In practice
The model is a map of a whole move. Price leaves a consolidation, steps towards a higher-timeframe level while building liquidity behind it, reverses at that level, and then steps back through each of the earlier stages.
Traders use it to work out where they are in the cycle and which earlier levels are likely targets on the return leg.
What to watch for
It is far easier to draw on a finished chart than to recognise while it is forming. It is a framework for thinking about context, not a signal, and real markets rarely follow the diagram cleanly.