Skip to Content

ICT YT - 2024-10-15 - ICT 2024 Mentorship - Lecture 42

Last modified by Drunk Monkey on 2024-10-21 09:33
1 00:02:00 --> 00:02:17 ICT: Well, good morning, folks. How are you? If you would all be so kind if
2 00:02:17 --> 00:02:22 you're following me on Twitter or x, if you could just give me a heads up. Give
3 00:02:22 --> 00:02:24 me a five by five. Let me know you guys can hear me. I
4 00:02:47 --> 00:02:53 Awesome. Thank you so much, folks. All right, we're going to do a little bit of
5 00:02:53 --> 00:02:59 a teaching this morning that I think will serve you well. This is something
6 00:02:59 --> 00:03:04 that is applicable to forex and indices. So it's not something that's just
7 00:03:04 --> 00:03:10 limited to stock index futures. So I want to take you out to a daily chart
8 00:03:10 --> 00:03:11 real quick.
9 00:03:20 --> 00:03:27 Sorry about that. I did not put my my pups away. So if you bear with me one
10 00:03:27 --> 00:03:27 second,
11 00:03:36 --> 00:03:40 this guy's so unprofessional. Look at this. He does this for free. He does
12 00:03:40 --> 00:03:47 this for free, and he irritates us with all this extra stuff, all right. So look
13 00:03:47 --> 00:03:53 at this candlestick right here on July 17, 2024 that's the city. That's what
14 00:03:53 --> 00:04:00 has been our objective since, uh, well, since the mentorship in 2024 started
15 00:04:00 --> 00:04:07 that would likely draw us up into this in here. So if you look at the gradient
16 00:04:07 --> 00:04:12 levels, we have this candlestick low, that's the high. This candlesticks high,
17 00:04:12 --> 00:04:15 that's the low of this city. Southside, imbalanced by side and efficiency.
18 00:04:17 --> 00:04:25 Midpoint is 20,005 68 upper quadrant is 20,006 46, and three quarters. And we've
19 00:04:25 --> 00:04:30 seen that traded to yesterday, and it looks as if it hit it today as well. So
20 00:04:31 --> 00:04:38 when we're trading inside of areas where it may consolidate, even though you have
21 00:04:38 --> 00:04:44 a bullish bias, even though I have a bullish bias. It's important you look at
22 00:04:44 --> 00:04:49 what overnight did, okay and with these levels here, just note that the dotted
23 00:04:49 --> 00:04:55 heavy dashed, I'm sorry, heavy dotted lines are respective to this individual
24 00:04:55 --> 00:05:00 single down, closed candle on the daily chart, there's going to be smaller. Four
25 00:05:00 --> 00:05:03 little levels, which I'll put on the chart, and you'll see how I'm putting
26 00:05:03 --> 00:05:07 them on in a moment. Don't get them confused with the dotted lines. Okay, so
27 00:05:07 --> 00:05:12 the lower black one here is this candle sticks daily high on the 18th of July.
28 00:05:13 --> 00:05:18 This candle sticks low. That's a black dotted line. Then you have the upper
29 00:05:18 --> 00:05:23 quadrant. Blue midpoint is kind of like a purple hue, and the lower quadrant is
30 00:05:23 --> 00:05:28 a blue. Okay, so just be mindful that. And we're going to drop back down into a
31 00:05:28 --> 00:05:34 one minute chart. You can see the reaction off of that upper quadrant
32 00:05:34 --> 00:05:38 level. So far right here. That's what this is. And if you scroll down a little
33 00:05:38 --> 00:05:48 bit, you'll see the black one I'm up here, see that. So we have where we are
34 00:05:48 --> 00:05:54 right now to this level, on the upside, if everything remains bullish, this is
35 00:05:54 --> 00:05:59 the range that's between market price and where it would need to trade to. I
36 00:05:59 --> 00:06:05 have added because I want my son to understand daily highs and lows. There
37 00:06:05 --> 00:06:11 is the opening bell here. Let me put on rigor trading hours. You can see the
38 00:06:11 --> 00:06:18 gap. It's rather anemic. So we're not terribly excited about that. So far this
39 00:06:18 --> 00:06:27 morning, we have some sell side down in here. Be mindful that scalp, honey. I
40 00:06:27 --> 00:06:34 can't hold you right now, not right now. Go play. So just be mindful this right
41 00:06:34 --> 00:06:40 here. Okay, it's a nice pool of liquidity there. It may be impactful.
42 00:06:42 --> 00:06:43 This morning's trading. I
43 00:07:00 --> 00:07:19 I just want to annotate the opening range gap i
44 00:07:25 --> 00:07:32 All right. So that is the range, if you will. So if we look at the the days
45 00:07:32 --> 00:07:37 where it can consolidate, okay, and I'll tell you what that means in a moment, in
46 00:07:37 --> 00:07:45 comparison to a data, it's trending. It if we are in a day where you're looking
47 00:07:45 --> 00:07:48 at the market on a daily chart and you're trying to determine if it's
48 00:07:48 --> 00:07:51 bullish or bearish, or if you have already maintained a bullish or bearish
49 00:07:52 --> 00:07:56 bias, and you're you're waiting for the next leg and price higher or lower,
50 00:07:56 --> 00:08:01 respected to your bias, we'll say that we're sticking with the bias that's been
51 00:08:01 --> 00:08:07 given us since the beginning in August of this this year, when I started the
52 00:08:07 --> 00:08:10 2024 mentorship on YouTube, I stated the indices would be bullish. They're going
53 00:08:10 --> 00:08:14 to keep pumping them up until we get into the election. Because the
54 00:08:14 --> 00:08:21 perspective is the neophytes or the the street money or the unlearned or non
55 00:08:21 --> 00:08:27 investors, they see the stock market as a measurement of the economy, and it's
56 00:08:27 --> 00:08:32 not true, but that's that's the mechanism that they use during
57 00:08:32 --> 00:08:36 presidential election years. So if you haven't never wrote that down in your
58 00:08:36 --> 00:08:41 journal, just make sure you have that there. So with everything being bullish.
59 00:08:46 --> 00:08:52 Okay, what you want to do is, anytime when the market's bullish and you have a
60 00:08:53 --> 00:08:57 consolidation range where we'll have it like this, see what's still in here,
61 00:08:59 --> 00:09:03 just staying in a rather large range in here. You want to define it to time.
62 00:09:04 --> 00:09:09 Strip it down to time. Yep, that's that scalp. Look in our water. This is so
63 00:09:09 --> 00:09:13 unprofessional. Cannot believe he's forcing us to listen to this dog lapping
64 00:09:13 --> 00:09:25 up its water. So this is midnight in New York, local time. I Hey, listen, I'm
65 00:09:25 --> 00:09:28 giving you some leeway here, but you're really taking advantage of it. Be quiet.
66 00:09:32 --> 00:09:41 And to 5am okay, I think I just moved over.
67 00:09:47 --> 00:09:54 Okay, so you have midnight, New York local time, and you have 5am so these
68 00:09:54 --> 00:09:58 are overnight hours. It's very specific times. And then what you want to do is
69 00:09:58 --> 00:10:01 you want to get the highest, high and the lowest. Low between those two price
70 00:10:01 --> 00:10:08 points or two time reference points. Apologize. Okay, don't count the
71 00:10:08 --> 00:10:13 midnight candle and don't count the 5am candle. It's between those two
72 00:10:13 --> 00:10:20 delineations in time. Okay, so what you'll do is, you can't use that
73 00:10:20 --> 00:10:26 candlestick. So you can't otherwise it would be that that candlestick that I
74 00:10:26 --> 00:10:32 would be anchored to, I'm not doing that. Notice that. Don't worry. I'll be
75 00:10:32 --> 00:10:36 looking at live price action at 10 o'clock. Let the opening range
76 00:10:36 --> 00:10:42 transpire. I don't need this price movement right here. So the midnight
77 00:10:42 --> 00:10:48 candlestick, and then after that, so 1201, to 459, what's the highest high
78 00:10:48 --> 00:10:53 and the lowest low? Well, that's right here. That's the high and that's the
79 00:10:53 --> 00:10:59 low. Once you have that information, what you can do is you grade that price
80 00:10:59 --> 00:11:07 swing. You it, meaning you take your fib, just simply take it, put on the
81 00:11:07 --> 00:11:15 high, that's not the high, drop it on the highest candle down to the lowest,
82 00:11:15 --> 00:11:21 and you're gonna be showing the quadrant levels. That means your fib will look
83 00:11:21 --> 00:11:30 like this. You'll have a 0.25 level 0.75 level, 0.5 level, your one level and
84 00:11:30 --> 00:11:33 zero level. That's the high and the low the range you're defining, that's
85 00:11:33 --> 00:11:37 equilibrium, which is halfway, and then the upper and lower quadrant
86 00:11:37 --> 00:11:42 respectively, depend upon which direction you draw the FIB from okay? So
87 00:11:43 --> 00:11:47 as you saw that I draw, I drew rather the FIB from the highest to the lowest
88 00:11:47 --> 00:11:57 in that defined range between 12 by one and 459 this is your overnight range. So
89 00:11:57 --> 00:12:02 what this is actually doing is, is this? This is going to allow you to predict,
90 00:12:02 --> 00:12:06 yes, predict Virginia. You're going to be predicting some things with this
91 00:12:06 --> 00:12:11 information. Okay, so because you're in a range, you don't use this concept when
92 00:12:11 --> 00:12:16 the market is trending, okay, so when the market is trending, it's been like
93 00:12:16 --> 00:12:20 running in one direction overnight. This is not what this is. It's part of a
94 00:12:20 --> 00:12:26 larger range. So if it's been like just tearing off, taken off from Asia, and
95 00:12:26 --> 00:12:30 just keeps on going one direction, higher or lower, you do not use this for
96 00:12:30 --> 00:12:35 that. But when you're when you're part of a larger consolidation, which is what
97 00:12:35 --> 00:12:36 you're seeing here, I
98 00:12:43 --> 00:12:47 are all in here. We do not take out the high here, and we do not take out the
99 00:12:47 --> 00:12:52 low here. So we're consolidating leading up to the beginning of pre market
100 00:12:52 --> 00:12:58 session for Tuesday's trading, which is today, today's right now. So what I did
101 00:12:58 --> 00:13:03 is I've defined this overnight range, and we have graded that. Okay, now I'm
102 00:13:03 --> 00:13:09 going to change the the the levels here from a.to a dash, so that way there's a
103 00:13:09 --> 00:13:13 distinction between, remember, I was telling you on the daily chart those
104 00:13:13 --> 00:13:20 dotted levels, that is going to be the quadrants inside that daily Sibi or sell
105 00:13:20 --> 00:13:25 sign, in bounds by signing efficiency. Contrast that with now the heavy dash
106 00:13:25 --> 00:13:30 line, which is defining the overnight range. When you have this information,
107 00:13:30 --> 00:13:37 it'll allow you to predict the general location in close proximity where my PD
108 00:13:37 --> 00:13:41 arrays are going to form. So that way you're not surprised. They don't. They
109 00:13:41 --> 00:13:48 don't just jump out at at you unexpectedly. Let's put it that way. So
110 00:13:48 --> 00:13:52 a lot of questions I've gotten over the years from my private mentorship
111 00:13:52 --> 00:13:55 students, a lot of the questions I get from YouTube viewers or whatever,
112 00:13:57 --> 00:14:01 emails, messages now they go and they text message me. Please don't text
113 00:14:01 --> 00:14:04 message me, because I'll block you. I won't answer your question. I'll just
114 00:14:04 --> 00:14:11 block your phone number. But the the idea is, I want to get an eye an idea on
115 00:14:11 --> 00:14:20 how to communicate to students, how they can predict in the general proximity, in
116 00:14:20 --> 00:14:26 terms of the price. Now the time aspect is, is always constant. You know the
117 00:14:26 --> 00:14:33 times, they're macros, they're the opening session. They have the 830 algo.
118 00:14:33 --> 00:14:38 That's when 830 this starts spooling. Price runs for liquidity. You saw me do
119 00:14:38 --> 00:14:41 that yesterday, and I'll go over that trade, by the way, before we close
120 00:14:41 --> 00:14:45 today, I will be done at 1030 so we won't be having a very long session
121 00:14:45 --> 00:14:51 today. I'm trying to keep them small, concise and to the point. But if you
122 00:14:51 --> 00:15:01 look at the levels and again, this is the lower quadrant, middle and. In upper
123 00:15:01 --> 00:15:07 quadrant, you see that of the overnight range. Let me zoom back out a little bit
124 00:15:07 --> 00:15:12 so you can see the reference once again. Here's the high of it, the upper
125 00:15:12 --> 00:15:18 quadrant, the midpoint, lower quadrant and the low. So this is the low
126 00:15:18 --> 00:15:23 overnight range, high the overnight range. Very simple, not complicated, is
127 00:15:23 --> 00:15:28 it? I give you very specific times to look at. I told you why we're using
128 00:15:28 --> 00:15:31 this. Why are we using this? Because it's part of a larger consolidation.
