Timeline
- Liquidity formed: local high 1,068.8 (left shoulder)
- Structural low 1,066.9 confirmed
- Price took out the liquidity beyond the left shoulder
- Head 1,070.5 confirmed
- CHoCH: close below the structural low 1066.9. Quasimodo confirmed
- Price is approaching QML
- Price entered the QML zone
- Idea cancelled: Close above the head (1070.5)
Why this setup was found
First the market formed a local high 1,068.8 (left shoulder). Stop orders piled up above it, that is, liquidity.
Then price took that liquidity: the head reached 1,070.5, which is 1.690 (0.70 ATR) above the left shoulder.
Then price closed below the previous structural low 1,066.9 (close 1,066.6). This is a bearish CHoCH: a change of market character.
The left shoulder zone (1,068.7–1,068.8) became the QML level: price often returns here before continuing the move.
Structure on 4h: bullish (against this idea).
On the break candle aggressive sellers dominated (61% of volume).
There was no absorption on the candle that returned to QML.
Result: the idea was cancelled.
This is a scenario built from market data, not a guarantee of the result.