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ICT YT - 2022-02-26 - ICT Mentorship 2022 Episode 13.srt

Last modified by Drunk Monkey on 2022-02-28 11:17
1 00:00:03,840 --> 00:00:16,440 ICT: All right, that's what Mac, this is an extra lesson. But we'll call it episode 13 on the left. So last night, I gave a lesson on market structure for
2 00:00:16,440 --> 00:00:30,000 precision technicians. And advanced price action theory in action is going to be this lesson here. So it's one thing to talk about it and provide the basis as to
3 00:00:30,000 --> 00:00:39,930 what I'm doing when I'm doing these executions. When I'm running these demo accounts up really fast. What am I doing? How am I doing? I love questions as to
4 00:00:39,930 --> 00:00:54,450 how I ran the $10,000 account to which was to earn $86,000 this morning. But it quickly got to a point where it no longer can be appreciated. From students
5 00:00:54,450 --> 00:01:05,880 perspective. It's too fast of growth. And the acceleration just makes it you have no, you have no connection to it. If you don't know how to do this, and
6 00:01:05,880 --> 00:01:15,630 you're new, you start seeing velocity in equity increasing even though to demo. It does not matter. The same principles are applied, whether you're trading with
7 00:01:15,630 --> 00:01:29,640 a live account, or if you're trading with a demo account, and you're learning. I want to take you into what it is I do and how I'm able to run the equity up
8 00:01:29,670 --> 00:01:40,050 quick. What is the mindset behind what is I'm doing. But before I get into it, let me remind you when I stated last night in the video, because of the
9 00:01:40,050 --> 00:01:55,500 heightened volatility, because of the uncertainty and the likelihood of price action moves that would be unexpected in for me. Because it's already delivered
10 00:01:55,500 --> 00:02:09,150 what I wanted to see happen anyway. And I'm technically bearish on equities. I don't feel confident or willing to risk after being profitable in live trading.
11 00:02:10,200 --> 00:02:23,070 Going short, this market making method where again, I don't want to go in. And because it's already arrived down below these lows. So there's an objective I
12 00:02:23,070 --> 00:02:36,660 look for for the week. There's an objective I try to aim for for the day. And there's something I'm aiming for for a goal for the month. So truth be told, the
13 00:02:36,660 --> 00:02:51,360 account that I'm showing with TD Ameritrade, I'm trying to illustrate in my best ability to pantomime how it would likely be for a new student. If they were to
14 00:02:51,360 --> 00:03:03,180 try to do live trading with a model and aiming for 20% per month. Now some of you are gonna think, well, 20% isn't a lot of money. It's not a lot of money.
15 00:03:03,480 --> 00:03:16,800 Well, 20% isn't money. It's a percentage. So I don't care if you start with $1. If you make 20%, consistently, the compounding effects of that is astonishing.
16 00:03:17,640 --> 00:03:30,990 Now, is it my belief that my students can consistently hit 20% every single month, I would never go out on a limb and say that I might not hit 20%, one of
17 00:03:30,990 --> 00:03:43,620 the months. But that is a goal that I'm aiming for. And if you're a new developing student that worked very hard to find and refine your own model with
18 00:03:43,620 --> 00:03:51,240 the things I'm teaching, and you have a trading plan that is well documented, you know what it is you're doing when you're not going to do something, you have
19 00:03:51,240 --> 00:04:02,430 a complete understanding of what it is that's going to allow you to engage or not engage in price. Then how to manage that risk. All those factors involved.
20 00:04:02,850 --> 00:04:14,310 And you've been consistent with a demo account for six months, then and only then would I not necessarily that you need to do this. But I would then only at
21 00:04:14,310 --> 00:04:24,840 that time consider maybe going into life fundraising. But I don't ever tell my students, I never answer an email and they say, Do you think I'm ready to go?
22 00:04:24,840 --> 00:04:33,480 And I don't answer those questions. I say, I don't know You tell me. Or generally I ignore those emails. Because there is never going to be a record of
23 00:04:33,480 --> 00:04:41,700 me saying, I think you're ready to go into life on trading and then when they blow their account, who are they going to blame? Naturally the human you're
24 00:04:41,700 --> 00:04:53,100 gonna say, well, it wasn't my fault. It was a guy that told me I should do it. He told me to jump off the bridge. So I never put myself in a situation. Okay,
25 00:04:53,130 --> 00:05:00,660 and I don't think any mentor or educator worth their salt would ever tell you to go out and risk life money. Because
26 00:05:02,490 --> 00:05:14,100 experience has taught me that I got into live trading way too fast. Way, way too fast 1992 That was the worst thing I could have done. For my development was
27 00:05:14,100 --> 00:05:23,820 rushed to get into the real money trading. And I had no idea what I was doing. I tricked myself into believing it was so easy reading one book, no real bat
28 00:05:23,820 --> 00:05:35,430 testing whatsoever. And I say, Well, you know, I can see this 123 top and move to three bottom idea, you can see it. Yeah, I saw 123 and I was gone. My first
29 00:05:35,430 --> 00:05:48,600 straight 50% history, goodbye. Close the account, send me my money, I was afraid. But when we understand what it is we're trying to do, obviously, you it
30 00:05:48,600 --> 00:06:00,660 comes with a great deal of nervousness and anxiety, because you have not put the time into back testing and forward testing it with a demo account. So if you
31 00:06:00,660 --> 00:06:12,480 feel this tug of war, this butterfly feeling in your stomach where you just can't relax and you're engaging in the marketplace, you're not ready. That's the
32 00:06:12,480 --> 00:06:25,290 bottom line, you're not ready, you have to desensitize yourself, with the results not being a factor. If you lose, it doesn't make a difference to you.