129 00:15:31 --> 00:15:36 It's not an extension run where, since Asia started last night, it didn't just
130 00:15:36 --> 00:15:41 start running in one direction. It's been it's been maintained inside of a
131 00:15:41 --> 00:15:45 larger range. So I already know some of you that are brand new are going to look
132 00:15:45 --> 00:15:51 at this and be subjective and say, Well, you know, how can I not see this as a
133 00:15:51 --> 00:15:54 trend? Or, how can I not see this as a reversal? Because you're trying to take
134 00:15:54 --> 00:15:58 everything that either heard somebody else as a student mention, or maybe
135 00:15:58 --> 00:16:02 you've watched a few of my videos, and you're trying to form fit and take
136 00:16:03 --> 00:16:07 certain aspects of what you're unaware of, and you're trying to cram in every
137 00:16:07 --> 00:16:12 lesson for now, just understand that this is a concept that I use when the
138 00:16:12 --> 00:16:17 market is being held in a range it's not being permitted to extend further.
139 00:16:17 --> 00:16:22 Overnight, it's staying in yesterday's predetermined range. So inside of the
140 00:16:22 --> 00:16:27 daily range of yesterday, we haven't made any new significant high or low. So
141 00:16:27 --> 00:16:32 because of that, I elect to use this concept. I'll look at overnight range
142 00:16:32 --> 00:16:41 defined by 12, 01, to 459, Eastern Time. That means your time always has to be
143 00:16:41 --> 00:16:44 set to this. Okay? If you're looking at trading view and your time is set to
144 00:16:44 --> 00:16:51 anything other than that, you're doing it wrong period. Okay, so what you can
145 00:16:51 --> 00:16:56 do with this now is think we've been bullish. I've not been calling a crash.
146 00:16:56 --> 00:17:00 I've not been calling it lower. We've been focusing on primarily the higher
147 00:17:00 --> 00:17:06 Time Frame, macro perspective, not macro in terms of time. The perspective on the
148 00:17:06 --> 00:17:10 higher time frames is it's bullish because it's an election year, because
149 00:17:10 --> 00:17:13 it's likely to continue going higher. Where can it trade to? Well, it can
150 00:17:13 --> 00:17:22 trade into that larger city on the daily chart. So with these levels here, these
151 00:17:22 --> 00:17:27 dashed lines that's on the overnight range, these smaller, little dotted
152 00:17:27 --> 00:17:33 lines here, and I think a little bit more you'll see another one right here.
153 00:17:33 --> 00:17:37 So here's the upper quadrant to the daily city. Here's the midpoint of that.
154 00:17:38 --> 00:17:41 Look what happened today when we went down and made the low of the overnight
155 00:17:41 --> 00:17:46 range, going into 430 it turned around in there. And look at that right there.
156 00:17:46 --> 00:17:53 At 508, what's happening there? Time wise, what's occurring right there at
157 00:17:53 --> 00:18:01 that candlesticks low. It's trading to the consequent approachment of the daily
158 00:18:01 --> 00:18:07 city, okay, so just for, just for a moment, because I want you to understand
159 00:18:07 --> 00:18:11 what I'm pointing to here, what this level is. We're going to go back to the
160 00:18:11 --> 00:18:17 daily chart. Just remember that that price, that low, there is 20,005 67.75,
161 00:18:19 --> 00:18:23 okay, right there. We're gonna jump right back up to a daily chart, because
162 00:18:23 --> 00:18:26 I want you to see, I want you to see what I'm pointing to and what I'm
163 00:18:26 --> 00:18:29 referencing. Because I'm sure by going back and forth in the time frames,
164 00:18:30 --> 00:18:41 you're losing your focus. That's this level right here, 20,005 68, even, it's
165 00:18:41 --> 00:18:46 defining that candlesticks low, that candlesticks high, halfway. That's what
166 00:18:46 --> 00:18:50 that is. Okay? So that's consequent encroachment, because it's a
167 00:18:50 --> 00:18:55 inefficiency or gap. If it was an order block, it would be mean threshold, the
168 00:18:55 --> 00:18:59 midpoint of that price level of this individual candlestick. What I'm
169 00:18:59 --> 00:19:07 highlighting is essentially the middle of this. That right there. And usually
170 00:19:07 --> 00:19:10 you would see me highlight it like this. It'd be something with a red hue or
171 00:19:10 --> 00:19:14 whatever, but I'm focusing your attention right there on that midpoint.
172 00:19:18 --> 00:19:20 Now let's go back down to the one minute chart
173 00:19:27 --> 00:19:38 and right there on that, candlesticks, low, 20,005, 67.75 it went one tick, one
174 00:19:38 --> 00:19:43 tick below that daily SIB consequent encroachment to so to get that price
175 00:19:43 --> 00:19:47 perfectly, if you're a smart money trader, it has to do what it has to
176 00:19:47 --> 00:19:51 trade one tick below it, because you just can't create the low at 20,005 68,
177 00:19:51 --> 00:19:55 even, which is consequence encroachment that would be the algorithmic delivery
178 00:19:55 --> 00:20:00 if it was perfect, but not affording any smart money to buy it because you. To
179 00:20:00 --> 00:20:05 buy it, this has to be at least one tick below that price. Can you follow what
180 00:20:05 --> 00:20:10 I'm saying? So if we're looking for longs and it trades down to a specific
181 00:20:10 --> 00:20:14 price level, it's reasonable to anticipate it to go one tick below, for
182 00:20:14 --> 00:20:19 perfection, for perfection, and you're seeing that happen here at a time.
183 00:20:20 --> 00:20:32 Listen, now. Listen 450, to 5:10am, that's Asia's close. We're seeing a
184 00:20:32 --> 00:20:40 shift from the Asian market to European, London crossover into New York. So we're
185 00:20:40 --> 00:20:44 entering what pre market session for New York session. But we still have Europe.
186 00:20:44 --> 00:20:50 We still have London, still active until around 11 o'clock, 1030 something like
187 00:20:50 --> 00:20:56 that. So at that moment, we can see algorithmic price delivery right to the
188 00:20:56 --> 00:21:02 tick, just like that. And it turns at a higher Time Frame level that you would
189 00:21:02 --> 00:21:08 have never paid any attention to. Now, when what do we we're bullish. So if
190 00:21:08 --> 00:21:12 we're bullish on the marketplace, we're expecting price to react off of these
191 00:21:12 --> 00:21:16 levels and cause displacement to the upside. That means we want to see price
192 00:21:16 --> 00:21:21 start to run higher from it. We're not trying to short. We're trying to look
193 00:21:21 --> 00:21:26 for displacements moving away from them. It's an energetic price run that says,
194 00:21:26 --> 00:21:31 Look at me. Pay attention to me. You see that happening here? And what is it
195 00:21:31 --> 00:21:36 doing? I'm going to take this 5am line off, so just be mindful. Just I'll give
196 00:21:36 --> 00:21:39 you one chance to take a screenshot of it that way for your notes. Caleb,
197 00:21:39 --> 00:21:44 everyone else you should be doing this in your own charts. He doesn't have the
198 00:21:44 --> 00:21:48 experience navigating through as much as some of my older students. But if you're
199 00:21:48 --> 00:21:55 going to be lazy, you know, I can't stop you, but that's what the opening I'm
200 00:21:55 --> 00:22:00 sorry, the overnight range is from high to low, and the gradings, okay, G, R, A,
201 00:22:00 --> 00:22:08 D, I N, G, s, gradings. That's what this is. So we see this happen here, and it
202 00:22:08 --> 00:22:11 starts to school higher. What is it doing? It's taking out the relative
203 00:22:11 --> 00:22:15 equal highs right here, which are qualified. Why? Because this high is
204 00:22:15 --> 00:22:19 slightly lower than that one. So what's going to be resting above that short
205 00:22:19 --> 00:22:25 term? What minor buy side liquidity. So the market rallies up above that, trades
206 00:22:25 --> 00:22:29 into this inefficiency there, and then comes right back down into in this price
207 00:22:29 --> 00:22:35 leg. In this price leg, right there, it creates a fair value gap. Where is this
208 00:22:35 --> 00:22:41 fair value gap in proximity to, I don't know, this lat, this dashed line. Is it
209 00:22:41 --> 00:22:50 above it, or is it below it? It's below it. So in reference to that price and
210 00:22:51 --> 00:23:01 time, what time is this? What time is it right in here, 550, to what? 610, macro,
211 00:23:02 --> 00:23:07 holy, holy smokes. This is unbelievable, right? Because now you're starting gears
212 00:23:07 --> 00:23:10 are turning, aren't they? Oh, my goodness. Oh, my goodness. You better
213 00:23:10 --> 00:23:13 start making some more videos, because you're literally making me smile every
214 00:23:13 --> 00:23:19 single day. I'm a fraud. Look. I see these expose themselves. Come on. Make
215 00:23:19 --> 00:23:25 some more videos. Come on. Come on. Below that quadrant. Okay, below that
216 00:23:25 --> 00:23:32 quadrant. When you're bullish, if a PDA forms, it is in a discount. It's also in
217 00:23:32 --> 00:23:37 close proximity to it. So that means we're expecting this to deliver, what a
218 00:23:37 --> 00:23:43 read, delivery in price, which we see here, and then once more, here. What
219 00:23:43 --> 00:23:50 time is that candlestick forming? 55 minutes after 5am that's the 550, to
220 00:23:50 --> 00:23:57 610, macro, then the market. That's what it delivers, price higher. And what does
221 00:23:57 --> 00:24:03 it run for? Equilibrium of the overnight range. That's this dashed line here.
222 00:24:04 --> 00:24:08 Okay, forget all this stuff here. Forget all that for right now it's trading into
223 00:24:08 --> 00:24:14 that. And then what does it do? It comes right back down into some random level,
224 00:24:14 --> 00:24:21 some random Elliott Wave, white golf wannabe stuff. Okay, it trades right
225 00:24:21 --> 00:24:25 back down into the lower quadrant once more. And does it stop there? Absolutely
226 00:24:25 --> 00:24:30 it does not. Trades down into your fair value. Get right there. So that makes
227 00:24:30 --> 00:24:35 this what reclaimed bullish fair value got. And then what does the market do?
228 00:24:36 --> 00:24:41 Completely random, completely unexpected. It price runs from there all
229 00:24:41 --> 00:24:46 the way up past the minor buy side here, above this buy side, and trades right to
230 00:24:46 --> 00:24:51 the upper quadrant of the overnight range. Now, what do you think's above
231 00:24:51 --> 00:24:54 that overnight range? Look how smooth that is. That's that's probably
232 00:24:54 --> 00:24:58 something significant. What will be resting above that? Oh, I don't know.
233 00:24:58 --> 00:25:02 Probably some buy stops. I. Some money that would have been riding this short
234 00:25:02 --> 00:25:06 hoping it's going to keep going down. And the market runs to that level here.
235 00:25:06 --> 00:25:10 Upper quadrant retraces back down into what, oh my goodness. Look at this
236 00:25:10 --> 00:25:14 Fairbank guy. How do you pick the right fair value guests all the time? ICT, why
237 00:25:14 --> 00:25:17 do you keep picking them? You must be recording on a dozen screens, because
238 00:25:17 --> 00:25:20 you have a dozen screens, and you're recording all of them, and you're
239 00:25:20 --> 00:25:23 looking for the one that works, then you're going to share that one. Do you
240 00:25:23 --> 00:25:27 have any idea how hard that is to juggle all that? You guys give me too much
241 00:25:27 --> 00:25:30 credit. You guys give me way too much credit. All I have to do is the right
242 00:25:30 --> 00:25:34 stuff. What I'm teaching you right here, this is the right stuff. Okay. NASA
243 00:25:34 --> 00:25:40 follows my logic. Okay. We do the right stuff. Okay. So again, look at the
244 00:25:40 --> 00:25:46 criteria. Now look at the criteria here. Is equilibrium. Okay, just so happens
245 00:25:46 --> 00:25:50 there's a short term load there. What would be there? Sell side, liquidity.
