ICT YT - 2022-02-16 - ICT Mentorship 2022 Episode 9.srt
Last modified by Drunk Monkey on 2022-02-23 09:05
1 | 00:00:05,190 --> 00:00:14,670 | ICT: Hi folks, welcome back. This is episode nine for the 2022 ICT mentorship on YouTube. This lecture is going to be on power three which is accumulation |
2 | 00:00:14,670 --> 00:00:19,470 | manipulation and distribution and New York pm session opportunities |
3 | 00:00:26,340 --> 00:00:37,350 | Alright, so we're looking at the NASDAQ emini futures, this is the continuous chart on trading view. So if you look at the daily range wherever we've been, |
4 | 00:00:40,020 --> 00:00:51,720 | we're inside this range here. Okay, so we have this swing high, and this swing low. Now, why am I picking these two reference points? Well, namely, this is the |
5 | 00:00:51,720 --> 00:01:04,020 | low base recently, after taking out this short term loan. So we've dug into all the sell side liquidity resting below that low. We retraced back up inside of |
6 | 00:01:04,050 --> 00:01:18,570 | this high to that low. So we went back up into a premium, the range high to low rang a fib just to get the 50% level that gives us equilibrium. Anything below |
7 | 00:01:18,570 --> 00:01:34,830 | that is a discount. Notice how the market traded down for Monday into a deep discount, but did not take out these lows over here. But look how we closed on |
8 | 00:01:35,010 --> 00:01:48,060 | Monday. We had an indecisive candle, the body was basically at the opening close was essentially mean the same thing. If we have that, and the markets trading |
9 | 00:01:48,060 --> 00:02:02,520 | down into a discount, even though we might have a low down here that we're targeting. This may require a retracement. Now notice at the close of Monday's |
10 | 00:02:02,520 --> 00:02:18,570 | trading, we had an imbalance from this low and this high. When Tuesday's trading overnight, the equities markets had a run up into this imbalance here. So this |
11 | 00:02:18,570 --> 00:02:37,470 | fair value gap was retreated to in here. This low in this high, we'll look at that in reference to the lower timeframes. This lower level is the low end of |
12 | 00:02:37,470 --> 00:02:49,950 | the fair value gap on a daily chart. And this level up here is the upper end of the fair value gap. I'm taking your attention to Monday's trading. And I want to |
13 | 00:02:49,950 --> 00:03:03,150 | talk a little bit about power three which is accumulation, distribution, and manipulation. Okay, so generally my teachings are like this. If I'm bullish. I'm |
14 | 00:03:03,150 --> 00:03:17,490 | expecting the opening price to be near the low of the day or the session, then it trades lower, making some important low and then rallies creates a high and |
15 | 00:03:17,490 --> 00:03:28,230 | encloses Neo high today. Now, it's not important for you to try to predict the closing price. What I'm trying to train you to anticipate is the likelihood of |
16 | 00:03:28,230 --> 00:03:41,400 | the market making some kind of a fake move like a Judas swing. Okay, Judas swing is the false move. Typically, in London, and in New York session, there are fake |
17 | 00:03:41,460 --> 00:03:52,080 | runs that start off a move. And I walked you through it last week on my community tab, where I outline the actual Judas swing for that particular day, |
18 | 00:03:52,650 --> 00:04:01,770 | using the fair value gap, outline the the low, I was only off by a quarter of a point for the low end of the range that created the low thing. The idea is what |
19 | 00:04:01,770 --> 00:04:13,170 | I'm going to show you here as well. On Monday, we had price drop down overnight, consolidated and then we have a little bit of a rally ahead of the equities |
20 | 00:04:13,170 --> 00:04:23,940 | open. Okay, so in here, we have 830 in the morning. If you look at 830 What do we have? We have the highs over here, there suspect because a relative equal |
21 | 00:04:23,940 --> 00:04:39,810 | highs there, but look what we left here ahead of 830 we had this huge imbalance. So if we run these highs out after the open at 930 it's likely to trade down |
22 | 00:04:39,810 --> 00:04:49,170 | into that and rebounds but watch what it does. It's and we trade up into that level here which creates the fair value gaps low end parameter. Remember, this |
