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ICT YT - 2025-01-08 - 2025 Lecture Series - SMC Midnight Opening Range

Last modified by Drunk Monkey on 2025-01-08 09:05
1 00:00:10 --> 00:00:17 ICT: Hi folks, welcome back. This is our lecture for January 7, 2025 the topic
2 00:00:17 --> 00:00:23 tonight is going to deal with the midnight opening range. Okay? And I want
3 00:00:23 --> 00:00:26 you to know for all of you, dear students of mine, that are Forex
4 00:00:26 --> 00:00:32 fevered, it's been a long time since I've messed around with Forex, but
5 00:00:32 --> 00:00:36 usually when people think of forex, I'm probably the first person that comes to
6 00:00:36 --> 00:00:41 mind, and I've probably introduced more for that industry than anybody else
7 00:00:41 --> 00:00:46 since its inception. So I know it sounds a little narcissistic and arrogant, but
8 00:00:46 --> 00:00:51 that's just the truth. So I'm going to share with you one of my secret weapons
9 00:00:51 --> 00:00:56 tonight. Okay, it works, obviously, in forex and it works in futures. It works
10 00:00:56 --> 00:01:01 in every asset class, with the exception of crypto. I am never, ever, ever going
11 00:01:01 --> 00:01:06 to co sign for crypto. Also for the folks that keep asking about synthetic
12 00:01:07 --> 00:01:11 markets or synthetic indices, I don't have any experience with them. And just
13 00:01:11 --> 00:01:16 like the Indian markets, the nifty I have no experience with that either. So
14 00:01:16 --> 00:01:19 you'll have to go somewhere else for an opinion on whether my stuff works in
15 00:01:19 --> 00:01:23 those things, because I've never actively pursued whether or not it does
16 00:01:23 --> 00:01:29 okay. So with that said, I want you to think about all the things if you've
17 00:01:29 --> 00:01:34 been with me for a very, very long time as a student or just a curious, constant
18 00:01:34 --> 00:01:40 reader, that period of time when I was focusing on predominantly the forex
19 00:01:40 --> 00:01:46 markets. I was able to showcase a lot of things where I would run accounts up at
20 00:01:46 --> 00:01:50 breakneck speeds and trade in the London session, and do lots of wonderful things
21 00:01:50 --> 00:01:54 in the London session that just seemed to defy all logic. It had to be fake. It
22 00:01:54 --> 00:01:57 had to be a white label broker. It had to be fraud. It had to be, you know,
23 00:01:57 --> 00:02:01 some kind of trickery, delayed data, something to that effect, and I'm going
24 00:02:01 --> 00:02:08 to showcase tonight something that I've never shown anyone, because it's never
25 00:02:08 --> 00:02:13 been my interest to share some of my best kept secrets. But I'm going to do
26 00:02:13 --> 00:02:16 that tonight just to prove to you that it's not game, it's not white golf, it's
27 00:02:16 --> 00:02:20 not any of those types of things. It's my stuff. So when I coded this
28 00:02:20 --> 00:02:26 algorithm, I wanted to have advantages in being able to implement daily highs,
29 00:02:26 --> 00:02:31 daily lows, know where the lay the land is going to be, and then is a boundary
30 00:02:31 --> 00:02:36 marker for the daily range, high and low. Then I could operate in the meet in
31 00:02:36 --> 00:02:42 between, very easily. Be able to have a an opportunity to just delve into the
32 00:02:42 --> 00:02:46 plethora of opportunities and setups that would be between those boundary
33 00:02:46 --> 00:02:52 points. Now it's not imperative that you learn how to pick the daily high and the
34 00:02:52 --> 00:02:56 daily low. Okay, I have given points of reference that will help the diligent
35 00:02:56 --> 00:03:03 student get very close to it. Now, when you think about this, it seems
36 00:03:04 --> 00:03:07 impossible. How could someone know the daily high and the daily low a market
37 00:03:07 --> 00:03:12 before it even trades? But I told you, back when I was on baby pips, I was able
38 00:03:12 --> 00:03:17 to do this. And I was showcasing examples where I was doing trades,
39 00:03:17 --> 00:03:22 executing on them, and being very, very close to the high and very, very close
40 00:03:22 --> 00:03:28 to the low. How was I doing it? I wasn't willing to teach it. And in 2016 I did a
41 00:03:28 --> 00:03:34 paid mentorship. And when we got to 2017 portion of it, which is all one paid
42 00:03:34 --> 00:03:38 membership, and that's the same content that I've uploaded on my YouTube
43 00:03:38 --> 00:03:41 channel. So for people that are constantly leaving comments saying, do
44 00:03:41 --> 00:03:45 you still do paid memberships or mentorships? No, I don't. I don't need
45 00:03:45 --> 00:03:49 your money. I'm not living off of the handouts from other people. I don't need
46 00:03:49 --> 00:03:54 to do that. I don't need to do it, okay? And to prove it, I put all my content up
47 00:03:54 --> 00:03:58 on YouTube for free, and I promise you, okay, I could make millions of dollars
48 00:03:58 --> 00:04:02 every single month if I wanted to sell a mentorship okay? I would put everybody
49 00:04:02 --> 00:04:06 else out of business, and that's how it would be. I'm not interested. Okay? I
50 00:04:06 --> 00:04:10 love doing it like this is how I started, and I love being a teacher from
51 00:04:10 --> 00:04:14 the heart. So that way there's no there's no upsell, there's nothing that
52 00:04:14 --> 00:04:17 you're going to have to pay me for, and you don't even have to say thank you. I
53 00:04:17 --> 00:04:21 really don't care if you do. It's not important. But for the folks that learn
54 00:04:21 --> 00:04:24 from me, I do appreciate when you give me feedback, and there's lots of
