At a market top, the PDF showed how Smart Money leaves a specific "trail."
With a few keystrokes, the algorithm pushed a wave of buy orders into the market. The price shot upward, piercing through the recent high.
"Why go back up?" Mark muttered.
Elias watched the price plummet. He waited. Finally, the price slowed and crawled back up, retracing perfectly into that "boring" consolidation zone—the Order Block—and tapping right into the Fair Value Gap.
Institutions strictly buy wholesale (cheap) and sell retail (expensive). Draw a Fibonacci retracement tool from the trading range's swing low to its swing high: pdf smart money concept top
Five thousand miles away, in a small apartment in Chicago, Mark sat at his desk. Mark was a "Top" retail trader. He had studied patterns, memorized the "Head and Shoulders," and had a sleek trading setup. He was confident. The EUR/USD pair had been falling all morning, and Mark was ready to catch the "top" of the move and ride it back up.
Do not sell at resistance. Wait for price to break the previous high by a few pips (sweeping liquidity) and immediately reverse. This creates a "M" shaped double top but with a wick through the middle. At a market top, the PDF showed how
This signals that the institutional order flow has shifted from buying to selling. Strong vs. Weak Highs and Lows
Assumes markets are highly engineered by institutional algorithmic order flow Elias watched the price plummet