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Last modified by Drunk Monkey on 2024-08-31 08:09
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2 |1 |00:00:40 ~-~-> 00:01:12 |ICT: Good Morning folks. How are you? Me a second here. Stupid OBS is the folks
3 |2 |00:01:12 ~-~-> 00:01:18 |that use OBS for live streaming, the window capture that I try to use. It
4 |3 |00:01:18 ~-~-> 00:01:24 |never it never populates the chart, so I'm not sure why it doesn't do but
5 |4 |00:01:25 ~-~-> 00:01:29 |fights me. I'll go over these levels in a moment. Just give me a second. Let's
6 |5 |00:01:29 ~-~-> 00:01:30 |make sure the audio is
7 |6 |00:01:39 ~-~-> 00:01:52 |coming through. I check, audio check, audio check.
8 |7 |00:01:57 ~-~-> 00:02:02 |All right, so anyway, good morning. Hope you're all doing well. So yesterday, we
9 |8 |00:02:02 ~-~-> 00:02:12 |had a short session, and I had a meeting. A wife texted me, don't forget
10 |9 |00:02:12 ~-~-> 00:02:16 |to do this and don't forget to do that. So it was kind of distracting yesterday,
11 |10 |00:02:16 ~-~-> 00:02:24 |but I'll have a review with my son, most likely this evening that'll go up on his
12 |11 |00:02:24 ~-~-> 00:02:31 |YouTube channel tonight. Alright, so we have the NASDAQ. We've had a really nice
13 |12 |00:02:31 ~-~-> 00:02:39 |run up for this week. You can't hardly see it here, but that is the it's two
14 |13 |00:02:39 ~-~-> 00:02:45 |levels. It's the upper quadrant of yesterday's opening range gap. I'm
15 |14 |00:02:45 ~-~-> 00:02:48 |sorry, opening range, it's the upper quadrant of that. And then this is the
16 |15 |00:02:48 ~-~-> 00:02:54 |opening range gap high, uh, yesterday, because I was doing too many things at
17 |16 |00:02:54 ~-~-> 00:02:58 |the same time during the live stream and trying to communicate with my wife and
18 |17 |00:02:58 ~-~-> 00:03:05 |text above, above me. She was running out the house, so I had a lot of things
19 |18 |00:03:05 ~-~-> 00:03:09 |going on that distracted me. So in advance, certainly we know going
20 |19 |00:03:09 ~-~-> 00:03:12 |forward. If ever I have something going on during the times that I would
21 |20 |00:03:12 ~-~-> 00:03:16 |normally be live streaming, I'm not going to live stream. It's just not
22 |21 |00:03:16 ~-~-> 00:03:21 |enough bandwidth for me to work with them when it's such a short span of
23 |22 |00:03:21 ~-~-> 00:03:29 |time, very distracting, nonetheless. The this level is, it's actually two levels
24 |23 |00:03:29 ~-~-> 00:03:33 |here. It's the upper quadrant of yesterday or Thursday's opening range,
25 |24 |00:03:34 ~-~-> 00:03:39 |okay, and I'll show you what that is in a second. But it's also 20% of the
26 |25 |00:03:39 ~-~-> 00:03:48 |weekly range. So that's TGIF. So we have the market tree and reach down right
27 |26 |00:03:48 ~-~-> 00:03:59 |here, all the way down into this level here, which is both the upper quadrant
28 |27 |00:03:59 ~-~-> 00:04:04 |of yesterday's opening range. That means it's the 930, to 10 o'clock range,
29 |28 |00:04:05 ~-~-> 00:04:09 |whatever that is. You measure that you get the midpoint, upper, lower
30 |29 |00:04:09 ~-~-> 00:04:19 |quadrants, and then you have the 20% retracement of total weekly range. Okay?
31 |30 |00:04:19 ~-~-> 00:04:22 |And you can take a second and load up your weekly chart for nq, for
32 |31 |00:04:22 ~-~-> 00:04:28 |September's contract, take your fib draw it across the highest high and the
33 |32 |00:04:28 ~-~-> 00:04:40 |lowest low, and mark it with The Fibonacci levels. Here it would look
34 |33 |00:04:40 ~-~-> 00:04:53 |like this. Okay, 0.75 0.25 that's for quadrants, and if you want to do it on
35 |34 |00:04:53 ~-~-> 00:05:00 |the TGIF, I always just toggle the default the five here, off. In there,
36 |35 |00:05:00 ~-~-> 00:05:05 |and that way it'll show the 20 and 30% respectively. So it would look like
37 |36 |00:05:05 ~-~-> 00:05:09 |this. That's what your fit would look like. Not that it's not that I'm
38 |37 |00:05:09 ~-~-> 00:05:13 |anchoring it to anything right now, if you draw that from the low up to the
39 |38 |00:05:13 ~-~-> 00:05:17 |high, because it's an up close, it's an up week. So you draw from low to high,
40 |39 |00:05:18 ~-~-> 00:05:23 |that'll give you your 20 and your 30% respectively. I'll do it tonight as part
41 |40 |00:05:23 ~-~-> 00:05:30 |of the exercise. That way Caleb can learn how to do it as well, and you know
42 |41 |00:05:30 ~-~-> 00:05:35 |how to benefit seeing what it looks like and what it looks like. But there was
43 |42 |00:05:35 ~-~-> 00:05:40 |two levels there. It's the upper quadrant, and it's the 20% TGIF, or 20%
44 |43 |00:05:41 ~-~-> 00:05:45 |of total weekly range thus far. Not to say they can't make a higher high on the
45 |44 |00:05:45 ~-~-> 00:05:50 |week. I'm just saying that usually, as I mentioned, on Monday, this will also be
46 |45 |00:05:50 ~-~-> 00:05:55 |in the review as well. Monday's trading. I mentioned how we can use the previous
47 |46 |00:05:55 ~-~-> 00:06:01 |week. If TGIF doesn't form on the Friday of week of then when you carry over to
48 |47 |00:06:01 ~-~-> 00:06:06 |the next week on Monday's trading, you can look for it to 20 to 30% you'll see
49 |48 |00:06:06 ~-~-> 00:06:12 |that it did that very thing on Monday as well. But just you notice, know that
50 |49 |00:06:12 ~-~-> 00:06:15 |that that's what will be part of the review. Also some of the technical
51 |50 |00:06:15 ~-~-> 00:06:21 |things I want my son, he has to show what it is that I'm asking him
52 |51 |00:06:21 ~-~-> 00:06:26 |specifically to do, is that way he can more or less mimic it each day and at
53 |52 |00:06:26 ~-~-> 00:06:30 |the end of the week? So you also have the benefit of seeing that in addition
54 |53 |00:06:30 ~-~-> 00:06:38 |to him, and there's the TGIF, 30% of the range. So if I was to take it like this,
55 |54 |00:06:40 ~-~-> 00:06:46 |I did this. You can see it's the TGIF 20% it's just me drawing a line. It's
56 |55 |00:06:46 ~-~-> 00:06:51 |not it's not an indicator. I'm sure somebody over it looks out, they'll
57 |56 |00:06:51 ~-~-> 00:06:56 |probably create it. Make sure you put my three letters in the name of it, so the
58 |57 |00:06:56 ~-~-> 00:06:56 |the
59 |58 |00:07:01 ~-~-> 00:07:07 |confluence of that and then trading down to it at almost nine o'clock. It's
60 |59 |00:07:07 ~-~-> 00:07:14 |inside the macro. So I'm looking at how we are behaving here. So far. It's a
61 |60 |00:07:14 ~-~-> 00:07:21 |little one organized at 10 o'clock. We have a union impact news driver. So
62 |61 |00:07:21 ~-~-> 00:07:30 |there's been a lot of upside delivery. So it's reason for it to be treating
63 |62 |00:07:30 ~-~-> 00:07:30 |them like this. I
64 |63 |00:07:40 ~-~-> 00:07:46 |I'm going to maximize this. Just this chart here. I'm
65 |64 |00:08:00 ~-~-> 00:08:09 |uh, you may be asking yourself, wow, this is stuff that you look at on a day
66 |65 |00:08:09 ~-~-> 00:08:13 |by day basis. Yes, every time there's an opening range or opening range gap,
67 |66 |00:08:13 ~-~-> 00:08:19 |there are two different things. The if those levels have not been completely
68 |67 |00:08:19 ~-~-> 00:08:28 |used, that means at least explored, tested, traded, to reprice to I carry
69 |68 |00:08:28 ~-~-> 00:08:32 |them over to the previous day from the previous day. I do that for three days.
70 |69 |00:08:32 ~-~-> 00:08:36 |Okay, so that's for your notes as well. So every opening range gap, if there is
71 |70 |00:08:36 ~-~-> 00:08:43 |one, I carry that one three days in the future, and I use it as a look back as a
72 |71 |00:08:43 ~-~-> 00:08:50 |as a means of key levels, very, very, very influential in terms of price
73 |72 |00:08:50 ~-~-> 00:08:53 |delivery, how it reacts and the wonderful setups perform around them,
74 |73 |00:08:54 ~-~-> 00:08:59 |the the portion of yesterday's opening range gap. I
75 |74 |00:09:05 ~-~-> 00:09:11 |It's below all of this. This is the opening range gap high, in other words,
76 |75 |00:09:11 ~-~-> 00:09:17 |where we settled the previous day, not yesterday. So that would be Wednesday,
77 |76 |00:09:18 ~-~-> 00:09:22 |and then when we opened up trading on Thursday. That's these two levels here.
78 |77 |00:09:22 ~-~-> 00:09:26 |So that, in itself, also has a range that you can do quadrants on. So you're
79 |78 |00:09:26 ~-~-> 00:09:30 |going to do this level to that level. And again, that's not quarters theory.
80 |79 |00:09:30 ~-~-> 00:09:33 |Okay, you're not going to see anybody talking about opening ranges and
81 |80 |00:09:33 ~-~-> 00:09:38 |quadrant quadrants within as soon as you like, soon as I start saying things
82 |81 |00:09:38 ~-~-> 00:09:43 |like, you know, a quarter level, a quadrant dividing into fours. Oh, right
83 |82 |00:09:43 ~-~-> 00:09:46 |away. Oh, yeah, that's that thing quarters theory. Go and go and explore
84 |83 |00:09:46 ~-~-> 00:09:51 |it. You'll see that that is not what this is, but because we're not even near
85 |84 |00:09:51 ~-~-> 00:09:54 |this at all. Right now I'm not interested in it. But should we happen
86 |85 |00:09:54 ~-~-> 00:09:58 |to trade down there? And should happen then I'll, I'll plot the quadrants on
87 |86 |00:09:58 ~-~-> 00:10:03 |that, and they will be at. Time pertinent right now, they're not so
88 |87 |00:10:03 ~-~-> 00:10:09 |where we opened yesterday and where we traded to in this in this case, the
89 |88 |00:10:09 ~-~-> 00:10:17 |opening range is the first 30 minutes. That's 9:30am Eastern Time to 10am
90 |89 |00:10:18 ~-~-> 00:10:24 |Eastern Time. In my haste yesterday, in my distraction, I typed out these levels
91 |90 |00:10:24 ~-~-> 00:10:27 |here, and you watch me do that in the recording, I did not include the word
92 |91 |00:10:27 ~-~-> 00:10:34 |gap. Okay, the gap is the difference between the previous day's settlement
93 |92 |00:10:34 ~-~-> 00:10:39 |price and where regular trading or regular session hours begin trading.
94 |93 |00:10:39 ~-~-> 00:10:48 |That's the gap the opening range is how far price travels after it opens at 930,
95 |94 |00:10:48 ~-~-> 00:10:52 |to 10 o'clock. So if it's up or down movement, whatever it is, you measure
96 |95 |00:10:52 ~-~-> 00:10:55 |that, and the same thing you do quadrants on that. That's not quarters
97 |96 |00:10:55 ~-~-> 00:11:00 |theory. Okay, so it's not it's not pivots, it's not anything like that.
98 |97 |00:11:00 ~-~-> 00:11:06 |It's not like off, it's not Elliot. We none of those things. So so far, like I
99 |98 |00:11:06 ~-~-> 00:11:10 |said, we're a little unorganized in here. And I think the the cleaner price
100 |99 |00:11:10 ~-~-> 00:11:17 |action will start probably maybe 15 minutes, going into 10 o'clock and then
101 |100 |00:11:18 ~-~-> 00:11:19 |into that macro, 950, 1010,
102 |101 |00:11:21 ~-~-> 00:11:36 |I so I'm
103 |102 |00:11:36 ~-~-> 00:11:43 |just relaxing. Try not to have too much of a an opinion right away, as I want to
104 |103 |00:11:43 ~-~-> 00:11:47 |see what we're doing ahead of that medium impact driver, consumer
105 |104 |00:11:47 ~-~-> 00:11:49 |confidence or whatever, the sentiment
106 |105 |00:12:02 ~-~-> 00:12:06 |isn't there. Interesting to see how it reacts off that previous day's opening
107 |106 |00:12:06 ~-~-> 00:12:16 |range, high, see it King off of it here, and King off of it here. And the upper
108 |107 |00:12:16 ~-~-> 00:12:21 |quadrant, it's keying off of that also, in addition to it being the TGIF 20%
109 |108 |00:12:22 ~-~-> 00:12:29 |level. Okay, so these are all levels that are written on my notepad. Okay, so
110 |109 |00:12:29 ~-~-> 00:12:34 |when I have a notepad in the pages that flapping, that is what I have written
111 |110 |00:12:34 ~-~-> 00:12:42 |down. If I don't have a notepad with me, I will have a screenshot of my notepad
112 |111 |00:12:42 ~-~-> 00:12:45 |so that can pull that up on my phone next to me. So one of the other I'm
113 |112 |00:12:45 ~-~-> 00:12:50 |looking at that, or I'm looking at the actual pen down comment, and they're
114 |113 |00:12:50 ~-~-> 00:12:54 |just simply the levels, and I'm abbreviating Everything you see here. I
115 |114 |00:12:54 ~-~-> 00:12:59 |don't write all that out. I just write down, like number 815, I know what year
116 |115 |00:12:59 ~-~-> 00:13:04 |I'm trading in, and then O, R, that means the opening range. CE, consequent
117 |116 |00:13:04 ~-~-> 00:13:08 |encouragement. It's the midpoint. That's the highest high and the lowest low of
118 |117 |00:13:08 ~-~-> 00:13:12 |the first 30 minutes of trading yesterday. Don't be confused. It has
119 |118 |00:13:12 ~-~-> 00:13:17 |nothing to do with today's tri trading, because the price hasn't booked in these
120 |119 |00:13:17 ~-~-> 00:13:21 |levels yet, not all of them. It's on this one and this one, but they have not
121 |120 |00:13:21 ~-~-> 00:13:28 |explored or delivered to the consequent encroachment, or the lower quadrant, or
122 |121 |00:13:28 ~-~-> 00:13:35 |yesterday's opening price. Okay, so I'm looking to see if we can make an attempt
123 |122 |00:13:35 ~-~-> 00:13:39 |to get down into that at the very minimum consequent encroachment, which
124 |123 |00:13:39 ~-~-> 00:13:43 |was, which is here. Okay, so all of these things here, and the actual levels
125 |124 |00:13:43 ~-~-> 00:13:48 |that you see highlighted with the annotations on my chart, and the new day
126 |125 |00:13:48 ~-~-> 00:13:52 |opening gap from yesterday's formation at 6pm and the differences of 5pm
127 |126 |00:13:53 ~-~-> 00:13:58 |closing settlement price, which you know is New Day opening gap. Those levels are
128 |127 |00:13:58 ~-~-> 00:14:04 |on my notepad, but teaching my son and you having the benefit learning this.
129 |128 |00:14:04 ~-~-> 00:14:10 |These are the things that I have on my chart or not on my chart, or on my price
130 |129 |00:14:11 ~-~-> 00:14:14 |list of key levels, it's on my pad, so that way I can work with a naked chart.
131 |130 |00:14:14 ~-~-> 00:14:19 |So when I have a naked chart, I know what levels I'm looking for, but in the
132 |131 |00:14:19 ~-~-> 00:14:22 |beginning, you're not gonna you're not gonna fully appreciate or understand.
133 |132 |00:14:22 ~-~-> 00:14:26 |Neither will He, unless he starts putting them on the chart. Now, you may
134 |133 |00:14:26 ~-~-> 00:14:34 |never want to go to keeping a chart completely naked with nothing annotated
135 |134 |00:14:34 ~-~-> 00:14:39 |on it. I prefer it because it's it allows me to be flexible. That way my
136 |135 |00:14:39 ~-~-> 00:14:44 |eye won't let's be real. I mean, I'm, I'm a human being like anybody else. And
137 |136 |00:14:44 ~-~-> 00:14:50 |if I see something on the chart, and as price is moving to it, the natural order
138 |137 |00:14:50 ~-~-> 00:14:54 |of things is, is it going to go to that level and trade through it, or is it
139 |138 |00:14:54 ~-~-> 00:15:00 |going to react and give a response and, you know, retrace away from it. And. If
140 |139 |00:15:00 ~-~-> 00:15:06 |I don't have that line on the chart, it keeps my focus on what is price actually
141 |140 |00:15:06 ~-~-> 00:15:10 |doing, and then I'm constantly referring to like, when you're driving your car,
142 |141 |00:15:10 ~-~-> 00:15:13 |hopefully, you check your side mirrors and your rear view mirror periodically,
143 |142 |00:15:13 ~-~-> 00:15:17 |every every now and then, as a commercial driver, they tell you to keep
144 |143 |00:15:17 ~-~-> 00:15:20 |checking your mirrors, and you don't have a rear view mirror, but you check
145 |144 |00:15:20 ~-~-> 00:15:23 |your side mirrors all the time, because you gotta keep a view of what's around
146 |145 |00:15:23 ~-~-> 00:15:26 |you. You're driving the vehicles outside of your own vehicle as a commercial
147 |146 |00:15:26 ~-~-> 00:15:31 |driver, well as a trader, and watching price action if you're only looking at
148 |147 |00:15:31 ~-~-> 00:15:36 |one thing, okay? Or if you have a distraction, like, I don't like when my
149 |148 |00:15:36 ~-~-> 00:15:40 |wife talks when we're driving, because she'll talk with her hands, and my eye
150 |149 |00:15:40 ~-~-> 00:15:43 |goes to her hands, it's very distracting. Or she has this little
151 |150 |00:15:43 ~-~-> 00:15:47 |flash on the back of her phone. When there's a text or a phone call, it
152 |151 |00:15:47 ~-~-> 00:15:53 |flashes, and every time I see it, I want to throw it out the window. So I have to
153 |152 |00:15:53 ~-~-> 00:15:56 |have very, very few things on my chart. So it's very hard for me to try to
154 |153 |00:15:56 ~-~-> 00:16:01 |communicate clear headedly When there's a whole lot of these types of
155 |154 |00:16:01 ~-~-> 00:16:05 |annotations on my chart when I'm teaching or showing examples, but I get
156 |155 |00:16:05 ~-~-> 00:16:10 |so many times a reference to, hey, you know, can you show us what's on your
157 |156 |00:16:10 ~-~-> 00:16:13 |notes? Like, what are the levels that you have on there? What are you What are
158 |157 |00:16:13 ~-~-> 00:16:17 |you writing down? It's just this kind of information, okay? And it's a couple
159 |158 |00:16:17 ~-~-> 00:16:20 |other things that I'm never going to talk about, but they're not going to be
160 |159 |00:16:21 ~-~-> 00:16:25 |a make it or break it or a success thing for you, okay, it's just personal things
161 |160 |00:16:25 ~-~-> 00:16:31 |for me that I want to have you know as a reminder to myself for this individual
162 |161 |00:16:31 ~-~-> 00:16:36 |trading day, that individual week, that are not even important for you. If
163 |162 |00:16:36 ~-~-> 00:16:39 |they're not, they're not secret recipe ingredients that causes you to make it
164 |163 |00:16:39 ~-~-> 00:16:44 |or break it, okay, this is I'm not making them known to you, and that's me
165 |164 |00:16:44 ~-~-> 00:16:48 |being honest. I could tell you that this is all I have on there, and I would be
166 |165 |00:16:48 ~-~-> 00:16:52 |lying then, but there are other things in here that don't have any bearing on
167 |166 |00:16:52 ~-~-> 00:16:55 |what's going to make price go up or down. So that's the reason why I tell
168 |167 |00:16:55 ~-~-> 00:16:58 |you. I don't want to show you my notepad, because there's a few things on
169 |168 |00:16:58 ~-~-> 00:17:04 |there that I want to keep private to me. So we've had a return back into this
170 |169 |00:17:04 ~-~-> 00:17:08 |small little gap in here. All of this is efficient, because it's back and forth,
171 |170 |00:17:08 ~-~-> 00:17:12 |overlapping each previous range. Then we have this small little gap right there.
172 |171 |00:17:12 ~-~-> 00:17:17 |See that? I'll annotate it with just the lines, because I don't want to be
173 |172 |00:17:17 ~-~-> 00:17:24 |monkeying around with the I uh, the rectangles, they usually fight me when
174 |173 |00:17:24 ~-~-> 00:17:29 |I'm on live stream, so I'm just gonna draw it out like this. It's less
175 |174 |00:17:29 ~-~-> 00:17:30 |painless.
176 |175 |00:17:39 ~-~-> 00:17:44 |So as you recall on Tuesday, when the market was trading one sided, and it
177 |176 |00:17:44 ~-~-> 00:17:48 |wasn't giving very much retracements, it just kept pumping and pumping and
178 |177 |00:17:48 ~-~-> 00:17:53 |pumping. And I tell in that live stream, I say that, you know, when it's like
179 |178 |00:17:53 ~-~-> 00:17:58 |this, can I trade it? Yes, but it's going to require a whole lot more things
180 |179 |00:17:58 ~-~-> 00:18:03 |that are going to be plaguing me with new questions and people worrying me,
181 |180 |00:18:03 ~-~-> 00:18:07 |and it's going to cause confusion for my son, because they're too advanced, but
182 |181 |00:18:07 ~-~-> 00:18:10 |there are things that I can do, obviously, as you watched yesterday,
183 |182 |00:18:10 ~-~-> 00:18:14 |there was small little fluctuations, both up and down, that were tradable.
184 |183 |00:18:15 ~-~-> 00:18:21 |Okay? Neither of them, or any of them yesterday, were things that I'm trying
185 |184 |00:18:21 ~-~-> 00:18:26 |to teach him to focus on and to prevent him from having a lot of hardships
186 |185 |00:18:27 ~-~-> 00:18:31 |trying to do things that you know he doesn't have the skill set to do yet.
187 |186 |00:18:31 ~-~-> 00:18:37 |And most of you as viewers don't know either, when I'm promoting some
188 |187 |00:18:37 ~-~-> 00:18:42 |participation in the day and if it starts running in one sidedness, then
189 |188 |00:18:42 ~-~-> 00:18:47 |I'm not going to try to push that for him, because it's outside the boundaries
190 |189 |00:18:47 ~-~-> 00:18:52 |of a skill set. I did take a short yesterday. I will include that in the
191 |190 |00:18:52 ~-~-> 00:18:56 |review so that we can see it. I did a turtle suit. I traded like one and a
192 |191 |00:18:56 ~-~-> 00:19:01 |half handles away from the high and shorted it. And I took one partial and
193 |192 |00:19:01 ~-~-> 00:19:06 |then came back and stopped me out on the balance. So on 15 contracts, I was able
194 |193 |00:19:06 ~-~-> 00:19:11 |to kill off five and then trail the stop, and then it came back and took
195 |194 |00:19:11 ~-~-> 00:19:16 |that out. But it was engaging with the things I was leaving you with yesterday,
196 |195 |00:19:16 ~-~-> 00:19:20 |looking for some kind of afternoon retracement, the lunch macro, so you'll
197 |196 |00:19:20 ~-~-> 00:19:22 |have that also in the review.
198 |197 |00:19:27 ~-~-> 00:19:30 |You're looking at this over here, probably wondering what that is, and
199 |198 |00:19:30 ~-~-> 00:19:39 |it's simply just an inversion fair value right in there. I'm watching this gap
200 |199 |00:19:39 ~-~-> 00:19:46 |here. I'd like to see that stay open, not even Retrade back to if it does that
201 |200 |00:19:46 ~-~-> 00:19:50 |and we start to break below this low here, the liquidity resting below here,
202 |201 |00:19:50 ~-~-> 00:19:55 |and maybe an exploration down into the consequent crochet or midpoint of
203 |202 |00:19:55 ~-~-> 00:20:00 |yesterday's opening range. Notice it's not the gap. What we're. Measuring here
204 |203 |00:20:00 ~-~-> 00:20:07 |is, let me, let me annotate like this. So you can for this purpose, you can
205 |204 |00:20:07 ~-~-> 00:20:10 |take a screenshot of this. This is for your notes. It'll be easier for you to
206 |205 |00:20:10 ~-~-> 00:20:19 |see it that range. In other words, I'm annotating the high level, the lower
207 |206 |00:20:19 ~-~-> 00:20:26 |midpoint, lower quadrant, and then the opening price yesterday at 930 This is
208 |207 |00:20:26 ~-~-> 00:20:32 |the highest high it formed at 10 o'clock yesterday. So this range is the opening
209 |208 |00:20:32 ~-~-> 00:20:37 |range. There is no 15 minute opening range. I know it. It's being banded
210 |209 |00:20:37 ~-~-> 00:20:44 |about by another YouTuber, but I can assure you, there's no 15 minute opening
211 |210 |00:20:44 ~-~-> 00:20:57 |range. It's the first 30 minutes. So this is opening range, or first 30
212 |211 |00:20:57 ~-~-> 00:20:58 |minutes
213 |212 |00:20:59 ~-~-> 00:20:59 |of trading. I
214 |213 |00:21:03 ~-~-> 00:21:14 |9:30am, Eastern Time, 2:10am, Eastern Time i
215 |214 |00:21:24 ~-~-> 00:21:27 |Okay, so that we can take it, take a screenshot of that, that we have
216 |215 |00:21:27 ~-~-> 00:21:33 |reference of what that is and why I'm an annotating it. And you want to have
217 |216 |00:21:33 ~-~-> 00:21:40 |these levels going back. You want to have three days worth of it. Basically,
218 |217 |00:21:40 ~-~-> 00:21:45 |is what I'm saying. So what you're saying is today's, yesterday's and the
219 |218 |00:21:45 ~-~-> 00:21:50 |previous days. I'm not so concerned about the other levels. I'm not. I don't
220 |219 |00:21:50 ~-~-> 00:21:53 |have them on my notepad, but you can clearly see right away how fast if
221 |220 |00:21:53 ~-~-> 00:21:58 |you're doing this, you could have a very, very busy chart. So that's why I
222 |221 |00:21:58 ~-~-> 00:22:03 |keep it clean. I like to keep it, you know, on my notepads, that way I know
223 |222 |00:22:03 ~-~-> 00:22:06 |what levels it's probably gravitating to. And then I don't have to have all
224 |223 |00:22:06 ~-~-> 00:22:13 |the stuff on my chart, because right away it would look like, you know, just
225 |224 |00:22:13 ~-~-> 00:22:16 |think of someone that has all kinds of stuff all over your charts. You know,
226 |225 |00:22:16 ~-~-> 00:22:18 |that's the that's a retails, uh, quagmire. I
227 |226 |00:22:29 ~-~-> 00:22:32 |Alright, so we came back over to the gap here. I don't, I didn't want to see
228 |227 |00:22:32 ~-~-> 00:22:38 |that. So we're not the not in any position of expecting a directional run
229 |228 |00:22:38 ~-~-> 00:22:42 |yet. I
230 |229 |00:22:54 ~-~-> 00:23:04 |951, so we're inside the macro. Touch the fairway gap there once more, while
231 |230 |00:23:04 ~-~-> 00:23:07 |we're waiting for that 10 o'clock number, I'm going to do the same thing
232 |231 |00:23:07 ~-~-> 00:23:17 |here that I did here, so that way you can take notes as well on this. This is
233 |232 |00:23:17 ~-~-> 00:23:24 |where we settled on Wednesday, on day session. And this level here is the
234 |233 |00:23:24 ~-~-> 00:23:31 |opening price yesterday. So the difference between that is That is your
235 |234 |00:23:31 ~-~-> 00:23:32 |Opening range gap. I
236 |235 |00:24:44 ~-~-> 00:24:49 |Okay, and you can run, you know, quadrants on that as well, but we're not
237 |236 |00:24:49 ~-~-> 00:24:54 |needing to do that at the moment, so that way, there's two two frames of
238 |237 |00:24:54 ~-~-> 00:25:00 |reference there, and they're very specific elements and ranges. So. One's
239 |238 |00:25:00 ~-~-> 00:25:08 |in an efficiency as a gap. One's an actual traveling from an opening price
240 |239 |00:25:08 ~-~-> 00:25:11 |at 930 to whatever the extreme high or low is. In other words, if it opens at
241 |240 |00:25:11 ~-~-> 00:25:18 |930 and starts trading up the highest high form to 10 o'clock to the 930
242 |241 |00:25:18 ~-~-> 00:25:24 |opening, that is your opening range. If it opens at 930 and trades down the
243 |242 |00:25:24 ~-~-> 00:25:30 |lowest low it forms at 10am to the 930 opening. That is your opening range gap.
244 |243 |00:25:30 ~-~-> 00:25:38 |I'm sorry that's your opening range. Rather, the gap is the actual difference
245 |244 |00:25:38 ~-~-> 00:25:42 |between previous regular trading day session hours that's determined down
246 |245 |00:25:42 ~-~-> 00:25:49 |here you're gonna be using that. Okay, you get the settlement price on that,
247 |246 |00:25:49 ~-~-> 00:25:53 |and then where you open at 9/31 tick, first print, and then that's your
248 |247 |00:25:53 ~-~-> 00:25:58 |opening range gap, because there's no trading when you're looking at like that
249 |248 |00:25:58 ~-~-> 00:26:02 |perspective. And I'll show you what I mean. This is where we're trading here.
250 |249 |00:26:02 ~-~-> 00:26:12 |And we started trading at 930 there. So that opening price right there is the
251 |250 |00:26:12 ~-~-> 00:26:18 |first trade. First print on that down. Close candle. Watch how the chart
252 |251 |00:26:18 ~-~-> 00:26:30 |changes. I I see the gap. That's that opening handle here. Let me take this
253 |252 |00:26:30 ~-~-> 00:26:36 |vertical line. It's not helping. I use it just to frame a local point for
254 |253 |00:26:37 ~-~-> 00:26:41 |matching all these lines up to annotate so that we can follow along. But this
255 |254 |00:26:41 ~-~-> 00:26:48 |right here, that closing price would be called the opening range gap high,
256 |255 |00:26:50 ~-~-> 00:26:55 |because that's yesterday's regular session settlement price, and then where
257 |256 |00:26:55 ~-~-> 00:27:02 |we opened down here, that would be your opening range gap low, because it's
258 |257 |00:27:02 ~-~-> 00:27:06 |lower than the previous day's sediment price. But I'm not including here
259 |258 |00:27:06 ~-~-> 00:27:09 |because I went I wanted to go through it this way and annotate it and audibly
260 |259 |00:27:09 ~-~-> 00:27:12 |talk about it. But if I add those levels, it's just going to be a much
261 |260 |00:27:12 ~-~-> 00:27:15 |more it's going to be harder for you to follow along for what I had in the
262 |261 |00:27:15 ~-~-> 00:27:20 |charts here. So you can clearly see how fast this can become a nightmare for
263 |262 |00:27:20 ~-~-> 00:27:25 |managing levels and referring to certain things, but having them on a notepad
264 |263 |00:27:25 ~-~-> 00:27:30 |next to you keeps everything nice and organized. And when price is trading
265 |264 |00:27:30 ~-~-> 00:27:34 |above, it above what any one of these particular levels Remember, you're going
266 |265 |00:27:34 ~-~-> 00:27:39 |to have some levels from the previous day and the previous day. So you're
267 |266 |00:27:39 ~-~-> 00:27:43 |managing a whole lot of levels that, when they match with time and the market
268 |267 |00:27:43 ~-~-> 00:27:46 |structure, what it's implying, and if you have a narrative, what it's likely
269 |268 |00:27:46 ~-~-> 00:27:50 |to do, as I mentioned yesterday, my interest is, I want to see it get down
270 |269 |00:27:50 ~-~-> 00:27:55 |to the opening range gap high. That was, that was what I was wanting to see, some
271 |270 |00:27:55 ~-~-> 00:27:59 |kind of a an attempt to do that and even trade higher after that. As I said. I
272 |271 |00:27:59 ~-~-> 00:28:05 |mean, we talked about on Tuesday how the market's likely to go higher we looked
273 |272 |00:28:05 ~-~-> 00:28:10 |at on the daily chart. But that doesn't mean get in any annual time intraday.
274 |273 |00:28:10 ~-~-> 00:28:16 |You got to have some kind of a frame of reference. Let's go back to electronic
275 |274 |00:28:16 ~-~-> 00:28:16 |trading hours.
