ICT Charter PAM 9 - One Shot One Kill
Last modified by Drunk Monkey on 2024-02-09 09:38
Outline
00:11 - Weekly range expansion for trading with directional bias.
- Focus on weekly range expansion, with realistic expectations and understanding of potential losses.
- ICT uses a top-down approach to analysis, breaking down trades into smaller components to identify patterns and make informed trading decisions.
- ICT emphasizes the importance of understanding weekly chart directional bias and using it to inform daily trading decisions, acknowledging that accuracy is not always 100% and that it's normal to make mistakes.
04:10 - Trading strategies and model development.
- ICT focuses on day of the week for higher low formation, while ignoring weekly high or low.
- ICT uses top-down analysis and weekly range expansion to build directional bias, aligning with institutional order flow.
- The speaker emphasizes the importance of studying the lessons in the mothership program regularly to become a proficient trader.
- The speaker encourages flexibility in determining one's trading style, as it may change over time.
09:26 - Identifying trading opportunities using liquidity analysis.
- ICT teaches how to identify and trade liquidity imbalances in price action.
- ICT explains the concept of internal range liquidity and how it relates to trading ranges, using examples from the market.
- ICT emphasizes the importance of understanding internal range entries and exits to identify trading opportunities and make informed decisions.
14:17 - Price action and market imbalances.
- ICT: Distinguishes between buy side imbalance (too much buying, no enough selling) and sell side imbalance (too much selling, not enough buying) in price action.
- ICT: Uses terms "fair value gap" and "liquidity void" interchangeably to describe the same concept in price action.
- The speaker emphasizes the importance of understanding the narrative behind price movements in trading, as it helps traders make informed decisions.
- The speaker encourages traders to find their own unique way of interpreting price action, as it allows them to manifest their trading goals and potentially achieve financial freedom.
19:55 - Market analysis and trading strategies.
- ICT has evolved throughout their 26-year career, adapting to different markets and trading styles.
- ICT aims to capitalize on the weekly range, looking for 50-75 pips and encouraging members to be more independent in their thinking.
- ICT emphasizes the importance of learning from losses and becoming more callous to market fluctuations over time.
- ICT provides a framework for capturing consistent profits by setting up trades in a direction aligned with the weekly expansion.
25:22 - Adapting trading strategies based on market conditions.
- ICT emphasizes the importance of adaptability in trading, using multiple approaches to capture profits before the end of the week.
- Mitigating losses and building small counts up from nothing are key strategies in the mentorship, providing a multi-dimensional approach to trading.
- ICT emphasizes the importance of understanding the lower timeframe price action models to determine when to move the stop loss on a one shot one kill trade.
- He provides examples of how to identify profitable entry points and adjust the stop loss based on the smaller timeframe models.
31:08 - Trading strategies and risk management.
- Analyze equal lows to determine profit-taking areas and bring stop loss to break even.
- Focus on flexibility, not just profit, in trading.
- Trader identifies potential entry points for a trade based on liquidity levels and opposing liquidity profiles.
37:05 - Trading models and their interconnectedness.
- Immersion in all trading models is essential for informed perspective and smart money awareness.
- Michael emphasizes the importance of understanding the conceptual foundations of trading models before moving on to more advanced techniques.
- He provides insights on how to manage trades, including when to take profits and scale out of trades, using the objective of 50-75 pips as an example.
41:17 - Market analysis and trading strategies.
- ICT discusses the potential for a currency pair to return to an internal range after reaching an external range liquidity marker, citing the example of the dollar Swiss.
- ICT predicts that the currency pair will reach an internal range liquidity marker, potentially resulting in a model number 8 trade.
- ICT explains market inefficiencies and imbalances using PD arrays, with a focus on buy-side imbalances and price action.
46:09 - Technical analysis and market structure.
- ICT identifies breaker after equal highs are taken, no rules apply.
- ICT analyzes the market's behavior and identifies patterns, such as breaker mitigation, to inform trading decisions.
- ICT emphasizes the importance of understanding market dynamics and institutional order flow to draw accurate support and resistance lines.
51:03 - Technical analysis and trading strategies.
- The speaker analyzes the daily chart and identifies a fair value gap, with a potential downside objective of 9783-9785.
- The speaker notes that the market has been in a buying phase for too long, and a potential reversal could occur at the 9783-9785 level.
- The speaker discusses the importance of understanding the purpose of going down and filling a pyramid in order to make a narrative useful.
- The speaker highlights the challenges of trading, including the potential for losses and the need to adjust stops, and emphasizes the importance of defining sell side imbalance and liquidity void.
56:08 - Trading strategies using chart analysis.
- Trader identifies opportunities for profit by analyzing chart patterns and volume imbalances.
- Trader analyzes price action to determine internal vs external range liquidity.
01:00:56 - Trading strategies using internal and external range liquidity.
- The speaker discusses the concept of "one shot one kill" in trading, using elements such as external and internal range liquidity to identify profitable trades.
- The speaker highlights the importance of understanding the distribution of liquidity in the market, using the movie "Limitless" as an analogy to explain the concept.
- ICT emphasizes the importance of understanding the difference between internal and external liquidity in trading.
- He encourages traders to find their niche and not feel pressured to conform to a particular approach or mentality.
Transcription
| 1 | 00:00:11 --> 00:00:21 | ICT: Okay, folks, we are looking at pricing model number nine. So it'll be a one shot one kill trading model, just one approach to how you guys can use this |
| 2 | 00:00:21 --> 00:00:31 | information that was taught mentorship. Obviously, there's many, many different ways we can formulate an approach to trading the weekly range. But we're |
| 3 | 00:00:31 --> 00:00:44 | stocking a 50 to 75 Pip per week, haul on a consistent basis. Now, before we get into it, just remember that it's not my goal, to teach you to expect it to |
| 4 | 00:00:44 --> 00:00:52 | happen every single week, especially as a new developing trader. Now that what you're thinking, Wait a minute, now, I've already went through your mentorship |
| 5 | 00:00:52 --> 00:01:03 | Michael, I'm not a new trader anymore. Well, I grant, yeah, that's probably true in a sense, but you're still new with the content. So just be realistic with |
| 6 | 00:01:03 --> 00:01:10 | your expectations, try not to put too much pressure on yourself, and just understand that you're gonna have losses, okay, everything that I teach here, |
| 7 | 00:01:10 --> 00:01:19 | until you grow into a consistent model, where you realize how little you actually have to do, there's some growing pains gonna go through, just try not |
| 8 | 00:01:19 --> 00:01:32 | to build them up so much that they become mountainous barriers to your underlying development. Okay, so we are keeping with the theme here, because |
| 9 | 00:01:32 --> 00:01:42 | price is fractal. The stage is going to be a weekly range expansion. Like everything else in the mentorship. That's how we basically build our directional |
| 10 | 00:01:42 --> 00:01:51 | bias, that we're looking at institutional order flow on a weekly chart, we're trying to ascertain the weekly direction, from the weekly chart and onwards, are |
| 11 | 00:01:51 --> 00:02:00 | we going to expand to the upside or downside relative to the weekly institutional order flow? Obviously, monthly charts can help you here. So again, |
| 12 | 00:02:00 --> 00:02:14 | I'm gonna preface this by saying that the breakdown and analysis approach that I do in month number 12, the all this content from the mentorship 2017. That is |
| 13 | 00:02:14 --> 00:02:26 | how I do all of my analysis from the top down. And I look for those things much like I'm going to explain here, that leads to the results you guys seem to share |
| 14 | 00:02:26 --> 00:02:34 | on my Twitter feed. It's all those trades that I share, I get inundated with Can you review that trade? Can you do this? Can you do that? I'm not going to do it |
| 15 | 00:02:34 --> 00:02:43 | on Twitter, obviously, because you know, events, if I do it or not, people start to catch on to what I'm doing, and you paid for it. So it's important for you to |
| 16 | 00:02:43 --> 00:02:53 | use the information that you learned from this mentorship to break down what you see in the trades yourself. Now, obviously, I fancy dance a little bit sometimes |
| 17 | 00:02:53 --> 00:03:03 | with my entries and exits, because I don't want anyone trying to mimic or reverse engineer the things that I teach in the mentorship. There's a joker on |
