
Mastering Market Structure for Elite Trading Success
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Mastering Market Structure and Liquidity
Price seeks liquidity and respects structure. The edge comes from mapping those levels and waiting for delivery.
Most traders chase candles without context. Professionals read the story. Structure shows who is in control. Liquidity shows where price is drawn next. When you map both the chart becomes intentional.
Market structure
Identify the active range. Mark the swing high and the swing low. Above the midpoint is premium. Below the midpoint is discount. An advance forms higher highs and higher lows. A decline forms lower highs and lower lows. A meaningful break and hold signals a shift in control.
Liquidity
Stops and resting orders collect above highs and below lows. These pools act like magnets. Expect a reach into the pool a brief sweep and then a decision. Use pools as targets and plan for the next pool beyond.
Inducement
Inducement is bait at obvious levels. A quick push invites the crowd to enter at the worst location. Once trapped the tape often flips and runs the true path. Let the trap spring before you act.
Execution
- Confirm bias from the higher chart
- Choose a nearby pool as the objective
- Wait for a sweep and a clear shift
- Take the first clean pullback with a stop that proves you are wrong
Closing thoughts
Price delivers to liquidity with intention. Structure gives direction. Liquidity gives targets. Patience turns analysis into results. Trade like a professional and let the market come to you.