Kosta Ouzas explains how markets move between price levels by hunting for liquidity. Pockets of liquidity are contractually obligated buyers and sellers. Price action both generates liquidity and forces traders into bad positions before the market can shift.
These pockets of liquidity is where these are already contractually obligated buyers. So really what they're doing is the market. You're supposed to be buying low and selling high. But what they're doing is they force these. These positions here to sell low and these positions to buy high. And what they do is this particular price action is what's generating this liquidity. And they don't. The market doesn't move until there's a substantial amount of liquidity in place to feel the next move.
