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Absorption at a level before London: examples wanted

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FXS London Scalper
Posts: 806
Joined: Sun Oct 18, 2026 12:25 pm

Absorption at a level before London: examples wanted

Post by FXS London Scalper »

Between about 07:00 and 07:55 London time EURUSD and GBPUSD often drift to one side of the Asian range and test it. Sometimes price breaks through. Quite often it stalls, prints a series of small candles with wicks into the level, and nothing happens. I read that as absorption: someone is happy to fill everything that hits the level.

What I look for:
  • Three or more touches of the same level within 20–30 minutes.
  • Each push smaller than the last, measured in pips.
  • Tick activity staying high while price goes nowhere.
  • Spread normal. If the spread is wide, it's not absorption, it's just a thin book.
When I see this, I don't fade it right away. I wait for London to open and see whether the first impulse goes the other way. The trade is the reversal after 08:00, not the stall before it.

I don't have a sample big enough to quote a hit rate, so treat this as a hypothesis. The structural appeal is the risk: the stop sits just beyond the absorbed level, so a loser is small compared with a reversal that runs back through the range. To test it, log every stall that meets all four criteria, not only the ones that reversed, and score the 08:00 to 08:30 move afterwards.

I'd like to collect more examples. If you have a screenshot of a pre-London stall that either reversed or broke cleanly, please post it with the pair, date and time. Failures are just as useful as successes.
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