| 18 | 00:03:03 --> 00:03:12 | YouTube that insists he's figured it out with a rectangle moving it around. couldn't be further from the truth. And you all know the difference between what |
| 19 | 00:03:12 --> 00:03:21 | we're learning here. And what's being shown by the people that supposedly figured out what you are learning that we're in here. So the weekly rate |
| 20 | 00:03:21 --> 00:03:32 | expansion, that is our go to all the time. That's our one trick pony. And for directional bias. Okay, so if you do your work and study on your weekly chart, |
| 21 | 00:03:32 --> 00:03:40 | which direction is it reaching for on a weekly chart? That's the direction you trade for, for daily bias? Will every single day Monday through Friday trade in |
| 22 | 00:03:40 --> 00:03:49 | a direction? No. And it's not necessary. You don't need it to do that. Okay? There's going to be times that you'll see in this teaching here, where even on a |
| 23 | 00:03:49 --> 00:04:01 | weekly basis, you may get it wrong in a week may do something that you weren't expecting. And that's typical, that's normal. It's outside of the expectations |
| 24 | 00:04:01 --> 00:04:09 | of a newbie, because when they read a book or go through a course or join a service like we have here, naturally, they assume that they're going to have |
| 25 | 00:04:09 --> 00:04:19 | 100% accuracy. And that's not realistic. So I'm going to show you how sticking to the model itself. Eventually you're going to encounter adverse results, but |
| 26 | 00:04:19 --> 00:04:29 | you stick with it. And you'll get right back in line with what the institutional workflow and smart money is doing with price action. So the setup again, we're |
| 27 | 00:04:29 --> 00:04:41 | focusing on day of the week. Okay. So, Monday, Tuesday, Wednesday, we're expecting a higher low to form. Now, conversely, what we said about the model |
| 28 | 00:04:41 --> 00:04:52 | number eight, okay, well, we didn't require or even concern ourselves with hunting the weekly high or low. This model we are. So we're going to touch on |
| 29 | 00:04:52 --> 00:05:02 | some things that I do that allow me to consistently find what the weekly range is going to do and where my sweet spot entries are going to be. So, the pattern |
| 30 | 00:05:02 --> 00:05:11 | again, we're working with inefficiencies, its liquidity voids and fair value gaps, to liquidity runs. Now I'm gonna give you some insights about that, that I |
| 31 | 00:05:11 --> 00:05:26 | haven't shared on any other lesson and mentorship. So let's get into it. Nothing's changed in terms of our underlying framework, because it's based on a |
| 32 | 00:05:26 --> 00:05:36 | higher timeframe. Top down analysis approach, we're using the weekly range expansion. And we're looking for, again, that range between the next 50 to 100. |
| 33 | 00:05:36 --> 00:05:47 | pips, so the same model we used for model number eight, for our, I guess, higher timeframe premise, or directional premise, if you want to call it that. It's the |
| 34 | 00:05:47 --> 00:05:56 | same thing, we haven't changed it. And if you've gone through the mentorship, and you've paid attention, this is what I actually teach. This is how we look |
| 35 | 00:05:56 --> 00:06:07 | forwards to shoulder flow, and we stick with this narrative. We do not care what anyone else is saying on Twitter or YouTube or CNBC, we don't care. Okay, we're |
| 36 | 00:06:07 --> 00:06:15 | focusing on what price action is telling us. And we're going to stick with that narrative until we are proven beyond a shadow of a doubt that it's no longer |
| 37 | 00:06:15 --> 00:06:24 | valid. When is that you'll know, okay, when your trades aren't working out, and it's just screaming the other direction, okay, you cut your losses short, and go |
| 38 | 00:06:24 --> 00:06:32 | in and see if the analysis will support that opposite direction. And that's trading. That's what goes on. And that's what professionals do. But when we work |
| 39 | 00:06:32 --> 00:06:43 | off, the higher timeframe, we're doing that to build a directional bias. That way, institutional order flow on the daily for our one on our charts, will be in |
| 40 | 00:06:43 --> 00:06:56 | sync with us in our trades will more than likely pan out. Now again, that's not an absolution, it's not it's going to be the result that you're expected, is |
| 41 | 00:06:56 --> 00:07:07 | going to be adversities. Obviously, we're in the lower timeframe models, as far as entry and looking for small moves still outside of swing trading and position |
| 42 | 00:07:07 --> 00:07:20 | trading. So there's more potential for setups, which also means there's more potential for taking an entry that's wrong. Okay. So be mindful that. And that's |
| 43 | 00:07:20 --> 00:07:31 | why we want to limit our focus on Monday, Tuesday and Wednesday for this particular model. The inefficiency and liquidity runs, if you have studied the |
| 44 | 00:07:31 --> 00:07:43 | mothership, and gone through a couple of different times, now, it's a lot of content, yes. But you should be going through it every six months, just go |
| 45 | 00:07:43 --> 00:07:50 | through the lessons, cycle through them over and over and over again, make it so you know what I'm going to say before I say it, you want it to be that |
| 46 | 00:07:50 --> 00:08:01 | redundant. Because if you know what I'm going to say that means, you know, that lesson, you know it, you know, by heart, the live sessions, they have lessons |
| 47 | 00:08:01 --> 00:08:12 | inside them tucked in different places. But the lessons themselves each month, if you go through them, they're gonna give you the underlying language that we |
| 48 | 00:08:12 --> 00:08:23 | use to build these models. And again, these are not complete, the intent was to introduce 12 unique models, and the build them up as we go. So 2019, we'll go |
| 49 | 00:08:23 --> 00:08:31 | right back through these again, each month, we'll focus on one, and we'll add more insights and build it up. And 2020, we'll do the same thing. We'll keep |
| 50 | 00:08:31 --> 00:08:40 | building it up. And you'll see how each one of these 12 models can over time as an example. Not that you should grab one of these and run with it say this is |
| 51 | 00:08:40 --> 00:08:49 | how I'm going to do it. You can but I'm not encouraging you to do that. Okay, I want you to study them broadly in almost all of them. And whichever one you feel |
| 52 | 00:08:49 --> 00:08:59 | closely linked to or we gravitate towards, that's probably the model that's going to be closest to what you're going to end up becoming a trader. It can |
| 53 | 00:08:59 --> 00:09:07 | change later on. Yes, so be flexible in the beginning. So how much time is it going to require for that, to determine if you're going to be a short term |
| 54 | 00:09:07 --> 00:09:14 | trader or swing trader, position trader or even a scalper? Some of you guys wanted to be position traders and now sudden, you're like me, I can get in here |
| 55 | 00:09:14 --> 00:09:23 | a couple different times a week, scalping up and I'm done. And that's awesome. You know, it's that was the intent of the mentorship for you to discover what |
| 56 | 00:09:23 --> 00:09:36 | makes you tick as a trader. And in focusing on those tools, they'll allow you to do very well doing that. But going through the mentorship, I taught two things |
| 57 | 00:09:36 --> 00:09:47 | as it relates to liquidity, one being external range liquidity, that being like run on outside double top highs and double bottom lows and internal range |
| 58 | 00:09:47 --> 00:09:59 | liquidity which is fair value gap and liquidity voids in order blocks. If you haven't picked up one yet, what I have not disclosed until this lesson here is |
| 59 | 00:10:00 --> 00:10:09 | Do you want to look for models in your trading? And don't talk about this? Okay, I know, there's a few of you in here, and I'm going to catch you eventually. |
| 60 | 00:10:11 --> 00:10:22 | But you're sharing my content. There's things that I purposely kept back until we got into the charter membership level, because they're too, too good, or too |
| 61 | 00:10:22 --> 00:10:31 | good. And no one talks about it because no one knows about and no one thinks about it, because they've never been exposed to the things I've been exposed to. |
| 62 | 00:10:31 --> 00:10:43 | So when we look at price action, and we classify runs on liquidity runs into liquidity. They're based on two categories, two classes, again, one being |
| 63 | 00:10:43 --> 00:10:54 | external range, liquidity and the other internal range liquidity, most of the time, you're going to find that internal range liquidity entries will run to |
| 64 | 00:10:54 --> 00:11:05 | external range. Liquidity, that means you're gonna see waterblocks fair value gaps or voids the your entry. And it'll expand outside of the present short term |
| 65 | 00:11:05 --> 00:11:15 | dealing range to external range liquidity, and that is your low resistance liquidity room. Conversely, if you are using turtle soup entry style, trading |
| 66 | 00:11:15 --> 00:11:26 | lowers fading double top highs that will get ran out in a bearish condition, you can use as your entry and then even target internal range liquidity for your |
| 67 | 00:11:26 --> 00:11:39 | exits. So we're coupling everything we taught in month number five for the PD array matrix, and all of the PDAs as it relates to internal range and external |