33 00:06:26,250 --> 00:06:36,150 You're indifferent to it. And it doesn't seem possible that you could be indifferent to losing money. But a student that has a solid price action model,
34 00:06:36,240 --> 00:06:43,800 a trade plan that's well documented, they know what they're going to do, why they're doing it, what they're waiting for, what will cause them to push the
35 00:06:43,800 --> 00:06:50,670 button to get in, where their stop loss is going to be how much they're going to risk, what they're going to aim for whether partials are going to be if they're
36 00:06:50,670 --> 00:06:57,990 going to take partials at all, you have to know those things in advance, you can't determine them once you enter the marketplace. And that's what retail
37 00:06:57,990 --> 00:07:08,100 traders do. That's exactly what I did in 1992. I got into a trade. And then I tried to figure out what else to do once I was there. I want you to see what it
38 00:07:08,100 --> 00:07:19,410 is that I was showing last night. And even though I'm not personally willing to risk my Live account right now, because of the conditions that we have at the
39 00:07:19,410 --> 00:07:32,460 present, Ukraine and all that business, all the uncertainties, potential Black Swan event, anytime, can pop off. And I don't want to expose myself to that
40 00:07:32,460 --> 00:07:43,230 measure of risk, especially since I have hit all my numbers. The market has delivered to what I expected in my analysis. So I'm not worrying about trying to
41 00:07:43,230 --> 00:07:54,270 get in and do anything else. So how do I manage that desire to get back in and do some more? I go right to a demo. I work in cyber paper account that provides
42 00:07:54,270 --> 00:08:05,640 me context that keeps me glued, obviously to what the markets doing some staying plugged in, if you will, close to the market, being able to read the tape. So
43 00:08:05,640 --> 00:08:15,570 that way I can answer student questions, I can still teach around the markets doing right now. And that way, my students can still appreciate the level of
44 00:08:15,630 --> 00:08:28,380 depth that I'm providing. But I'm not taking on monetary risk, when I don't believe it's wise for me to do so. Because if I'm wrong, I'm wrong. And I traded
45 00:08:28,380 --> 00:08:39,990 today with live funds, or I traded on Monday. And I lose what I gained in February. That would eat at me all through the month of March. So it's toxic
46 00:08:39,990 --> 00:08:51,030 thinking. And I learned that the hard way many years ago. So what I'm going to show you obviously was executions in the trading view paper trading account. But
47 00:08:51,030 --> 00:09:00,660 I want to make sure you understand because it's so many people out there, they have this issue with me teaching in a demo, which is compliance, like I'm not
48 00:09:00,660 --> 00:09:09,330 licensed to give you trade advice. So I operate through the function of a demo account to protect me and protect you, you know, you can't make that money.
49 00:09:09,720 --> 00:09:19,920 You're not following the trade. So if I was wrong, you don't take a financial loss. And if I'm right, you can't make money and get tricked into thinking that
50 00:09:19,950 --> 00:09:27,240 the only way you're gonna make money is to follow me. So there's a balancing that's being done here. And if I'm wrong, if I don't know what I'm doing, these
51 00:09:27,240 --> 00:09:36,990 things don't work. They'll fail on demo accounts just as easily they would be failing in the light. So with that foundation laid, let's go into the
52 00:09:36,990 --> 00:09:39,630 discussion. So idea is we went below this low.
