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Last modified by Drunk Monkey on 2024-09-11 12:21
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2 |1 |00:00:00 ~-~-> 00:00:20 |ICT: All right. Caleb, this is your weekly chart of NASDAQ, okay. Want you
3 |2 |00:00:20 ~-~-> 00:00:26 |to take a look at this candlesticks low here to this candlesticks high, as we
4 |3 |00:00:26 ~-~-> 00:00:33 |ran above, dropped lower. That is a inversion, fair value gap, an old weekly
5 |4 |00:00:33 ~-~-> 00:00:37 |low at the time of analysis during the weekend. So we have not started trading
6 |5 |00:00:37 ~-~-> 00:00:43 |for Sunday's new week opening. So we have one week that we just closed, so
7 |6 |00:00:43 ~-~-> 00:00:52 |you have to look back, 123, there, that old weekly low is being annotated here.
8 |7 |00:00:53 ~-~-> 00:00:57 |You would know about these lows anyway, weekly highs and lows that should always
9 |8 |00:00:57 ~-~-> 00:01:03 |be a level into like previous highs and lows, they should be also factored in on
10 |9 |00:01:03 ~-~-> 00:01:07 |your chart, or at least the very minimum in a notepad next to your trading area.
11 |10 |00:01:10 ~-~-> 00:01:16 |This volume of balance here, this volume and balance, you'll see that it doesn't
12 |11 |00:01:16 ~-~-> 00:01:21 |completely touch that. I'll explain that in a second. And this one here, notice
13 |12 |00:01:21 ~-~-> 00:01:27 |the setting in the lower right hand corner. I'm annotating the chart showing
14 |13 |00:01:28 ~-~-> 00:01:37 |these three by contrast. These are weekly volume imbalances. There are
15 |14 |00:01:37 ~-~-> 00:01:41 |potential downside objectives. We have this wick here. It doesn't look like
16 |15 |00:01:41 ~-~-> 00:01:45 |it's attached, but I wanted to move it away to see if I can clean this little
17 |16 |00:01:45 ~-~-> 00:01:51 |area up. And then this weekly discount WIC consequence encroachment is here. So
18 |17 |00:01:51 ~-~-> 00:01:56 |I'm looking at this wick half of that. So drop a fib, the 50% level. That's
19 |18 |00:01:56 ~-~-> 00:02:01 |what's been annotated there. And this one is this wick, and then we have the
20 |19 |00:02:01 ~-~-> 00:02:06 |weekly relative equal lows. It's sell side liquidity pool. Now with the
21 |20 |00:02:06 ~-~-> 00:02:12 |settlement toggled again, you can see that that volume imbalance is much more
22 |21 |00:02:12 ~-~-> 00:02:16 |cleaner. That's what these are matching in there. So which 1am I using, the one
23 |22 |00:02:16 ~-~-> 00:02:21 |that has the narrow separations and gaps, or the one that has the widest.
24 |23 |00:02:21 ~-~-> 00:02:27 |This one here the one that has the widest. Okay, so it makes it easier to
25 |24 |00:02:27 ~-~-> 00:02:31 |understand what you want. I'm doing. I'm sticking to the same logic I gave you
26 |25 |00:02:31 ~-~-> 00:02:37 |initially. When you're looking at the high time frame charts, the SCT, that
27 |26 |00:02:37 ~-~-> 00:02:42 |settlement price toggling option where you can use the selling price for your
28 |27 |00:02:42 ~-~-> 00:02:49 |clothes on the candlestick, always elect to go with the one that has the wider
29 |28 |00:02:49 ~-~-> 00:02:55 |separations between the bodies, if it has that, versus something that may show
30 |29 |00:02:55 ~-~-> 00:02:59 |no volume and balance at all, because there's sometimes it's like that, I will
31 |30 |00:02:59 ~-~-> 00:03:04 |always elect to Use the one that shows the volume imbalances. Okay, all right,
32 |31 |00:03:04 ~-~-> 00:03:09 |moving down into a daily time frame, that weekly inversion, pair value gap is
33 |32 |00:03:09 ~-~-> 00:03:14 |transposed here, anchored to that. Candlesticks low there, and we have a
34 |33 |00:03:14 ~-~-> 00:03:20 |bearish order block, and it's also the high of this pair value gap. Go back and
35 |34 |00:03:20 ~-~-> 00:03:25 |look at the review on Friday's live stream where I cover the trade that I
