In the trading world, not every price area that experiences strong movement means there is real liquidity! 😮
There are two types you need to distinguish if you want to enter with the big players and profit instead of being prey:
🟥 False liquidity:
• Areas where the price is intentionally pushed to accumulate or distribute trades.
• It is often a trap for beginner traders.
• They show a sudden high trading volume, but without a clear continuation in the direction.
• You will be close to the very clear supports or resistances 🔺⬇️.
📌 Example: A massive candle breaks resistance… and everyone buys… then the price collapses! 😅
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🟩 Real liquidity:
• Areas where real accumulation occurs by institutions.
• They show price reaction repetition + trading volumes distributed over a longer period.
• They usually happen after a deep correction or a sudden price crash.
• When the price exits, it goes powerfully in a clear direction without quick retracement.
📌 Example: An area was broken, then the price re-tested it, and after that, the price surged significantly ✅.
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🚨 Advice for beginners:
Before you enter any trade, ask yourself:
“Was this area escalated to deceive me? Or was liquidity quietly gathered here?”
⬅️ Try applying this on the last chart you saw… and observe the difference through the eyes of an analyst, not a victim!
#zerocosteducation
📌 And don’t forget… the recommended currency today is:
$TIA 🔥🪙