53 00:09:41,909 --> 00:09:49,409 I don't want to sell it short, even though I'm bearish. So what's it likely to reach up into? Well, I'm thinking it could potentially trade up into this post
54 00:09:49,409 --> 00:10:00,089 came up here. Okay, I'm thinking to trade into that the low or the open of that kingdom. So that's kind of like the magnet withdrawal and liquidity. So it It
55 00:10:00,089 --> 00:10:10,289 also could reach up into this little area here because there's a fair value going up there. Just like we had here, in here and filled in, they can go right
56 00:10:10,289 --> 00:10:25,409 up into this ramp there and then still resumed on lower, it might need to go up into that. So I went in this morning, and I was watching the NASDAQ and even s&p
57 00:10:25,979 --> 00:10:38,279 Emini, s&p had a lot of energy to the upside. And usually these markets move in tandem, that means they're generally moving together. And even though the NASDAQ
58 00:10:38,279 --> 00:10:49,709 was a little bit lethargic and wasn't trying to go up as quick and as fast as Yes, or Emini, s&p, the tendency is that it will be drawn to the same degree
59 00:10:49,949 --> 00:11:04,679 that the other indices were so EAS was hired. And to Nasdaq futures should be brought higher in sympathy, all those rising icon basically, what I'm seeing
60 00:11:09,840 --> 00:11:22,590 now, if we look at the hourly chart, this is what I was seeing. I was trading all this in a demo account, and it ran up into levels that it became absurd. So
61 00:11:23,100 --> 00:11:37,230 I satisfy my itch. When I'm not trying to trade with the Live account, in the demo, and I run them up real quick, there is no fraud required, none of those
62 00:11:37,230 --> 00:11:47,340 things are required to make these things compound and blow up really quick. In terms of the equity increases. I'm going to show you how even with a micro view,
63 00:11:47,970 --> 00:12:03,600 so if you haven't already noticed this is the micro Emini, NASDAQ. So every one point, or four ticks, is equivalent to $2. And I went in with the idea that I'm
64 00:12:03,600 --> 00:12:14,820 using a micro account with a discount broker, and a discount broker, I'm hypothetical using one taking these executions, is I'm hypothetically, trading
65 00:12:14,820 --> 00:12:29,370 with an amp aamp futures account. And I'll show you their margins into the details of basically implying by doing these things here. Down close candle,
66 00:12:29,880 --> 00:12:50,190 after a run up, we retraced went down inside this gap. This area here when it trades down towards this gap. This is the drawl liquidity appears near term. So
67 00:12:50,190 --> 00:13:02,520 above these relative equal highs we have what milestones or by side liquidity. So I'm thinking that the algorithm is not letting price go lower. So it's going
68 00:13:02,520 --> 00:13:20,880 after everyone that's been profitable going short. So where are their stops? So we're just going to call it 14,110. Okay, real simple. So the market starts to
69 00:13:20,880 --> 00:13:32,400 rally and leaves this down close candle. I'm going to watch to see if it can trade back down into that. Because if it does, I'm gonna treat that as a bullish
70 00:13:32,400 --> 00:13:46,350 order block. And then when it's hot last night, if the move has been bullish, down close, candles should not be violated. down close candles should not be
71 00:13:46,350 --> 00:14:02,430 violated. They're going to act as support. bearish market moves up close candles should not be breached and broken through. Never incompatible. So when you're
72 00:14:02,430 --> 00:14:12,150 bearish and you're watching the market go down and you see candles starting to form a potential oppose candle, you as a neophyte that is new to trading. These
73 00:14:12,150 --> 00:14:19,710 are the moments where you get scared and you basically snap yourself out of the desire to hold the trade. And you just collapse the trade because you can't
74 00:14:19,710 --> 00:14:30,450 handle it. It's that overwhelming. uncertainty that eats at you like mental cancer, it just literally makes you want to just get out of trade even when your
75 00:14:30,450 --> 00:14:39,780 profit. You ever feel that the trades profitable. And you're like I just can't stand it anymore. I gotta get out. You're making money. Your trade is
76 00:14:39,780 --> 00:14:49,170 profitable, quote unquote in a demo. It's worse when you have live account funds, and you have a profit because you don't have the wherewithal and the
77 00:14:49,170 --> 00:14:59,730 experience of submitting to these ideas and watching them come to fruition over and over again. months of experience, not just a week or day you're going to
78 00:14:59,730 --> 00:15:09,570 feel Like you just want to collapse the trade. So when I teach my students, when you're looking for a price move, it's going to be long term, price swing, not
79 00:15:09,570 --> 00:15:22,380 that this is a long term price swing in the sense of time. But on this timeframe for one hour, and this is a nice decline. It's prolonged price swing is not like
80 00:15:22,380 --> 00:15:32,340 little tiny little movements in here. And vice versa. We have a here, it's on higher. So all down close candles, does it go below this down close candle and
81 00:15:32,370 --> 00:15:45,510 such retrace? Now. We expect this to be areas where they're going to accumulate more long positions. We retrace going down into an imbalance in the market
82 00:15:45,510 --> 00:15:50,370 rallies above the down close candle. Does it support price? Yes.
83 00:15:51,929 --> 00:16:02,519 Time of day is important. So I'm watching when price comes back down into it here taken up in price extending out in time. When that occurs, then I know I
84 00:16:02,519 --> 00:16:11,219 have a setup where I can go long. But I want to go into the timeframes that will lower than the hourly chart, give me a little bit more context, because we do
85 00:16:11,219 --> 00:16:26,459 have a low that has a higher low to the left and a higher low to the right. So that makes this worse enemy term. This retracement here, this might be trading
86 00:16:26,459 --> 00:16:35,849 into an imbalance, which is what I'm teaching you to look for. But the overall market structure is it's likely to go higher. And aim for a run above these
87 00:16:35,849 --> 00:16:49,469 highs pass adequately resting right up there. So we're going to take these levels, this red level is anchored to this here. relatively equal highs. I
88 00:16:49,469 --> 00:17:01,979 started about the rallies comes back down in, we're looking to see if it wants to run through that. Notice this high this high, it creates what relatively
89 00:17:01,979 --> 00:17:12,839 equal highs, retail Monday traders are going to see that and say Oh, this is exactly what the text say about resistance. So it's acting as a ceiling. Price
90 00:17:12,839 --> 00:17:16,679 acting like a ceiling. What should they expect to see price to go over?
