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Liquidity inducement trap

What is liquidity inducement trap(LIT)


Any creation of liduidity on the way to point of interest is LIT

Example of liquidity inducement trap:


Notes to remember

Price needs liquidity to move and to introduce liquidity in the


markets these high or lows are often created.this also induces
weak handed traders,FOMO traders who are unsure about their
poi.

theres no limit to how many LIT there can be before the final
mitigation.as long as market doesnt have enouh liquidity to
move to its desired price level its going to continue building
liquidity
Some examples on charts
Pay attention to the story behind your trade

Hope everybody learned something new


~reaper

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