CrediBULL Crypto
CrediBULL Crypto|Oct 17, 2026 09:46
People often ask my why we are always looking for "lows to be swept". The reality is we are not *always* looking for lows to be swept, its just that the market tends to range most of the time and trend far less and in ranging markets, we are looking for liquidity sweeps (like sweeps of the lows and highs). In trending markets, we expect lows NOT to get swept, as momentum is strong and key swing points are often defended. The question you need to ask yourself: Is this current move up off of our lows (or down from our highs) 1) impulsive (trending) or 2) corrective (ranging). In the former case, we expect lows (or highs) to be defended as an impulsive move is basically another word for a "trending" move and the origin of a trending move is typically not revisited (until/unless a correction of a larger degree occurs). In the latter case, we expect lows (or highs) to be swept as a corrective move is basically another word for a "ranging" move and the origin of a ranging move is typically a target as the market seeks liquidity in an environment that lacks the momentum of a trending move. For example, looking at the chart below, we have a series of strong, momentum fueled moves to the downside, and we can see that the origin of each of those moves was never revisited. Meanwhile, the move off of our lows has been very grindy/choppy, which clearly suggests a lack of momentum, and we are building up liquidity via a series of marginal higher lows, all while trading below the origin of our last impulsive move down. So we simply assume that the larger trending move down will continue, as it has since the highs, until/unless the origin of our last impulsive move is breached- at which point the implication is that we are now undergoing a counter-trend correction of a larger degree. But until/unless that happens, we assume sellers will continue to defend the origin of the most recent impulsive move and that the choppy grind up we are seeing off the lows is simply liquidity being engineered to fuel the next impulsive move down.
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