246 00:25:50 --> 00:25:53 Why would that be there? Because they start to run a little bit here, and
247 00:25:53 --> 00:25:58 they're going to chase it. Who longs Street Money? Uninformed people, YouTube
248 00:25:58 --> 00:26:01 influencers with affiliate links for their stuff, because they don't really
249 00:26:01 --> 00:26:05 trade, but they want to make videos about make videos about me. Keep making
250 00:26:05 --> 00:26:08 them, baby. Keep making them because you're bringing them right here, and
251 00:26:08 --> 00:26:11 they're learning how to do it for free. So below that sell side liquidity,
252 00:26:11 --> 00:26:16 there's your equilibrium price point of the night over night range. So what's
253 00:26:16 --> 00:26:21 below that in close proximity? Oh, it's just this. This random fair value got
254 00:26:21 --> 00:26:25 right there. One more bullish. And is it below your equilibrium of the overnight
255 00:26:25 --> 00:26:30 range? Absolutely. So what is it? It's discount to the young man to put YouTube
256 00:26:30 --> 00:26:33 video there. You don't need to do anything at a premium and discount. I
257 00:26:33 --> 00:26:37 don't do anything at premium discount. It's nonsense. You're clueless. You're
258 00:26:37 --> 00:26:41 clueless. Son, listen, you need to sit down and take notes, because you're not
259 00:26:41 --> 00:26:44 learning anything by experimenting without the stuff I've taught, you're
260 00:26:44 --> 00:26:48 gonna be doing it randomly. You're gonna lose money, and you're gonna assume that
261 00:26:48 --> 00:26:53 this stuff doesn't work when it's perfect. Okay, Patek, they refer to me
262 00:26:53 --> 00:26:57 for their precision. They come here. They come here for the precision, for
263 00:26:57 --> 00:27:00 their watchmaking, because you can set your watch to what I'm doing, the
264 00:27:01 --> 00:27:06 market's going to deliver just like that, just like that. So the market
265 00:27:06 --> 00:27:09 comes back down into a fair value gap that is in close proximity to the
266 00:27:09 --> 00:27:13 equilibrium price point of the overnight range that is clearly defined. It is not
267 00:27:13 --> 00:27:17 complicated. It is not complex. If you don't know what time it is on your
268 00:27:17 --> 00:27:20 charts, then you're a fucking idiot. You have new business listening to me or
269 00:27:20 --> 00:27:23 anyone else, you shouldn't be trading. If you think that's complex, that's
270 00:27:23 --> 00:27:27 complicated, if you think this is me complicating anything you failed in
271 00:27:27 --> 00:27:31 elementary school, guaranteed they pushed you through school. There's no
272 00:27:31 --> 00:27:36 way. There's no way you deserve the graduate degree or your diploma if
273 00:27:36 --> 00:27:39 you're if you're still carrying one, if you can't follow up the show here today,
274 00:27:40 --> 00:27:44 very specific price levels. If you're bullish, the PD arrays will form at
275 00:27:44 --> 00:27:50 them, but below them. Oh, so we're on a discount. That means there, if there
276 00:27:50 --> 00:27:55 really is this elusive, hard to believe exists algorithm, then there has to be
277 00:27:55 --> 00:28:00 logic that repeats over and over and over and over again around the things
278 00:28:00 --> 00:28:08 I've communicated to you what PD arrays around time, time it has to be the time
279 00:28:08 --> 00:28:12 for the market to move. Otherwise it isn't going to move. It'll stay stagnant
280 00:28:12 --> 00:28:17 or retrace against you. Period. Now, if it's being held there, that means
281 00:28:17 --> 00:28:21 there's manual intervention. That means they're holding it for something later
282 00:28:21 --> 00:28:27 in the day or the next trading day, that part you're gonna get burned by I get
283 00:28:27 --> 00:28:31 burned by it. It's nothing you can do about that, because if they want to get
284 00:28:31 --> 00:28:35 their hand in the cookie jar, you can't stop them, period. That's why you have
285 00:28:35 --> 00:28:38 to have a stop loss. That's why you don't over leverage. So what does it do?
286 00:28:38 --> 00:28:43 It drops down into some random fair value gap right here, and it's half of
287 00:28:43 --> 00:28:47 the move that you expect to see deliver, which is the high of the overnight range
288 00:28:48 --> 00:28:52 price rallies, draws back down into another fair value gap here,
289 00:28:58 --> 00:29:04 if You were looking for a long if you were, would you be afraid to buy it in
290 00:29:04 --> 00:29:09 here? Would you think it's too much of a premium? It's too high? Can't buy it.
291 00:29:10 --> 00:29:16 Can't do it. No. What happens when you see price on the upper half of the
292 00:29:16 --> 00:29:23 overnight range? You don't want to see anything come back down towards the low
293 00:29:24 --> 00:29:32 of the overnight range. But we have to deal with what the opening bell. We have
294 00:29:32 --> 00:29:35 to see. We have to anticipate some kind of volatility coming into the
295 00:29:35 --> 00:29:41 marketplace. But before the opening bell, what takes place at 830 usually
296 00:29:41 --> 00:29:44 there's news. If there's any news that's on the docket for the day, it's either
297 00:29:44 --> 00:29:48 going to be a high impact or a medium impact news driver. But you don't need
298 00:29:48 --> 00:29:53 that. I'm teaching you that there doesn't. There hasn't ever been a need
299 00:29:53 --> 00:29:59 for me to have a calendar event on 838 30 is an algorithmic price delivery you.
300 00:30:00 --> 00:30:06 The algorithm does this very thing every single day. At 830 it will spool and it
301 00:30:06 --> 00:30:10 creates some kind of sentiment driven response in traders because they want to
302 00:30:10 --> 00:30:15 chase it. They want to they want to believe something that's either in play
303 00:30:15 --> 00:30:20 or maybe potentially reversing. And it gets their their appetite revved up
304 00:30:20 --> 00:30:25 because they want to get there and start trading in another hour. Think about it.
305 00:30:25 --> 00:30:30 It's kind of like when you watch the cheerleaders, watch the players on the
306 00:30:30 --> 00:30:34 field or whatever, before they got on and play their game. Whatever it is they
307 00:30:34 --> 00:30:38 do, the cheerleaders get them all riled up. Who not the football players. They
308 00:30:38 --> 00:30:43 could care less about them. It's the it's the crowd. Well, the spectators
309 00:30:44 --> 00:30:48 here are the speculators, and they're waiting for that opening bell. So 830
310 00:30:48 --> 00:30:52 there's always gonna be what there's gonna be a price run starts just like
311 00:30:52 --> 00:30:56 that. And if you have a medium or high impact news driver at that time, at 830
312 00:30:56 --> 00:31:01 New York local time, then it just exasperates the likelihood that the move
313 00:31:01 --> 00:31:05 is going to be exaggerated, and that may or may not be indicative of the
314 00:31:05 --> 00:31:10 underlying direction of the day, or not, very minimum, the morning session. So
315 00:31:11 --> 00:31:15 price comes back down, does it goes back down to the halfway point after leaving
316 00:31:15 --> 00:31:23 here? No. In this area, upper quadrant, it's going to be less likely to have the
317 00:31:23 --> 00:31:29 same degree of precision. Why? If you look at my teachings in the core content
318 00:31:29 --> 00:31:35 of the 2016 2017 mentorship, I talked about price grading, and then I talked
319 00:31:35 --> 00:31:41 about how in the upper quadrant there is less degree of precision, because it's
320 00:31:41 --> 00:31:46 going to be more inclined to run and rip towards to if it's bullish, it's going
321 00:31:46 --> 00:31:50 to just kind of leave that range and keep going, or at least clear the high
322 00:31:50 --> 00:31:54 of that range, and that high being the overnight range, market trades back
323 00:31:54 --> 00:31:58 down, doesn't take out that low, doesn't trade back down to the middle of the
324 00:31:58 --> 00:32:02 overnight range, and consolidates roughly in here, and then reaching
325 00:32:02 --> 00:32:08 again, still higher. We're in an upper quadrant of what that daily city. What's
326 00:32:08 --> 00:32:14 above this? We have Monday's, october 14, daily high. So there's going to be
327 00:32:14 --> 00:32:18 buy side resting above that. So if it gonna, if it's gonna go higher, it's
328 00:32:18 --> 00:32:23 gonna want to reach into this level. If continuing, sticking with the higher
329 00:32:23 --> 00:32:27 Time Frame election year bias it would likely draw if it's going to be a
330 00:32:27 --> 00:32:32 perfect world, in a perfect world where there's redelivery that price right
331 00:32:32 --> 00:32:38 there is where that daily cities high is. So to deliver back up to that price
332 00:32:38 --> 00:32:43 level, would at least afford that old daily Sibi to be rebalanced. It doesn't
333 00:32:43 --> 00:32:46 rebalance simply because it trades there. It needs to leave the range
334 00:32:46 --> 00:32:51 higher or lower, respectively. Just Just going back to this level here is just
335 00:32:51 --> 00:32:55 simply redelivery that's not rebalanced. All right. So give me a second here.
336 00:32:56 --> 00:32:59 These little girls are getting too rambunctious, and then I'm starting to
337 00:32:59 --> 00:33:07 distract me, so bear with me One second. Okay, this stuff is amazing for being
338 00:33:07 --> 00:33:07 through
339 00:33:20 --> 00:33:45 I had to steal a drink too, spring water, baby. I don't drink alcohol. I
340 00:33:45 --> 00:33:52 get high on life, alright? So you can see how sloppy and this organ
341 00:33:53 --> 00:33:57 disorganized It is thus far. So that's why I said we're going to wait till 10
342 00:33:57 --> 00:34:01 o'clock and we'll see what we get there. In regards to the next price run higher
343 00:34:01 --> 00:34:07 or lower. But I want you to think about how you can use the overnight range
344 00:34:07 --> 00:34:14 defined by 1201 midnight, New York, local town, and then the 5am Well, 459
345 00:34:14 --> 00:34:20 rather defining your chart like that and then getting the range measurements from
346 00:34:20 --> 00:34:27 the high, the upper quadrant, the middle or equilibrium, the lower quadrant, and
347 00:34:27 --> 00:34:31 the actual low. And then when we start and we transition, this is the this is
348 00:34:31 --> 00:34:34 the price skipped over because I'm being distracted by my dogs. I apologize for
349 00:34:34 --> 00:34:37 that, but yes, it's what you get when you get it for free, right? You're gonna
350 00:34:37 --> 00:34:43 have to be a little bit more patient and not have a entitlement mindset, because
351 00:34:43 --> 00:34:46 some of you guys are leaving comments are just a little too rude and
352 00:34:47 --> 00:34:51 demanding, and I'm just want to remind you that I'm doing this for for free,
353 00:34:51 --> 00:34:55 and because I like doing it, not because I'm obligated to. So at six o'clock, we
354 00:34:55 --> 00:35:01 change over, and that's yet your pre market. So at 6am York local time to
355 00:35:01 --> 00:35:15 listen now to 933 there. This is all pre market session. There's so much
356 00:35:15 --> 00:35:19 opportunity inside of that range. And you never need to trade the opening
357 00:35:19 --> 00:35:22 bell. You never need to trade the morning session. You never need to trade
358 00:35:22 --> 00:35:25 the launch macro. You never need to trade a pm session. You never need to
359 00:35:25 --> 00:35:30 trade the last hour. Trading. If you have a job that requires you to be at
360 00:35:30 --> 00:35:33 work, or you run a business where you go to university, or if you're just simply
361 00:35:33 --> 00:35:38 in a different time zone and you can afford to use this area of price action,
362 00:35:39 --> 00:35:43 you don't need to do anything else. Man, you don't need to do anything else.
363 00:35:43 --> 00:35:48 It's, it's ample it's it gives you plenty of opportunity, plenty of it.
364 00:35:48 --> 00:35:50 Now, does that mean every single day you're going to find a winning trade
365 00:35:50 --> 00:35:53 there? Absolutely not. I can't guarantee that. I can't guarantee that you're
366 00:35:53 --> 00:35:56 going to have the prowess or the skill set they make even one winning trade,
367 00:35:56 --> 00:35:59 because so many of my students, they watch a video, and they're in a rush to
368 00:35:59 --> 00:36:03 try to go out there and use it right away, try to pass a combine, try to get
369 00:36:03 --> 00:36:08 a payout, whatever you want to, kind of like defer that and study the things I'm
370 00:36:08 --> 00:36:14 teaching you here are very, very top tier time aspects to what the algorithm
371 00:36:14 --> 00:36:22 will refer to, and it's dependent on You understanding whether the market is in a
372 00:36:22 --> 00:36:26 protraction, protracted state, that means it's trending. It's going in one
373 00:36:26 --> 00:36:30 direction overnight. If it's doing that, you cannot use what I just showed you
374 00:36:30 --> 00:36:33 here today. So what does that mean? You're going to see this actually get
375 00:36:33 --> 00:36:38 used more times than when it's trending. So this is a kind of like a an MO in the
376 00:36:38 --> 00:36:45 morning, where I generally will refer to what the overnight range was. I'll grade
377 00:36:45 --> 00:36:49 that price swing, and all I have to do is determine if I'm bullish or bearish.
378 00:36:49 --> 00:36:52 If I'm bullish, then I'm going to be looking for every one of these gradient
379 00:36:52 --> 00:36:58 levels prior to the 6am pre market trading session. I'm going to look at
380 00:36:58 --> 00:37:03 those ranges, or the level. Rather, this is the low, the lower quadrant,
381 00:37:03 --> 00:37:11 equilibrium, upper quadrant and the high, respectively. Based on 1201, to
382 00:37:11 --> 00:37:16 5am that's easy stuff, folks. It's really, really easy. Now, what do you
383 00:37:16 --> 00:37:21 think would happen if we were bearish and what we were watching this morning,
384 00:37:21 --> 00:37:26 or what we expecting this morning, we would be looking for PD arrays to form
385 00:37:26 --> 00:37:31 just above these respective levels to offer us some kind of a shorting
386 00:37:31 --> 00:37:36 opportunity. You see how easy that is. It's very easy. It's not complicated.
387 00:37:36 --> 00:37:39 It's not complex. There's not a lot of moving parts. You don't need to know
388 00:37:39 --> 00:37:43 what order block it is. You don't need to know what macro it is. Every macro,
389 00:37:44 --> 00:37:48 every macro, every 10 minute to the top of the hour, to 10 minutes after the top
390 00:37:48 --> 00:37:55 of the hour, okay. How many do you have? You have 556, 10 that's one, 657, 10
391 00:37:55 --> 00:38:02 that's two, 758, 10 that's three, 859, 10 that's four. You have four
392 00:38:02 --> 00:38:07 opportunities, plus you got the 830 algo, where it comes online and starts
393 00:38:07 --> 00:38:12 running at 830 so you have five opportunities in pre market. It's the
394 00:38:12 --> 00:38:17 equivalent of the same thing you get in the last hour of trading. You think
395 00:38:17 --> 00:38:22 that's coincidental? No, it's absolutely not. It's all coded. It's all scripted.
