Liquidity Box

Dear,

A liquidity box has 2 features:

1. it is an area where there are clouds of stop orders (so that when price hits its baseline, it triggers a chain effect making price run to the other side of the box)
2. it is time-sensitive: this area is at its best when it is liquid at its most = in certain hours of the day only

We detect liquidity boxes by using relevant confluences of (modified) fibo fans pinned on the past relevant swing, preferably in M5-M15 for an Intraday Operativity.


As soon as 50% of the ultimate target is reached, I move sl to break-even.
Money management depends on 2 factors:

1. tp/sl (because I want to risk max 4% / trade, therefore all is derived from sl)
2. news upcoming after my trade has triggered (so if there will be important news and I am floating in the market I scale down the opened trade until I reach a right proportion compared to days when there are no important news between me and my targets).

Here an example from 2020.04.20 on EURNZDe, M5:


EURNZD_M5_ 20200420_BUYLIMITTRIGGERED1366×662 19.5 KB


EURNZD_M5_ 20200421_TARGETREACHED1366×661 18.6 KB




Here operativity for today on EURAUDe:


EURAUDe_M15_ 202004241366×662 20.7 KB

FIBO ELLIPSE CONFIRMATION:
EURAUDe_M15_ 20200424_fiboellipse1366×665 24.2 KB


BUY STOP 1.7034 (TARGET: 1.7122)
SELL LIMIT 1.7157 (TARGET: 1.7086)



You are welcome to enjoy the liquidity box. Keep in mind that SL in pips must always be <= TP in pips. Pending are valid till the end of daily U.S. session.

Davide, I see all of this on babypips by a chap called stan-fr can you explain your involvement and more about the modified gann fan please.

I don't know how to post images here, so I copied and pasted what I posted there.

Modified Fibo Fan:
.31
.39
.58
.724
.84
.95

Hi could you talk more as to how you actually draw the fans personally as it sounds an interesting concept

Hello,

The best way is to practice together. I will post every week, so step by step...

James, as I mentioned you can see the same thing on babypips, what I hoped Davide would explain is the connection between himself and the babypips author. Having said that the approach is interesting and I would like to know more about it.

https://forums.babypips.com/t/liquid...4/20?u=stan_fr

Let's be ready for the buy stop, 1.7034 being only 60 pips away at this moment.

Analysis for today, on GBPJPYe. More than 80 pips if it triggers.

Hello dears,


I see that you are attracted like flies to the incredible shit that is dropped by socalled traders in the trading systems section, where verbose and pointless socalled 'trading systems' are posted. But when you see a thousand little instructions on many indicators and bar patterns your brain get caught and you feel like 'yes, it is mechanical so it works'. Too bad you never ask yourself what is the logical principle behind that pattern or system, but you follow it and you waste time and money, I mean YEARS and THOUSAND dollars. Good luck then, below you can find a small example of how pro and big hands work...


Ths is the GPBJPY M15 Setup for today breakout:



90 PIPS

EURAUD, M15 -> SELL LIMIT with TARGET = 120 pips.

GBPJPYe, M30
today more than 100 pips if triggered.

Eyes to this buy stop, near the execution...

100 pips for you guys

Hi Davide,

Can you please explain what we should look at to trade like you? With just pictures it is difficult

110 pips in 25 minutes:

in my pictures you find the pending order level
the take profit
and the s/l, or you can calculate the s/l as around 80% of the t/p in pips

it is selfexplanatory.

EURAUD multiday setup:

longterm targets: 220 + 220 = 480 pips.

SELL LIMIT @ 1.6860 (targets are in the picture),
while SL AND REVERSE = 1.70 (if it triggers the BUY STOP, TARGET OF THE LONG WILL BE 1.7179, positively rewarding the sell risk)

Hi, thanks for the reply. I don't get how you set the pending order

The levels detection is really complicated and not mechanical, it depends on the circumstances, on the recent volatility, on the expected volatility, on the OrderFlow and a lot of creativity is needed in order to foresee something.

Lost the Sell Limit Stop Loss

We reversed in buy, target: 1.7179 (positively rewarding the loss), as stated above