Technical analysis by ElaraQuinn about Symbol PAXG on 11/8/2025

The price never moves randomly. Every rise or fall is a result of the large capital, planned movements, and liquidity provided by small traders. Smart Money Concept (SMC) is not a trend forecasting tool; Rather, it is the art of reading the flow of money, and understanding the logic behind price movements and market psychological behaviors. When you place a stop-loss, you may think you are protecting your capital, but in reality, you are providing smart money with fuel to accumulate and expand positions, so your orders turn into an opportunity to move the market. Market algorithm – 3 basic steps 1. BoS – Break of Structure When the current trend loses strength, the price breaks bottoms in an uptrend or tops in a downtrend. This indicates the weakness of small traders and the emergence of liquidity necessary for the next step. Smart money exploits this breakout to collect stop-loss orders and pending orders, and prepare to accumulate. 2. ChoCh – Change of Character After BoS, the market begins to change control: the power of sellers decreases and buyers appear. This movement may not be large, but it indicates a fundamental change in the flow of money. The smart money is using this time to surreptitiously accumulate positions, preparing for an explosion that most traders will not notice. Order flows (Order Flow), volume, and hidden pending orders provide very valuable signals about where liquidity is waiting. 3. Order Block – remaining smart money order areas Order Block are price areas where the smart money has participated strongly but has not fully released its positions. The price usually returns to test this area before completing the trend. Seeing an Order Block means you read the liquidity map and know exactly where the smart money wants to expand or distribute its positions. At this point, the price responds strongly, but often small traders do not notice the opportunity or enter in the wrong direction. Market Psychology - The Power of Smart Money Smart money doesn't follow emotions, it takes advantage of audience psychology: Fear: Traders close their positions early, providing cheap liquidity. Greed: Traders enter out of FOMO, false highs are formed and distribution takes place. Hope: Traders hold positions when the price turns, giving the smart money a chance to implement its plan. Two views of the market – the public versus the smart money Average Trader: “The market is going down, should I sell or hold?” Smart Money: “The market has accumulated sufficient liquidity, stop-loss orders and pending orders have been activated. This is the best time to accumulate.” Conclusion – learn to move with the smart money Understanding the concept of smart money means understanding the algorithm behind every price movement. When you master BoS, ChoCh and Order Block, you will no longer be following the market, but moving with the flow of big money, knowing when to enter and when to wait. Test yourself: When you see a bearish candle, do you notice the smart money quietly accumulating, or are you still reacting to the crowd's emotions?