396 00:38:22 --> 00:38:26 All these things that you're watching in price action, and you're you're flipping
397 00:38:26 --> 00:38:29 out, like, Why did it do this? Let me write down, I gotta send a comment to
398 00:38:29 --> 00:38:33 ICT. Why did this fair value gap work? But this didn't. I'm showing you that.
399 00:38:33 --> 00:38:38 I'm teaching you that, but you have to see other things to understand and
400 00:38:38 --> 00:38:41 appreciate me pointing to that, that fair value gap. What makes this fair
401 00:38:41 --> 00:38:46 value gap good? It's below equilibrium. It's in close proximity, but it's at a
402 00:38:46 --> 00:38:50 discount relative to that equilibrium price point. That this little purple
403 00:38:50 --> 00:38:54 line right here, I'm on real time. You're never going to be able to see
404 00:38:54 --> 00:38:57 them on the hard right edge. It won't ever happen for you, it won't ever
405 00:38:57 --> 00:39:03 happen. But you'll complain, and you'll say this stuff doesn't work, but you
406 00:39:03 --> 00:39:07 didn't win Robins, but you didn't do this, but you didn't do that. Oh, but
407 00:39:07 --> 00:39:13 I'm out here telling you exactly how to do it. Come on, man, you guys are making
408 00:39:13 --> 00:39:22 it too easy. So here is our focus for the 10 o'clock hour, going into 1030 I
409 00:39:22 --> 00:39:26 have to budget my time, because I'm going to need about five minutes to
410 00:39:26 --> 00:39:32 review yesterday's trades with you, and then we'll close it at 1030 so we are
411 00:39:32 --> 00:39:45 looking At a abysmal opening range. We have buy side, here, here, here, and
412 00:39:46 --> 00:39:52 then we have the Monday, October 14. We had a really anemic, that means weak,
413 00:39:52 --> 00:39:58 very lackluster, opening gap. What did I teach in the mentorship for 2024 here?
414 00:39:58 --> 00:40:06 I. If it's a small gap that is indicative of what of rather crummy, low
415 00:40:06 --> 00:40:13 impact, very lackluster, not exciting, not an easy run from entry to target
416 00:40:13 --> 00:40:22 morning session. So my best advice for you, okay, this is what I'm telling my
417 00:40:22 --> 00:40:27 son. You all can do what you want to do, but I'm telling my son, Caleb, and all
418 00:40:27 --> 00:40:33 the other boys that I have that are watching I'm sure the the absence of a
419 00:40:33 --> 00:40:41 significant gap, okay, an absence of a gap of like, 4550 handles, I like, I
420 00:40:41 --> 00:40:46 like that. Okay, that like, that's a minimum threshold for me, but I prefer
421 00:40:46 --> 00:40:51 75 handles. That's what I'm looking for. If you want to know that the morning
422 00:40:51 --> 00:40:55 session that I'm absolutely going in there and going right in there at the
423 00:40:55 --> 00:40:59 opening soon as opening bell happens and we get our first print, I'm not even
424 00:40:59 --> 00:41:02 going to wait for the first fair value gap. That's just a model for my son,
425 00:41:02 --> 00:41:07 Caleb. I don't need that. I'm going to trade with 70% likelihood that it's
426 00:41:07 --> 00:41:12 going to go back to half the gap. If it's 75 handles or more, I'm going in
427 00:41:12 --> 00:41:20 there right away. That's what I'm I'm looking for reasons to do that. But what
428 00:41:20 --> 00:41:27 can we do if the gap is so small and it's it's anemic? In other words, here's
429 00:41:27 --> 00:41:32 where we here's where we settle. That yesterday at 4:14pm, that opening, I'm
430 00:41:32 --> 00:41:40 sorry, that closing price there, and then we opened up here. So if we, if we
431 00:41:41 --> 00:41:50 look at like this, we have 20,006 31 and three quarters is your opening price,
432 00:41:50 --> 00:41:59 and then you have the settlement price. Previous day settlement at six, 12.75
433 00:42:02 --> 00:42:09 like that's, it's, it's weak. Like, that's weak. That's like Patrick
434 00:42:09 --> 00:42:13 Whelan's, course, it's weak. You can't, you can't really do anything with that.
435 00:42:13 --> 00:42:17 So you have to do what. You have to expect more information. You have to sit
436 00:42:17 --> 00:42:22 still. Just sit still. What do you wait for? You wait till 10 o'clock. You work
437 00:42:22 --> 00:42:27 inside that 10 o'clock to 11 o'clock, silver bullet. You wait for your very
438 00:42:28 --> 00:42:33 value form, look for liquidity. And if it doesn't give it to you based on your
439 00:42:33 --> 00:42:38 your bias, or if it doesn't give it to you in a clear, obvious way, then you do
440 00:42:38 --> 00:42:43 nothing. Why? Because you were warned ahead of time. There was very little bit
441 00:42:43 --> 00:42:48 of excitement or displacement, right? The opening bell, your, your opening
442 00:42:48 --> 00:42:54 price, right? There is so small into where we closed at 414, there has, there
443 00:42:54 --> 00:43:00 has been no excitement created by that gap. So that means that we can have,
444 00:43:00 --> 00:43:06 what a 5050, delivery in the morning session. So what does that mean for you
445 00:43:06 --> 00:43:10 as a day trader, that you have a little bit more time available to you, and you
446 00:43:10 --> 00:43:14 could trade the lunch macro, or you could trade the pm session, or you could
447 00:43:14 --> 00:43:17 trade the last hour trading. That means that that's what you would defer your
448 00:43:17 --> 00:43:23 trading to. You would simply just go, Okay, I'm gonna go and completely remove
449 00:43:23 --> 00:43:27 myself from the charts this morning, and I'll come back at 130 I'll watch the
450 00:43:27 --> 00:43:30 first 30 minutes going into two o'clock, and then I'll trade the pm session, or
451 00:43:30 --> 00:43:34 I'm just gonna let it do whatever it wants to do until 245 and then I'll sit
452 00:43:34 --> 00:43:38 down, get a view for what it's likely setting up. And then I'll trade the last
453 00:43:38 --> 00:43:39 hour trading,
454 00:43:40 --> 00:43:49 see how easy that is? It's easy to find to manage your time, to schedule your
455 00:43:49 --> 00:43:52 participation in the marketplace versus I got to get in front of the charts.
456 00:43:53 --> 00:43:58 I've got to push the button. I have to do something. Because what? Well, I have
457 00:43:58 --> 00:44:01 to, that's what the traders do. We have to get out here and push the button and
458 00:44:01 --> 00:44:05 just figure out what happens afterwards? F, A, F, O, right. Well, you don't want
459 00:44:05 --> 00:44:09 to do that as a trader. That's gambling. You're gambling. Just because the
460 00:44:09 --> 00:44:13 markets are printing and open doesn't mean it's time for you to trade.
461 00:44:13 --> 00:44:16 Professionals are not in here looking for every excuse to do something.
462 00:44:16 --> 00:44:21 They're looking for the best, choicest setups. If they don't submit themselves
463 00:44:21 --> 00:44:24 to that. Are they following their model? No? Are they gambling? Yes. Are they
464 00:44:24 --> 00:44:30 being impulsive and emotional? Most likely, and that's exactly what you want
465 00:44:30 --> 00:44:34 to avoid doing. You don't want to do any of those things in this mentorship in
466 00:44:34 --> 00:44:39 2024 I've taught you how to sit still more than any other educator out there,
467 00:44:40 --> 00:44:45 and it's based on sound logic that things that repeat, that tell you to sit
468 00:44:45 --> 00:44:49 still. It ain't worth the risk sit still. It ain't worth time or the
469 00:44:49 --> 00:44:52 investment. The stops are going to be hit. Most likely, your risk is going to
470 00:44:52 --> 00:44:59 be larger. The direction becomes 5050, during a very specific session, this
471 00:44:59 --> 00:45:07 one, if. The gap is small, if it's anemic, that means sit still, sit still.
472 00:45:07 --> 00:45:14 Nothing forces you to get in there and trade it period. Remember this cell side
473 00:45:14 --> 00:45:21 right here? Let me get these lines off here, because that's not, no, I'm doing
474 00:45:21 --> 00:45:25 this drawing attention to those prices, which we all necessarily need now.
475 00:45:40 --> 00:45:45 Now, I personally would like to see the market create the clothes on this
476 00:45:45 --> 00:45:49 candlestick here, come back up, trade into this fair value gap, and then come
477 00:45:49 --> 00:45:59 down and take the sell side. That's what I would like to see. For some of you
478 00:45:59 --> 00:46:01 just already went short because I pointed that sell side again. Now you're
479 00:46:01 --> 00:46:04 thinking, please don't retrace back up there. Now, please don't
480 00:46:22 --> 00:46:28 we're looking at River trading hours, by the way. And at 594 and a quarter is
481 00:46:30 --> 00:46:35 yesterday's afternoon that start up the pm session. Notice that 132 o'clock,
482 00:46:36 --> 00:46:44 that is a very repeating level of liquidity. When you look for your
483 00:46:44 --> 00:46:50 session highs and lows, you want to look at between 130 and two o'clock for your
484 00:46:50 --> 00:46:54 Pm session. And you want to do that in the previous day and the day before
485 00:46:54 --> 00:46:57 that. So for the last three days, you always want to look at the pm session
486 00:46:57 --> 00:47:02 highs and pm session lows. But you also want to start looking at whatever has
487 00:47:02 --> 00:47:07 formed at the beginning of 132 o'clock. That's that opening range going into the
488 00:47:07 --> 00:47:13 pm session. So because that time window, that 30 minute interval, is synonymous
489 00:47:13 --> 00:47:19 with setting up the direction the liquidity, where the initial liquidity
490 00:47:19 --> 00:47:23 would be. And here you can see they created those relative equal lows, and
491 00:47:23 --> 00:47:27 then they rallied all the way up in the afternoon. Now we're getting ready to
492 00:47:27 --> 00:47:32 pierce underneath that. And it's because that that liquidity is a constant. It's
493 00:47:32 --> 00:47:36 it's something that you can go back to on a time based principle. It's not
494 00:47:36 --> 00:47:39 something random, it's not something ambiguous, it's not something that
495 00:47:39 --> 00:47:43 constantly morphs into something else that you can't trust them or trust and
496 00:47:43 --> 00:47:48 rely on. It's a very static thing, like 830 is just like 930 is just like 930 to
497 00:47:48 --> 00:47:52 10 o'clock is there are very specific elements of time. So because that time
498 00:47:52 --> 00:47:59 aspect is it's finite, it's not it's not changing, it's something that will
499 00:47:59 --> 00:48:05 always be a factor for the algorithm. So just know that between 130 and two
500 00:48:05 --> 00:48:10 o'clock, whatever has formed at that 30 minute interval above or below it,
501 00:48:10 --> 00:48:13 there's going to be liquidity there. And if the market is likely to draw back
502 00:48:13 --> 00:48:18 into it, and you saw it again here today, if it's likely to do that, see
503 00:48:18 --> 00:48:26 these two lows here. She's trying to get out of that kind of wing. She this guy
504 00:48:27 --> 00:48:32 lets his dogs make all this noise, and I'm trying to, I'm trying to record all
505 00:48:32 --> 00:48:32 this stuff.
506 00:48:39 --> 00:48:40 Let's go back to electronic trading hours.
507 00:48:51 --> 00:49:03 So upper quadrant on the daily Sibi, see that we're breaking down into the these
508 00:49:03 --> 00:49:13 lows over here, the liquidity and linear as well. And if we lose the overnight
509 00:49:13 --> 00:49:22 low, which is this level down here, then it becomes a lot More significant for
510 00:49:22 --> 00:49:23 the morning session. Hang
511 00:49:42 --> 00:49:43 on one second. Thank.
512 00:50:27 --> 00:50:35 I had to trick Piper. She wouldn't go in her kennel unless I give her a treat. So
513 00:50:35 --> 00:50:39 we came down below here, and now we want to look at the overnight Lows. I
514 00:50:52 --> 00:50:53 And here we come,
515 00:51:02 --> 00:51:10 just like that. So when we're looking for morning session runs, price runs,
516 00:51:12 --> 00:51:16 unless we've had a protracted market delivery overnight, that means where,
517 00:51:16 --> 00:51:19 and you've, you've asked me this a couple weeks ago, where we had the Asian
518 00:51:19 --> 00:51:25 session just, it just started right away and started running one direction, this
519 00:51:25 --> 00:51:30 concept of using the overnight range, because it wouldn't be part of a
520 00:51:30 --> 00:51:33 consolidation, then it would be a market for attraction, and that means the
521 00:51:33 --> 00:51:38 market's trending. You don't want to do that. You don't want to measure that and
522 00:51:38 --> 00:51:42 expect these levels to have any kind of importance if it's part of anything
523 00:51:42 --> 00:51:47 other than that, then it's part of a consolidation. So it's a lot more likely
524 00:51:47 --> 00:51:52 that it's going to form using these types of ideas than without it, meaning
525 00:51:52 --> 00:51:55 that you can use this idea, of this concept, because I do it every single
526 00:51:55 --> 00:52:01 day, if there is not been an overnight trend, and I go in and I measure where
527 00:52:01 --> 00:52:06 my PD arrays should likely form around price. Then I simply submit myself to
528 00:52:06 --> 00:52:11 the aspect of time I know that the macro is going to be this, this, this, this,
529 00:52:11 --> 00:52:16 every 20 minutes of each hour. It's the first 10 minutes before the top of the
530 00:52:16 --> 00:52:21 hour. Or, let me say it this way, it's the last 10 minutes of the existing
531 00:52:21 --> 00:52:26 present hour to the new top of the new hour to 10 minutes after that new hour.