276 |275 |00:28:22 ~-~-> 00:28:37 |I This is a very busy weekend. Yesterday was like everything coming together all
277 |276 |00:28:37 ~-~-> 00:28:41 |at one time. I have both my nieces living with me. One's getting ready to
278 |277 |00:28:41 ~-~-> 00:28:44 |go off to college next week, and we have a lot of things going on in the younger
279 |278 |00:28:44 ~-~-> 00:28:49 |one, my wife and I are in the process of getting custody of her, so that way she
280 |279 |00:28:49 ~-~-> 00:28:54 |can be enrolled in school. And it's just so many things about one time yesterday
281 |280 |00:28:54 ~-~-> 00:28:57 |was just, I should have said, No, I'm not going to live stream. That's what I
282 |281 |00:28:57 ~-~-> 00:29:05 |should have done. But you'll see that the things I mentioned on Tuesday's live
283 |282 |00:29:05 ~-~-> 00:29:09 |session, where it's this one sided and doesn't have much of a fluctuation in
284 |283 |00:29:09 ~-~-> 00:29:14 |price up and down, I prefer not to trade in those days. I mean, obviously, if I'm
285 |284 |00:29:14 ~-~-> 00:29:20 |in it, I'm going to try to maximize and milk it. Okay, but there isn't anything
286 |285 |00:29:20 ~-~-> 00:29:23 |I can do once we start looking at the marketplace, and 830 news driver had
287 |286 |00:29:24 ~-~-> 00:29:28 |already passed for like an hour, so and I don't expect Caleb to know how to
288 |287 |00:29:28 ~-~-> 00:29:36 |trade those reports. In fact, I've told him the avoidant, wait until after those
289 |288 |00:29:36 ~-~-> 00:29:40 |those reports hit the market. Do let's
290 |289 |00:29:52 ~-~-> 00:29:53 |look at a 60 meter.
291 |290 |00:30:01 ~-~-> 00:30:08 |This was yesterday's trading 7am all one sided. Okay, this is exactly what I'm
292 |291 |00:30:08 ~-~-> 00:30:13 |referring to on Tuesday's lecture. Very, very, very, very difficult for a new
293 |292 |00:30:13 ~-~-> 00:30:20 |trader to see how to navigate that and to avoid the inevitable, if you try to
294 |293 |00:30:20 ~-~-> 00:30:24 |always chase it or engage those days. You don't know how far it's going to
295 |294 |00:30:24 ~-~-> 00:30:27 |retrace. You don't know if it's going to retrace. You don't know how far they're
296 |295 |00:30:27 ~-~-> 00:30:30 |going to keep pressing and higher or lower if it's going the other direction.
297 |296 |00:30:30 ~-~-> 00:30:34 |So when it's like this, this is exactly what I was referring to on Tuesday. It's
298 |297 |00:30:34 ~-~-> 00:30:40 |better for me to try to just sit still, because Caleb's not going to know how to
299 |298 |00:30:40 ~-~-> 00:30:44 |do what I'm going to show tonight. You can see the executions. You can see
300 |299 |00:30:44 ~-~-> 00:30:48 |where I'm getting in. It was very close to the not the high today, but the high
301 |300 |00:30:48 ~-~-> 00:30:55 |in the lunch hour. Get me going to the pm session during the lunch hour, which
302 |301 |00:30:55 ~-~-> 00:31:00 |is classically a two hour period. So when I say lunch hour, it's not just 60
303 |302 |00:31:00 ~-~-> 00:31:04 |minutes. It's 11:30am Eastern Time. This is the stuff you write down in your
304 |303 |00:31:04 ~-~-> 00:31:10 |notes, by the way, 11:30am Eastern Standard Time to 1:30pm Eastern Standard
305 |304 |00:31:10 ~-~-> 00:31:18 |Time. So whenever there's a run higher, whether it's protracted in one big move
306 |305 |00:31:18 ~-~-> 00:31:21 |like this, with no or little retracements, or if it's staggered, it
307 |306 |00:31:21 ~-~-> 00:31:24 |goes up a little bit, comes down a bit. But this keeps going up into the lunch
308 |307 |00:31:24 ~-~-> 00:31:30 |hour of 1130 it's reasonable to anticipate a measure of retracement. So
309 |308 |00:31:30 ~-~-> 00:31:37 |identify the easiest relative equal low or single low in the run up after 10am
310 |309 |00:31:38 ~-~-> 00:31:41 |that that has to be after 10am so you're not really always looking for something
311 |310 |00:31:42 ~-~-> 00:31:49 |before 10am so 10am or later, whatever relative equal lows or singular low, the
312 |311 |00:31:49 ~-~-> 00:31:54 |lunch macro will reprice back to that, even if it wants to go higher, don't
313 |312 |00:31:54 ~-~-> 00:31:56 |take my word for it. Go back to your charts. You'll see it's there every
314 |313 |00:31:56 ~-~-> 00:32:00 |single day. And then reverse that same logic. If you didn't catch it, you can
315 |314 |00:32:00 ~-~-> 00:32:04 |record. You can rewind it. When you watch the recording those elements is
316 |315 |00:32:04 ~-~-> 00:32:09 |just simply reversed, if the market has dropped, whether it's staggered, and you
317 |316 |00:32:09 ~-~-> 00:32:12 |know where it goes, up, down, up down, up, down. But just keeps making lower
318 |317 |00:32:12 ~-~-> 00:32:19 |lows into 1130 at 1130 start hunting setups that would take us up to the
319 |318 |00:32:19 ~-~-> 00:32:26 |short term high or relative equal highs that formed after 10am and that's the
320 |319 |00:32:26 ~-~-> 00:32:30 |lunch macro. Okay, it'll, it'll retrace back that to a minimum. There's other
321 |320 |00:32:30 ~-~-> 00:32:33 |little subtleties that I'll add into the book, but that's enough, because a lot
322 |321 |00:32:33 ~-~-> 00:32:37 |of people don't understand what the lunch macro is. So I've, I've now taught
323 |322 |00:32:37 ~-~-> 00:32:42 |that to you, but there are other ones that you can use to capture larger
324 |323 |00:32:42 ~-~-> 00:32:46 |retracements or reversal days and or where you pyramid and make it a bigger
325 |324 |00:32:46 ~-~-> 00:32:54 |position. But, yeah, this is just 111, directional movement, and I would rather
326 |325 |00:32:54 ~-~-> 00:33:00 |not try to participate in that teaching my son, but just to put my thumb in the
327 |326 |00:33:00 ~-~-> 00:33:03 |eye of everybody that was in other people's live stream, or saying, I
328 |327 |00:33:03 ~-~-> 00:33:06 |should he really blew it. It was painful watching that. You have, you have no
329 |328 |00:33:06 ~-~-> 00:33:10 |idea what I was managing, cause, managing three people texting me and
330 |329 |00:33:11 ~-~-> 00:33:15 |looking at the clock, saying, Okay, I'm gonna wait for this and wait for that.
331 |330 |00:33:15 ~-~-> 00:33:20 |And plus, there's a one, it's a one way ride on the upside. So if, if I'm aiming
332 |331 |00:33:20 ~-~-> 00:33:25 |to teach my son, you know, I'm not trying to get him in on a day like this,
333 |332 |00:33:25 ~-~-> 00:33:29 |that this is, this is the stuff that is going to hurt him, but it's the thing
334 |333 |00:33:29 ~-~-> 00:33:33 |that attracts everybody, that's the flame. And if you're a moth and you want
335 |334 |00:33:33 ~-~-> 00:33:42 |to try to fly real close to that, you're asking for it. All right, so here it is
336 |335 |00:33:43 ~-~-> 00:33:50 |10 o'clock. We have really just a big block of short term highs and lows. So
337 |336 |00:33:50 ~-~-> 00:33:56 |we're running the relative equal highs. If you don't mind, I'm going to take
338 |337 |00:33:56 ~-~-> 00:34:01 |this off now. You've been showing what that is. Now I
339 |338 |00:34:37 ~-~-> 00:34:40 |if you can, if you watch yesterday's recording, it's not a long ones rather
340 |339 |00:34:40 ~-~-> 00:34:44 |short, but there are small, little fluctuations in there that were referred
341 |340 |00:34:44 ~-~-> 00:34:50 |to as key points to see, watching where price would draw to how to react off of
342 |341 |00:34:50 ~-~-> 00:34:56 |them, and when we do live streams next week, I'm going to be talking a little
343 |342 |00:34:56 ~-~-> 00:35:02 |bit more about entries, not for the sake of Caleb Press. In the demo entry, not
344 |343 |00:35:02 ~-~-> 00:35:08 |to inspire him to trade for a combine yet, it's to get him thinking about how
345 |344 |00:35:08 ~-~-> 00:35:15 |to well, if we know where the market could potentially draw to, and then now,
346 |345 |00:35:16 ~-~-> 00:35:21 |what should we be looking for, for practicing tape reading like how to have
347 |346 |00:35:21 ~-~-> 00:35:25 |a look at certain elements of price action and determine whether or not
348 |347 |00:35:25 ~-~-> 00:35:29 |there's something there that would present a catalyst for price moving
349 |348 |00:35:29 ~-~-> 00:35:33 |higher or lower. And once we go through next week, the following week will be
350 |349 |00:35:33 ~-~-> 00:35:39 |things that are predominantly focusing on barriers to where the market may
351 |350 |00:35:40 ~-~-> 00:35:44 |struggle, where the market may have difficulty passing through, and what
352 |351 |00:35:44 ~-~-> 00:35:49 |would cause a deeper retracement on an underlying directional bias or a drawn
353 |352 |00:35:49 ~-~-> 00:35:55 |liquidity? So it'll help you frame this form of of normalcy that doesn't feel
354 |353 |00:35:55 ~-~-> 00:35:58 |normal when you're in a trade, especially if it's one with real money,
355 |354 |00:35:59 ~-~-> 00:36:03 |any tiny little retracement against your underlying position, if you don't have a
356 |355 |00:36:03 ~-~-> 00:36:06 |lot of experience, if you haven't been doing it very long, or if you're trading
357 |356 |00:36:06 ~-~-> 00:36:11 |with over leveraged size, like you're doing the maximum that you can afford,
358 |357 |00:36:11 ~-~-> 00:36:15 |not that you should be able to afford that much, but if you're panicky, or if
359 |358 |00:36:15 ~-~-> 00:36:20 |you're anxious about every tick that goes against you, or if it's If it
360 |359 |00:36:20 ~-~-> 00:36:25 |stalls a little bit and stops moving in your favor, but it has moved in your
361 |360 |00:36:25 ~-~-> 00:36:31 |favor, you have open profit. That sensation of, Oh, please, let this thing
362 |361 |00:36:31 ~-~-> 00:36:35 |just get me out of it, like I want to get out of it. It's very exhausting. So
363 |362 |00:36:35 ~-~-> 00:36:39 |knowing what to look for and anticipate that and that way, when you're watching
364 |363 |00:36:39 ~-~-> 00:36:43 |price action, those are the things you want to annotate in your chart after the
365 |364 |00:36:43 ~-~-> 00:36:51 |fact or as they happen. So you want to fill in those, those gaps of Just
366 |365 |00:36:51 ~-~-> 00:36:54 |Between screenshots for your journal. You want to really record your
367 |366 |00:36:54 ~-~-> 00:36:59 |observations of what it felt like for you. I mean, if it was very hard for you
368 |367 |00:36:59 ~-~-> 00:37:04 |to trust that a move is going to pan out based on something you see in the chart.
369 |368 |00:37:04 ~-~-> 00:37:08 |The quickest way for you to desensitize yourself to that is to annotate it,
370 |369 |00:37:08 ~-~-> 00:37:11 |screenshot it and record it. Because what you'll see is is you're referring
371 |370 |00:37:11 ~-~-> 00:37:17 |back to something that many times that you started believing or had a concern
372 |371 |00:37:17 ~-~-> 00:37:22 |about that was outside of what was taught. So you're just bringing in your
373 |372 |00:37:22 ~-~-> 00:37:27 |own irrational fear. You're not, you're not really, you're not looking at it
374 |373 |00:37:27 ~-~-> 00:37:32 |things objectively, and it's your infancy or your inexperience that's
375 |374 |00:37:32 ~-~-> 00:37:40 |leading you by emotion and fear. So that'll be two weeks from now, so we'll
376 |375 |00:37:40 ~-~-> 00:37:44 |talk about those. And then that should finish our month of August, and then we
377 |376 |00:37:44 ~-~-> 00:37:50 |can go into actual entry, like what it looks like to put orders in.
378 |377 |00:38:02 ~-~-> 00:38:08 |So what we're seeing is it's retracing back into previous days trading. So the
379 |378 |00:38:08 ~-~-> 00:38:16 |difference between where we opened here and where we settled here, that is your
380 |379 |00:38:16 ~-~-> 00:38:23 |opening range gap. Okay, so it would look like this for those of you watching
381 |380 |00:38:23 ~-~-> 00:38:28 |me do this before in live streams and recordings, that's your opening range
382 |381 |00:38:29 ~-~-> 00:38:36 |gap. Okay, so we're trading up into that off of previous days. Opening range high
383 |382 |00:38:37 ~-~-> 00:38:48 |now opening range for today is this low, up to that candles high, right there.
384 |383 |00:38:48 ~-~-> 00:38:56 |That's opening range. So that would look like this if I contrast. I'm
385 |384 |00:39:11 ~-~-> 00:39:18 |okay, that's the time and that's the high. Okay, so it's the low, up to the
386 |385 |00:39:18 ~-~-> 00:39:27 |highest, high, inside of the time measurement of 930 opening to 10. See
387 |386 |00:39:27 ~-~-> 00:39:30 |the bottom of the chart, 10am and the highest high and the lowest lows. What
388 |387 |00:39:30 ~-~-> 00:39:36 |you're marking there, low and high. So this is your opening range, and your
389 |388 |00:39:36 ~-~-> 00:39:43 |opening range gap is that opening price here at 932 previous days, regular
390 |389 |00:39:43 ~-~-> 00:39:50 |session settlement price. That's the close you get that by the rth. That's
391 |390 |00:39:50 ~-~-> 00:39:55 |the regular trading hours. That's what you're using that information for. But
392 |391 |00:39:55 ~-~-> 00:39:59 |because I already know these ranges, they're they're next to me, like I'm
393 |392 |00:39:59 ~-~-> 00:40:01 |looking at I didn't. Want to draw everything out because it's too many
394 |393 |00:40:01 ~-~-> 00:40:06 |things on the chart. And I know some of you are just you're highly critical,
395 |394 |00:40:06 ~-~-> 00:40:09 |you're impatient, and you're gonna look at it and it's going to be confusing to
396 |395 |00:40:09 ~-~-> 00:40:12 |you, and you're like, Okay, I don't know what I'm doing here, and this stuff
397 |396 |00:40:12 ~-~-> 00:40:15 |doesn't work. I'm gonna go watch somebody else. And if I say, you feel I
398 |397 |00:40:15 ~-~-> 00:40:17 |really want you to do that, like, I don't want, I don't want anybody here
399 |398 |00:40:17 ~-~-> 00:40:22 |that has that mentality. Because, frankly, you don't deserve to learn it.
400 |399 |00:40:24 ~-~-> 00:40:25 |Oh, listen to him.
401 |400 |00:40:30 ~-~-> 00:40:36 |You'll see how maybe you won't. So we have relative equal highs at the opening
402 |401 |00:40:39 ~-~-> 00:40:45 |we swept that into just about the opening range gap high. So these two
403 |402 |00:40:45 ~-~-> 00:40:49 |highs here relative equal highs lower to the right than the one to the left,
404 |403 |00:40:50 ~-~-> 00:40:54 |trading up into that gap here, and
405 |404 |00:40:59 ~-~-> 00:41:04 |we're going to drop back into electronic trading hours. Notice that you don't see
406 |405 |00:41:04 ~-~-> 00:41:09 |any of that information here. Like, how do you frame that? You have to use the
407 |406 |00:41:09 ~-~-> 00:41:14 |regular trading hours to see it. It's just a way of determining this is what
408 |407 |00:41:14 ~-~-> 00:41:18 |you have to have. Now if, let's say, for instance, you didn't have this function
409 |408 |00:41:18 ~-~-> 00:41:21 |down here, electronic trading hours and regular trading hours, because for some
410 |409 |00:41:21 ~-~-> 00:41:25 |platforms, it's not available. It wasn't available. It wasn't anything that
411 |410 |00:41:25 ~-~-> 00:41:32 |people would be able to topple to, okay, but understanding that element of time,
412 |411 |00:41:33 ~-~-> 00:41:39 |because it's time then price, you'd have those levels on your chart anyway. So
413 |412 |00:41:40 ~-~-> 00:41:43 |this, here, this line here that I just annotated with the regular trading hours
414 |413 |00:41:43 ~-~-> 00:41:50 |for previous regular session trading settlement price goes all the way back
415 |414 |00:41:50 ~-~-> 00:41:55 |over to The previous day and where we settled
416 |415 |00:41:57 ~-~-> 00:42:00 |for 15 I'm uh.
417 |416 |00:42:06 ~-~-> 00:42:11 |So it's a matter of managing what you're looking for. What what makes a key,
418 |417 |00:42:11 ~-~-> 00:42:18 |level key? What time is important? What are you trying to derive from that time
419 |418 |00:42:18 ~-~-> 00:42:23 |that makes that level key? So all those things are the beginning building blocks
420 |419 |00:42:23 ~-~-> 00:42:29 |Caleb, for you to determine your obvious draw on liquidity. That means the thing
421 |420 |00:42:29 ~-~-> 00:42:33 |that's so overwhelmingly obvious when it's like that, that's when you're
422 |421 |00:42:33 ~-~-> 00:42:37 |anticipating a price run, that's when you would eventually push a demo button.
423 |422 |00:42:37 ~-~-> 00:42:42 |That's when you would eventually press a button that would contribute to a trade
424 |423 |00:42:42 ~-~-> 00:42:48 |for your funded account, combine. And then eventually, when you get funded,
425 |424 |00:42:48 ~-~-> 00:42:52 |what you're focusing on to take a trade with that funded account, and then
426 |425 |00:42:52 ~-~-> 00:42:56 |eventually get to the point where you can take out a withdrawal. And there it
427 |426 |00:42:56 ~-~-> 00:43:02 |is. You take out money, you fund your Live account with a real brokerage firm,
428 |427 |00:43:04 ~-~-> 00:43:11 |leave the funded account entirely, and then you've done it on your own. That's
429 |428 |00:43:11 ~-~-> 00:43:20 |what that expects. That's what I want. That's what I'm aiming for. And we have
430 |429 |00:43:20 ~-~-> 00:43:25 |end dog, New Day opening gap. So we just saw, let me put it back on here. That's
431 |430 |00:43:25 ~-~-> 00:43:29 |the that's the previous settlement price. But it can, we it can wick
432 |431 |00:43:29 ~-~-> 00:43:33 |through that. So if it's going to wick through that, it could go right up into
433 |432 |00:43:33 ~-~-> 00:43:36 |New Day opening gap, because it's just above that you see that, which is the
434 |433 |00:43:36 ~-~-> 00:43:40 |reason why you have to have these levels either in a notepad, referring back to
435 |434 |00:43:40 ~-~-> 00:43:43 |them periodically throughout the morning or the afternoon session, while you're
436 |435 |00:43:43 ~-~-> 00:43:48 |watching price anticipating certain elements, measuring whether or not it
437 |436 |00:43:48 ~-~-> 00:43:51 |has the ability to maintain once it books to these levels, or does it want
438 |437 |00:43:51 ~-~-> 00:43:55 |to just keep powering through and if it just rips through them all, then you got
439 |438 |00:43:55 ~-~-> 00:44:01 |to go out to a higher Time Frame, 1560, minute, four hour daily. What is it
440 |439 |00:44:01 ~-~-> 00:44:04 |reaching or what is it reaching for? So there's an old daily high we talked
441 |440 |00:44:04 ~-~-> 00:44:07 |about on Tuesday. If you watch that, you know what I'm referring to. I'm not
442 |441 |00:44:07 ~-~-> 00:44:16 |going to deal here, but it's not necessary for that to be there, because
443 |442 |00:44:16 ~-~-> 00:44:21 |if it's like this, and it has an end dog right there that I'm just going to
444 |443 |00:44:21 ~-~-> 00:44:26 |observe and study. The end of it doesn't need to touch it, but if it, if it goes
445 |444 |00:44:26 ~-~-> 00:44:32 |above previous settlement price, it's going to reach to that, which is, we're
446 |445 |00:44:32 ~-~-> 00:44:35 |basically, you know, staying stating the same thing. It's just going to go up to
447 |446 |00:44:35 ~-~-> 00:44:40 |sort of another level. Here. I'm I'm
448 |447 |00:44:45 ~-~-> 00:44:52 |going to be with you all until 1130 today, so no hurry for anything. I'm.
449 |448 |00:45:19 ~-~-> 00:45:24 |Very sloppy morning so far. Now, when you say that, ICT, what do you mean when
450 |449 |00:45:24 ~-~-> 00:45:29 |you say it's sloppy or unorganized? Usually what I'm saying it's either
451 |450 |00:45:29 ~-~-> 00:45:34 |disorganized. It's unorganized or it's sloppy, meaning that it's really not
452 |451 |00:45:34 ~-~-> 00:45:37 |showing a great deal of conviction, one way or the other. Even though there's
453 |452 |00:45:37 ~-~-> 00:45:40 |movement, I'm not going to I'm not going to argue and say there isn't price
454 |453 |00:45:40 ~-~-> 00:45:46 |movement here. There isn't anything clean that's so overwhelmingly obvious,
455 |454 |00:45:47 ~-~-> 00:45:53 |which is the whole point of me doing these lectures for Caleb. You're
456 |455 |00:45:53 ~-~-> 00:45:57 |benefiting from seeing the stark contrast between when you'll hear me
457 |456 |00:45:57 ~-~-> 00:46:02 |say, this is really clean price action, and then when I do that, or in this
458 |457 |00:46:02 ~-~-> 00:46:06 |case, when I say this is very unorganized, or it's disorganized, or
459 |458 |00:46:06 ~-~-> 00:46:11 |it's sloppy, you want to take a screenshot of this, and the things I'm
460 |459 |00:46:11 ~-~-> 00:46:15 |about to refer to that kind of differentiates it between that being
461 |460 |00:46:15 ~-~-> 00:46:19 |something that is not a very easy navigation, where you can get in clearly
462 |461 |00:46:19 ~-~-> 00:46:23 |see what it wants to react off of and immediately run away from that, go to a
463 |462 |00:46:23 ~-~-> 00:46:29 |specific level. That's so obvious in the chart. You have so many things here that
464 |463 |00:46:29 ~-~-> 00:46:38 |are conflicting. So if, if I have a, if I have a barrel or a bucket of apples,
465 |464 |00:46:38 ~-~-> 00:46:45 |okay, and I reach into that bucket of apples, and then my sons each grab an
466 |465 |00:46:45 ~-~-> 00:46:51 |apple, and we all throw the app up on the air, and I tell my wife, grab an
467 |466 |00:46:51 ~-~-> 00:46:59 |apple. Which apple? Or impulsively, just going to grab any one of them. Okay, but
468 |467 |00:46:59 ~-~-> 00:47:03 |what happens if one of those apples are a Granny Smith, they're green, and then
469 |468 |00:47:03 ~-~-> 00:47:10 |all the other ones are just a regular red one. So if I say, when we throw
470 |469 |00:47:10 ~-~-> 00:47:15 |these apples up, you can't open your eyes up until I say, open your eyes
471 |470 |00:47:15 ~-~-> 00:47:18 |after we've done release them in the air, but your job is to only reach and
472 |471 |00:47:18 ~-~-> 00:47:25 |grab the green apple. We all throw the apples on the air, and then I say, open
473 |472 |00:47:25 ~-~-> 00:47:28 |your eyes. And then my wife opens her eyes up. And the first thing she's going
474 |473 |00:47:28 ~-~-> 00:47:31 |to go to is look at all these green I mean, look at all these red apples. And
475 |474 |00:47:31 ~-~-> 00:47:35 |then let's find the green or she's going to see the green one, but her eyes are
476 |475 |00:47:35 ~-~-> 00:47:41 |going to jump to the other red ones. So what do you what do you have there? It's
477 |476 |00:47:41 ~-~-> 00:47:46 |chaff. You have. You have things that are drawing your attention, that aren't
478 |477 |00:47:46 ~-~-> 00:47:51 |obvious, versus Okay, close your eyes. I'm going to take the single singular
479 |478 |00:47:51 ~-~-> 00:47:55 |green apple, I'm going to pick it up, and when I throw up in the air in front
480 |479 |00:47:55 ~-~-> 00:47:58 |of you, I want you to open your eyes and catch it. You see how easy that is.
481 |480 |00:47:58 ~-~-> 00:48:03 |That's the benefit of looking at price action that's clean. It's very, very
482 |481 |00:48:03 ~-~-> 00:48:06 |clean. There's only a few elements that are in the present price action, not
483 |482 |00:48:06 ~-~-> 00:48:10 |that there is that characteristic right now, that's not what I'm saying. I'm
484 |483 |00:48:10 ~-~-> 00:48:16 |saying By contrast, when you have a lot of this in here, okay, back and forth
485 |484 |00:48:16 ~-~-> 00:48:20 |like that, there are levels that I've shown you here that it's respecting,
486 |485 |00:48:20 ~-~-> 00:48:26 |it's drawing to the levels that we have here. But is it obvious which one it
487 |486 |00:48:26 ~-~-> 00:48:31 |wants to respect next and where it's going to go to next? That's what's
488 |487 |00:48:32 ~-~-> 00:48:37 |missing right now. That may clear up once we get through the first 30 minutes
489 |488 |00:48:37 ~-~-> 00:48:41 |of 10 o'clock hour. So post 1030 we might get something entirely different
490 |489 |00:48:41 ~-~-> 00:48:46 |in terms of the delivery of price. But right now, nothing in here is terribly
491 |490 |00:48:46 ~-~-> 00:48:50 |exciting, whether you made money or not, if you've lost. That's the reason why,
492 |491 |00:48:51 ~-~-> 00:48:58 |if you made money, I wouldn't build too much around that. We did, in fact, trade
493 |492 |00:48:58 ~-~-> 00:49:03 |down to 20% of the weekly range when we traded here, which overlapped with the
494 |493 |00:49:03 ~-~-> 00:49:09 |upper quadrant of yesterday's opening range. So when there's a confluence of
495 |494 |00:49:09 ~-~-> 00:49:15 |those types of levels, what happens if you have the previous two days? Okay,
496 |495 |00:49:16 ~-~-> 00:49:22 |opening range or opening range gap level. In addition to one or two of
497 |496 |00:49:22 ~-~-> 00:49:28 |these elements here, and there's a PD array, and it's happening to form in a
498 |497 |00:49:28 ~-~-> 00:49:33 |macro time, first 10 minutes before the top of the hour to 10 minutes after the
499 |498 |00:49:33 ~-~-> 00:49:37 |top of the hour, then you probably have a really, really good reaction coming.
500 |499 |00:49:38 ~-~-> 00:49:41 |So then all you have to know at that time is, where is the smooth area in
501 |500 |00:49:41 ~-~-> 00:49:46 |price? Where is it likely to draw to on the very short term? And that's the
502 |501 |00:49:46 ~-~-> 00:49:51 |beginning block, building blocks of reading and tape reading, reading price,
503 |502 |00:49:51 ~-~-> 00:49:56 |not for setups, but to build this rapport between watching candlesticks
504 |503 |00:49:56 ~-~-> 00:50:02 |form, removing the concern about. The chaos that you're watching and thinking,
505 |504 |00:50:02 ~-~-> 00:50:05 |how am I going to be able to read this? How am I going to be able to determine
506 |505 |00:50:05 ~-~-> 00:50:10 |this? You're just looking for the obvious. And if it's a lot of filtering
507 |506 |00:50:10 ~-~-> 00:50:15 |in your part to do that, you're going to see not in the beginning, because
508 |507 |00:50:15 ~-~-> 00:50:18 |there's going to be days where, like for instance, like yesterday, okay, I had
509 |508 |00:50:18 ~-~-> 00:50:23 |people watching me. I'm quite certain that they were like, man, you Why isn't
510 |509 |00:50:23 ~-~-> 00:50:27 |he part of this? Why? Why he? Why he doing this and why he doing that? You're
511 |510 |00:50:27 ~-~-> 00:50:30 |forgetting that I'm trying to teach my son how to go in and look for easy,
512 |511 |00:50:30 ~-~-> 00:50:34 |obvious setups that his skill level. That's what he's supposed to be focusing
513 |512 |00:50:34 ~-~-> 00:50:38 |on now, not me getting in here and just trying to impress people. That's not
514 |513 |00:50:38 ~-~-> 00:50:41 |what this is. You'll be impressed in a little while, a couple months, but right
515 |514 |00:50:41 ~-~-> 00:50:46 |now, we're just focusing on what my son needs to focus on, and you're just being
516 |515 |00:50:46 ~-~-> 00:50:55 |invited to watch, and some of you don't deserve to be here. So here we have what
517 |516 |00:50:55 ~-~-> 00:50:58 |I was referring to. It's a lot of back and forth, back and forth, back and
518 |517 |00:50:58 ~-~-> 00:51:05 |forth. But what is it working off of the previous opening range high, see that
519 |518 |00:51:07 ~-~-> 00:51:17 |down into 20% of the weekly range. Rallied come back down in rallied 930
520 |519 |00:51:18 ~-~-> 00:51:24 |trades back down in, touching one more time, opening range high once more here,
521 |520 |00:51:24 ~-~-> 00:51:29 |relative equal highs. Everything's jagged here trades back up into today's
522 |521 |00:51:29 ~-~-> 00:51:33 |opening range gap that I highlighted and showed you, but is not annotated on the
523 |522 |00:51:33 ~-~-> 00:51:37 |chart here in the draw up into the new day opening gap, which it can sweep
524 |523 |00:51:37 ~-~-> 00:51:43 |through. We do have relative equal highs. Notice that right here you that?
525 |524 |00:51:43 ~-~-> 00:51:49 |So there's a little bit of liquidity there. And with all of this action here,
526 |525 |00:51:49 ~-~-> 00:51:53 |the only thing that really stands out is that volume and bound to us. We just
527 |526 |00:51:53 ~-~-> 00:51:58 |traded to on that candle. And my eyes don't trust it. I don't think that one
528 |527 |00:51:58 ~-~-> 00:52:02 |touched it again, but right in here, so we could see it potentially expand up
529 |528 |00:52:02 ~-~-> 00:52:07 |and engage the liquidity right there. So you can have your chart look like this.
530 |529 |00:52:10 ~-~-> 00:52:15 |And these are all the simple things that you're doing while learning how to read
531 |530 |00:52:15 ~-~-> 00:52:18 |where price is going to go. Because if you don't have this part of it down,
532 |531 |00:52:19 ~-~-> 00:52:23 |nothing anybody tells you in terms of buying and selling, indicators, buy and
533 |532 |00:52:23 ~-~-> 00:52:28 |sell, none of that stuff is going to help you have to know with practice, it
534 |533 |00:52:28 ~-~-> 00:52:32 |could potentially trade to this level for what reason real orders that are
535 |534 |00:52:32 ~-~-> 00:52:41 |resting in the marketplace. What I would have liked to see, I would have liked to
536 |535 |00:52:41 ~-~-> 00:52:47 |seen it keep the gap open, like we had yesterday, run lower for a little while,
537 |536 |00:52:47 ~-~-> 00:52:50 |down into the consequent encroachment. And had it gone down here, this is the
538 |537 |00:52:50 ~-~-> 00:52:55 |actual level I was going to point your attention to there, because it would
539 |538 |00:52:55 ~-~-> 00:53:00 |have been like, here's consolidation, drop, and then drop once more. So that'd
540 |539 |00:53:00 ~-~-> 00:53:05 |be second stage distribution, and then down here would be smart money reversal,
541 |540 |00:53:05 ~-~-> 00:53:09 |then something low risk, buy accumulation, re accumulation, and then
542 |541 |00:53:09 ~-~-> 00:53:14 |send us up into that. So that'd be a market maker buy model. But we had this,
543 |542 |00:53:14 ~-~-> 00:53:15 |oh, This business in here. I
544 |543 |00:54:28 ~-~-> 00:54:31 |back into new David and got for today.
545 |544 |00:54:38 ~-~-> 00:54:42 |I saw a few people leave comments yesterday about the volume, and my
546 |545 |00:54:42 ~-~-> 00:54:47 |advice is listen to it through headphones, because I can hear it fine,
547 |546 |00:54:47 ~-~-> 00:54:52 |and I don't need to the volume all the way up. So if you're working in a Jiffy
548 |547 |00:54:52 ~-~-> 00:54:58 |Lube and you hear the impact wrench constantly behind you, or hear you just
549 |548 |00:54:58 ~-~-> 00:55:04 |surrounding noise at your work. Please. I can't, I can't fix that for you. Get
550 |549 |00:55:04 ~-~-> 00:55:11 |yourself some headphones. All right. So we have institutional water flow entry
551 |550 |00:55:12 ~-~-> 00:55:18 |drill there. The wick over top of New Day opening gap. So study that Caleb and
552 |551 |00:55:18 ~-~-> 00:55:23 |see if it wants a send price from what we just seen here, leaving this portion
553 |552 |00:55:23 ~-~-> 00:55:26 |open and see if it can push up in there and engage that liquidity there.