91 00:17:22,409 --> 00:17:35,819 So here's that level where the mind stops are are above it. Here's that hourly, down close candle to the bowl shorter book. Notice the down close candle is made
92 00:17:35,819 --> 00:17:46,649 up of two candles on the 15 minute timeframe. price moves away from it because above it right here. Does it create an imbalance here? Yes. That is how you
93 00:17:46,649 --> 00:17:57,809 determine your high probability bullish order block. It must have the imbalance coupled with the down close candle and the underlying narrative that it's likely
94 00:17:57,809 --> 00:18:10,229 to go higher to reach for by song liquidity. Period. Okay, it's that's That's it. There is no engulfing candle does this Forget all that. You only need that.
95 00:18:10,379 --> 00:18:23,849 Okay. It's the gap plus the down close candle plus the idea that's likely go for my side liquidity. That's it. Okay. So I just noticed, by the way, there's a guy
96 00:18:23,849 --> 00:18:40,469 out there trying to hawk a $7 indicator. And he says he's the real deal. And it's all about order blocks. And my change the name on that. Let you know. So
97 00:18:40,499 --> 00:18:51,359 we're trading down into this imbalance here. But now we're doing it at the time of day after the equities opening on Thursday morning, New York time. So
98 00:18:51,599 --> 00:19:04,559 volatility. The initial move is technically the incorrect move. Going into the opening at 930. So this is like a Judas swing. So think about what we're seeing
99 00:19:04,559 --> 00:19:12,779 here, you the markets likely go up above this level here to take the bison because the markets unwilling to go lower. The algorithm keeps pressing higher,
100 00:19:12,779 --> 00:19:24,089 higher, higher higher. It retraces down into the 930 opening. This is that fake move. Don't chase this. And don't chase going higher right before the equities
101 00:19:24,089 --> 00:19:35,789 opening. I'm dead either. So you have to take a step back if you're at what is you're looking for. Well, I'm looking for discount market low to high and below
102 00:19:35,789 --> 00:19:46,229 50%. Yes, I'm inside the order block. Yes. The equities opening has happened. I'm bullish and it has traded lower. So public is going to be thinking what its
103 00:19:46,229 --> 00:19:57,389 resistance is going to keep going down to what their support level because it bounced there last time. So they're gonna think there. Well, it doesn't do that.
104 00:20:00,869 --> 00:20:17,489 down to a five minute chart it hits the order block and then rallies What is this your favorite market trades back down in overlaps that gap between this
105 00:20:17,489 --> 00:20:32,519 candles high this candles low this right here that right there that is one order block with a lower time frame order block and a fair value you can take that
106 00:20:32,519 --> 00:20:42,659 trade if you know you're looking for and you understand eyes narrative and where the liquidity matrix is likely to lead to later on, which is drawing up above
107 00:20:43,049 --> 00:20:54,269 this red level here. Stocks are above here. So if they're going to send the price higher from here and start rallying, that supposes that there's someone
108 00:20:54,389 --> 00:21:06,179 that got one board long here, where would their ideal exit be? Six points higher 10 points higher, no, you're gonna want to take it up here where there's willing
109 00:21:06,869 --> 00:21:16,649 buyers with buy stock protect their short positions. So when the market trades above that level, the buy stops become market orders to buy the market which
110 00:21:16,649 --> 00:21:26,159 floods the market with liquidity for those that bought down here, they can sell to those willing buyers at a higher price, which they're waiting for down here
111 00:21:27,089 --> 00:21:37,349 and waiting for that price rally to go up. Now as the market goes higher expectation is my expectation was I want to go long in here and reach for this
112 00:21:37,379 --> 00:21:49,049 high this was my entry idea that it's overlapping filling in that gap and it's an order block here with the higher timeframe waterblock there so there's an
113 00:21:49,049 --> 00:22:04,289 Iraqi higher timeframe to lower timeframe with the idea framed on it's going higher for bison I have an intermediate term low forming and now this when it
114 00:22:04,289 --> 00:22:14,639 fills in that gap once that happens what did I teach you last night this becomes the intermediate term low this low should not be taken out once it starts
115 00:22:14,639 --> 00:22:16,259 rallying it should not come back down here
116 00:22:17,550 --> 00:22:28,020 what else should I teach you? If price is going higher down close candles should support price well it trades above it here this down close candles high right
117 00:22:28,020 --> 00:22:35,610 there. He trades above it on this candle right there it starts going higher but then look what happens it starts to go back down. Like go down here stop me I'm
118 00:22:35,610 --> 00:22:43,020 not thinking I'm looking at this down close candle thinking it's only going right back down into this down close candle to accumulate more long positions.
119 00:22:44,400 --> 00:22:57,060 So smart money traders are going to be buying more here like I did rally. We have down close candles. We went above it. I'm not worrying about the market as
120 00:22:57,060 --> 00:23:06,900 long as it doesn't take out these two damn close candles. trades down gets real close to that. But does it eat up and go through that range of these two down
121 00:23:06,900 --> 00:23:18,750 post candles? No, it just retraces down into what an imbalance why Smart Money can buy again like I did. The market rallies again. It goes into possible
122 00:23:18,750 --> 00:23:19,050 cookie.