532 00:52:26 --> 00:52:32 So it's whatever hour it is, 50 minutes after that hour to 10 minutes after the
533 00:52:32 --> 00:52:37 new hour. So it's always that 20 minute interval there. There's always some kind
534 00:52:37 --> 00:52:41 of price run where it's spoiling for liquidity or reaching into an
535 00:52:41 --> 00:52:48 inefficiency, these macros are more sensitive because they're more prone to
536 00:52:48 --> 00:52:52 deliver price because of the increased measure of order flow that's coming in.
537 00:52:53 --> 00:52:58 And it's used to facilitate that, where it graduates their introduction to the
538 00:52:58 --> 00:53:03 marketplace, where large institutions, large firms, large insurance companies,
539 00:53:04 --> 00:53:09 large entities. They have big, big blocks of orders they have to push
540 00:53:09 --> 00:53:12 through the marketplace. They're not going out there and just throwing them
541 00:53:12 --> 00:53:17 all in one time. They're easing them in. They're easing them in, and a dealer
542 00:53:17 --> 00:53:21 will facilitate that for them, who's clearing their trades for them, and they
543 00:53:21 --> 00:53:27 will push them through at appropriate times. Sometimes those times may be
544 00:53:27 --> 00:53:32 appropriate more so for the dealer. So that way they can, they can make an in
545 00:53:32 --> 00:53:39 house book and use that, that threshold that this entity has said, Look, I would
546 00:53:39 --> 00:53:44 like to make a purchase of this, whatever or I would like to sell or
547 00:53:44 --> 00:53:50 distribute this, but I want, you know, try to get an average price of this much
548 00:53:50 --> 00:53:56 or better. So that function that's existing without you realizing it,
549 00:53:56 --> 00:53:58 without you knowing it, because you're looking at charts, patterns and things
550 00:53:58 --> 00:54:01 like that, you don't understand what the actual financial markets are doing and
551 00:54:01 --> 00:54:08 how they facilitate trade on a large scale. They use these macros to shove
552 00:54:08 --> 00:54:12 that liquidity through the marketplace. That's why they're there. That's why
553 00:54:12 --> 00:54:16 that happens. That's the function of what they're doing. So it's kind of like
554 00:54:16 --> 00:54:21 a built in mechanism to allow and afford large entities, which you're not, I'm
555 00:54:21 --> 00:54:27 not, and it allows them at every hour, because people are watching how much
556 00:54:27 --> 00:54:30 time they got left in the trading day. How much time does it take between where
557 00:54:30 --> 00:54:34 I'm looking at it right now and when the opening bell happens? The whole time the
558 00:54:34 --> 00:54:40 market is being pushed through this aspect of time, and you can only get so
559 00:54:40 --> 00:54:47 many orders through during a small window time. And because of that, it has
560 00:54:47 --> 00:54:51 to happen around a specific price level. For these large entities, they just
561 00:54:51 --> 00:54:55 can't go in there and just buy it at the market because they feel like it's gonna
562 00:54:55 --> 00:55:00 go higher. They have to go in in measured, appropriated, static. Weird
563 00:55:00 --> 00:55:05 movements. Otherwise they're never going to get efficient fills. They're never
564 00:55:05 --> 00:55:09 going to get efficient executions, because they're trying to get an average
565 00:55:09 --> 00:55:15 cost price that's appropriate for them, for their risk model, or for whatever
566 00:55:15 --> 00:55:18 their customer needs are, why they're going into the marketplace to do
567 00:55:18 --> 00:55:24 anything, whether buying or selling. So at every 60 minute interval, there's
568 00:55:24 --> 00:55:28 this short little span of time. It's it's 20 minutes, and during that 20
569 00:55:28 --> 00:55:33 minute time frame, they're shoving orders through. They're piping them
570 00:55:33 --> 00:55:37 through. It's not their entire block of orders, it's just that's when they're
571 00:55:37 --> 00:55:41 starting to push them through. Okay? They're not looking at these weird
572 00:55:41 --> 00:55:44 numbers that I see. People always tweeting to me, oh, yeah, ICT, I see
573 00:55:44 --> 00:55:49 you. You know, 811, nine. Well, it's nonsense. They think they figured
574 00:55:49 --> 00:55:53 something out. I swear to God Almighty, none of that stuff has anything to do.
575 00:55:53 --> 00:55:56 None of that stuff has anything to do with what I'm doing or what the
576 00:55:56 --> 00:56:02 algorithm is doing. I promise you. I promise you. Okay, it has nothing to do
577 00:56:02 --> 00:56:09 with GO Box stuff. Okay, I promise you, if you use that stuff and it's helping
578 00:56:10 --> 00:56:13 you, God, bless you. I swear to God, it has nothing to do. There's nothing going
579 00:56:13 --> 00:56:18 on with that information in here. Okay, I promise you, it's not happening. But
580 00:56:20 --> 00:56:26 it's these aspects of the time element that I'm I'm forcing you to spend more
581 00:56:26 --> 00:56:32 time looking at. And because we're leading up to the opening belt 930 every
582 00:56:32 --> 00:56:37 hour, that creates that macro. And during the pre market session, at six
583 00:56:37 --> 00:56:42 o'clock to 930 there is several opportunities for you to anticipate
584 00:56:42 --> 00:56:46 where my PD arrays are going to form. You're not going to be surprised by
585 00:56:46 --> 00:56:50 them. You're not going to be like, Where'd that come from? You're going to
586 00:56:50 --> 00:56:56 be anticipating them, expecting them, and in relationship to your bias, where
587 00:56:56 --> 00:56:59 it's likely to reach, to how far it's going to go, went to the upper quadrant
588 00:56:59 --> 00:57:04 of that daily city sweeping the relative equal highs here, here and here. What
589 00:57:04 --> 00:57:14 did they leave? What's above that my side? Do you because you see this drop
590 00:57:14 --> 00:57:18 down in here? Do you abandon the bullishness on the daily chart? Because
591 00:57:18 --> 00:57:22 you see that so many retail traders would so many retail traders see that
592 00:57:22 --> 00:57:27 kind of stuff, and that's exactly how they use this type of price action. It
593 00:57:27 --> 00:57:32 discourages them to want to be long. It discourages them to ever want to
594 00:57:32 --> 00:57:36 consider that maybe the higher time frame, you know, just had a little
595 00:57:36 --> 00:57:40 retracement today, and it wants to go higher for the next three weeks until we
596 00:57:40 --> 00:57:49 get into election, knowing what you're looking at in terms of the delivery of
597 00:57:49 --> 00:57:52 market protraction. That means, when the market's just running one direction,
598 00:57:52 --> 00:57:56 like this would be a market protraction, for instance. It's this one sidedness,
599 00:57:56 --> 00:58:02 but it's a very small one, because it's only been going for about what, 40
600 00:58:02 --> 00:58:10 minutes or so, not even about a half an hour. That's a very small market
601 00:58:10 --> 00:58:16 protraction. It's one sided, one sided delivery. If the overnight is behaving
602 00:58:16 --> 00:58:20 that way from Asia all through London, if it's doing something like that, you
603 00:58:20 --> 00:58:23 do not do what I showed you this morning, because it's not going to help
604 00:58:23 --> 00:58:29 you, but I have tools for when it's dealing the protraction. Okay, I can't
605 00:58:29 --> 00:58:33 teach it all today because it took me longer to do it. But here, when it's
606 00:58:33 --> 00:58:37 part of a large consolidation, and there is no one sided protraction overnight,
607 00:58:37 --> 00:58:42 and it's part of consolidation, just simply get the high and the low and then
608 00:58:42 --> 00:58:47 grade it with the lower quadrant equilibrium. And upper quadrant stick to
609 00:58:47 --> 00:58:50 the bias that's determined on the higher time frame we have been bullish. So it's
610 00:58:50 --> 00:58:54 going to reach for what it's going to reach for some measure of a premium
611 00:58:54 --> 00:58:59 array. Well, that Sibi that we looked at, that's the upper quadrant level
612 00:58:59 --> 00:59:04 here, and it reaches into that multiple times, offering what it's like playing
613 00:59:04 --> 00:59:07 horseshoes. You ever play horseshoes in the United States, we have a game where
614 00:59:07 --> 00:59:10 you take these two metal poles, you pound them in the ground, and you
615 00:59:10 --> 00:59:16 actually take horseshoes of horse. I know there's gonna be people that don't
616 00:59:16 --> 00:59:19 know what I'm talking about. This from another language or different part of
617 00:59:19 --> 00:59:24 the country, but basically, the metal apparatus gets a hammer on the bottom of
618 00:59:24 --> 00:59:30 a horse's foot in its hoof. We have created this game. It's been a long,
619 00:59:30 --> 00:59:33 long time. It's, I can't tell you how long it's been in existence, but the the
620 00:59:33 --> 00:59:37 object of the game is to take this horseshoe and toss it at this post that
621 00:59:37 --> 00:59:41 you nailed into the ground, and you're trying to get a ringer. It's called
622 00:59:41 --> 00:59:46 where the horseshoe will go around the post. And that's what you're you're
623 00:59:46 --> 00:59:51 anticipating, is you're seeing this level here, the high of the overnight
624 00:59:51 --> 00:59:57 range, the Monday high. And then if it was to keep going up in here, that's the
625 00:59:57 --> 01:00:00 high, the daily city. So what you're doing is with your order. Is why you're
626 01:00:00 --> 01:00:05 long you're tossing partials into these levels, trying to secure a ringer,
627 01:00:05 --> 01:00:13 trying to get a profitable exit. But if you don't know what you're doing with
628 01:00:13 --> 01:00:15 finding fair value gaps,
629 01:00:16 --> 01:00:19 this is going to help you, because it's going to give you a degree of
630 01:00:19 --> 01:00:24 understanding a general proximity in terms of price, where it should form,
631 01:00:25 --> 01:00:30 but how to qualify it if it's below a level from the overnight range and
632 01:00:30 --> 01:00:33 you're bullish, that means your discount. So that means every fair value
633 01:00:33 --> 01:00:38 gap below these gradient levels of the overnight range, that makes it a high
634 01:00:38 --> 01:00:45 probability. High probability, not. It might work. I hope this one holds up.
635 01:00:45 --> 01:00:50 These are the ones I'm trading on. This is the this is the ICT fair value gap
636 01:00:50 --> 01:00:53 that I'm trading on. These are the ones where I go in there and I'll put six
637 01:00:53 --> 01:00:56 contracts on it, runs away from it, comes back down, touches the top of it.
638 01:00:56 --> 01:01:00 Again, I'm adding four more contracts there, and it rallies up and it goes
639 01:01:00 --> 01:01:04 into this in here because it's below half of the move or equilibrium. It's
640 01:01:04 --> 01:01:10 still in a discount. And it's a discount relative to this level here with that
641 01:01:10 --> 01:01:13 fair value gap. And then I'll add more there. I'll pyramid. So what that is
642 01:01:13 --> 01:01:17 teaching here today, I taught you how to find the right fair value gaps, how to
643 01:01:17 --> 01:01:22 qualify and quantify them, not in ambiguous terms, very specific, finite
644 01:01:22 --> 01:01:28 terms, based on time, how everything comes together, and it just beautifully
645 01:01:28 --> 01:01:33 dovetails together. But there's no algorithm, right? There's no algorithm
646 01:01:34 --> 01:01:39 in the market rallies and it reaches the clear the buy stops about here, which is
647 01:01:39 --> 01:01:44 the overnight range. And then it doesn't just go above here by a little bit. It
648 01:01:44 --> 01:01:50 goes above to touch that daily Sibi that sells out of bounds by sound efficiency
649 01:01:50 --> 01:01:53 the upper quadrant, before it completely fills it in by going all the way up to
650 01:01:53 --> 01:01:57 here. There's a lot of range still there. And then that range just was
651 01:01:57 --> 01:02:03 increased by this, dropping down, taking out overnight lows. So my question to
652 01:02:03 --> 01:02:10 you is this, does this make sense to you in terms of defining which fair value
653 01:02:10 --> 01:02:15 got not? And I know there's some of you that are brand new, or just recently
654 01:02:15 --> 01:02:18 came onto my stuff and you're thinking, i This doesn't make any sense to me. I
655 01:02:18 --> 01:02:22 understand that it wouldn't for you because you're too new, but for the
656 01:02:22 --> 01:02:26 folks that have been dabbling with them, studying them back, testing and looking
657 01:02:26 --> 01:02:29 for fair value gaps. And you have asked yourself the question all the time, I
658 01:02:29 --> 01:02:33 guarantee you have, how is he picking that fair value guy? Why is he getting
659 01:02:33 --> 01:02:37 in there? Why is my entries taking off as soon as I get into them? That's the
660 01:02:37 --> 01:02:42 repeating questions that come to me by my paid students. That's the same
661 01:02:42 --> 01:02:45 questions that come to me by way of the comment section that you don't see, but
662 01:02:45 --> 01:02:50 you can leave a comment. I can see it, but nobody else can see it, because I
663 01:02:50 --> 01:02:54 don't want all that love fest. And yes, there's people out there saying you're a
664 01:02:54 --> 01:02:57 fraud. You haven't done this. You haven't done that. I don't care about
665 01:02:57 --> 01:03:01 that. What I'm showing you is the stuff that works. I'm telling you, when I pick
666 01:03:01 --> 01:03:07 the fairbay gaps that I trade on, I'm using predominantly this right here.
