ICT YT - 2018-01-13 - ICT January 13 2018.srt

Last modified by Drunk Monkey on 2022-12-22 08:37
1 00:00:30,780 --> 00:00:44,760 ICT: Good evening, folks, it's a Saturday 1pm New York time in January 13 2018, did a couple tweets yesterday on the 12th of January. And this is the one I did
2 00:00:44,760 --> 00:00:57,360 for the cable, and asked what everyone would see in this image. And I did one for the Euro, as well. Okay. And I put a couple things in here to try to draw
3 00:00:57,360 --> 00:01:06,600 your attention to it. But I wanted to see what else everyone else would have, from their independent perspective without me drawing any special attention to
4 00:01:06,600 --> 00:01:18,240 anything. And that's kind of like what I want to go over now. So I'm going to go over to daily FX Archer, welcome to cable, Bridgetown, USD, this is a weekly
5 00:01:18,240 --> 00:01:43,530 chart. And I want to again, draw attention to the order block in here. Right in here is the order block. And we're going to change this to I will use this area
6 00:01:43,530 --> 00:01:56,940 here to be shaded in blue. So I'm going to drop into an hourly chart. Okay, so we have our hourly chart, 60 minute timeframe. And we can see how price dipped
7 00:01:56,940 --> 00:02:05,760 into that weekly order block. Okay, now, it's not necessarily that all this area be concerned with, I'm just drawing a contrast to what other things going to be
8 00:02:05,760 --> 00:02:20,550 highlighting on the chart. One of the lineage specific range of date. Okay, I'm starting here, that's the beginning of January trading is the beginning of the
9 00:02:20,550 --> 00:02:38,850 year. And I'm going to delineate another date reference point. That's here. Okay. We don't see anything over here until there, there's our destination and
10 00:02:38,850 --> 00:02:44,430 time. So we have a range in time. Now we're going to have
11 00:02:53,190 --> 00:03:18,630 a reference point in terms of price, or a range, if you will. Okay, and make this solid. And we'll thicken up a little bit. clone that and then we're going
12 00:03:18,630 --> 00:03:32,700 to drop it right on the low here. Like that. Okay, so now we have a range. Okay, I want you to think about this range, just like I teach as it relates to the
13 00:03:32,700 --> 00:03:46,920 Asian range. Okay, what we're doing is we're actually bracketing and defining the initial week of the year and the first week of trading in January, okay, so
14 00:03:46,920 --> 00:04:01,830 this is the ICT power three applied to a monthly chart and weekly chart and a new year. So, the importance is that we see how the market is going to seek
15 00:04:01,830 --> 00:04:14,490 liquidity, but we have to frame the market in such a way where we can anticipate specific levels or areas or liquidity pools to be rated or probed. So now we
16 00:04:14,490 --> 00:04:26,310 have buy side liquidity before buy stops resting above these highs here. So it buy stops above this high here and sell stops resting below this low here. We
17 00:04:26,310 --> 00:04:37,140 have the same concept. It's applied to a daily range in response to the accumulation, manipulation and distribution cycle that I teach or the ITT power
18 00:04:37,140 --> 00:04:51,300 three concept. When we understand this, and we look for elements of runs on liquidity, we know that resting below this below is going to be cell stops. And
19 00:04:51,300 --> 00:05:02,190 we also know that the dollar index was bearish at the same time. And we know that in the shaded area here. There's a weekly bullish order block So there's a
20 00:05:02,190 --> 00:05:13,590 reason I want to go below this low. It's directly linked to a weekly timeframe that would be deemed bullish. And I want you to think about it in terms of how
21 00:05:13,590 --> 00:05:21,690 price when it drops below this low here,
22 00:05:26,939 --> 00:05:41,519 not picking it up a little bit. Okay, so we have a range price drops down below this initial week. Okay, so this is not some new weekly strategy, okay. It's,
23 00:05:41,519 --> 00:05:49,919 it's something I've taught before many times, on YouTube. Now I have taken the videos down, but there is a army of people that have downloaded everything I've
24 00:05:49,919 --> 00:06:00,059 ever produced. And they have a better cataloguing organization than I do with my content. But this is simply something that I taught with higher timeframe