55 00:04:24 --> 00:04:29 individuals that are doing that, and I just want you to know that it's
56 00:04:29 --> 00:04:34 appreciated as a teacher, as a fellow human being, the compassion that other
57 00:04:34 --> 00:04:38 people have shown me for the effort that I've placed out there with no
58 00:04:38 --> 00:04:44 expectation at all in terms of a monetary reward in compensation between
59 00:04:44 --> 00:04:48 you and I as a student, you're here because you want to be and nothing keeps
60 00:04:48 --> 00:04:52 you here except for your interest. So I want to talk about, obviously, the
61 00:04:52 --> 00:04:57 example of using the midnight opening range and the benefits of having that
62 00:04:57 --> 00:05:02 information within that. Stack first, and then, before I close this session
63 00:05:02 --> 00:05:08 out, I will show it to you in a forex pair. And everyone knows that, if you've
64 00:05:09 --> 00:05:15 watched me as a Forex teacher and teaching my concepts in that industry or
65 00:05:15 --> 00:05:20 asset class, everyone that knows me knows that the cable or POUND DOLLAR was
66 00:05:20 --> 00:05:24 my favorite currency pair, and, you know, true to form, just for nostalgic
67 00:05:24 --> 00:05:27 reasons, we'll go back into that same currency pair, and I'll show you how to
68 00:05:27 --> 00:05:31 implement the same thing here tonight. So that way you can go back and back
69 00:05:31 --> 00:05:34 test, you can study and get your hearts filled with all kinds of joy and
70 00:05:34 --> 00:05:37 excitement, just like on Christmas Eve, where you can't fall asleep because, you
71 00:05:37 --> 00:05:42 know, Santa's coming. So one minute chart here on the NASDAQ. Okay, I'm not
72 00:05:42 --> 00:05:46 going to counsel you the look at the video I posted prior to this one in this
73 00:05:46 --> 00:05:50 playlist. So the 2025, lecture series on my YouTube channel, the inner circle
74 00:05:50 --> 00:05:56 trader, I gave you an example last night where my son and I were working with
75 00:05:57 --> 00:06:05 this very concept here, okay, and how I could predict the low of the Midnight
76 00:06:05 --> 00:06:14 opening range and what you can use with this information going forward. How is
77 00:06:14 --> 00:06:20 it helpful to you as a trader? What information does it help you collect?
78 00:06:20 --> 00:06:25 What can you utilize with this information, for setups, stop
79 00:06:25 --> 00:06:29 management, all those types of things are crucial in and they're helpful,
80 00:06:29 --> 00:06:35 really. So without going through all of this movement here, where we use the
81 00:06:35 --> 00:06:40 city last night and used all this frame of reference, and then shorted this fair
82 00:06:40 --> 00:06:45 value gap, which was also optimal trade entry. We we short my Simon is what
83 00:06:45 --> 00:06:49 we're talking about here. That was done in his account. That was not my account.
84 00:06:49 --> 00:06:57 He sat with me in a webinar seminar, type, you know, program. What I could
85 00:06:57 --> 00:07:04 say about his chart when he's showing it to me live. It's kind of like where we
86 00:07:04 --> 00:07:09 sit and we talk like he's the his home, I'm in my home, and he's sharing his
87 00:07:09 --> 00:07:15 chart, or I'll share my chart. So when you're looking at that video last night,
88 00:07:15 --> 00:07:21 that's not my Live account. That's me talking about what it is that he should
89 00:07:21 --> 00:07:27 do, and he's given access to the cursor. So that way, when the button's being
90 00:07:27 --> 00:07:32 pushed, he's pushing the button, but it's me doing all the annotations. Okay,
91 00:07:32 --> 00:07:36 so that way you understand what was going on there last night. It was a live
92 00:07:36 --> 00:07:40 account. It's his account. He's pushing the button, but I'm annotating and
93 00:07:40 --> 00:07:43 explaining to him. So you're probably saying, Well, why can't you talk to any
94 00:07:43 --> 00:07:49 video? Well, not everything that I do with my children. You're not obligated
95 00:07:49 --> 00:07:52 to that. Okay, so in other words, you're not entitled to have everything I'm
96 00:07:52 --> 00:07:56 teaching them. But because I wanted to showcase what I'm segueing into tonight,
97 00:07:57 --> 00:08:02 I wanted to show you a real world example of you, Michael the trader,
98 00:08:03 --> 00:08:09 having the understanding about what this algorithm does. Because having this
99 00:08:09 --> 00:08:13 information is one thing, having the idea and the source code, if you will,
100 00:08:13 --> 00:08:17 of why it should be beneficial, what it could be used for, what what is it used
101 00:08:18 --> 00:08:23 to bring about, in terms of setups, What place does it hold? In power three for
102 00:08:23 --> 00:08:28 the daily range construction, all those things, okay, are building blocks. They
103 00:08:28 --> 00:08:34 they stack on one another to present what the daily range will be at the end
104 00:08:34 --> 00:08:40 of the trading session. Now, no one else out there has this information, because
105 00:08:40 --> 00:08:43 if they did, they would prove it, they would showcase it, and they would be
106 00:08:43 --> 00:08:48 able to implement things and show you before it happens. And there is no one
107 00:08:48 --> 00:08:53 walking this planet that's able to do that. Now, in the recent years of me
108 00:08:53 --> 00:08:56 teaching and talking about these types of things and giving concepts and
109 00:08:56 --> 00:09:04 conceptual ideas, that audience has grown and their affinity for the ideas
110 00:09:04 --> 00:09:08 that these markets are actually 100% scripted and controlled by an algorithm.
