1. Higher Timeframe Context (4H)
- Price rallied up and slammed into a major resistance level (the red horizontal line around 1.1777–1.1780 area).
- This level had previously acted as resistance (you can see the long upper wicks and strong rejection candles on the left side of the chart).
- The market “reacted” from this level → sellers stepped in hard. This is your bias filter. You only look for shorts here, not longs.
2. 15-Minute Entry Confirmation
Once you dropped to the 15m chart, you waited for these three things:
A. Market Structure Shift (MSS)
- Price was making higher highs and higher lows (bullish structure).
- At the resistance, it broke the most recent higher low to the downside.
- This break of structure tells you the short-term trend has flipped from bullish to bearish on the 15m. That’s your change of character.
B. Liquidity Grab
- Before dropping, price made one final push up (the small blue candles right before the big red drop), sweeping stops above the recent highs / equal highs.
- This is classic liquidity engineering institutions take out retail buy stops above resistance, then reverse.
C. POI (Point of Interest)
- You entered near the resistance level itself but I entered from a 15 minutes breaker Block
- The teal highlighted zone on t
he right is likely your target area
