Lesson 8 LDPM Flashcards
Triggers and ldpm
After seeing yesterday’s video, that makes a ton of sense. It’s a vast oversimplification, but my mental model is now:
- Triggers = key levels and directional targets (lagging indicator based on price movement)
- LDPM = realtime liquidity (leading indicator to indicate potential price movement)
I don’t actually have to watch anything hahaha. I set an alert for price crossing below 15 min LDPM and that’s usually when I sell
What is said from jrol?
it comes down to with ldpm?
the highest time frame that Im using
as long as price is above the highest timeframe we can expect what?
dips to get bought up(eaten up)
when price is below the highest time frame that we’re using we expect
rips to be sold
using two week ldpm can show long term
bullish or bearish
there’s a dip here, what does lpdm tell us?
in the video is the 2 week ldpm,
because price is above the 2 week ldpm we know that there’s good liquidity.
And if there’s good liquidity, we can expect price to rise to the upside.
what happened here?
Price went down to the hourly ldpm, and if the hourly ldpm is going to provide good liquidity for a bounce the 5/15mt will dive down below price.
5 and 15mt ldpm spiked away from price, telling us that liquidity is getting much worse.
What could have made price go up instead?
Price went down to the hourly ldpm, and if the hourly ldpm is going to provide good liquidity for a bounce the 5/15mt will dive down below price.
why did price continue going down?
the higher time frames ldpms did not provide support for the price
what happens if 5 and 15mt can’t get below price?
we lose support from higher time frames, like hourly, then daily
what happened that prevented price from dropping past the orange weekly lpdm?
because the one week is above the 2 week, the 2 week acted as a strong bullish support for the one week
What would happen if price is falling and the lower timeframe ldpms can’t get below price and it’s nosediving past hourly and daily but higher timeframe ldpms are stack bullish for example, one week on top of 2 week?
price will find support and bounce back
what happened after the bounce back?
aside from price bouncing back?
series of airplanes
why did price hold on this higher timeframe ldpm?
liquidity caught up to price, liquidity is good.
what does the gold line represent in terms of the market?
that buyers are waiting right there to buy.
what happened here?
ldpm turned away from price, telling us that support at the one week was gonna get lost
the only way to lose the 2 week ldpm is
the hourly, the 4 hour, and the daily start to sell below
what’s an ldpm bullish configuration?
5, 15, 1hr, 4hr, daily, week, 2 week stacked chronologically
what happens when you get a bullish configuration
price explodes
what are the lower timeframes telling you here?
price is getting bought up, liquidity is getting good.
then price moves to the upside.
aside from liquidity getting good, what happened else happened?
the 1hr crossed down into the daily
is this chart bullish long term?
no, the 1 hr is dipping below the higher timeframes.
what happened to the 4 hr timeframe?
And what happens
sold right below daily, lower price action
would you still go long or short in this configuration?
Why or why not?
I would go long, because the weekly/2weekly is stacked bullishly and not only that, the daily has been providing buying support for the lower timeframes
what’s the bigger picture here?
price action still looks bullish, because the weekly and the 2 week are stacked bullishly
buyers are doing what to sellers here?
overpowering sellers
when the timeframes are stacked bullishly what happens to price
the price rocketships, gaps up higher
When you know daily ldpm is below the hourly trigger, you will have what?
more confidence in the hourly trigger holding
what do the shorter timeframe ldpms tell you?
That price will hold on hourly, ldpm dropping below will typically cause price to accelerate higher
