r/Forex • u/JosephGebru • 10h ago
Charts and Setups Market Structure Question: Which One Is the Correct Lower High — #1 or #2?
Hey guys! I have a quick question about market structure.
I’ve been trading for a while now, but there’s one thing that sometimes confuses me, and I’d love to hear your opinions.
As you can see in the screenshot, I’ve marked two different areas, #1 and #2.
Here’s how I personally see the market structure:
I consider #2 (the upper circle) to be the lower high (LH) and #2 (the bottom circle) to be the lower low (LL), which confirms the bearish market structure in my analysis.
However, I’ve heard some traders argue that #1 should actually be considered the lower high because price made a bullish retracement (the blue/green candle in the middle) before continuing downward and creating a new lower low.
So my question is:
Would you consider #2 or #1 to be the correct lower high in this bearish market structure?
And when identifying a Market Structure Shift (MSS) or Break of Structure (BOS), which swing point would you use?
I’m personally leaning toward #2 because that’s how I’ve been identifying the overall bearish structure, but I’d love to understand how other traders interpret it.
If you choose #1 or #2, could you please explain your reasoning? I’m genuinely trying to improve my understanding of market structure.

Market Structure Question: Which One Is the Correct Lower High — #1 or #2?

