Liquidity fails you because you choose the wrong levels.
You need a simple and repeatable system for choosing the right swing points to use.
Then, you need a easy to spot pattern for entering trades at these levels.
Save and study for later.
In trading, understanding liquidity and selecting the correct levels to trade from are crucial for success. Liquidity refers to the ability to buy or sell an asset without causing significant price movement, and it usually concentrates around key price levels where many orders cluster. For instruments like NQ (Nasdaq futures), traders observe specific swing points such as the Previous Day High (PDH), London and Asia session highs and lows, and points of liquidity gaps—these act as magnets for price movements. A simple, repeatable system involves learning to identify these critical levels clearly. For example, marking daily high and low points, London and Asia session ranges, and areas of imbalance or 'kegsoad' (a term sometimes used for key areas of liquidity) helps traders pinpoint where price is most likely to react. Once these levels are established, the next step is to watch for easy-to-spot trade entry patterns, such as price testing support or resistance at these swing points, rejection wicks, or confirmation through volume spikes. Combining these with a plan to enter trades at these levels can reduce guesswork and improve consistency. Saving and studying these levels and patterns over time allows traders to develop intuition and refine their approach, increasing the odds of capturing profitable moves. This approach applies across markets including stocks, forex, and crypto, aligning with the concepts taught in ICT (Inner Circle Trader) methodologies and liquidity-based trading. By focusing on the correct liquidity levels—PDH, London High, Asia High, London Low, and Asia Low—and understanding their relationship with market behavior, you can build a more dependable strategy that helps avoid the common pitfall of failing liquidity due to choosing the wrong levels. This structured approach not only improves entry timing but also sharpens overall market analysis skills.







































































Funny how everyone blames ‘stop hunts’ and liquidity sweeps… my AI bot trades right through them. Maybe the problem isn’t the market.