667 01:03:08 --> 01:03:12 Okay, there's other things that I do to further increase the likelihood of me
668 01:03:12 --> 01:03:18 being correct about the Fairbank guy, but this in itself, is the easiest go to
669 01:03:18 --> 01:03:22 strategy plan for you to be able to formulate an approach to saying, Okay, I
670 01:03:22 --> 01:03:27 trust that the bias is bullish. I trust that the bias is bearish. Based on that
671 01:03:27 --> 01:03:32 logic, you're simply going to use this information, as I showed here today.
672 01:03:32 --> 01:03:35 This is not a lecture where you're going to watch it one time and you're going to
673 01:03:35 --> 01:03:38 understand what I just said, because you're going to need to refer back to it
674 01:03:38 --> 01:03:41 a few times. You're going to go and look at old data, and then refer back to what
675 01:03:41 --> 01:03:45 I said here, because I guarantee what I've said here, you're going to think
676 01:03:45 --> 01:03:49 that I've created an edited format because it went where we had the first
677 01:03:49 --> 01:03:54 time. Because you you already have some idea in mind what you're reaching for
678 01:03:54 --> 01:03:58 for a model, and you're trying to take every new little thing I talk about and
679 01:03:58 --> 01:04:02 press it into that to make it click for you so you can go out there, start
680 01:04:02 --> 01:04:06 making money. You have to try to defer that, push that aside because, just
681 01:04:06 --> 01:04:10 because you're now learning more ideas about what makes a fair value gap valid
682 01:04:10 --> 01:04:16 or not, what happens when that shift in sentiment changes from you're not,
683 01:04:16 --> 01:04:19 you're not bullish for that morning session or that afternoon session
684 01:04:19 --> 01:04:29 anymore. What do you do? Then everything that you used here on the upside becomes
685 01:04:29 --> 01:04:32 what part of a market maker, sell model. So everything over here that would be a
686 01:04:32 --> 01:04:36 bullish fair value gap will become an inversion, fairy back fair value gap
687 01:04:36 --> 01:04:40 over here. Anything over here that would be an order block that would be bullish.
688 01:04:40 --> 01:04:48 Would be a inverted, basically, it would reverse its role and characteristic as a
689 01:04:48 --> 01:04:51 bare shoulder block. It would repeat. It would reverse its role.
690 01:04:57 --> 01:05:00 And this is a lower quadrant one. City right here.
691 01:05:14 --> 01:05:18 Now we have a range, like overnight range, and you define it like that.
692 01:05:19 --> 01:05:24 Other things you can do is you can do extensions off of that and get an idea
693 01:05:24 --> 01:05:29 how far it can go for targeting, for partials, for potential reversal
694 01:05:29 --> 01:05:36 patterns. And what you would do is you simply take the the range the first one
695 01:05:36 --> 01:05:42 is you always want to reach for is the negative 0.5 level, and that one's here,
696 01:05:42 --> 01:05:46 and then negative one is one standard deviation which is done and we hit the
697 01:05:46 --> 01:05:50 lower quadrant on that Sibi on the daily chart. Let's go back out to the daily
698 01:05:50 --> 01:05:54 chart real quick. Let me take these off for a moment, because there'll be too
699 01:05:54 --> 01:05:56 many lines on the chart. Otherwise I'm
700 01:06:09 --> 01:06:12 this candlestick is the city I keep referring to on the daily chart. You can
701 01:06:12 --> 01:06:19 see up here daily, July 17, 2024 it's a Wednesday. That singular down closed
702 01:06:19 --> 01:06:25 candle. That's the city. This is the low of it. That candlesticks high. This is
703 01:06:25 --> 01:06:30 the high of it. This candle sticks low, equilibrium. Lower quadrant is 20,004 89
704 01:06:31 --> 01:06:41 the low of it is 410, even, 20,004 89 go back into a one minute chart. 49 is that
705 01:06:41 --> 01:06:48 level right there? See that? So we traded down to and below equilibrium of
706 01:06:48 --> 01:06:55 that daily city. And what did it do? There protraction lower, reaching down
707 01:06:55 --> 01:07:02 to the lower quadrant. That's the low of the daily city right here. I'm
708 01:07:08 --> 01:07:12 a little bit over my time, so let me go back to yesterday's real quick, and
709 01:07:12 --> 01:07:18 we'll look at the think I got a chart already set up for this. Give me a
710 01:07:18 --> 01:07:22 second, a 32nd All
711 01:07:30 --> 01:07:37 right, so if you follow me on Twitter or X, I shared this yesterday, and I was
712 01:07:37 --> 01:07:46 out running around with my wife, shopping again. Any excuse for her to
713 01:07:46 --> 01:07:53 use credit cards, she's gonna jump on honey. We could save 30% if we get this
714 01:07:53 --> 01:07:57 right here. Yeah, I tell her, I could save 100% if I don't buy it at all. We
715 01:07:57 --> 01:08:04 don't need that stuff. But you know, that's that's wife, math, ladies, Don't
716 01:08:04 --> 01:08:09 come at me. Okay, don't come at me. I'm just being honest. Alright, so here we
717 01:08:09 --> 01:08:17 have the the session yesterday, okay? And Thursday, October 10, 2024, daily
718 01:08:17 --> 01:08:21 high. So we have done what we went above it here, came back down, went below it,
719 01:08:21 --> 01:08:25 once more, back above it, once more, below it, and then we rallied back above
720 01:08:26 --> 01:08:31 and we're keeping what relative equal highs. We have minor buy side, and it's
721 01:08:31 --> 01:08:35 also what it's an election year. It's bullish. The market's likely to continue
722 01:08:35 --> 01:08:39 going higher, and we've already explored the likelihood of digging back down into
723 01:08:40 --> 01:08:44 October 9 daily candle. That's the high of that. So look on your daily chart,
724 01:08:45 --> 01:08:52 Thursday, October 10 of this year. Note that high, and then we drop back down
725 01:08:52 --> 01:08:55 into a one minute chart, or in this case, it's 30 seconds. Every every
726 01:08:55 --> 01:09:01 candlestick on this chart is 30 seconds. So what we're looking at is, I'm not,
727 01:09:01 --> 01:09:04 I'm not trading Support Resistance, okay? Because the idea of support
728 01:09:04 --> 01:09:10 resistance would say this, this is the daily high on October 10. We went above
729 01:09:10 --> 01:09:14 it when it came back down. Test it right here. If we were just simply expecting
730 01:09:14 --> 01:09:19 the old highs and lows of a previous day or previous week, then that right there
731 01:09:19 --> 01:09:23 should have turned the market higher and started going higher. And that's what I
732 01:09:23 --> 01:09:27 expected as a 20 year old, because the books that I read said that that's how
733 01:09:27 --> 01:09:30 support resistance would work. They give you these perfect examples, these
734 01:09:30 --> 01:09:34 perfect little things that would create this opportunity, a wonderful repeating
735 01:09:34 --> 01:09:37 phenomenon, where you can go in and make all the money you'd ever want and quit
736 01:09:37 --> 01:09:42 your job in two weeks. Okay, I had unrealistic expectations, just like all
737 01:09:42 --> 01:09:45 of you have when you come to watch my content for the first time. So I'm not a
738 01:09:45 --> 01:09:52 Support Resistance trader, but I do use the order flow around old highs and old
739 01:09:52 --> 01:09:59 lows, if you are not aware of the old highs in the last week, every individual
740 01:09:59 --> 01:10:06 day. Day. You want to know every single daily high and low of the last five days
741 01:10:06 --> 01:10:12 and at least Friday of last week. You want to know what last week's high and
742 01:10:12 --> 01:10:16 low was. Those levels are going to give you what I'm going to show you right
743 01:10:16 --> 01:10:19 here. This is an endless supply of setups. Okay, I want you to sit still
744 01:10:19 --> 01:10:22 for a second. Put time. Put down your writing instrument for a moment. Okay,
745 01:10:22 --> 01:10:31 let me do moment. Okay, just think for a second. Think, what would it feel like
746 01:10:31 --> 01:10:38 if you knew, not, guessed not, was influenced by me or anybody else? What
747 01:10:38 --> 01:10:44 if you knew how to go into an endless supply of new setups that is never going
748 01:10:44 --> 01:10:49 to hide from you. It's never going to be changed. They're not going to change
749 01:10:49 --> 01:10:53 this, okay, this is, this is not something that they're going to change
750 01:10:53 --> 01:10:56 the algorithm. You're never going to be able to take advantages anymore. This is
751 01:10:56 --> 01:11:00 always going to be there, folks, okay, I want you to understand that. I want you
752 01:11:00 --> 01:11:04 to get excited about this part. This is where you can allow your emotions to
753 01:11:04 --> 01:11:09 come into it. I want you to feel happy and excited, because it's absolutely an
754 01:11:09 --> 01:11:17 endless supply of setups period. It will never be exhausted, okay, if we're
755 01:11:17 --> 01:11:24 bullish, if we're expecting higher prices by knowing the highs in the last
756 01:11:24 --> 01:11:27 five days and at least the previous week's Friday, and then knowing the
757 01:11:27 --> 01:11:32 previous week's high and low, you will always know where order flow is going to
758 01:11:32 --> 01:11:36 come in, and all you have to do is wait for the displacement. And what does that
759 01:11:36 --> 01:11:40 look like? Well, here we have the rally above the high on October 10. That's
760 01:11:40 --> 01:11:44 this level here. Okay, if you put this on your own chart, this is why I'm I'm
761 01:11:44 --> 01:11:47 leading parts of this stuff out. So that way, it causes you to have interactive
762 01:11:47 --> 01:11:51 study where you have to go into your charts highlight the actual high of
763 01:11:51 --> 01:11:57 October 10, 2024, is high. It's last Thursday. Okay, but putting that chart,
764 01:11:57 --> 01:12:01 I'm sorry, putting that line on your chart, and then watching how price
765 01:12:01 --> 01:12:06 gyrates above it. It comes back down. It doesn't stop there and go higher. Even
766 01:12:06 --> 01:12:09 though it's bullish, it does not stop there and go higher. It does what it
767 01:12:09 --> 01:12:13 digs back down into the range. That's exactly what you want to see, because
768 01:12:13 --> 01:12:18 what that's doing is it's offering you the opportunity to study and measure its
769 01:12:18 --> 01:12:22 willingness to go deeper into that range. Does it want to do so? No. How do
770 01:12:22 --> 01:12:25 we know that? Because we leave that range and go back above the high of
771 01:12:25 --> 01:12:29 October 10 again here. And then, what does it do? Do we do we buy it now
772 01:12:29 --> 01:12:34 because it does this and touches the No. Give it an opportunity to run back down
773 01:12:34 --> 01:12:41 in does it want to take the relative equal lows here? No, it's it's left the
774 01:12:41 --> 01:12:45 bait here, because you're being trained to look for relative equal lows to be
775 01:12:45 --> 01:12:49 traded to. But what happens if it doesn't do it? It's telling you what,
776 01:12:50 --> 01:12:53 it's not likely to go lower, and if it's not likely to go lower, when you're
777 01:12:53 --> 01:12:58 already predisposed to expect higher prices, then you're what you're in a buy
778 01:12:58 --> 01:13:03 program. Then expect protraction higher. You see that here, the market rallies
779 01:13:03 --> 01:13:06 back above October 10. Now are we looking for the market to come back down
780 01:13:06 --> 01:13:10 and touch that high like support and resistance? Folks would assume, no,
781 01:13:10 --> 01:13:15 absolutely not. What we're looking for is any inefficiency on the pass down
782 01:13:16 --> 01:13:19 that will act as an inversion fair value gap. That's what this is right here.