36 |35 |00:03:25 ~-~-> 00:03:31 |took nailing the high on Thursday down into the daily volume imbalance, which
37 |36 |00:03:31 ~-~-> 00:03:34 |is here we don't need to look at that anymore. That's all part of the old
38 |37 |00:03:34 ~-~-> 00:03:37 |data. I'm not showing any new week opening gaps or New Day opening gaps on
39 |38 |00:03:37 ~-~-> 00:03:43 |this chart or any of these charts. It's your task to have those included on
40 |39 |00:03:43 ~-~-> 00:03:47 |there. I want to keep the chart pertinent to these specific levels I'm
41 |40 |00:03:47 ~-~-> 00:03:54 |sharing. Going into a new week, we have a daily volume imbalance here, and it's
42 |41 |00:03:54 ~-~-> 00:03:59 |anchored on August 13, 2024 whenever you're annotating your chart, Caleb, the
43 |42 |00:03:59 ~-~-> 00:04:06 |day that creates the candle to the right that forms a PD array. For instance,
44 |43 |00:04:06 ~-~-> 00:04:11 |this candlestick here, that body and close, compared to the next candle here,
45 |44 |00:04:11 ~-~-> 00:04:17 |where it opens. That candle is the date that you anchor to, just like when we do
46 |45 |00:04:17 ~-~-> 00:04:25 |a new week opening gap you're using the Sunday's date to label that okay, that
47 |46 |00:04:25 ~-~-> 00:04:30 |gap for new week, opening gap New Day opening gaps are always going to be
48 |47 |00:04:30 ~-~-> 00:04:33 |referred to the next day because we're on the east coast of the United States.
49 |48 |00:04:33 ~-~-> 00:04:39 |So while it's being formed at 6pm New York, local time, after that one hour
50 |49 |00:04:39 ~-~-> 00:04:46 |break between 5pm eastern time to 6pm Eastern Time. The 6pm is still
51 |50 |00:04:46 ~-~-> 00:04:54 |technically inside of the the date or the day of the week, but we're referring
52 |51 |00:04:54 ~-~-> 00:05:01 |it to the date and the day name after midnight. You. New York local time. So
53 |52 |00:05:01 ~-~-> 00:05:04 |in other words, it's always going to be counting tomorrow as the labeling for
54 |53 |00:05:04 ~-~-> 00:05:10 |New Day opening gap. But everything else is self explanatory. And again, the new
55 |54 |00:05:10 ~-~-> 00:05:14 |week opening gap. Here, you can see how we came down and hit that here, small,
56 |55 |00:05:14 ~-~-> 00:05:18 |little coloring outside the lines there. And now we have, now this is going to be
57 |56 |00:05:18 ~-~-> 00:05:24 |a old weekly low. That means it's last week's low and that previous old weekly
58 |57 |00:05:24 ~-~-> 00:05:28 |low there. Now you can label these by date. I'm going to let you have that
59 |58 |00:05:28 ~-~-> 00:05:32 |discretion to determine how you're going to label it. May want to use a numeric
60 |59 |00:05:32 ~-~-> 00:05:36 |format like this, or you may have to type it all out if you if you want it
61 |60 |00:05:36 ~-~-> 00:05:42 |that way. But the next one is this weekly volume imbalance down here, and
62 |61 |00:05:44 ~-~-> 00:05:47 |I'm not adding it here, but I want to show it to you. You want to get the
63 |62 |00:05:47 ~-~-> 00:05:51 |measurement on here, and it's consequent encroachment, so kind of close to that
64 |63 |00:05:51 ~-~-> 00:05:57 |weekly volume and balance level. So this is your imbalance, but anchor that also
65 |64 |00:05:57 ~-~-> 00:06:02 |with the real price level of this premium wick. It's midpoint or
66 |65 |00:06:02 ~-~-> 00:06:10 |consequent encroachment, and then we have this wick here is essentially that
67 |66 |00:06:10 ~-~-> 00:06:16 |low. You can test that out. Okay, it's by one tick or so off. So you can just
68 |67 |00:06:16 ~-~-> 00:06:19 |eyeball that. That's what I do when I when I refer to wicks like this, if I
69 |68 |00:06:19 ~-~-> 00:06:25 |see a candlesticks low, then I know that that Wix midpoint has been used here, so
70 |69 |00:06:25 ~-~-> 00:06:29 |I look at that low as now a key cell side, liquidity pool.