111 00:09:09 --> 00:09:14 It's no longer taboo, but there's still a strong opposition to the idea, and
112 00:09:14 --> 00:09:17 that's good. That means that there's always going to be liquidity. There's
113 00:09:17 --> 00:09:20 going to be people that's going to be able to be the opposite side of your
114 00:09:20 --> 00:09:25 winning trade because they are not informed. Okay, so that's a benefit to
115 00:09:25 --> 00:09:28 you. And if you're in a conversation with folks out there and they're
116 00:09:28 --> 00:09:31 arguing, saying that what I'm teaching or talking about doesn't exist, it's
117 00:09:31 --> 00:09:36 it's made up, contrived, let them believe it. Let them believe it. It's
118 00:09:36 --> 00:09:41 okay. Don't try to win every argument with these people. Okay, so I want you
119 00:09:41 --> 00:09:47 to think about how I taught the opening range in the morning session that's
120 00:09:47 --> 00:09:53 being specifically aimed around the 930 to 10 o'clock in the morning 30 minute
121 00:09:53 --> 00:09:59 interval. So that segment of time that is the algorithmic opening range. There
122 00:09:59 --> 00:10:04 is apps. Absolutely, I don't care who tells you what, there's no other opening
123 00:10:04 --> 00:10:07 range except for that 30 minute interval. Okay,
124 00:10:09 --> 00:10:13 if it's less than 30 minutes, it ain't algorithmic. It's just somebody trying
125 00:10:13 --> 00:10:19 to make up something. But the algorithm absolutely uses that first 30 minutes,
126 00:10:19 --> 00:10:26 and it does the same type of thing at midnight New York local time for the
127 00:10:26 --> 00:10:30 folks have been with our, you know, with me as the inner circle trader, and I was
128 00:10:30 --> 00:10:35 doing predominantly just Forex instruction. You all know that I taught
129 00:10:35 --> 00:10:39 a concept, and you can find it on my paid membership and mentorship lectures
130 00:10:39 --> 00:10:42 in this YouTube channel. All you have to do is look for 2016 2000 16. 2017
131 00:10:43 --> 00:10:47 playlist for the mentorship. Those are the actual lectures that you would have
132 00:10:47 --> 00:10:52 had to pay me for back then, and I've uploaded them on my YouTube channel for
133 00:10:52 --> 00:10:56 free because there's lots of people out there still sell it to people that don't
134 00:10:56 --> 00:11:00 know that it's on my YouTube channel for free. And I get emails all the time. I
135 00:11:00 --> 00:11:03 wish I would have known. I won't. I tell it all the time. Go through my content.
136 00:11:03 --> 00:11:06 You can see the playlist. Search through the playlist, and you'll see I've
137 00:11:06 --> 00:11:11 literally gifted it to the community. I don't need the money from it anymore,
138 00:11:11 --> 00:11:14 and I'm never going to do another paid mentorship. That's never going to
139 00:11:14 --> 00:11:19 happen. So why am I doing this? Because I love doing it, okay? And I promise
140 00:11:19 --> 00:11:24 you, the ad revenue isn't that great, okay, and I can make a lot more money
141 00:11:24 --> 00:11:32 trading than the ad revenue will ever pay me. So pull up your sleeves, grab a
142 00:11:32 --> 00:11:35 writing utensil and get ready, take some cool notes, because this is the
143 00:11:35 --> 00:11:39 information. These are the things I was using back when I was running up those
144 00:11:39 --> 00:11:43 accounts over millions of dollars when I was trading the Forex markets and was
145 00:11:43 --> 00:11:47 teaching and lecturing over live price action, and everyone that didn't believe
146 00:11:47 --> 00:11:53 in me had all these crazy thoughts about how I was using some kind of delayed
147 00:11:53 --> 00:11:58 data. I was using some kind of a white label broker, and I was keying in trades
148 00:11:58 --> 00:12:01 after the fact. Well, now you've seen enough of me doing it with live
149 00:12:01 --> 00:12:06 executions, with a live broker, with live broker statements. Okay, it's kind
150 00:12:06 --> 00:12:10 of hard to make that argument anymore. So what I was dealing back on baby pips
151 00:12:10 --> 00:12:15 when I was able to go in there and trade and nail the high of the day and the low
152 00:12:15 --> 00:12:20 of the day, how was I able to do that? It's this concept here that starts it
153 00:12:20 --> 00:12:25 all off. Okay, so again, we're going to first present the idea in the NASDAQ,
154 00:12:25 --> 00:12:29 and then we're going to give an example in the POUND DOLLAR for forex traders.