783 01:13:20 --> 01:13:24 Now, as it's dropping down, I'm looking at that fair value gap, knowing that if
784 01:13:24 --> 01:13:28 it's really good, it won't even touch it, because we spent some time in here
785 01:13:28 --> 01:13:32 and then left it. I'm I'm going long right in here. I'll show you the
786 01:13:32 --> 01:13:36 executions in a moment. Okay, and then the market rallies up, and it leaves
787 01:13:36 --> 01:13:39 these relative equal highs. And I'm noting in the video that you can watch
788 01:13:39 --> 01:13:46 on Twitter, I'm noting these volume imbalances. Volume imbalances are the
789 01:13:46 --> 01:13:51 most flexible, or it's the PD array of my repertoire that you as the analyst,
790 01:13:51 --> 01:13:55 you as the trader, you as the implementer behind pushing a button. If
791 01:13:55 --> 01:14:02 you ever decide to do that, you're going to see price go through these types of
792 01:14:02 --> 01:14:07 things. Okay? Because it's a measurement of a willingness to see the price
793 01:14:07 --> 01:14:11 sustain and run high or low. It can be used as an entry. It can be used as a
794 01:14:11 --> 01:14:16 partial. It can be used as managing your stop loss. But I like looking for these
795 01:14:16 --> 01:14:20 little, tiny pockets and price action. And it's basically the the absence. If
796 01:14:20 --> 01:14:26 you look real close, it's the absence between this candlesticks body or open
797 01:14:26 --> 01:14:32 and this candlesticks close, there is a wick touching, but there's no bodies
798 01:14:32 --> 01:14:35 there. That's what I'm highlighting in that video. It's got a little music
799 01:14:36 --> 01:14:40 track added to it on Twitter. Same thing here. Small, little separation between
800 01:14:40 --> 01:14:44 the candlesticks bodies, there's one in here, but I'm not worried about that
801 01:14:44 --> 01:14:47 one, because I've framed one here, and I frame one here, and I'm watching how
802 01:14:47 --> 01:14:51 price behaves. But then this fair value gap, which is what I was aiming as I
803 01:14:51 --> 01:14:56 entered the first time and added multiple entries on, then when it
804 01:14:56 --> 01:15:00 dropped down in here, and it closed that initially right to that low. So. I fired
805 01:15:00 --> 01:15:03 it in there again, but I had already typed out that the launch time is now. I
806 01:15:03 --> 01:15:07 said, at 830 the market's going to spool higher. Go watch that recording. You'll
807 01:15:07 --> 01:15:12 see every annotation just as I typed it. Then everything here is exactly how I
808 01:15:12 --> 01:15:17 left it when I recorded that live execution, but I timed it and told you
809 01:15:17 --> 01:15:22 very specifically the launch time is now. Why? How did I know that? How did I
810 01:15:22 --> 01:15:27 know that was going to happen? Because at 830 if I'm bullish, I want to see the
811 01:15:27 --> 01:15:32 price drop down to a discount array that's this fair value gap. It could
812 01:15:32 --> 01:15:37 have went down and touched this inversion fair value gap, and it would
813 01:15:37 --> 01:15:40 have been fine. It would not have it would not have changed anything. But
814 01:15:40 --> 01:15:45 because it didn't touch it here, and it created this fair value gap, and it
815 01:15:45 --> 01:15:49 already started to run up and left these relative equal highs. I know it's just
816 01:15:49 --> 01:15:54 coming back down in here to redeliver into here. That's why you'll see when
817 01:15:54 --> 01:15:57 I'm adding the executions on the chart, you'll see that that's where I fired in
818 01:15:57 --> 01:16:02 and added my last portion. And I already anticipated by saying that the launch
819 01:16:02 --> 01:16:06 time is now hits. It stops the tick and starts to rally up. And then I'm
820 01:16:06 --> 01:16:11 watching do these volume imbalances support price. It trades up to it. Look
821 01:16:11 --> 01:16:15 at the bodies you're respecting. It then comes back down. Look at the bodies. See
822 01:16:15 --> 01:16:19 that? See you're see the assholes and asshats. They're watching these wicks.
823 01:16:19 --> 01:16:22 And they're looking at this. Look at this stuff. It doesn't have any rhyme or
824 01:16:22 --> 01:16:25 reason why. Reason. What's going on. You're a fucking clown. Look real close.
825 01:16:25 --> 01:16:29 You see the bodies. See what those bodies are telling you. It's respecting
826 01:16:29 --> 01:16:33 that inefficiency right there between these two candlestick bodies. That's
827 01:16:33 --> 01:16:38 exactly what I'm watching. That's algorithmic price delivery. That's the
828 01:16:38 --> 01:16:44 very thing that I'm looking for, and if price runs away from that, then I know
829 01:16:44 --> 01:16:48 that if I wanted to, I could add more when it's inside that little volume
830 01:16:48 --> 01:16:52 imbalance there, and add more to it and then rally up. Or I could take this drop
831 01:16:52 --> 01:16:56 down in here and trade this inefficiency or fair value gap. And that could have
832 01:16:56 --> 01:17:02 been an entry. Why? Because this volume imbalance is here, and I'm trading in a
833 01:17:02 --> 01:17:05 fair value gap that's below that volume of balance. That means when a discount
834 01:17:05 --> 01:17:10 throwing a market that's bullish after the algorithm starts firing at 830 and
835 01:17:10 --> 01:17:10 then
836 01:17:11 --> 01:17:15 volume and balance right there. I was going to annotate that, but I had missed
837 01:17:15 --> 01:17:18 it because I was looking at my dogs at the time, and I didn't want to go and
838 01:17:18 --> 01:17:21 add anything to it. But anyone watching that trade just as well as you can see
839 01:17:21 --> 01:17:24 it right here. You can see it there. It's being utilized right there,
840 01:17:24 --> 01:17:28 consequent encroachment. That's the midpoint of this separation. These
841 01:17:28 --> 01:17:33 little pockets, okay, these little, tiny, little separations in the volume
842 01:17:34 --> 01:17:39 of the candlestick. You cannot get this information in any other aspect of
843 01:17:39 --> 01:17:44 charting. So when you listen to these clowns, these fucking clueless idiots,
844 01:17:44 --> 01:17:48 these fucking dweebs, okay, these people that have zero understanding, zero
845 01:17:48 --> 01:17:53 understanding by Price Books, they'll say time based charts are trash trying.
846 01:17:53 --> 01:17:58 Time based charts are useless. You have no idea what you're talking about. You
847 01:17:58 --> 01:18:02 have literally no idea. No one's ever told you how to use a time based chart
848 01:18:02 --> 01:18:06 until I started talking about it. And holy shit, could I just step into
849 01:18:06 --> 01:18:09 narcissistic power shit right there? Didn't, well, guess what? Scoop up and
850 01:18:09 --> 01:18:11 swallow because it's the truth. No one ever told you to look at the
851 01:18:11 --> 01:18:15 candlesticks like I'm teaching you to look at them. No one's ever told you to
852 01:18:15 --> 01:18:19 focus on the elements of time, using these candlesticks with this information
853 01:18:19 --> 01:18:23 before. It's never been done before because I codified it. This is my
854 01:18:23 --> 01:18:26 fucking shit. Okay? And when you guys are making these fucking videos, and I'm
855 01:18:26 --> 01:18:29 coming out here doing it over every single day, over and over and over
856 01:18:29 --> 01:18:34 again, I'm laughing at you. I'm laughing at you because you're taking the bait.
857 01:18:34 --> 01:18:37 You're doing exactly what I want. Because more people are coming here, and
858 01:18:37 --> 01:18:40 they're watching the technical science being taught, and more people this rest
859 01:18:40 --> 01:18:44 of this year are gonna be making more money using this shit, more money, more
860 01:18:44 --> 01:18:48 testimonies coming forward. So keep bringing them here. I love it. You're
861 01:18:48 --> 01:18:54 working for free. Keep them coming. Engagement farming done, right? So I
862 01:18:54 --> 01:19:00 want to take a look at the executions here. Okay, this is probably gonna be a
863 01:19:00 --> 01:19:06 little jarring for some of you. So as the market's trading and we're dropping
864 01:19:06 --> 01:19:09 down, okay? And you can see clearly this is not Market Replay, okay, see that.
865 01:19:09 --> 01:19:16 Can't do that on Market Replay, but the the entries in here look inside this
866 01:19:16 --> 01:19:25 fair value gap. It's in the lower half of that fair value got that that is at
867 01:19:25 --> 01:19:28 the top as it's hitting it, right here, in this volume imbalance, as it's
868 01:19:28 --> 01:19:31 trading down here, I'm trying to time it as it hits it, but it's kind of it's
869 01:19:31 --> 01:19:36 kind of difficult when you're doing on a 32nd chart, I'm doing it where I'm
870 01:19:36 --> 01:19:41 pushing into the the price action as it's going in a direction I want it to
871 01:19:41 --> 01:19:44 go, which is opposed to the direction I'm trading in. So in other words, I'm
872 01:19:44 --> 01:19:49 trying to enter when the market's going down. I'm never trying to go in when the
873 01:19:49 --> 01:19:54 market's going up. If the candlesticks painting bullishly, I don't want to be
874 01:19:54 --> 01:20:00 going in after the candlesticks started going higher. It. Like, open like, in
875 01:20:00 --> 01:20:04 this case, here we have the candlestick opening up here and trading down. That's
876 01:20:04 --> 01:20:09 ideal. I'm sorry I said that wrong. It opens up down here and trades higher. So
877 01:20:09 --> 01:20:14 it's creating a bullish candlestick. In this candlestick I'm trying to trade as
878 01:20:14 --> 01:20:18 it's fluctuating around and in close proximity to that volume of balance.
879 01:20:18 --> 01:20:23 That's what I'm trying to aim for. And over here, same premise. I'm trying to
880 01:20:23 --> 01:20:28 time it as it's entering into that volume imbalance. Here, I'm trading
881 01:20:28 --> 01:20:33 inside of this little separation. I'm trying to get that little return back
882 01:20:33 --> 01:20:40 into that candlestick as well. Here, similar down here, I'm trying to time it
883 01:20:40 --> 01:20:44 as it's trading down into this fair value gap. All of these could be further
884 01:20:44 --> 01:20:48 refined if I was willing to use a limit order, but I'm trying to force myself to
885 01:20:48 --> 01:20:53 use every aspect of proving it's not Market Replay. So that's why the open
886 01:20:54 --> 01:21:00 and close, or the buying entry. So button for buying this shit, basically,
887 01:21:02 --> 01:21:06 you can't do. You don't see that in Market Replay. Okay, so it's actually
888 01:21:06 --> 01:21:12 better. I just did that, but I'm using this way of showing it to you, so that
889 01:21:12 --> 01:21:16 way anybody that understands trading view knows that this is not Market
890 01:21:16 --> 01:21:22 Replay, and anybody, anybody can do it in Market Replay and make it look good.
891 01:21:22 --> 01:21:29 Anybody can do that, but I'm teaching you how to read 32nd chart. Okay. Why
892 01:21:29 --> 01:21:32 32nd chart? Why not a 15 second chart? Because the price is a little bit
893 01:21:32 --> 01:21:37 cleaner, little bit more refined, a 15 second chart's a little bit more spotty
894 01:21:37 --> 01:21:41 in here, spotty means that there's a lot more volume imbalances. I'd like to have
895 01:21:41 --> 01:21:45 a chart, and this is for your notes. This is the part where you write down. I
896 01:21:45 --> 01:21:50 like to use a time frame. It's sub one minute that doesn't have a plethora or a
897 01:21:50 --> 01:21:56 exaggerated number of volume imbalances. I want to have like a few of them, so I
898 01:21:56 --> 01:22:00 want to be able to see them if they form. But if I'm looking at a, like a
899 01:22:00 --> 01:22:04 five second chart, I'm gonna have a whole lot more to choose from, and I
900 01:22:04 --> 01:22:09 don't want that. So the 15 second, I didn't like it, so I focused on the 32nd
901 01:22:10 --> 01:22:16 and I'm only using the 32nd chart just to kind of like drive home the the
902 01:22:16 --> 01:22:21 emphasis that I am not a one minute Chart Trader. I'm not a five minute
903 01:22:21 --> 01:22:25 Chart Trader, I'm not a 60 minute 60 minute Chart Trader, I'm a price trader,
904 01:22:26 --> 01:22:34 I'm a time based price delivery trader, an algorithmic delivery trader. So I'm
905 01:22:34 --> 01:22:39 I'm looking at price in a way where I'm expecting it to behave a certain way
906 01:22:39 --> 01:22:44 with these repeating phenomenon that I titled PD arrays around specific
907 01:22:44 --> 01:22:49 elements of time. So because 830 here is the 830 window right there, this
908 01:22:49 --> 01:22:52 candlestick, when we get close to the top of the Fairbank, I'm getting in
909 01:22:52 --> 01:22:56 there and then finally hammering it as it's creating that down closed candle
910 01:22:56 --> 01:23:01 right there. I'm hitting it, and there's the entry at the time. I'm telling you
911 01:23:01 --> 01:23:05 that the launch time is now, so it drops down, and then it right from there,
912 01:23:06 --> 01:23:10 creates these little, uh, confirming that I'm on side. That's what these
913 01:23:10 --> 01:23:15 little candlestick bodies are telling me, folks, okay, I'm on side, I'm on
914 01:23:15 --> 01:23:19 side, and then I'm expecting price to rip, and it does. And then you start
915 01:23:19 --> 01:23:23 seeing it run up. It gets this low volume of bounce tagged right there, and
916 01:23:23 --> 01:23:27 rallies up. And then there's the objective now I could have held for
917 01:23:27 --> 01:23:31 longer. Okay, there's a joker on Twitter who likes to come after the fact all the
918 01:23:31 --> 01:23:34 time. You never see a stop loss in his trades. You never see him execute
919 01:23:34 --> 01:23:38 either, but he's always got some kind of screenshot that's kind of lame. Show
920 01:23:38 --> 01:23:41 your execution while you're doing it. Move a stop loss. You don't have a stop
921 01:23:41 --> 01:23:45 loss in there because you're using something that you don't need to trust.
922 01:23:45 --> 01:23:48 Okay? I have a stop loss in every single one of my executions. It's always there.
