Liquidity I - Consolidations
When it comes to price consolidating, and moving sideways in a range, we notice that there is liquidity being built up above/below price.
Theory

More on that later, but the important thing to note here is that the price is too close to target any liquidity on either side to build structure in between.
You must start to see the range, how you can anticipate realistic consolidations, and assume that one end of the consolidation is prone to break.
Going back to the three-question rulebook. It is not rocket science that we can conclude that price might go up or down.
But we are trying to find the most probable scenario, and simply react to what the market gives us.
Going back to this scenario when price is shaken out. The market is not giving us much to react upon. Know when to sit on your hands. Knowing when not to trade, is also trading.
