ICT YT - 2023-02-01 - January 31 2023 PM Session Example - New Week Opening Gap
Last modified by Drunk Monkey on 2023-02-02 12:56
Outline
00:00 - What’s going on in the market right now.
01:37 - Don’t Close candle is going to want to vault.
03:41 - What is the new week opening gap?
05:35 - Drawl, liquidity, and liquidity.
06:54 - What would you like to see?
08:17 - The consequent encroachment level.
10:15 - Peeling off single contracts.
Transcription
| 1 | 00:00:00,870 --> 00:00:12,030 | ICT: Alright, so I tried to get this recorded but I couldn't make it to the office fast enough to start the recording open the trade up on my phone using |
| 2 | 00:00:12,030 --> 00:00:23,790 | the order block here actually trading on the premise that it's a market maker buy model and send the price up into the new week opening gap which is what I |
| 3 | 00:00:23,790 --> 00:00:35,880 | mentioned this morning on Twitter so that might be viewed as a breaker that shaded area here it's not a breaker, it's just a speed bump it's gonna go |
| 4 | 00:00:35,880 --> 00:00:49,860 | through that most traders that would be trading quote unquote my rip off edition of Smart Money concepts they would see that as a sell it's not so it's gonna be |
| 5 | 00:00:51,930 --> 00:00:55,650 | drawn to this by side liquidity here |
| 6 | 00:01:01,290 --> 00:01:03,840 | is a roadblock right there I will add |
| 7 | 00:01:10,290 --> 00:01:20,550 | mutating this drone liquidity zone My mind is thinking it's gonna drop that level there we're digging down into that down close candle |
| 8 | 00:01:26,489 --> 00:01:36,089 | and a highlighter and an ad I can trade down to the midpoint of that which is mean threshold right there that's good it's not it's not a problem unless that's |
| 9 | 00:01:36,089 --> 00:01:58,799 | a compulsive disorder. Let me leave that trendline the way it is. So this room over here Edie buy more contracts and is going to want to vault quickly to take |
| 10 | 00:01:58,799 --> 00:02:05,489 | out the high the date it's noted here where the bus on record is lightened this upsell to dark |
| 11 | 00:02:12,480 --> 00:02:26,400 | Alright, so we'll see expansion a lot of speed move stuff breakeven so already normal inside now on side means I'm right well rephrase that I'm most likely |
| 12 | 00:02:26,400 --> 00:02:43,350 | right and it's should be aggressively trading to the buy side and then up into that new week opening gap at shaded like orange level if you're not following |
| 13 | 00:02:43,350 --> 00:02:49,140 | along on twitter it isn't gonna make much sense to you of why it should be doing this but I comments on this this morning |
| 14 | 00:03:04,770 --> 00:03:14,100 | Okay, the most recent don't close candle wants that high that candle to its open. That'll be a very sensitive price point. I'm not going to add any more to |
| 15 | 00:03:14,100 --> 00:03:14,850 | the position now. |
| 16 | 00:03:25,080 --> 00:03:35,190 | I tried to upload this in a very short version, but a two minutes thing or videos to Twitter. And wouldn't let me do it not even without having any music |
| 17 | 00:03:35,190 --> 00:03:43,410 | attached to it like I usually do. I'm sure some of you gonna be like, Oh, I like this better. So you can see how we reacted off that order block because as I |
| 18 | 00:03:43,410 --> 00:03:56,670 | mentioned moments ago, now we just ripped into the buyside liquidity which is wonderful. Everything's going to plan. So I want to see it drop into 40 76.75 |
| 19 | 00:03:56,670 --> 00:04:06,870 | That's the low end of the new week opening gap. What that is is the gap opening on Sunday trading so wherever we opened up from Friday's close the difference |
| 20 | 00:04:06,870 --> 00:04:19,410 | between the opening price the very first tick on Sunday evening. That's the new week opening gap. Okay, I want to see it expand up in to that shaded area. I'll |
| 21 | 00:04:19,410 --> 00:04:28,950 | draw it down somewhere you can see it now we've tapped into Basa liquidity so it could pull back a little bit there's a small fair value gap just formed if this |
| 22 | 00:04:28,950 --> 00:04:30,000 | candle closes |
| 23 | 00:04:40,170 --> 00:04:49,590 | Okay, so the fairway got right to the left that was now two candles back. What I'm measuring here is consequent encouragement. I'm gonna take 18% of position |
| 24 | 00:04:49,590 --> 00:04:56,610 | off which will be 20 contracts. All my attention is here, not elsewhere. |
| 25 | 00:05:22,590 --> 00:05:33,360 | Okay, and if it gets to 80% off there, my thought process is it'll try to go to the top end of the opening on the new week, that gap to the high end of that |
| 26 | 00:05:33,360 --> 00:05:40,230 | shaded orange area. But for right now my mind is focused on getting to the bottom of it where it says drawl and liquidity. |
| 27 | 00:06:05,520 --> 00:06:21,000 | If you look at the highest point, approximately 320 short term hives broken to the upside. And I bought inside that first down close candle as it was going |
| 28 | 00:06:21,000 --> 00:06:28,530 | down and I'm buying into that into me as an overclock. It later touched it again, I didn't add anything there though. I'll show you the executions |
| 29 | 00:06:28,560 --> 00:06:36,360 | momentarily. within striking distance of that new week opening gap. |
| 30 | 00:06:48,420 --> 00:06:57,270 | Again, understanding narrative prevents you from falling victim to pretending you understand what my PD arrays are. Because otherwise, in the hands of a |
| 31 | 00:06:57,270 --> 00:07:09,750 | neophyte or a fraud, it's just tries to sell my stuff with the labels and such in hindsight pick. cherry picking things that I don't do. Here we are hitting |
