Liquidity hunting (Stop Hunts / Sweeps): Large institutions need a counterparty to execute volumetric orders. Aggressive sweeps toward prior highs or lows are designed to trigger retail stop-losses, generating the liquidity needed to position orders in the opposite direction.
Order imbalances (Imbalances / Fair Value Gaps): When there is a massive one-way flow of buying or selling, the market moves up or down vertically, leaving “empty” trading zones that the price tends to revisit sooner or later to rebalance.
Liquidation cascades: In leveraged markets (such as crypto futures or Forex), when price crosses a critical level, it triggers the automatic liquidation of positions. This acts as fuel, accelerating the candle within seconds.
Order imbalances (Imbalances / Fair Value Gaps): When there is a massive one-way flow of buying or selling, the market moves up or down vertically, leaving “empty” trading zones that the price tends to revisit sooner or later to rebalance.
Liquidation cascades: In leveraged markets (such as crypto futures or Forex), when price crosses a critical level, it triggers the automatic liquidation of positions. This acts as fuel, accelerating the candle within seconds.