| 68 | 00:11:39 --> 00:11:51 | arrays, the Quiddity how they coupled together, I just gave you the the decoder key, if you will, okay. All of my trades, all of them are framed on one of those |
| 69 | 00:11:52 --> 00:12:02 | two conditions. If I'm entering on an external range, liquidity, I'm aiming for internal range liquidity, and I'll explain what that is, if it's not been made |
| 70 | 00:12:02 --> 00:12:09 | very clear to you yet. But if you started the mentorship, you know exactly what I mean. And you're probably saying, Ah, there it is, well, that's not all, we |
| 71 | 00:12:09 --> 00:12:18 | got a lot more stuff to teach eventually. But this right here is one of those man, I now know what I'm looking for moments. That's That's what you should be |
| 72 | 00:12:18 --> 00:12:30 | having right now. Because if we know that a double top, which was what we call us, Candyland, when they run those stops, it's expected to be asleep most times. |
| 73 | 00:12:31 --> 00:12:39 | So it's going to return back inside of the previous range. What's it going to do once it gets us out of that range, it's going to seek internal range liquidity |
| 74 | 00:12:39 --> 00:12:52 | to go for fare a gas is going to go back for equilibrium or to go to Voltorb. It's going to seek to recapitalize at those levels. Now, I don't know if it's |
| 75 | 00:12:52 --> 00:13:00 | going to run the low side of the range and breakout the other side, I don't care. That's why I couple it with external range entries and internal range |
| 76 | 00:13:00 --> 00:13:12 | exits, or internal range entries in external range exits. That's how I look at the marketplace. That's what makes me consistent, because I'm looking at the |
| 77 | 00:13:12 --> 00:13:22 | orders. Now I don't have something on my screens, okay, I don't have a membership to anything that tells me this is where the orders are. So if we look |
| 78 | 00:13:22 --> 00:13:38 | for internal range entries, it's very gaps, liquidity voids being filled in or order blocks. We're looking for rings to be broken. But I don't care if it |
| 79 | 00:13:38 --> 00:13:47 | continues to keep going. Once it trades outside of the range. That's where I'm looking to exit my positions or scale out, that's going to be a long term |
| 80 | 00:13:47 --> 00:14:00 | position, which I don't want to trade anymore. So if we have these elements understood, we now have a complete model at our fingertips anytime we want. We |
| 81 | 00:14:00 --> 00:14:09 | can look at any chart, any timeframe and quickly ascertain what is the current trading range. What's the higher timeframe most likely probable direction, |
| 82 | 00:14:10 --> 00:14:24 | determine where those inefficiencies are, and imbalances. And the difference between that is an imbalance. If we have a market that rallies up higher, it's |
| 83 | 00:14:24 --> 00:14:35 | going to create many times a fair a gap or liquidity void where there's one or a couple big up candles. And that's a buy side and bounce sell side inefficiency. |
| 84 | 00:14:36 --> 00:14:44 | Okay, knowing that it's the same thing, you're saying the same thing when I say those things, because I noticed when I go through my notes, or I look at |
| 85 | 00:14:44 --> 00:14:51 | something when someone asked me a question, they'll say, you know, what's the difference between when you say it's running for buy side liquidity? Or if it |
| 86 | 00:14:51 --> 00:15:02 | says a buy side and balance? What am I saying there? It's the same thing interchangeably. It depends on how I'm looking at it. So It means the same |
| 87 | 00:15:02 --> 00:15:11 | thing, it may be a little bit confusing for you, but just know that the characteristic of that price action when price runs up hard from sale, a |
| 88 | 00:15:11 --> 00:15:22 | significant intermediate term low, and it rallies quickly, it will leave pores price action, in the form of inefficiencies, there's not been a lot of offers in |
| 89 | 00:15:22 --> 00:15:38 | there to pair up sells, it just keeps bidding higher or higher in those gaps, which you don't really see. They exist. So it's a buy side imbalance. By nature, |
| 90 | 00:15:39 --> 00:15:52 | because it's too much of buying, it will want to rebalance that with sellside delivery. So it's inefficient in the sense that it's without enough or, or if |
| 91 | 00:15:53 --> 00:16:05 | efficient means of sell side liquidity in that big run up. So a sell side imbalance is the opposite. The market runs down quickly. And there is a buy side |
| 92 | 00:16:05 --> 00:16:14 | inefficiency. So there hasn't been enough bids in there while the market just keeps dropping, dropping, dropping, dropping, dropping, it's too many offers. So |
| 93 | 00:16:14 --> 00:16:24 | it's a way to go back up and rebalance that. So it's important that you understand that there is an element that may have caused some confusion |
| 94 | 00:16:24 --> 00:16:34 | throughout the mentorship. It's just when I look at it. I look at it from two perspectives, and depends on what I was saying at the time when I was saying |
| 95 | 00:16:34 --> 00:16:42 | it's about the mentorship. Because if I'm looking at something for a purpose of taking profits, and I'm using a fair value gap or liquidity void, I'll be |
| 96 | 00:16:42 --> 00:16:54 | looking at it in characterizing that move into that level based on the purpose of it rebalancing. Okay, and removing the inefficiency. But it's still the same |
| 97 | 00:16:54 --> 00:17:03 | thing. A buy side imbalance is a sell side inefficiency. A cellphone imbalance is a buy side inefficiency, it's the same thing. There's two halves of that |
| 98 | 00:17:03 --> 00:17:12 | story, okay. Or you want to say like this, there's two sides of that coin. It's the same coin. Okay, we're talking about the same thing. But there's two |
| 99 | 00:17:12 --> 00:17:23 | elements that make up price movement, the bid and the offer. So from a liquidity standpoint, we have to understand what is the purpose of price going to that |
| 100 | 00:17:23 --> 00:17:34 | level, again? Is it going down here to rebound to pick up more orders. And that fits the narrative, or is it going down here to offer means of offset |
| 101 | 00:17:34 --> 00:17:44 | distribution to allow someone to get out of move. And then we have to wait to see if it's going to consolidate or continue to break through. Those are the |
| 102 | 00:17:44 --> 00:17:56 | things that we have to balance out and the narrative is determined by more study. So it's going to, again, the charts here, and these are the same charts |
| 103 | 00:17:56 --> 00:18:06 | exactly as model number eight. But I'm showing you from a fractal standpoint how we all get the same chart anyway, every single one of us is looking at the |
| 104 | 00:18:06 --> 00:18:11 | British pound, the Euro Swissy the yen, since I hate it's |
| 105 | 00:18:13 --> 00:18:21 | Canadian dollar, loonie, whatever you want to call it, we're all looking at the same thing every single day, every single week. But because of the type of |
| 106 | 00:18:21 --> 00:18:29 | trader you're trying to be or aspiring to be, and you may not know what that is yet, still, it's normal for you to still be unsure. Because it's a lot of |
| 107 | 00:18:29 --> 00:18:37 | content, and you have a long career ahead of you. And you don't want to rush this part of it. But when we look at price action, all of us are going to see |
| 108 | 00:18:37 --> 00:18:48 | something different. Even though we're seeing the open high, low, close the same. We will all internally digest this uniquely different. And it's startling |
| 109 | 00:18:49 --> 00:18:57 | revelation when you take a step back and look at it like that, it's okay. Wow, it really is true because you there's 1000s of people that are learning from me. |
| 110 | 00:18:58 --> 00:19:10 | And all of you can sit down to chart and come up with a different way of trading it and it still wouldn't be profitable. And it would completely go against many |
| 111 | 00:19:10 --> 00:19:20 | times some of the things that other traders in this group will be doing and they still will be profitable. So it's it's a very fascinating subjects. That's why I |
| 112 | 00:19:20 --> 00:19:34 | love price action because it allows us to see things in a way where we can manifest what we hope to have and manifest our dreams right through our visual |
| 113 | 00:19:34 --> 00:19:44 | interpretation of price action, because then what we see in that we can use that to manage money. That money hopefully yields or return in that yielded return |
| 114 | 00:19:44 --> 00:19:53 | can be compounded over time. And that is the vehicle or the catalyst that takes us out of the rat race and puts us into a lifestyle that we want to have. All of |
| 115 | 00:19:53 --> 00:20:03 | us are going to do it differently. And I have changed hats throughout my 26 years of the markets. and I've not consistently stayed one thing, I've always |
| 116 | 00:20:03 --> 00:20:15 | evolved into something different new. And I have found that I am a weekly range or day trader, I can scalp like nobody's business. And that's been evident you |
| 117 | 00:20:15 --> 00:20:25 | shown on Twitter this year. But I don't like being in the charts that might only do it the show off. Some of you like that. This model, watch I want chill is |
| 118 | 00:20:25 --> 00:20:32 | designed to capitalize on the weekly range, we're not trying to get in there and nickel dime the market really want to try to get as close as we can to that |
| 119 | 00:20:32 --> 00:20:41 | weekly, high sell short there and cover as close as we can. The lower 1/3 of the weekly range are expected weekly range and be content with that. Okay, our |