| 32 | 00:07:09,750 --> 00:07:23,340 | the new week opening gap. So it could pull back into that fair value gap. Just below the box on the conical, I would want to see it support that it drops down |
| 33 | 00:07:23,340 --> 00:07:38,280 | into that I want to see an immediate rejection of that and then go higher. There we are. So I would want to see it snap higher. But not knowing what the |
| 34 | 00:07:38,280 --> 00:07:46,320 | narrative is and how that really used the concepts of authentic one would look at this shade of pink area and assume that was probably a bearish breaker. No. |
| 35 | 00:07:47,400 --> 00:07:58,410 | And I'll go along that. You have to you're doing folks. Otherwise, you're hurt yourself. And if you're trying to pretend to be a guru with my things, you |
| 36 | 00:07:58,410 --> 00:08:14,040 | actually harming people through ignorance. I know it sounds like I'm trying to prevent other people from making a name for themselves. But none of you are |
| 37 | 00:08:14,040 --> 00:08:26,580 | there yet. to Now since we hit the bottom of that new opening week gap, my focus is here was the consequent encroachment, which is the midpoint of a gap. Any |
| 38 | 00:08:26,580 --> 00:08:38,280 | inefficiency, the midpoint of that is consequent encroachment. It's always abbreviate as capital C, period, capital E period. In my charts and annotations. |
| 39 | 00:08:39,990 --> 00:08:49,770 | Here we go. We're looking for off that fear of a gap. Now it should be a lot of momentum and spring out of there. The caffeinated kingdom cannot work there. |
| 40 | 00:08:49,770 --> 00:09:01,770 | Yes. And the thank you very much. Just waiting to peel off 20 contracts since we touch that consequent encroachment level. It's really fun to be on these types |
| 41 | 00:09:01,770 --> 00:09:02,340 | of trades. |
| 42 | 00:09:07,620 --> 00:09:26,160 | And here we are. So our role of stop up mark in 2000. Okay, and now I have the lines portion of the move already put down. So what I'm watching is do we find |
| 43 | 00:09:26,160 --> 00:09:38,700 | some support without leaving that lower quarter of the consequent encroachment to the low of that shaded area. I want to see it re accumulate and start to |
| 44 | 00:09:38,730 --> 00:09:48,390 | expand higher. And I'll stop it's admittedly very close but I don't care. Because at this point in tomorrow's FOMC it can do anything it wants to do here. |
| 45 | 00:09:48,570 --> 00:10:01,290 | It can get restless, it can just keep on going. So it makes no sense for me to let it come all the way back down into that blue shirt. ad free of any given |
| 46 | 00:10:01,290 --> 00:10:10,650 | blower. So that's why I have a stop there. If it if it takes, and I'm happy, I'm fine. And now my focus is I want to get to the top of that new week opening gap, |
| 47 | 00:10:10,680 --> 00:10:24,360 | which is the shaded area. So I'll start peeling off singles. This has already been done. So I'm going to change the annotation to 80% has been taken off here. |
| 48 | 00:10:25,170 --> 00:10:31,320 | And I'll drop my contract selection down the one contracts and I'll start killing them off |
| 49 | 00:10:37,410 --> 00:10:40,680 | as we deem the upper half of that new week opening gap |
| 50 | 00:10:46,200 --> 00:10:57,390 | so what I'm doing is I'm watching see there's relative equal highs, it's formed right now on the right chart at the one minute chart. I'm going to wait and see |
| 51 | 00:10:57,420 --> 00:11:10,050 | soon as it prints another candle just above that, I'm going to take one off. This is called running down equity. Every time you're in a trade and you have |
| 52 | 00:11:10,050 --> 00:11:23,760 | the ability to take partials into a move that's been delivering for a little while and this is a little bit of a long winded run here. So I don't want to |
| 53 | 00:11:24,330 --> 00:11:35,850 | spend too much time holding on the bulk of my remainders. So five contracts I'm gonna start peeling them off. Soon as that candle starts to print. Right above |
| 54 | 00:11:35,880 --> 00:11:41,940 | those relative equal highs I've noted now, soon as it prints just above it one tick immediately monkey one contract |
| 55 | 00:11:54,000 --> 00:11:55,410 | here's one of those real bull flags |
| 56 | 00:12:01,860 --> 00:12:08,160 | I'm looking away from the monitor right now. I'm realizing that missed the opportunity to snap the wheat |
| 57 | 00:12:14,460 --> 00:12:24,660 | once I looked at it, I was like, Oh, what the cuss. But I'm confident is going to want to tap into that new new week opening gap. So you sit here and use wait. |
| 58 | 00:12:25,080 --> 00:12:31,860 | Now when I'm going to watch and see when it makes a higher high than it's already printed there on that candle. And as soon as it does, then I'll peel off |
| 59 | 00:12:31,860 --> 00:12:45,690 | one I'll sell one at market of the five I have on remaining. There you go. And I'm going to be watching halfway between where it is now in the top of that |
| 60 | 00:12:45,690 --> 00:13:01,770 | shaded area approximately my eye is looking for it to reach up into that and when it does, I'll take another one off as pure one out there so three contracts |
| 61 | 00:13:01,770 --> 00:13:05,880 | remaining. And just a little bit more. I'm looking forward to pop up |
| 62 | 00:13:16,140 --> 00:13:23,520 | now as a new chair, this is going to be nerve wracking for you because you're afraid is going to have an appeal off there. And then at the top of the range. |
| 63 | 00:13:23,760 --> 00:13:33,420 | And now I'll want to roll the stop on that final balance. And if it takes me I'm okay with it. disputable price run absolutely gorgeous |
| 64 | 00:13:48,030 --> 00:13:58,800 | and there's a stop. So I'll show you the executions and see they're not on a market replay. Hope you found insightful till next time. Be safe |