123 00:23:24,120 --> 00:23:42,060 Cutter block trade still here get long. Here Vega waterblocks. retracement, get long orderbox in imbalance with the fair value got traded back down, doesn't
124 00:23:42,090 --> 00:23:48,870 even come back down into the order block. This is classic, it generally doesn't like to go all the way back and rebalance when it's that close to the profit
125 00:23:48,870 --> 00:24:01,140 objective. So the algorithm only has a small little retracement inside the fair value gap. So you would be a buyer just hit the candles low right to target.
126 00:24:03,990 --> 00:24:15,630 Now, and there's some of you just don't trust me. These are trading view execution errors and I'm going to log in to TradingView and actually show you by
127 00:24:15,630 --> 00:24:25,560 highlighting these actual arrows. I'm going to take you down into the charts the all the all the way down into a 32nd chart so you can see the grouping of where
128 00:24:25,560 --> 00:24:36,930 I actually entered with this logic. Okay, now remember, enemy turn lows down here. This should never be overtaken until the objectives reached to all of this
129 00:24:36,930 --> 00:24:48,990 price action leg here is I trust that it's going to keep going higher as long as the down close candles keep price above it. above what, above the downforce
130 00:24:48,990 --> 00:24:58,530 candles that's going to be supporting each new leg higher, the market should not retrace back down below those. So what am I saying? For trailing stop losses.
131 00:24:59,130 --> 00:25:08,220 You do not want to Take your stop loss of, say, bought down here like I did. And your stop was below the middle of this kingdom, it's mean threshold or the Bush
132 00:25:08,220 --> 00:25:18,330 or Obama. So I don't think it's going to go down below that once I'm entering, then it starts around as above this candles, Hi, my stop loss must remain below
133 00:25:18,330 --> 00:25:28,710 this candle is low, because it can dig into that candle. Because it's going to act as an order block in the market rallies away, comes back down retraces. Now
134 00:25:28,710 --> 00:25:37,530 if I put my stop loss inside this area here, I'm stopped out prematurely. Chances are you probably wouldn't have the wherewithal to get back in. You
135 00:25:37,530 --> 00:25:48,120 think, Well, I just lost out on potential profit. I made a little game, but I'm afraid to get back in because it took me that's infancy. That's because you
136 00:25:48,120 --> 00:25:59,010 don't know what you're doing. Everybody was like I was like, but you grow out of it. If you do the same thing I'm teaching you over time. It's built into your
137 00:25:59,010 --> 00:26:08,970 understanding, and it's ingrained in your understanding about price delivery. Market rise above, except these two down close candles. Now the stock can be
138 00:26:09,000 --> 00:26:17,790 raised from whatever would be below this down close candle now can be raised below this down close candle. Because the idea is the downs, close candles are
139 00:26:17,790 --> 00:26:28,710 one order block that should not be violated if it's bullish. If it comes down and breaks the low of these down close candles, well, there you go. You probably
140 00:26:28,710 --> 00:26:39,690 did the right thing by getting something because it might be sailing and going lower. How's that for logic? You're not gonna be perfect. I'm not perfect. Even
141 00:26:39,690 --> 00:26:48,840 though you see these arrows on the lowest candle here. And it goes out to the exit here, right above that. This is not Photoshop. I've never had to do a
142 00:26:48,840 --> 00:26:56,730 Photoshop. Okay, I've never had to do that. But I'm teaching you the logic right out of last night's lesson. I went right into the market this morning. No, it's
143 00:26:56,730 --> 00:27:08,460 not done with a live account. But I'm showing you in theory with the application of a demo account, which is the same live data that will be utilized in my TD
144 00:27:08,460 --> 00:27:17,520 Ameritrade account, or your Live account. If you have one. These candles are forming just like they would be in your Live account. But I'm executing with the
145 00:27:17,520 --> 00:27:33,180 logic I'm teaching you right out of last night's lesson. Now. Here is the one minute chart. Alright, so here we're over in trading view. Everything is live
146 00:27:33,390 --> 00:27:46,830 printing, right now this is where we're at at the moment, it's just hanging around that old high. No, I'm not upset, I missed this move here, I could care
147 00:27:46,830 --> 00:27:59,430 less. I'm going for the logical places where liquidity is going to be resting and entering in logical places that would reasonably expect to see price advance
148 00:27:59,430 --> 00:28:11,610 higher from where I'm buying. It's not complicated. But watching last night's lesson can feel like you're trying to learn a foreign language and expected to
149 00:28:11,610 --> 00:28:16,860 understand how to speak it fluently. Two hours later. Don't let that happen. Okay.
150 00:28:18,240 --> 00:28:30,990 I can make these lessons as deep as I want them to be. But I'm showing you how I'm taking very complex topics, and simplifying them in a manner that hopefully
151 00:28:30,990 --> 00:28:47,190 is easily received by you as a student. So I showed you the hard perspective last night, that's advanced market structure. Now I've simplified it within the
152 00:28:47,190 --> 00:28:57,420 scope of what I teach in this YouTube channel. Do you see the difference? It's only in the manner of how I'm teaching it. But it's the same things. It's the
153 00:28:57,420 --> 00:29:09,990 same ideas that I've just simply made it easier. I created the language that helps me communicate what I taught last night in a much more palatable method.