155 00:12:29 --> 00:12:36 Okay, so this is the midnight opening range, so the first thing you got to do
156 00:12:36 --> 00:12:42 is, obviously find electronic trading hours. So for the folks that don't know,
157 00:12:43 --> 00:12:49 I don't necessarily know what plan you have to have for trading view. So to
158 00:12:49 --> 00:12:52 avoid the idea that I'm trying to sell or getting any kind of affiliate
159 00:12:52 --> 00:12:57 marketing type thing from trading view, which they offered it to me, I declined
160 00:12:57 --> 00:13:01 it. I don't do any affiliate marketing, because that way, my opinion is 100%
161 00:13:02 --> 00:13:06 organic. It's not influenced by anyone. I'm not paid to say I like something or
162 00:13:06 --> 00:13:09 don't like something. If I say I don't like something or I like it, I like it
163 00:13:09 --> 00:13:14 or I don't like it. And this is simply that. So I don't know what plan you
164 00:13:14 --> 00:13:19 would have to pay to have trading view offer this for intraday charting when
165 00:13:19 --> 00:13:24 you're looking at index futures. This. I don't, I don't know, to be honest, I
166 00:13:24 --> 00:13:31 have the highest form of plan at trading view, so I have the pros platform, so I
167 00:13:31 --> 00:13:36 can see things that maybe your plan, or if you don't have a paid plan for
168 00:13:36 --> 00:13:40 trading view, you may not have this option, and there's nothing I can do to
169 00:13:40 --> 00:13:43 correct that for you. Okay, so just know that I'm being honest with you. I'm
170 00:13:43 --> 00:13:48 being sincere about it. I don't know personally what plan would offer this if
171 00:13:48 --> 00:13:52 it, if it requires you being a paid member of trading deal. So just bear
172 00:13:52 --> 00:13:57 that in mind. I apologize if that's offensive or if it makes you mad. I
173 00:13:57 --> 00:14:01 don't have any control for that. Okay, so you're going to be looking at it
174 00:14:01 --> 00:14:08 through electronic trading hours, okay? And by having that, you're gonna be able
175 00:14:08 --> 00:14:15 to see basically, you know, Globex hours trading that means the off session or
176 00:14:15 --> 00:14:20 non regular trading hours. When you have an electronic trading hours, what you're
177 00:14:20 --> 00:14:22 gonna do is you're gonna grab your vertical line here you're vertical line
178 00:14:22 --> 00:14:26 here, and you're going to find midnight, and you always have to make sure that
179 00:14:26 --> 00:14:30 your your chart is set to New York time. I don't care where you live
180 00:14:30 --> 00:14:35 geographically, on this spinning rock that we call Earth, you always have to
181 00:14:35 --> 00:14:40 set your charts to New York local time, because everything runs by this
182 00:14:40 --> 00:14:46 algorithm on New York local time, whatever it is in New York time, that's
183 00:14:46 --> 00:14:49 what your chart should be set, set to. So you can see everything based on
184 00:14:49 --> 00:14:53 algorithmic delivery. Anyone tells you, other than that they don't know what
185 00:14:53 --> 00:14:55 they're talking about. If they talk about algorithms and they're not
186 00:14:55 --> 00:15:00 specifically talking in Eastern or East Coast time, there could. Completely
187 00:15:00 --> 00:15:03 oblivious, and they don't have to talk about just run away from because they're
188 00:15:03 --> 00:15:08 frauds. So at midnight, we have this beginning reference point. So that's the
189 00:15:08 --> 00:15:15 beginning, and this is the end at 1230 so you find 1230 on a limited chart
190 00:15:16 --> 00:15:26 right there. See that? So now all you have to do is find where is the opening
191 00:15:26 --> 00:15:39 candle at midnight, right here, that candle the low and the high. There's
192 00:15:39 --> 00:15:46 three reference points there that are very, very crucial to me as a trader. So
193 00:15:46 --> 00:15:50 when I coded this algorithm, I wanted to have the benefit of having the
194 00:15:50 --> 00:15:55 parameters of a daily high, a daily low, and that way I can find the plethora of
195 00:15:55 --> 00:16:01 setups between those two daily range extremes. So that means I could trade
196 00:16:01 --> 00:16:05 with the idea that I know it's likely to reach to this degree of price because
197 00:16:05 --> 00:16:09 it's going to be the high of the day, and I can trade to this degree of price
198 00:16:09 --> 00:16:12 because it's going to be the low of the day. And while I'm in between both of
199 00:16:12 --> 00:16:16 those reference points, if I know what time of day it is, I know how I can
200 00:16:16 --> 00:16:21 implement the meat basically on that bone between the high and low of the
201 00:16:21 --> 00:16:26 day. So there's a plethora of setups in between those two reference points. Now
202 00:16:26 --> 00:16:30 it's not my goal to teach you how to pinpoint the daily high and low, but I'm
203 00:16:30 --> 00:16:34 going to give you some hints, like I did to my paid membership students in the
204 00:16:34 --> 00:16:38 2016 2017 mentorship where I was teaching them daily high and daily low.
205 00:16:38 --> 00:16:44 Now there's a lot of things that go into that. And again, I'm not going to just
206 00:16:44 --> 00:16:52 simply divulge that, because that is such a degree of there's no competition.
207 00:16:52 --> 00:16:57 When you have that, there really is no competition to it. But you don't need to
208 00:16:57 --> 00:17:03 know the very high or low of the day, but you can anticipate a rough idea
209 00:17:03 --> 00:17:07 where that might be a couple times a week with what I've already taught my
210 00:17:07 --> 00:17:10 YouTube channel, and I'm gonna give you some more information here. So it kind
211 00:17:10 --> 00:17:14 of like, will help you. If you have all my old videos from Baby pips days, you
212 00:17:14 --> 00:17:18 can go back and use this idea here and back test and see exactly what I was
213 00:17:18 --> 00:17:24 doing. And it was just like, I'm showing you here tonight. Okay, so what three
214 00:17:24 --> 00:17:30 reference points are we looking at? Well, the first thing is the opening
215 00:17:30 --> 00:17:34 price at midnight on this candlestick right there. I'm going to plot that like
216 00:17:34 --> 00:17:41 that and widen this up a little bit so you see that range a little bit better.
217 00:17:43 --> 00:17:47 And I have to be careful, because if I'm not, this could be very easily another
218 00:17:47 --> 00:17:50 hour long video. And I don't want to make a long, long video, because I know
219 00:17:50 --> 00:17:56 the attention span of new students isn't that long, and unfortunately, they
220 00:17:56 --> 00:18:01 sometimes lose interest, and they don't ever really get the chance to appreciate
221 00:18:01 --> 00:18:11 what's being shared. So we have this level here, and I'm going to second that
222 00:18:11 --> 00:18:18 up. You don't see if I have this little recording thing, it's always in my way.