71 |70 |00:06:35 ~-~-> 00:06:40 |All right, moving into a 15 minute time frame, see the bear, shorter block,
72 |71 |00:06:41 ~-~-> 00:06:46 |bearish, fair value got high and low. Bear, shorter block here, hitting that
73 |72 |00:06:47 ~-~-> 00:06:51 |this inefficiency here, I mentioned this in the live stream on Non Farm Payroll
74 |73 |00:06:51 ~-~-> 00:06:59 |Friday, and end up making the turn in here after taking primary buy side and
75 |74 |00:06:59 ~-~-> 00:07:03 |primary sell side, which was given during the Non Farm Payroll live stream.
76 |75 |00:07:05 ~-~-> 00:07:10 |Market breaks into that weekly inversion, fair value gap. Notice that
77 |76 |00:07:10 ~-~-> 00:07:13 |the candle opens here, trades up to the top of that inversion. Fair value gap
78 |77 |00:07:13 ~-~-> 00:07:20 |breaks lower. We have a discount wick consequent encroachment price on this
79 |78 |00:07:20 ~-~-> 00:07:25 |candlestick here, open trade it up and it failed to get back to Thursday's
80 |79 |00:07:25 ~-~-> 00:07:30 |daily low. So we're looking at previous days low, which is here. This is
81 |80 |00:07:30 ~-~-> 00:07:36 |Friday's price action over here. I have the daily delineated vertically with
82 |81 |00:07:37 ~-~-> 00:07:41 |midnight New York local time. So here's Thursday's low. So we traded through it
83 |82 |00:07:41 ~-~-> 00:07:47 |here. All of this is nonprofit payroll, which is highly manipulated, trades up
84 |83 |00:07:47 ~-~-> 00:07:51 |into a bearish, fair value gap, which is a city on a 15 minute time frame. That's
85 |84 |00:07:51 ~-~-> 00:07:57 |the time frame we're on right now, Caleb, and then we break lower, we fail
86 |85 |00:07:57 ~-~-> 00:08:01 |to get to Thursday's daily low here, and we didn't get up to the discount Wix,
87 |86 |00:08:01 ~-~-> 00:08:05 |consequent encroachment. So that means we're decidedly weak. Then we have also
88 |87 |00:08:05 ~-~-> 00:08:08 |the bearish order block, which are these two consecutive, or, I'm sorry, three
89 |88 |00:08:08 ~-~-> 00:08:12 |consecutive. I'll close candles the opening price. That's the change in the
90 |89 |00:08:12 ~-~-> 00:08:16 |state of delivery. It trades to that breaks down. We have a discount wick,
91 |90 |00:08:16 ~-~-> 00:08:20 |consequent encroachment. Midpoint of the measurement between this candle sticks
92 |91 |00:08:20 ~-~-> 00:08:23 |open and that candle sticks low. That's what's being measured. Okay? Being
93 |92 |00:08:23 ~-~-> 00:08:27 |measured. Okay, extend that forward. We open on this candle, trade up and then
94 |93 |00:08:27 ~-~-> 00:08:34 |break lower, attacking the primary sell side, liquidity, trading down into the
95 |94 |00:08:34 ~-~-> 00:08:38 |daily volume imbalance on August 13, 2024 you find that information on the
96 |95 |00:08:38 ~-~-> 00:08:43 |daily chart. And then we created a city here. This is a bearish fair value gap.
