← All concepts
Buy-Side Liquidity (BSL)
The pool of buy stops resting above obvious highs — fuel the market often seeks before reversing.
What it is
Above every clean swing high sit two kinds of buy orders: breakout entries and shorts' stop-losses. Together they form buy-side liquidity. Price is drawn to these pools because that's where large sellers can fill size into ready buyers.
Why it matters
Equal highs are a magnet. Treating them as a target to take profit into — rather than a breakout to chase — flips you to the profitable side of the pattern.
NQ example REAL SCENARIO
Two NQ session highs print within 3 points of each other. Price grinds up, spikes 10 points through both, then collapses — the equal highs were the draw, and the 'breakout' was the exit, not the entry.