Strategy Guardrails/
Opposing FVG Wall
TL;DR
This structural guardrail invalidates a setup if there are too many massive opposing Fair Value Gaps blocking the path to the Take Profit target.
How It Works
- 1
Obstacle Evaluation: LiquidMind scans the price path between the proposed Entry and the Take Profit target for opposing Fair Value Gaps.
- 2
Scoring Penalty: Each opposing FVG applies a penalty to the setup's Liquidity Score (up to 30 points per gap, depending on how unmitigated it is and the distance from entry).
- 3
Invalidation Threshold: If the accumulated penalty drops the overall Liquidity Score to 0 (typically requiring 3-4 heavy unmitigated opposing FVGs), the trade is flagged.
- 4
Action: Even if the entry setup (Sweep + CHoCH + FVG) looks visually flawless, the system intercepts the execution and blocks the trade because the path to the target is obstructed by institutional walls.
LiquidMind demands 'clean air' to its targets. If the algorithm detects that the market would have to fight its way through heavy institutional sell pressure just to hit a 2R Take Profit, it walks away. The engine evaluates both the fill percentage (how much the gap has already been tested) and the severity of each opposing FVG, logging the exact point reduction and blocking setups that lack a high-probability frictionless path.