Market Structure Shifts
What is a Market Structure Shift
A Market Structure Shift (MSS) indicates a change in the prevailing market trend, characterized by a transformation in the series of price highs and lows.
How to Identify a Market Structure Shift
To identify an MSS, you need to observe the sequence of highs and lows:
In an Uptrend: Higher highs and higher lows occur. An MSS happens when a new lower low forms, suggesting a potential reversal to a downtrend.
In a Downtrend: Lower lows and lower highs occur. An MSS is identified when a new higher high forms, indicating a possible shift to an uptrend.
Traders use MSS to adjust their positions in anticipation of a new market trend, making it essential for strategies like those used in Sniper Entry Pro.
Example of a Market Structure Shift:
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