154 00:29:10,470 --> 00:29:19,020 So it's not as complicated seeing it like this. It makes sense to you. You're like okay, now we're back into the stuff that makes sense. Now, I'm teaching you
155 00:29:19,020 --> 00:29:31,020 the same thing I'll tell you last night. I'm just not teaching it to you. At the degree that is in my head. You might be thinking, well, you keep it to yourself.
156 00:29:31,020 --> 00:29:41,610 I see the I don't need to see it like that. And that's okay, I get it. It's fine. But this right here, these are the elements that make up really simple,
157 00:29:42,180 --> 00:29:56,520 logical setups that repeat every single week and many times every day. So I started I ran up the other paper trading account to like 200 Some $1,000 This
158 00:29:56,520 --> 00:30:05,520 morning, and I was thinking myself Okay, now we're in tears. Tory's, it's just gonna feel silly, you're not going to have any interest in seeing it at that
159 00:30:05,520 --> 00:30:15,060 point, it becomes, okay, now we're absurd. It's just ridiculous, you're not going to believe that this is possible. Or maybe some of you do, and you think
160 00:30:15,060 --> 00:30:26,160 you want to get there and try to do the same thing with your Live account. Either one of those things are not my goal. Okay, it's just me losing myself in
161 00:30:26,160 --> 00:30:42,540 price action. So I treat it like a game. It's a puzzle. So I'm looking for the outcome of a specific trading session or a trading day. And I'm trying to
162 00:30:42,540 --> 00:30:57,090 navigate those candlesticks. And that's what you're seeing here. If I hover over top of these little arrows, okay, you can see that they're not photoshopped. And
163 00:30:57,660 --> 00:31:07,230 you make them appear by going into the trading view settings, and you click the little execution box here. Watch below the swing lows, and above that swing
164 00:31:07,230 --> 00:31:23,340 high. You'll see them Cago one, you know, toggle one. Okay. So this is proving precision. Number one, it's proving theory in action. And it's proving that it's
165 00:31:23,340 --> 00:31:33,540 not flawed logic. None of this is retail, absolutely none of it. There's nothing here, that's Elliott Wave. None of its harmonic. None of it is supply and
166 00:31:33,540 --> 00:31:43,740 demand. None of this is Chris Laurie stuff. I have a lot of Chris Laurie students, lots of them. And they'll tell you, this isn't even taught in his
167 00:31:43,740 --> 00:31:54,930 stuff, either. So with that said, let's go over to the paper trading account. This is just again, illustrate for the folks that say, Well, you know, you can't
168 00:31:55,140 --> 00:32:05,790 really grow an account if you're using micro accounts. And that was some of the comments I got also. And I'm like, stop thinking you need a lot to make a lot
169 00:32:05,850 --> 00:32:17,970 you don't, you need to be able to compound. The things that you see me do in these accounts, and they're being parlayed up really quick. Every time I'm
170 00:32:17,970 --> 00:32:28,320 buying like a bot right here, let me see if I can get this to go away for a second. But I bought the three micros here. The next time I see a buy signal
171 00:32:28,470 --> 00:32:35,670 that's below the area I'm aiming for above that red level, I'm gonna try to buy more, but I'm not gonna buy more than three.
172 00:32:37,020 --> 00:32:47,700 I'm gonna buy, you know, two, I'm pyramiding. I'm building the biggest position initially. And then every time I buy in, again, I'm building it with a smaller
173 00:32:47,700 --> 00:32:58,830 position than I had prior to the one I'm entering now. Because I have all the equity behind the entry with three, supporting the two I'm buying here. So if it
174 00:32:58,830 --> 00:33:09,750 starts to retrace too deep on me, I have the ability to weather a little bit more. Whereas if I say I want to be a buyer have one here, two here, three here.
175 00:33:10,110 --> 00:33:20,160 That's an inverted pyramid. It's not stable. Imagine a pyramid upside down. It's bouncing on its point. It's not. It's not a solid foundation, it's wobbly. So
176 00:33:20,160 --> 00:33:31,440 I'm building the biggest base at the bottom of the pyramid or position size, initial position entry. So I'm buying three here, then I'm buying two here. Then
177 00:33:31,440 --> 00:33:42,870 I'm buying one here. And then I'm letting it run to my profit objective. Okay, with that said, starting with a hypothetical $10,000 account, just this morning
178 00:33:45,870 --> 00:34:01,560 over 21% one trade with three scalings. Okay, I consider this all one trade. I don't consider this three separate trades. It's one trade scaled in largest,
179 00:34:02,430 --> 00:34:17,910 middle, last portion. Then it runs to my objective. So the account history starts with $10,000 Here ends with $12,111 demo money. Okay? The History tab
180 00:34:17,970 --> 00:34:30,780 shows you here and if I'm not mistaken. I have everything shown on time. Everything's toggled here. Nothing's hidden. None of that. And you can see over
181 00:34:30,780 --> 00:34:47,700 here, all the business there. Okay, so my question to you is this. Who cares if you got to trade a micro account? Three micros two more micros one more micro
182 00:34:47,730 --> 00:35:04,080 that's six micro contracts. That requires technically $1,200 So I really didn't need the $10,000 to do these things. but in my mind with proper leverage, and
183 00:35:04,740 --> 00:35:15,960 money management $10,000 With this position sizing, gearing that's optimal. Anything more than this would have been too much leverage for that account. And
184 00:35:15,960 --> 00:35:34,380 to make 21% Plus in one trade, he's going to argue against that being well, above average. Now, what happens if you do that? Once a week, and that's your
185 00:35:34,380 --> 00:35:48,600 trade. And you stop, he might you hit it, you entered trading as it is, you go to a demo account. Given the idea, the leaps and bounds that you can have in
186 00:35:48,600 --> 00:35:56,820 your equity, increasing and peace of mind, knowing that you don't have to ever trade. That's what I'm trying to cultivate. Here in this community, folks, I'm
187 00:35:56,820 --> 00:36:04,890 not trying to create monsters that day trade every single day. Because I say these likely form every single day with the absolute form every single week.
