INDUCEMENT - A Liquidity model that has been overlooked or probably not well understood by many Traders.
If you fail to spot it, you become an Inducement.
A Th~readπ§΅πͺ‘
If you fail to spot it, you become an Inducement.
A Th~readπ§΅πͺ‘
This is me saying welcome to both my old and new folks... We would be looking at a powerful Topic.
I'm sure you don't want your folks to miss out on this one!
So It would be selfish if you don't Repost the first post so they can benefit from this Thread.
Done?
Let's start.
I'm sure you don't want your folks to miss out on this one!
So It would be selfish if you don't Repost the first post so they can benefit from this Thread.
Done?
Let's start.
In this Thread, we would be looking at the following;
β’ Inducement Theory
β’ Valid & Invalid Inducement
β’ Inducement Entry Models & Types
As we progress, feel free to ask questions for clarity.
β’ Inducement Theory
β’ Valid & Invalid Inducement
β’ Inducement Entry Models & Types
As we progress, feel free to ask questions for clarity.
β‘ Inducement Theory;
Every buy order must have an equivalent sell order for a trade to take place and vice versa.
The BFI's need an equally large opposing amount of supply or demand to Enter & Exit the market with minimal slippage.
This is where Inducement was birthed from.
Every buy order must have an equivalent sell order for a trade to take place and vice versa.
The BFI's need an equally large opposing amount of supply or demand to Enter & Exit the market with minimal slippage.
This is where Inducement was birthed from.
Inducement simply put is something that persuades you to do something.
Patterns in the market could Induce someone to participate in transacting at a certain level of the market.
This would generate Liquidity to other participants of the market.
Patterns in the market could Induce someone to participate in transacting at a certain level of the market.
This would generate Liquidity to other participants of the market.
The proper identification of an Inducement before your POI can increase the probability of that POI holding.
This is because BFI's would likely be interested in these areas (as liquidity).
In this concept of Inducement, our interest is in spotting the liquidity buildup pre-POI.
This is because BFI's would likely be interested in these areas (as liquidity).
In this concept of Inducement, our interest is in spotting the liquidity buildup pre-POI.
Inducements are simply Internal liquidity(s) around a Point of Interest or an Entry.
Therefore, without your POI, an internal liquidity cannot and shouldn't be called an Inducement!
The illustrations below describes an Inducement Theory as a Retail, SMC or ICT trader. π
Therefore, without your POI, an internal liquidity cannot and shouldn't be called an Inducement!
The illustrations below describes an Inducement Theory as a Retail, SMC or ICT trader. π
The following can be described as Types of Inducement;
β’ A Trendline liquidity
β’ Previous high
β’ Previous low
β’ Equal highs
β’ Equal lows
β’ SM Traps
β’ Etc...
β’ A Trendline liquidity
β’ Previous high
β’ Previous low
β’ Equal highs
β’ Equal lows
β’ SM Traps
β’ Etc...
β‘ Valid & Invalid Inducement:
See a valid inducement as one that has met the criteria(s) above.
In this illustration of a Previous low or high, the place indicated β οΈ is a valid inducement to the next low/high and the next Low or high is a valid inducement for the next one.
See a valid inducement as one that has met the criteria(s) above.
In this illustration of a Previous low or high, the place indicated β οΈ is a valid inducement to the next low/high and the next Low or high is a valid inducement for the next one.
Inducement follows a particular pattern.
As we dive into the chart, you would begin to gain clarity on how i view Inducement, both as liquidity and as a criteria for taking any trade(s).
Keep it simple and watch it consistently play out.
Let's continue...
As we dive into the chart, you would begin to gain clarity on how i view Inducement, both as liquidity and as a criteria for taking any trade(s).
Keep it simple and watch it consistently play out.
Let's continue...
β‘ Inducement Entry Model:
This is a schematic of how you can engage in a Trade using the Inducement as a guide or an entry criteria to increase your probability of staying in a trade.
M15 & M1 Entry model described here.