97 |96 |00:08:43 ~-~-> 00:08:47 |Classification is Southside imbalance by sign and efficiency as labeled here, and
98 |97 |00:08:47 ~-~-> 00:08:51 |it's anchored to what time frame, the 15 minute time frame. So when you're doing
99 |98 |00:08:51 ~-~-> 00:08:54 |your annotations, Caleb, you need to manage them with these little, tiny,
100 |99 |00:08:54 ~-~-> 00:09:00 |little reference points, just like w here means that it's a weekly inversion
101 |100 |00:09:00 ~-~-> 00:09:03 |fair value gap. So it keeps your charts very organized. You'll be able to see
102 |101 |00:09:03 ~-~-> 00:09:07 |what reference points are pertinent, and I'm going to teach you how that is
103 |102 |00:09:07 ~-~-> 00:09:14 |important for watching institutional order flow and tracking the price
104 |103 |00:09:14 ~-~-> 00:09:21 |delivery continuum theory. We have a WIC here. It's a premium WIC. So that would
105 |104 |00:09:21 ~-~-> 00:09:27 |be a consequent encroachment level there. But because we've had this gap,
106 |105 |00:09:29 ~-~-> 00:09:33 |this running back up into the daily volume imbalance, and in leaving that, I
107 |106 |00:09:33 ~-~-> 00:09:39 |would never expect that mid wick to ever be traded to again, because we have this
108 |107 |00:09:39 ~-~-> 00:09:44 |one, and then we have this one here, which is technically immediate
109 |108 |00:09:44 ~-~-> 00:09:48 |rebalance. So immediate rebalances, we don't like to see a consequent
110 |109 |00:09:48 ~-~-> 00:09:51 |encroachment if it's done on basis of a wick like it does here. So that's for
111 |110 |00:09:51 ~-~-> 00:09:55 |your notes. It'll also be more details about that in the books, but very fair
112 |111 |00:09:55 ~-~-> 00:09:59 |value. Gap cell sign bound spots on efficiency, 15 minute time frame breaks
113 |112 |00:09:59 ~-~-> 00:10:06 |lower. Trades, trades to a discount WIC consequent encroachment and a discount
114 |113 |00:10:06 ~-~-> 00:10:11 |wick contour encroachment on these dates. Okay, so their daily time frame
115 |114 |00:10:13 ~-~-> 00:10:17 |bear shorter block. We trade up into that here, and then we have again,
116 |115 |00:10:17 ~-~-> 00:10:23 |premium WIC consequent encroachment, which is this wick there, and then we
117 |116 |00:10:23 ~-~-> 00:10:28 |break lower into the weekly volume and balance. And then now that is the low of
118 |117 |00:10:28 ~-~-> 00:10:34 |the week. So that will be factored in as a array for next week's trading, which
119 |118 |00:10:34 ~-~-> 00:10:39 |is simply going to be previous week's low. Over here we had the high up
120 |119 |00:10:39 ~-~-> 00:10:44 |Thursday, which is here, you can see that anchored to that and then
121 |120 |00:10:44 ~-~-> 00:10:51 |Thursday's daily low. Here, the best or optimal shorts, when you're bearish, are
122 |121 |00:10:51 ~-~-> 00:10:58 |going to form in the lower half or lower 50% of the previous day's range. That's
123 |122 |00:10:58 ~-~-> 00:11:02 |this level here, 18,009 70.75 and the high of that candlestick comes in at
124 |123 |00:11:02 ~-~-> 00:11:07 |18,009 72.25 really, really close to that. But the it's only done on the
125 |124 |00:11:07 ~-~-> 00:11:11 |basis of a wick. Notice that the bodies are staying down here towards the low
126 |125 |00:11:11 ~-~-> 00:11:16 |end of what that bearish fair value gap that I annotated live in the live stream
127 |126 |00:11:16 ~-~-> 00:11:21 |on not from payroll. So that's indicating that it's, it's heavy. So
128 |127 |00:11:21 ~-~-> 00:11:26 |again, lower half of the previous day's range. When you're bearish, that's what
129 |128 |00:11:26 ~-~-> 00:11:35 |your best shorts are going to form. Five minute chart, all the details from the
130 |129 |00:11:35 ~-~-> 00:11:40 |15 minute typing are transposed here. Now we have at the top end of that
131 |130 |00:11:40 ~-~-> 00:11:44 |weekly inversion fair value gap. We have the first presentation of a bearish fair
