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LIQUIDITY IN THE MARKET.

Complete guide on trading liQuiditY in tHe ForeX marKet.

In this E-book, I will explain the following:

 Normal liquidity in the forex market and:


 Asian liquidity session.
Yes and Amen! I am here humble to present to you about liquidity in the forex
market. I wasn’t planning on writing another E-book on liquidity but I got lots of
requests concerning the issue of liquidity in the market. The other E-book I wrote was
only explaining about order blocks, Wyckoff and the likes. Without further ado, let’s
go straight to the contents of this book.

WHat iS liQuiditY?

Liquidity in Forex Trading Term used to describe a market where there are lots of
buyers and sellers generating a great deal of volume.
From what we have here, I would say liquidity is where there is a lot of money and
most people are looking to take trades. If this type of situation happens then we know
millions of people are targeting to make profit from. Then a lot of stop losses and
entries will be at that liquidity zone. We can also say liquidity means a lot of stop
losses and if there will be a lot of stop losses in a particular zone, then smart money
will look for where there is a majority of stop losses, take them out before moving the
initial direction.
In this book I will be showing us how the market makers and smart money
algorithms use order blocks to take out liquidity in this market. Once market takes out
liquidity, it takes it out sharply and doesn’t want the majority to take or place trades
once they are grabbing liquidity, that’s why you see aggressive moves or spikes while
they are grabbing liquidity in the market and you are wondering if there was news in
the market or the market just wanted to move like that. That’s Smart money for you!

normal liQuiditY in tHe ForeX marKet.

Like I’ve stated before, I will first talk about the normal liquidity in the market and
we move to the Asian session liquidity. I will make this E-book short but detailed on
how to trade liquidity grab.

“IF YOU CANNOT SPOT THE LIQUIDITY, THEN YOU ARE THE LIQUIDITY”

What’s the meaning of this? From what I just quoted, if you don’t know where the
liquidity is in the forex market, you end up getting your stop losses hit due to the fact
that you are placing trades where there is going to be a lot of volume that would take
out your stop loss.

HoW do We Spot liduiditY?


We spot liquidity when we can see that there are obvious buyers and sellers in the
market. How do we know where the obvious buyers and sellers are?? We spot the
buyers and sellers simply by identifying the obvious support and resistance areas in
the market.

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ILLUSTRATION 1: IDENTIFYING POSSIBLE AREAS OF LIQUIDITY.

This has said a lot already, I didn’t crop it to the current market price because I have
fresh analysis and I don’t want to tamper with it.

Firstly, looking at this we can see the support zone which is a zone for buyers to
start taking long positions then we know there is volume at that zone.
2nd ly, we also know that if the market wants to grab liquidity, they do that with
order blocks below the liquidity. We all know about the order blocks, if you don’t
know about order blocks, just do well to chat me(Telegram and Whats-app contact
available on last page of this book) or read my previous E-book on order blocks.
The entry would be at the order block candle below the liquidity, imagine the
sniper entry, they went up fast without looking back. If you don’t have this type of
knowledge, you might also be trying to trade the support zone and unfortunately, you
would be taken out because your SL will be exactly below the zone and you become
the liquidity.

Some people always ask if they can redefine the entry using the smaller time-frame on
the m5, but I always tell my students to set the pending orders immediately they spot
the order block above or below the liquidity, because we know that once they grab
liquidity, they might not look back to give entries for the smaller time-frames.

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ILLUSTRATION 2.

The $ sign represents liquidity telling us that a zone is available for liquidity.

Mere looking at this, we already know what happened, strong buyers zone and we
surely know that market will surely take the new buyers out. The grab occurred so fast
when it got to the order block below liquidity.
NOTE: If you spot an order block in a liquidity zone, don’t trade the order
block because we know the market will surely clear liquidity, trade the order block
below the liquidity.
I sent this very setup to my students and even to the free group and people milked.

Why didn’t we trade the liquidity for sell since there is a zone above?

First, according to my trading plan, once I catch a trade I like holding it till I get
stopped out! Whereas I would have taken partials and allowed runners to run.
Second reason, we didn’t take the sell because there is no order block above the
liquidity to give us a sell entry.

Where will TP be?


