Rattibha

Mr~ICT✍️

8 Tweets 71 reads Jun 04, 2024

There are many posts about IRL~ERL out there, but this right here is Gem 💎...
This is all you have to know about IRL~ERL Concept👇
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To arrive at the draw on liquidity consistently we must first understand…
Price is only ever doing 1 of 2 things:
- Seeking liquidity (ERL)
- Offering fair value (IRL)
ERL: External Range Liquidity
IRL: Internal Range Liquidity
Price cycles from ERL → IRL. IRL → ERL. 🔁

In order to find ERL/IRL, we want to mark out our most recent price range. We do this by marking out the most recent swing low to swing high.. We do not worry about the “old” ranges to the left of the chart.

When price reaches ERL (a swing point), it's like reaching the end of the pendulum's swing. The market seeks a return towards balance.
This return is towards IRL, the area of "fair value." Once it reaches IRL, and fair value has been offered, price can resume as intended.

ERL/IRL gives us our draw on liquidity and creates the boundary that MMXM form within. ERL/IRL, time frame alignment and MMXM will lead you directly to a profitable system, but it is your job to put the chart time in & apply the concepts.