DislikedSo you guys say this red box is compression?
You must be joking, right ?
I'm obviously in the wrong thread.Ignored
Hi Shaggy, by compression I mean the price action of Friday London session and Thursday both London and NY session. Price were steadily decreasing liquidating all supply from the market. Market makers were getting rid of any ceilings that would hinder the price at the NFP spike up.
In your red box I can see clear Price action: 1 spike down to induce shorts, 2 - immediate spike up to hit the stops of the shorts and induce longs, 3 - retest of the lows to hit the stops of the new longs (notice that they went a little lower - that's where the stops were) and induce new shorts, and then - up we go goodbye.
Eager and inexperienced traders would get their stops hit three times. But we, thanks to the knowledge kindly shared by Red, If and others, could see the compression in the previous sessions, and thus were aware of the real intentions of the big boys.