| 120 | 00:20:41 --> 00:20:53 | objective is looking for 50 to 75 pips, I'm going to go through the exercise that I go through every single week. This is exactly what I do. I don't do |
| 121 | 00:20:53 --> 00:21:05 | anything other than this. And this is basically the model I do. So when I give you my weekly commentary, I'm doing this very thing. Okay, so you can use it as |
| 122 | 00:21:05 --> 00:21:17 | a drill. Each week, try to do your analysis before when we go back into doing our weekly analysis after the holidays. When we do our one day uploads, try to |
| 123 | 00:21:17 --> 00:21:23 | have your analysis done over the weekend. So that way you can stay in, anticipate rather what I'm going to say now you may not say verbatim what I'm |
| 124 | 00:21:23 --> 00:21:32 | going to actually say obviously, it's not realistic. But the general theme of what I'm expecting, you're going to hopefully grow into knowing what I'm going |
| 125 | 00:21:32 --> 00:21:42 | to say this mentorship is not meant for you to hold my hand and me hold your hand forever. in perpetuity. It's not what we're doing. Okay, I don't want a |
| 126 | 00:21:42 --> 00:21:52 | codependency. I want you to say, I'm so thankful I was part of this. I am ready and spread your wings and fly. It doesn't mean that come in here and hang out |
| 127 | 00:21:52 --> 00:22:01 | with the memberships for but I don't want you leaning on every word. Okay? And waiting on bated breath. What am I going to say about a market you shouldn't be |
| 128 | 00:22:01 --> 00:22:10 | thinking that none of you should be thinking at your charter members. Now you need to be more responsible and independent in your thinking and be okay with |
| 129 | 00:22:10 --> 00:22:17 | taking a loss. That's where you're that's where your lessons are going to come from your greatest learning is gonna come from those times where you thought you |
| 130 | 00:22:17 --> 00:22:27 | had it right. But it didn't happen. And I didn't get here without having a lot of losing trades, lots of them. And every one of them, those little cuts the |
| 131 | 00:22:27 --> 00:22:38 | heel in the tissue that is the replacing the normal flesh, it's thicker, it's scar tissue, it's, it's a little bit different. It's it's harder, you become |
| 132 | 00:22:38 --> 00:22:47 | more callous to all these types of things over time, and you become seasoned by it. That's what professionals are. They're not influenced by the minor or short |
| 133 | 00:22:47 --> 00:22:54 | term fluctuations in their, their outlook on the marketplace, because they know consistently over time, they're going to be more right and they're wrong. And |
| 134 | 00:22:54 --> 00:23:03 | that's the mindset I'm trying to promote here. So if we're looking at the same model here, same price action fractal, we have Monday, Tuesday and Wednesday. |
| 135 | 00:23:03 --> 00:23:16 | And the bias stops that was shown on December 3, that was the objective to be ran. Everything that was shown in model number eight is insightful, and it |
| 136 | 00:23:16 --> 00:23:29 | complements this model. And I did this presentation with this in mind because I went from the short term trying to get 25 pips once a week. Okay now to doing |
| 137 | 00:23:29 --> 00:23:42 | we're looking at the one shot one kill, where we're trying to get the week behind The Weekly low. If we don't get it, what is your contingency plan? Use |
| 138 | 00:23:42 --> 00:23:54 | what I taught you in model number eight, or what I end up teaching you in the scalping model. And I don't know, off top my head, but now it's going to be but |
| 139 | 00:23:54 --> 00:24:08 | it's in a later lesson than this. It's one of the 12 towards the end. So we have an approach to capturing what we're hopefully going to see as consistency over |
| 140 | 00:24:08 --> 00:24:18 | time. And there's going to be a model for you to follow. Because everyone's asking, Well, what do I do this and with this doesn't happen, what do I do? You |
| 141 | 00:24:18 --> 00:24:29 | drop down in the models. That's why it's important for even a position trader. Okay, if you want to be a position trader and you miss your entry, okay, you had |
| 142 | 00:24:29 --> 00:24:36 | a limit order and it gets short, and it didn't trade to it. You're gonna sit here and wait for it to keep on trading and regret all that are you going to use |
| 143 | 00:24:36 --> 00:24:44 | other models to get you in sync with the marketplace and still hold for that longer term position? That's the benefit of learning all these on some of you |
| 144 | 00:24:44 --> 00:24:53 | are trying to wash your hands of the scalping model with a day trading mom because it doesn't fit your your unique personality and I get that but you need |
| 145 | 00:24:53 --> 00:25:02 | to understand it because that's how a professional will encounter and gauge the marketplace if they're longer. Trump models don't provide them the entry points, |
| 146 | 00:25:03 --> 00:25:11 | what is what's left, they just don't trade. They just missed the opportunities all the time. No, if you know a long term moves gonna happen. And if you look at |
| 147 | 00:25:11 --> 00:25:20 | what we've been doing here, we're framing all of our trades in a direction, that weekly expansion. So we have a unique higher timeframe perspective on every |
| 148 | 00:25:20 --> 00:25:31 | trade we're setting up. So we have that element there in all these models. If we are going to miss a swing trade or position trade, or even a one shot one kill, |
| 149 | 00:25:32 --> 00:25:39 | before we get into the nuts and bolts of this teaching, just know that you can use to what was taught in model number eight, to get something off for the week. |
| 150 | 00:25:39 --> 00:25:48 | That way you don't have, you know, a complete missed opportunity. Because if you missed the weekly high, well, from one shot, one kill standpoint, you missed the |
| 151 | 00:25:48 --> 00:25:57 | ideal entry, but it doesn't mean you've missed profitability or potential profitability for the week. Who cares if you only get 25 pips, it's better than |
| 152 | 00:25:57 --> 00:26:06 | missing out. Or if you take a loss and get stopped out, you can use model number eight to help mitigate that loss that you use trying to trade a one shot one |
| 153 | 00:26:06 --> 00:26:18 | kill model. Think about that. You weren't thinking about that, were you. That's the purpose of having a multi approach or a multi pronged approach, if you will. |
| 154 | 00:26:19 --> 00:26:30 | When I was back on miracle online, in the 90s, I taught tried it, okay. And it was like a three pronged approach where I was always able to do something. And |
| 155 | 00:26:30 --> 00:26:44 | that mindset started in 1996, for me, and it allowed me to always have some means of capturing something before Friday. Now it sounds like overtrading, it |
| 156 | 00:26:44 --> 00:26:55 | sounds like forcing an opportunity or forcing a trade. And to the uninitiated, that will be you, probably very close to reasonable. But I'm not forcing |
| 157 | 00:26:55 --> 00:27:06 | anything, I'm adapting. And that's what we have to determine if we're going to be a short term trader like this using one shot one kill, we do not want to feel |
| 158 | 00:27:07 --> 00:27:16 | trapped in the sense that that's the only way we can trade. And because you didn't like day trading, or you didn't like scalping, therefore, you just missed |
| 159 | 00:27:16 --> 00:27:26 | the boat, not just gonna stay the rest of the week. And if it's Wednesday, you missed it. Well, if you missed the trade on Thursday, we'll be left with you |
| 160 | 00:27:26 --> 00:27:27 | still have something on Friday. |
| 161 | 00:27:28 --> 00:27:39 | Don't let opportunities slip by if you have drawdown, try to mitigate it. Don't force it, try to mitigate it, you don't have to get all that back. Just get some |
| 162 | 00:27:39 --> 00:27:48 | of it back if he can. If it's questionable, or he just completely opposed to it emotionally, psychologically getting back in and hurt you, then stay out the |
| 163 | 00:27:48 --> 00:27:58 | rest of the week. That's how you determine that. But I taught enough in the mentorship, how we mitigate losses, how we build small counts up from nothing |
| 164 | 00:27:58 --> 00:28:05 | and keep doing the same thing over and over again. But in this lesson, the importance of understanding all the other models or approaches to trading using |
| 165 | 00:28:05 --> 00:28:18 | my concepts is it allows you a multi dimensional approach to engaging the marketplace and not just simply relying only on your one tried and true favorite |
| 166 | 00:28:18 --> 00:28:25 | bread and butter model. Because your bread and butter model is going to miss opportunities because you're going to get the entries wrong. Are you going to |
| 167 | 00:28:25 --> 00:28:33 | take a loss? So what's the protocol for that? You need to determine that, what is it going to be? Is it going to be your stay out the rest of the week and |
| 168 | 00:28:33 --> 00:28:40 | regret and accidentally move that you could have done? Or mitigated the loss? Or are you gonna say okay, well, I'm gonna adapt and say, Okay, I can't do one shot |
| 169 | 00:28:40 --> 00:28:50 | one kill, because we've already missed the ideal entry points. So I'm going to drop down into a scalping model. Whoa, now you're evolving. So you're not |
| 170 | 00:28:50 --> 00:28:58 | putting walls around yourself. And let me limiting your engagement. You're allowing yourself to be flexible and working with what the markets giving you |