554 |553 |00:55:42 ~-~-> 00:55:48 |You uh, when you're watching this, observations, things that you're looking
555 |554 |00:55:48 ~-~-> 00:55:52 |at every time you do a measurement on delivery. What does that mean? Like
556 |555 |00:55:52 ~-~-> 00:55:55 |about this outline there? If we're looking at something that might be a
557 |556 |00:55:55 ~-~-> 00:56:00 |catalyst for price to react off of and where it may reach to, you're not trying
558 |557 |00:56:00 ~-~-> 00:56:06 |to be right? You're not trying to you nail it down to the very perfect turning
559 |558 |00:56:06 ~-~-> 00:56:10 |point. You're just trying to recognize, just like when someone takes you hunting
560 |559 |00:56:11 ~-~-> 00:56:14 |you've never been hunting before. Or how do you track? Well, they take you out to
561 |560 |00:56:14 ~-~-> 00:56:19 |the snow or in the mud, and they'll say, look down here. You see that, you'll see
562 |561 |00:56:19 ~-~-> 00:56:23 |a footprint. You don't know what you're looking at sometimes, but the person
563 |562 |00:56:23 ~-~-> 00:56:26 |that understands it will say, Yeah, this is a raccoon footprint. This is a bear
564 |563 |00:56:26 ~-~-> 00:56:32 |footprint. This is a deer hoof. It's teaching you initially, this is what it
565 |564 |00:56:32 ~-~-> 00:56:36 |looks like. So that way, every time we pass one, I'll point that out to you,
566 |565 |00:56:38 ~-~-> 00:56:41 |because you start seeing it being pointed out to you. You recognize it.
567 |566 |00:56:41 ~-~-> 00:56:45 |Certain characteristics repeat. Not all of them are going to look identical, but
568 |567 |00:56:46 ~-~-> 00:56:49 |every single time you do it, you're getting another measurement of increased
569 |568 |00:56:49 ~-~-> 00:56:54 |understanding because you're being exposed to it. So when you have a
570 |569 |00:56:54 ~-~-> 00:56:58 |observation, and it doesn't have to be the ones I've point out, whenever you're
571 |570 |00:56:58 ~-~-> 00:57:01 |looking for price to behave a certain way, or you think it might behave a
572 |571 |00:57:01 ~-~-> 00:57:07 |certain way. You want to write down the time, the time you observed it, and the
573 |572 |00:57:07 ~-~-> 00:57:12 |time it took to either trade where you thought it was or completely close over.
574 |573 |00:57:12 ~-~-> 00:57:16 |Now the observation I'm putting out here buy some balance, cell, sign, efficiency
575 |574 |00:57:17 ~-~-> 00:57:21 |in that one single little candle we're studying to see if this gap stays open,
576 |575 |00:57:21 ~-~-> 00:57:25 |any small little portion of it is all it's referred to. It's better for it not
577 |576 |00:57:25 ~-~-> 00:57:30 |to completely close down to that it can, but it's better if it doesn't, for what
578 |577 |00:57:30 ~-~-> 00:57:34 |purpose to leave some of that open and then explore whether or not there they
579 |578 |00:57:34 ~-~-> 00:57:38 |want to take this liquidity. They don't have to. It doesn't have to be traded to
580 |579 |00:57:38 ~-~-> 00:57:44 |right now. But every time you do this, you're getting a measurement on price
581 |580 |00:57:44 ~-~-> 00:57:47 |delivery. So you want to see how much time it takes from your point of
582 |581 |00:57:48 ~-~-> 00:57:53 |identifying it, how fast it runs in your favor or how fast it runs against you,
583 |582 |00:57:54 ~-~-> 00:57:59 |and then how much time it took to deliver where you thought was going to
584 |583 |00:57:59 ~-~-> 00:58:04 |go, and what that does. It gives you a baseline of how many observations are
585 |584 |00:58:04 ~-~-> 00:58:08 |you seeing each session. And in the beginning, you're not going to see very
586 |585 |00:58:08 ~-~-> 00:58:13 |many of them. Caleb, you don't know what you're looking for, but because of
587 |586 |00:58:13 ~-~-> 00:58:17 |natural progression of just simply doing it over and over and over again each
588 |587 |00:58:17 ~-~-> 00:58:21 |day, not trying to press the button, not trying to be right, you're not trying to
589 |588 |00:58:21 ~-~-> 00:58:26 |be profitable in your your observations. You're trying to build a recognition,
590 |589 |00:58:26 ~-~-> 00:58:31 |and repetition builds that recognition. You can't recognize the setups until you
591 |590 |00:58:31 ~-~-> 00:58:37 |look for them, and don't be afraid of doing it wrong. Looking at observations
592 |591 |00:58:37 ~-~-> 00:58:42 |and price and measuring all of these data points will give you a baseline,
593 |592 |00:58:42 ~-~-> 00:58:46 |and you will see progress based on that, because in your journal every day, when
594 |593 |00:58:46 ~-~-> 00:58:50 |you're done, you want to have a little tally of how many opportunities that you
595 |594 |00:58:50 ~-~-> 00:58:55 |watched real time. How many times did you do a measurement on price, delivery
596 |595 |00:58:55 ~-~-> 00:58:59 |and again, in beginning, you're not going to have very many of them, and
597 |596 |00:58:59 ~-~-> 00:59:03 |that's not a bad thing. That's not an it's not a knock against you, it's not
598 |597 |00:59:03 ~-~-> 00:59:09 |some kind of a concern, but it's a baseline beginning point. And in weeks
599 |598 |00:59:09 ~-~-> 00:59:14 |from now, you'll start seeing maybe three or four each session. And then
600 |599 |00:59:14 ~-~-> 00:59:18 |you, by the end of the year, you'll probably see all kinds of them. And then
601 |600 |00:59:18 ~-~-> 00:59:23 |what that does is, when you have a collection of a dozen or so that you can
602 |601 |00:59:23 ~-~-> 00:59:28 |see real time forming. You're going to see because of experience, the things
603 |602 |00:59:28 ~-~-> 00:59:32 |that you don't have yet right now, that you haven't really focused on or hasn't
604 |603 |00:59:32 ~-~-> 00:59:37 |been made apparent to you that are more critical to your understanding than the
605 |604 |00:59:37 ~-~-> 00:59:40 |things that you're holding on to right now, you're thinking certain things are
606 |605 |00:59:40 ~-~-> 00:59:44 |much more important, and you're constantly looking to satisfy those
607 |606 |00:59:44 ~-~-> 00:59:49 |concerns, versus just simply letting go of the necessity of being right or
608 |607 |00:59:49 ~-~-> 00:59:54 |wrong. Forget that that's that's not what this, this stage of your
609 |608 |00:59:54 ~-~-> 00:59:58 |development is about. It's for you to simply look at price, observe elements
610 |609 |00:59:58 ~-~-> 01:00:05 |and characteristics. Six that tend to do certain things. And if it's likely to do
611 |610 |01:00:05 ~-~-> 01:00:11 |these types of things, how often can you observe them without being prodded and
612 |611 |01:00:11 ~-~-> 01:00:16 |pointed to saying, Here's watch this. Watch this thing right here. And if you
613 |612 |01:00:16 ~-~-> 01:00:22 |keep record of how many you're doing each time, the experience factor will
614 |613 |01:00:22 ~-~-> 01:00:27 |kick in, and you will have a me. It won't feel like you've gained much
615 |614 |01:00:27 ~-~-> 01:00:30 |understanding at all, because you won't be pushing buttons and trading with
616 |615 |01:00:30 ~-~-> 01:00:37 |money yet, not even in a demo, but you'll be observing that your ability,
617 |616 |01:00:37 ~-~-> 01:00:40 |the skill set of finding the opportunity, of seeing when price should
618 |617 |01:00:40 ~-~-> 01:00:45 |start at one place and travel to the next. That's navigating price action.
619 |618 |01:00:45 ~-~-> 01:00:51 |That's you understanding how price has the likelihood, not guarantee, the
620 |619 |01:00:51 ~-~-> 01:00:58 |likelihood, of performing a certain delivery and price higher or lower, and
621 |620 |01:00:58 ~-~-> 01:01:02 |because you have no baseline to start with, to determine how far along you
622 |621 |01:01:02 ~-~-> 01:01:08 |should measure your your progress, you have to start somewhere, right and by
623 |622 |01:01:08 ~-~-> 01:01:12 |having a documentation of how many observations that you're recognizing
624 |623 |01:01:12 ~-~-> 01:01:17 |while watching price action, just simply tape reading. And then weeks from now,
625 |624 |01:01:17 ~-~-> 01:01:21 |when it won't technically feel like you've gained much of an understanding,
626 |625 |01:01:21 ~-~-> 01:01:26 |which is what most of my students feel like, because they're impatient. And the
627 |626 |01:01:26 ~-~-> 01:01:31 |way you stem and stave off that impatience factor is that you're
628 |627 |01:01:31 ~-~-> 01:01:34 |measuring your opportunities that you can observe in real time, price action
629 |628 |01:01:34 ~-~-> 01:01:40 |without any kind of help or prodding and removing the element of I have to be
630 |629 |01:01:40 ~-~-> 01:01:44 |right to impress that, or I have to be right every single day. Or it's failure.
631 |630 |01:01:45 ~-~-> 01:01:49 |It's that's not how that's not how you're doing it. Okay, you're looking at
632 |631 |01:01:49 ~-~-> 01:01:56 |how you will be able to measure with data how many opportunities are
633 |632 |01:01:56 ~-~-> 01:02:01 |available and that you have available by your own skill set. That will increase
634 |633 |01:02:01 ~-~-> 01:02:05 |as you go further along, each time making a little bit more deposit in your
635 |634 |01:02:05 ~-~-> 01:02:10 |understanding. And then when you see the data, even if it doesn't feel like
636 |635 |01:02:10 ~-~-> 01:02:14 |you've gained much in terms of experience or understanding, when you
637 |636 |01:02:14 ~-~-> 01:02:17 |start looking at your first week of doing it and say, Well, I couldn't see
638 |637 |01:02:17 ~-~-> 01:02:21 |much at all that. Had to point it all out. And then couple weeks after that,
639 |638 |01:02:21 ~-~-> 01:02:24 |you're like, oh, I can see one or two each session, but I had five wrong, but
640 |639 |01:02:24 ~-~-> 01:02:28 |I saw two of them right. Don't look at the five you had wrong and say, I'm
641 |640 |01:02:28 ~-~-> 01:02:34 |failing look at the two you did right. What is there that you saw? Because that
642 |641 |01:02:34 ~-~-> 01:02:39 |is your very first multiplier. That's your PD array. That's the thing that
643 |642 |01:02:39 ~-~-> 01:02:44 |your eyes seeing. The other ones may be used to simply forcing because either
644 |643 |01:02:44 ~-~-> 01:02:49 |impatience or just didn't see it, and that's that's okay, there's going to be
645 |644 |01:02:49 ~-~-> 01:02:54 |moves that's going to move without you. It's not a big deal, but you correctly
646 |645 |01:02:54 ~-~-> 01:02:58 |manage your expectations and the assumptions of what your progress should
647 |646 |01:02:58 ~-~-> 01:03:04 |be or shouldn't be at that time. And you can't argue with the data that says this
648 |647 |01:03:04 ~-~-> 01:03:08 |is where you started, and you had next to zero opportunities that you identify
649 |648 |01:03:08 ~-~-> 01:03:14 |without help. Then one or two, but a lot of them you didn't see pan out. And then
650 |649 |01:03:14 ~-~-> 01:03:18 |what'll happen is that that margin and difference between the ones that you
651 |650 |01:03:18 ~-~-> 01:03:21 |thought were going to pan out and the ones that did pan out, they'll start
652 |651 |01:03:21 ~-~-> 01:03:26 |equalizing. They'll be half and half. That's progress. It doesn't feel like
653 |652 |01:03:26 ~-~-> 01:03:30 |progress. Anyone looking outside that wants to be critical, they'll say, you
654 |653 |01:03:30 ~-~-> 01:03:33 |suck. You can't do everything, or you're looking at losers still like they don't
655 |654 |01:03:33 ~-~-> 01:03:38 |take losers, okay, I take losing trades. You've seen that. I can do it wrong. And
656 |655 |01:03:38 ~-~-> 01:03:42 |you have to give yourself the ability to be flexible in the beginning, especially
657 |656 |01:03:42 ~-~-> 01:03:48 |in the beginning, not to have all of this. I have to be right. I have to do
658 |657 |01:03:48 ~-~-> 01:03:52 |it correctly each time, because if you have that that that's going to stunt
659 |658 |01:03:52 ~-~-> 01:03:57 |your growth, and it's going to cause you to have a whole lot more doubt every
660 |659 |01:03:57 ~-~-> 01:04:02 |time you do it. And you don't seek a gold medal, every time you do it, you're
661 |660 |01:04:02 ~-~-> 01:04:07 |not looking for that. You're looking for measured progress, and the only way you
662 |661 |01:04:07 ~-~-> 01:04:11 |get that is by keeping data on how many opportunities you study. And guess what?
663 |662 |01:04:11 ~-~-> 01:04:14 |If you're not going to study the chart and watch it real time, you're going to
664 |663 |01:04:14 ~-~-> 01:04:19 |have zero and then maybe you have no progress, right? So that's what happens
665 |664 |01:04:19 ~-~-> 01:04:23 |when I have students that come to me and they'll say, I've been watching your
666 |665 |01:04:23 ~-~-> 01:04:27 |stuff, I've been studying your stuff. I look at your stuff, and I can't make it
667 |666 |01:04:27 ~-~-> 01:04:30 |work. Okay. Well, how are you back testing? Show me your back testing. Show
668 |667 |01:04:30 ~-~-> 01:04:34 |me your logs. Show me your journal. Well, it's crickets because they know
669 |668 |01:04:34 ~-~-> 01:04:37 |they have nothing to bring forward to say, here's the proof. I went through
670 |669 |01:04:37 ~-~-> 01:04:41 |it, not five pages of scribble that it was just done, just to say, here's our
671 |670 |01:04:41 ~-~-> 01:04:45 |argument. That's not That's not valid. That's not a valid argument. We have to,
672 |671 |01:04:45 ~-~-> 01:04:49 |you have to be months of this, and you're studying how many observations
673 |672 |01:04:49 ~-~-> 01:04:55 |you looked for this certain thing to fan out in Christ and does it pan out? How
674 |673 |01:04:55 ~-~-> 01:04:59 |long did it take? What time did it start? What time did it end? And then,
675 |674 |01:04:59 ~-~-> 01:05:02 |by doing that. So you'll be able to look at the data and say, This is how many
676 |675 |01:05:02 ~-~-> 01:05:08 |times I started learning this and I couldn't find it. Then progress over a
677 |676 |01:05:08 ~-~-> 01:05:12 |couple weeks, then I was able to find some, but I'll still pick on them wrong.
678 |677 |01:05:12 ~-~-> 01:05:18 |And then a month later, you'll have the beginning stages of equalization, where
679 |678 |01:05:18 ~-~-> 01:05:22 |you have half and half, where you'll still see some network and others that
680 |679 |01:05:22 ~-~-> 01:05:26 |don't that's a really good mile marker for your progress. And then what happens
681 |680 |01:05:26 ~-~-> 01:05:32 |is, after that, the times that you do it incorrectly, they don't pan out for you,
682 |681 |01:05:33 ~-~-> 01:05:38 |they will diminish, and you'll have better correct
683 |682 |01:05:39 ~-~-> 01:05:43 |price delivery measurements of every time you see price behave a certain way
684 |683 |01:05:43 ~-~-> 01:05:49 |it should do this and not do that. Run here, but don't go here and see how long
685 |684 |01:05:49 ~-~-> 01:05:56 |it takes for those things to pan out. By looking at the progress that you have
686 |685 |01:05:57 ~-~-> 01:06:04 |doing it that way, you have something that statistically, measured against a
687 |686 |01:06:04 ~-~-> 01:06:08 |baseline starting point. Whereas, if you don't start doing it, and you're not
688 |687 |01:06:08 ~-~-> 01:06:13 |consistently trying to do it each day, you won't have progress, you won't have
689 |688 |01:06:13 ~-~-> 01:06:17 |experience building in you, and you won't be able to reassure yourself and
690 |689 |01:06:17 ~-~-> 01:06:21 |encourage yourself, because the data will support that you are indeed getting
691 |690 |01:06:21 ~-~-> 01:06:25 |better at it, even though emotionally and psychologically and the fact that
692 |691 |01:06:25 ~-~-> 01:06:28 |you haven't made money trading yet, because that's what everybody wants.
693 |692 |01:06:28 ~-~-> 01:06:32 |That's what the that's the real report card. Am I able to make money with it?
694 |693 |01:06:32 ~-~-> 01:06:36 |Well, it's unrealistic for you to expect that you're going to make real money
695 |694 |01:06:36 ~-~-> 01:06:40 |with it in the first six months. I've been very obvious and forthright with
696 |695 |01:06:40 ~-~-> 01:06:46 |that, I've never made any kind of argument against anything less than if
697 |696 |01:06:46 ~-~-> 01:06:51 |you've done any kind of study at all, and it's less than six months, I'm not
698 |697 |01:06:51 ~-~-> 01:06:55 |surprised if you don't find success in it, monetarily, money wise, making money
699 |698 |01:06:55 ~-~-> 01:06:59 |because you don't know enough, you haven't done enough exploration in your
700 |699 |01:06:59 ~-~-> 01:07:03 |own observations. What are you doing wrong? Because that's the benefit of
701 |700 |01:07:03 ~-~-> 01:07:07 |having price delivery measurements where you're looking at this is what I think
702 |701 |01:07:07 ~-~-> 01:07:11 |price is going to do right now, and you're doing it in the privacy of your
703 |702 |01:07:11 ~-~-> 01:07:15 |own chart. You're not talking about on social media. You're not trying to share
704 |703 |01:07:15 ~-~-> 01:07:19 |it, okay? You're simply just saying, This is what I'm trying to do. I'm
705 |704 |01:07:19 ~-~-> 01:07:23 |observing price right now, and I want to see, does it behave this way or not? And
706 |705 |01:07:23 ~-~-> 01:07:28 |if it doesn't, wonderful, because I'm going and I can study, what did I see
707 |706 |01:07:28 ~-~-> 01:07:34 |wrong? What did I do wrong there? Do not say, well, that one didn't work. I'll
708 |707 |01:07:34 ~-~-> 01:07:37 |pretend it never happened. Because, you know, I didn't I didn't push the button.
709 |708 |01:07:37 ~-~-> 01:07:43 |So it doesn't make a difference. That's the wrong perspective. Wrong, wrong
710 |709 |01:07:43 ~-~-> 01:07:47 |perspective. Okay, you want to be able to see where you did it wrong, because
711 |710 |01:07:47 ~-~-> 01:07:51 |that's where your best learning is going to come from. Obviously, if you do it
712 |711 |01:07:51 ~-~-> 01:07:54 |right, you want to champion that in your journal. Say, I feel really good that I
713 |712 |01:07:54 ~-~-> 01:07:59 |was able to see this one, but I missed on these. These didn't perform as much
714 |713 |01:07:59 ~-~-> 01:08:03 |as I thought they would, but this is my takeaway from it. I didn't notice this
715 |714 |01:08:03 ~-~-> 01:08:07 |or that. This was my indication that it wasn't going to pan out. And now that I
716 |715 |01:08:07 ~-~-> 01:08:11 |can see it, I this information, new experience to lean on. The next time you
717 |716 |01:08:12 ~-~-> 01:08:18 |hear what I just did there, you're not putting blinders on, saying, Oh, I
718 |717 |01:08:18 ~-~-> 01:08:21 |didn't do it wrong. Or if you did it wrong. Say, I ain't worried about that.
719 |718 |01:08:22 ~-~-> 01:08:26 |Like people do with demo accounts, they'll open a demo account and press,
720 |719 |01:08:26 ~-~-> 01:08:31 |press, press, press press, and they'll show the 20 trades that they have in
721 |720 |01:08:31 ~-~-> 01:08:34 |gold, where they're doing 50 lots, where they don't even have the money to trade
722 |721 |01:08:34 ~-~-> 01:08:38 |with 50 lots, and there's 20 of them, okay? And this was before everybody was
723 |722 |01:08:38 ~-~-> 01:08:41 |doing a 20 funded account, you know, linking them together. It's just that
724 |723 |01:08:41 ~-~-> 01:08:46 |was everybody thought that was everybody's uh, success or not, and
725 |724 |01:08:46 ~-~-> 01:08:52 |they're all within two or three ticks of the same price. So that it's going in
726 |725 |01:08:52 ~-~-> 01:08:55 |and just buying, buying, buying, buying, buying, buying, because they want to see
727 |726 |01:08:55 ~-~-> 01:08:59 |a screen to show on social media where all these trades are making 6000 8000
728 |727 |01:08:59 ~-~-> 01:09:02 |$10,000 a piece. They're absolutely, I'm going to tell you something. People
729 |728 |01:09:02 ~-~-> 01:09:06 |something, people that make that kind of money are not rushing to social media to
730 |729 |01:09:06 ~-~-> 01:09:09 |show that they're doing that they don't care. They're living their life and
731 |730 |01:09:09 ~-~-> 01:09:15 |they're doing well. So you don't want to have that inspiration to draw your
732 |731 |01:09:15 ~-~-> 01:09:22 |attention to what is working only and avoiding or ignoring the time so that it
733 |732 |01:09:22 ~-~-> 01:09:28 |doesn't work. You want to focus in what you're doing wrong at that time. Perfect
734 |733 |01:09:28 ~-~-> 01:09:33 |example, right here. Here's your fair value gap. That's where your stock would
735 |734 |01:09:33 ~-~-> 01:09:37 |have been hypothetically. It's not a trade that would have closed it right
736 |735 |01:09:37 ~-~-> 01:09:44 |there. So it left relative equal highs. It started with this candle right there.
737 |736 |01:09:44 ~-~-> 01:09:54 |So your time would be 1022, it moved to 1031, so it moved nine minutes in favor.
738 |737 |01:09:54 ~-~-> 01:09:58 |In other words, it moved in the right direction. Wasn't able to get above this
739 |738 |01:09:58 ~-~-> 01:10:08 |high here. I. And then at 1037 it would have it would have stopped out on that
740 |739 |01:10:08 ~-~-> 01:10:12 |trade. So that way you can record that. So now you have one piece of data, one
741 |740 |01:10:12 ~-~-> 01:10:16 |data point. Say, if this is your first one, you would record that. So right
742 |741 |01:10:16 ~-~-> 01:10:20 |away you actually have a very humble beginning. The first one you start with
743 |742 |01:10:21 ~-~-> 01:10:25 |didn't pan out. That's wonderful. But if you don't have the right perspective and
744 |743 |01:10:25 ~-~-> 01:10:29 |trying to learn, you look at that and think, Well, you know, this is very
745 |744 |01:10:29 ~-~-> 01:10:33 |dischanting. I'm not real encouraged by this. And that's the same thing that
746 |745 |01:10:33 ~-~-> 01:10:36 |happens when people get their live account, or they pass their funded
747 |746 |01:10:36 ~-~-> 01:10:42 |account, they're paralyzed because they don't want to take that first trade. Now
748 |747 |01:10:42 ~-~-> 01:10:47 |we have this. We have relative equal lows taken here, relative equal highs
749 |748 |01:10:47 ~-~-> 01:10:52 |here, and relative equal highs here. Where is it jagged here? What are we
750 |749 |01:10:52 ~-~-> 01:10:58 |trading into? Now, New Day opening gap, so now we can look at as an observation.
751 |750 |01:10:58 ~-~-> 01:11:02 |Here, do we or can we see it trade above New Day opening gap, and then come back
752 |751 |01:11:02 ~-~-> 01:11:06 |down and touch it. If it does, then we can measure that. That's another time
753 |752 |01:11:06 ~-~-> 01:11:10 |delivery measurement, where we can simply study what price does with the
754 |753 |01:11:10 ~-~-> 01:11:14 |expectation that does it want to trade above here and grab that gravitate back
755 |754 |01:11:14 ~-~-> 01:11:18 |to here? We're not thinking about well, if I would have had 15 contracts on
756 |755 |01:11:18 ~-~-> 01:11:22 |here, because my funded account company says I can trade with 15 contracts, and
757 |756 |01:11:22 ~-~-> 01:11:25 |I would have lost on 15 contracts being stopped out right there. That's not what
758 |757 |01:11:25 ~-~-> 01:11:31 |you're doing. You're looking at can you see what price is likely to do? And
759 |758 |01:11:31 ~-~-> 01:11:34 |these are what the opportunities look like. Can start just simple things like
760 |759 |01:11:34 ~-~-> 01:11:41 |this. This is so much better and more profitable for your learning than just
761 |760 |01:11:41 ~-~-> 01:11:44 |going in and pushing a button or chasing what price has already been doing and
762 |761 |01:11:44 ~-~-> 01:11:48 |just trying to get something to happen, because you want to be inspired by that
763 |762 |01:11:48 ~-~-> 01:11:52 |fake profit. You want to be inspired by the screenshots of showing that you made
764 |763 |01:11:53 ~-~-> 01:11:57 |XYZ amount of money, but you don't even know why you got in that trade. That has
765 |764 |01:11:57 ~-~-> 01:12:02 |to be something you can observe and repeat. And this is the boring stuff
766 |765 |01:12:02 ~-~-> 01:12:06 |that feels like you're spinning your wheels. It feels like failing. It feels
767 |766 |01:12:06 ~-~-> 01:12:09 |like you're not doing something productive, because you're not even
768 |767 |01:12:09 ~-~-> 01:12:14 |you're not even entering any orders. But this is exactly what you do, and you
769 |768 |01:12:14 ~-~-> 01:12:21 |spend time watching price like this, and it's on really nice days. It's fun, on
770 |769 |01:12:21 ~-~-> 01:12:25 |days that like, like we're having here, it's a lot of given intake, back and
771 |770 |01:12:25 ~-~-> 01:12:30 |forth, price action and price isn't as clean. Whereas, if you looked at this
772 |771 |01:12:30 ~-~-> 01:12:37 |run in here, we only have this gap in that gap everything else. Watch what
773 |772 |01:12:37 ~-~-> 01:12:40 |happens. We have this run here, then it trades back down, creating that first
774 |773 |01:12:40 ~-~-> 01:12:43 |fair value gap, then the next candle, we trade down a little bit. Little bit and
775 |774 |01:12:43 ~-~-> 01:12:47 |then run above. So this previous candle has a lot of that range overlapped here,
776 |775 |01:12:48 ~-~-> 01:12:52 |back and forth inside that range. Now we're working off of this gap, which
777 |776 |01:12:52 ~-~-> 01:12:57 |became what conversion fair value gap, and it rallies. You could have used this
778 |777 |01:12:57 ~-~-> 01:13:00 |one because I was jawboning about something else. You could have used this
779 |778 |01:13:00 ~-~-> 01:13:05 |one as a measurement to see if it can trade to the new day, opening gap from
780 |779 |01:13:05 ~-~-> 01:13:11 |here to there. And you time, okay, from here to there. How many candles did it
781 |780 |01:13:11 ~-~-> 01:13:15 |take on a one minute chart? So that's how much time it took. Was there any
782 |781 |01:13:15 ~-~-> 01:13:19 |heat on the move? Okay, how much movement away once we left, to the
783 |782 |01:13:19 ~-~-> 01:13:24 |bodies, once we left it, did it ever come back down to take that low out
784 |783 |01:13:24 ~-~-> 01:13:33 |there, not before taking the run into that new doping gap and by observing
785 |784 |01:13:33 ~-~-> 01:13:37 |these things. And don't be afraid to do it after the fact. Like, if you have no
786 |785 |01:13:37 ~-~-> 01:13:43 |ability to watch it live, go back in and like for instance, I was expecting to
787 |786 |01:13:43 ~-~-> 01:13:45 |have my son sitting next to me yesterday, too. So that was another
788 |787 |01:13:45 ~-~-> 01:13:49 |thing that was irritated by because he had to work, so his job changed his
789 |788 |01:13:49 ~-~-> 01:13:55 |schedule, and we usually are able to sit side by side on Thursdays. And I didn't
790 |789 |01:13:55 ~-~-> 01:13:58 |have that opportunity. So I was a little perturbed by that. It was irritating me.
791 |790 |01:13:59 ~-~-> 01:14:04 |And I had a lot of other things on on my mind at the time, and very abbreviated
792 |791 |01:14:04 ~-~-> 01:14:08 |time that I could spend with you, because I had to be off by 1030 which I
793 |792 |01:14:08 ~-~-> 01:14:12 |noted at the beginning of the recording yesterday. It wasn't me saying, Oh, I'm
794 |793 |01:14:12 ~-~-> 01:14:16 |gonna rage quit and say I can't do nothing today, it was already
795 |794 |01:14:16 ~-~-> 01:14:24 |predetermined before we even got into it. I it Alright. So now let's play
796 |795 |01:14:24 ~-~-> 01:14:30 |devil's advocate for a moment. Let's say you did an observation on this one here,
797 |796 |01:14:30 ~-~-> 01:14:34 |and you try to use institutional refined your job. I want to see if I can get
798 |797 |01:14:34 ~-~-> 01:14:38 |anything off of that PD array. It rallies a little bit. Could you have
799 |798 |01:14:38 ~-~-> 01:14:46 |taken on this one here, could you have taken 10 handles out of that? Run, yeah.
800 |799 |01:14:47 ~-~-> 01:14:52 |Could you have gotten 20? Probably not 15. Yeah. So if you're going to be doing
801 |800 |01:14:52 ~-~-> 01:14:57 |these examples, what is your threshold? What are you trying to do? Well, if it's
802 |801 |01:14:57 ~-~-> 01:15:01 |es, you're looking for five handles. You. If you can get five handles, and
803 |802 |01:15:01 ~-~-> 01:15:05 |hypothetically say, Okay, I'm satisfied with that, I would be done. And that
804 |803 |01:15:05 ~-~-> 01:15:10 |would be your observation. That's your measurement, that one would be done. And
805 |804 |01:15:10 ~-~-> 01:15:14 |then if it's, if it's NASDAQ, you want to have at least 10 handles,
806 |805 |01:15:15 ~-~-> 01:15:19 |10 nails, I prefer 15 personally, because that kind of forces you to look
807 |806 |01:15:19 ~-~-> 01:15:25 |for a range that affords you 20 points or 20 handles, from where you think it's
808 |807 |01:15:25 ~-~-> 01:15:29 |going to react to, where it's going to draw to. So if you get 20 handles out of
809 |808 |01:15:29 ~-~-> 01:15:33 |it, it's reasonable to anticipate being able to capture 15. That's my personal
810 |809 |01:15:34 ~-~-> 01:15:38 |filter. Like, if I can, if I can see 20, I know I got a good chance of getting 10
811 |810 |01:15:38 ~-~-> 01:15:46 |minimum or 15, which is like a typical second partial, and then if you can run
812 |811 |01:15:46 ~-~-> 01:15:50 |the 20, great. If it doesn't, I don't care, because there's always some kind
813 |812 |01:15:50 ~-~-> 01:15:53 |of an opportunity where the stop loss can be moved to where it's not a losing
814 |813 |01:15:53 ~-~-> 01:15:57 |trade, per se. It covers cost, covers commissions, and gives me pizza money or
815 |814 |01:15:57 ~-~-> 01:16:02 |whatever. But you need to have a threshold of what you're looking for, so
816 |815 |01:16:02 ~-~-> 01:16:10 |don't demand also that it is a setup that has to pan out to the target,
817 |816 |01:16:10 ~-~-> 01:16:14 |meaning this where we are watching this fair value gap, and this right here,
818 |817 |01:16:14 ~-~-> 01:16:17 |that candle, though, the institutional referring to drill. Why? Because it just
819 |818 |01:16:17 ~-~-> 01:16:21 |goes below these candles here, but doesn't close that gap in so that would
820 |819 |01:16:21 ~-~-> 01:16:25 |be your marker to start it. And if it can go run 10 handles, boom, you're out.