Observe carefully and study. π
This is a schematic of how you can engage in a Trade using the Inducement as a guide or an entry criteria to increase your probability of staying in a trade.
M15 & M1 Entry model described here.
Observe carefully and study. π
Now let's look at the Chart together [CASE STUDY 1]. π
A bearish scenario;
βͺοΈ H4 FVG mitigation,
βͺοΈ M15 Liquidity sweep + CHoCH,
βͺοΈ An Inducement sighted [Previous high],
βͺοΈ Entry at the Extreme [3.5pips stops],
β οΈ +13.17R
A bearish scenario;
βͺοΈ H4 FVG mitigation,
βͺοΈ M15 Liquidity sweep + CHoCH,
βͺοΈ An Inducement sighted [Previous high],
βͺοΈ Entry at the Extreme [3.5pips stops],
β οΈ +13.17R
![Now let's look at the Chart together [CASE STUDY 1]. π
A bearish scenario;
βͺοΈ H4 FVG mitigation,
βͺ...](https://pbs.twimg.com/media/F_MlPT_XsAAHMJL.jpg)
[CASE STUDY 2].π
Bearish scenario;
βͺοΈ H4 mitigation [counter]
βͺοΈ M15 POI [counter],
βͺοΈ Inducement sighted [Previous high],
βͺοΈ Entry at Golden zone [Fib- 5pips stops].
β οΈ +12.72R
Bullish scenario [Pro] repeated patterns,
2 Entries;
β οΈ +8.66R
β οΈ +9.88R
Bearish scenario;
βͺοΈ H4 mitigation [counter]
βͺοΈ M15 POI [counter],
βͺοΈ Inducement sighted [Previous high],
βͺοΈ Entry at Golden zone [Fib- 5pips stops].
β οΈ +12.72R
Bullish scenario [Pro] repeated patterns,
2 Entries;
β οΈ +8.66R
β οΈ +9.88R
![[CASE STUDY 2].π
Bearish scenario;
βͺοΈ H4 mitigation [counter]
βͺοΈ M15 POI [counter],
βͺοΈ Inducement...](https://pbs.twimg.com/media/F_MlQMBWMAAaXjs.jpg)
[CASE STUDY 3]. π
βͺοΈ H4 mitigation [counter]
βͺοΈ M15 sweep + CHoCH + FR
βͺοΈ BOB + Inducement
βͺοΈ Entry [7.5 pips stops]
β οΈ + 19.65R
I don't intend bursting your head further by showing you my M1 Entries by consistently following Inducement Liquidity EMβ οΈ
βͺοΈ H4 mitigation [counter]
βͺοΈ M15 sweep + CHoCH + FR
βͺοΈ BOB + Inducement
βͺοΈ Entry [7.5 pips stops]
β οΈ + 19.65R
I don't intend bursting your head further by showing you my M1 Entries by consistently following Inducement Liquidity EMβ οΈ
![[CASE STUDY 3]. π
βͺοΈ H4 mitigation [counter]
βͺοΈ M15 sweep + CHoCH + FR
βͺοΈ BOB + Inducement
βͺοΈ Entry...](https://pbs.twimg.com/media/F_MlQ_cXkAAzFdJ.jpg)
Believe me, if you practice this concept for consecutive 3 months without alterations, I guarantee you a HIGH risk to reward ratio and a High win rate.
That will be all for this thread.
If you understood & enjoyed everything I've said, give me a follow here π @Lor_dmills
That will be all for this thread.
If you understood & enjoyed everything I've said, give me a follow here π @Lor_dmills
Weekly I put out great contents like this as a fuel to help propel your journey as a trader.
Video contents and lots more of exciting Threads and tweets would be coming back to back as i rapped off my exams yesterday.
Congratulations to me 600L Veterinary Medicine. ππ©Ίπ·
Video contents and lots more of exciting Threads and tweets would be coming back to back as i rapped off my exams yesterday.
Congratulations to me 600L Veterinary Medicine. ππ©Ίπ·
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