| 171 | 00:28:58 --> 00:29:09 | through time and price. So it's important understand that. Also, the benefits of me teaching these multi approaches is that when we want to move our stop, one of |
| 172 | 00:29:09 --> 00:29:20 | the lessons that you probably didn't pick up on when you see the lower timeframe trade models go to levels where they would be targets. For instance, if a |
| 173 | 00:29:20 --> 00:29:29 | scalping model, or day trading model trades to a objective, for instance, to sell stops shown here. That's the only time you would be moving your stop loss |
| 174 | 00:29:29 --> 00:29:40 | on a one shot one kill. Or now now we're getting the gears turning army. So everyone's asking questions that I told you throughout the mentorship, wait, all |
| 175 | 00:29:40 --> 00:29:47 | these things will be given to you. And there'll be there'll be understood, but you can't understand it. And you can't appreciate it until you learn all of |
| 176 | 00:29:47 --> 00:29:55 | these things. You gotta go through all the models. You got to look at all the different opportunities to trade price action, and then you'll see how they fit |
| 177 | 00:29:55 --> 00:30:08 | together. Everything is fractal Yes, but it's also modular. So what affects that the small timeframe has an the smaller models are. They allow us to define |
| 178 | 00:30:09 --> 00:30:17 | objectively not through ambiguity not through guessing. Well, when do I move my stop? Well, did the lower timeframe models take you to a position where they |
| 179 | 00:30:17 --> 00:30:24 | would be profitable? Because if that happens, they're probably going to have some retracement. But it's reasonable to have that retracement to a certain |
| 180 | 00:30:24 --> 00:30:36 | level. Knowing what those conditions and characteristics are I knowing this smaller timeframe price action models like scalping and day trading. When those |
| 181 | 00:30:36 --> 00:30:45 | occur when they're profitable, that's when you want to move your stop loss on one shot one kill, you do not want to strangle the trade in the perfect example |
| 182 | 00:30:45 --> 00:30:56 | is this Wednesday staring at you right now. If you were going short, in London on December 5, there's the double highs, random the buy stops and then you have |
| 183 | 00:30:56 --> 00:31:06 | an optimal trade entry. written here. Okay, you can sell short their fair value gap right here at the bottom of a bearish order block. It's right there in front |
| 184 | 00:31:06 --> 00:31:13 | of you, you know these things. But where's your stop going to be? It might be somewhere up here. But as it drops down, you're going to hurry up in January |
| 185 | 00:31:13 --> 00:31:22 | stop loss to break even if you do and you're trying to treat a weekly range, this is what happens. You can have this happen to you, and you get knocked out |
| 186 | 00:31:22 --> 00:31:36 | of the weekly range expansion before actually happens. So when do you take your stop and bring it down to a logical level when a scalper or day trading model is |
| 187 | 00:31:36 --> 00:31:46 | profitable? So what does that look like we have equal lows in here. They don't get ran until this day here. But look what's happening. We have a run below that |
| 188 | 00:31:46 --> 00:31:59 | equals reality. What are we looking for, to give us confidence institutional flow is bearish. We want to see rallying rejection and trade lower. So this |
| 189 | 00:31:59 --> 00:32:08 | initial move down here, while it is cleaning up these equal lows, that would be a area where we can take profits if you're a scalper from previous day's Asian |
| 190 | 00:32:08 --> 00:32:22 | session, or in the late New York hour. And here going short, this could be an area we can take some profits, okay, then we can bring our stop down just above |
| 191 | 00:32:22 --> 00:32:33 | the highs. But we have to be about this high or Aetna high, allowing for you to swing the hacker. And then once price trades down to this level here, then and |
| 192 | 00:32:33 --> 00:32:42 | only then was one shot one kill stop loss being brought to a break even. And then you leave it there you do not micromanage or stop until you get into |
| 193 | 00:32:42 --> 00:32:50 | Friday. That's when we want to start really being aggressive about trailing your stop loss. Because if it starts rolling for you, in here, you want to be chasing |
| 194 | 00:32:50 --> 00:33:05 | it down. Okay, moving your stop loss tightly. Aiming again for Thursday's low. So it's important that we don't try to be so conscious of being profitable that |
| 195 | 00:33:05 --> 00:33:15 | we remove the likelihood of it actually unfolding because we're too afraid of being stopped out. If you're afraid of taking a loss, it's going to prevent you |
| 196 | 00:33:15 --> 00:33:26 | from taking again. It's it sounds like you know, it shouldn't be like that. But it's the truth. If you're afraid, it will make you do things that will prevent |
| 197 | 00:33:26 --> 00:33:36 | you from being profitable. So how do we go about this, where we don't become emotional, we don't become psychologically over committed to only the profit |
| 198 | 00:33:36 --> 00:33:46 | side and not give the market enough room to move. Understanding all the models from the lower timeframe to the higher timeframe and from the higher timeframe |
| 199 | 00:33:47 --> 00:33:55 | to a lower timeframe. That's why when I do my analysis, I do both directions, I go from higher timeframe down to lower timeframe. And then I do it again, from |
| 200 | 00:33:55 --> 00:34:03 | lower timeframe to the art drain free. If they both agree, or if I have some sticking points that I know where I'm gonna have to study and determine what it |
| 201 | 00:34:03 --> 00:34:12 | is I need to be focusing more on because there may be something that missed from a top down approach that I see from a bottom up approach. The long and short of |
| 202 | 00:34:12 --> 00:34:25 | it is you want to be able to be flexible, and use the other models to help get you in a trade if you've missed your ideal models entry. And also by having the |
| 203 | 00:34:25 --> 00:34:35 | lower timeframe models. scalping day trading you those types of price action miles if they are moving to areas where they're profitable. And if you were |
| 204 | 00:34:35 --> 00:34:45 | trading them where you'd be getting out of the trades. Only then do you adjust the stop on a higher timeframe. one shot one kill short term trade. You don't |
| 205 | 00:34:45 --> 00:34:54 | want to be chasing it down lower than that because you have a range that you're still inside of for instance in here on Thursday. When the price starts to trade |
| 206 | 00:34:54 --> 00:35:02 | off, you do not want to be trailing your stop off everybody does this okay in retail everyone undoes it on Twitter, if they're sharing the chart, you see it, |
| 207 | 00:35:02 --> 00:35:10 | look at everybody that shares their charts, go back and look at examples that you know, that have panned out better than what their trades did. You'll see |
| 208 | 00:35:10 --> 00:35:20 | them jamming their stop loss all the way down in here, before the stops had been ran. That's not what you want to do. The liquidity run has yet to occur until |
| 209 | 00:35:20 --> 00:35:33 | here. So when this occurs, then you know that we could potentially see a bounce, but not before it runs to the liquidity, remember, external range liquidity |
| 210 | 00:35:33 --> 00:35:46 | entry, then internal range as offered again as an entry. But if you use external range as an entry, what's it going to be reaching for? Internal range liquidity? |
| 211 | 00:35:46 --> 00:35:55 | What is that? Yeah, bullish order block here, then it bounces? What's the trade up into? Well, where are we at? Now? We're inside the range, what range? This |
| 212 | 00:35:55 --> 00:36:07 | low and this high? So what's it going to trade to internal range? Vega, there's your entry cells off again, this entry pattern here, what's it going to offset |
| 213 | 00:36:07 --> 00:36:17 | at? Where's the offset distribution, the cell stops. We use the internal range entry here. So now what you're going to do remember the opposing liquidity |
| 214 | 00:36:17 --> 00:36:30 | profile, external to internal, internal to external, the move originates here internal, it's going to come to Terminus with external below this low here. Wow, |
| 215 | 00:36:30 --> 00:36:40 | four is going to go you know, this 1020 30 pips, that's sweet, then what to do it rebalances. Now, this could very easily come all the way back up inside the |
| 216 | 00:36:40 --> 00:36:50 | range. But if you've adjusted your stop loss to lock in something, you're not concerned about that. But also, if you're going one shot, one kill down here on |
| 217 | 00:36:50 --> 00:37:02 | a lower timeframe model like day trading as day traders model here. If we see that, and it trades below here, aren't you inclined to take something off that |
| 218 | 00:37:02 --> 00:37:12 | one shot one kill to fund the trade? Think about it. Why wouldn't you? That's exactly what you're supposed to do. So you can see how all of these models, they |
| 219 | 00:37:12 --> 00:37:20 | complement one another. But you can't just say I don't want to be a day trader. I don't want to be a scalper. So I'm not going to study those notes or adults |
| 220 | 00:37:20 --> 00:37:26 | send me emails questioning. Okay, I don't really feel like I'm going to be a scalper or a day trader, I think I'm gonna be a swing trader, I like to deal |
| 221 | 00:37:26 --> 00:37:27 | with chart. |
