Liquidity Pools Explained
Liquidity is the fuel of the market. Liquidity pools are areas on a chart with heavy concentrations of stop-losses or pending orders.
Why they matter
Large institutions need deep liquidity to fill massive orders. They often drive price into these pools to grab stop-losses—a process known as 'liquidity seeking' or 'stop hunting'—before reversing.
الأسئلة الشائعة
Where are liquidity pools located?
Usually behind clear swing highs/lows or trendline support/resistance.
How can I identify them?
Look for price levels where many retail traders would logically place their stops.
Are they safe to trade?
They are volatile. Never trade them without a defined stop-loss.
Does MixFunded have account limits for this?
Our 8% max drawdown applies to all strategies, including liquidity trading.
Start Your Journey
Start for $5, pay $150 only after passing. 10% target, 3% daily / 8% max drawdown, no time limit, weekly USDT rewards.