I get this question every time because once I send signals to my students, I don’t send
TP. This is because I like holding and don’t care about TP zones. But the most
reasonable area for setting TP on any trade taken should be above another liquidity as
shown in illustration 2, because we know they might want to grab liquidity on that
zone too. What’s most important is the SL and trailing stops that’s why we use 3 - 5
pips SL in the mentorship group when I send signals, maximum of 10 pips due to
spread etc.

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ILLUSTRATION 3.

Now we are used to how the structure of liquidity grab looks like, from this image we
have two order blocks that are below the liquidity area.

The order block to take this type of trade is the most recent order block because that's
the most recent low of the market as we all know that order blocks are always formed
at the lows of the market for an uptrend and formed at the high of the market for a
downtrend.

TP will always be above another liquidity area. These types of trades are clean and
easy to trade without the use of any indicators. Trading with liquidity grabs: the SL
should always be 10 pips because the market always spikes while trying to take out
the liquidity.

I do send signals with 5 pips like I said earlier because we use the Wyckoff
liquidity to enter trades in the mentor ship group. Wyckoff is more accurate and gives
minimal stop losses entries on wyckoff are found after the market has grabbed
liquidity. I will not be explaining wyckoff liquidity in this book.

ILLUSTRATION 3 could have confused you because of the two order blocks that
were formed below the liquidity zone but never forget that when you are looking for
entries, your orders should be placed on the most recent order block that has formed.

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ILLUSTRATION 4:

When you do the same thing over and over again, you keep seeing the same structure
over and over again. I didn’t label this one because I want us to spot everything by
ourselves, just like the previous illustrations, they repeat the same things and they are
different pairs. Spot the areas of liquidity and set your TP above the next liquidity and
enjoy the sniper entry.

We would have taken the sell here but there was no valid order block above to give
sell entries. Lets take a look at the order blocks at the high of the liquidity above.

Looking at this trade, the order wont be placed because it has been mitigated by the
candle beside it, and we ignore the liquidity grab as we have caught the BUY move.

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liQuiditY in tHe aSian SeSSion.

In this phase, I will explain how to trade liquidity in the Asian session. Asian session
is the most less traded session in the forex market. But with the ideology I have for
you guys y’all can start trading the Asian liquidity immediately after the Asian
session.
Asian session ranges most of the time because there isn’t much volume traded unlike
the London and New York sessions. If the market gives us a range then we surely
know that liquidity is forming above and below the range, as usual we look for order
block candles that would help us take out the liquidity of the range.

NOTE: When you spot a range in the Asian session just know that the market would
take out the highs and lows of that Asian session range, with the use of order blocks,
you would grab the liquidity and also follow the market as it takes out the highs and
lows of the range.
Highs of the range are the highest points of the range which are the resistance
that sellers are looking into, while the lows of the range are the lowest points of the
Asian range that buyers target.
This is also very simple because its like the previous lesson and illustrations we have
above for the normal liquidity I explained above.

ILLUSTRATION 5

Very nice and clean setup we’ve got up here, we can see how the market ranged
during the Asian session, we can use the session break tool to identify the open of the
Asian session on the trading view. Smart money used the order block on the m15 time
to take out the highs and lows of the Asian liquidity. This often happens when the
Asian session ranges and there is an order block above or below the session, these
types of trades are for day trading as you will catch the exact movement of the market
before the London and New York sessions. Its also sniper entry, tell me why I should
still take trades of 10 pips SL.
NOTE: 1. No range, no trade. 2. Order blocks can be found on lower time-frames like
m5 and m15. Those are the time-frames I use to get entry on Asian session.

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ILLUSTRATION 6:

Taking a look at this chart for a case study, we can see how market used the order
block to grab the liquidity of the Asian session it was a clean nice trade, the TP would
be above the high of the Asian range because we know that the market would take out
the highs after it has taken out the lows of the range. Am also expecting the same
move to happen again once I spot that the market has ranged during the Asian session,
below the zone I marked out, at illustration 7.

ILLUSTRATION 7.

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From ILLUSTRATION 7 above, am waiting for the market to open, once I see a
market range during the market open, I would set a buy limit order on the entry
because there is an order block at that zone which am expecting to take out the Asian
liquidity.
With this daily you can achieve consistency, no need to look for holy grail
strategy because there is none, all you need is just constant practice and research as I
always teach my students.