| 222 | 00:37:27 --> 00:37:36 | So is it better for you to not look at those other trading models? Or those other lessons? No, absolutely not. You're robbing yourself of understanding |
| 223 | 00:37:36 --> 00:37:45 | that's this, it's essential. You can't you can't learn from me and cherry pick, you can't do that. You have to learn it all. And the only way you do that is |
| 224 | 00:37:45 --> 00:37:59 | complete immersion, when that occurs when we have the big picture view, if you will. Once this occurs, and you have that total landscape in front of you, then |
| 225 | 00:37:59 --> 00:38:07 | you have an informed perspective being you're in the realm of smart money. Smart Money is aware of what goes on in the lower timeframes. They're aware of what's |
| 226 | 00:38:07 --> 00:38:15 | going on in a intra week basis. They're they're aware of what's going on the monthly basis, they understand what we're doing in terms of the last six months |
| 227 | 00:38:15 --> 00:38:26 | trading range, we understand where the market may reach on a monthly quarterly and yearly charts. They know those things, okay, but they're on social media |
| 228 | 00:38:26 --> 00:38:36 | talking about it. Neither should you. But you have to have that perspective in mind when you do your analysis. Because these other models when they are |
| 229 | 00:38:36 --> 00:38:47 | profitable, they are your triggers. That's your moment to say, Okay, I'm not day trading this but it went to a day traders profit objective, which is a 2010 or |
| 230 | 00:38:47 --> 00:38:56 | 30 pips sweep above this, I'm sorry, below this low. So what does that mean for your unique trait that means manage the stop, because now we've ran into new |
| 231 | 00:38:56 --> 00:39:10 | liquidity down here and we can be wrong. Because I want to scare you. I taught you trade management here. I taught you entry strategy and exit strategy. |
| 232 | 00:39:10 --> 00:39:21 | Without actually saying here, here, here here. You have to know it conceptually. This is the models purpose. Okay. Each one of these models are conceptual |
| 233 | 00:39:21 --> 00:39:32 | foundations. We build on these as we go further along in the membership. But it's important for you to know that the lower timeframe models, while you may |
| 234 | 00:39:32 --> 00:39:45 | not be attracted to them or looking to utilize them as your go to or bread and butter setup. They are very helpful in terms of trade management, in terms of |
| 235 | 00:39:46 --> 00:39:55 | when to take profits. When When do you scale out of trade? Like when do you take profits I just taught you that. I just taught you. These are the lessons that I |
| 236 | 00:39:55 --> 00:40:04 | told you when you were coming up through mentorship. Each month sending payments and asking questions before you're supposed to ask them. I will teach you in |
| 237 | 00:40:04 --> 00:40:13 | future lessons, but you can't appreciate them until you have all of the other content behind you. So now you can go back into those lessons and say, Okay, |
| 238 | 00:40:14 --> 00:40:24 | Michael said, if we're one shot, one, kill traders, short term trading, I can move my stop here, go back. And you'll see there's those lessons are vague. For |
| 239 | 00:40:24 --> 00:40:32 | a reason. People are quitting do not, I'm not giving you everything in the first couple of months. And not all of it was given in the first 12 months, either. |
| 240 | 00:40:33 --> 00:40:42 | The framework is there, you know how to go back and get the information and get to the nuts and bolts of what I'm saying now, because now I can talk in a really |
| 241 | 00:40:42 --> 00:40:51 | relaxed, leisurely way. And it makes sense to you now, because we have that same language, you can go back and get more information. Oh, yeah. He talked about |
| 242 | 00:40:51 --> 00:40:57 | that. In short term trade. He talked about swing trading, when do I move my stop? How do I manage my stock? Michael? When do I take profits? How much of a |
| 243 | 00:40:57 --> 00:41:12 | position do I take off my trade? I just gave that to you here. That's why you have to go through all the content. If we look at this objective of 50, to 75, |
| 244 | 00:41:12 --> 00:41:23 | pips, let's go into the charts and pull out some more insights. And then we'll close this lesson. Okay, so let's take a look at this. Now, we've looked at the |
| 245 | 00:41:23 --> 00:41:35 | weekly chart, and model number eight for the dollar Swiss, the equal highs in here. This is the actual range entry that one could use for the one shot one |
| 246 | 00:41:35 --> 00:41:46 | kill. We could do that on a position trade entry basis as well. We could do it as day trades, we could do it as scalps, okay? But if we know these equal highs |
| 247 | 00:41:46 --> 00:41:59 | are likely to be rated, which we talked about before the fact once it trades to those and clear those highs out, the likelihood of a continuing up can happen. |
| 248 | 00:41:59 --> 00:42:08 | Yes, but most likely, it hasn't. Why? Because it came from such a low point here or from an order block came all the way up. So what did you do here? We traded |
| 249 | 00:42:08 --> 00:42:17 | from internal range liquidity, what's the range of Michael? Low to the high so that you'd already then hit a bullish order block? So what type of liquidity is |
| 250 | 00:42:17 --> 00:42:28 | that? internal or external? Its internal. So what's it going to reach for now, external range liquidity, and that's what it does here. That's your offset |
| 251 | 00:42:28 --> 00:42:38 | distribution is offsetting anything that was allowed to be purchased here, it has no awareness of how much is actually going on a trade or off the trade, it's |
| 252 | 00:42:38 --> 00:42:47 | just gyrating to these price points. So if we know that it's going to hit the external range liquidity in here, the likelihood is you can come back down |
| 253 | 00:42:47 --> 00:43:01 | inside the range. Now, what's the range this low to this high, that's one of them. But what's the current dealing range, this high in this low. So we were |
| 254 | 00:43:01 --> 00:43:12 | inside of the range rate here. And then we expanded outside of the here. And then one more week here, and one more week for good measurement punch through |
| 255 | 00:43:13 --> 00:43:22 | within reach for equal highs over here. Again, disregard the wicks, is equal highs. So inside of this run up in here, the likelihood is we're probably gonna |
| 256 | 00:43:22 --> 00:43:33 | see it returned back inside of the range, what range is it this low, to this high. So if we are looking at external range as an entry, even if we don't take |
| 257 | 00:43:33 --> 00:43:48 | the trade, our analysis tells us that it's gonna reach for an internal range liquidity marker, that's going to be butcherblock liquidity void, fear of a gap |
| 258 | 00:43:51 --> 00:44:05 | or old highs. That that's going to give you a model number eight. So all of this storyline in here, fits narrative once you understand. After external range has |
| 259 | 00:44:05 --> 00:44:14 | been put in motion, internal range, liquidity is going to be the target now, it's not to say that it can't go lower and hit external range liquidity below |
| 260 | 00:44:14 --> 00:44:24 | this low here, but we have to like I taught in Month Number five, the PD array matrix, you have to go in the order of the PD arrays, which ones exist, not all |
| 261 | 00:44:24 --> 00:44:38 | price action, fractals are gonna have every PD array. So in here, we can define where the imbalances are the inefficiencies, and this is a buy side imbalance, |
| 262 | 00:44:39 --> 00:44:51 | sell side inefficiency. All of this is an imbalance. Too much buying. So if we were in a teeter totter, okay, children's playground apparatus, everything's on |
| 263 | 00:44:51 --> 00:45:02 | the buy side. Okay, and the other side, the sell side doesn't have anything. So as an imbalance, it's enough fish in the sense that it didn't offer enough cells |
| 264 | 00:45:02 --> 00:45:15 | in here. So price will most likely want to come down and rebound that with a range trading back down to it. So this is the example I was referring to |
| 265 | 00:45:15 --> 00:45:29 | external links to internal range, internal range to external rates, go back through any timeframe, any chart, any market, crypto, oil, currencies, stocks, |
| 266 | 00:45:30 --> 00:45:42 | CFDs, bonds, commodities, it does not matter. If it trades, it will do this. This is what market making blueprints are, as far as I'm concerned at this stuff |
| 267 | 00:45:42 --> 00:45:52 | all the time and everything. That's why I'm consistent. Because I'm not trying to book the narrative. That's the storyline these markets work on. So I'm who am |
| 268 | 00:45:52 --> 00:46:01 | I to try to change it, or try to do something outside of that it's gonna keep doing with, not what I wanted to do. So I don't have any imposing of my will. |
| 269 | 00:46:01 --> 00:46:10 | And I'm trying to get in line with it. And that's all we're trying to do here. So let's go on to a lower timeframe daily. Let's go to our chart here. It has my |
| 270 | 00:46:11 --> 00:46:23 | levels delineated. We use the same thing, consequent encroachment, which is the midpoint of a fair value, gap or inefficiency. That's it. This is here. We see |
| 271 | 00:46:23 --> 00:46:31 | the sensitivity there. When you use this chart here, everything's on it. We're gonna drop down into a daily. Okay, so now when we get into a daily, we can see |