25 00:06:00,059 --> 00:06:10,259 charts, using a monthly bar, and a weekly bar. And now we have a new year. So the same thing applies here. But I want you to think about how price seeks these
26 00:06:10,259 --> 00:06:23,429 liquidity reference points, or as I call them, liquidity pools. So price drops down here initially, to go into the weekly order block and take out the sell
27 00:06:23,429 --> 00:06:33,509 stops below the market low and leaving this area of consolidation. Once the sell stops have been taken, where they're going to aim for, well, if they go to the
28 00:06:33,509 --> 00:06:43,349 self stops and go down to a weekly bullish order block, they're going down here to do what accumulate. Okay, so they bought here, smart money did, they bought
29 00:06:43,349 --> 00:06:51,779 more, now they're gonna manipulate. So now they're accumulating, Long's accumulating Long's, and then they manipulate those individuals that are already
30 00:06:51,779 --> 00:07:01,379 long out of their positions. By running the stops, their cell stops have been taken for anyone that's already long, their manipulation on price takes those
31 00:07:01,379 --> 00:07:09,779 long holders out. By tripping, their cell stops, their cell stops to become market orders to flood the market, there's buying liquidity counterparties right
32 00:07:09,779 --> 00:07:20,579 there. So smart money can buy more at a cheaper price than they did here. And here, there isn't going to be a large degree of volume here, because it's only
33 00:07:20,579 --> 00:07:30,509 gonna be relative to the stops. So smart money sets the range by buying low, buying low, and then they wait while they do it again here. But right below
34 00:07:30,509 --> 00:07:42,029 here, they just unseat, okay, or manipulate those individuals that are already long out. to knock them off. they accumulate their position by buying, they're
35 00:07:42,029 --> 00:07:55,049 willing sale of their long positions based on their cell stop. So long holders have their cell stops hit, and the person or counterparties to those cell stops
36 00:07:55,049 --> 00:08:05,369 being taken, or going to be smart money, they will buy their stops as it drops down here. And that's why we see this large degree of volatility on the upside.
37 00:08:06,239 --> 00:08:17,309 Because now because they have entered long here, where's a really logical area to get out? Well, you want to find someone that wants to be buying from you at a
38 00:08:17,309 --> 00:08:26,759 higher price. But see, that's the problem. We're trained in the books to buy low, sell high. So if we're trying to buy low and sell high, how can how can
39 00:08:26,759 --> 00:08:36,599 someone? How can we find someone that wants to buy it from us, when we bought it low? How can they want to buy it higher, you have to find liquidity pools in the
40 00:08:36,599 --> 00:08:40,409 form of buy stops. So when the price trades above this level here,
41 00:08:50,160 --> 00:09:03,390 when this occurs, right there, these buy stocks become market orders to buy at the market. Exactly what the long holders want to have here. They want someone
42 00:09:03,390 --> 00:09:13,260 that's willing to buy at a higher price, because now they want to take their profits. Not all of them but the Long's that they accumulate here. They're going
43 00:09:13,260 --> 00:09:22,500 to sell some portion of it to willing buyers at a higher price. And as price starts to expand higher breakout artists, price chasers, they start buying it
44 00:09:22,500 --> 00:09:33,180 too. And that's when all this range here. We're seeing liquidation of participants that bought down here, bought here, here and here. So we're seeing
45 00:09:33,180 --> 00:09:43,530 the power three. The opening price is the opening on this candle here which is 134 99. And we see power three formation here where it's small little portion on
46 00:09:43,530 --> 00:09:51,930 the range drops down below the opening price, creating the low of the month, the low of the week and so far below the year. Now I'm not stating this is going to
47 00:09:51,930 --> 00:10:01,950 be the oil of the year and like that, but this is how we look for liquidity runs. If this is all we see in terms of a price move up to 137 40 Is this not a
48 00:10:01,950 --> 00:10:11,910 significant enough range to be profitable for your study in a demo account, obviously, who wouldn't be up to you who would be upset about that. But I want
