What is SND?
Supply and Demand is a trading method focused on imbalances between buyers and sellers. When demand exceeds supply, prices rise — and vice versa.
Key SND Components
Supply Zone
- Characteristics: Wide base + fast drop
- Entry: Sell at zone rejection
Demand Zone
- Characteristics: Consolidation + strong rally
- Entry: Buy at zone bounce
Imbalance
- Definition: Price movement without retrace
- Strategy: Entry when price returns to fill the imbalance
Advantages of SND
- Visually easy to identify
- High risk-reward potential
- Universal across all assets
Disadvantages of SND
- Subjective zone marking
- Prone to false breakouts
- Does not account for time
Case Study (BTC/USD M5)
Identify a fresh supply zone
Wait for price to return to the zone + bearish engulfing candle
Enter short with SL above the zone
Result: Profit 5R (risk-reward 1:5)
SND M5 Trading Tips
- Prioritize fresh zones (not yet tested)
- Combine with volume for confirmation
- Use a time stop (max 30 minutes per trade)