| 272 | 00:46:31 --> 00:46:44 | a whole lot more definition in terms of the delivery, or inefficiency. Price creates that run here is that additional ramp up in here in price breaks down? |
| 273 | 00:46:45 --> 00:46:54 | When do we get our market structure break? From this perspective on the daily, we don't get it until this law was violated. That's here. Once that occurs, |
| 274 | 00:46:54 --> 00:47:07 | price trades back up into these levels right here. Now, what did it trade up into? What what is the? What's the significance of this area? Right here? What's |
| 275 | 00:47:07 --> 00:47:27 | what's actually happening? Well, we have this down close candle here. Break, move. So isn't that the breaker? No, it's not the breaker. We have this down |
| 276 | 00:47:27 --> 00:47:27 | close candle. |
| 277 | 00:47:29 --> 00:47:41 | Even though we have a lower low here and a low here. This candle here went down the most. So where was sellside delivery originating from this candle here. Even |
| 278 | 00:47:41 --> 00:47:55 | though we had it in here, this candle is inside of the range of this candle. So this is an insignificant, it's this one. So if you have that understood us no |
| 279 | 00:47:55 --> 00:48:09 | rules. Here is our breaker. Bearish breaker after the break in market structure after equal highs have been taken. See, that's what's missing from everyone |
| 280 | 00:48:09 --> 00:48:19 | that's gone through free tutorials. Everybody has a YouTube channel now. They'll have a YouTube channel and you're teaching breakers. And occasionally I'll go on |
| 281 | 00:48:19 --> 00:48:28 | and I'll make a little snide remark about that's not right. But I'm not trying to put finally be mean, I'm just being honest. You know, some of them don't have |
| 282 | 00:48:28 --> 00:48:36 | it. And they're trying to promote it. Because, you know, whatever long and short it is. There's rules we have to go by and we taught it and mentorship. So here's |
| 283 | 00:48:36 --> 00:48:49 | our breaker. Price trades out, look how many times it spends there 1234 times and then give up the ghost then wants to do a trade. You're right back up here. |
| 284 | 00:48:50 --> 00:48:59 | Does it run these equal highs now? No. It doesn't need to why? Because it's already mitigated all this movement in here. There's no necessity for these |
| 285 | 00:48:59 --> 00:49:08 | equal highs we ran. Oh, think about that. Because everyone else would have been on Twitter or everyone else would have been saying look at these equal highs. |
| 286 | 00:49:09 --> 00:49:20 | You're gonna run these equal highs and we're going to expect that to keep going higher and in run those. What's the narrative stops been taken breaker |
| 287 | 00:49:20 --> 00:49:30 | mitigation, mitigation mitigation can't do it. It's already showing you that it's respecting the breaker that's underlying narrative of self program and in |
| 288 | 00:49:30 --> 00:49:44 | this particular currency suppose starts to decline. We have internal range liquidity at an entry here, external range liquidity as an entry here. Okay. |
| 289 | 00:49:45 --> 00:50:03 | Each one of these work lines is a four month every one of these bars is individual day. If we want to look Look at the perspective of one shot one kill, |
| 290 | 00:50:03 --> 00:50:11 | if we look at the perspective of this breaker, offering real resistance, okay? Because if you're looking at Classic Support Resistance, where do you draw the |
| 291 | 00:50:11 --> 00:50:24 | line that? You see, it's, it's a fallacy, it's silly, you have to understand what has been happening in the marketplace. And think outside of the candles. We |
| 292 | 00:50:24 --> 00:50:36 | don't look at candlestick formations. We look at what price has done by stocks have been cleared above equal highs on a weekly basis. Distribution came in |
| 293 | 00:50:36 --> 00:50:45 | March structure break. Last down close candle rate for the move. This is our breaker spotlight gonna want to mitigate right there, boom. That's how you draw |
| 294 | 00:50:45 --> 00:50:51 | a line to support resistance. That's real support resistance because it's based on institutional order flow. That's not taught in books. It's not taught |
| 295 | 00:50:51 --> 00:51:01 | anywhere. But here, we have the understanding, you know that if the markets not want to go higher from this price point in here, every one of these days in |
| 296 | 00:51:01 --> 00:51:10 | here, where's it wanting to go? Well, we have these levels delineated from the weekly chart. But look at the daily, forget the weekly chart for a moment, okay. |
| 297 | 00:51:10 --> 00:51:17 | And that's not to remove this importance or significance because it's greater than one I'm about to show you here. But when you couple it with what's being |
| 298 | 00:51:17 --> 00:51:30 | shown the daily chart, it refines it even more, because everything now has a lot more clarity, we have a breaker here, we have a low, high in between two new low |
| 299 | 00:51:31 --> 00:51:43 | sell stops here relatively equal lows as well. So this candle, close 97 For you, that could be the actual down move it trades into now we can get probably a |
| 300 | 00:51:43 --> 00:51:51 | bounce there maybe doesn't have to. But that's an objective from where we are right now. And that's that's range, it gives us a range to work in. Also notice |
| 301 | 00:51:51 --> 00:52:02 | that we have very clear, discernible fair value gaps using the daily and it's still fitting the narrative that we've outlined relative to the weekly chart, so |
| 302 | 00:52:02 --> 00:52:12 | there's a fair value gap right here. We have one between this low in this high carbon, copy this. Swing it up here. |
| 303 | 00:52:17 --> 00:52:34 | There and there. Okay, so fair value get their notice that a fair they get this rating on a daily, it sits directly, perfectly over top of the weekly consequent |
| 304 | 00:52:34 --> 00:52:45 | encroachment, which is the middle of the fairway gap is defined in the red lines. That's a weekly survey, or inefficiency. So we had only buyside offered |
| 305 | 00:52:45 --> 00:52:53 | here in the markets for too long. We saw it come down here to consequent encroachment here and look at the sensitivity there. Now, it'll want to probably |
| 306 | 00:52:53 --> 00:53:06 | come back down again, and completely closing all of the weekly. But you have to be mindful that it could bounce on that 9783 level which is what 9785 calibrated |
| 307 | 00:53:06 --> 00:53:17 | because we're above it right now. Trade down to it. Remember, that's our rules, work to trade to lie to 80 There's a three PIP variance there. You gotta lose |
| 308 | 00:53:17 --> 00:53:28 | sleep over three pips. I can help you if you do. And this is a proper downside objective to which could dip into the breaker over here, not stop on his |
| 309 | 00:53:28 --> 00:53:38 | clothes, but get into the break a little bit more. And it would be reef balancing this by side imbalance in salsa, inefficiency. Okay, so it's a busy or |
| 310 | 00:53:38 --> 00:53:46 | city. Okay, the acronym for that. Nonetheless, it's a pyramid you get, but you have to understand what it's doing, and what's the purpose of going down and |
| 311 | 00:53:46 --> 00:54:01 | filling it because that's what makes the narrative useful. So let's go into for our timeframe, because we utilize that for one shot, one kill. Okay, so we have |
| 312 | 00:54:02 --> 00:54:14 | that breaker here. And now we have a week worth of data. So every one of these work lines represents a full week's worth of trading. And we can see how the |
| 313 | 00:54:14 --> 00:54:22 | breaker gives us a storyline. So we're bearish to what till we get down to this first red line. So every week we could be looking for one shot one kill setups. |
| 314 | 00:54:23 --> 00:54:36 | Now this week here on December 7 to 13th. We can't find successful shorts there because it's coming back up into an old area of institutional order flow. All of |
| 315 | 00:54:36 --> 00:54:44 | this range in here had to be filled, and then maybe it could have dropped from there. But look what happens. There was one more time. Let's be realistic. This |
| 316 | 00:54:44 --> 00:54:52 | is what's going to happen to you. You're going to get burned. If you trade enough times it's going to happen. So this is where you would have a loss, |
| 317 | 00:54:52 --> 00:55:01 | trying to follow the model every single week looking for shorts, trying to sell short on Monday, Tuesday or Wednesday. It doesn't offer to You hear, maybe you |
| 318 | 00:55:01 --> 00:55:09 | might get a little bit of scalping here. Okay, maybe you've reduced your stop a little bit, maybe, because we went down below low here, and you're weak, maybe |
| 319 | 00:55:09 --> 00:55:19 | you would have adjusted your stop, but you still wouldn't have seen the trade p&l Like you would have expected, like the rear. Now we have price at a premium |
| 320 | 00:55:19 --> 00:55:26 | again, why? Because we have this high to this low. I don't need to draw optimal trade entry. Here you can see clearly we're above that will be the midpoint of |
| 321 | 00:55:26 --> 00:55:43 | that turtle soup scenario again, no high also rallied through price breaks down. What does it create? Sell side imbalance by side inefficiency, liquidity void, |
| 322 | 00:55:45 --> 00:55:46 | how we define it. |
| 323 | 00:55:51 --> 00:56:10 | Of course candle, less time by side will offer before this candle cut through to the downside. And we refine it to this candle. I really hate when I get crooked. |
| 324 | 00:56:18 --> 00:56:33 | So this is our range. Now watch us where the magic happens again. Consequent encroachment. The range you find here, boom, look at the sensitivity, bang |
