understand the #CRYPTO market from the 10% view ditch retail PT2
on part two we will discuss how the 10% looks at the markert, and first thing first is understanding market structure from the proper lens. this time around i will save time by only talking about my philosophy to the market vs opposing retail so lets dig in.
when approaching market structure one should ask. who why and where is price going . put yourself in the shoes of the market movers and the sharks that makes 90% of the money from public. we have to remember that trading is just essentially a transference of funds form one and to another but it never leaving the inner circle. so market structure should be approached as if i am moving the market where was the last time or area i opened a new idea or placed a trade, rather then trying to find where others are buying at support. now if you are the market mover you will come to understand the importance of paring orders. and how liquidity zones help allow price to flow smoothly. so for example if i am the few thats moving btc and i initially started buying btc around sub 30k areas where would i want to buy again at for the best opportunity cost? 30k or below so what would i do? easy book profits on my longs and start to shift to shorts now on the chart this will look like an accumulation area for retail. now remember for every buyer there must be a seller vice versa so as i book profits on my longs i am also unloading large selling pressure unto the market which will automatically cause some move in price. now because you are the market mover you cant just instantly switch all positions to short or sellout fully of your positions so you have to start stacking shorts around a set price thats good for the 10% . this will look like the highlighted area where it says sell stacking on the picture. now once large funds have about 50% of their ordes filled for thier shorts this is when price starts to fall. while price is falling there are two people in the markets the "dip buyers" filled with hopium and panic sellers that took the other side of your trade. these two players will help you move price as one the dip buyers help your orders get filled as u add on to your position towards the down side, and two the panic sellers help move price down faster by adding more selling pressure. both participants are nothing more then liquidity to you. in this case you cant let price run to fast as you will leave money on the table so what comes after you open your postion and you are now in profit. you partially close out and book profits . this leaves a wick usually resulting in the dip buyers feeling good and the shorters also feeling good as they have made some money riding your wave. the shark in you knows there can be more money made before the next move down so now it is time to allow price to recover while you continue to add onto your original short idea . this will form an area of accumulation and liquidity as retail put sl under this wick or area and limit orders will be placed around this area. so while thought are being gathered around a certain price area you give time for retail to choose a side to lose money on. as price continues to bounce fomo will enter the market bringing in more liquidity at higher prices these fomo buyers will be your liquidity to take the other side of your trade.
KNWOING THE MARKETS are filled with ignorance and emotion you understand that the longer price satys up the more money comes into the market which inturn mean more money made on the downside the more hope that comes into the market the more reckless traders become leaving positions open to be liquidated. BOOM you are ready to unload another wave after sell stacking hiddenly during the bounce now you have paired your short term buys with an open candle and you are now short with roughly anohter 10-15% of your allocated risk now in the market. u push price down before buyers can exit and run through the perceived support area which was really liquidity that would be used to book profits or further push price down. after this move retail is stuck in confusion to how their support area was broken, out of their confusion they revenge trade and once again try to buy the dip to recover the lsot funds. this time you play to their hand to bring back some trust and hope to the market so you hedge your shorts for the mean time and now take out the sellers who had their sell stops at the support and allow the "dip buyers " to win this battle. once again creating a wick or area of accumilation where retail will fall for the same time as before due to their ignorance. of course as price is pushing up on the bounce you are trying to pair your odrer now what are we looking for to pair orders? the closest possible price to our original entry or last entry. price moves up to the open of your position and you continue with your movement .
with these two moves in you have now taken out shorters and buyers and this cycle can keep happening over and over . now some will ask how can we see this happen next post i will show ypu what to look for.
as for now try to take this approach to your charts and see if you can find examples off this order playing out in the market
here are my marekt rules and terms so when looking at my post in the past future you can know what every term or symbol mean
when approaching market structure one should ask. who why and where is price going . put yourself in the shoes of the market movers and the sharks that makes 90% of the money from public. we have to remember that trading is just essentially a transference of funds form one and to another but it never leaving the inner circle. so market structure should be approached as if i am moving the market where was the last time or area i opened a new idea or placed a trade, rather then trying to find where others are buying at support. now if you are the market mover you will come to understand the importance of paring orders. and how liquidity zones help allow price to flow smoothly. so for example if i am the few thats moving btc and i initially started buying btc around sub 30k areas where would i want to buy again at for the best opportunity cost? 30k or below so what would i do? easy book profits on my longs and start to shift to shorts now on the chart this will look like an accumulation area for retail. now remember for every buyer there must be a seller vice versa so as i book profits on my longs i am also unloading large selling pressure unto the market which will automatically cause some move in price. now because you are the market mover you cant just instantly switch all positions to short or sellout fully of your positions so you have to start stacking shorts around a set price thats good for the 10% . this will look like the highlighted area where it says sell stacking on the picture. now once large funds have about 50% of their ordes filled for thier shorts this is when price starts to fall. while price is falling there are two people in the markets the "dip buyers" filled with hopium and panic sellers that took the other side of your trade. these two players will help you move price as one the dip buyers help your orders get filled as u add on to your position towards the down side, and two the panic sellers help move price down faster by adding more selling pressure. both participants are nothing more then liquidity to you. in this case you cant let price run to fast as you will leave money on the table so what comes after you open your postion and you are now in profit. you partially close out and book profits . this leaves a wick usually resulting in the dip buyers feeling good and the shorters also feeling good as they have made some money riding your wave. the shark in you knows there can be more money made before the next move down so now it is time to allow price to recover while you continue to add onto your original short idea . this will form an area of accumulation and liquidity as retail put sl under this wick or area and limit orders will be placed around this area. so while thought are being gathered around a certain price area you give time for retail to choose a side to lose money on. as price continues to bounce fomo will enter the market bringing in more liquidity at higher prices these fomo buyers will be your liquidity to take the other side of your trade.
KNWOING THE MARKETS are filled with ignorance and emotion you understand that the longer price satys up the more money comes into the market which inturn mean more money made on the downside the more hope that comes into the market the more reckless traders become leaving positions open to be liquidated. BOOM you are ready to unload another wave after sell stacking hiddenly during the bounce now you have paired your short term buys with an open candle and you are now short with roughly anohter 10-15% of your allocated risk now in the market. u push price down before buyers can exit and run through the perceived support area which was really liquidity that would be used to book profits or further push price down. after this move retail is stuck in confusion to how their support area was broken, out of their confusion they revenge trade and once again try to buy the dip to recover the lsot funds. this time you play to their hand to bring back some trust and hope to the market so you hedge your shorts for the mean time and now take out the sellers who had their sell stops at the support and allow the "dip buyers " to win this battle. once again creating a wick or area of accumilation where retail will fall for the same time as before due to their ignorance. of course as price is pushing up on the bounce you are trying to pair your odrer now what are we looking for to pair orders? the closest possible price to our original entry or last entry. price moves up to the open of your position and you continue with your movement .
with these two moves in you have now taken out shorters and buyers and this cycle can keep happening over and over . now some will ask how can we see this happen next post i will show ypu what to look for.
as for now try to take this approach to your charts and see if you can find examples off this order playing out in the market