23 | 00:04:49,170 --> 00:04:58,440 | is Monday is trading it sells off. So this line isn't here on Monday. That's not what we're looking at. We're looking at the likelihood of coming back down into |
24 | 00:04:58,440 --> 00:05:12,000 | this area here. After taking these highs out, if it does, so, if it trades back into this imbalance, that's a good candidate to go long. Now, the imbalance in |
25 | 00:05:12,000 --> 00:05:15,510 | here if you go to the left of it, you can see the down close candle. That's your bullish order block. |
26 | 00:05:16,770 --> 00:05:28,080 | The market trades down is the waterblock. And it's an afternoon trade. So it starts to rally. And then consolidations to close overnight, we create a wicked |
27 | 00:05:28,080 --> 00:05:39,570 | run last night, this was an it ran last night. And most of all, the move for today was done before we even got to the opening the morning. Had a little bit |
28 | 00:05:39,600 --> 00:05:51,690 | of retracement after 830. And at 930. We consolidated. I'll talk a little bit about that as a market profile in a moment. But then we dropped down, create an |
29 | 00:05:51,690 --> 00:06:02,100 | important low today. And then we rally. He got real close to the fair value gaps high end parameter. But we can get to it. We don't need. It's just like I was |
30 | 00:06:02,100 --> 00:06:11,280 | mentioning here, you don't need to try to predict the closing price with power three, which is accumulation manipulation. So in other words, if you're bullish, |
31 | 00:06:11,310 --> 00:06:20,430 | it opens where you think is going to trade higher, it's going to be most likely Oh, smaller move. Lower. That's the move you want to try to go in and hunt |
32 | 00:06:20,430 --> 00:06:27,990 | along. If you miss it, you want to try to get long, real close to where the opening price is. Now the question is going to be is where's the opening price? |
33 | 00:06:28,380 --> 00:06:38,310 | Well, I like a 30. Okay, you use the opening price here at 30. draw that out in time. Did we go below? Yes. There we go inside the imbalance? Yes. Did we take |
34 | 00:06:38,310 --> 00:06:49,440 | out a short term low? Yes. Do we hit an order block? Yes. Was an optimal trade entry? Yes. Lots of factors there. Over here. Same thing opening price here. Did |
35 | 00:06:49,440 --> 00:06:58,110 | we trade lower than that? Yes. Did it go even lower than that later on in the afternoon? Yes. Then it rallied. Taking out the relative equal highs here. And |
36 | 00:06:58,110 --> 00:07:11,040 | again, gravitating towards the upper end of that fair value gap on the daily chart. Now I'm going to five minute chart when that same February 14. And I want |
37 | 00:07:11,040 --> 00:07:21,120 | to take you closer to what price has done here. That imbalance, the lowest portion of a here with all the down close candles here. Now this is anchored to |
38 | 00:07:21,120 --> 00:07:33,840 | the daily bullish order block. But you can see how we traded into it here. With 1234. Down close candles that is a complete order block in this timeframe. So |
39 | 00:07:33,840 --> 00:07:43,740 | consecutive down close candles right before a price serves that has an imbalance. That's how you find your order blocks. Okay, so a high probability |
40 | 00:07:43,740 --> 00:07:54,720 | over block would be your narrative or your biases bullish. You're looking for displacement. That's this right here. Where market runs real quick, higher, and |
41 | 00:07:54,720 --> 00:08:03,600 | the down close candles, you want to mark that out and anticipate a return back into that. Now again, this level is not there yet. We don't know this level |
42 | 00:08:03,600 --> 00:08:11,640 | until Monday's close. So don't be tricked thinking that I had this level here. And I knew was going to get to that level. And I'm not suggesting that at all. |
43 | 00:08:11,670 --> 00:08:23,970 | What I'm suggesting is is watch what happens when it creates that high. It breaks down all this price action here gets overran into a retracement back down |
44 | 00:08:23,970 --> 00:08:34,890 | into this imbalance here. The low of this candle and the high of this candle that right there. That's your fair value gap with an order block and optimal |
