Market Structure Shift – What Happens After Liquidity Is Taken?
A Market Structure Shift (MSS) is commonly used to identify a potential change in short-term market direction.
Consider this sequence:
1. Price takes sell-side liquidity.
2. Strong bullish displacement appears.
3. Price breaks a relevant short-term swing high.
4. An FVG forms during the move.
This sequence may provide a bullish trading opportunity.
The important point is that liquidity alone is not enough. Look for evidence of a shift in price delivery.
What's your preferred MSS confirmation?