49 00:10:11,910 --> 00:10:24,360 you to view how the monthly candle or monthly range, the way you interpret that is you want to use the first five days of trading. Now, they are not going to be
50 00:10:24,360 --> 00:10:34,380 always like we just had for January, we look at a calendar can see that it starts on a Monday, in the five days of the first week of January happens to be
51 00:10:34,380 --> 00:10:43,440 Monday through Friday, it won't occur like that. Always, sometimes the month is going to begin on a Wednesday or Tuesday or something like that, you're going to
52 00:10:43,440 --> 00:10:53,040 use the first five trading days of every month, and you define that like this, okay, and what that's going to do is offer you the same concept that I taught
53 00:10:53,040 --> 00:11:03,510 you with the Asian range for power three on a daily candle, you're doing that with a monthly, okay. So once we have these ideas applied to our chart, we can
54 00:11:03,510 --> 00:11:12,240 clearly see what the algorithm is going to be reaching for, why it should be reaching for it, and it provides a great deal of context and detail. And you
55 00:11:12,240 --> 00:11:21,900 dare I say it, X ray view of what price should do in the future, from a logical standpoint. And from an order flow standpoint, it's not guessing we know what it
56 00:11:21,900 --> 00:11:31,080 should be doing, and why it should be doing what it's doing. This is the element behind the cable chart that I wanted to see if you guys would see. And I you
57 00:11:31,080 --> 00:11:41,760 know, so let's go and take a look at the euro dollar now. Okay, so we're looking at the euro dollar, this is a weekly chart. Again, we'll be using the orderbox
58 00:11:41,820 --> 00:11:57,690 on a weekly basis. Here. Alright, so now we can drop down into our one hour chart. Okay, so we're gonna do the same thing we just did with the cable, where
59 00:11:57,690 --> 00:12:08,190 I mark off the beginning of the year, we're gonna get our first week of trading. delayed, this is going to act as our
60 00:12:13,680 --> 00:12:34,470 initial range. And we'll add in, I'm going to use horizontal lines now just cut to the chase. Right here before high and our low. Right there. Okay, so we have
61 00:12:34,500 --> 00:12:47,820 our initial, low and high first week of trading for January and for the first of the year. And we can apply these ideas with the weekly range, I'd approach your
62 00:12:47,820 --> 00:12:58,680 idea using power three. Okay, so what we're looking for, again, is elements of accumulation, manipulation and distribution. We know that this area down here in
63 00:12:58,680 --> 00:13:11,220 the shaded blue area is not a demand zone. It's a ICT bullish order block. So we know what's residing down there. But we have an initial range. We know what's
64 00:13:11,220 --> 00:13:21,330 resting above the high, it's by stops. And what's resting below the lows, it's cell stops. So what we're looking for his we have a study on higher timeframe
65 00:13:21,600 --> 00:13:31,380 looking for a bias, if you will, obviously, we know dollar index was bearish bullish on foreign currency. We can really be bullish when we get down to the
66 00:13:31,380 --> 00:13:38,880 weekly order block, you can see the reactions here they dipped into it dipped into it dipped into it almost got turned to it again, but ultimately took off on
67 00:13:38,880 --> 00:13:48,660 the heels of ECB. All finding great, wonderful. But I want you to take a look at the elements that are seen here because you can see all of the things that I
68 00:13:48,660 --> 00:14:01,350 teach what the Asian range being applied to the power three on a monthly chart. Again, the opening on the month is on this candle Here comes in at 119 99
69 00:14:01,380 --> 00:14:12,930 basically 120 big figure and we have consolidation. And if we're bullish we're gonna be looking for what evidence is that they're buying so they bought here
70 00:14:12,960 --> 00:14:22,890 rally up, he bought here rallied up. They bought more in here. Price dips down into the weekly order block, they accumulate more, but more specifically they
71 00:14:22,890 --> 00:14:34,110 take out these lows. Okay, the lows have been taken out. They reach down to an area of long term bullishness with a weekly bullish or ba and we can see them
72 00:14:34,350 --> 00:14:43,170 working that level. Look at the reaction up to this range is is the same type of thing you would expect to see what the Asian range on a daily chart or a daily