821 |820 |01:16:25 ~-~-> 01:16:29 |And it need not trade above the relative equal highs, which would have been the
822 |821 |01:16:29 ~-~-> 01:16:35 |draw to see if we can get that type of run. We did another one in here. We
823 |822 |01:16:35 ~-~-> 01:16:38 |watched and see, did it go above the New Deal and get in touch? It didn't do
824 |823 |01:16:38 ~-~-> 01:16:42 |that. We went above it with a spike, with that wick, but has not created a
825 |824 |01:16:43 ~-~-> 01:16:46 |candle that come back down to touch it. So the second one that we're
826 |825 |01:16:46 ~-~-> 01:16:50 |anticipating and studying has not came to fruition. Here. We have a fair value
827 |826 |01:16:50 ~-~-> 01:16:55 |gap there, and now we have this inversion fair value gap. So you want to
828 |827 |01:16:55 ~-~-> 01:17:01 |study, does this fair value gap get taken to the upside? If it does, if it
829 |828 |01:17:01 ~-~-> 01:17:04 |comes back down, touches again, we can treat that as inversion fair value gap,
830 |829 |01:17:04 ~-~-> 01:17:09 |like it did here, there, then sent it higher. So this gap in here, study that
831 |830 |01:17:09 ~-~-> 01:17:13 |to see if it acts as an inversion fair value gap, or does it respect it here to
832 |831 |01:17:13 ~-~-> 01:17:19 |drop back down into that gap again. You're not trying to be right. You're
833 |832 |01:17:19 ~-~-> 01:17:24 |trying to recognize a pattern that makes sense, because there's all kinds of ways
834 |833 |01:17:24 ~-~-> 01:17:30 |to trade. You can be a perpetual bull, like I was when I first started, or you
835 |834 |01:17:30 ~-~-> 01:17:33 |can be someone that's going to be flexible, that you can say, I can be a
836 |835 |01:17:33 ~-~-> 01:17:37 |buyer and a seller, but you also don't know what you're comfortable with. You
837 |836 |01:17:37 ~-~-> 01:17:40 |don't know if you're trying to capture a continuation trade. You don't know if
838 |837 |01:17:40 ~-~-> 01:17:44 |you're trying to capture a reversal, and I'm trying not to push that on you,
839 |838 |01:17:46 ~-~-> 01:17:49 |because if I push that on you, that means I'm pushing you into a mold, and
840 |839 |01:17:49 ~-~-> 01:17:53 |it's going to cause you to take a whole lot more time trying to live up to that
841 |840 |01:17:53 ~-~-> 01:17:56 |mold, versus you organically, trying to learn How to Read price on Your on your
842 |841 |01:17:56 ~-~-> 01:17:57 |own. You
843 |842 |01:18:38 ~-~-> 01:18:44 |you watch the wick right here. Watch and see if it can touch that. Does it react
844 |843 |01:18:44 ~-~-> 01:18:51 |off that and drip drop right into here? We have two, two gaps in here. We have
845 |844 |01:18:51 ~-~-> 01:18:56 |this one which is trading up into here, and then we have this one here. This is
846 |845 |01:18:56 ~-~-> 01:19:02 |a normal fair value gap, bearish fair value gap. This is an inversion fair
847 |846 |01:19:02 ~-~-> 01:19:05 |Vega, where it's going below it. Now, let me draw it out.
848 |847 |01:19:12 ~-~-> 01:19:13 |That's it. And
849 |848 |01:19:20 ~-~-> 01:19:23 |then we have inside that one had the small one there, which is just a
850 |849 |01:19:23 ~-~-> 01:19:25 |standard bear spray bag that's
851 |850 |01:19:43 ~-~-> 01:19:50 |it. And if you look right here, I was taking attention to this wick
852 |851 |01:19:52 ~-~-> 01:19:55 |trading up into that we want to see those that have an ability to trade down
853 |852 |01:19:55 ~-~-> 01:19:57 |into this old gap here. I.
854 |853 |01:20:13 ~-~-> 01:20:21 |Okay, so you would screenshot that right there. So what we had is inversion fair
855 |854 |01:20:21 ~-~-> 01:20:26 |value gap here and then a bearish fair value gap. That is a very, very nice
856 |855 |01:20:26 ~-~-> 01:20:35 |model. When you have a directional bias that leads to that directional run, we
857 |856 |01:20:35 ~-~-> 01:20:40 |have a bearish order block that candle here because it had the highest up close
858 |857 |01:20:40 ~-~-> 01:20:43 |versus this one. Don't look at this and think that that's the bearish order
859 |858 |01:20:44 ~-~-> 01:20:49 |block. It's this one. It's inside of the fairway gap here, and it also traded
860 |859 |01:20:49 ~-~-> 01:20:54 |into the inversion fairway gap there. The key is watching this wick trade up
861 |860 |01:20:54 ~-~-> 01:21:00 |into it here. If it's bearish, what would it do? More specifically, what
862 |861 |01:21:00 ~-~-> 01:21:08 |would it not do? It would not touch the midpoint of that gap or wick, which is
863 |862 |01:21:08 ~-~-> 01:21:08 |what we have right here.
864 |863 |01:21:17 ~-~-> 01:21:17 |See that
865 |864 |01:21:19 ~-~-> 01:21:22 |trades up but doesn't touch the midpoint. So is that weak or strong?
866 |865 |01:21:23 ~-~-> 01:21:29 |Weak to next candle, you can open, put trades up volume of balance. That could
867 |866 |01:21:29 ~-~-> 01:21:35 |be an entry to here. See that? So all these little observations, these are all
868 |867 |01:21:35 ~-~-> 01:21:39 |this is what you're doing while you're watching price you you probably have
869 |868 |01:21:39 ~-~-> 01:21:42 |been if you're the other people that it's not my son I'm referring to now
870 |869 |01:21:42 ~-~-> 01:21:47 |other students or casual viewers, or people that listen to say, you know, I
871 |870 |01:21:47 ~-~-> 01:21:51 |guess tape read. What is tape reading? This is tape reading. These are the
872 |871 |01:21:51 ~-~-> 01:21:54 |things that you do while you're watching price. You should not be watching live
873 |872 |01:21:54 ~-~-> 01:21:58 |streamers. If you don't have a trade, if you're not a trade, then sure, you know,
874 |873 |01:21:58 ~-~-> 01:22:03 |watch them and enjoy watching it, but you're literally wasting your time. If
875 |874 |01:22:03 ~-~-> 01:22:07 |you're not watching my videos to learn these types of things a bit, you want to
876 |875 |01:22:07 ~-~-> 01:22:12 |put them to work yourself that you're wasting your time. You're not going to
877 |876 |01:22:12 ~-~-> 01:22:16 |learn it by watching my videos. Okay, I promise you, I don't care how many times
878 |877 |01:22:16 ~-~-> 01:22:20 |you watch them, you're not going to know how to do it because you don't know what
879 |878 |01:22:20 ~-~-> 01:22:25 |you're doing because you haven't done any lab work. You haven't gone in there
880 |879 |01:22:25 ~-~-> 01:22:29 |and and put yourself in front of the charts and tested the things and looked
881 |880 |01:22:29 ~-~-> 01:22:32 |for it because you don't want to see it fail, or you're afraid it's going to
882 |881 |01:22:32 ~-~-> 01:22:37 |fail, so you don't even bother bother to do it. It's like you let everything else
883 |882 |01:22:37 ~-~-> 01:22:41 |around you influence you, and it keeps you from doing the very work. And this
884 |883 |01:22:41 ~-~-> 01:22:46 |is the work. This is the stuff that you're supposed to be doing. This is
885 |884 |01:22:46 ~-~-> 01:22:48 |probably more money than you ever made in a trade, if you would have took it
886 |885 |01:22:48 ~-~-> 01:22:53 |with real money. And it's because it's something that you you don't want to do
887 |886 |01:22:53 ~-~-> 01:22:58 |it. That's all. It's just laziness. You believe other, other people's opinions
888 |887 |01:22:58 ~-~-> 01:23:01 |about me, or whatever I teach. Well that then, why are you watching the videos?
889 |888 |01:23:02 ~-~-> 01:23:08 |Why bother? Because you're waiting for something to make it real easy. That's
890 |889 |01:23:08 ~-~-> 01:23:12 |why. And this is the part that makes it easy. You got to be in the charts. Gotta
891 |890 |01:23:12 ~-~-> 01:23:18 |be in there doing it. Trade down into this inefficiency here, getting reaction
892 |891 |01:23:18 ~-~-> 01:23:23 |back up. And if we overtake this inversion fair value gap, this could
893 |892 |01:23:23 ~-~-> 01:23:27 |become a reclaimed, bullish fair value gap, but it would have to trade above
894 |893 |01:23:27 ~-~-> 01:23:32 |it, come back down and touch it, and then we can look for here and here, but
895 |894 |01:23:34 ~-~-> 01:23:40 |then you're waiting. Okay, so it's it's a matter of simply looking for certain
896 |895 |01:23:40 ~-~-> 01:23:46 |things that could you don't need them to. You don't demand that they do, but
897 |896 |01:23:46 ~-~-> 01:23:53 |they could deliver a certain response in price that can be reasonably expected.
898 |897 |01:23:53 ~-~-> 01:23:57 |But you want to start with the lowest threshold of what you're aiming for,
899 |898 |01:23:57 ~-~-> 01:24:02 |what you're trying to do. Well, this candle into that wick right there to
900 |899 |01:24:02 ~-~-> 01:24:09 |here that that's 10 handles, and it's a real easy, low threshold observe,
901 |900 |01:24:09 ~-~-> 01:24:14 |observation. And then what you do is, when you see this Caleb, you say, Okay,
902 |901 |01:24:14 ~-~-> 01:24:18 |now if this would have been a trade that you would have trusted, because it
903 |902 |01:24:18 ~-~-> 01:24:22 |becomes part of your model, because something that you have seen enough
904 |903 |01:24:22 ~-~-> 01:24:26 |examples of that I know that it could potentially trade at these levels here.
905 |904 |01:24:26 ~-~-> 01:24:31 |But what happens if I'm on side and it gives me just a little bit more juice
906 |905 |01:24:31 ~-~-> 01:24:35 |out of that lemon? Well, then you use this as a partial, and you aim for
907 |906 |01:24:35 ~-~-> 01:24:43 |something in this price run over here, I was talking about this. I don't know if
908 |907 |01:24:43 ~-~-> 01:24:46 |it was yesterday now, but I was talking about the market maker buy and sell
909 |908 |01:24:46 ~-~-> 01:24:50 |models. And when you're trading inside the range, you look for all the short
910 |909 |01:24:50 ~-~-> 01:24:55 |term lows in here, anything singular or relatively equal and or any
911 |910 |01:24:55 ~-~-> 01:24:59 |inefficiency, and that's what you have here. And the market trades down into
912 |911 |01:24:59 ~-~-> 01:25:06 |it. On that run. So you can take this, and that would be a terminus for you,
913 |912 |01:25:08 ~-~-> 01:25:14 |any one of these levels, top consequence or the low. Which one's the easiest one
914 |913 |01:25:14 ~-~-> 01:25:19 |to get to the high? So that's the one you use. Caleb. You don't demand that.
915 |914 |01:25:19 ~-~-> 01:25:21 |It goes halfway. You don't demand that. It goes all the way to the low. You
916 |915 |01:25:21 ~-~-> 01:25:26 |don't demand that it trades through it. You simply just look for the easiest
917 |916 |01:25:27 ~-~-> 01:25:34 |threshold of being profitable, if it were a trade that you were in. And if
918 |917 |01:25:34 ~-~-> 01:25:37 |you start like that, and you just let it build up and build up and build up, that
919 |918 |01:25:37 ~-~-> 01:25:44 |response right off the bottom of that with the bodies that's pretty the it's
920 |919 |01:25:44 ~-~-> 01:25:48 |also, again, tapping into that, that gap in here, let me draw it with the line So
921 |920 |01:25:48 ~-~-> 01:25:52 |it stays visual. You
922 |921 |01:26:20 ~-~-> 01:26:30 |it. That's the wrong color. I apologize if that's throwing off. I just wanted to
923 |922 |01:26:30 ~-~-> 01:26:40 |highlight it because that was a gap. I'll just keep it so now we're below
924 |923 |01:26:41 ~-~-> 01:26:46 |that old gap member this one over here. Here, let's see if it wants to touch
925 |924 |01:26:46 ~-~-> 01:26:51 |that one more time. And does it react off that and make an attempt to go below
926 |925 |01:26:51 ~-~-> 01:26:55 |this low, or does it trade back above it and treat it as support and then rally
927 |926 |01:26:55 ~-~-> 01:27:00 |back and engage this area as well? I'm uh,
928 |927 |01:27:07 ~-~-> 01:27:12 |now if it, if you haven't already thought about this, and since we're
929 |928 |01:27:12 ~-~-> 01:27:17 |watching a one minute chart, there will be a time in the future that you'll be
930 |929 |01:27:17 ~-~-> 01:27:22 |able to sit down in this time frame and capture 10 or 15 handles going up, 10 or
931 |930 |01:27:22 ~-~-> 01:27:28 |15 handles going down, 10 or 15 handles going up, maybe lose on one or two
932 |931 |01:27:28 ~-~-> 01:27:32 |catch. 10 or 15 handles going down, maybe lose one more. 10 or 15 handles
933 |932 |01:27:32 ~-~-> 01:27:37 |up, 10 or 15 handles up, 10 or 15 handles loss. 10 or 15 handles lost, not
934 |933 |01:27:37 ~-~-> 01:27:48 |that you lose that much, but you, you have the ability to trade 568, maybe 10
935 |934 |01:27:48 ~-~-> 01:27:52 |times in a day, and on a one minute time frame. That's not over trading, because
936 |935 |01:27:52 ~-~-> 01:27:56 |there's so many opportunities that you can trade, and then you can be making
937 |936 |01:27:56 ~-~-> 01:28:04 |100.1 100 handles in a single day, even if the range doesn't move 100 handles
938 |937 |01:28:04 ~-~-> 01:28:10 |from the high sign the lowest low. And you want confidence, that's confidence,
939 |938 |01:28:10 ~-~-> 01:28:15 |because if you can do something like that any any given time where you sit
940 |939 |01:28:15 ~-~-> 01:28:18 |down and say, Okay, I don't care about what the volatility is going to be
941 |940 |01:28:18 ~-~-> 01:28:22 |today, it might not be a very large range day. So I'm just going to go in
942 |941 |01:28:22 ~-~-> 01:28:25 |and I'm going to scout. So I'll look for little, tiny, little setups that give me
943 |942 |01:28:26 ~-~-> 01:28:30 |fluctuations in price that are reasonable. Put a limit order in at 10
944 |943 |01:28:30 ~-~-> 01:28:34 |or 15 handles based on the things that we're looking for, and then bang, take
945 |944 |01:28:34 ~-~-> 01:28:39 |it. Then when it's done, move to the sidelines, relax and wait for another
946 |945 |01:28:39 ~-~-> 01:28:45 |one. It's very fun, but if you look at it like, I have to do it, or I want to
947 |946 |01:28:45 ~-~-> 01:28:50 |do lots more than what's reasonable for my skill level, you're inviting all
948 |947 |01:28:50 ~-~-> 01:28:55 |these external stimuli in here. And because the natural progression of going
949 |948 |01:28:55 ~-~-> 01:28:58 |through these things, they're not always immediate feedback. That's positive and
950 |949 |01:28:58 ~-~-> 01:29:01 |it tickles you. It doesn't make you always feel good, because sometimes it's
951 |950 |01:29:01 ~-~-> 01:29:05 |like, okay, I thought I saw something and it wasn't there. So what do I do
952 |951 |01:29:05 ~-~-> 01:29:10 |now? You go to the next one, you go to the next one, you go to the next one,
953 |952 |01:29:10 ~-~-> 01:29:14 |and you're, you're completely desensitizing yourself to the outcome.
954 |953 |01:29:17 ~-~-> 01:29:21 |If you're afraid, if you're afraid to lose, you have to go out and you have to
955 |954 |01:29:21 ~-~-> 01:29:24 |lose you have to do it wrong, and you don't want to do that with a live
956 |955 |01:29:24 ~-~-> 01:29:30 |account, not even with $100 account, not even with a $250 account. I had to learn
957 |956 |01:29:30 ~-~-> 01:29:35 |with the real account. Okay, you learned all the wrong lessons, and now they're
958 |957 |01:29:35 ~-~-> 01:29:40 |going to be problematic to you. And you can lie and tell the public that follow
959 |958 |01:29:40 ~-~-> 01:29:43 |you on your social media account and say, Oh, I don't have those problems.
960 |959 |01:29:44 ~-~-> 01:29:48 |Trade live. Do it in front of everybody, and you'll show everybody that you do
961 |960 |01:29:48 ~-~-> 01:29:53 |have those problems. Okay, so to avoid all that stuff is don't have it in the
962 |961 |01:29:53 ~-~-> 01:29:59 |beginning. Don't hold yourself to a standard that you have to have high
963 |962 |01:29:59 ~-~-> 01:30:03 |strike. Rate if you just started learning, or if you just now became
964 |963 |01:30:03 ~-~-> 01:30:06 |serious, let's say it that way. If you just started learning how to become
965 |964 |01:30:06 ~-~-> 01:30:11 |serious about studying price and you were using me as a means of helping you
966 |965 |01:30:11 ~-~-> 01:30:16 |do that, then remind yourself that you don't have to have a high strike rate.
967 |966 |01:30:17 ~-~-> 01:30:21 |That's a hallmark for someone that's been doing a long, long time doing what
968 |967 |01:30:21 ~-~-> 01:30:26 |that are, one model that they trust the most that they can they they can see it
969 |968 |01:30:26 ~-~-> 01:30:32 |forming every day. What is a model that can form every single day? Like what it
970 |969 |01:30:32 ~-~-> 01:30:35 |what is a trade setup for life? What would something like that look like?
971 |970 |01:30:35 ~-~-> 01:30:40 |Well, when the market has made a very obvious run to a key level you were
972 |971 |01:30:40 ~-~-> 01:30:45 |anticipating, and then it starts to break down, and there's a very clear
973 |972 |01:30:45 ~-~-> 01:30:51 |inefficiency, or relatively equally low, that's in play. And there's time in the
974 |973 |01:30:51 ~-~-> 01:30:58 |day that affords the market to perform and deliver on that basis, that that
975 |974 |01:30:58 ~-~-> 01:31:03 |setup, that criteria, is there every single day, and you can find it on a one
976 |975 |01:31:03 ~-~-> 01:31:07 |minute chart. You can find it on a 32nd chart. You can find it on a 15 second
977 |976 |01:31:07 ~-~-> 01:31:15 |chart. So there, there is an opportunity for you when you know your model to
978 |977 |01:31:15 ~-~-> 01:31:19 |trade every single day, but it's a mistake, and anyone that pretends to be
979 |978 |01:31:19 ~-~-> 01:31:23 |a mentor that tells you that you should be trying to make money every single
980 |979 |01:31:23 ~-~-> 01:31:29 |day, wrong? That's not a lesson that a new traders should be given, that you're
981 |980 |01:31:29 ~-~-> 01:31:33 |not trying to make money. You don't even know what the hell you're doing. You
982 |981 |01:31:33 ~-~-> 01:31:38 |don't know what you're expecting to see. You have no idea, no idea, and you don't
983 |982 |01:31:38 ~-~-> 01:31:41 |know what the person that's pretending to be a mentor is really trying to
984 |983 |01:31:41 ~-~-> 01:31:46 |communicate. They'll talk about it afterwards. They'll point out the
985 |984 |01:31:46 ~-~-> 01:31:51 |salient points afterwards. It sounds scientific, it sounds intellectual, but
986 |985 |01:31:51 ~-~-> 01:31:58 |it wasn't given beforehand. So is it really foresight? Is it real knowledge,
987 |986 |01:31:58 ~-~-> 01:32:06 |or is it just sounding smart after it's obvious in the chart. Think about,
988 |987 |01:32:07 ~-~-> 01:32:12 |there's a, there's a TED talk that I gotta find it now. It just came to mind,
989 |988 |01:32:12 ~-~-> 01:32:18 |just now, is a, it's an awesome TED Talk. It is a guy that young guy, he
990 |989 |01:32:18 ~-~-> 01:32:22 |comes out there and he's, he's wearing his glasses, and typical nerdy little
991 |990 |01:32:22 ~-~-> 01:32:28 |guy, and he starts talking about nothing really, but it sounds like he's talking
992 |991 |01:32:28 ~-~-> 01:32:33 |about something really engaging in his mannerisms and his delivery and his tone
993 |992 |01:32:33 ~-~-> 01:32:39 |and his pauses. And then he over accentuates certain aspects of the
994 |993 |01:32:39 ~-~-> 01:32:43 |things he's referring to. And then he goes. Now, what I just was doing, I was
995 |994 |01:32:43 ~-~-> 01:32:49 |talking, and I really said nothing, and then, but you seem like you're learning
996 |995 |01:32:49 ~-~-> 01:32:52 |something from me because of what I'm saying, how I'm saying it in the
997 |996 |01:32:52 ~-~-> 01:32:55 |delivery, and I'm wearing these glasses, and they're not even, they don't have
998 |997 |01:32:55 ~-~-> 01:32:59 |any glasses in it, like he puts his fingers to it. It's a really amazing
999 |998 |01:32:59 ~-~-> 01:33:03 |presentation, because it starts off like, Wow, what's this young man going
1000 |999 |01:33:03 ~-~-> 01:33:07 |to talk about? And it's engaging. And he walks around, he carries himself, his
1001 |1000 |01:33:07 ~-~-> 01:33:11 |body language, everything, and that's basically what an infomercial does. And
1002 |1001 |01:33:12 ~-~-> 01:33:16 |the only thing that's, it's important that you notice is the product that
1003 |1002 |01:33:16 ~-~-> 01:33:19 |they're standing next to, but they're talking and they're blue, being about a
1004 |1003 |01:33:19 ~-~-> 01:33:23 |lot of stuff, and they're really not doing anything, they're not saying
1005 |1004 |01:33:23 ~-~-> 01:33:29 |anything. And I've seen that a lot with people that live stream. I've seen that
1006 |1005 |01:33:29 ~-~-> 01:33:33 |with people that pretend to know what they're doing and teaching, and they
1007 |1006 |01:33:33 ~-~-> 01:33:37 |don't really teach. They're not really teaching, and you can hear what they're
1008 |1007 |01:33:37 ~-~-> 01:33:41 |teaching is absolutely backwards, because they'll say, you have to trade
1009 |1008 |01:33:41 ~-~-> 01:33:46 |every day. They'll say every day is a winning day. Every day is a opportunity
1010 |1009 |01:33:46 ~-~-> 01:33:49 |to trade with real money. Or you can't learn how to trade unless you trade with
1011 |1010 |01:33:49 ~-~-> 01:33:53 |real money. You have to have skin in the race. Well, you know what you've done.
1012 |1011 |01:33:54 ~-~-> 01:34:02 |By doing that, you have further multiplied the level of certainty that
1013 |1012 |01:34:02 ~-~-> 01:34:07 |it will be harder to learn it, because now you've made a painful response,
1014 |1013 |01:34:08 ~-~-> 01:34:13 |absolutely the outcome. Because you're going to trade with real money, no
1015 |1014 |01:34:13 ~-~-> 01:34:17 |matter how much it is, if it's low or not, and you're going to have an outcome
1016 |1015 |01:34:17 ~-~-> 01:34:21 |that's going to be unfavorable, and then you're going to have the regret of I
1017 |1016 |01:34:21 ~-~-> 01:34:24 |wish I never would have did with live money, because now that small, little
1018 |1017 |01:34:24 ~-~-> 01:34:29 |$25 loss, while it's insignificant, it costs probably more for you to go to eat
1019 |1018 |01:34:29 ~-~-> 01:34:34 |poison from McDonald's at a drive thru, then take that $25 loss. But that $25
1020 |1019 |01:34:35 ~-~-> 01:34:38 |loss is going to be like a piece of meat between your teeth. You're going to find
1021 |1020 |01:34:38 ~-~-> 01:34:40 |your tongue. Keep going back to it. You wish you had one of those little dental
1022 |1021 |01:34:40 ~-~-> 01:34:44 |floss things to get it out. It's going to plague you all day long. And what are
1023 |1022 |01:34:44 ~-~-> 01:34:47 |you going to want to do about it? Don't want to fix it, right? So how do you do
1024 |1023 |01:34:48 ~-~-> 01:34:53 |it? Taking up, taking on the trade, and now that 50 loss on the day is there.
1025 |1024 |01:34:54 ~-~-> 01:34:58 |Now you're angry. I wish I never would have started with a real account. I wish
1026 |1025 |01:34:58 ~-~-> 01:35:01 |I would have known what it was. I. Trying to do that way. I was bored. I
1027 |1026 |01:35:01 ~-~-> 01:35:06 |see it forming. If it's obvious in a chart, I'll see it. And then you try to
1028 |1027 |01:35:06 ~-~-> 01:35:12 |fix it again. And now that $150 account that you want to start with real money
1029 |1028 |01:35:14 ~-~-> 01:35:23 |has 50 bucks in it, not counting commissions. But hey, it's 11 o'clock in
1030 |1029 |01:35:23 ~-~-> 01:35:27 |the morning. There's plenty of time to get it back. Let's go in there. It's
1031 |1030 |01:35:27 ~-~-> 01:35:31 |only, it's only $100 $100 who cares about losing? I can just, I can just
1032 |1031 |01:35:31 ~-~-> 01:35:36 |replenish it. That's the wrong mentality. That's the wrong mentality.
1033 |1032 |01:35:37 ~-~-> 01:35:42 |But that's what goes on. That's what keeps repeating. That's what mentors out
1034 |1033 |01:35:42 ~-~-> 01:35:48 |there that should not be mentoring foster those mindsets. They enable you
1035 |1034 |01:35:48 ~-~-> 01:35:56 |to have those same viewpoints. And people pay them. People pay them for
1036 |1035 |01:35:56 ~-~-> 01:36:03 |that flawed logic. So we have had multiple attempts in here at that old
1037 |1036 |01:36:03 ~-~-> 01:36:12 |pier Vega, right there, inside it, with the bodies. The only thing we've done is
1038 |1037 |01:36:12 ~-~-> 01:36:17 |worked into a retracement of all this choppy range bound price action. So if
1039 |1038 |01:36:17 ~-~-> 01:36:24 |we measure that from here, this uh, there we traded right down into that,
1040 |1039 |01:36:24 ~-~-> 01:36:31 |which is equilibrium. So we have had this gap traded to, didn't quite come
1041 |1040 |01:36:31 ~-~-> 01:36:34 |down to, I was, I was watching to see if it would touch that didn't do it. But
1042 |1041 |01:36:34 ~-~-> 01:36:38 |now we're above that old gap here. Let's see if we can touch it on the downside.
1043 |1042 |01:36:38 ~-~-> 01:36:41 |Let me get this fit out of the way, because give it a level that I don't
1044 |1043 |01:36:41 ~-~-> 01:36:45 |want you focus on going to this. This is what I want you to see. So we have this
1045 |1044 |01:36:45 ~-~-> 01:36:51 |wick midpoint of that. I like to see it go over that little bit and touch this
1046 |1045 |01:36:51 ~-~-> 01:36:58 |gap and then respond a little bit higher. There's nothing in here for
1047 |1046 |01:36:58 ~-~-> 01:37:04 |inefficiency. So where we're at, it's indicating that it could use this old
1048 |1047 |01:37:04 ~-~-> 01:37:06 |reference point over here.
1049 |1048 |01:37:08 ~-~-> 01:37:11 |Keep the body inside of it. It keeps the little tail in here. That's fine.
1050 |1049 |01:37:21 ~-~-> 01:37:24 |I should have grabbed that full water when I brought myself down here, came in
1051 |1050 |01:37:24 ~-~-> 01:37:25 |here, but I have a bottle of water.
1052 |1051 |01:37:41 ~-~-> 01:37:46 |I would have liked to seen that candle have a body inside of that gap. That
1053 |1052 |01:37:46 ~-~-> 01:37:49 |would have been a little bit more obvious than what it did here. I
1054 |1053 |01:38:20 ~-~-> 01:38:33 |measures. Now I want you to think about actually take a screenshot of this price
1055 |1054 |01:38:33 ~-~-> 01:38:42 |action as it is right here. Let me make it a little bit better, like that. Okay,
1056 |1055 |01:38:43 ~-~-> 01:38:52 |now be honest. Looking at this, do you see very clear, impulsive legs going up,
1057 |1056 |01:38:53 ~-~-> 01:38:58 |leaving one sing, singular inefficiency in it, like a fair value got maybe one
1058 |1057 |01:38:58 ~-~-> 01:39:03 |singular short term low, and then it runs up to an obvious level, and then
1059 |1058 |01:39:03 ~-~-> 01:39:08 |drops down with a nice retracement price swing that has only one singular fair
1060 |1059 |01:39:08 ~-~-> 01:39:13 |value gap, and then runs away quickly, lower to an obvious level. They react
1061 |1060 |01:39:13 ~-~-> 01:39:18 |off of and trade higher. If you don't see that, that's the indication that
1062 |1061 |01:39:18 ~-~-> 01:39:22 |this is not a day that you keep pushing really hard. And it's also a day that
1063 |1062 |01:39:22 ~-~-> 01:39:29 |you demand a lot more convictions behind what you're trying to engage even if,
1064 |1063 |01:39:30 ~-~-> 01:39:36 |even if you don't have your model yet being flexible with it. I like that
1065 |1064 |01:39:36 ~-~-> 01:39:41 |right there. Watch this candle halfway here. I want to see? Does it want to run
1066 |1065 |01:39:41 ~-~-> 01:39:44 |up? Take out that high? If it runs out and takes this high, I would want to see
1067 |1066 |01:39:44 ~-~-> 01:39:48 |speed take us into this gap. It's the red right there. I.
1068 |1067 |01:40:10 ~-~-> 01:40:11 |So this high,
1069 |1068 |01:40:17 ~-~-> 01:40:22 |it's been taken out. Next reference point is here, which is the old gap, and
1070 |1069 |01:40:22 ~-~-> 01:40:26 |then we have the liquidity resting rate above that high right there. So I'm not
1071 |1070 |01:40:26 ~-~-> 01:40:30 |going to keep these lines here. I'm just going to use that line there to annotate
1072 |1071 |01:40:30 ~-~-> 01:40:32 |a very short term buy side.
1073 |1072 |01:40:34 ~-~-> 01:40:38 |I'll take this off. Send this out. I'm
1074 |1073 |01:40:55 ~-~-> 01:40:57 |you're not trading it, you're watching it. You
1075 |1074 |01:41:06 ~-~-> 01:41:10 |I don't know how my wife sits in this stupid chair. It looked great in the
1076 |1075 |01:41:10 ~-~-> 01:41:20 |store. It's a, what is it? It's called a love sack. We didn't do anything on it,
1077 |1076 |01:41:21 ~-~-> 01:41:27 |but I don't love it. I'm literally sliding, like sliding like, slinking
1078 |1077 |01:41:27 ~-~-> 01:41:31 |down in it. It's really not that comfortable. The stuff that's on it's
1079 |1078 |01:41:31 ~-~-> 01:41:37 |comfortable. It's real soft, but it's actually not comfortable at all. Okay,
1080 |1079 |01:41:37 ~-~-> 01:41:42 |so one more time, wick traveling inside of the old gap over here I'm
1081 |1080 |01:42:31 ~-~-> 01:42:36 |a lot of back and forth, but not real movement. I mean, there's movement,
1082 |1081 |01:42:36 ~-~-> 01:42:41 |yeah, but nothing to be terribly excited about. So think about like this. It's
1083 |1082 |01:42:41 ~-~-> 01:42:46 |like, it's it fam its way up to here, but it's a lot of back and forth, lot of
1084 |1083 |01:42:46 ~-~-> 01:42:50 |back and forth, lot of back and forth. Can it be traded? Yes, but it's very,
1085 |1084 |01:42:50 ~-~-> 01:42:54 |very difficult. It's not going to be something that you're going to want to
1086 |1085 |01:42:54 ~-~-> 01:42:59 |do as your this is your model. This isn't your choice ideal day or type of
1087 |1086 |01:42:59 ~-~-> 01:43:03 |environment you want, something that's really nice and clean, it runs higher,
1088 |1087 |01:43:03 ~-~-> 01:43:07 |goes to a real clear, obvious level, pulls away from it. And you're not
1089 |1088 |01:43:07 ~-~-> 01:43:09 |seeing that here. There are inefficiencies here, there are short
1090 |1089 |01:43:09 ~-~-> 01:43:14 |term highs and lows here, but you don't have that clear, obvious it wants to go
1091 |1090 |01:43:14 ~-~-> 01:43:19 |one side or the other. And by having like, if you take a picture, I was say
1092 |1091 |01:43:19 ~-~-> 01:43:23 |that earlier. I didn't finish my statement. Take a picture of that just
1093 |1092 |01:43:23 ~-~-> 01:43:29 |like it is right here. And this is not a clean market. It's not a clean market.
1094 |1093 |01:43:29 ~-~-> 01:43:35 |It's a level of difficulty for someone that doesn't have a lot of tools or
1095 |1094 |01:43:35 ~-~-> 01:43:39 |experience. You can get chopped up. This is usually the type of day where you'll
1096 |1095 |01:43:39 ~-~-> 01:43:45 |see live streamers or people that are in their chat, they'll say, I got chopped
1097 |1096 |01:43:45 ~-~-> 01:43:49 |up really bad, or the market just chopped me up, or I just got beat up
1098 |1097 |01:43:49 ~-~-> 01:43:53 |today. It just was crap. Market conditions, that type of thing. This is
1099 |1098 |01:43:53 ~-~-> 01:43:58 |usually indicative of what they're referring to, versus days where it's
1100 |1099 |01:43:58 ~-~-> 01:44:00 |just really, really clear, really, really obvious.
