Most traders get lost among indicators, lines, and a lot of talk...
But the simple truth?
The market moves because of supply and demand - no more, no less
And those who understand the areas where buyers and sellers gather... can enter and exit with the highest possible accuracy! 🎯
Today we will reveal to you the secret of supply and demand areas...
And how they act like whales, not like the herd 🐋🐑
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1️⃣ What are demand zones? 📦🟢
Areas where a strong buyer appears... pushed the price upwards
🔸 Appears after a drop, then a strong bullish candle
🔸 A strong base - the price often bounces off it multiple times
✅ These areas are excellent for entry during a retest
🎯 Example:
If the price drops to a demand area... and starts bouncing off it with a clear candle = strong buying opportunity
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2️⃣ What are supply zones? 🧺🔴
Areas where a fierce seller appears... pulled the price downwards
🔸 Appears after an increase, followed by a strong bearish candle
🔸 Represents smart resistance - it may drop again after the retest
✅ Ideal for determining exit areas... or even selling from the peak
🎯 Don't wait for a false break... watch the reaction as soon as the price returns to it
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3️⃣ How do you identify it on the chart? 🧠📊
The steps:
1. Look for strong candles (sharp rise or drop)
2. Go back... and look for the last area where the price was before the explosion
3. Draw a rectangle covering the body of the candles
4. Wait for the price to return to the area... and observe the behavior (reversal candles? High volume?)
✅ The best is always to confirm from price action
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4️⃣ Smart use:
🔹 Demand zones = entry
🔹 Supply zones = exit
But the whales? They use it as places to gather liquidity
📌 When the price returns to the area... they decide whether to respect it or break it
🎯 Your role? Read their intentions through the candles and volume!
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🧪 Today's exercise:
1. Open a chart of a currency you like (4 hours or daily)
2. Identify two areas: supply and demand
3. Observe how the price reacted with it in the last 3 times
4. Try to build an entry and exit plan based on the reaction
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🔐 Real trading starts when you see the market as a 'liquidity map'...
Not just a chart and numbers
And those who master reading supply and demand zones... become closer to institutional thinking