132 |131 |00:11:44 ~-~-> 00:11:48 |value gap right here. Look at the beautiful delivery. Here we open trade
133 |132 |00:11:48 ~-~-> 00:11:55 |right up to the top of the inversion fair value gap into that first fair
134 |133 |00:11:55 ~-~-> 00:12:00 |value gap formed between 930 and 10 o'clock. You can't use 930 as the
135 |134 |00:12:00 ~-~-> 00:12:05 |imbalance candle. So it has to be 931, minimum, and the market trades
136 |135 |00:12:05 ~-~-> 00:12:10 |aggressively lower. Here's another inversion, fair value gap. It's bearish,
137 |136 |00:12:10 ~-~-> 00:12:14 |and then we break lower, we open on this candle, trade up into the bearish order
138 |137 |00:12:14 ~-~-> 00:12:18 |block right there. But it's also the low, the inversion, fair value gap. So
139 |138 |00:12:18 ~-~-> 00:12:22 |there's, there's several factors there, and that's why you're seeing that
140 |139 |00:12:22 ~-~-> 00:12:26 |sensitivity, the brakes lower. And then we have small little gap in here. The
141 |140 |00:12:26 ~-~-> 00:12:31 |wicks trade through the bearish 15 minute order block. See how, right away,
142 |141 |00:12:31 ~-~-> 00:12:36 |the labels help you. So now, when we're watching, say, for instance, a five
143 |142 |00:12:36 ~-~-> 00:12:41 |minute chart, I'm looking at these levels knowing that they're on a higher
144 |143 |00:12:41 ~-~-> 00:12:46 |time frame. So that means I'm allowing and affording price, the luxury of
145 |144 |00:12:46 ~-~-> 00:12:52 |trading through the shorter term, five minute levels that appear here,
146 |145 |00:12:52 ~-~-> 00:12:57 |expecting the higher Time Frame. PDA, raise that like the 15 minute time frame
147 |146 |00:12:57 ~-~-> 00:13:02 |here, or the daily or the weekly ones, they're going to respect those levels on
148 |147 |00:13:02 ~-~-> 00:13:12 |the lower time frame, more subordinately than looking at the lower time frame
149 |148 |00:13:12 ~-~-> 00:13:16 |five minute PD arrays of five minute PD arrays that form in this time frame when
150 |149 |00:13:16 ~-~-> 00:13:20 |this time frame is being five Minute, they can color outside the lines,
151 |150 |00:13:21 ~-~-> 00:13:26 |whereas I expect the higher Time Frame, 15 minute, daily and weekly, like we see
152 |151 |00:13:26 ~-~-> 00:13:34 |here, it just goes right to the top and it immediately breaks lower. The 15
153 |152 |00:13:34 ~-~-> 00:13:40 |minute time frame, discount wick, constant encroachment here, it trades up
154 |153 |00:13:40 ~-~-> 00:13:43 |to it just goes above it by a little bit. But it's really, what's it doing?
155 |154 |00:13:43 ~-~-> 00:13:47 |It's reaching into a bearish five minute order block, the opening price of this
156 |155 |00:13:47 ~-~-> 00:13:51 |up close candle and the low of this five minute inversion fair value gap. What
157 |156 |00:13:52 ~-~-> 00:13:55 |makes this inversion fair value got because all the details about this
158 |157 |00:13:55 ~-~-> 00:13:59 |supposedly failing to go higher, and then we get that confirmation when it
159 |158 |00:13:59 ~-~-> 00:14:04 |goes lower, when it overlaps this dropping lower, we expect that range to
160 |159 |00:14:04 ~-~-> 00:14:10 |act as a point of shorting. So it's a premium array, and we can see that with
161 |160 |00:14:10 ~-~-> 00:14:13 |the body. See the body staying inside that inversion fair value gap. These are
162 |161 |00:14:13 ~-~-> 00:14:18 |all signatures Caleb that tell you that what you're watching in terms of a PD
163 |162 |00:14:18 ~-~-> 00:14:24 |array, it's there. It's verifying and validating select points of reference
164 |163 |00:14:24 ~-~-> 00:14:29 |that I'm teaching you with the PD arrays. And we have a discount WIC on
165 |164 |00:14:29 ~-~-> 00:14:33 |the 15 minute time frame. We trade through that and attack the primary sell
166 |165 |00:14:33 ~-~-> 00:14:38 |side liquidity, digging down into the daily volume imbalance on the 13th of
167 |166 |00:14:38 ~-~-> 00:14:43 |August. And then we have that 15 minute time frame fair value gap city. It