45 | 00:08:34,890 --> 00:08:50,370 | trade entry. Rallies even though it's sloppy, it's still continuously driving higher. This high at the close on this day here at say 430 Okay 430 In the |
46 | 00:08:50,370 --> 00:08:58,680 | afternoon. To me that's like the clothes for me. No, no, it trades a little bit later than that and then closes for a little while. And it also technically |
47 | 00:08:58,680 --> 00:09:09,840 | closes when the bell rings at four o'clock PM, local time in New York. Because there's a little bit of trading past that I like to just look at 430 and just |
48 | 00:09:09,840 --> 00:09:18,750 | consider that where we are in terms of what we've done for the full range and determine what I have left for me imbalance or liquidity pools. |
49 | 00:09:24,450 --> 00:09:39,960 | Here is that drop down here on a one minute chart. It's digging into that quarter block right here. If you look real close, let me go back up one slide. I |
50 | 00:09:39,960 --> 00:09:51,330 | want you to see what I'm showing you here. Right here. This price action See 14 140 14 120 This little area right here I'm looking at on a one minute chart |
51 | 00:09:52,560 --> 00:10:07,140 | 14 140 14 129 in that vicinity. See that small little gap right there. To see the swing high, we trade above it, create a fair value get their trade down into |
52 | 00:10:07,140 --> 00:10:18,300 | it. This is an afternoon trade. This is two o'clock in the afternoon, local time in New York, inside the order block inside the fair value gap inside a |
53 | 00:10:18,300 --> 00:10:35,010 | retracement of the fair value gap that sets the stage of a market run up into a higher retracement. Now we don't know if this is going to be the closing |
54 | 00:10:36,450 --> 00:10:47,760 | parameter for a daily fair value. We don't need to know that yet. But this is a likely scenario to go long. And we can look for a run back up into this range |
55 | 00:10:47,760 --> 00:11:02,670 | here. Or run the buy stops above here, or maybe in sight here. Sloppy run, but nonetheless, it's still pressing higher. Now here's today on the 15th of |
56 | 00:11:02,670 --> 00:11:15,990 | February 2022. Notice what we had with this enormous price run overnight and technically won in session. Now, a lot of you're going to ask Would I have |
57 | 00:11:15,990 --> 00:11:24,480 | caught this? No, no, I wouldn't have caught it, I would have missed it. And I would if I was awake, I wouldn't have seen it coming. So put it that way. So |
58 | 00:11:25,080 --> 00:11:33,810 | this right here was a complete surprise to me when I woke up saw it. But I want you to think about when you have these overnight runs that were basically these |
59 | 00:11:33,810 --> 00:11:43,140 | big moves overnight. Before the session begins in New York. When you're trading equities. This also works with Forex too. So it's important try not to chase |
60 | 00:11:43,140 --> 00:11:51,600 | price. This is what I mean by don't chase it, don't chase it. Last week, when I was commenting and outlining the NASDAQ and giving you a fair value gap real |
61 | 00:11:51,600 --> 00:11:59,190 | time explaining to where I thought was gonna draw down to and it created the New York session low of the day. Okay, that's what I was outlining. Just take a look |
62 | 00:11:59,190 --> 00:12:07,290 | at it. Go back and look at you'll see it's it's pretty obvious. The same logic, I'm amplifying that here. Okay, overnight, what was the market doing and was |
63 | 00:12:07,290 --> 00:12:17,550 | rallying? So when we open up at 830? Do we go in here and start buying it just because it's gone up overnight? No, we don't chase it. You have to wait. No, we |
64 | 00:12:17,550 --> 00:12:24,570 | don't chase it, we have to wait for more information, what information are we waiting for? Well, typically, whenever you see a big run up, or a big run down, |
65 | 00:12:24,960 --> 00:12:33,120 | there's a consolidation that takes place shortly after. Now, not always, sometimes it just keeps on ripping higher or lower. And you'll either miss a |
66 | 00:12:33,120 --> 00:12:42,330 | move, or if you get lucky, maybe you can participate in it. But this is what I typically look for. So if there's a lot of range movement overnight, what's |