Like I said before most of the times the market doesn’t range, but when you spot an
Asian range then look for an order block below or above the range to take out the
Asian liquidity. No range no entry. Sometimes also you will see an asian range but
there wont be order block below or above the range, the best thing to do at that time is
to stay away from looking for entries because you don’t know the point which market
would reach before taking out the highs and lows for the Asian session.

ILLUSTRATION 8.

From what we can see above it was still the same process rinse and repeat. Asian
range, entry would be the order block above the range then you set the order on the
opening of the order block candle as always.
Now also note that don’t use 5 pips SL when you are trading to grab the normal
market liquidity or the Asian range liquidity. Its only advisable to use 5 pips SL when
you are trading the wyckoff liquidity because on wyckoff we are entering after the
impulsive move then we are more precise that the market would take pout the unfilled
orders created in the process of the wyckoff accumulation or distribution and with that
confirmation we are more precise about the market move and use a very small SL to
capitalize on the move. For taking trades with the Asian session range and order
blocks its best to use 10 pips SL so that you wont get stopped out unnecessarily.

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Imagine you used 5 pips SL in ILLUSTRATION 8 above, you would have gotten
stopped out for sure and market would have moved in your favour, so don’t always be
greedy by chasing smallest SL. Also, the SL should always be above the order block
zone.

ILLUSTRATION 9.

Same rule no hard rule, no stress, the Asian range surely takes out the highs and lows.
This one mitigated the order block but it took long to reach there but after the
mitigation, it moved so hard for almost 4 days, that’s something about the Asian
session grabs, once you can grab the Asian session liquidity, that’s where the market
would head throughout the London and Newyork sessions. Then you just need to trail
stop losses and let the market move the way it wants.

This strategy is enough to set your trading journey. The reason I don’t like this
setup is because it doesn’t happen everyday and as traders we want to trade everyday,
that’s why I use the wyckoff in confluence with order blocks to get trades everyday. 5
trades for the week and am profitable.

Remember this strategy doesn’t work on volatility index because there is no Asian
session in the volatility index market.

I would stop at ILLUSTRATION 10 for this E-book I don’t like when contents are
too much, but when we are short and valuable that’s what is the main joy.

The best way to achieve consistency in this market is to repeat the same thing over
and over again changing strategies will take you no where, but repeating the same

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thing will let you know the pros and cons and you wont always enter the market
anyhow

ILLUSTRATION 10.

This strategy works on all currency pairs, though I haven’t used it on NASDAQ
and gold, its left to you to do research and make a lot of back-tests, like I always tell
my students. Put in the extra work, do a lot of research I repeat a lot of research.

At this point I would say peace guys, am out!!.

FOR THOSE THAT WANT TO JOIN MY MENTORSHIP, THIS IS WHAT I


OFFER:

100$ LIFETIME MENTORSHIP

THE MAIN STRATEGY I MENTOR ON IS WYCKOFF SCHEMATICS AND


ORDER BLOCK.

In the mentorship group I deal with the following based on the strategies:
 First of all you will be sent video packs including 15 videos of technical analysis
and 10 recorded videos on wyckoff and order block confluence trading for better
understanding.
 Analysis of trades taken by me daily.
 Explanation of analysis sent.
 2 to 3 daily signals.
 Signals on Fundamentals/News before they come.
 More knowledge on technical analysis and Fundamental/News trading.
 Monthly live classes via zoom or google meet to explain how and why i take
trades.
 2 to 3 signals on crypto for binance.

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 Payment is by bank transfer or crypto


 Market fluidity course would be taught by January 2022.
 You would be added to a channel and group of more than active 40 VIP students
that share trades.
 Chat me to join my free group where I send free analysis for gaining little
knowledge.

MY SIGNAL SERVICES IS JUST 40$ MONTHLY BUT NO MENTORSHIP, JUST


DAILY SIGNALS FOR 1 MONTH, 75$ FOR TWO MONTHS.\

CONTACT ME:
WHATSAPP: wa.me/+2348076757051
CALLS: 08076757051 OR +2348076757051
TELEGRAM: https://t.me/tradewithworldbank_twb
FREE GROUP: https://t.me/tradewithworldbanksmcgroup

STUDENTS RESULTS (#STUDENTS WHO LISTEN)

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