Market Maker Buy Model (MMBM)

Definition

MMBM is the bullish Market Maker Model. It progresses through these phases: (1) Consolidation/Accumulation at lows where smart money builds long positions, (2) Smart Money Reversal (MSS) where the market shifts from bearish to bullish after sweeping sell-side liquidity, (3) Expansion where price rapidly moves higher through FVGs and breaks of structure, creating the 'markup' phase, and (4) Distribution at highs where smart money offloads long positions into buy-side liquidity. The model shows how institutional participants accumulate cheap, move price up, and distribute to late buyers.

Why It Matters

Understanding the MMBM helps you identify where you are in the bullish cycle. If the market is in accumulation, you prepare for longs. If it's already in distribution, you avoid chasing buy-side and prepare for the next reversal. This prevents the common retail mistake of buying at premium (distribution) and selling at discount (accumulation).

How to Identify

1. Look for a period of consolidation or decline into a HTF discount zone (below 50% of the dealing range or at a HTF PD array like a weekly FVG or OB).
2. Identify the sell-side liquidity sweep — price takes out a swing low, equal lows, or session low (this is the accumulation/manipulation phase).
3. Watch for the Smart Money Reversal (MSS/CISD) — price sweeps sell-side, then breaks above a recent swing high with displacement. This is the transition from accumulation to markup.
4. The expansion/markup phase follows — price creates FVGs, breaks structure on higher timeframes, and generally moves in a one-directional fashion toward buy-side targets.
5. Distribution begins when price reaches a HTF premium zone (above 50% of the dealing range) or a significant buy-side liquidity pool (equal highs, session highs, HTF resistance). Price starts to consolidate or show exhaustion signs.

How to Trade

1. Identify the HTF dealing range and determine if price is at a discount level where MMBM could begin (HTF PD array, discount zone).
2. Wait for the sell-side liquidity sweep (accumulation). This is the manipulation phase where retail traders are stopped out of longs.
3. After the sweep, look for MSS/displacement to the upside. Enter long on the FVG or OB created by the MSS displacement. Stop below the swept low.
4. Hold through the expansion phase, taking partials at intermediate liquidity targets (session highs, swing highs, equal highs).
5. Scale out or fully exit when price reaches the HTF premium target (distribution zone). Do not hold expecting further upside once distribution signs appear (consolidation at highs, bearish divergence, sell-side delivery shifting).
6. Once distribution is confirmed, prepare for the reverse model (MMSM) or a new MMBM at lower prices.

Common Confusions

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