223 00:18:19 --> 00:18:27 And then we're going to clone that, and we'll plot that right there on the low.
224 00:18:28 --> 00:18:33 Okay, so now what I have here, and I'll make this a little bit thicker as well
225 00:18:33 --> 00:18:43 and make it black. There you go. And I'll change that to a adapt. Dashed
226 00:18:43 --> 00:18:49 line. Okay, so that's the midnight opening price for power three. Power
227 00:18:49 --> 00:18:56 three is your daily range candlestick formation. This high is the midnight
228 00:18:56 --> 00:19:02 opening range. High and this is the low of the Midnight opening range. Okay, so
229 00:19:04 --> 00:19:10 this information, once you have it, it provides a great deal of insight. Okay,
230 00:19:10 --> 00:19:14 and if you look at what I was doing in the trade last night with my son, Caleb,
231 00:19:15 --> 00:19:19 all of this move here, I anticipated that, and was showing you where it would
232 00:19:19 --> 00:19:23 draw down to. And it's really based on simple liquidity.
233 00:19:28 --> 00:19:36 This low right here, right in here, this inefficiency. This is a buy side of
234 00:19:36 --> 00:19:40 balance, sell sign in efficiency. And then we have the liquidity resting below
235 00:19:40 --> 00:19:43 here. So these are all draws in liquidity. And I was mainly using this
236 00:19:43 --> 00:19:51 frame of reference there. So if we go back over here, once we have this
237 00:19:51 --> 00:19:56 information, and now I'm going to take these lines that are vertical off. Okay,
238 00:19:56 --> 00:20:00 so you don't no longer need them. But now you know what. Looks like, and how
239 00:20:00 --> 00:20:09 to frame it yourself in this drop here, from the high down to the low of the
240 00:20:09 --> 00:20:17 Midnight opening range, I want to look for inefficiencies, order blocks,
241 00:20:17 --> 00:20:23 breakers, any PD array that I've taught in month four content of my paid
242 00:20:23 --> 00:20:27 membership and mentorship lectures. The way you look for that on the YouTube
243 00:20:27 --> 00:20:34 channel is go into 2016 ICT private mentorship playlist and look for month
244 00:20:34 --> 00:20:41 four. And I'll go through in that number of videos. I go through my PD arrays,
245 00:20:41 --> 00:20:44 the first introduction of going through them. Not all of my PD arrays are taught
246 00:20:44 --> 00:20:51 in that playlist, but the majority of them are introduced there. Not all 81 of
247 00:20:51 --> 00:20:56 them. So if you notice this level right here, the single candle right there,
248 00:20:57 --> 00:21:11 that is your first reference point where the largest degree of displacement takes
249 00:21:11 --> 00:21:18 place. Notice that. Now, sure, we had a city over here, but this one right here,
250 00:21:18 --> 00:21:24 much more pronounced. Okay, much, much more prominent. It really jumps off the
251 00:21:24 --> 00:21:30 chart. So by having this and measuring that inefficiency, we can now have a
252 00:21:30 --> 00:21:36 graded inefficiency that can be utilized. Grab the wrong thing. We can
253 00:21:36 --> 00:21:42 use this information and go forward by having a and real quick last night, I
254 00:21:42 --> 00:21:47 taught you that see how this closing price is below the next candles opening
255 00:21:47 --> 00:21:53 price. Here you see that. So this candlesticks close the bottom end of the
256 00:21:53 --> 00:21:57 body, basically that is lower in value than the opening price of that
257 00:21:57 --> 00:22:01 candlestick. So that's why I'm putting that shaded box on the wick of this
258 00:22:01 --> 00:22:08 candle and not this close, okay? And the same thing over here, this candle sticks
259 00:22:08 --> 00:22:13 close is lower than this candle sticks open. So there's no volume imbalance, is
260 00:22:13 --> 00:22:16 what I'm basically getting at. If there's a volume imbalance, you have to
261 00:22:16 --> 00:22:21 make sure that you encapsulate the city or buy side imbalance outside efficiency
262 00:22:21 --> 00:22:26 busy, which will be the opposite of this. This is a city, one single candle
263 00:22:26 --> 00:22:32 that's bordered by previous candle that doesn't share the same range and a
264 00:22:32 --> 00:22:36 subsequent candle that doesn't share the same range of this. One single pass
265 00:22:36 --> 00:22:42 through on here. Okay, so now we have this extended through, and now this
266 00:22:42 --> 00:22:48 displacement, the algorithm will refer back to that it'll go right back into
267 00:22:48 --> 00:22:53 that range. And how will it use it? Well, we have gradient levels here, the
268 00:22:53 --> 00:22:58 lower quadrant consequent encroachment, which is the midpoint of the range high
269 00:22:58 --> 00:23:01 and low, that creates this single cell side and balance by side inefficiency
270 00:23:01 --> 00:23:05 and the upper quadrant level here, and then obviously the high and the low
271 00:23:05 --> 00:23:13 respective of this inefficiency. Now, by having this information, we can go
272 00:23:13 --> 00:23:23 forward and use things like fibs that give you mathematically derived
273 00:23:24 --> 00:23:30 projections to where the daily highs and the daily lows will form. Now that
274 00:23:30 --> 00:23:35 sounds crazy, right? Like there's no way. Come on. ICT, we can't do things
275 00:23:35 --> 00:23:40 like that. Well, you can't, but I can. So if you take the high here of that
276 00:23:40 --> 00:23:46 opening range at midnight, and we plot that like that. You see that now I'm
277 00:23:46 --> 00:23:50 going to go into the settings, as you can see again. Here is my Fibonacci
