AMD TRADING

Phases

01 · Accumulation

Accumulation often goes by many things — consolidation, ranging, congestion, sideways market, etc. However they all really mean the same thing: the market moving up and down from liquidity zone to liquidity zone. This is the first thing we need to find when trading this strategy.

02 · Manipulation

Manipulation comes when price trails either above or below the range to hit retail traders' stop losses. In this example price shoots upwards above the buy-side liquidity to hit the sellers' stop losses, creating a fair value gap while doing so.

03 · IFVG

After price finishes stop hunting, it fights back downwards towards the sellers, inverting the fair value gap in the process — which gives us the confirmation we need to enter and shoot for a downwards target.

04 · Distribution

Distribution is the aftermath of manipulation, using the swept liquidity as power to move away from the previously established range.