1101 |1100 |01:44:10 ~-~-> 01:44:17 |All right, so now we had inversion, fair value gap traded to here. That gap that
1102 |1101 |01:44:17 ~-~-> 01:44:21 |we annotated earlier worked inside that as well. One more time we touched it
1103 |1102 |01:44:22 ~-~-> 01:44:27 |traded lower. We have sell side resting right below this low high was taken
1104 |1103 |01:44:27 ~-~-> 01:44:32 |here. So there's nothing in here that I like, except for the singular one candle
1105 |1104 |01:44:33 ~-~-> 01:44:37 |that's balanced with here. So always have this to there. So we have this
1106 |1105 |01:44:37 ~-~-> 01:44:41 |closing price to that high price is going back and forth multiple times
1107 |1106 |01:44:41 ~-~-> 01:44:45 |there. So that's why you get that stop. I want to, that's why I want to see it
1108 |1107 |01:44:45 ~-~-> 01:44:48 |expand through I want speed through that because this is a balanced price range.
1109 |1108 |01:44:48 ~-~-> 01:44:54 |There's no speed. We drifted back lower. Now we've shown the bodies respecting
1110 |1109 |01:44:54 ~-~-> 01:45:00 |that old gap, which is over here. So the next one you can start to monitor. Is,
1111 |1110 |01:45:00 ~-~-> 01:45:07 |do we use the wick retin here in the low of that old gap To make an attempt to
1112 |1111 |01:45:07 ~-~-> 01:45:08 |run below that low? I'm
1113 |1112 |01:45:51 ~-~-> 01:45:58 |it's Friday. We've already had a 20% retracement on the week, and we're
1114 |1113 |01:45:58 ~-~-> 01:46:05 |seeing lethargic price action. Got 15 minutes till the morning session ends,
1115 |1114 |01:46:05 ~-~-> 01:46:08 |and then we will be entering the lunchtime macro.
1116 |1115 |01:46:17 ~-~-> 01:46:21 |See how it's going back and forth, back and forth, aimlessly. It's not trying to
1117 |1116 |01:46:21 ~-~-> 01:46:25 |do anything. Just use chop back and forth, back and forth by having that
1118 |1117 |01:46:25 ~-~-> 01:46:30 |skill, that screenshot like this, and identifying how this market looks by
1119 |1118 |01:46:30 ~-~-> 01:46:35 |contrast, when the market has not yesterday, yesterday is in completely
1120 |1119 |01:46:35 ~-~-> 01:46:39 |different market environment, where it's just one sided, like a railroad train,
1121 |1120 |01:46:39 ~-~-> 01:46:44 |like a train that's going one direction. You really can't navigate back and
1122 |1121 |01:46:44 ~-~-> 01:46:48 |forth, up down, up down, up down. All day long. In that type of environment,
1123 |1122 |01:46:48 ~-~-> 01:46:52 |it's just get out of the way. Be you on the right side, hold it and be out of
1124 |1123 |01:46:52 ~-~-> 01:46:59 |the way. That's the better approach to trading that type of day. So if you
1125 |1124 |01:46:59 ~-~-> 01:47:04 |didn't get in before it starts moving, don't bother doing it at all. And you
1126 |1125 |01:47:04 ~-~-> 01:47:07 |see it by how it just keeps pressing, higher, higher, higher, higher, with no
1127 |1126 |01:47:07 ~-~-> 01:47:13 |real retracements. And the trap is for you to chase it. And you'll find by
1128 |1127 |01:47:13 ~-~-> 01:47:17 |doing that you end up getting beat up, you get scared out of it, and then it
1129 |1128 |01:47:17 ~-~-> 01:47:23 |won't it won't pan out for you. Want a day that has really nice volatility
1130 |1129 |01:47:23 ~-~-> 01:47:27 |doesn't have to be extreme volatility, but it has to move and separate where
1131 |1130 |01:47:27 ~-~-> 01:47:32 |we've had back and forth price action. Look how it's done this here we went
1132 |1131 |01:47:32 ~-~-> 01:47:36 |above this high here, consolidated again, traded back down into the
1133 |1132 |01:47:36 ~-~-> 01:47:41 |midpoint of this consolidation. Then we try trade it up and then back down.
1134 |1133 |01:47:42 ~-~-> 01:47:48 |Trade it back up. Trade it back down. All of this is a it's indicative of a
1135 |1134 |01:47:48 ~-~-> 01:47:52 |day that is not going to be easy, if you're new, to see where the market is
1136 |1135 |01:47:52 ~-~-> 01:47:56 |going to go to where it should be safe not to expect it to trade back to a
1137 |1136 |01:47:56 ~-~-> 01:48:02 |specific level, and how to frame multiple setups, because it's part of a
1138 |1137 |01:48:02 ~-~-> 01:48:08 |very like the word escapes me. I know when I when I close the stream later
1139 |1138 |01:48:08 ~-~-> 01:48:13 |today, I'll probably be in a drive somewhere, and it'll be like, That's
1140 |1139 |01:48:13 ~-~-> 01:48:16 |what I should have said. I should have said this. This is what the the real
1141 |1140 |01:48:16 ~-~-> 01:48:20 |crux of what I'm trying to emphasize. It just means that we're seeing a lot of
1142 |1141 |01:48:20 ~-~-> 01:48:26 |back and forth. It's indecisive. There it is. It's indecisive. It's not in a
1143 |1142 |01:48:26 ~-~-> 01:48:30 |hurry to get anywhere. And you don't want to be trading, especially with a
1144 |1143 |01:48:30 ~-~-> 01:48:35 |great deal of frequency in a day like today. Not that you can't make money,
1145 |1144 |01:48:35 ~-~-> 01:48:40 |not that you can't find setups, not you can't you be profitable doing it. You
1146 |1145 |01:48:40 ~-~-> 01:48:47 |just once you do it, you want to be done with it when you get there. Minor, cell
1147 |1146 |01:48:47 ~-~-> 01:48:48 |side,
1148 |1147 |01:49:06 ~-~-> 01:49:12 |okay, so we had the bodies on this price leg run up. Body stayed inside. They
1149 |1148 |01:49:12 ~-~-> 01:49:18 |didn't close above that old gap. We didn't pierce that high. We have it low
1150 |1149 |01:49:18 ~-~-> 01:49:22 |taken out here. We have a low taken out here, and we pierced the rejection block
1151 |1150 |01:49:22 ~-~-> 01:49:28 |there, so we have the early indication of a fair value gap there. I would like
1152 |1151 |01:49:28 ~-~-> 01:49:32 |to see that stay open. If it can stay open and trade below this low, then I
1153 |1152 |01:49:32 ~-~-> 01:49:43 |think we can explore over here. It can touch it and trade into it, and still do
1154 |1153 |01:49:43 ~-~-> 01:49:48 |that if it wants to go lower. But for the sake of pattern recognition, Caleb
1155 |1154 |01:49:48 ~-~-> 01:49:52 |and looking for gaps that want to stay open, for the basis of seeing longer
1156 |1155 |01:49:52 ~-~-> 01:49:57 |runs, if it were to stay open, if this little area right in here, if it were
1157 |1156 |01:49:57 ~-~-> 01:50:02 |completely to close in, it's less. Less likely, but still probable, that if it
1158 |1157 |01:50:02 ~-~-> 01:50:06 |drops below this low, we could revisit this area down here, because that's the
1159 |1158 |01:50:06 ~-~-> 01:50:09 |low of the day. And there's a lot of liquidity on that. A lot of people that
1160 |1159 |01:50:09 ~-~-> 01:50:12 |have bought down here and all through here, they've been wanting this to go
1161 |1160 |01:50:12 ~-~-> 01:50:18 |higher. And every time it's doing all these types of things, it causes, you
1162 |1161 |01:50:18 ~-~-> 01:50:27 |know, disenchantment for them. And if it's going to go down there, if it takes
1163 |1162 |01:50:27 ~-~-> 01:50:32 |out this low, I would like to see it do it rather quickly, whereas any other
1164 |1163 |01:50:32 ~-~-> 01:50:36 |time this would be high resistance liquidity run. What does that mean?
1165 |1164 |01:50:37 ~-~-> 01:50:42 |Because we've had multiple times trading down, down, down, down, down, down, and
1166 |1165 |01:50:42 ~-~-> 01:50:49 |finally, sending it higher. Usually, this is a hard area to get down through
1167 |1166 |01:50:49 ~-~-> 01:50:53 |if it's going to sell off because of that very nature, because it's it's been
1168 |1167 |01:50:53 ~-~-> 01:50:57 |used lots of times, okay, and then you have the top of this little
1169 |1168 |01:50:57 ~-~-> 01:51:01 |consolidation. So it's a lot of order flow that took place in this old area.
1170 |1169 |01:51:02 ~-~-> 01:51:06 |But because we're entering a time of day where whatever has transpired in the
1171 |1170 |01:51:07 ~-~-> 01:51:10 |beginning of the day, so for instance, like seven o'clock in the morning to
1172 |1171 |01:51:10 ~-~-> 01:51:16 |1130 which is coming up in like 11 minutes or so, this is the the point of
1173 |1172 |01:51:16 ~-~-> 01:51:23 |liquidity that's framed on that first part of the session, or the the day,
1174 |1173 |01:51:23 ~-~-> 01:51:27 |similar words, the majority of the money is and been made on what being long in
1175 |1174 |01:51:27 ~-~-> 01:51:33 |the market or short. The longs they that's the longest profitable trade
1176 |1175 |01:51:33 ~-~-> 01:51:38 |that's been going in motion today. It's the Longs they are the ones that's been
1177 |1176 |01:51:38 ~-~-> 01:51:46 |holding the winning ticket longest for today. So if that's true, and the lunch
1178 |1177 |01:51:46 ~-~-> 01:51:51 |hour is going to make a run against what has already been in play, kind of like a
1179 |1178 |01:51:51 ~-~-> 01:51:57 |midday retracement. But these midday retracements sometimes can be midday
1180 |1179 |01:51:57 ~-~-> 01:52:06 |reversals for the whole day or the week. Okay? So what I'm stating is is because
1181 |1180 |01:52:06 ~-~-> 01:52:13 |that we're on a Friday, because it is seeing that, yeah, we did rally, but
1182 |1181 |01:52:13 ~-~-> 01:52:18 |it's had a real hard time finding its groove and and traction going up. Not to
1183 |1182 |01:52:18 ~-~-> 01:52:21 |say they can't start screaming higher rate from where it's at right now, just
1184 |1183 |01:52:21 ~-~-> 01:52:25 |go up and keep going up. That's always a given, that's a certainty, that is
1185 |1184 |01:52:26 ~-~-> 01:52:29 |always likely to pan out. And then that's why we have to have stop losses.
1186 |1185 |01:52:30 ~-~-> 01:52:35 |But if we can identify where the stop losses are at the beginning of the day,
1187 |1186 |01:52:36 ~-~-> 01:52:43 |as we went into lunch, because there's really no there's really no pretty lows
1188 |1187 |01:52:43 ~-~-> 01:52:46 |in here. Because if it's going to go here, in my mind, I'm thinking, if it
1189 |1188 |01:52:46 ~-~-> 01:52:50 |could trade below here, what would keep you from going here? I would like to see
1190 |1189 |01:52:50 ~-~-> 01:52:54 |it go there. If it trades below this low aggressively and speeds up and went
1191 |1190 |01:52:54 ~-~-> 01:52:58 |below that, while this is the nicer one, because it takes out everybody on the
1192 |1191 |01:52:58 ~-~-> 01:53:06 |day that that's the Maximum Carnage event. If it were to trade below this
1193 |1192 |01:53:06 ~-~-> 01:53:10 |low and have some speed on the downside, I wouldn't look at this area as a high
1194 |1193 |01:53:10 ~-~-> 01:53:15 |resistance liquidity run, because I would have the benefit of having it's
1195 |1194 |01:53:15 ~-~-> 01:53:21 |Friday. It's been a huge up week since last Monday. We've had two really big,
1196 |1195 |01:53:22 ~-~-> 01:53:27 |monstrous relief rallies that came into the marketplace, because the Middle East
1197 |1196 |01:53:27 ~-~-> 01:53:34 |didn't explode. And we have further further downside, like we could still
1198 |1197 |01:53:34 ~-~-> 01:53:39 |see a 30% retracement on the week, and that will not change the underlying
1199 |1198 |01:53:39 ~-~-> 01:53:43 |bullishness of what may be in motion. So it's not like, Oh, you're calling for
1200 |1199 |01:53:43 ~-~-> 01:53:48 |too deep of a retrace in an ICT. No, no. It's not, actually, it's very good. It
1201 |1200 |01:53:48 ~-~-> 01:53:52 |would be healthy to see a 30% retracement. There's nothing wrong with
1202 |1201 |01:53:52 ~-~-> 01:53:56 |that. It doesn't change the underlying direction in the marketplace. I'm not
1203 |1202 |01:53:56 ~-~-> 01:54:04 |trying to pick the top right. So look at the look at the just the back and forth
1204 |1203 |01:54:04 ~-~-> 01:54:07 |that's in here. Like we get down to here, we poke it by a tick, and then
1205 |1204 |01:54:07 ~-~-> 01:54:12 |there's just a back end. These candles that keep overlapping each other to keep
1206 |1205 |01:54:12 ~-~-> 01:54:15 |overlapping. It's like a picket fence. Everything's real close to the same
1207 |1206 |01:54:15 ~-~-> 01:54:21 |previous you pick it in the fence that the boards, they all pretty much are
1208 |1207 |01:54:21 ~-~-> 01:54:26 |close to the same length and height than the next one is that's a day that's an
1209 |1208 |01:54:26 ~-~-> 01:54:32 |indication that you're in a day that is very, very comfortable being at the
1210 |1209 |01:54:32 ~-~-> 01:54:37 |price it's at. What does that mean? It means that there really isn't any
1211 |1210 |01:54:37 ~-~-> 01:54:44 |imbalance or inefficiencies. That's notable to cause the market to want to
1212 |1211 |01:54:44 ~-~-> 01:54:48 |go anywhere in one direction rather quickly. So you have to wait for those
1213 |1212 |01:54:48 ~-~-> 01:54:53 |displacements. Once they occur in price action, then you have, well, now you
1214 |1213 |01:54:53 ~-~-> 01:54:57 |have something to measure. You have the inefficiency. It's either a gap higher,
1215 |1214 |01:54:57 ~-~-> 01:55:01 |it's a gap lower. And then you measure how. This price react to it once it
1216 |1215 |01:55:01 ~-~-> 01:55:05 |trades back into that inefficiency. And then it tips its hand. It tells you,
1217 |1216 |01:55:05 ~-~-> 01:55:10 |okay, I'm likely to keep going in the direction of that gap. No, I'm going up
1218 |1217 |01:55:10 ~-~-> 01:55:16 |into that gap just to fade it. And now I go the other direction. There's that gap
1219 |1218 |01:55:16 ~-~-> 01:55:19 |that I said I wanted this. I would like to see it stay open, get hammered around
1220 |1219 |01:55:19 ~-~-> 01:55:22 |in here, and now we're trading right up into it here. So what I'm watching is
1221 |1220 |01:55:22 ~-~-> 01:55:27 |I'm watching the body of that candle. Does it close inside or above this?
1222 |1221 |01:55:27 ~-~-> 01:55:28 |Candles low, I'm
1223 |1222 |01:55:40 ~-~-> 01:55:50 |I imagine you're trying to pat you got 250 bucks, 250 bucks, and then you've
1224 |1223 |01:55:50 ~-~-> 01:55:54 |passed your combine, you'll have a funded account. And today you're trying
1225 |1224 |01:55:54 ~-~-> 01:56:02 |to trade, you'll turn that I need to make $250 into I blew it, or now it's
1226 |1225 |01:56:02 ~-~-> 01:56:06 |$1,000 I gotta make $1,000 versus about this was set still and wait until Monday
1227 |1226 |01:56:07 ~-~-> 01:56:10 |or sometime next week, where it was a better market condition, where it's
1228 |1227 |01:56:10 ~-~-> 01:56:14 |easy, it's markets making really nice, right? Price runs, there's obviously,
1229 |1228 |01:56:14 ~-~-> 01:56:19 |you can see where it's reaching for that's what I'm trying to train you to
1230 |1229 |01:56:19 ~-~-> 01:56:24 |see. Caleb, you know you've seen me working in ranges and days that it's
1231 |1230 |01:56:24 ~-~-> 01:56:28 |just where I'm pointing out how fast the market runs and how far it's traveling,
1232 |1231 |01:56:29 ~-~-> 01:56:33 |and not again. Don't be confused by what I'm referring to here, and then think
1233 |1232 |01:56:33 ~-~-> 01:56:36 |that that's what that was yesterday. Yesterday was it's just one directional
1234 |1233 |01:56:37 ~-~-> 01:56:44 |like you can't you can't navigate up and down in that type of day. It's just get
1235 |1234 |01:56:44 ~-~-> 01:56:48 |out of the way. Or you have this type of day here where, yes, there's
1236 |1235 |01:56:48 ~-~-> 01:56:54 |fluctuations occurring. There's fluctuations occurring. I kind of like
1237 |1236 |01:56:54 ~-~-> 01:56:58 |reveal them beginning of the session. I prefer to trade lower. I'd like to see
1238 |1237 |01:56:58 ~-~-> 01:57:07 |that consequent encroachment on this over here. I can see it trade down here
1239 |1238 |01:57:07 ~-~-> 01:57:12 |today. I may not see it today. It might make a higher high. It might erase the
1240 |1239 |01:57:12 ~-~-> 01:57:17 |retracement on the weekly range just today. Or we could trade down below that
1241 |1240 |01:57:17 ~-~-> 01:57:21 |30% level and trade even deeper, or just stay in the range it's already formed,
1242 |1241 |01:57:21 ~-~-> 01:57:27 |already for today, that the last thing I just said, I wouldn't be surprised if it
1243 |1242 |01:57:27 ~-~-> 01:57:34 |did that, because of how it's trading. So there's been times where I've talked
1244 |1243 |01:57:34 ~-~-> 01:57:41 |about how I don't trade on Mondays. I try to demand a whole lot from the
1245 |1244 |01:57:41 ~-~-> 01:57:44 |market on Monday for the purpose of using it on Tuesday and the rest of the
1246 |1245 |01:57:44 ~-~-> 01:57:50 |week for for directional bias targets, draws on liquidity that, that type of
1247 |1246 |01:57:50 ~-~-> 01:57:55 |thing. There are times when I don't want to trade on Fridays, and a Friday that
1248 |1247 |01:57:55 ~-~-> 01:58:03 |has had a really big run up and on Thursday, say it completes the the 20 or
1249 |1248 |01:58:03 ~-~-> 01:58:07 |30% retracement on the weekly range, which it didn't. It didn't do that. It
1250 |1249 |01:58:07 ~-~-> 01:58:13 |did it this morning by trading here. So when it did that, retracing like that,
1251 |1250 |01:58:13 ~-~-> 01:58:18 |that's 20% of the weekly range, and you can test that out on your weekly chart.
1252 |1251 |01:58:20 ~-~-> 01:58:25 |If it were to do a 20% retracement on a Thursday, when do I avoid trading
1253 |1252 |01:58:25 ~-~-> 01:58:30 |Friday? When it does that, I don't care what what the market does on a Friday in
1254 |1253 |01:58:30 ~-~-> 01:58:37 |that in that instance, then, if I have a big weekly range, the candle has been
1255 |1254 |01:58:37 ~-~-> 01:58:43 |rather elongated, and it's larger than the normal weekly ranges have been. And
1256 |1255 |01:58:45 ~-~-> 01:58:48 |anybody looking at what the last two weeks they can say that they they have
1257 |1256 |01:58:48 ~-~-> 01:58:53 |their rather large weekly candles if that's true. And then on Thursday,
1258 |1257 |01:58:53 ~-~-> 01:58:58 |before Thursday's close, we had, at any time, a 20% of that weekly range
1259 |1258 |01:58:58 ~-~-> 01:59:05 |retrace. I will not trade on a Friday, because you'll get this type of day
1260 |1259 |01:59:05 ~-~-> 01:59:09 |here, whereas we did get the 20% retracement here, because we got that.
1261 |1260 |01:59:10 ~-~-> 01:59:15 |This is for your notes. When you have that, it tends to create these types of
1262 |1261 |01:59:15 ~-~-> 01:59:21 |days or sessions. And because it's Friday, and it did it in the morning
1263 |1262 |01:59:21 ~-~-> 01:59:27 |session of Friday. That means, after that 20% retracement, then the market
1264 |1263 |01:59:27 ~-~-> 01:59:31 |can can become very fickle. And I've used this term before in the past, and
1265 |1264 |01:59:31 ~-~-> 01:59:35 |people in another country, so like, What do you mean? Talk plainly. Talk, talk in
1266 |1265 |01:59:35 ~-~-> 01:59:39 |more simple terms, because they don't understand what I'm saying. It means
1267 |1266 |01:59:39 ~-~-> 01:59:43 |that it's back and forth, back and forth, back and forth, and it becomes
1268 |1267 |01:59:44 ~-~-> 01:59:53 |very problematic to see a very easy, sustained price run or a multiple, a
1269 |1268 |01:59:53 ~-~-> 01:59:57 |large number of of opportunities intraday, whereas a day that's not like
1270 |1269 |01:59:57 ~-~-> 02:00:01 |this, and not one sided, like yesterday. Okay, where you can trade both
1271 |1270 |02:00:01 ~-~-> 02:00:06 |directions. The one minute chart gives you a lot of freedom to navigate up and
1272 |1271 |02:00:06 ~-~-> 02:00:10 |down, and you can get multiple opportunities to to measure 10 or 1520,
1273 |1272 |02:00:10 ~-~-> 02:00:16 |minute, 20 point, or handle runs. And get a lot of experience and practice.
1274 |1273 |02:00:16 ~-~-> 02:00:21 |And that practice becomes your model, your repertoire. And then when you have
1275 |1274 |02:00:21 ~-~-> 02:00:25 |a funded account, or you're trading with real money, you'll know what you're
1276 |1275 |02:00:25 ~-~-> 02:00:28 |doing, because you can identify the market conditions. Oh, this is a market
1277 |1276 |02:00:28 ~-~-> 02:00:32 |that's going to give me some some movement today, also by learning what
1278 |1277 |02:00:32 ~-~-> 02:00:36 |I'm teaching you today is you'll know when to anticipate these crappy market
1279 |1278 |02:00:36 ~-~-> 02:00:40 |environments. Because these are some of the things I'm going to talk about in
1280 |1279 |02:00:40 ~-~-> 02:00:43 |two weeks. I just give you one here, because it's salient whatever we're
1281 |1280 |02:00:43 ~-~-> 02:00:51 |anticipating, TGIF. And TGIF can form at 1pm on Thursdays, New York time. Okay.
1282 |1281 |02:00:51 ~-~-> 02:00:55 |Why 1pm because you have to at least give that hour lunch, noon to one
1283 |1282 |02:00:55 ~-~-> 02:01:04 |o'clock to do whatever it's going to do, and then at 1pm on Thursday, throughout
1284 |1283 |02:01:04 ~-~-> 02:01:10 |Friday, till Friday's close, I'm always anticipating a 20 to 30% retracement. If
1285 |1284 |02:01:10 ~-~-> 02:01:16 |we have any elongated larger than the last few weeks, weekly range, if it's
1286 |1285 |02:01:16 ~-~-> 02:01:21 |up, then I'm expecting 20 to 30% retracement from the highest height it's
1287 |1286 |02:01:21 ~-~-> 02:01:26 |formed at Thursday, 1pm Eastern, standard time going into Friday's
1288 |1287 |02:01:26 ~-~-> 02:01:37 |trading if at any time, if at any time, the market has a 20% retracement. As
1289 |1288 |02:01:37 ~-~-> 02:01:41 |soon as it does that, and if I have not had a trade, I am not going to trade
1290 |1289 |02:01:41 ~-~-> 02:01:46 |anymore for the rest of that week. I'm done for the week, because it's
1291 |1290 |02:01:46 ~-~-> 02:01:50 |fulfilled its upside objectives, and then it's retraced. So think about it as
1292 |1291 |02:01:50 ~-~-> 02:01:53 |a daily range power three. It's already done its movement. So now what am I
1293 |1292 |02:01:53 ~-~-> 02:01:57 |going to be doing? I'm gonna be trading in the uncertainty of where is it going
1294 |1293 |02:01:57 ~-~-> 02:02:01 |to go? Is it going to close higher on the week? Is it going to have a deeper
1295 |1294 |02:02:01 ~-~-> 02:02:07 |retracement? Is it going to close an unchanged, no real event, taking us out
1296 |1295 |02:02:07 ~-~-> 02:02:10 |of the consolidation? It's going to just meander around. Think about how a daily
1297 |1296 |02:02:10 ~-~-> 02:02:15 |candle closes in the last few minutes, the last 15 or 30 minutes of a day.
1298 |1297 |02:02:16 ~-~-> 02:02:20 |There's little things that take off and cause markets to run, but they're not
1299 |1298 |02:02:20 ~-~-> 02:02:24 |running 100 handles. They're not, they're not doing a whole lot of, you
1300 |1299 |02:02:24 ~-~-> 02:02:30 |know, excited, excited, animated movement. They're doing what. They're
1301 |1300 |02:02:30 ~-~-> 02:02:34 |staying in a really small range, off the high, off the low, and they're not
1302 |1301 |02:02:34 ~-~-> 02:02:37 |trying to make new ground, and they're not trying to trade back to the middle
1303 |1302 |02:02:37 ~-~-> 02:02:43 |of daily range either. So that's why you're seeing this type of action here,
1304 |1303 |02:02:44 ~-~-> 02:02:48 |because it's already done this part here, the 20% retracement. So the weekly
1305 |1304 |02:02:48 ~-~-> 02:02:52 |range has already, in my opinion, has already done all the work that it needs
1306 |1305 |02:02:52 ~-~-> 02:02:59 |to do. Now everybody else is sitting in here trying to do something extra. When
1307 |1306 |02:02:59 ~-~-> 02:03:03 |power three applied to the weekly candlestick has already completed its
1308 |1307 |02:03:03 ~-~-> 02:03:08 |role, its function. On the weekly candlestick has done its job. Now. Does
1309 |1308 |02:03:08 ~-~-> 02:03:12 |that mean prices is going to go sideways and never change and just create a
1310 |1309 |02:03:12 ~-~-> 02:03:16 |straight line to the horizontal line? Of course not. There's going to be
1311 |1310 |02:03:16 ~-~-> 02:03:20 |fluctuations in price, but the fluctuations in price are going to be
1312 |1311 |02:03:20 ~-~-> 02:03:24 |rather annoying, because they're not going to give you a lot of run. There's
1313 |1312 |02:03:24 ~-~-> 02:03:28 |not going to be a lot of magnitude and not a distance closing in on something
1314 |1313 |02:03:28 ~-~-> 02:03:34 |that's obviously it's reaching for. Does it make sense and give you a graphic
1315 |1314 |02:03:34 ~-~-> 02:03:38 |depiction? Because I'm not, I'm not satisfied with what I just said. I know
1316 |1315 |02:03:38 ~-~-> 02:03:42 |what I'm trying to articulate, but I don't think it's been communicated very
1317 |1316 |02:03:42 ~-~-> 02:03:44 |well. So let me, let me try to just do this for you.
1318 |1317 |02:03:49 ~-~-> 02:03:56 |Let's say, for an argument, that this is a candle on the daily Okay, so this is
1319 |1318 |02:03:56 ~-~-> 02:04:07 |daily power three. This is the highest high, and this is the lowest low. And
1320 |1319 |02:04:07 ~-~-> 02:04:10 |let's say, for instance, that the market starts trading and
1321 |1320 |02:04:24 ~-~-> 02:04:25 |uh, right There,
1322 |1321 |02:04:31 ~-~-> 02:04:33 |okay, and then it trades higher.
1323 |1322 |02:04:42 ~-~-> 02:04:46 |And this is where it closes for the day.
1324 |1323 |02:04:51 ~-~-> 02:04:57 |All right, so what we have here is, this is a hypothetical daily range. Let's for
1325 |1324 |02:04:57 ~-~-> 02:05:00 |the sake of argument, say that you believed in advance. That it was going
1326 |1325 |02:05:00 ~-~-> 02:05:06 |to be an up close day, or a big bullish day, and then once it goes to a target
1327 |1326 |02:05:08 ~-~-> 02:05:12 |and then starts to retrace, if we measure
1328 |1327 |02:05:19 ~-~-> 02:05:21 |the high to the low that day,
1329 |1328 |02:05:28 ~-~-> 02:05:41 |20 to 30% if the market comes off the high that it forms Here after it does
1330 |1329 |02:05:41 ~-~-> 02:05:47 |that, and you anticipate the market doing what coming off the high. It's not
1331 |1330 |02:05:47 ~-~-> 02:05:51 |always going to close on the high. If it's bullish like this, usually the
1332 |1331 |02:05:51 ~-~-> 02:05:57 |close is going to be an upper third of the candlestick. So that means here's
1333 |1332 |02:05:57 ~-~-> 02:06:02 |your half. So if you do it in 1/3 second, third, upper third. The close is
1334 |1333 |02:06:02 ~-~-> 02:06:06 |going to be an upper third of the candle for the daily range. That's power three.
1335 |1334 |02:06:06 ~-~-> 02:06:11 |That's new information, by the way, if you didn't write that down, you missed
1336 |1335 |02:06:11 ~-~-> 02:06:14 |it. But generally, what you'll find is that when it creates its objective to
1337 |1336 |02:06:14 ~-~-> 02:06:21 |the upside, it'll retrace 20 to 30% on the day, not always. But now, if we
1338 |1337 |02:06:21 ~-~-> 02:06:27 |apply this same logic to a daily candlestick, do we anticipate the market
1339 |1338 |02:06:27 ~-~-> 02:06:32 |closing on the highs? No, but if it starts closing on the highs, then we're
1340 |1339 |02:06:32 ~-~-> 02:06:35 |probably going to have a nice retracement or short the following day.
1341 |1340 |02:06:37 ~-~-> 02:06:43 |But what does it mean for this day, once we hit our target and we start trading
1342 |1341 |02:06:43 ~-~-> 02:06:50 |down into 20 to 30% of the range, it means it's less likely that we're going
1343 |1342 |02:06:50 ~-~-> 02:06:54 |to come back to that candles high, because it's already retraced, and now
1344 |1343 |02:06:54 ~-~-> 02:06:59 |it's going to want to try to settle between 20 and 30% of the range, In the
1345 |1344 |02:06:59 ~-~-> 02:07:07 |upper 1/3 percentage of the whole daily range. Now, if we take a quantum leap
1346 |1345 |02:07:07 ~-~-> 02:07:11 |outside of the daily range perspective and apply that same logic to the weekly
1347 |1346 |02:07:11 ~-~-> 02:07:16 |candlestick, the the elements of TGIF are simply this, when the market trades
1348 |1347 |02:07:16 ~-~-> 02:07:22 |up for the week, once it's proven itself that it wants to come back and start
1349 |1348 |02:07:22 ~-~-> 02:07:27 |retracing, which is what it does today here, and it trades back down into 20%
1350 |1349 |02:07:27 ~-~-> 02:07:34 |of the range. That's the equivalent of this. I'm not comfortable because I've
1351 |1350 |02:07:34 ~-~-> 02:07:38 |I've chopped up my accounts. I've hurt myself and lost accounts, trading
1352 |1351 |02:07:39 ~-~-> 02:07:42 |commodities, doing these types of things, thinking it's going to go back
1353 |1352 |02:07:42 ~-~-> 02:07:47 |up here and make a higher hot once it's done this for the week I'm done because
1354 |1353 |02:07:47 ~-~-> 02:07:52 |what you're essentially trying to say is because we traded down to 20% and now
1355 |1354 |02:07:52 ~-~-> 02:07:57 |we're going to save this candle diagram that's being crudely drawn out here by
1356 |1355 |02:07:57 ~-~-> 02:08:05 |me, represents the weekly candle. Okay, because we had the high here and it
1357 |1356 |02:08:05 ~-~-> 02:08:14 |traded down 20% here. I'm not confident once it does this to ever try to trade,
1358 |1357 |02:08:14 ~-~-> 02:08:21 |to get a new higher high. The the conditions between the high and the 20%
1359 |1358 |02:08:21 ~-~-> 02:08:28 |of retracement after a big up week generally creates these very lackluster,
1360 |1359 |02:08:28 ~-~-> 02:08:33 |choppy, not real exciting type of days. Can it go up and take the high out and
1361 |1360 |02:08:33 ~-~-> 02:08:39 |trade higher? Yes, but it doesn't do it more times than it does this type of
1362 |1361 |02:08:39 ~-~-> 02:08:44 |stuff. So when can we anticipate choppy price action? When not to get too
1363 |1362 |02:08:44 ~-~-> 02:08:49 |excited? You want to take a day off as a live streamer, or take a session off if
1364 |1363 |02:08:49 ~-~-> 02:08:53 |you trade in front of people and you know you're doing it live, this is a
1365 |1364 |02:08:53 ~-~-> 02:08:57 |real good way of saying, You know what? I feel confident that I'm not willing to
1366 |1365 |02:08:57 ~-~-> 02:09:03 |worry about what I leave on the table. I'm not worried about how you, my
1367 |1366 |02:09:03 ~-~-> 02:09:06 |audience, may see me, because this is an environment that I'm not trying to work
1368 |1367 |02:09:06 ~-~-> 02:09:10 |within, not that you can't find setups, not that you're not a good trader, not
1369 |1368 |02:09:10 ~-~-> 02:09:15 |You're not a profitable trader. It just means that if you spend time identifying
1370 |1369 |02:09:15 ~-~-> 02:09:20 |periods in price action where it's just simply not sexy enough to get me
1371 |1370 |02:09:20 ~-~-> 02:09:25 |involved with it. It isn't clean enough. It isn't obvious. It doesn't give you
1372 |1371 |02:09:25 ~-~-> 02:09:28 |very clear levels of this is what it wants to do. This is what it probably
1373 |1372 |02:09:28 ~-~-> 02:09:34 |will not do. And everything's a 5050 Do you want to trade in those environments
1374 |1373 |02:09:34 ~-~-> 02:09:39 |where it's 5050 or do you want to be when the market still hasn't traded up
1375 |1374 |02:09:39 ~-~-> 02:09:43 |to this level yet, and the market could potentially trade up and still reach for
1376 |1375 |02:09:43 ~-~-> 02:09:47 |something and always focusing on this kind of race going long. And then once
1377 |1376 |02:09:47 ~-~-> 02:09:52 |it hits that, then you can expect that it might have a 20 to 30% retracement.