278 00:23:50 --> 00:24:00 settings. And if we add things like negative point five, negative one,
279 00:24:01 --> 00:24:06 things of that nature, we can get projections that will take us above
280 00:24:06 --> 00:24:13 these relative equal highs. How high can it go? How high can it go if it's going
281 00:24:13 --> 00:24:18 to sweep above this level here, and how low can it go when it starts to break
282 00:24:18 --> 00:24:25 lower? Should it do so well if we scrunch this thing up here a little bit
283 00:24:25 --> 00:24:42 and we apply the FIB both directions, so here's negative 0.5 and then negative
284 00:24:42 --> 00:24:50 one. And then we have the standard deviations that are projected lower down
285 00:24:50 --> 00:24:50 here. And
286 00:24:56 --> 00:25:00 then we have things that we can project going forward. So we have some relative
287 00:25:00 --> 00:25:07 equal highs up here. So it's Buy, Sell liquidity, and we can anticipate price
288 00:25:07 --> 00:25:14 running up into these levels here, and then we have standard deviation negative
289 00:25:14 --> 00:25:19 one. Now, what is that measuring like? What is it that you're actually getting
290 00:25:19 --> 00:25:25 from that you're getting the range low of the Midnight opening range at 30
291 00:25:25 --> 00:25:30 minute interval between midnight and 1230 Eastern time. If the market trades
292 00:25:30 --> 00:25:38 above it, then it can go one half of one standard deviation or one standard
293 00:25:38 --> 00:25:42 deviation. So in other words, the actual range, from the high to low, at range
294 00:25:42 --> 00:25:47 added to the high, that's all it is. So think, like measured, move how hard and
295 00:25:47 --> 00:25:54 fast it goes to that degree of premium or discount is relative to an economic
296 00:25:54 --> 00:25:59 calendar event during London. Okay, so this is all helping you trade london
297 00:25:59 --> 00:26:03 session. That's, that's what it's really based around. And I'll give you some
298 00:26:03 --> 00:26:08 more details in a moment. Just bear with me. Okay, these are very, very complex
299 00:26:08 --> 00:26:14 concepts. So when I sat down and I was coding all these things to make it
300 00:26:15 --> 00:26:20 fashionable, where, knowing what it's going to do, repeating it now it's going
301 00:26:20 --> 00:26:24 to refer back the same reference points and over and over and over again. That
302 00:26:24 --> 00:26:28 is something that I can't obviously teach and showcase in a video, certainly
303 00:26:28 --> 00:26:32 not going to do it on YouTube anyway. But just to give you the nuts and bolts,
304 00:26:32 --> 00:26:41 if you will, this is a very easy brass tax approach to finding the one or two
305 00:26:41 --> 00:26:45 levels that generally, not all the time, but generally will deliver what you're
306 00:26:45 --> 00:26:51 going to be looking for, for a daily high or daily low. We have relative
307 00:26:51 --> 00:26:58 equal highs over here. You see that. So this one here is enough to do that. It
308 00:26:58 --> 00:27:03 trades up into it there, but then we have standard deviation one up here. So
309 00:27:03 --> 00:27:07 watch what happens later on in the day session. But for right now, I want you
310 00:27:07 --> 00:27:18 to look at what we have in London. Okay, we have the standard deviation based on
311 00:27:18 --> 00:27:24 this inefficiency. If we take the range from low to high, that's this low here,
312 00:27:24 --> 00:27:31 to that high, half a standard deviation, one standard deviation. If we use the
313 00:27:31 --> 00:27:37 inefficiency, we can do the same thing there, where we can take those levels,
314 00:27:37 --> 00:27:46 and now we'll plot them from low of the inefficiency, the high. Now I already
315 00:27:46 --> 00:27:54 know, okay, I already know that there are very, very critical minds watching
316 00:27:54 --> 00:27:59 this, and they're saying this is over complication. Okay, I already told you
317 00:27:59 --> 00:28:04 that it's something that it's not found in other books. No, the educators gain
318 00:28:04 --> 00:28:07 doesn't know about it. Wyckoff sure as hell didn't know anything about this.
319 00:28:07 --> 00:28:11 Larry Williams doesn't know anything about this. You know, nobody else knows
320 00:28:11 --> 00:28:15 this stuff because you're talking to the mac daddy who put it together. So this
321 00:28:15 --> 00:28:20 inefficiency here, if we use that same idea of standard deviations from that,
322 00:28:20 --> 00:28:25 we can also get very, very precise elements to how the algorithm will
323 00:28:25 --> 00:28:31 rebook and redeliver to premium and discount, even inside of that midnight
324 00:28:31 --> 00:28:35 opening range. What I mean by that? Well, this is first presented
325 00:28:36 --> 00:28:43 displacement, okay, the displacement, in and of itself, is a PV array. Remember,
326 00:28:43 --> 00:28:51 we already had a inefficiency offered here. Here. Okay, so it's not that it's,
327 00:28:51 --> 00:29:01 you know, self sign of balance in, in of itself, it's a very large one, and it's
328 00:29:01 --> 00:29:07 occurring inside of the Midnight opening range. So it jumps off the chart. It's
329 00:29:07 --> 00:29:15 the first presented displacement. Notice that. So what happens when I add these
330 00:29:15 --> 00:29:24 same levels that are here, negative one and negative 0.5 What if I add that to
331 00:29:24 --> 00:29:30 this inefficiency? On the upside? Well, you get these things like this. You get
332 00:29:31 --> 00:29:35 the 50 or half of it. That's this level here. Look what the bodies are doing.