| 325 | 00:56:33 --> 00:56:44 | hammered. Again, boom hammered. drops down. There's magic in this folks trust me. So when it hits these levels, we understand that it only needs to get to the |
| 326 | 00:56:44 --> 00:56:53 | midpoint doesn't have to completely close it in. That's the reason why I like to trade the bottom of the gap and allow my stop to go through all with us out |
| 327 | 00:56:53 --> 00:57:04 | again. That's how I trade them. I don't try to get in here nickel diamond. If I feel absolutely certain, like if I look at it and it's live, if I turn the chart |
| 328 | 00:57:04 --> 00:57:15 | on it's live or if I just happen to catch it as it's coming into this area here. Then I'll do a limit right at the midpoint and try to get that and it's many |
| 329 | 00:57:15 --> 00:57:22 | times what you saw back on be pets when I was showing examples where I was getting highs and the lows of the day it was using this technique right here. So |
| 330 | 00:57:23 --> 00:57:35 | we see the distribution cycle come in sells off boom now into consequent incursion on a weekly gap then we have sensitivity their price rallies away from |
| 331 | 00:57:35 --> 00:57:46 | that drop down into an hourly chart we'll get a better perspective and we'll see how we are operating from external rings to internal range of internal and |
| 332 | 00:57:46 --> 00:57:58 | external range liquidity Okay, so we have volume imbalance here you guys know what that is fills that in and distribution comes in on a Monday. Tuesday we |
| 333 | 00:57:58 --> 00:58:07 | rarely pack up into another volume and bounce again it's the bodies that don't even know there's whips in here. We want to see this separation when that |
| 334 | 00:58:07 --> 00:58:15 | occurs. It's a volume imbalance we will look for that to get rebalanced it doesn't exactly to that just like a typical bearish and bullish order block |
| 335 | 00:58:16 --> 00:58:29 | right in here. But and that creates some kind of gap to go micro Omega it's it fills it in beautifully sells off. So we have this volume announce is that going |
| 336 | 00:58:29 --> 00:58:39 | to be external range or internal range liquidity? Internal range because we're inside of the high and the low here that we retraced inside of price trades |
| 337 | 00:58:39 --> 00:58:51 | lower into what what's the protocol the signal generates or, or the origin begins the origin rather begins at internal rates liquidity so what's it going |
| 338 | 00:58:51 --> 00:59:01 | to seek now? External raise liquidity? Where's that? But what are the low here and below the low here? Where's it go right below the low to what happens next |
| 339 | 00:59:02 --> 00:59:10 | price rallies back up what it was we met What's it rallying back up to its closing a fair value gap that's created from this candle here it stopped and |
| 340 | 00:59:10 --> 00:59:16 | started to drop down this low to this high Vega |
| 341 | 00:59:23 --> 00:59:33 | there and left a closed candle which is what there should be block is this external range or internal links liquidity? Internal range liquidity. So if we |
| 342 | 00:59:33 --> 00:59:42 | expect price to drop off and we start to see it here, where's price gonna reach to? Again? Well, you know, the move is internal range liquidity. Whereas if |
| 343 | 00:59:42 --> 00:59:53 | we're gonna go next, external raise liquidity, what is that? equal low, here and here. Candyland. Whoa, wait a minute. How far is it gonna go? Well, you know, 10 |
| 344 | 00:59:53 --> 01:00:09 | pips 20 pips 30 pips. Below here is the close which is 9841 10 pips. Well, that would be 9831 20 pips will be 9821 Very close will be 9811 Price trades down to |
| 345 | 01:00:11 --> 01:00:31 | a low of 9791. So we go even beyond that it went basically good grief was that 41 Get my 50 pips exactly down. But more specifically to that consequent |
| 346 | 01:00:31 --> 01:00:48 | encouragement on the weekly Vega internal range to external range, external range to internal range. Remember, we went below these lows here and here. So if |
| 347 | 01:00:48 --> 01:00:58 | we're going to buy below this low if we're scalping, okay, for instance, the entries want external range liquidity. So where's the offset distribution going |
| 348 | 01:00:58 --> 01:01:10 | to be for exit and an internal range liquidity. You see how both sides of the narrative can be seen from an ICP student, and it's still profitable. When you |
| 349 | 01:01:10 --> 01:01:21 | have this information understood, it literally is like you took that limitless pill in that movie, because all the opportunities that you've never seen before, |
| 350 | 01:01:22 --> 01:01:31 | jump off the chart you. And you'd never worry about missing moves, you don't worry about those things, because there's so many opportunities. But is it an |
| 351 | 01:01:31 --> 01:01:40 | hourly chart? Okay, an hourly chart. Obviously, it has to be realistic, this is on all holiday volume, but look how much sensitivity there is in the holiday. |
| 352 | 01:01:40 --> 01:01:54 | Alright, so let's take a look at the one shot one kill, using the elements that we discussed here, External links to internal range and internal and external |
| 353 | 01:01:54 --> 01:02:06 | range liquidity runs, price trades up into our time frame broker, which has been shown here, several different times it tried to get up in there remember, on the |
| 354 | 01:02:06 --> 01:02:22 | higher Time Frame chart, when we see the one, we have higher high here, price breaks down. So what is it doing trades into internal range liquidity here, |
| 355 | 01:02:23 --> 01:02:32 | price runs one more time, we're gonna run from internal range liquidity to what external range liquidity, that's why you get that higher high here. So it runs |
| 356 | 01:02:32 --> 01:02:42 | through there. So now we have external range liquidity, we're going to reach for internal range liquidity. So we have a run down, what's it fill in? Initially, |
| 357 | 01:02:42 --> 01:02:54 | it's this little gap right here, then we get a bounce creates a more optimal trade entry. Okay, so now we have what price returning back up into, in general |
| 358 | 01:02:54 --> 01:03:02 | range or external range, internal range, or inside this range high and this low. So the point is, the beginning of the movie starts with internal rates. |
| 359 | 01:03:02 --> 01:03:15 | liquidity. So where's he going to reach for external range? liquidity? Relative equal lows here? price drops down, boom, liquidity here. External range |
| 360 | 01:03:15 --> 01:03:23 | liquidity, what's it gonna reach for? Internal range? Where's the internal rates liquidity fair that you get written here? Using a little bit fair value get |
| 361 | 01:03:23 --> 01:03:33 | right here, okay, from this low, and this high, beautiful distribution cycle right there. So this is what internal range or external range, internal range. |
| 362 | 01:03:33 --> 01:03:44 | So whereas if you're going to take price to external range, liquidity below this low internal range to external range, okay, every timeframe, I don't care what |
| 363 | 01:03:44 --> 01:03:55 | timeframe you look at, it will be there every single time. Now, all you need to do is determine what is your unique model going to be? Are you an internal range |
| 364 | 01:03:55 --> 01:04:02 | liquidity trader for your entries? Or do you want to be externalize liquidity? Now, I'll be honest with you, most of you're going to want to be internal energy |
| 365 | 01:04:02 --> 01:04:09 | because you feel safe trading order blocks, if you have any gaps, because for whatever reason, they think easier. They're not any easier. They're the same. |
| 366 | 01:04:09 --> 01:04:18 | Okay, the folks that are gravitating towards external ratings, like turtle soup and entries, they like those because they understand well, equal highs equal |
| 367 | 01:04:18 --> 01:04:25 | lows, generally will create a return back inside the range. And they don't like internal ranks liquidity because they think, Well, how do I know is not going to |
| 368 | 01:04:25 --> 01:04:33 | go through that Autoblog you see who the camp is still divided. And if you'd separate everybody in the room like that, the same arguments one camp will say, |
| 369 | 01:04:34 --> 01:04:43 | supports their view is the same view that they have on the other side. So don't try to alienate one another or feel like you aren't on the same level as someone |
| 370 | 01:04:43 --> 01:04:53 | else that may be in the mentorship forum, sharing ideas or commentary about what they're doing, maybe using the formulas or their their journal, if you will. And |
| 371 | 01:04:53 --> 01:05:01 | if they're showing consistency, don't be upset with that because it may be against what you're doing. They have just found their niche. So If that's what |
| 372 | 01:05:01 --> 01:05:07 | you're supposed to be doing, if that's the way you're supposed to grow into it, but there's no advantage of in one way or the other, like, it depends on what |
| 373 | 01:05:07 --> 01:05:15 | price is showing me in this question Did you hear we do not need to be one sided. The ideal scenario is is you want to be able to see the market on both |
| 374 | 01:05:15 --> 01:05:25 | sides internal and external rates liquidity because wherever the move starts from internal or external, it's going to the opposite side of liquidity, and you |
| 375 | 01:05:25 --> 01:05:29 | don't find that in books. Until next time, wish you good luck and good trading. |