73 00:14:43,170 --> 00:14:55,920 range rather, price drops back down. And for anyone that has my old tutorials where I teach the London open, set up where this would be the Asian range and it
74 00:14:55,920 --> 00:15:04,560 price drops down gets Judas swing, an optimal trade entry failure swing The Daily range runs up. All we're looking at here is the same thing applied to it
75 00:15:04,620 --> 00:15:17,520 on a monthly perspective, we have the monthly, first five trading days of the month. bracket those out, define your range have a bias bullish or bearish and
76 00:15:17,520 --> 00:15:28,080 then use the same concepts that are otherwise taught in the intraday models. And you'll see that we're using not a, again, new weekly or refinement of my ICT
77 00:15:28,080 --> 00:15:37,530 concepts. It's always just this, it's what I've already shared. But you can't put lipstick on this and call it something else, folks, it's something I've
78 00:15:37,740 --> 00:15:48,270 taught years ago, people have an inherent video library. And they know it when they see it. So this is the approach to using power three with a higher
79 00:15:48,270 --> 00:15:57,780 timeframe perspective, and it delivers just as much precision that you would expect. And my examples have shown on an intraday capacity. In terms of market
80 00:15:57,780 --> 00:16:09,060 symmetry, we can see the range that we do like with the Asian range, we do one standard deviation down, boom, hits it as it overlaps and converges with that
81 00:16:09,060 --> 00:16:18,180 weekly order block that will be deemed bullish. And once they deviate from the upside, we can see that the market has thus far with no problem whatsoever, gone
82 00:16:18,180 --> 00:16:27,390 one standard deviation on the upside, and we'll see if there's any more continuation next week as we go into new trading. So I wanted to share this with
83 00:16:27,390 --> 00:16:39,000 you give you one more examples of how we can use not just intraday stuff, but using the same elements of time and price that I teach and using the ICT power
84 00:16:39,000 --> 00:16:50,310 three concept, applying it to a monthly perspective and a weekly perspective, we can see that same thing happening here. Let's take these off.
85 00:16:57,930 --> 00:17:11,640 Okay, so we have the Mondays range in here. Right here, Mondays range. And if we apply that same theory, not on the monthly perspective, but on a weekly basis.
86 00:17:14,250 --> 00:17:25,890 Okay, we have Monday's range here. So here's Monday's trading. And below that we get the run on Tuesday, taking the liquidity out below that low at a weekly
87 00:17:25,890 --> 00:17:37,830 bullish order block, as one would expect that we're going to take this range here, and we're gonna duplicate that. Okay. And again, this is not something
88 00:17:37,830 --> 00:17:42,750 new, no one can take credit for this stuff. This is stuff that I taught for free on YouTube.
89 00:17:48,150 --> 00:17:57,720 Okay, and you can start doing your standard deviations. And you'll see where price will want to reach for.
90 00:18:03,000 --> 00:18:21,960 So we're looking at 122 30. What is that? Let's put a horizontal line on there. So 120 to 38.7. Okay, now remember, I had shared a chart last week with an
91 00:18:21,960 --> 00:18:31,080 objective of 122 32. And should we hit that level? I've already put it out there. So it's not like I can say, Well, you know, I thought it was going to go
92 00:18:31,080 --> 00:18:42,060 here and look like I did in hindsight, it's been out there for several days. So should we see 120 to 32 traded to now 120 38.7, if that's traded to, you know
93 00:18:42,060 --> 00:18:51,150 why? Because this is the mechanics behind me the algorithm is seeking these areas of liquidity. But specifically the 122 32 level, should we hit that level,
94 00:18:51,180 --> 00:19:03,540 I will then outline how I knew that was likely to hit not guaranteeing it, but that's what I'm looking for. So between 120 to 30 to 120 to 40 in that area. I
95 00:19:03,540 --> 00:19:11,400 think it's a reasonable upside objective for next week initially, should we see continuation and erosion on the dollar index, and obviously that's going to
96 00:19:11,400 --> 00:19:23,310 compound and see larger upside objectives for euro dollar and cable and lower objectives on the dollar index. So hopefully you found this video insightful and
97 00:19:23,340 --> 00:19:25,860 I'll talk to you next time. I wish you good luck and good trading.