67 | 00:12:42,360 --> 00:12:52,470 | overnight, two o'clock in the morning to five o'clock norm. Okay, if we get a big run like that, which is what we're seeing here. Right away, in my mind, I'm |
68 | 00:12:52,470 --> 00:13:04,680 | thinking, don't trade a lot. Don't expect a lot of in and out in and out perfect, perfect precision. Wait for a real significant price move. Otherwise, |
69 | 00:13:04,680 --> 00:13:13,680 | you're gonna get chopped up. Now, what does that mean? Well, we have an opening here, a 30. Look to the left, what do we have? We have this high here. And we |
70 | 00:13:13,680 --> 00:13:27,180 | have the low over here. We can use this one because I wrote it equal but I like this one. Why? Why do I like this one? What's below it? Fair Value got. See |
71 | 00:13:27,180 --> 00:13:38,400 | that. So it's likely a trade down at there creates this sloppy opening look at all this movement in here. Now, as a personal study, there's two or three |
72 | 00:13:38,400 --> 00:13:48,840 | YouTubers that I watch that trade the equities market indices. And I'm not trying to say anything bad about them, I just like to listen to what they're |
73 | 00:13:48,840 --> 00:13:56,280 | thinking. Because they don't look at the market like I do. I'm not suggesting that they're not profitable, because they show live trades, they get into |
74 | 00:13:56,280 --> 00:14:07,710 | trades, they take them and sometimes they win. And sometimes they don't. But I like to read kind of like a Squawk Box, what their interpretation of prices. And |
75 | 00:14:07,710 --> 00:14:16,830 | they're looking at this area in here. And it's back and forth. They think if it goes if it goes here, it's going to go there. If it goes here if it's going to |
76 | 00:14:16,830 --> 00:14:21,900 | go there, it's all these scenarios are going through you randomly in their live streams. |
77 | 00:14:23,190 --> 00:14:34,200 | So when I'm watching price, I'm listening for them to want to be a buyer. So when they're trying to be a buyer, that means they're they're already hunting a |
78 | 00:14:34,200 --> 00:14:46,920 | continuation of this move here. I want to see a low form. Now this is what we have for the today. We we start going lower first so that's good. We create a |
79 | 00:14:46,950 --> 00:14:57,240 | pseudo Judah swing. But did it create a nice low and turn away from it? But it always back and forth. And it created the suspect lows in here relative equal |
80 | 00:14:57,240 --> 00:15:06,750 | lows. There's going to be sellside building up below that Sell stops, okay? When it starts to go higher, anyone that was long overnight, they're gonna jam their |
81 | 00:15:06,750 --> 00:15:16,620 | stop loss right underneath that. Okay? When this occurs, that's the very scenario I'm looking for. Now, right away in my mind, here's what I want you to |
82 | 00:15:16,620 --> 00:15:27,000 | understand. If there's a big move overnight for equities, this is not Forex. Okay, this part is not Forex. It's just for trading like NASDAQ, Dow, and Emini, |
83 | 00:15:27,000 --> 00:15:38,730 | s&p. If there's a big run overnight, avoid New York session, don't even mess with the New York session, wait until the other side have lunch at one o'clock |
84 | 00:15:38,730 --> 00:15:49,290 | in the afternoon New York time, and then anticipate the New York lunch lows taken out or the New York morning session lows, which is what we have here. |
85 | 00:15:51,030 --> 00:15:59,580 | Notice how we rally up, we didn't take out the relative equal highs here that was formed ahead of seven o'clock in the morning. Notice that now this over |
86 | 00:15:59,580 --> 00:16:10,050 | here, we know this range up here is the high end of the fair value gap. Why do we know that because the 14th stop trading in the head the indecisive candle on |
87 | 00:16:10,050 --> 00:16:19,500 | the daily chart. So it's likely that we might trade up into this range high and this is that range low. So if we can draw down below that low it was formed |
88 | 00:16:19,500 --> 00:16:30,720 | initially in New York session, we have a fair value gap over here with sell side. While we have yet to take up the buy side liquidity here at around I don't |