333 00:29:35 --> 00:29:40 You see that? Look at all this close of that candle, the open of that candle,
334 00:29:41 --> 00:29:46 all this consolidation around there. Look at the bodies here, here, and it
335 00:29:46 --> 00:29:49 moves away from it. And then we have the negative one standard deviation here.
336 00:29:49 --> 00:29:53 What is it doing? Is creating this delivery of that high look at the bodies
337 00:29:53 --> 00:29:58 working around that, and all the consolidation around here, and it runs
338 00:29:58 --> 00:30:02 away from it there. Now what happens? When you use the same idea and we add it
339 00:30:02 --> 00:30:10 to the projection below this inefficiency, you start from the high
340 00:30:11 --> 00:30:19 down to the low, negative 0.5 you can see how we're working this level here,
341 00:30:19 --> 00:30:24 and then finally, at negative one standard deviation, we see it here,
342 00:30:24 --> 00:30:33 here, here, and then rallies and starts working inside of that displacement in
343 00:30:33 --> 00:30:37 and of itself. So we can see there's boundaries that can be created with
344 00:30:37 --> 00:30:41 this. So the markets are absolutely not random. And you're going to try to argue
345 00:30:41 --> 00:30:45 with me and tell me that, you know, all the buyers came to the conclusion that
346 00:30:45 --> 00:30:47 this is a good time to buy, and sellers said, No, we're not interested in
347 00:30:47 --> 00:30:50 selling anything lower than that. So therefore the market stopped, turned on
348 00:30:50 --> 00:30:53 a diamond, reverse, right, wrong. Same thing here. The market's just going to
349 00:30:53 --> 00:30:56 randomly go down to that level here, stop, turn around and go higher, simply
350 00:30:56 --> 00:31:00 because sellers are no longer interested in going short and or buyers overtook
351 00:31:00 --> 00:31:04 the buying or the selling of short sellers. That's not how the markets
352 00:31:04 --> 00:31:07 work, folks, okay? And for the folks that are leaving comments and saying,
353 00:31:07 --> 00:31:11 you don't even know how the markets do auction, you don't know auction theory.
354 00:31:11 --> 00:31:14 You don't know algorithm, price delivery. That's the problem here.
355 00:31:14 --> 00:31:17 There's a break in communication here, because you don't know the language of
356 00:31:17 --> 00:31:21 the marketplace. You can read all the books and listen to all these people
357 00:31:21 --> 00:31:23 talk about how they used to work on the floor. The floor, and they knew this,
358 00:31:23 --> 00:31:28 and they knew that these same people are in my mentorship. Okay, so come on,
359 00:31:28 --> 00:31:33 please, when you look at the degree of precision, okay, and find it anywhere
360 00:31:33 --> 00:31:36 else. You're not seeing it anywhere else. Floor pivot numbers ain't gonna
361 00:31:36 --> 00:31:40 deliver this level of precision. Okay, it's not there, folks. So blind man,
362 00:31:40 --> 00:31:45 ain't going to do it either. But now watch what happens when we trade outside
363 00:31:45 --> 00:31:51 the band of this range. Notice we're probing below it here, but it's only
364 00:31:51 --> 00:31:56 going one standard deviation of this inefficiency with that low right there.
365 00:31:56 --> 00:32:02 Remember, go back to it and look, look, see. Look at it. It's controlled. It's
366 00:32:02 --> 00:32:06 only allowing one standard deviation outside of this when it went lower. I'm
367 00:32:06 --> 00:32:09 not interested in seeing it go below that low, because I don't think it's
368 00:32:09 --> 00:32:14 going to do it. Why? Why was I interested in only getting out when it
369 00:32:14 --> 00:32:20 went down here? Why was I? Why was I doing that? Because this inefficiency
370 00:32:20 --> 00:32:25 told me that this one stand deviation down here is about as far as it'll go
371 00:32:25 --> 00:32:31 once it trades to my target three look at the video from last night. Okay, so
372 00:32:33 --> 00:32:37 once we get back inside of this inefficiency that's in purple, then I
373 00:32:37 --> 00:32:41 can start looking at the quadrants, the consequent encouragement and the high
374 00:32:41 --> 00:32:44 and the low, the actual inefficiency. So you can see the low, the inefficiency
375 00:32:44 --> 00:32:49 here, again, that's this candle sticks high. It's supporting it here, rallies
376 00:32:49 --> 00:32:53 up to upper quadrant, trades back down. It trades just outside of it here, but
377 00:32:53 --> 00:32:57 it goes right back into the middle and starts consolidating around the
378 00:32:57 --> 00:33:01 consequent encroachment, or the midpoint of that purple area. Then the market
379 00:33:01 --> 00:33:06 trades one more time lower, and now it's allowing price to go outside the range
380 00:33:06 --> 00:33:13 of this inefficiency, because it's in it's enticing, it's luring traders to go
381 00:33:13 --> 00:33:20 short, and it's probing for liquidity below This low. And anything that's
382 00:33:20 --> 00:33:24 around here, they'll probe that and try to see if they can get that. But they
383 00:33:24 --> 00:33:28 got a short term low here. They work below that and then rally back up inside
384 00:33:28 --> 00:33:32 of that purple shaded area, which is the first displacement in the midnight
385 00:33:32 --> 00:33:38 opening range. The market rallies back up trades to the high the opening range
386 00:33:39 --> 00:33:42 at midnight here, then back down the consequent encroachment, consequent
387 00:33:42 --> 00:33:46 encroachment. That's the red level, which is essentially just half of the
388 00:33:46 --> 00:33:50 purple shaded area, which is this inefficiency. Now think about these are
389 00:33:50 --> 00:33:54 all rule based ideas. Okay, it's not contrived. It's not conjecture. It's not
390 00:33:54 --> 00:33:58 just pulling things out of randomness. These are things that I want you to go
391 00:33:58 --> 00:34:03 back and look at your own charts. Okay, just watching this video and being
392 00:34:03 --> 00:34:06 frustrated, saying there's no ways it's too complicated. I don't know what to do
393 00:34:06 --> 00:34:09 with this. The information that you're going to glean by going back over old
394 00:34:09 --> 00:34:14 data, old price moves, is going to be astronomical, like it's going to get
395 00:34:14 --> 00:34:17 your gears turning, and you're going to be looking for these types of things and
396 00:34:17 --> 00:34:21 how it's influential going forward. So we get to the lower that inefficiency
397 00:34:21 --> 00:34:28 again. Here. What time of day is that? It's 241 that's London Open. You want to
398 00:34:28 --> 00:34:31 be trading the london session? I said to you, can you please do a London session?