168 |167 |00:14:43 ~-~-> 00:14:48 |trades up into the upper quadrant of that daily volume imbalance, that blue
169 |168 |00:14:48 ~-~-> 00:14:54 |shaded area here, and it allows price to trade up into that and covers that tiny
170 |169 |00:14:54 ~-~-> 00:14:57 |little gap right there that I don't want to add, but you can do it on your own
171 |170 |00:14:57 ~-~-> 00:15:03 |chart. Then we have the. The market creating another bearish fair value gap
172 |171 |00:15:03 ~-~-> 00:15:09 |here, after it creates this wick. So this one here, it goes up into this five
173 |172 |00:15:09 ~-~-> 00:15:13 |minute fair value gap. It could have went all the way up to the halfway point
174 |173 |00:15:13 ~-~-> 00:15:19 |of this wick, and the midpoint of this 15 minute time frame fair value gap
175 |174 |00:15:19 ~-~-> 00:15:23 |that's labeled, as you can see here, and then markets are showing what with the
176 |175 |00:15:23 ~-~-> 00:15:27 |bodies, the wicks are doing the damage. So while we're watching the market say
177 |176 |00:15:27 ~-~-> 00:15:32 |you're short up here, using the first fair value guy, you could be holding
178 |177 |00:15:32 ~-~-> 00:15:37 |this but you can't have a stop close to this high. You got to wait for price to
179 |178 |00:15:37 ~-~-> 00:15:40 |prove to you by the candlesticks closing, the bodies are staying well
180 |179 |00:15:40 ~-~-> 00:15:47 |below several time frame PD arrays. So that's how we manage, or have beginning
181 |180 |00:15:47 ~-~-> 00:15:52 |foundations to managing a stop loss. Or while we're tape reading and observing
182 |181 |00:15:52 ~-~-> 00:15:56 |price, you want to look at reference points like this in past data, and when
183 |182 |00:15:56 ~-~-> 00:16:00 |you're watching it live with me, you want to see it give these types of
184 |183 |00:16:00 ~-~-> 00:16:04 |signatures, and you'll see how it helps you stay in a trade and you're not in a
185 |184 |00:16:04 ~-~-> 00:16:09 |rush to jam a stop loss behind a short trade and get stopped out prematurely.
186 |185 |00:16:10 ~-~-> 00:16:14 |Then we have a bearish order block here. Mark consolidates, creates a small,
187 |186 |00:16:14 ~-~-> 00:16:17 |little, minor buy side liquidity pool. It rallies up, attacks that trades into
188 |187 |00:16:17 ~-~-> 00:16:20 |the bearish order block on that candlestick there. That's what you're
189 |188 |00:16:20 ~-~-> 00:16:24 |being noted there. It's a 15 inch time frame as well. So frame as well. So two
190 |189 |00:16:24 ~-~-> 00:16:29 |factors are occurring here. They're absorbing more trail stops, and they're
191 |190 |00:16:29 ~-~-> 00:16:33 |going into a premium rate. Why would they want to do that? So they can
192 |191 |00:16:33 ~-~-> 00:16:36 |position themselves for the next leg lower, whereas next leg lower going to
193 |192 |00:16:36 ~-~-> 00:16:40 |go right below these relative equal lows and down into that weekly volume and
194 |193 |00:16:40 ~-~-> 00:16:44 |balance. Market rallies up, attacks another minor buy side liquidity pool
195 |194 |00:16:44 ~-~-> 00:16:49 |here hits the premium width constant encouragement of a 15 minute time frame.
196 |195 |00:16:49 ~-~-> 00:16:53 |See all this in here? You can't, you can't appreciate it on the five minute
197 |196 |00:16:53 ~-~-> 00:16:58 |chart, but by having your labels correctly annotated, you know that if
198 |197 |00:16:58 ~-~-> 00:17:01 |you're watching, if you're if you're peaking at a five minute chart in
199 |198 |00:17:01 ~-~-> 00:17:05 |relationship to your one minute chart, or you're watching the one minute chart,
200 |199 |00:17:05 ~-~-> 00:17:09 |you'll have these time frame PD arrays that are anchored to a five or 15 minute
201 |200 |00:17:09 ~-~-> 00:17:12 |time frame, or daily or weekly price is going to be much more subordinate to
202 |201 |00:17:12 ~-~-> 00:17:20 |that in response to their repricing to them or through them, and ultimately it