89 | 00:16:30,720 --> 00:16:43,320 | know 14 575. And then get up to that fair value gap high or the the boundary of it come like the resistance level of it. So this is the draw on liquidity. And |
90 | 00:16:43,320 --> 00:16:54,690 | we have a minor drop in liquidity here with Fiat liquidity. Look what we have in terms of price action. The NASDAQ drops down, taking out the sell side digging |
91 | 00:16:54,690 --> 00:17:03,840 | into that fair value gap, see that look at the bodies of the candles and that mean, how this respects that level back here. Now that's not random. Okay, these |
92 | 00:17:03,840 --> 00:17:14,370 | are algorithmic principles that are in play. And these markets are unbelievably precise when they are in better conditions. Right now, if you've been trading |
93 | 00:17:14,370 --> 00:17:22,620 | with live funds, or if you've been trying to follow price action, there's been a lot of it makes a run, then it goes into this choppy sideways. And it's very |
94 | 00:17:22,620 --> 00:17:30,750 | frustrating if you're trying to get like sustained price moves. Or if you don't have to operate in these, like these sloppy little ranges like this. I |
95 | 00:17:30,750 --> 00:17:38,910 | personally don't think that this is high probability trading, you can get chopped up, you can get losing trades, you can draw your account down. If you |
96 | 00:17:38,910 --> 00:17:47,520 | don't control yourself, you can blow your account in these types of conditions. How do you avoid that? How do you avoid running out your account? And in scaling |
97 | 00:17:47,520 --> 00:17:56,610 | back, if you're a high frequency type of a trader? How do you draw back on the frequency and look for the better setups. What I'm showing you here, you wait, |
98 | 00:17:56,760 --> 00:18:06,330 | you don't chase the overnight run. And you wait for them to give you a low that everybody overnight will want to put their stop loss rate beneath that after it |
99 | 00:18:06,330 --> 00:18:15,270 | starts to rally above it. It's even better when you don't have this high taken out yet. See how I took it up here. And it just went right down for him. That's |
100 | 00:18:15,270 --> 00:18:27,390 | engineering liquidity. It runs up consolidates creates a low starts to rally in everybody's thinking, I don't want to lose my profits. I don't want to lose out |
101 | 00:18:27,480 --> 00:18:35,010 | on making more money. But I had to put a stop loss right here because the books tell me I have to do that. So I did the same kind of stuff, folks. I'm not |
102 | 00:18:35,010 --> 00:18:45,420 | trying to talk down anybody but I'm just repeating what a retail traders mindset would be. And the logic behind this. Okay, so the narrative with this day was |
103 | 00:18:46,020 --> 00:18:56,880 | the stocks were trailed below these lows. The afternoon session, again, creates the low of the day, takes the sell side liquidity out into a fair value gap, and |
104 | 00:18:56,880 --> 00:19:06,450 | then rallies. Now in here, I'm gonna teach a little bit more about that much. Notice, we don't really have a fair value gap down here. But it gives us the |
105 | 00:19:06,450 --> 00:19:15,690 | basis for expecting the price to start to rally into the afternoon. Now, at two o'clock in the afternoon 1400 on this |
106 | 00:19:17,069 --> 00:19:26,579 | trading view chart that starts two o'clock in the afternoon in New York local time. We have the market trading down into an imbalance over here. Liquidity |
107 | 00:19:26,609 --> 00:19:34,019 | resting below these relative equal lows is taken out. So what are we looking at? We've seen a price run that we don't think needs to come back down here because |
108 | 00:19:34,019 --> 00:19:43,709 | the logic is the overnight stops have been ran out here. There's no reason for the market to want to come back down here. But we have this low and these |
109 | 00:19:43,709 --> 00:19:53,579 | relatively equal lows here. Post New York launch New York launches noon to one o'clock in the afternoon in New York local time. So the imbalance we trade down |
110 | 00:19:53,579 --> 00:20:01,349 | into that. What's the likelihood of it coming all the way through the imbalance and then going after that low? Not likely? Not likely? After seeing this run |
