$SPY Why are swing highs / lows even important? Without having liquidity on the chart like I do here, they are showing you where the market is providing liquidity. When liquidity zones break (market participants hitting the bid or ask) this tells you that swing high or low that was previously important to the market makers has been defeated, at least temporarily. This is only demonstrating using a 5 min chart on $BTC.X but you can extrapolate this out to any timeframe. The larger the timeframe, the more important the event.
@TrainingWheelz That's different. You're talking about volume profile which is also a invaluable tool. However, that is volume executed, this is liquidity resting (waiting to be executed). In other words, one has already happened, the other is what could happen. Here is both on chart to see the difference.
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