Trading has its own language. Here's a quick glossar.
🛡️ Core Risk Management
· SL (Stop Loss): Order to automatically exit a losing trade. Your non-negotiable insurance.
· TP (Take Profit): Order to automatically lock in profits. Secure your gains.
· BE (Break Even): Moving your SL to your entry price to remove risk. Risk-free trade mode.
⏰ Key Trading Session
· NYO (New York Open): 8:00 AM EST / 13:00 UTC. Often brings massive volatility & volume to crypto. Prime time for big moves.
🧱 Order Blocks (Key Reaction Zones)
· OB (Order Block): Area where major players ("whales") left unfinished orders. A high-probability reaction zone.
· BB (Breaker Block): An OB that broke structure, now acting as support/resistance. A broken level that becomes a new key level.
· MB (Mitigation Block): Zone that "mitigates" or fills a Fair Value Gap. Where price often returns to balance itself.
· RB (Rejection Block): A clear zone of price rejection (long wicks). Strong signal for a potential reversal.
⚖️ Imbalances & Inefficiencies
· FVG (Fair Value Gap): A candle gap showing a strong imbalance between buying & selling. An inefficiency the price is magnetized to fill.
· IFVG (Inversion FVG): An FVG that caused a trend reversal. More significant than a regular FVG.
· VI (Volume Imbalance): A noticeable mismatch between buy & sell volume at a price level. Shows where the real market interest is.
🔄 Market Structure
· CE (Consequent Encroachment): Price returning to a key OB or FVG after a move. Confirmation of a valid zone.
· MT (Mean Threshold): The average price level within an FVG. The midpoint magnet.
· LS (Liquidity Sweep): A fast move that "sweeps" stops above/below a level before reversing. The market's classic trap.
· MSS (Market Structure Shift): A change in the pattern of higher highs/lows or lower highs/lows. Signals a potential trend change.
· BOS (Break of Structure): A clear break of a prior swing high or low. Confirmation of trend continuation.
🎯 The Big Picture: Liquidity & Technique
· SMT (Smart Money Technique): The overarching concept of tracking institutional order flow. The strategy behind these terms.
· SSL (Sell-side Liquidity): Liquidity below lows (sell stops). What price often "sweeps" before moving up.
· BSL (Buy-side Liquidity): Liquidity above highs (buy stops). What price often "sweeps" before moving down.
· IRL (Internal Range Liquidity): Liquidity sitting within a consolidation range. Targets inside a sideways market.
· ERL (External Range Liquidity): Liquidity beyond a range (swing highs/lows). Targets for breakout moves.
📊 Key Daily Reference Levels
· EQH (Equal Highs): Multiple highs at the same price. A potential resistance cluster.
· EQL (Equal Lows): Multiple lows at the same price. A potential support cluster.
· PDH (Previous Day High): Yesterday's high. A major daily reference level.
· PDL (Previous Day Low): Yesterday's low. A major daily reference level.
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