1378 |1377 |02:09:52 ~-~-> 02:09:56 |So therefore, when you do get those levels up here, take the largest portion
1379 |1378 |02:09:56 ~-~-> 02:10:01 |off, 80, 75% of your trade off, because you don't know covid. 1pm on Thursday,
1380 |1379 |02:10:01 ~-~-> 02:10:06 |when that 20, 30% retracement can materialize, and you give up a whole lot
1381 |1380 |02:10:06 ~-~-> 02:10:10 |of profit trying to just simply be greedy and hope for the biggest run.
1382 |1381 |02:10:12 ~-~-> 02:10:16 |What I just said to you was something that took a lot of time for me to trust
1383 |1382 |02:10:17 ~-~-> 02:10:24 |and learn and stick to because watching price action, it's easy to convince
1384 |1383 |02:10:24 ~-~-> 02:10:28 |yourself, wow, this is going to do this or that, and it doesn't, and it
1385 |1384 |02:10:28 ~-~-> 02:10:29 |frustrates you.
1386 |1385 |02:10:38 ~-~-> 02:10:41 |So how do you know when to avoid certain days? When you know when to look for
1387 |1386 |02:10:41 ~-~-> 02:10:44 |this. Now I'm giving you a lot of that stuff. It's very dry information. I'll
1388 |1387 |02:10:44 ~-~-> 02:10:50 |admit it is very dry, but it's things that help me say I'm not going to go out
1389 |1388 |02:10:50 ~-~-> 02:10:53 |on Twitter today and talk about what candles are going to go up and down when
1390 |1389 |02:10:53 ~-~-> 02:10:58 |I was doing all that stuff, if it was days that were more likely to create
1391 |1390 |02:10:58 ~-~-> 02:11:03 |these type of wishy, washy days, like, Man, I'm not interested. I would tell my
1392 |1391 |02:11:03 ~-~-> 02:11:06 |private students, yeah, I'm not going to trade today. I don't like, I don't like,
1393 |1392 |02:11:06 ~-~-> 02:11:10 |I don't see anything. I'm not interested. That's the way it worked.
1394 |1393 |02:11:11 ~-~-> 02:11:14 |Sometimes it was to be there would be a day where I wish I would have done it in
1395 |1394 |02:11:14 ~-~-> 02:11:18 |hindsight, thinking, wow, you know, I didn't see all of this coming. It came
1396 |1395 |02:11:18 ~-~-> 02:11:23 |and started really painting out good, and that's going to happen too. You
1397 |1396 |02:11:23 ~-~-> 02:11:25 |can't expect to be perfect. You
1398 |1397 |02:11:40 ~-~-> 02:11:50 |so, so far, we've had a 20% retracement on the week, and then we have been just
1399 |1398 |02:11:50 ~-~-> 02:11:58 |grinding between the 7am start and that 20% retracement in the upper quadrant of
1400 |1399 |02:11:58 ~-~-> 02:11:59 |yesterday's opening range. I
1401 |1400 |02:12:16 ~-~-> 02:12:18 |I'm watching how It behaves in here. I
1402 |1401 |02:12:54 ~-~-> 02:13:03 |I'm quite certain if Caleb wasn't wasn't used to seeing me do this stuff next to
1403 |1402 |02:13:03 ~-~-> 02:13:06 |him live and tell him what's going to happen and trade it and watch how it
1404 |1403 |02:13:06 ~-~-> 02:13:11 |pans out, whatnot. He would be thinking like there's no way I'm doing all this.
1405 |1404 |02:13:13 ~-~-> 02:13:16 |I wouldn't. I will not be doing all this stuff. I can't do it. I'm not
1406 |1405 |02:13:16 ~-~-> 02:13:20 |interested. It's too boring. It's dry. It won't I just don't see myself doing
1407 |1406 |02:13:20 ~-~-> 02:13:26 |it, so I understand how many of you, and I'm I'm sure there's a large number of
1408 |1407 |02:13:26 ~-~-> 02:13:30 |you that maybe started watching the stream, but then said, Yeah, I can't, I
1409 |1408 |02:13:30 ~-~-> 02:13:34 |can't, I can't watch this. But this is the part that you have to go through,
1410 |1409 |02:13:34 ~-~-> 02:13:39 |like you gotta look at price action. You have to do that because you don't know
1411 |1410 |02:13:39 ~-~-> 02:13:42 |what you're going to be choosing as a model, unless you're going to force
1412 |1411 |02:13:42 ~-~-> 02:13:45 |yourself into a model, which I've already produced, some of that stuff
1413 |1412 |02:13:45 ~-~-> 02:13:50 |already. And for some people, that doesn't work. For him, not because his
1414 |1413 |02:13:50 ~-~-> 02:13:55 |concepts don't work, but it doesn't fit them. Doesn't give them comfort knowing
1415 |1414 |02:13:55 ~-~-> 02:13:58 |that what they're doing makes sense to them. They can see it, why it should
1416 |1415 |02:13:58 ~-~-> 02:14:06 |behave way and trade at certain time of day. It's that's a reality to it, and
1417 |1416 |02:14:06 ~-~-> 02:14:13 |that's why I teach the way I do. I teach it where you'll see something that makes
1418 |1417 |02:14:13 ~-~-> 02:14:17 |sense for you, and you might have a very easy, low hanging fruit objective,
1419 |1418 |02:14:17 ~-~-> 02:14:21 |where, if I could just get eight handles, you know, it doesn't need to be
1420 |1419 |02:14:21 ~-~-> 02:14:26 |10. ICT. I just think if I got eight handles three times a week, that's
1421 |1420 |02:14:26 ~-~-> 02:14:31 |plenty enough for me. You know what? Some of you might hear that and think,
1422 |1421 |02:14:31 ~-~-> 02:14:34 |man, that's not enough. I wouldn't do that. And other people like, you know, I
1423 |1422 |02:14:34 ~-~-> 02:14:41 |never thought about that. That means I could take two days off. Yeah, like, but
1424 |1423 |02:14:41 ~-~-> 02:14:47 |you're thinking, I gotta be here every day. I gotta be here every session. I
1425 |1424 |02:14:47 ~-~-> 02:14:51 |gotta trade Forex, I gotta trade futures, I gotta trade crypto, I gotta
1426 |1425 |02:14:51 ~-~-> 02:14:55 |trade everything. And then when you start putting your hands in all of that,
1427 |1426 |02:14:55 ~-~-> 02:14:59 |you take a step back. What are you really accomplishing? You're gonna find
1428 |1427 |02:14:59 ~-~-> 02:15:02 |it the more. Or you try to do the less you actually achieve that.
1429 |1428 |02:15:21 ~-~-> 02:15:25 |So if it spikes through that fair value gap that's in orange, where can it spike
1430 |1429 |02:15:25 ~-~-> 02:15:31 |into New Day opening gap? And because we have those relative equal highs there,
1431 |1430 |02:15:31 ~-~-> 02:15:39 |we want to see, does it have the ability to trade above the end dog and maybe
1432 |1431 |02:15:39 ~-~-> 02:15:43 |spike through it and touch this again and then accelerate through here,
1433 |1432 |02:15:43 ~-~-> 02:15:49 |because otherwise there's no reason for it to have been here, for it to do all
1434 |1433 |02:15:49 ~-~-> 02:15:52 |this and not take that out at the minimum is foolishness.
1435 |1434 |02:15:58 ~-~-> 02:16:05 |If I was Phil, I would just simply run it here, spike it up onto Here
1436 |1435 |02:16:06 ~-~-> 02:16:11 |with three candles out there. That's just me. I
1437 |1436 |02:16:42 ~-~-> 02:16:49 |Now, think about like this, say, for instance, that we did not get this
1438 |1437 |02:16:49 ~-~-> 02:16:54 |retracement on the weekly range of 20% so it means the highest high and the
1439 |1438 |02:16:54 ~-~-> 02:16:59 |lowest low of this particular trading week. Okay, say we didn't get that 20%
1440 |1439 |02:16:59 ~-~-> 02:17:06 |retracement yet and where we're trading time wise, not price wise. Time wise, I
1441 |1440 |02:17:06 ~-~-> 02:17:10 |would expect the market to try to sell off, to try to explore that 20% but
1442 |1441 |02:17:10 ~-~-> 02:17:17 |because we have had this happen already here, right there, it's more likely that
1443 |1442 |02:17:17 ~-~-> 02:17:27 |it's going to create a lot of price action, that is, it's fuzzy, okay, like
1444 |1443 |02:17:27 ~-~-> 02:17:30 |it's it's real fuzzy, back and forth, back and forth, back and forth. It's
1445 |1444 |02:17:30 ~-~-> 02:17:36 |going certain places, yes, but it's not running like from here. Displacement,
1446 |1445 |02:17:38 ~-~-> 02:17:43 |inefficiency, displacement, inefficiency, displacement. You see that
1447 |1446 |02:17:43 ~-~-> 02:17:52 |contrast this with all this garbage. Okay, when does that come into the
1448 |1447 |02:17:52 ~-~-> 02:17:56 |marketplace? When is it? When is it visible in price after it's already
1449 |1448 |02:17:56 ~-~-> 02:18:01 |done, 20% retracement on the week? So now it's going to take something for
1450 |1449 |02:18:01 ~-~-> 02:18:06 |Well, let's say it this way. It's going to be a manual intervention for it to
1451 |1450 |02:18:06 ~-~-> 02:18:12 |create a higher high in the week. There you go. And I can anticipate sometimes
1452 |1451 |02:18:12 ~-~-> 02:18:18 |that occurring, but mostly I don't know when it's likely to occur, but usually
1453 |1452 |02:18:18 ~-~-> 02:18:22 |it's like FOMC. Obviously they're timed by the economic calendar. But when there
1454 |1453 |02:18:22 ~-~-> 02:18:26 |is nothing in the economic calendar, and the hand, if you will, comes into the
1455 |1454 |02:18:26 ~-~-> 02:18:32 |marketplace and starts manipulating and driving price to a specific price level,
1456 |1455 |02:18:33 ~-~-> 02:18:38 |they will come out of the woodwork at times when I don't expect it, but it
1457 |1456 |02:18:38 ~-~-> 02:18:43 |will take something like that after 20% or 30% has been met as a retracement in
1458 |1457 |02:18:43 ~-~-> 02:18:47 |the same week, and then if it goes and retraces and runs higher, that's always
1459 |1458 |02:18:47 ~-~-> 02:18:52 |absolutely 100% manual intervention. That means they are rigging it. They're
1460 |1459 |02:18:52 ~-~-> 02:18:58 |pricing it in there, the market makers, if you will. They're behind it, and you
1461 |1460 |02:18:58 ~-~-> 02:19:02 |will see very, very low volume, send it there. So that kind of like laughs in
1462 |1461 |02:19:02 ~-~-> 02:19:07 |the face of it's buying, selling perser, all right, so we're back in the new day,
1463 |1462 |02:19:07 ~-~-> 02:19:12 |opening gap. We found our way above it. Now we're inside of it in here. Now you
1464 |1463 |02:19:12 ~-~-> 02:19:20 |can touch this here and see how it reacts off of that. So here's a question
1465 |1464 |02:19:20 ~-~-> 02:19:26 |for you, is it something easier for the market to trade to the liquidity that's
1466 |1465 |02:19:26 ~-~-> 02:19:31 |resting right above these relative equal highs, or is it more likely to go not
1467 |1466 |02:19:31 ~-~-> 02:19:37 |here, but all the way back down here? Which one's easier to do? Which one's
1468 |1467 |02:19:37 ~-~-> 02:19:38 |more likely to occur? I
1469 |1468 |02:19:59 ~-~-> 02:20:04 |If it. Run these highs. Is it out of the question for it to go over here and
1470 |1469 |02:20:04 ~-~-> 02:20:10 |upset where it's smooth? Does it need to go all the way back up to here? No. Why
1471 |1470 |02:20:10 ~-~-> 02:20:17 |is this high is higher than that one this high is higher than the one to the
1472 |1471 |02:20:17 ~-~-> 02:20:23 |right. This high is higher than the one to the right. So which one's the valid
1473 |1472 |02:20:23 ~-~-> 02:20:33 |relative equal high, this one and this one is this relative equal low seen with
1474 |1473 |02:20:33 ~-~-> 02:20:43 |a lower or higher low here, it's lower on that One. So which one's more
1475 |1474 |02:20:43 ~-~-> 02:20:46 |probable? The buy side. I
1476 |1475 |02:21:05 ~-~-> 02:21:11 |now what would be neat, this is how I would really do it. I would pump it from
1477 |1476 |02:21:11 ~-~-> 02:21:17 |where it's at here, clear the nine, 590, level. I would sweep 601, on a
1478 |1477 |02:21:17 ~-~-> 02:21:25 |candlestick, wick, just a wick, no body. And then I would slam it down below and
1479 |1478 |02:21:25 ~-~-> 02:21:32 |take out the low of the day. That's how, that's how I would do it. And I would
1480 |1479 |02:21:32 ~-~-> 02:21:36 |keep the weekly high in check, not not take the weekly high out. It would take
1481 |1480 |02:21:36 ~-~-> 02:21:42 |out the high of day day session. That's here, the day, day session high is that
1482 |1481 |02:21:42 ~-~-> 02:21:48 |candlestick right there. So that way you can sweep that that's disturbed. This is
1483 |1482 |02:21:48 ~-~-> 02:21:55 |taken out, and we're still leaving the weekly range high in play. It. This
1484 |1483 |02:21:55 ~-~-> 02:21:58 |doesn't get take it doesn't get taken out. Doesn't get traded too and then run
1485 |1484 |02:21:58 ~-~-> 02:22:02 |it all the way lower and take out the people down here that have been trying
1486 |1485 |02:22:02 ~-~-> 02:22:06 |to make money all day, continuing the run that's been done for the last two
1487 |1486 |02:22:06 ~-~-> 02:22:11 |weeks, like two full weeks of up, up, up, up, up. But knock these individuals
1488 |1487 |02:22:11 ~-~-> 02:22:16 |out that are short, that would be positioned to be profitable, and knock
1489 |1488 |02:22:16 ~-~-> 02:22:22 |on anyone that has a stop loss there. So they rode this down. And then you have
1490 |1489 |02:22:22 ~-~-> 02:22:29 |this, they bump that and then it drops. But that drop would be fast. It would be
1491 |1490 |02:22:29 ~-~-> 02:22:35 |furious. It would be like sudden, not a drifting, fuzzy drop, like this stuff in
1492 |1491 |02:22:35 ~-~-> 02:22:39 |here, like all this stuff, and that's too fuzzy. You want to see it look like
1493 |1492 |02:22:39 ~-~-> 02:22:42 |this, where it's just Ride the Lightning.
1494 |1493 |02:22:45 ~-~-> 02:22:50 |It's a metallic reference for those, Oh man, play some metallic i
1495 |1494 |02:23:20 ~-~-> 02:23:43 |I was supposed to close this at 1130 this guy's a liar.
1496 |1495 |02:23:49 ~-~-> 02:23:51 |You get an extra you didn't have to pay for it. I
1497 |1496 |02:24:07 ~-~-> 02:24:13 |Okay, would you feel confident if you were long and if you were short? Would
1498 |1497 |02:24:13 ~-~-> 02:24:16 |you feel confident? Let's say your stop loss is right here,
1499 |1498 |02:24:18 ~-~-> 02:24:18 |and You're short,
1500 |1499 |02:24:20 ~-~-> 02:24:21 |would you feel comfortable right now?
1501 |1500 |02:24:42 ~-~-> 02:24:46 |Watch that orange range. See if we can get a single candle come in and tap it
1502 |1501 |02:24:46 ~-~-> 02:24:55 |again. Same thing for that end dog. Get above it. See if there's a single candle
1503 |1502 |02:24:55 ~-~-> 02:25:00 |that comes down and touches it. Then you study that one and see if it. Runs from
1504 |1503 |02:25:00 ~-~-> 02:25:07 |that. If you can either touch this or a touch, it's gotta leave it. It can't do
1505 |1504 |02:25:07 ~-~-> 02:25:10 |that. That's not what I'm referring to. It's gotta close a candle, come down and
1506 |1505 |02:25:10 ~-~-> 02:25:14 |start a new candle, and then touch it either the high, consequent
1507 |1506 |02:25:14 ~-~-> 02:25:20 |encouragement or the low. It can spike as low as this one here, and study and
1508 |1507 |02:25:20 ~-~-> 02:25:24 |see if it goes to these relative equal highs to bump the high of the day. And
1509 |1508 |02:25:24 ~-~-> 02:25:29 |if it can reach there, does it have the Moxie to reach up into and spike through
1510 |1509 |02:25:30 ~-~-> 02:25:39 |these clean levels right here? All right now, watch the next candle. We hit it.
1511 |1510 |02:25:39 ~-~-> 02:25:39 |You.
1512 |1511 |02:25:49 ~-~-> 02:25:50 |Right Here's where there's bicycle.
1513 |1512 |02:26:02 ~-~-> 02:26:49 |So I trade it up, open, trade down. Touched it rally. This is balanced. Like
1514 |1513 |02:26:49 ~-~-> 02:26:53 |To see this portion stay open. Tune that countless high neck and low. I
1515 |1514 |02:27:05 ~-~-> 02:27:10 |How many handles is this? From the new day, opening gap high
1516 |1515 |02:27:12 ~-~-> 02:27:13 |to the high here,
1517 |1516 |02:27:16 ~-~-> 02:27:22 |20 handles, right? So that's a that's a minimum for me, that's a minimum range
1518 |1517 |02:27:22 ~-~-> 02:27:27 |for targeting purposes. So if it's a setup that affords me the setup to
1519 |1518 |02:27:29 ~-~-> 02:27:35 |identify where price could reach, where it could start in the inception of the
1520 |1519 |02:27:35 ~-~-> 02:27:39 |price run. So in other words, I can frame something as a beginning point and
1521 |1520 |02:27:39 ~-~-> 02:27:48 |I can frame something as a terminus. If it's 20 handles for nq, that is a trade
1522 |1521 |02:27:48 ~-~-> 02:27:53 |that is, in my opinion, worth it. If it's less than I'm not interested in it.
1523 |1522 |02:27:53 ~-~-> 02:27:57 |Does that make sense visually? Now, regardless if it goes up here or not, it
1524 |1523 |02:27:57 ~-~-> 02:28:02 |has to have the range between where the trade could begin and where the trade
1525 |1524 |02:28:02 ~-~-> 02:28:06 |could draw to, because we have these relative equal highs up here. They may
1526 |1525 |02:28:06 ~-~-> 02:28:11 |bump the high of the day, which is this relative equal high? They could bump
1527 |1526 |02:28:11 ~-~-> 02:28:15 |that clear it, and how far can it clear it. We have those relative equal highs
1528 |1527 |02:28:15 ~-~-> 02:28:15 |to the left
1529 |1528 |02:28:17 ~-~-> 02:28:23 |over here. We're referring to all session. Okay, so
1530 |1529 |02:28:31 ~-~-> 02:28:35 |let's see we had this gap close in. It doesn't change. It just means that it's
1531 |1530 |02:28:35 ~-~-> 02:28:36 |better for it to stay open. We're
1532 |1531 |02:28:48 ~-~-> 02:28:53 |it would have to be below this volume and balance press stop for the ones that
1533 |1532 |02:28:53 ~-~-> 02:28:58 |aren't wondering what that would be. So your risk would be there, and deference
1534 |1533 |02:28:58 ~-~-> 02:29:03 |to that candle right there, that low plus up tick up, because it has to be if
1535 |1534 |02:29:03 ~-~-> 02:29:06 |you're trying to use a new day opening gap. High, that's the first barrier,
1536 |1535 |02:29:06 ~-~-> 02:29:10 |easiest low threshold for barrier of entry. That means you're picking the one
1537 |1536 |02:29:10 ~-~-> 02:29:15 |that's most likely easiest to fill. If you're trying to get consequence of the
1538 |1537 |02:29:15 ~-~-> 02:29:18 |new day opening gap, you would never gotten filled. If you're trying to use
1539 |1538 |02:29:18 ~-~-> 02:29:22 |the low of it, you never would have gotten filled. So the high plus one tick
1540 |1539 |02:29:22 ~-~-> 02:29:26 |your fill would be there. Your stop loss would be below. This candle is open.
1541 |1540 |02:29:26 ~-~-> 02:29:27 |That's the risk.
1542 |1541 |02:29:30 ~-~-> 02:29:31 |It's not much, but it
1543 |1542 |02:29:37 ~-~-> 02:29:41 |would have been better if it were left that cap open. Here. I would like to see
1544 |1543 |02:29:41 ~-~-> 02:29:46 |that stay open, but now we're gonna get a real example of what it looks like
1545 |1544 |02:29:46 ~-~-> 02:29:54 |when it does close it. How does it behave? See where we're trading at right
1546 |1545 |02:29:54 ~-~-> 02:29:59 |now. So first I'm.
1547 |1546 |02:30:20 ~-~-> 02:30:36 |I Costco encroachment on the wick, see where we're trading.
1548 |1547 |02:30:37 ~-~-> 02:30:42 |So we want to see if it can gravitate towards that high or these highs rather,
1549 |1548 |02:30:47 ~-~-> 02:30:51 |I promise you, on cleaner days, it's going to be a lot more fun, but you have
1550 |1549 |02:30:51 ~-~-> 02:30:54 |to go through these days because you're going to trade with these type days as
1551 |1550 |02:30:55 ~-~-> 02:30:58 |well. So it doesn't do you good. This is why I was trying to teach my students in
1552 |1551 |02:30:58 ~-~-> 02:31:06 |2016 when I would go through and point out certain things in price action to
1553 |1552 |02:31:06 ~-~-> 02:31:12 |start giving them a baseline to what to look for, what's important, what's not
1554 |1553 |02:31:12 ~-~-> 02:31:16 |all that important. What are going to be things that are be concerning for the
1555 |1554 |02:31:16 ~-~-> 02:31:21 |trade, for the idea for the price to be moving a specific level, or how it
1556 |1555 |02:31:21 ~-~-> 02:31:29 |should deliver. I had so many people quit the first two months because they
1557 |1556 |02:31:29 ~-~-> 02:31:34 |were not willing to sit and observe. Because you're How can you identify
1558 |1557 |02:31:34 ~-~-> 02:31:41 |something like, how can you, how can you identify it, if it doesn't pan out with
1559 |1558 |02:31:41 ~-~-> 02:31:45 |repetition, if you will. If you don't see it constantly, you know, panning
1560 |1559 |02:31:45 ~-~-> 02:31:50 |out. How can you identify it on your own? Because if it was easy and it was
1561 |1560 |02:31:50 ~-~-> 02:31:53 |something that everybody can do, everybody could write the same book,
1562 |1561 |02:31:54 ~-~-> 02:31:58 |reword it differently, but it's the same pattern or same thing that occurs in
1563 |1562 |02:31:58 ~-~-> 02:32:04 |price action, and then we wouldn't need to have people like educators and
1564 |1563 |02:32:04 ~-~-> 02:32:07 |mentors and stuff. They could just everybody does the same thing, because
1565 |1564 |02:32:07 ~-~-> 02:32:11 |we can see it one time and know what we're doing. Do you drop down in that
1566 |1565 |02:32:11 ~-~-> 02:32:16 |consequent question with an end dog? That's pretty sharp,
1567 |1566 |02:32:21 ~-~-> 02:32:26 |so you have to sit and watch, and by watching and forcing yourself in days
1568 |1567 |02:32:26 ~-~-> 02:32:31 |where it's going to be harder for you to do it, pretending that it's going to be
1569 |1568 |02:32:31 ~-~-> 02:32:36 |easy. And if I put my students in conditions where it's obvious, it's
1570 |1569 |02:32:36 ~-~-> 02:32:40 |easy, it's going to be really easy, fast runs to everything that we point out
1571 |1570 |02:32:41 ~-~-> 02:32:45 |that gives you a false sense of security. It makes it feel like, well,
1572 |1571 |02:32:46 ~-~-> 02:32:49 |I'm ready to go out there and trade with real money. But when you start watching
1573 |1572 |02:32:49 ~-~-> 02:32:53 |price action over more challenging conditions, which we are in challenging
1574 |1573 |02:32:53 ~-~-> 02:33:01 |conditions, anyone that has been trading longer than a couple years can tell you
1575 |1574 |02:33:01 ~-~-> 02:33:07 |that how we're trading now. These are very difficult market conditions prior
1576 |1575 |02:33:07 ~-~-> 02:33:18 |to, let's say, 2010 Okay, or 2007 totally different kind of market
1577 |1576 |02:33:18 ~-~-> 02:33:23 |conditions. They're they're a whole lot more volatile, which is fun, but that
1578 |1577 |02:33:23 ~-~-> 02:33:25 |volatility comes with it with a price,
1579 |1578 |02:33:31 ~-~-> 02:33:34 |and it causes a whole lot more opportunities for the market to be
1580 |1579 |02:33:34 ~-~-> 02:33:42 |challenging. So we have this market trade above this high there. So that
1581 |1580 |02:33:42 ~-~-> 02:33:45 |would be a opportunity for you. If you're going to be doing partials, you
1582 |1581 |02:33:45 ~-~-> 02:33:49 |have to entertain the idea that would be a partial because your first highs here
1583 |1582 |02:33:50 ~-~-> 02:33:55 |Terminus is here. Terminus is where you think the trade is going to go to. That
1584 |1583 |02:33:55 ~-~-> 02:34:00 |means it's going to book price to that price level. That's you frame it. So if
1585 |1584 |02:34:00 ~-~-> 02:34:03 |you think price is going to go to a particular level in your notations, and
1586 |1585 |02:34:03 ~-~-> 02:34:07 |you're annotating, that's Terminus. That kills the idea for you and you're
1587 |1586 |02:34:07 ~-~-> 02:34:11 |satisfied. It does not mean it can't go further. It just means that that's what
1588 |1587 |02:34:11 ~-~-> 02:34:17 |you're trying to frame for that move. And if it affords you in here, when it
1589 |1588 |02:34:17 ~-~-> 02:34:21 |touched here, and it arrived this high, when it retraced back down in and ran
1590 |1589 |02:34:21 ~-~-> 02:34:25 |out one more time soon as it takes out that high, this is called running down
1591 |1590 |02:34:25 ~-~-> 02:34:29 |equity. Okay, my private students know this. I don't know if I mentioned it in
1592 |1591 |02:34:29 ~-~-> 02:34:35 |any lectures. I don't know if I did that publicly, but all my private students
1593 |1592 |02:34:35 ~-~-> 02:34:40 |know this. And anytime you're in a trade and you're long, if you have a short
1594 |1593 |02:34:40 ~-~-> 02:34:48 |term high before the run gets to your target, but it has to be at least 50% of
1595 |1594 |02:34:48 ~-~-> 02:34:52 |the run. So I think it's halfway to where you think it's going to go. What
1596 |1595 |02:34:52 ~-~-> 02:34:59 |does that mean? This is where we were watching it start. So from here to here,
1597 |1596 |02:34:59 ~-~-> 02:35:06 |we're. It that highs above it, isn't it? So if it passes through it one time, you
1598 |1597 |02:35:06 ~-~-> 02:35:09 |have to take a partial there. So if you're learning how to take partials,
1599 |1598 |02:35:09 ~-~-> 02:35:14 |your partial will be taken there. That right there, that would have been
1600 |1599 |02:35:14 ~-~-> 02:35:20 |stopped. So you would have partial one stop on the balance. You log it. How
1601 |1600 |02:35:20 ~-~-> 02:35:24 |much time did it take entry on one candle? One minute, two, minute, three
1602 |1601 |02:35:24 ~-~-> 02:35:28 |minute, four minutes for partial five if your limit order was a little bit
1603 |1602 |02:35:28 ~-~-> 02:35:32 |higher, let's be real and say it's five minutes, five minutes. And then you got
1604 |1603 |02:35:32 ~-~-> 02:35:38 |stopped out on 6789, minutes. So nine minutes into the the setup, nine minutes
1605 |1604 |02:35:38 ~-~-> 02:35:44 |are stopped on the balance one partial, and you go to the next setup. So it
1606 |1605 |02:35:44 ~-~-> 02:35:47 |gives you data. It gives you how much time did it move? What was the distance
1607 |1606 |02:35:47 ~-~-> 02:35:59 |from the entry 70 to we'll just call it 1010, handles with spread, both in, both
1608 |1607 |02:35:59 ~-~-> 02:36:07 |in and out. So you can go in and start now, let me take this off. I promise it
1609 |1608 |02:36:07 ~-~-> 02:36:12 |doesn't feel fun, but this is all the stuff that you use to figure out how,
1610 |1609 |02:36:12 ~-~-> 02:36:16 |where to place a stop loss, where to take partials, when's the market gonna
1611 |1610 |02:36:16 ~-~-> 02:36:23 |be harder? How to how to frame the setup, where's the terminus, when,
1612 |1611 |02:36:23 ~-~-> 02:36:26 |what's the first threshold that you have to breach before you can even consider
1613 |1612 |02:36:26 ~-~-> 02:36:29 |taking a partial, not just as because you're in a trade, you got 500 bucks,
1614 |1613 |02:36:29 ~-~-> 02:36:32 |and you've never seen that before. Let me just take something off because I'm
1615 |1614 |02:36:32 ~-~-> 02:36:36 |afraid that's impulsive, that's emotional. So you have to have rules and
1616 |1615 |02:36:36 ~-~-> 02:36:41 |processes and protocols to follow, and over time, it'll give you more and more
1617 |1616 |02:36:41 ~-~-> 02:36:45 |experience, and you'll trust it. I'm watching how they're wicking in this all
1618 |1617 |02:36:45 ~-~-> 02:36:49 |here we traded back down into the volume imbalance, so that might be just an area
1619 |1618 |02:36:49 ~-~-> 02:36:51 |where they have re accumulated.
1620 |1619 |02:36:57 ~-~-> 02:37:01 |So I'm watching to see, can we maybe entertain the idea of getting back above
1621 |1620 |02:37:01 ~-~-> 02:37:06 |this here, if it touches it, we'll try to do another observation on that one.
1622 |1621 |02:37:08 ~-~-> 02:37:12 |So we traded once more here. I would have, if you remember, right back here I
1623 |1622 |02:37:12 ~-~-> 02:37:16 |said it could trade back down and touch this one more time. It did a little bit
1624 |1623 |02:37:16 ~-~-> 02:37:19 |too late for my liking. So now I would demand for it to trade above, get into
1625 |1624 |02:37:19 ~-~-> 02:37:24 |this one, and then treat that same fair value gap again, put a new candle. It's
1626 |1625 |02:37:24 ~-~-> 02:37:29 |got to go above it. New candle open, go down and trade into it. Then see if we
1627 |1626 |02:37:29 ~-~-> 02:37:34 |can start setting up here, and maybe challenge the high of the day. If we
1628 |1627 |02:37:34 ~-~-> 02:37:39 |lose this gap here, then I will, I will change my focus to weakness, going into
1629 |1628 |02:37:39 ~-~-> 02:37:53 |close. But right now my focus is here, and maybe as much as up here. But did
1630 |1629 |02:37:53 ~-~-> 02:37:58 |you see how we rallied? Gave a little bit of range, came back, dug in deep.
