish structure Also know as  uptrend,  is characterised with the continuous creation of higher highs and higher lows. This creation leads to continuous break of structure (BOS) to the upside.

Bearish structure Also known as downtrend, is characterised with the continuous creation of lower hi g s and Lower lows. This creation leads to continuous BOS to the downside.

Ranging market Also known as consolidation. In this case there is no direction of price rather price moves randomly in an unspecified direction.
In most scenarios Ranging market signals the transitioning of either uptrend to downtrend or the other way round

Now what is liquidity?

Liquidity can be seen as money in the market. In other words, it is where money resides in the market and can be in form of highs and lows of the market depending on the structure.
There are various forms of liquidity which include;

Structural liquidity (inducement) - Here the high after the poi/ main high breaks structure. That is the pullback after the first BOS breaks another structure
Engineered liquidity - Here the high after the main high does not BOS.
The pullback does not break structure

Also previous candles of weekly, daily, 4hr, or 1hr candles can also act as liquidity depending on your market approach.