111 | 00:20:01,349 --> 00:20:09,299 | here, they don't want to give these traders another chance to get back in, they got stopped out. So it's going to be a little bit more sneakier, when they make |
112 | 00:20:09,299 --> 00:20:18,179 | these new setups that continue on to a higher run. So they take out the sell side below these relative equal lows, take their stops out, and then it rallies |
113 | 00:20:18,479 --> 00:20:29,159 | and drops back down. Now here watch, we have a swing high, right here, it breaks it. Does it trade above that? Yes. Was it energetic? Yes. Does it have a fair |
114 | 00:20:29,159 --> 00:20:38,339 | value gap? Yes. So now, the market trades down into it here creates a short term low, you could be a buyer there, there's nothing wrong with that. But say you |
115 | 00:20:38,339 --> 00:20:46,169 | missed it, say just means is a woman in charge, say you missed it, and the market starts to run off like this. But then it gives you another opportunity, |
116 | 00:20:46,229 --> 00:20:56,249 | I've had many times trades form just like this, where I was looking for something I was waiting for a setup to happen. Either My cell phone's buzzing, |
117 | 00:20:56,279 --> 00:21:05,939 | or I grab a drink, it's just outside of reach, I gotta go walk over to the other end of the desk, grab it, and then all of a sudden, here you go, I miss it takes |
118 | 00:21:05,939 --> 00:21:18,269 | off, the fair value you got is even better. When you have the sell side liquidity resting below short term low. And the drop down into it here, you can |
119 | 00:21:18,269 --> 00:21:31,799 | use that low as your entry or minus one tick. Okay, this short term load forms at 2:34pm. Now, if you look at the low figure up here, that value represents |
120 | 00:21:31,799 --> 00:21:38,879 | that candle right there. So that's why you see a highlighter here, and I took a screenshot, I'm holding underneath this candle so that way, the reference points |
121 | 00:21:38,879 --> 00:21:52,229 | up here are directly related to this candle. So you can see the low is 14,528 and a half. So you could be a buyer or limit at 14,520 and a quarter. Or maybe |
122 | 00:21:52,229 --> 00:22:05,969 | if you want to try to reach the 20 even number. Either way, that's a nice place to put a limit order in the short term low down here, after the fair value gap |
123 | 00:22:05,969 --> 00:22:18,329 | forms, that's where your stop losses, that's the rules. So you have an entry point, your stop. And between the two of them, it works out the beam. Okay, |
124 | 00:22:18,329 --> 00:22:33,629 | let's say you have 1414 and a quarter in terms of risk. Okay, so 14 and a quarter points or handles of total risk. And let's assume that you were trading |
125 | 00:22:33,659 --> 00:22:55,649 | on six contracts on the micro, you're essentially looking at buying and risking $85 to make about $300. So it's about 3.5 to one, reward the risk. there abouts, |
126 | 00:22:55,679 --> 00:23:05,039 | on roughing I don't have calculating for me folks, this you do the math. Now here this value is important because I want you to see in these conditions, you |
127 | 00:23:05,039 --> 00:23:13,619 | can't expect it to be perfect. It cannot be you know expecting to be in there at the lowest point no drawdown, no heat on a position and then it just goes in |
128 | 00:23:13,619 --> 00:23:25,379 | your favor. Don't think like that. You can see on this candle, if you would have bought here, you would have had nine points of heat, okay, or basically $54. If |
129 | 00:23:25,379 --> 00:23:39,869 | you're trading six micros. Now, obviously, it goes up more than if you're trading one, mini because it's $20 per handle. But overall, this is a nice |
130 | 00:23:39,869 --> 00:23:50,879 | little setup with the afternoon, using the logic of even a doesn't give us a fair rate, get the setups that I'm teaching you to use, using the fair value |
131 | 00:23:50,879 --> 00:23:59,069 | gap. Afternoon taking the stops, it provides the baseline for bias for the afternoon. Now, |
132 | 00:23:59,099 --> 00:24:10,769 | what did I teach you here? I taught you that you can use these reference points with the underlying sentiment that's already in motion. If you didn't trade |