923 01:23:48 --> 01:23:52 It's always being managed. And everybody sees the repeating phenomenon and
924 01:23:52 --> 01:23:56 routine that I'm using. I'm not rushing it to break even. I'm not rushing it to
925 01:23:56 --> 01:24:00 strangle the profit. Okay, but yesterday, I couldn't stay the babysit
926 01:24:00 --> 01:24:04 the rest of the position. I told you last week that 20,005 38 was our
927 01:24:04 --> 01:24:07 objective. It didn't trade there last week. But guess what it did yesterday.
928 01:24:08 --> 01:24:13 Traded to 20,005 38 it did that I had limit order to get me out there. I had
929 01:24:13 --> 01:24:16 enough time to compress it, throw a music track on there, and then out the
930 01:24:16 --> 01:24:22 door I went. So I was not able, was not able to sit and ride all this up and
931 01:24:22 --> 01:24:27 babysit it. My wife asked me to stay off the phone for the time we were out, and
932 01:24:27 --> 01:24:35 I honored that request. Okay, so in the afternoon, a little bit later, what do
933 01:24:35 --> 01:24:36 you see here?
934 01:24:41 --> 01:24:53 What's this? Who's this? The fairba. I got Sibi market trades up into it. I'm
935 01:24:53 --> 01:25:05 entering again on 32nd chart. There. To my fills and it drops down, I'm willing
936 01:25:05 --> 01:25:11 to see it come back up in to this breaker. So that means I have to afford
937 01:25:11 --> 01:25:14 myself what the likelihood of going into drawdown. But if it trades back there,
938 01:25:14 --> 01:25:18 I'm going to add more to it, but I need a little bit more information. Should it
939 01:25:18 --> 01:25:21 do? So what information is that? Well, what's trading up into that quadrant?
940 01:25:21 --> 01:25:29 Level breaks lower, creates another fair value gap entry, I'm waiting for the
941 01:25:29 --> 01:25:36 market to do what show a willingness to take buy, stops there at a quadrant,
942 01:25:37 --> 01:25:45 breaks fair value gap entry, same thing here. I'm looking at this wick. I'm
943 01:25:45 --> 01:25:49 trying to time it with this fair value gap being traded to, I want to get in
944 01:25:49 --> 01:25:57 there at that wick, conco encroachment right here, and that's a whole lot of
945 01:25:57 --> 01:26:08 stuff, and get it down to just to middle level. It's funny and it's fun. So much.
946 01:26:08 --> 01:26:12 This is so much better than college. Some of you guys have that are younger,
947 01:26:12 --> 01:26:15 like your parents may be listening. What the hell do you say? You need to stop
948 01:26:15 --> 01:26:18 listen this guy. I'm paying too much for this college, so I'm trying to time it
949 01:26:18 --> 01:26:23 right there, to consequent coaching that wick right there, adding more to it. And
950 01:26:23 --> 01:26:29 then I shared live as it was, aiming for the sell side below here, knowing that
951 01:26:29 --> 01:26:34 we had a abbreviated session yesterday because of the holiday, and I wanted to
952 01:26:34 --> 01:26:37 get out when it took that cell side there, because it would most likely draw
953 01:26:37 --> 01:26:40 back up into the middle of the range between here and here, worst case
954 01:26:40 --> 01:26:44 scenario and best case scenario, we could come back up and try to take that
955 01:26:44 --> 01:26:47 high out. So I didn't want to write any of that in. So I went short. Added more
956 01:26:47 --> 01:26:52 there, and then the fill as it was aiming for this low I want to make sure
957 01:26:52 --> 01:26:55 I get out so I had the limit order just above it. So there you go. That's low
958 01:26:55 --> 01:26:59 hanging fruit objective. That's the level I'm looking for. The sell side
959 01:26:59 --> 01:27:04 below. That's what I want to see it trade to. But my exits are sliding on
960 01:27:04 --> 01:27:10 into home. I don't require that load be taken out. Why? Because I might be
961 01:27:10 --> 01:27:14 wrong. Because it's the holiday. They may not want to come back down in there.
962 01:27:14 --> 01:27:17 They may, may, they may want to do that at six o'clock, restart in the
963 01:27:17 --> 01:27:22 afternoon, or any time when they when they resume trading again. So that's
964 01:27:22 --> 01:27:31 where my exit was there, and then that's the business. So let's take this back
965 01:27:31 --> 01:27:32 over here. And I
966 01:27:39 --> 01:27:48 think that's going to be it for today. This is a first presented fair value gap
967 01:27:48 --> 01:27:55 from last week. I don't recall what day it is, but it was, I think it was on the
968 01:27:55 --> 01:27:58 second half of the week, so either Wednesday or Thursday. Look at that, and
969 01:27:58 --> 01:28:02 you'll see that that's what that is. Another reason why you should annotate
970 01:28:02 --> 01:28:06 your your charts with these labels like this. I don't need to do that because I
971 01:28:06 --> 01:28:11 break my stuff down on the notepad. But that's a first presenter. Fair Value got
972 01:28:11 --> 01:28:16 to these two, these two dark, thick lines there. So I covered a lot of stuff
973 01:28:16 --> 01:28:20 today. I talked about how I picked the right fair value gap. What constitutes
974 01:28:21 --> 01:28:24 qualifying the fair value gap. I talked about the overnight range. How to use
975 01:28:24 --> 01:28:30 that. When is it useful? When is it not useful? If it's part of, if you're large
976 01:28:30 --> 01:28:33 part of a larger consolidation, you're going to grade it. If you're doing a
977 01:28:33 --> 01:28:38 market protraction overnight, you're not going to do that at all. And you'll have
978 01:28:38 --> 01:28:42 to trade differently. And also, if you have a market retraction overnight, that
979 01:28:42 --> 01:28:45 usually puts you on the sidelines in the morning session, so you already had a
980 01:28:45 --> 01:28:51 big move overnight. So expect, excuse me, the New York session to be either a
981 01:28:51 --> 01:28:54 market reversal profile or consolidation, meaning that unless
982 01:28:54 --> 01:28:58 you're very versed with reversal patterns, don't trade the morning
983 01:28:58 --> 01:29:01 session if you have an overnight trending market and then wait for a
984 01:29:01 --> 01:29:05 launch reversal, or pm session trade, or trade the last hour trade. So there's a
985 01:29:05 --> 01:29:09 whole lot of conditions there that helps you. Should have helped you rather
986 01:29:10 --> 01:29:14 define when you should expect something to form, when you should sit still. When
987 01:29:14 --> 01:29:17 should you feel comfortable sitting still? And why should you feel
988 01:29:17 --> 01:29:21 comfortable sitting still? Also, where the fair value gaps are best? What's the
989 01:29:21 --> 01:29:24 best ones? What's the ones I'm I'm going to be trading at, what's the one that I
990 01:29:24 --> 01:29:31 have elected to trade on? And it's based on premium and discount. It's based on a
991 01:29:31 --> 01:29:35 previous range that the algorithm will refer back to. It's not ambiguous. It's
992 01:29:35 --> 01:29:40 not some kind of contrivance, you know, made up stuff. It's something that
993 01:29:40 --> 01:29:43 you're going to go back in a chart to see over and over again, repeating
994 01:29:43 --> 01:29:48 constantly, always there, always there. And what happens if you don't see these
995 01:29:48 --> 01:29:53 elements in price action, then you have manual intervention. That means you
996 01:29:53 --> 01:29:56 should sit on your hands and don't do anything if you're if the pvar that
997 01:29:56 --> 01:30:00 you're highlighting are not responding and respecting price. Is the way they
998 01:30:00 --> 01:30:03 should remember inefficiencies, fair value gaps. You don't want to see them
999 01:30:03 --> 01:30:08 hanging around in them, trade into them, leave. And if you have defined your fair
1000 01:30:08 --> 01:30:12 value gaps based on your bias with the overnight range, as I showed you here by
1001 01:30:12 --> 01:30:16 grading it, you know the general proximity of where a fair value gap or
1002 01:30:16 --> 01:30:20 order, block or breaker or stop run is going to form. All of the PD arrays are
1003 01:30:20 --> 01:30:24 going to gravitate around these levels. Don't just think it's just fair value.
1004 01:30:24 --> 01:30:29 It's not just that. It's whatever PB array that's going to be given to you at
1005 01:30:29 --> 01:30:36 that time, with price being utilized for that that purpose, meaning during the
1006 01:30:36 --> 01:30:40 macro or 830 because there's the only departure. It's always the 50 minute
1007 01:30:40 --> 01:30:44 after to 10 minute after, that's the element of time when the price is going
1008 01:30:44 --> 01:30:47 to start spooling during the pre market sessions. There's several hours there
1009 01:30:47 --> 01:30:53 that you can do that with, but there's one outlier. It's the 838 30 does its
1010 01:30:53 --> 01:30:57 own thing. That's when the algorithm comes online and it's full force just
1011 01:30:57 --> 01:31:02 run, because it's going to push price around for that first hour ahead of 930
1012 01:31:02 --> 01:31:07 opening. That's what it's doing. That's its function. Okay, so, and it's also
1013 01:31:07 --> 01:31:11 allowing a lot of orders to be pushed through when there's economic data.
1014 01:31:11 --> 01:31:15 Remember, I was telling you earlier how the dealers that are facilitating and
1015 01:31:15 --> 01:31:19 executing the orders for large entities that are not necessarily always trading
1016 01:31:19 --> 01:31:23 for the purpose of trading for profit. They're not out there trading competing
1017 01:31:23 --> 01:31:30 against you. They just are holding risk or their window dressing their
1018 01:31:30 --> 01:31:35 portfolio. They're cycling through and reappropriating things in other assets
1019 01:31:35 --> 01:31:38 classes and other other instruments. So if they're trying to unload something or
1020 01:31:38 --> 01:31:44 acquire it, the dealer will facilitate their requirements and expectations by
1021 01:31:44 --> 01:31:47 pushing the orders through with these very high volume times. And that's
1022 01:31:47 --> 01:31:51 what's going on. Okay, that's exactly what's going on. You're not going to see
1023 01:31:51 --> 01:31:54 it on your fucking books. You're not going to hear some Joe Schmo on the
1024 01:31:54 --> 01:31:57 fucking internet tell you this is what is going on, but that's exactly what's
1025 01:31:57 --> 01:32:00 going on. Okay, so when you had this perfect storm of all this order flow
1026 01:32:00 --> 01:32:06 coming in that is not causing the market going down, they're utilizing that high
1027 01:32:06 --> 01:32:11 volume, okay, not high volume, that high traffic time, where there's more
1028 01:32:11 --> 01:32:16 participation. It's easy to throw those orders into the marketplace. They're
1029 01:32:16 --> 01:32:20 they're consumed quickly. And it doesn't mean that the market's going to go
1030 01:32:20 --> 01:32:23 really high or really low, because they push that volume in. Remember that big
1031 01:32:23 --> 01:32:27 volume is being broken up throughout the day, throughout the morning, throughout
1032 01:32:27 --> 01:32:32 the several hours they're pushing those orders in. You're not going to get a
1033 01:32:32 --> 01:32:37 company like I don't even want to put a person's or company name out there. It's
1034 01:32:37 --> 01:32:41 just a large conglomerate, large entity that would be trading very, very large.
1035 01:32:42 --> 01:32:45 Their entire order is not getting pushed through on one one pass through. They're
1036 01:32:45 --> 01:32:51 not just saying, Hey, you sell me, you know, $15 billion worth of Spoos. You
1037 01:32:51 --> 01:32:55 know, at the market, they're never doing it. That's never happening, okay? So
1038 01:32:55 --> 01:32:59 what they'll do is they, they know that their dealer has been given
1039 01:32:59 --> 01:33:07 instructions, okay to facilitate that request, but average cost needs to be a
1040 01:33:07 --> 01:33:12 part of it. They're not willing to have this position either accumulated or
1041 01:33:12 --> 01:33:18 distributed without at least factoring in some measure of value that they're
1042 01:33:18 --> 01:33:23 hoping to hold on to or acquire in purchasing it. So that's what's really
1043 01:33:23 --> 01:33:27 going on, that's behind the scenes. That's what's going on with these times,
1044 01:33:27 --> 01:33:32 and what the order flow is coming through, it's doing. And that's not
1045 01:33:32 --> 01:33:35 going to cause price to go up and down. It's just going to be that much more of
1046 01:33:36 --> 01:33:39 Time and Sales being booked and printed. But the price is going to go where the
1047 01:33:39 --> 01:33:43 price is going to go, and they have no control over it. You don't have any
1048 01:33:43 --> 01:33:49 control over it. And we're looking for the maximum damage. Where can it move
1049 01:33:49 --> 01:33:55 the most to hurt whoever's been making money? Okay? So I would love to keep can
1050 01:33:55 --> 01:33:59 talk. Keep on talking. I really want to. I've already went over more than I want
1051 01:33:59 --> 01:34:02 to do my time. So I'm going to close this one. Wish you all very pleasant
1052 01:34:02 --> 01:34:07 day. I will be back with you tomorrow, Lord willing, at 925, ish tomorrow,
1053 01:34:07 --> 01:34:11 we'll meet again, and I'll give you some information about macros and
1054 01:34:11 --> 01:34:13 algorithmic. Parcel Larry, until talk to you, then be safe. You.