Trading Strategies

“We teach modern strategies like Smart Money Concepts, support/resistance trading, and breakout techniques — so you understand how the market truly moves and avoid common retail traps

✅ Smart Money Concepts (SMC)

➡️ What It Means:

Smart Money Concepts (SMC) is a modern trading approach focused on understanding how big institutions trade rather than following typical retail signals.

It’s based on:

  • Market structure
  • Liquidity
  • Order blocks
  • “Stops hunts” or “liquidity grabs”
  • Imbalance zones

The idea:

The market often moves in ways that trick retail traders, because big institutions (banks, funds) need liquidity to fill large orders.


➡️ Key Components:

Market Structure

  • Higher highs and higher lows → bullish trend
  • Lower highs and lower lows → bearish trend
  • Break of structure → trend shift

Example:

Price makes higher highs, then suddenly breaks the last low → possible shift to bearish.


Order Blocks

  • Areas where institutions entered big positions
  • Act like powerful support/resistance
  • Often found just before sharp moves

Example:

A big bullish candle comes after a small consolidation. That consolidation zone is an order block.


Liquidity Grabs (Stop Hunts)

  • Price spikes above a key high/low → stops out traders → then reverses.
  • Institutions collect liquidity before moving price the other way.

Example:

Price quickly wicks above resistance, hits stop losses, then drops.


Imbalance Zones

  • Areas where price moved so fast there’s an “unfilled gap” on the chart.
  • Often revisited later.

Example:

A giant bullish candle leaves an imbalance, price often retraces into it.


➡️ Why Traders Love SMC:

  • Helps avoid fakeouts
  • Explains “why” price reverses unexpectedly
  • Gives precise entry/exit zones

✅ Caution: SMC requires practice. It’s not magic; it’s an advanced way to read the chart.


✅ Support and Resistance

➡️ What It Means:

Support and Resistance are horizontal price levels where price tends to:

  • Stop falling → support
  • Stop rising → resistance

These levels exist because:

  • Traders place buy/sell orders there
  • Institutions defend certain prices
  • Psychological numbers (e.g. 1.2000 on EURUSD)

➡️ How To Spot Them:

✅ Look for:

  • Swing highs or lows
  • Previous consolidation zones
  • Repeated price rejection

Example:

If EURUSD bounces off 1.0800 three times, that’s support.


➡️ Why It Works:

Price often:

  • Bounces from these levels
  • Or breaks them for big moves (breakout)

✅ Many strategies rely on:

  • Buying at support
  • Selling at resistance
  • Waiting for a breakout

✅ Breakouts

➡️ What It Means:

A breakout happens when price moves strongly above resistance or below support.

Breakouts often create:

  • Sharp momentum moves
  • New trends
  • Bigger volatility

➡️ Types of Breakouts:

Continuation Breakouts

  • Trend pauses → breaks higher/lower
  • Confirms the trend

Example:

EURUSD trends up, consolidates, breaks higher.


Reversal Breakouts

  • Price reverses from a range → starts a new trend

Example:

EURUSD ranges between 1.1000 and 1.0800, then breaks below 1.0800 → starts a downtrend.


False Breakouts (Fakeouts)

  • Price breaks a level briefly → reverses hard
  • Traps traders who entered the breakout

Example:

Price spikes above resistance, reverses, leaves buyers trapped.


➡️ How To Trade Breakouts:

  • Wait for a candle close beyond the level
  • Look for retests (break-and-retest)
  • Confirm with volume (strong breakouts = high volume)
  • Use stop-loss protection → breakouts can fail!

🎯 Quick Comparison Table

ConceptFocuses On…Used For…
Smart Money ConceptsInstitutional moves, liquidityReading true market intent
Support/ResistanceHorizontal levels price respectsEntries, stops, target zones
BreakoutsSharp moves beyond key levelsCapturing new trends

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