Price action shows a clear liquidity-driven structure shift followed by a potential high-probability reversal setup.
The market initially formed a range with multiple liquidity sweeps, taking both sell-side and buy-side liquidity. A liquidity sweep to the downside was followed by a strong impulsive move, creating a Break of Structure (BOS) and confirming a shift in momentum. This was later reinforced by a Change of Character (CHoCH), signaling the transition from bearish to bullish intent.
After the shift, price continued to move upward, forming higher highs and higher lows, indicating short-term bullish structure. However, the recent move into the highs shows a buy-side liquidity sweep, where price tapped previous highs and failed to sustain above them.
This rejection suggests potential distribution at premium levels, with price likely to seek inefficiencies below.