133 | 00:24:10,769 --> 00:24:20,189 | overnight and take that big run, I didn't get any that run. I didn't do anything with that. If you missed that, it doesn't matter because that is something it's |
134 | 00:24:20,189 --> 00:24:28,919 | going to give you more insight. And it tells you when to avoid the morning session. Don't trade it. Everybody's going to be doing what, think about it. |
135 | 00:24:29,279 --> 00:24:38,339 | Everybody woke up and saw these markets, and they all wanted to do what they wanted to buy it because it's going up a lot and they want to chase it. That |
136 | 00:24:38,339 --> 00:24:51,209 | idea leads many times to losing trades. And then it starts this cycle where you go into this chasing, chasing chasing and then when the market does the sideways |
137 | 00:24:51,209 --> 00:25:01,739 | consolidations and sloppy choppy market conditions. It it's literally like a blowtorch on your account. If you don't Don't know how to stop. Or if you don't |
138 | 00:25:01,739 --> 00:25:16,409 | know what you're doing, you can literally talk yourself into millions of trades, and enjoy the account now. Last slide and just hammer this down. This is zoomed |
139 | 00:25:16,409 --> 00:25:26,999 | in on a one minute chart, swing, high, broken, fair value gap right there. And we have that short term low here. And then in here, so that was where you would |
140 | 00:25:26,999 --> 00:25:35,069 | be basically entering on with that idea trading below. That is where the sell stops are trading below that now it goes below that. Now, some of you have |
141 | 00:25:35,129 --> 00:25:45,299 | mentioned in the comment section, does this invalidate the fair value gap? No, it does not. The idea is the fair value gaps, well look at the look at the body |
142 | 00:25:45,299 --> 00:25:54,029 | of this candle here. Isn't that respecting that? Yes. So in my mind, I'm thinking, Well, I know prices sometimes especially where it is right now. It's |
143 | 00:25:54,029 --> 00:26:06,599 | very volatile. So I'm permitting a greater level of imperfection in price delivery. And then using the logic of the fair value gap as the basis for my |
144 | 00:26:06,599 --> 00:26:22,529 | entry idea. And then using the stop premise, which it didn't get, it didn't get here, it didn't stop you out. You had basically what, five, five or so more |
145 | 00:26:22,529 --> 00:26:31,799 | handles, before you would have been stopped. Now watching it live, might make you a little nervous. But at some point, folks, you're gonna have to get used |
146 | 00:26:31,799 --> 00:26:42,329 | to, you're going to trade like this, and he's really low timeframes. And you're trying to be very nimble, you're going to have to learn to trust the setups and |
147 | 00:26:42,329 --> 00:26:53,009 | let the stops do their jobs. And if they if it gets stopped out, that's just one trade you got wrong, it's not your career. Look for the next one. Now, I'm gonna |
148 | 00:26:53,009 --> 00:27:02,969 | throw this in here as a bonus, but, you know, take it for what it is. It rallies here takes off and does not take out that the boss said, liquidity resting above |
149 | 00:27:02,969 --> 00:27:14,489 | here did not get taken here yet. And then we had this imbalance. And it trades down into it and then hits what the order block. That's a buy. And you can if |
150 | 00:27:14,489 --> 00:27:20,429 | you miss this one, you can pick up this one based on the logic I teach on the YouTube channel. So this is actually something that's taught in the YouTube |
151 | 00:27:20,429 --> 00:27:31,469 | channel. Okay, this whole pattern here is exactly right out of my high probability short term trading or scalping series. I can't remember exactly what |
152 | 00:27:31,469 --> 00:27:40,289 | the title was. But this pattern is right in that and then it runs for that liquidity there. So there's two setups there. So I took something from the free |
153 | 00:27:40,289 --> 00:27:47,249 | lessons that's already on the YouTube channel and also amplifying something I've been teaching on this mentorship series. Hopefully you found this one insightful |
154 | 00:27:47,369 --> 00:27:49,379 | and until talk to you next time, be safe. |