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Premium and discount zones affect daily bias; premium is expensive, discount is cheap.

From How I'd Learn To Trade Liquidity If I Started Over · jumps to 24:18 · speech

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If we close in the upper 10% of the candle, what seems more likely to go for the next day, here or here, obviously the high were that much closer. We might be 1%, 0.5% off the high, whereas the low might be 3 or 4% lower, something along those lines. Now, the second part of the second checklist item is your premium and discount. So yeah, we're looking to see where the high timeframe draw is. We're looking to see where the current daily candle is. And we're also going to look where we are in the premium and discount of that weekly range, right? Are we in the premium? Are we in the discount? Because that's going to affect our daily bias as well. Now, I want to dispel something that sometimes I see in the comments and I see other people teach, and I've never taught it this way, is this idea that premium and discount automatically mean, you know, by yourself.
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