1631 |1630 |02:37:59 ~-~-> 02:38:02 |Now I know some of you are actually taking these trades, and you should not
1632 |1631 |02:38:02 ~-~-> 02:38:05 |be doing it. You should not be using where I said, this is where the stock
1633 |1632 |02:38:05 ~-~-> 02:38:08 |would be. Don't put their liquidity there, because there's so many people
1634 |1633 |02:38:08 ~-~-> 02:38:14 |following this live stream. By you doing that in the markets this close, you're
1635 |1634 |02:38:14 ~-~-> 02:38:20 |creating a very easy, very easy target for them to push a button, open the
1636 |1635 |02:38:20 ~-~-> 02:38:25 |spreads make it run and go right down there and fill it. You get stopped out,
1637 |1636 |02:38:25 ~-~-> 02:38:31 |and there you go. I'm teaching you how to read it, and when you read it, you're
1638 |1637 |02:38:31 ~-~-> 02:38:36 |not on the internet with 20,000 people telling them to put the same stop loss
1639 |1638 |02:38:36 ~-~-> 02:38:44 |where yours is at. I see it spiked above it there, but didn't give me the body. I
1640 |1639 |02:38:45 ~-~-> 02:38:49 |want to see it go above it, close above it, open a new candle, and then see what
1641 |1640 |02:38:49 ~-~-> 02:38:56 |we do by touching it. Then, if it does it, I think it's going to be real fast,
1642 |1641 |02:38:56 ~-~-> 02:39:00 |like it'll run real, real quick, if at all. If it's going to go up there and
1643 |1642 |02:39:00 ~-~-> 02:39:07 |take those relative equal hides out. It'll be a fast run, because we're real
1644 |1643 |02:39:07 ~-~-> 02:39:11 |close to high day liquidity, and they're not going to want to let them pull those
1645 |1644 |02:39:11 ~-~-> 02:39:15 |orders out. So how they overcome that? They do a real quick, fast, sudden run.
1646 |1645 |02:39:15 ~-~-> 02:39:15 |I
1647 |1646 |02:39:37 ~-~-> 02:39:42 |Okay, watch this candle here. I'm
1648 |1647 |02:39:49 ~-~-> 02:39:54 |six pence, None the Richer comes to mind. Song, kiss me. I want to see it.
1649 |1648 |02:39:54 ~-~-> 02:39:57 |Just touch that right there, but I'm looking at that wick, and it's just real
1650 |1649 |02:39:57 ~-~-> 02:40:04 |hard to get just the consequent career. Minute went into that all right now, go
1651 |1650 |02:40:04 ~-~-> 02:40:10 |back to that analogy. Your stop loss is here. You've been short all day. You've
1652 |1651 |02:40:10 ~-~-> 02:40:16 |been feeling sexy, you've been feeling smart. Do you feel good right now? Say
1653 |1652 |02:40:16 ~-~-> 02:40:21 |you've been smarter than those guys and you've had your stop up here. Do you
1654 |1653 |02:40:21 ~-~-> 02:40:23 |feel smart? Do you feel safe? I
1655 |1654 |02:40:58 ~-~-> 02:41:00 |the Next candle should Send us.
1656 |1655 |02:41:22 ~-~-> 02:41:57 |You I imagine your stop loss is sitting right there at 592 and you're thinking,
1657 |1656 |02:41:58 ~-~-> 02:42:01 |I really wish I would have listened to taking partials to ICT videos talks
1658 |1657 |02:42:01 ~-~-> 02:42:07 |about. So now for here, what's to say that we can't run up there and take that
1659 |1658 |02:42:07 ~-~-> 02:42:15 |601 50 level out, because it's too it's too smooth up there. Too smooth. Why
1660 |1659 |02:42:15 ~-~-> 02:42:20 |would they let them off the hook? Right? If you're so close to that, why not just
1661 |1660 |02:42:20 ~-~-> 02:42:28 |simply put a pairing of two orders on short and long, right at six, oh, 1.75
1662 |1661 |02:42:31 ~-~-> 02:42:38 |so all you gotta do is match up one market order short and sold and long and
1663 |1662 |02:42:38 ~-~-> 02:42:42 |short, basically, and then all of a sudden, the folks that have their stop
1664 |1663 |02:42:42 ~-~-> 02:42:48 |loss at that level or just above it, they get engaged, but there's no
1665 |1664 |02:42:48 ~-~-> 02:42:49 |honeymoon in afterwards
1666 |1665 |02:42:51 ~-~-> 02:42:51 |divorce. So you
1667 |1666 |02:42:54 ~-~-> 02:43:01 |want to screenshot that. Okay, so I've given you instances where you would read
1668 |1667 |02:43:01 ~-~-> 02:43:06 |it, you get a partial, you get stopped out, you look for it to give you a feel.
1669 |1668 |02:43:07 ~-~-> 02:43:11 |It just falls short of touching it. You wouldn't even feel there. But then it
1670 |1669 |02:43:11 ~-~-> 02:43:15 |runs. So in a real world, while you're learning, this is what it's going to
1671 |1670 |02:43:15 ~-~-> 02:43:18 |feel like when you're doing your observations, you're going to have a
1672 |1671 |02:43:18 ~-~-> 02:43:22 |good feel for what it's likely to do, you're gonna have a real good inkling
1673 |1672 |02:43:22 ~-~-> 02:43:26 |that it's going to go to a specific level. I think it's going to go there, I
1674 |1673 |02:43:26 ~-~-> 02:43:29 |think it's going to go here. And then you're going to look for certain things
1675 |1674 |02:43:29 ~-~-> 02:43:35 |in price that may or may not afford you an entry. And now you have you're met
1676 |1675 |02:43:35 ~-~-> 02:43:38 |with, either you're going to be frustrated, or you're going to say, You
1677 |1676 |02:43:38 ~-~-> 02:43:45 |know what I saw where it was going to go, and it went there. So now I feel
1678 |1677 |02:43:45 ~-~-> 02:43:51 |confident that I can stick to doing this next week. I'm going to study price
1679 |1678 |02:43:51 ~-~-> 02:43:54 |action, and I'm going to get better at this, because I see there's something
1680 |1679 |02:43:54 ~-~-> 02:43:58 |going on, but I can't quite put my finger on it yet, but I feel like I'm
1681 |1680 |02:43:58 ~-~-> 02:44:02 |getting closer to it. If you feel that way, you're in the right you're on the
1682 |1681 |02:44:02 ~-~-> 02:44:07 |right path. If you're here thinking there's no trade being taken, this is
1683 |1682 |02:44:07 ~-~-> 02:44:10 |dumb. Well, that's an indication that you need to go somewhere else, because
1684 |1683 |02:44:11 ~-~-> 02:44:15 |I'm teaching people how to do it on their own. And the ones that make money,
1685 |1684 |02:44:15 ~-~-> 02:44:21 |and you see them out there card carrying members of the ICT cult of winning, they
1686 |1685 |02:44:21 ~-~-> 02:44:25 |will tell you that they had to do stuff like this too, and it didn't happen
1687 |1686 |02:44:25 ~-~-> 02:44:29 |right away. It wasn't easy, it wasn't fast for them, and they had doubts, and
1688 |1687 |02:44:29 ~-~-> 02:44:32 |they had other people, and still people that are my students, that are making
1689 |1688 |02:44:32 ~-~-> 02:44:36 |money, they're still being trolled, because these people are miserable and
1690 |1689 |02:44:36 ~-~-> 02:44:38 |they're broke, and they're never going to make money, and they will never have
1691 |1690 |02:44:38 ~-~-> 02:44:41 |attention placed on them greater than the person they're trying to tell if
1692 |1691 |02:44:41 ~-~-> 02:44:44 |they give them the grace of saying anything about whatever they say about
1693 |1692 |02:44:44 ~-~-> 02:44:50 |them, that's the extent, or that's the pinnacle of their existence. So are you
1694 |1693 |02:44:50 ~-~-> 02:44:55 |going to let Would you let these people, anyone that's going to try to talk down
1695 |1694 |02:44:55 ~-~-> 02:44:59 |to you, if you are making money, and you start making money and you're profiting.
1696 |1695 |02:45:00 ~-~-> 02:45:05 |Okay, would you let their criticism have any impact on you when you're making
1697 |1696 |02:45:05 ~-~-> 02:45:11 |money? No, you wouldn't. It would have no, you wouldn't. It wouldn't bother
1698 |1697 |02:45:11 ~-~-> 02:45:16 |you. So why will you allow them to influence you while you're learning if
1699 |1698 |02:45:16 ~-~-> 02:45:19 |you already know other people are using this information and they're making
1700 |1699 |02:45:19 ~-~-> 02:45:25 |money with it, you already know that it works. You just need to know Will it
1701 |1700 |02:45:25 ~-~-> 02:45:28 |work in your hands? And the only way you're going to know that is if you
1702 |1701 |02:45:28 ~-~-> 02:45:32 |start, and this is what it looks like when you start. I'm trying to be as
1703 |1702 |02:45:32 ~-~-> 02:45:37 |practical. I'm trying to be as real, and I'm putting you in conditions that
1704 |1703 |02:45:37 ~-~-> 02:45:43 |you're going to be met with every single day, whatever the market throws at me, I
1705 |1704 |02:45:43 ~-~-> 02:45:46 |will engage it and tell you, this is what you should be looking at. This is
1706 |1705 |02:45:46 ~-~-> 02:45:51 |what may or may not happen. I don't like this. I do like that. I'm explaining it
1707 |1706 |02:45:51 ~-~-> 02:45:56 |where it's salient. That means where there's something to explain away, and
1708 |1707 |02:45:56 ~-~-> 02:46:02 |also how to ring in the retail like the traders that are trading a certain way,
1709 |1708 |02:46:03 ~-~-> 02:46:09 |how? How do they get bothered? How they get disturbed? How can they be taken out
1710 |1709 |02:46:09 ~-~-> 02:46:16 |of the market if they've been right, if they've been wrong? Now I would sink it
1711 |1710 |02:46:16 ~-~-> 02:46:20 |all the way down to the middle of the day, going into close. That's what I
1712 |1711 |02:46:20 ~-~-> 02:46:23 |would do. That doesn't mean it's what's going to happen, though, but that's
1713 |1712 |02:46:23 ~-~-> 02:46:26 |exactly what I would do, because that means anyone that was short, they're
1714 |1713 |02:46:26 ~-~-> 02:46:31 |out. Anyone that's long feels rich right now. And the way you do that is you do a
1715 |1714 |02:46:31 ~-~-> 02:46:38 |sudden crush and you just send it lower. But I think that's going to be it for
1716 |1715 |02:46:38 ~-~-> 02:46:44 |this week. I really had fun this week. I had a lot of fun. I wish I would not
1717 |1716 |02:46:44 ~-~-> 02:46:48 |have live streamed yesterday, simply because my attention was elsewhere, and
1718 |1717 |02:46:48 ~-~-> 02:46:55 |I'm probably going to have to start the stream sooner, simply because OBS is
1719 |1718 |02:46:55 ~-~-> 02:47:00 |mucking around with me and I don't know what I'm doing wrong. It keeps causing
1720 |1719 |02:47:00 ~-~-> 02:47:03 |me a problem where I can't load it up and I don't know what, and I don't know
1721 |1720 |02:47:03 ~-~-> 02:47:09 |any other streaming software that works with YouTube, and I don't want to
1722 |1721 |02:47:09 ~-~-> 02:47:13 |venture to try to learn anything new either. So it's kind of like I'm I want
1723 |1722 |02:47:13 ~-~-> 02:47:18 |to see this get resolved, so that way I can when I start a stream, it's starts
1724 |1723 |02:47:18 ~-~-> 02:47:24 |off without a hitch, because I'm obsessively compulsive, and you probably
1725 |1724 |02:47:24 ~-~-> 02:47:29 |picked that up over the years listening to me and when I get jerked out of gear,
1726 |1725 |02:47:29 ~-~-> 02:47:34 |it's it takes a minute or two for me to get my my bearings and try to forget
1727 |1726 |02:47:34 ~-~-> 02:47:41 |about something that's either upset me or or bothered me. But I hope you guys
1728 |1727 |02:47:41 ~-~-> 02:47:48 |are learning Okay, and these first couple weeks, they're boring. They're
1729 |1728 |02:47:48 ~-~-> 02:47:53 |really, really boring information, and it's important that Caleb is reminded
1730 |1729 |02:47:53 ~-~-> 02:47:56 |just as much as you, if you're trying to really make a good attempt at learning
1731 |1730 |02:47:56 ~-~-> 02:48:02 |all this stuff, you're only going to be as good as the market environments that
1732 |1731 |02:48:02 ~-~-> 02:48:09 |is presented to you. And Bob Ross as beautiful as a painting that he can
1733 |1732 |02:48:09 ~-~-> 02:48:14 |paint when he was alive and with us, and as cool as mellow as he was while he was
1734 |1733 |02:48:14 ~-~-> 02:48:20 |doing it, I'm quite certain that if we would ask him while he was alive, say,
1735 |1734 |02:48:20 ~-~-> 02:48:28 |Hey, listen, Bob, this brick wall. This brick wall is your canvas today, okay,
1736 |1735 |02:48:28 ~-~-> 02:48:31 |and I'm sorry I didn't bring any paint brushes, and you aren't allowed to use
1737 |1736 |02:48:31 ~-~-> 02:48:35 |any of yours, but I have these spray paint cans, okay? We have these spray
1738 |1737 |02:48:35 ~-~-> 02:48:40 |paint cans, and we have eight of them, eight different colors, and we want to
1739 |1738 |02:48:40 ~-~-> 02:48:45 |see you paint a snowy background with a little cabin with these happy little
1740 |1739 |02:48:45 ~-~-> 02:48:50 |trees, and we want some birds, and we want a little stream that has some some
1741 |1740 |02:48:50 ~-~-> 02:48:54 |ice on parts of it, but not entirely out. And we expect to see you do that in
1742 |1741 |02:48:54 ~-~-> 02:49:00 |30 minutes and keep us entertained with some mellow jazz coming out of these
1743 |1742 |02:49:00 ~-~-> 02:49:05 |book records. Well, I'm quite certain that Bob Ross is going to fail doing
1744 |1743 |02:49:05 ~-~-> 02:49:10 |that, because, number one, that's not his typical canvas, and it's also his
1745 |1744 |02:49:10 ~-~-> 02:49:17 |not. It's not his medium, his his paint brushes are not his tool. They're not
1746 |1745 |02:49:17 ~-~-> 02:49:22 |there. Rather, he's he's being asked to do something in a canvas with tools he's
1747 |1746 |02:49:22 ~-~-> 02:49:27 |not used to doing or using. Well, there's going to be times where your
1748 |1747 |02:49:27 ~-~-> 02:49:35 |tools will not be accessible to you, and it's going to be dictated by the market
1749 |1748 |02:49:35 ~-~-> 02:49:40 |environment, how the market behaves. If the market doesn't give you your price,
1750 |1749 |02:49:40 ~-~-> 02:49:45 |you can't do anything about it. I mean, you can get mad, and you get angry
1751 |1750 |02:49:45 ~-~-> 02:49:49 |because you just had one exposure to it trying to do it, and you think, well, it
1752 |1751 |02:49:49 ~-~-> 02:49:53 |didn't work this time, so it's probably never going to work in the future. And
1753 |1752 |02:49:53 ~-~-> 02:49:57 |that's not realistic anyone that is trying to educate and they're not
1754 |1753 |02:49:57 ~-~-> 02:50:01 |reminding the people they're trying to teach you. Probably without any real
1755 |1754 |02:50:01 ~-~-> 02:50:07 |skill, and they're not reminding them or showcasing or giving them the realities
1756 |1755 |02:50:07 ~-~-> 02:50:11 |that you can have all the things in the world that's going to afford you an
1757 |1756 |02:50:11 ~-~-> 02:50:14 |entry mechanism to get into the marketplace. But the market's going to
1758 |1757 |02:50:14 ~-~-> 02:50:19 |do what the market's going to do, and if you do it wrong, you have brought in the
1759 |1758 |02:50:19 ~-~-> 02:50:25 |element of humanity. I'm a human just like any one of you. I can feel much
1760 |1759 |02:50:25 ~-~-> 02:50:29 |more confident about setup than I should. I can feel less confident about
1761 |1760 |02:50:29 ~-~-> 02:50:34 |setup than I should, and I may not see a setup at all because it just jumps out
1762 |1761 |02:50:34 ~-~-> 02:50:38 |at me because I'm either distracted or just not. I'm just not paying enough
1763 |1762 |02:50:38 ~-~-> 02:50:41 |attention because I have something else on my mind. You're going to encounter
1764 |1763 |02:50:41 ~-~-> 02:50:47 |that as well, but you need to give yourself the opportunity to study price
1765 |1764 |02:50:47 ~-~-> 02:50:51 |action when you feel a little bit of anxiety, when you feel like you're
1766 |1765 |02:50:51 ~-~-> 02:50:55 |having a little bit of things in your personal life bothering you, measure
1767 |1766 |02:50:55 ~-~-> 02:51:00 |your response to what price is doing. In those instances, you're going to get
1768 |1767 |02:51:00 ~-~-> 02:51:04 |huge revelations in who you are, how you think and how you're going to react
1769 |1768 |02:51:05 ~-~-> 02:51:11 |afterwards, because if you have an adverse result, say, you spent hours in
1770 |1769 |02:51:11 ~-~-> 02:51:14 |front of the price action and you felt like you didn't come away with anything.
1771 |1770 |02:51:14 ~-~-> 02:51:21 |It felt like it was unproductive. How are you going to treat yourself the rest
1772 |1771 |02:51:21 ~-~-> 02:51:25 |of that day and the day after, on a day like Friday, how are you going to treat
1773 |1772 |02:51:25 ~-~-> 02:51:28 |yourself throughout the entirety of the weekend? Are you going to punish
1774 |1773 |02:51:28 ~-~-> 02:51:32 |yourself for not knowing enough, not being able to do it? Should have known
1775 |1774 |02:51:32 ~-~-> 02:51:35 |better. Should Know More by now. I should be making money with this. I'm
1776 |1775 |02:51:35 ~-~-> 02:51:40 |going to quit if it doesn't start showing me anything next week. How do
1777 |1776 |02:51:40 ~-~-> 02:51:47 |you think? Because if you start feeling toxic like that, and if you really want
1778 |1777 |02:51:47 ~-~-> 02:51:51 |to learn how to do this, you have to remind I'm here. I'm reminding you right
1779 |1778 |02:51:51 ~-~-> 02:51:57 |now, it is not going to be that fast for you. I have never had a student. Not one
1780 |1779 |02:51:57 ~-~-> 02:52:00 |student has ever come to me, and inside of a couple months figured it all out
1781 |1780 |02:52:00 ~-~-> 02:52:03 |and they're making money. It doesn't work like that. Folks, you work like
1782 |1781 |02:52:03 ~-~-> 02:52:07 |that, folks, because you have your own issues that you have to identify and
1783 |1782 |02:52:07 ~-~-> 02:52:10 |then build coping skills around them. If they're extremely toxic, that means
1784 |1783 |02:52:10 ~-~-> 02:52:16 |impatience, highly critical of yourself, of everyone else, unrealistic
1785 |1784 |02:52:16 ~-~-> 02:52:19 |expectations. You should be making money within a month. That's what you're
1786 |1785 |02:52:19 ~-~-> 02:52:21 |thinking. And that's not true.
1787 |1786 |02:52:22 ~-~-> 02:52:27 |That's not true my son, I want him to make as much money as he wants him more,
1788 |1787 |02:52:27 ~-~-> 02:52:34 |but I've already told him he will not see profitability. Shorter than six
1789 |1788 |02:52:34 ~-~-> 02:52:39 |months, it won't happen. And you get to watch it. You get to see it. You get to
1790 |1789 |02:52:39 ~-~-> 02:52:44 |see it unfold every step, every lecture, every lesson. I'm making it available to
1791 |1790 |02:52:44 ~-~-> 02:52:48 |you. I mean, look at me. I'm there. They're very long. They're not short
1792 |1791 |02:52:48 ~-~-> 02:52:52 |little five minute videos. They're not 30 minute videos. I'm going over live
1793 |1792 |02:52:52 ~-~-> 02:52:56 |price action, and I'm talking about what he's probably going to feel, what he's
1794 |1793 |02:52:56 ~-~-> 02:53:01 |probably is feeling when he's watching the price action. And I'm explaining the
1795 |1794 |02:53:01 ~-~-> 02:53:07 |do's and adults and why and where it's salient, why it shouldn't, what's
1796 |1795 |02:53:07 ~-~-> 02:53:12 |important to me right now, and why should it be important. You don't always
1797 |1796 |02:53:12 ~-~-> 02:53:16 |know what price is going to do next. You're not going to know that. Okay,
1798 |1797 |02:53:16 ~-~-> 02:53:20 |you're not going to know that. So you're going to have to subscribe to
1799 |1798 |02:53:20 ~-~-> 02:53:26 |uncertainty. And trading is embracing that uncertainty, but having enough
1800 |1799 |02:53:26 ~-~-> 02:53:32 |experience seeing certain things that you use as a catalyst, as the reason for
1801 |1800 |02:53:32 ~-~-> 02:53:37 |you to get involved or engage price action, these things will become
1802 |1801 |02:53:37 ~-~-> 02:53:43 |characteristics that you see repeating. They may not all be there, but if a
1803 |1802 |02:53:43 ~-~-> 02:53:47 |number of them are in play, and you see it in price action, that should bolster
1804 |1803 |02:53:47 ~-~-> 02:53:52 |your confidence to at least explore it and over time, how much time? I don't
1805 |1804 |02:53:52 ~-~-> 02:53:56 |know, for every one of you, you're all going to do it at a different pace. But
1806 |1805 |02:53:56 ~-~-> 02:54:01 |when you have a daily interaction with price action, whether it be hindsight or
1807 |1806 |02:54:01 ~-~-> 02:54:07 |real time, preferably real time. If you cannot watch price like I'm showing you
1808 |1807 |02:54:07 ~-~-> 02:54:11 |here, the best thing you do is watch the streams. Watch the recordings. If you
1809 |1808 |02:54:11 ~-~-> 02:54:18 |can't watch it live, watch them at the same pace. Do not speed them up. If you
1810 |1809 |02:54:18 ~-~-> 02:54:21 |speed them up, you're getting a skewed perspective. It's not the same as
1811 |1810 |02:54:21 ~-~-> 02:54:25 |watching it real time, doing it at two times the speed, because you want to get
1812 |1811 |02:54:25 ~-~-> 02:54:29 |through it because you got that much time, that's the wrong way of doing it,
1813 |1812 |02:54:29 ~-~-> 02:54:32 |because you can't speed up your understanding while you're watching live
1814 |1813 |02:54:32 ~-~-> 02:54:38 |price action. You can't do that part. Don't think of it as I'm getting through
1815 |1814 |02:54:38 ~-~-> 02:54:43 |it quicker and I'll be able to watch more videos, because more videos is not
1816 |1815 |02:54:43 ~-~-> 02:54:48 |it. I've already told you, you're not going to win in this progress by
1817 |1816 |02:54:48 ~-~-> 02:54:53 |watching more videos. You need to be watching price and then how you feel,
1818 |1817 |02:54:54 ~-~-> 02:54:58 |what you're thinking, what you're fearful of. When you get elated and feel
1819 |1818 |02:54:58 ~-~-> 02:55:01 |like, oh yeah, this is working out perfectly. And you need to make
1820 |1819 |02:55:01 ~-~-> 02:55:04 |annotations about when you feel that euphoric moment where it's perfect, I
1821 |1820 |02:55:04 ~-~-> 02:55:07 |know it's going to happen, and then when it doesn't, and it turns back on you,
1822 |1821 |02:55:07 ~-~-> 02:55:12 |what do you feel? You feel embarrassed. Do you feel like a failure? You feel
1823 |1822 |02:55:12 ~-~-> 02:55:16 |like, oh, it's never going to work for me. And you need to be honest with
1824 |1823 |02:55:16 ~-~-> 02:55:20 |yourself in this part of your development, the very, very early
1825 |1824 |02:55:20 ~-~-> 02:55:25 |stages, and then if you discover that you're very toxic to yourself, you need
1826 |1825 |02:55:25 ~-~-> 02:55:29 |to start replacing those toxic ideas and opinions of yourself and your efforts
1827 |1826 |02:55:29 ~-~-> 02:55:33 |while you're doing this, and reward yourself for the effort to keep doing
1828 |1827 |02:55:33 ~-~-> 02:55:38 |it. And say, You know what? This gives me opportunity to see. What did I miss?
1829 |1828 |02:55:38 ~-~-> 02:55:42 |What would I have done differently now that I've seen this, is there any
1830 |1829 |02:55:43 ~-~-> 02:55:47 |investment that I can make in myself by having this exposure that was adverse,
1831 |1830 |02:55:47 ~-~-> 02:55:51 |and you do it in a very disarming way, so that way you're not punishing
1832 |1831 |02:55:51 ~-~-> 02:55:55 |yourself. Self talk is absolutely critical in this, not just when you're
1833 |1832 |02:55:55 ~-~-> 02:55:59 |still learning how to trade, but when you are a trader, because you're going
1834 |1833 |02:55:59 ~-~-> 02:56:02 |to have losing days, you're going to know, and I'm saying this, and I'm
1835 |1834 |02:56:02 ~-~-> 02:56:06 |closing you're going to know when your model is there and when to engage it.
1836 |1835 |02:56:06 ~-~-> 02:56:13 |And there's going to be instances where you feel externally, you feel this
1837 |1836 |02:56:13 ~-~-> 02:56:21 |desire to compensate for something that's occurring or has occurred in your
1838 |1837 |02:56:21 ~-~-> 02:56:26 |personal life, some inadequacy, some kind of mistake you maybe said, maybe
1839 |1838 |02:56:26 ~-~-> 02:56:29 |you said something, maybe cause an argument. Maybe you're not feeling well,
1840 |1839 |02:56:29 ~-~-> 02:56:33 |or you missed an opportunity in the previous day. Maybe you lost your job,
1841 |1840 |02:56:33 ~-~-> 02:56:36 |or in the verge of being made redundant at your job, and they may get ready to
1842 |1841 |02:56:36 ~-~-> 02:56:41 |give you a pink slip and send you on your way. You feel something's looming.
1843 |1842 |02:56:41 ~-~-> 02:56:47 |So you go into the marketplace and you force something. You tell yourself,
1844 |1843 |02:56:47 ~-~-> 02:56:50 |yeah, it's there. I'm going to take the trade. I'm not going to wait for the
1845 |1844 |02:56:50 ~-~-> 02:56:54 |real setup, because I just need to be in there, because if it pans out, it'll
1846 |1845 |02:56:54 ~-~-> 02:56:59 |make me feel better than I feel right now. Because my real life outside these
1847 |1846 |02:56:59 ~-~-> 02:57:03 |charts, while I'm learning how to be a trader, I need a distraction from that,
1848 |1847 |02:57:04 ~-~-> 02:57:09 |and these candlesticks are not used for that purpose. If you treat them like a
1849 |1848 |02:57:09 ~-~-> 02:57:19 |siren, they'll call you to the rocks. If you invite them, if you invite them to
1850 |1849 |02:57:19 ~-~-> 02:57:23 |be that trick on the corner that you need to release from you might be able
1851 |1850 |02:57:23 ~-~-> 02:57:29 |to afford that real quick, friendly handshake with her or him, but you might
1852 |1851 |02:57:29 ~-~-> 02:57:35 |not like what you get on the other side of it, same thing with reading price
1853 |1852 |02:57:35 ~-~-> 02:57:39 |action. It's either there or it isn't, and the only way you recognize it is by
1854 |1853 |02:57:39 ~-~-> 02:57:45 |repetition. Seeing it. You'll watch me for weeks and months do this, and you're
1855 |1854 |02:57:45 ~-~-> 02:57:49 |going to start seeing the same things, and it's going to be boring. That's
1856 |1855 |02:57:49 ~-~-> 02:57:52 |exactly what your goal is. You want to be able to you want to be able to finish
1857 |1856 |02:57:52 ~-~-> 02:57:58 |my sentences or predict what I'm about to say based on what the candlesticks
1858 |1857 |02:57:58 ~-~-> 02:58:05 |are doing. Nothing pleases me more than seeing individuals show their trades,
1859 |1858 |02:58:06 ~-~-> 02:58:12 |recorded, annotate them with the same observations I would have, and many
1860 |1859 |02:58:12 ~-~-> 02:58:18 |times have, because that means you're on the same wavelength. You're seeing the
1861 |1860 |02:58:18 ~-~-> 02:58:23 |same thing. That means you have received what I put down. You received that
1862 |1861 |02:58:23 ~-~-> 02:58:30 |transmission that that download of intelligence left me and went into you.
1863 |1862 |02:58:30 ~-~-> 02:58:34 |And that's proof of concept, and it's also proof that if other people can do
1864 |1863 |02:58:34 ~-~-> 02:58:40 |it, women, young and old, men, young and old, different cultures, different race,
1865 |1864 |02:58:40 ~-~-> 02:58:46 |different backgrounds. Hey, if they can do it, why aren't you able to do it?
1866 |1865 |02:58:48 ~-~-> 02:58:52 |What's going to prevent you from doing it? I'm going to tell you what's going
1867 |1866 |02:58:52 ~-~-> 02:58:57 |to prevent you not subscribing to what I'm doing here daily, not doing those
1868 |1867 |02:58:57 ~-~-> 02:59:01 |things, doing it like this. You have the benefit of me doing it with you right
1869 |1868 |02:59:01 ~-~-> 02:59:07 |now. When this gets to the point where Caleb is now able to do on his own, I
1870 |1869 |02:59:07 ~-~-> 02:59:13 |won't be doing this, and you'll miss it. You won't have the the ability, the same
1871 |1870 |02:59:13 ~-~-> 02:59:19 |effects of watching it live, seeing when it's obvious when it's not obvious, when
1872 |1871 |02:59:19 ~-~-> 02:59:24 |things change gears, and it becomes much more clear. Oh, now, now it changes.
1873 |1872 |02:59:24 ~-~-> 02:59:29 |That's something you have to see. As it happens, it can't be communicated in a
1874 |1873 |02:59:29 ~-~-> 02:59:35 |book, a static picture, a paragraph, three, four pages of it isn't going to
1875 |1874 |02:59:35 ~-~-> 02:59:38 |give you the answer, because it's going to feel like, well, you know, he has the
1876 |1875 |02:59:38 ~-~-> 02:59:43 |benefit of having known at the time what the price is going to do, but I don't
1877 |1876 |02:59:43 ~-~-> 02:59:47 |have that safety net here in front of you and from with with real time price
1878 |1877 |02:59:47 ~-~-> 02:59:53 |action. So either the methodology holds up or it doesn't hold up. And if you
1879 |1878 |02:59:53 ~-~-> 02:59:58 |don't see these things you know repeating to a degree of repetition that
1880 |1879 |02:59:58 ~-~-> 03:00:04 |warrants your interest. Is to keep showing up and watching or studying. By
1881 |1880 |03:00:04 ~-~-> 03:00:08 |all means, please go watch someone else. You don't have to give me the middle
1882 |1881 |03:00:08 ~-~-> 03:00:11 |finger out the door as you go. You don't have to let the door hit you in an ass
1883 |1882 |03:00:11 ~-~-> 03:00:16 |either it just it wasn't your thing, and go chase something else that you think
1884 |1883 |03:00:16 ~-~-> 03:00:20 |is going to be better fit, and whatever it is, if it's not my stuff, if it works
1885 |1884 |03:00:20 ~-~-> 03:00:24 |and it makes you money, man, God bless you for that. Like I want all of that
1886 |1885 |03:00:24 ~-~-> 03:00:30 |for you. I don't want to hold anybody up, but I also am honest. I'm not going
1887 |1886 |03:00:30 ~-~-> 03:00:36 |to hold you up with useless things. I'm going to put you through the things that
1888 |1887 |03:00:36 ~-~-> 03:00:41 |you're going to have to do to really learn this, understanding why it's going
1889 |1888 |03:00:41 ~-~-> 03:00:44 |to take place, why it shouldn't take place when the odds are against a
1890 |1889 |03:00:44 ~-~-> 03:00:50 |certain thing, when the odds are still 5050, and you're going to see when I
1891 |1890 |03:00:50 ~-~-> 03:00:54 |talk about what this is a real this is a nice, clean market. That means you want
1892 |1891 |03:00:54 ~-~-> 03:00:59 |to record this. This today's recording, today's live stream, today's episode, or
1893 |1892 |03:00:59 ~-~-> 03:01:05 |whatnot. This is a day where you want to put it in your journal that day, August.