188 00:36:05,220 --> 00:36:13,800 That is not an invitation for you to go out and say ICT said trade every day. Now, it's not what I said. I'm saying, if you miss a trade, you're likely to
189 00:36:13,800 --> 00:36:22,650 find one tomorrow. Well, not tomorrow, because it's Saturday, but you know what I mean, the next trading day. So there's a balancing act that you have to have,
190 00:36:23,100 --> 00:36:32,250 when you're listening to me, you just can't take one comment that I say and take it completely out of context and say, well, it is a day trader. And he's proven
191 00:36:32,250 --> 00:36:38,430 he's really precise. And he's concepts work. I watched a couple videos, I trust it. So now I'm gonna go and look into charts. And I think I see it forming right
192 00:36:38,430 --> 00:36:49,710 now. And I'm going in all in a minute. And then you're sitting down writing an email to me saying, I believe my account. Whose fault is that? It's not mine.
193 00:36:50,790 --> 00:37:01,590 It's yours. When I blew my account, it wasn't my broker's fault. It was mine. I did not know what I was doing. I was out of control, taking 6070 trades in a
194 00:37:01,590 --> 00:37:18,690 day. When you lose control, and you have no idea what you're doing, it's impossible for you to execute like this. You have to think about these examples,
195 00:37:19,140 --> 00:37:20,100 as the
196 00:37:21,900 --> 00:37:31,590 goal. Not that you want to be this precise, right from the beginning, cuz you can't be no one is it takes time to grow into that and your understanding. But
197 00:37:31,590 --> 00:37:42,060 it takes some measure of goal setting that you have to have, you know, you listen to some people that pretend to be teachers, they'll say, having a weekly
198 00:37:42,060 --> 00:37:52,620 goal, or a daily goal was a stupidest thing in the world, really. I guarantee you, these people are not profitable that say that they're hit and miss. They
199 00:37:52,620 --> 00:38:07,080 have periods of drawdown that are much longer than most people would be willing to endure. And if you don't aim for a target, you're going to hit nothing 100%
200 00:38:07,080 --> 00:38:20,760 of the time, you have to have a goal. So if your goal is to hit nothing, then obviously don't set a goal. But I set very low hanging objectives in front of
201 00:38:20,760 --> 00:38:34,140 me. These things are extremely easy for my capability. And for many of my students from the 2016 group and 2017 group, they can take trades like this. In
202 00:38:34,140 --> 00:38:46,560 fact, I have a woman in my group, from the first group from Australia, that is phenomenal. She does very, very well. And these are trades that I believe that
203 00:38:46,560 --> 00:38:58,950 even you as a YouTube student in this mentorship on my YouTube channel, I believe in six months of practice and looking at price action, you can do this
204 00:38:58,950 --> 00:39:11,160 yourself and do it consistently. Consistently. We're doing everyday Michael know, one time a week finding something like this, and working that position and
205 00:39:11,160 --> 00:39:19,110 like that. Absolutely. I'm making myself available twice a week. This is an extra video today, because I know last night's video was a little bit more
206 00:39:19,200 --> 00:39:28,320 deeper than you're accustomed to. And I'm not suggesting or implying that the lessons are going to go that direction. I'm just stating that when I'm studying
207 00:39:28,320 --> 00:39:41,490 market structure, I'm studying with that degree and more. But I had to create a language that gets to generally the basis of what that is doing, without all the
208 00:39:41,490 --> 00:39:53,100 complications within it. So be glad I'm not requiring you to understand that degree. Because the language I'm teaching like in here is accomplishing the same
209 00:39:53,280 --> 00:40:02,970 method, just doing it without all of the extra acrobatics because I knew What you're going to be questioning? You're probably looking at your chart thinking,
210 00:40:02,970 --> 00:40:09,900 How do I classify this swing high? Is the immediate term high versus the short term high in the long term? How? How does he know? Right? That's the part you're
211 00:40:09,900 --> 00:40:20,700 never going to get. So I had to create a language that makes it simple. And that's what you see in my lessons on this YouTube channel. I shoot by comparing
212 00:40:20,700 --> 00:40:33,630 and contrasting where I came from, and what I'm providing to the public. I can show you just how complicated the real intricacies are behind these
213 00:40:33,630 --> 00:40:43,380 marketplaces. But you do need new certain things that repeat. And they're very generic in price, and are not linked or built upon the foundation of anything
214 00:40:43,380 --> 00:40:52,950 that's retail logic, none of that stuff, not support resistance, not any of those other disciplines that people use, and you make businesses around selling
215 00:40:52,950 --> 00:41:08,520 books and courses and such. So one of the cool things that if you still are a trader that uses like Elliot wave, and harmonics and things like that, if you
216 00:41:08,520 --> 00:41:24,120 start studying what I'm teaching you, for free right here, you're going to find that your trades, that when I have my information underneath, and when your
217 00:41:24,120 --> 00:41:36,300 trades fail, the things I'm teaching you here, are missing. See, this is what I asked last night in the closing the video and I'm closing this video now, again,
218 00:41:37,920 --> 00:41:57,420 the mystery that plagues all speculators is what trading approach is the one that's gonna make me money. And I don't have to worry about losing more money in
219 00:41:57,600 --> 00:42:13,800 flawed approaches of trading. What you're saying is, there's a method out there, that is better than everyone else. I'm humbly submitting to you, you have found
220 00:42:13,800 --> 00:42:13,950 it.