203 |202 |00:17:20 ~-~-> 00:17:27 |breaks lower here. Okay, and one minute chart here. This is the regular trading
204 |203 |00:17:27 ~-~-> 00:17:32 |hours. So what I'm showing you is the opening bell at 930 that's this price
205 |204 |00:17:32 ~-~-> 00:17:36 |here, and the previous settlement price here, using regular trading hours, we
206 |205 |00:17:36 ~-~-> 00:17:41 |opened here, traded up when we left the upper quadrant open, just fell short by
207 |206 |00:17:41 ~-~-> 00:17:45 |one tick. You might want to compare and contrast your price there, but just fell
208 |207 |00:17:45 ~-~-> 00:17:50 |short by like one tick there, and left that portion open and but you can see
209 |208 |00:17:50 ~-~-> 00:17:56 |the half of that gap it opened traded right up into it, so 77 time, 50% of the
210 |209 |00:17:56 ~-~-> 00:18:00 |gap will get traded to within the first 30 minutes of trading, between 9:30am to
211 |210 |00:18:00 ~-~-> 00:18:05 |10am Eastern Time, the market breaks lower, comes right back up into mean
212 |211 |00:18:05 ~-~-> 00:18:11 |threshold of this up close candle there, breaks lower aggressively, and all the
213 |212 |00:18:11 ~-~-> 00:18:15 |things that we just went through. Now we're going to look at the same time
214 |213 |00:18:15 ~-~-> 00:18:20 |frame, one minute with electronic trading hours here. So inside that
215 |214 |00:18:20 ~-~-> 00:18:24 |bearish fair value gap city, 15 minute time frame basis. We have a small,
216 |215 |00:18:24 ~-~-> 00:18:27 |little fair value gap there, trades up into it. Look at the bodies you're
217 |216 |00:18:27 ~-~-> 00:18:33 |expecting that beautifully breaks so we have a shift in market structure. Trades
218 |217 |00:18:33 ~-~-> 00:18:37 |back up into that fair value gap there. That's an optimal trade entry there.
219 |218 |00:18:37 ~-~-> 00:18:41 |It's a model 2022, entry also, for those that have studied that on this YouTube
220 |219 |00:18:41 ~-~-> 00:18:47 |channel. Then it breaks into that weekly inversion fair value gap here, trades up
221 |220 |00:18:47 ~-~-> 00:18:51 |to the high the inversion fair value gap and then trades back to again. What's
222 |221 |00:18:51 ~-~-> 00:18:56 |this on the five minute chart? It's the first presented fair value gap. We work
223 |222 |00:18:56 ~-~-> 00:19:01 |from the five, I'm sorry, we work from the 15, the five and the one. So if the
224 |223 |00:19:01 ~-~-> 00:19:04 |fair value gap forms on the five minute chart, you don't need to be waiting for
225 |224 |00:19:04 ~-~-> 00:19:08 |it on the one minute chart. So you're working from the higher time frame down.
226 |225 |00:19:08 ~-~-> 00:19:13 |That is the price delivery continuum theory here. It shows perfectly being
227 |226 |00:19:13 ~-~-> 00:19:18 |delivered. Now you see this gap here, and this gap, that's what you're seeing
228 |227 |00:19:18 ~-~-> 00:19:21 |on the one minute chart. But if you're not referring to it in the way I'm
229 |228 |00:19:21 ~-~-> 00:19:26 |teaching it, son, you won't see how this is all one singular candle, where on a
230 |229 |00:19:27 ~-~-> 00:19:30 |one minute chart you might expect, oh, it might want to trade up in here. It
231 |230 |00:19:30 ~-~-> 00:19:33 |might want to trade up into this area, because that might be a bearish order
232 |231 |00:19:33 ~-~-> 00:19:38 |block. No, because it's being subordinate to the five minute chart.
233 |232 |00:19:38 ~-~-> 00:19:41 |Fair value, yeah, because that's the first presented one, so algorithmically,
234 |233 |00:19:41 ~-~-> 00:19:46 |it reprices to that one. It need not go any higher. Breaks back down into a
235 |234 |00:19:46 ~-~-> 00:19:50 |smaller, five minute inversion, fair value gap. You're going to want to go
236 |235 |00:19:50 ~-~-> 00:19:54 |back through the charts here, rewinding and seeing it. But most importantly, you
237 |236 |00:19:54 ~-~-> 00:19:57 |want to go into your own charts and create the same thing in your charts.
