The 4-Step Smart Money Execution Blueprint
To trade alongside the institutions rather than funding them, wait for this exact sequence:
1. Liquidity Sweep (Bait): Look for price to wick beyond a key swing high or swing low to trigger stops and induce premature market orders.
2. Change of Character (CHoCH): Wait for an aggressive, displacement-driven break of internal structure on lower timeframes (15m/5m), confirming smart money has flipped bias.
3. Imbalance / Fair Value Gap (FVG): Identify the energetic 3-candle sequence where price surged too quickly, leaving unfilled orders behind.
4. Order Block (OB) Entry: Enter only on the mitigation tap back into the institutional Order Block / FVG, keeping stops tight beyond the sweep wick.
To trade alongside the institutions rather than funding them, wait for this exact sequence:
1. Liquidity Sweep (Bait): Look for price to wick beyond a key swing high or swing low to trigger stops and induce premature market orders.
2. Change of Character (CHoCH): Wait for an aggressive, displacement-driven break of internal structure on lower timeframes (15m/5m), confirming smart money has flipped bias.
3. Imbalance / Fair Value Gap (FVG): Identify the energetic 3-candle sequence where price surged too quickly, leaving unfilled orders behind.
4. Order Block (OB) Entry: Enter only on the mitigation tap back into the institutional Order Block / FVG, keeping stops tight beyond the sweep wick.