221 00:42:15,330 --> 00:42:24,660 It's not costing you anything. But it's going to require some work, it's going to require some time, effort, it's going to feel like you can't get it, it's
222 00:42:24,660 --> 00:42:35,220 going to feel like you're never going to understand it. That's all normal. It's all normal. But you'll get it. Just folks in my 2016 group they couldn't get
223 00:42:35,850 --> 00:42:48,900 they got it now. Took a couple of years. Others, they get it real quick. I don't understand why some get it quicker than others. I just know that it's like that.
224 00:42:49,440 --> 00:43:01,050 And you might be one of those slower learners. It's okay. I was a slow learner. But once you learn it, it's yours. You don't forget, it's like riding a bike.
225 00:43:02,220 --> 00:43:10,740 And that should be your passion and your pursuit to get to know how to do this, like riding a bike, you can put the bike down for a couple years, and then get
226 00:43:10,740 --> 00:43:22,410 back on again. And just like you never stop riding it. And that's a comfort and a confidence. That is something that I can't articulate in the words. And if you
227 00:43:22,410 --> 00:43:30,930 are able to find consistency and profitability. It doesn't matter what you're doing in the economies, then it doesn't matter how much it's gonna cost you for
228 00:43:30,930 --> 00:43:41,430 a gallon of gas, or how much it's going to cost you and your groceries. Because you can out pace inflation. If you know what you're doing in these markets. That
229 00:43:41,430 --> 00:43:56,370 should be your goal, always outpace inflation. It should be new concern. I'm not promising you rich. Can you get wealthy with this? Sure you can, in my promising
230 00:43:56,370 --> 00:44:06,390 is going to free new way. Will you lose money in the process? Absolutely. I'm guaranteeing you're going to lose money. Every trading system discipline
231 00:44:06,420 --> 00:44:19,230 educator, everybody loses in trading. They take losses. Some take stunning losses, and others just take mediocre losses that are just nuisance. Other
232 00:44:19,230 --> 00:44:29,550 traders that are really, really good, can have periods of drawdown, and then regain that equity drawdown back. In is like it didn't even happen. Not even
233 00:44:29,550 --> 00:44:42,750 skip a beat. That's experience. These are all breaches that you're going across. You're going to cost them at times in intervals that I can outline in advance
234 00:44:42,750 --> 00:44:54,780 for you but I generally know the concerns and questions that you have at this point. My request to you is to suspend those feelings that you have to have all
235 00:44:54,780 --> 00:45:07,530 the answers right now. Because you don't you have to be more diligent about placing yourself in front of charts and back testing and researching what I'm
236 00:45:07,530 --> 00:45:17,340 showing you, because it's there. And by seeing that over and over again, it's better than a book. It's better than a course. It's better than a mentorship
237 00:45:17,340 --> 00:45:30,750 that you pay. Because I'm teaching you how to go into price and price will teach you. It will teach you it's repeating. So if it's repeating, and you're looking
238 00:45:30,750 --> 00:45:45,720 at it constantly, you are training your eye to see what it does. By default. When you buy a book, and you look at the examples in the book, each chapter has
239 00:45:45,720 --> 00:45:55,830 an idea that it's trying to focus on. How many examples do you generally see? Just a handful at most, right? But remember what it's like when you got a
240 00:45:55,950 --> 00:46:03,780 Trading Book for the first time and you looked at it and you saw bearish divergence and bullish divergence was the classic indicator. And it made a lower
241 00:46:03,780 --> 00:46:11,790 low in price, but it didn't make a lower low and a stochastic and it was a bullish divergence. And you're thinking, Man, I can see that that's easy. And
242 00:46:11,790 --> 00:46:23,460 then you start looking at it on a live chart, and when you thought it was diverging, it's going lower in price. They're only going to show you the
243 00:46:23,460 --> 00:46:33,960 examples to help sell the book because they don't want you to return the book. I'm teaching you how to go through price action in ferret out these repeating
244 00:46:33,960 --> 00:46:47,550 signatures. And it isn't just the handful of examples. It's every week, every day and it won't stop. So enjoy your weekend. I will touch base with you on
245 00:46:47,550 --> 00:46:51,570 Tuesday, Lord willing, and Until then be safe.