1894 |1893 |03:01:05 ~-~-> 03:01:15 |What are we on? 16th, 2024, was a very fickle day. Whenever I say it's, you
1895 |1894 |03:01:15 ~-~-> 03:01:18 |know, we're in a market, it's probably going to be fickle today, or it's being
1896 |1895 |03:01:18 ~-~-> 03:01:21 |fickle. What does that mean? You're going to have a whole lot of fuzzy price
1897 |1896 |03:01:21 ~-~-> 03:01:24 |action, where it's overlapping constantly, back and forth, back and
1898 |1897 |03:01:24 ~-~-> 03:01:28 |forth, back and forth, and it does these little sputtering like and then that's
1899 |1898 |03:01:28 ~-~-> 03:01:34 |it. Then back into fuzzy price action. And then when you get to lunch, whatever
1900 |1899 |03:01:34 ~-~-> 03:01:39 |has happened in the day, they'll make a run against that. And then then you have
1901 |1900 |03:01:39 ~-~-> 03:01:46 |the afternoon on a Friday, there's no telling what they're going to do. That's
1902 |1901 |03:01:46 ~-~-> 03:01:51 |why, in the afternoon, if I haven't made money in the morning on Fridays, I don't
1903 |1902 |03:01:51 ~-~-> 03:01:55 |go in the afternoon saying, Well, let me see if I can get I don't want to do
1904 |1903 |03:01:55 ~-~-> 03:02:00 |that. I have had losses on those days because I'm trying to fill in a void
1905 |1904 |03:02:01 ~-~-> 03:02:06 |where maybe I missed a move in the morning and I wanted to trade it. 32
1906 |1905 |03:02:07 ~-~-> 03:02:12 |years of plus doing this, I still feel human impulses to be more involved than
1907 |1906 |03:02:12 ~-~-> 03:02:13 |I should,
1908 |1907 |03:02:14 ~-~-> 03:02:17 |and I have seen that when I try to go in on a Friday, if I haven't done anything
1909 |1908 |03:02:17 ~-~-> 03:02:23 |all day, or maybe I missed it, or say I've had, there's an instance a few
1910 |1909 |03:02:23 ~-~-> 03:02:26 |times in my memory now I can remember where I was ill. I was physically sick,
1911 |1910 |03:02:27 ~-~-> 03:02:30 |and I wasn't able to trade all throughout the week. And I was like, You
1912 |1911 |03:02:30 ~-~-> 03:02:33 |know what? I got time? I'm going to go out there, and I only have, like, an
1913 |1912 |03:02:33 ~-~-> 03:02:39 |hour and a half left in the week. And it's it had a pretty good move for the
1914 |1913 |03:02:39 ~-~-> 03:02:42 |week, and it's obvious that I think it's going to do this or do that, and I go in
1915 |1914 |03:02:42 ~-~-> 03:02:46 |and I engage in it, and then it starts moving in my favor, and I start
1916 |1915 |03:02:46 ~-~-> 03:02:53 |pyramiding and pyramiding, and then I put a stop in where it's should be
1917 |1916 |03:02:53 ~-~-> 03:02:57 |protecting it, but it runs up and tags it. It eats away. And I didn't take any
1918 |1917 |03:02:57 ~-~-> 03:03:02 |partial so what I've done is I've committed too much to an idea, didn't
1919 |1918 |03:03:02 ~-~-> 03:03:08 |follow the rules of taking partials, and I'm building a position and left to stop
1920 |1919 |03:03:08 ~-~-> 03:03:12 |in a position where, if it takes me out, it's a losing trade. Is it losing a lot
1921 |1920 |03:03:12 ~-~-> 03:03:18 |of money? No, but I gave up all of what I built up, and now I have a loss
1922 |1921 |03:03:18 ~-~-> 03:03:22 |psychologically and emotionally, carrying it into the weekend, knowing
1923 |1922 |03:03:22 ~-~-> 03:03:27 |full well that I've told myself instances beforehand that I shouldn't do
1924 |1923 |03:03:27 ~-~-> 03:03:33 |that, and I did. So you're not going to discover where your pitfalls and snares
1925 |1924 |03:03:33 ~-~-> 03:03:37 |are until you start logging them. But nobody wants to do those things because
1926 |1925 |03:03:37 ~-~-> 03:03:45 |it encapsulates and makes a monument to frailty and failure. But as a trader,
1927 |1926 |03:03:45 ~-~-> 03:03:50 |you want to really identify what they are, because you'll never be able to fix
1928 |1927 |03:03:50 ~-~-> 03:03:54 |and address them and replace them with the right stuff unless you identify
1929 |1928 |03:03:54 ~-~-> 03:03:58 |them. But the young generation that wants to run around, be chairman and
1930 |1929 |03:03:58 ~-~-> 03:04:05 |mentors, okay and have a voice. They don't have the clout behind them to
1931 |1930 |03:04:08 ~-~-> 03:04:13 |promote the validity of having a voice. They're parroting their parenting me,
1932 |1931 |03:04:13 ~-~-> 03:04:17 |they're parenting other people. Anything that's written in a book, that's what
1933 |1932 |03:04:17 ~-~-> 03:04:22 |they're saying. They've memorized that script, and they just sound smart to
1934 |1933 |03:04:22 ~-~-> 03:04:26 |people that don't know anything about what they're talking about. And it's all
1935 |1934 |03:04:26 ~-~-> 03:04:29 |together something different. When you get out here and you're literally over a
1936 |1935 |03:04:29 ~-~-> 03:04:33 |live price action, and we're not talking about just following some indicators,
1937 |1936 |03:04:33 ~-~-> 03:04:38 |there has to be a logic explain what should take place. Why shouldn't it take
1938 |1937 |03:04:38 ~-~-> 03:04:44 |place? When and where it should and your audience, your your student base, if
1939 |1938 |03:04:44 ~-~-> 03:04:49 |they see something that they're pursuing, and they see the evidences of
1940 |1939 |03:04:49 ~-~-> 03:04:52 |it, if they see the things that are starting to pan out, and they start all
1941 |1940 |03:04:52 ~-~-> 03:04:58 |the dots are starting to connect, and that fuzzy image of what's the future
1942 |1941 |03:04:58 ~-~-> 03:05:01 |look like for them start. To come clearer and clearer and clearer. And
1943 |1942 |03:05:01 ~-~-> 03:05:07 |then they can start seeing, wow, I can be a trader that takes a trade that's a
1944 |1943 |03:05:07 ~-~-> 03:05:16 |breaker. Here, here, here, we're trading inside these last two up close candles
1945 |1944 |03:05:16 ~-~-> 03:05:21 |right in there. So if you're you're going to use that logic. What are you
1946 |1945 |03:05:21 ~-~-> 03:05:25 |going to use as a stop loss? If you have that PD array understood not just simply
1947 |1946 |03:05:26 ~-~-> 03:05:30 |annuity opening gap and a volume imbalance, your stop has to be down
1948 |1947 |03:05:30 ~-~-> 03:05:30 |here,
1949 |1948 |03:05:32 ~-~-> 03:05:33 |right below that low.
1950 |1949 |03:05:34 ~-~-> 03:05:40 |So while Caleb will be using fair value gaps as his entry model, he'll have to
1951 |1950 |03:05:40 ~-~-> 03:05:46 |grow out of that before he's allowed to get any more information from me. You
1952 |1951 |03:05:47 ~-~-> 03:05:52 |just like he is. He's learning other PD arrays that will compliment so I've had
1953 |1952 |03:05:52 ~-~-> 03:05:57 |students that come to me and say, I'm going to make the order block my entry
1954 |1953 |03:05:57 ~-~-> 03:06:02 |method. Okay, well, you now just made it harder, because there are all kinds of
1955 |1954 |03:06:02 ~-~-> 03:06:06 |order blocks. Which one are you going to use? What's the framework within that
1956 |1955 |03:06:06 ~-~-> 03:06:12 |order blocks use? What are you trading on? It's not just I'm going to buy a
1957 |1956 |03:06:12 ~-~-> 03:06:15 |down closed candle. I'm going to sell short of up close candle. There has to
1958 |1957 |03:06:15 ~-~-> 03:06:20 |be some kind of framework. And I gave you a challenge this week. I don't know
1959 |1958 |03:06:20 ~-~-> 03:06:26 |what day it was, but I know I mentioned it this week. I said, Can you frame what
1960 |1959 |03:06:26 ~-~-> 03:06:30 |your trade idea? Can you draw it out with a line like a draw? Draw it out
1961 |1960 |03:06:30 ~-~-> 03:06:33 |with a line depiction. Because if you can't draw it out on a napkin or a piece
1962 |1961 |03:06:33 ~-~-> 03:06:38 |of paper to explain someone what it is you're trying to do, you don't really
1963 |1962 |03:06:38 ~-~-> 03:06:49 |know what you're doing. That that is your first goal to know before you start
1964 |1963 |03:06:49 ~-~-> 03:06:53 |pressing a button with a demo account, okay, you need to be able to draw it.
1965 |1964 |03:06:53 ~-~-> 03:06:58 |You need to be able to draw a depiction of what it looks like as a buy, what it
1966 |1965 |03:06:58 ~-~-> 03:07:03 |looks like as a sell. Where's your initial stop loss? Where's your initial
1967 |1966 |03:07:03 ~-~-> 03:07:09 |partial How will you close the trade at Terminus? I'm not talking about how many
1968 |1967 |03:07:09 ~-~-> 03:07:13 |contracts and what your risk manager is going to be, but what is the framework
1969 |1968 |03:07:13 ~-~-> 03:07:17 |look like? Because if you can't do that, guess what you're indicating? You're
1970 |1969 |03:07:17 ~-~-> 03:07:22 |indicating that you did not walk the woods with daddy. You did not hear the
1971 |1970 |03:07:22 ~-~-> 03:07:26 |crunch of the snow under your boot as you were walking on snow, filing
1972 |1971 |03:07:26 ~-~-> 03:07:31 |footprints of a deer, an elk, a bear, whatever it is you're hunting, whatever
1973 |1972 |03:07:31 ~-~-> 03:07:36 |dad's trying to teach you that we're going to hunt today. You didn't go out
1974 |1973 |03:07:36 ~-~-> 03:07:41 |in the woods that day. You didn't follow dad into the woods. You didn't spend any
1975 |1974 |03:07:41 ~-~-> 03:07:45 |time trying to remember what these footprints look like, because if you
1976 |1975 |03:07:45 ~-~-> 03:07:49 |understood what those footprints look like, you can draw a crude depiction of
1977 |1976 |03:07:49 ~-~-> 03:07:57 |what a deer track looks like, a bear, Paul print, an elk, whatever it is
1978 |1977 |03:07:57 ~-~-> 03:08:00 |you're hunting, you'll know what it looks like because you've seen it enough
1979 |1978 |03:08:00 ~-~-> 03:08:05 |times. So how can you be mad at yourself if you can't recognize a setup because
1980 |1979 |03:08:05 ~-~-> 03:08:08 |you've never spent time studying what a setup looks like, the one you're
1981 |1980 |03:08:08 ~-~-> 03:08:13 |hunting, you don't know what you're going to hunt yet. So by watching live
1982 |1981 |03:08:13 ~-~-> 03:08:18 |price action, it will teach you what it is. It's going to be easiest for you to
1983 |1982 |03:08:18 ~-~-> 03:08:25 |see every hunter does not hunt everything. They go out and they hunt
1984 |1983 |03:08:25 ~-~-> 03:08:30 |deer. They go boar hunting, they go bear hunting, whatever it is they hunt. They
1985 |1984 |03:08:30 ~-~-> 03:08:33 |hunt turkey hunting, duck hunting. Now you might do duck and you might do deer,
1986 |1985 |03:08:33 ~-~-> 03:08:38 |but you're not hunting everything. You don't have enough time to do it. You
1987 |1986 |03:08:38 ~-~-> 03:08:43 |have job, you have family, have whatever you're doing. NASCAR, now we're talking
1988 |1987 |03:08:43 ~-~-> 03:08:49 |ICT. Ha, damn, we're talking some shit now anyway, but you have to be able to
1989 |1988 |03:08:49 ~-~-> 03:08:55 |be in here looking for your setup. So while we go through the coming weeks,
1990 |1989 |03:08:55 ~-~-> 03:08:59 |it's not necessary for you to do it yet. If you're brand new, if you're really
1991 |1990 |03:08:59 ~-~-> 03:09:03 |trying to make a serious attempt to do this stuff. It's not realistic for you
1992 |1991 |03:09:03 ~-~-> 03:09:06 |to know that yet, but just know that that's a homework assignment that every
1993 |1992 |03:09:06 ~-~-> 03:09:13 |single week that we spend together. You need to be thinking, how did this build
1994 |1993 |03:09:13 ~-~-> 03:09:18 |in any more understanding about what price is likely to do? That leads me to
1995 |1994 |03:09:18 ~-~-> 03:09:24 |a pattern and a framework that sets up a trade that has a beginning, where I buy
1996 |1995 |03:09:24 ~-~-> 03:09:29 |or sell, where I can place a stop loss that is finite. That means it's not it's
1997 |1996 |03:09:29 ~-~-> 03:09:32 |not imaginary. It means I'm literally going to put a stop loss there, and if I
1998 |1997 |03:09:32 ~-~-> 03:09:37 |get stopped out, I'm okay with it. Where would be the first partial formed? Or
1999 |1998 |03:09:37 ~-~-> 03:09:42 |what's the logic behind where the first partial would be taken. All of this can
2000 |1999 |03:09:42 ~-~-> 03:09:45 |be added. Some of you are going to be like, Well, you can't do that. ICT,
2001 |2000 |03:09:45 ~-~-> 03:09:47 |well, you don't know you're talking about, okay, that means you don't know
2002 |2001 |03:09:47 ~-~-> 03:09:53 |enough yet, but you will keep just stay with us, stay on the train. It's not
2003 |2002 |03:09:53 ~-~-> 03:09:59 |costing you any money, but I promise, because it's my son's end result, it's
2004 |2003 |03:09:59 ~-~-> 03:10:04 |in mind you. Remember, I'm not doing this to entertain you people. I'm doing
2005 |2004 |03:10:04 ~-~-> 03:10:08 |this to give him what works, and I'm giving him a framework to study. This is
2006 |2005 |03:10:08 ~-~-> 03:10:12 |how you do it. This is what it looks like. And because sometimes he's
2007 |2006 |03:10:12 ~-~-> 03:10:18 |working, he has to watch these live streams after the fact, just like you
2008 |2007 |03:10:18 ~-~-> 03:10:22 |that work, have job, have college. You're sleeping because you're not
2009 |2008 |03:10:22 ~-~-> 03:10:26 |watching this time of day. You want me to get up and trade Forex in London for
2010 |2009 |03:10:26 ~-~-> 03:10:32 |you? Okay, these same principles are going to be loose, same time frames and
2011 |2010 |03:10:32 ~-~-> 03:10:36 |other assets as well, but I'm not going to be I'm not interested in answering
2012 |2011 |03:10:36 ~-~-> 03:10:42 |everybody's request list. That's not why I'm here. I have a job to take care of,
2013 |2012 |03:10:42 ~-~-> 03:10:46 |which is teach my son the right way. It's the way he's going to have to learn
2014 |2013 |03:10:46 ~-~-> 03:10:51 |it. And this is the this is what I've preached to all of you, if you paid me
2015 |2014 |03:10:51 ~-~-> 03:10:55 |to learn how to do this, I said all these things before, and I was doing
2016 |2015 |03:10:55 ~-~-> 03:10:59 |these things in live stream every single day, in mentorship. The first year, I
2017 |2016 |03:10:59 ~-~-> 03:11:04 |literally did this every single day, and it was monotonous, it was boring. It
2018 |2017 |03:11:04 ~-~-> 03:11:08 |seemed like, Oh, it is not a trade, when you didn't realize I'm literally giving
2019 |2018 |03:11:08 ~-~-> 03:11:11 |you a baseline. You have to see these things. I know what I'm looking for. I'm
2020 |2019 |03:11:11 ~-~-> 03:11:15 |not looking at every one of these things today. I'm looking for one or two
2021 |2020 |03:11:15 ~-~-> 03:11:21 |things, and I'm done because I know what I want to trade on. But I have to give
2022 |2021 |03:11:21 ~-~-> 03:11:26 |you, as the student, and specifically my son, you have to bring your own
2023 |2022 |03:11:27 ~-~-> 03:11:31 |personality into this, and you have to grow at your own speed and your own
2024 |2023 |03:11:31 ~-~-> 03:11:35 |pace. And since it's my son, I'm okay with it, as long as I got breath in my
2025 |2024 |03:11:35 ~-~-> 03:11:39 |lungs and I can have my mental faculties, I will be here doing this
2026 |2025 |03:11:40 ~-~-> 03:11:44 |because I want him to succeed, and I want his brothers to have the same
2027 |2026 |03:11:44 ~-~-> 03:11:47 |reference material. Should they say, Well, you know, I'm going to go through
2028 |2027 |03:11:47 ~-~-> 03:11:52 |what you went through. They'll they'll have it. It's here. They can see it. But
2029 |2028 |03:11:52 ~-~-> 03:11:56 |none of them wanted to sit down and do this part. They all just want the money.
2030 |2029 |03:11:57 ~-~-> 03:12:01 |They all want it the easy way. So in that regard, for some of you, or all of
2031 |2030 |03:12:01 ~-~-> 03:12:04 |you, really, you all just want a real quick, short way of doing it. And you
2032 |2031 |03:12:04 ~-~-> 03:12:09 |think that I have that for my children, and I don't, this is what's essential.
2033 |2032 |03:12:09 ~-~-> 03:12:15 |They have to do this just like you. You will not understand Enigma unless you
2034 |2033 |03:12:15 ~-~-> 03:12:21 |have these baseline understandings. That's it. So for people that say they
2035 |2034 |03:12:22 ~-~-> 03:12:25 |they figured it out, they cracked a code, you're a lying piece of shit.
2036 |2035 |03:12:26 ~-~-> 03:12:34 |Period, okay, period. So I'm gonna leave you with that. I will wish you all very
2037 |2036 |03:12:34 ~-~-> 03:12:38 |pleasant weekend, a safe weekend. Try to relax. Don't spend too much time. If
2038 |2037 |03:12:38 ~-~-> 03:12:42 |you've been with me each day that you're live. Don't do too much on the weekend,
2039 |2038 |03:12:42 ~-~-> 03:12:46 |relax. Use that as your downtime, because you can burn yourself out really
2040 |2039 |03:12:46 ~-~-> 03:12:50 |fast. This is a lot of time being invested listening to me and you're not
2041 |2040 |03:12:50 ~-~-> 03:12:54 |really paying attention entirely. It's easy for you to just phase in and out,
2042 |2041 |03:12:54 ~-~-> 03:13:01 |but there are a large number of you that can't be here and you're complaining
2043 |2042 |03:13:01 ~-~-> 03:13:06 |about the length of these things, if I'm trying to teach you live price action
2044 |2043 |03:13:07 ~-~-> 03:13:14 |and it needs to be done over live data. How is it benefiting you? If I'm talking
2045 |2044 |03:13:14 ~-~-> 03:13:19 |less when you have to get a comprehensive understanding of what the
2046 |2045 |03:13:19 ~-~-> 03:13:24 |market's going to do over the spectrum of a whole trading session like that
2047 |2046 |03:13:24 ~-~-> 03:13:29 |just proves a myopic perspective. You don't even know what you're supposed to
2048 |2047 |03:13:29 ~-~-> 03:13:33 |know, to even ask the right questions. And that's not to be condescending to
2049 |2048 |03:13:33 ~-~-> 03:13:37 |you if you if that's how you feel, that's why I delete your comment or I
2050 |2049 |03:13:37 ~-~-> 03:13:41 |ban you when you're commenting stuff like that. You talk too much. I don't
2051 |2050 |03:13:41 ~-~-> 03:13:44 |ever want to hear from somebody like that, because you're telling me the
2052 |2051 |03:13:44 ~-~-> 03:13:48 |clearest way that I'm not here to learn properly, and I don't, I don't
2053 |2052 |03:13:48 ~-~-> 03:13:52 |appreciate your time and your effort, because I don't need to do this for you.
2054 |2053 |03:13:53 ~-~-> 03:13:57 |I'm doing it for my son, and I'm hoping it's going to inspire him enough to show
2055 |2054 |03:13:57 ~-~-> 03:14:02 |results to his brothers where they will get jealous. I'm trying to create
2056 |2055 |03:14:02 ~-~-> 03:14:07 |jealousy in them because they're bullies. And just like every other boy,
2057 |2056 |03:14:07 ~-~-> 03:14:10 |they want to pull out their dick and measure it against somebody else's and
2058 |2057 |03:14:10 ~-~-> 03:14:14 |say, I'm bigger than you, bub. And I know that that will make them want to do
2059 |2058 |03:14:14 ~-~-> 03:14:19 |it. If one of them's doing it, they all want to do it. When Cameron was making
2060 |2059 |03:14:19 ~-~-> 03:14:26 |money in top step my youngest son, Dad, can you teach me how to trade? But the
2061 |2060 |03:14:26 ~-~-> 03:14:30 |same tick tock mentality I sat down with him, I did one day with him like this,
2062 |2061 |03:14:30 ~-~-> 03:14:33 |and he was looking at his phone. I said, put the phone on the counter over there,
2063 |2062 |03:14:33 ~-~-> 03:14:36 |and he's staring off in the space, and he wasn't watching a chart. Attention
2064 |2063 |03:14:36 ~-~-> 03:14:41 |span is too small. Wants it right now, and that's the problem. Drive through
2065 |2064 |03:14:41 ~-~-> 03:14:45 |menu mentality. Give it to me right now. And the time I spent from driving my car
2066 |2065 |03:14:45 ~-~-> 03:14:49 |to one we need to go up there to receive the food from you, is too long,
2067 |2066 |03:14:50 ~-~-> 03:14:56 |and I can't tolerate that like I have no no tolerance for that type of shit. And
2068 |2067 |03:14:56 ~-~-> 03:14:59 |that's why I teach the way I do. I sound like a hard ass. I sound like a prick.
2069 |2068 |03:14:59 ~-~-> 03:15:04 |And. And I'm very, very direct, and I don't care about your feelings, because
2070 |2069 |03:15:04 ~-~-> 03:15:08 |the market doesn't care about your feelings. It doesn't care that it feels
2071 |2070 |03:15:08 ~-~-> 03:15:12 |harder for you to learn this. It doesn't care once you arrive and you get your
2072 |2071 |03:15:12 ~-~-> 03:15:16 |profitable model. It doesn't care that you have that profitable model. It's
2073 |2072 |03:15:16 ~-~-> 03:15:19 |going to do what it's going to do if you're in you make money. It doesn't
2074 |2073 |03:15:19 ~-~-> 03:15:24 |care. It's indifferent to you, but you're going to personify it like it's
2075 |2074 |03:15:24 ~-~-> 03:15:29 |hurting your feelings, because you have the wrong perspective. You have to be
2076 |2075 |03:15:29 ~-~-> 03:15:35 |100% responsible, and you don't know how you're going to react to determine the
2077 |2076 |03:15:35 ~-~-> 03:15:40 |level of responsibility you have, until you go through this stuff, you have to
2078 |2077 |03:15:40 ~-~-> 03:15:44 |put yourself through it. See it. I don't care who it is. People that like me
2079 |2078 |03:15:44 ~-~-> 03:15:47 |don't like me, if they have a model, if they have a software program they
2080 |2079 |03:15:47 ~-~-> 03:15:52 |designed, or they use, or they sell, whatever, they all did this shit. They
2081 |2080 |03:15:52 ~-~-> 03:15:56 |sat and they watched price action, and they had to get used to seeing these
2082 |2081 |03:15:56 ~-~-> 03:15:58 |things happen when you're trading. What do you think is going to happen
2083 |2082 |03:15:58 ~-~-> 03:16:01 |differently? You think that they're going to speed the fucking charts up for
2084 |2083 |03:16:01 ~-~-> 03:16:04 |you two times the speed you times the speed. Do you think that annotations are
2085 |2084 |03:16:04 ~-~-> 03:16:07 |going to pop up on your fucking chart? There's a trading view indicator, the
2086 |2085 |03:16:07 ~-~-> 03:16:11 |ICT, music intermusings of ICT, you're going to watch price action and
2087 |2086 |03:16:11 ~-~-> 03:16:14 |everything that I'm saying here, when price is ticking and where I think is
2088 |2087 |03:16:14 ~-~-> 03:16:17 |interesting, and what it should do, what it shouldn't do. There's an indicator is
2089 |2088 |03:16:17 ~-~-> 03:16:20 |going to pop up and populate all that stuff on your chart. You think that's
2090 |2089 |03:16:20 ~-~-> 03:16:23 |going to happen because it's not going to happen. Your chart is going to be
2091 |2090 |03:16:23 ~-~-> 03:16:27 |naked until you scribble whatever it is that you put on it, or if you leave it
2092 |2091 |03:16:27 ~-~-> 03:16:31 |open, whatever happens by your observation of watching price action,
2093 |2092 |03:16:31 ~-~-> 03:16:35 |that's what you're left with. That's the reality of trading. You don't know what
2094 |2093 |03:16:35 ~-~-> 03:16:40 |the next candle is going to do. You don't know that. You have no idea where
2095 |2094 |03:16:40 ~-~-> 03:16:48 |it's going to go, but we study to get a baseline on how we can predetermine the
2096 |2095 |03:16:48 ~-~-> 03:16:53 |most likely next draw on liquidity, and that's the that's the basis of
2097 |2096 |03:16:53 ~-~-> 03:16:59 |profitable trading, know where it's going, and then have a pattern that you
2098 |2097 |03:16:59 ~-~-> 03:17:04 |trust You've seen many times, over and over and again, pan out that leads to a
2099 |2098 |03:17:04 ~-~-> 03:17:09 |reason to be in that move and ride it to that draw on liquidity, where you think
2100 |2099 |03:17:09 ~-~-> 03:17:15 |it's going to go to. And there's lots of ways to get into a trade, but I don't
2101 |2100 |03:17:15 ~-~-> 03:17:21 |want to force you into a mold that says this is the best one for you. So as a
2102 |2101 |03:17:21 ~-~-> 03:17:24 |reminder, as I close it, this is another week behind us. Now, Caleb's being
2103 |2102 |03:17:24 ~-~-> 03:17:29 |forced into fair value gap. I promise you, I swear to Christ almighty. It's
2104 |2103 |03:17:29 ~-~-> 03:17:34 |not because the fair value gap is the best. It's just the one that's easily
2105 |2104 |03:17:34 ~-~-> 03:17:40 |visual. You can see it easily in a chart. It doesn't hide when there is a
2106 |2105 |03:17:40 ~-~-> 03:17:45 |obvious draw on liquidity. He will be using a fair value gap, and he will buy
2107 |2106 |03:17:45 ~-~-> 03:17:51 |one tick below the high of a discount fair value gap. He will sell short one
2108 |2107 |03:17:51 ~-~-> 03:17:56 |tick above the low of a bearish fair value gap. That's his entry technique.
2109 |2108 |03:17:57 ~-~-> 03:18:01 |I've already told you. Now, okay, I told you this yesterday. I told you, at the
2110 |2109 |03:18:01 ~-~-> 03:18:05 |beginning of the live streams last week how he's going to get in. If you're just
2111 |2110 |03:18:05 ~-~-> 03:18:08 |wondering what the model is that's going to get him in, you don't need to watch
2112 |2111 |03:18:08 ~-~-> 03:18:12 |my videos and stop bitching about it in my comments, because nobody sees them
2113 |2112 |03:18:12 ~-~-> 03:18:16 |but me, and I see him one time and I never see it again. You'll never be good
2114 |2113 |03:18:16 ~-~-> 03:18:21 |at this, if that's what your mentality is. But just knowing where a fair value
2115 |2114 |03:18:21 ~-~-> 03:18:27 |gap entry is doesn't mean shit. You have to know where the market's going to grow
2116 |2115 |03:18:27 ~-~-> 03:18:32 |up to or reduce down to. It's going to go up or it's going to go down, and it's
2117 |2116 |03:18:32 ~-~-> 03:18:36 |never going to be a straight line for you. It's not going to be like that, and
2118 |2117 |03:18:36 ~-~-> 03:18:41 |you're going to be met with, as I'm going to talk about a couple weeks, when
2119 |2118 |03:18:41 ~-~-> 03:18:46 |it's challenging, how to overcome holding on to an idea when it's not so
2120 |2119 |03:18:46 ~-~-> 03:18:49 |clear that it wants to keep doing it, how to hold on to a trade. I get that
2121 |2120 |03:18:49 ~-~-> 03:18:54 |all the time. I've given lots of responses to that this week. I've given
2122 |2121 |03:18:54 ~-~-> 03:18:58 |you things on how to frame a trade with stop loss placement. I've given you
2123 |2122 |03:18:58 ~-~-> 03:19:02 |things to think about if you get stopped out, how to revisit the same idea and
2124 |2123 |03:19:02 ~-~-> 03:19:06 |get back in I've given you instances where you could use that same criteria,
2125 |2124 |03:19:06 ~-~-> 03:19:10 |and it would be reasonable to anticipate a level B trade to and if you use that,
2126 |2125 |03:19:10 ~-~-> 03:19:13 |it would still run away without you, but go to where you thought, or I said it
2127 |2126 |03:19:13 ~-~-> 03:19:18 |was going to go. There's no shame in that. I'm teaching you how to disarm
2128 |2127 |03:19:18 ~-~-> 03:19:22 |yourself, because that's the stuff that all my students, that bitch and cried to
2129 |2128 |03:19:22 ~-~-> 03:19:26 |me in the beginning that finally found their way through it by doing this
2130 |2129 |03:19:26 ~-~-> 03:19:30 |stuff, by journaling correctly, not beating themselves up, not talking
2131 |2130 |03:19:30 ~-~-> 03:19:34 |themselves down, not inviting ass hats on the internet and their bullshit
2132 |2131 |03:19:34 ~-~-> 03:19:40 |commentaries and their insults and criticism to derail them. It's easy to
2133 |2132 |03:19:40 ~-~-> 03:19:45 |do you give the devil a seat at the table. He will come and dine with you.
2134 |2133 |03:19:48 ~-~-> 03:19:55 |Don't. Don't invite him. Don't invite him. Keep your business, your business.
2135 |2134 |03:19:55 ~-~-> 03:19:58 |Don't tell other people what you're doing. Don't give progress reports to
2136 |2135 |03:19:58 ~-~-> 03:20:01 |other people that you know that now. They know that you're going through this
2137 |2136 |03:20:01 ~-~-> 03:20:05 |because they're never going to encourage you that's not going to happen. That's
2138 |2137 |03:20:05 ~-~-> 03:20:09 |not going to happen. They're going to give you 15 reasons why you should not
2139 |2138 |03:20:09 ~-~-> 03:20:13 |waste any more time. And these same people talking to you don't make a
2140 |2139 |03:20:13 ~-~-> 03:20:18 |fucking Penny. They don't make a penny, and they probably work at fucking Jiffy
2141 |2140 |03:20:18 ~-~-> 03:20:26 |Lube, and they never had a job better than that one. So I'm closing it. You
2142 |2141 |03:20:26 ~-~-> 03:20:31 |have a lot of homework through this one this week, Caleb, lots and lots of nice
2143 |2142 |03:20:31 ~-~-> 03:20:36 |to go through, but we'll be back at it again on Monday. Lord willing. I will
2144 |2143 |03:20:37 ~-~-> 03:20:43 |see you then. Until then, enjoy your weekend. Be safe, and I think I
2145 |2144 |03:20:43 ~-~-> 03:20:48 |mentioned we're going to work on the foundations of entry next week. So we
2146 |2145 |03:20:48 ~-~-> 03:20:54 |we've given some basic rules for draw and liquidity that will be every single
2147 |2146 |03:20:54 ~-~-> 03:20:59 |time. So it's not like I'm done with that. Every single lecture will be
2148 |2147 |03:20:59 ~-~-> 03:21:02 |working around draws on liquidity, but now we're going to be working with
2149 |2148 |03:21:02 ~-~-> 03:21:06 |elements of entry, so that way we can start looking at it, put the perspective
2150 |2149 |03:21:06 ~-~-> 03:21:11 |of while tape reading, what should I be expecting to see? What should it do?
2151 |2150 |03:21:11 ~-~-> 03:21:14 |What shouldn't it do? So we're going to be using the fair value gap with that in
2152 |2151 |03:21:14 ~-~-> 03:21:19 |mind, framing the logic of what an entry would be hypothetically, not pushing a
2153 |2152 |03:21:19 ~-~-> 03:21:23 |demo button, not not entering a trade, but building that so that we can study
2154 |2153 |03:21:23 ~-~-> 03:21:27 |it, watch it over time, and then you have that skill set that in when I'm not
2155 |2154 |03:21:27 ~-~-> 03:21:30 |doing live streams, like, if you want to watch the london session, if you want to
2156 |2155 |03:21:30 ~-~-> 03:21:36 |watch Forex, if you want to watch, you know, the Asian session, you'll be able
2157 |2156 |03:21:36 ~-~-> 03:21:41 |to do that stuff and not require me to be doing it With you live, so it gives
2158 |2157 |03:21:41 ~-~-> 03:21:47 |you the resources and the practice, the privacy, the processes and protocols
2159 |2158 |03:21:47 ~-~-> 03:21:50 |that go through for you to be able to do it without me, because you got to be
2160 |2159 |03:21:50 ~-~-> 03:21:56 |involved in this even when I'm not doing it. Okay, so that's it. I'll talk to you
2161 |2160 |03:21:56 ~-~-> 03:21:57 |next time. Be safe. You.