238 |237 |00:19:57 ~-~-> 00:20:01 |Not just use mine. You're. Breaks to the low of the inversion fair value got
239 |238 |00:20:01 ~-~-> 00:20:05 |formed on the five minute chart, and then once we go below it, we trade back
240 |239 |00:20:05 ~-~-> 00:20:09 |up into a bearish five minute order block, which, again, is anchored to
241 |240 |00:20:09 ~-~-> 00:20:12 |something over here that you wouldn't see, but on the five minute chart, it
242 |241 |00:20:12 ~-~-> 00:20:16 |was annotated. So as the market creates these things, I'm writing them down on a
243 |242 |00:20:16 ~-~-> 00:20:20 |notepad, but you can't do that initially, so I want you to label your
244 |243 |00:20:20 ~-~-> 00:20:24 |charts like this, it will feel cumbersome, it feels tedious, it feels
245 |244 |00:20:24 ~-~-> 00:20:29 |like a lot of work for nothing. But this is how I learned to trust holding on the
246 |245 |00:20:29 ~-~-> 00:20:35 |trades and seeing them form, seeing this stuff repeat over and over and over
247 |246 |00:20:35 ~-~-> 00:20:38 |again. They had displacement lower. We have a gap in here that was based on a
248 |247 |00:20:38 ~-~-> 00:20:43 |five minute chart. It's too tight for me to annotate it. This one here is on the
249 |248 |00:20:43 ~-~-> 00:20:51 |one minute chart here. So we work lower trade up into a one minute fair value
250 |249 |00:20:51 ~-~-> 00:20:56 |gap. The bodies are trading up into a discount with on the 15 minute time
251 |250 |00:20:56 ~-~-> 00:21:00 |frame. So if it's based on a 15 minute time frame, it's reasonable to see it
252 |251 |00:21:00 ~-~-> 00:21:05 |trade a little bit outside the lines and not change anything. It's not disrupting
253 |252 |00:21:05 ~-~-> 00:21:09 |anything. Basically, the market breaks lower, and that's your breakaway gap.
254 |253 |00:21:10 ~-~-> 00:21:14 |And then we go into the daily volume and bounce on August 13, come back up into
255 |254 |00:21:14 ~-~-> 00:21:19 |consequent encroachment of that. We break lower, we create a five minute
256 |255 |00:21:19 ~-~-> 00:21:23 |fair value gap that you can't see now on a one minute time frame. That's why you
257 |256 |00:21:23 ~-~-> 00:21:27 |have to work from your higher time frame down and you verify them with the lower
258 |257 |00:21:27 ~-~-> 00:21:32 |time frames. How does it behave around them? The market trades through this
259 |258 |00:21:32 ~-~-> 00:21:36 |fair value gap. But what is it doing? It's trading right back up to a bearish
260 |259 |00:21:36 ~-~-> 00:21:41 |order block on a one minute chart, and it's going to the upper quadrant of that
261 |260 |00:21:41 ~-~-> 00:21:46 |daily volume imbalance on August 13, 2024 so all of this is a fake rally. It
262 |261 |00:21:46 ~-~-> 00:21:50 |gets faded into. It breaks lower trades, the consequent encroachment of the five
263 |262 |00:21:50 ~-~-> 00:21:56 |minute fair value gap, which is also a lower quadrant level. On this 15 minute
264 |263 |00:21:58 ~-~-> 00:22:03 |fair value gap, we break lower order block. I don't want to put too many
265 |264 |00:22:03 ~-~-> 00:22:07 |annotations, but these are suggestions for UK, break lower, attack the sell
266 |265 |00:22:07 ~-~-> 00:22:14 |side, consolidate. And using the discount wick constant encouragement of
267 |266 |00:22:14 ~-~-> 00:22:20 |the 12th of August, 2024 trades into that breaks lower and then settles into
268 |267 |00:22:20 ~-~-> 00:22:25 |a small little consolidation, making modern buy side liquidity pool. But the
269 |268 |00:22:25 ~-~-> 00:22:31 |downside objective, which is the discount WIC consequence of August 9,
270 |269 |00:22:31 ~-~-> 00:22:36 |2024, so they're daily. So that's a daily candlestick, PD array. And if you
271 |270 |00:22:36 ~-~-> 00:22:39 |look at that date on your daily chart, you'll see that WIC, and that's the
272 |271 |00:22:39 ~-~-> 00:22:44 |midpoint of that wick there, just like this is the midpoint of the wick on the
273 |272 |00:22:44 ~-~-> 00:22:48 |daily chart for August 12, 2024, so half of the wick. That's consequent
274 |273 |00:22:48 ~-~-> 00:22:51 |encouragement. These are all objectives reaching for so it hits, it hurt first
275 |274 |00:22:51 ~-~-> 00:22:54 |here, then we have this little rally here, and then we finally reach down
276 |275 |00:22:54 ~-~-> 00:22:56 |into this one right there. So