399 00:34:31 --> 00:34:36 Can you talk about the london session? I'm doing it. I'm doing it. It's right
400 00:34:36 --> 00:34:41 here. This is the stuff I was doing with pound, dollar, euro, dollar, and I was
401 00:34:41 --> 00:34:45 smoking the forex market. I was smoking everybody else out there in their bull
402 00:34:45 --> 00:34:49 crap that they believed that causes markets go up and down, because this
403 00:34:49 --> 00:34:54 stuff works in forex too. Think about it, folks. You're
404 00:34:54 --> 00:35:00 getting to see what really is going on behind the facade of just. Is technical
405 00:35:00 --> 00:35:07 analysis. The source code is being revealed right here, right here. You
406 00:35:07 --> 00:35:12 can't escape it. It's right in front of you. It's been hidden from you all this
407 00:35:12 --> 00:35:17 time because you're not looking for the things that reveal it, because its
408 00:35:17 --> 00:35:22 author never talked about it. So we're looking at this rallying higher. We took
409 00:35:22 --> 00:35:27 this period of short term highs here, that buy side was taken here. And then
410 00:35:27 --> 00:35:31 where does it go? Right back down into that first displacement in the opening
411 00:35:31 --> 00:35:36 range at midnight creates a short term low. It trades below it again and goes
412 00:35:36 --> 00:35:40 right to the lower quadrant. Look at that. You can't get any planer than
413 00:35:40 --> 00:35:44 precision. Look at that. Look at the low. Okay, look up. Look up here. Look
414 00:35:44 --> 00:35:50 at this value, right here. Okay, keep your eye on that right there. Okay, see
415 00:35:50 --> 00:35:55 that low, right there. What's that low? 21,705.50
416 00:36:01 --> 00:36:06 now watch, watch, ready. We're gonna take our time travel way back here at
417 00:36:06 --> 00:36:10 this random candlestick that was just picked out of the thin air. Right?
418 00:36:10 --> 00:36:20 What's the value of the lower quadrant? 21,705.50, folks, Gen Wyckoff, all these
419 00:36:20 --> 00:36:24 jokers from the old days, okay, that looked at charts, and they pointed to
420 00:36:24 --> 00:36:27 things, and they said, This is what makes the markets go up and down, and
421 00:36:27 --> 00:36:30 they only explain things. In hindsight, I'm giving you things that's going to
422 00:36:30 --> 00:36:33 predict the future, and it's going to continuously predict the future, and I
423 00:36:33 --> 00:36:37 don't want you to take my word for it. I want you to go back to your charts and
424 00:36:37 --> 00:36:42 look for these signatures, because I put them there for you to see all the time.
425 00:36:44 --> 00:36:57 Fine emphasis on time stops right there, because of selling pressure was abated,
426 00:36:57 --> 00:37:02 and now buying pressure came in someone it's not, it's not, was not what's going
427 00:37:02 --> 00:37:05 on, but it's a wonderful fairy tale. So the market does what? What is it going
428 00:37:05 --> 00:37:17 to do here? What's it going to do? Delivers on 330 macro in london session.
429 00:37:17 --> 00:37:24 Go back through my Forex lectures, I tell you very specifically, at 330
430 00:37:25 --> 00:37:30 that's your sweet spot. Don't take my word for it. Do not take my word for it
431 00:37:30 --> 00:37:34 here. Don't just say, well, ICT said it in this video on January 7, 2025 No, no,
432 00:37:34 --> 00:37:43 no, no, no. Go back through my lectures in the 2016 2017 and listen to what I'm
433 00:37:43 --> 00:37:49 talking about. Listen to the old lectures that I did on Twitter in
434 00:37:49 --> 00:37:53 Twitter spaces two years ago. I talked about first presented fair value gap,
435 00:37:53 --> 00:38:01 just casually mentioning it, the astute trader, the apt pupils heard me say it,
436 00:38:01 --> 00:38:04 and he took notes, and he said, What's he talking about me going to and they
437 00:38:04 --> 00:38:10 all said, boom, they could see it. I dropped the breadcrumbs for many years.
438 00:38:11 --> 00:38:15 But if the person that's sitting around and watching my video or listening to me
439 00:38:15 --> 00:38:21 lecture, and they get drowned by the depth in the word salad that you think
440 00:38:21 --> 00:38:25 I'm putting out here. I'm not talking to hear my voice. I'm talking to teach you.
441 00:38:26 --> 00:38:30 But I'm also teaching in a way where only those individuals that really want
442 00:38:30 --> 00:38:34 it and deserve because of their work ethic, they're going to get it. I'm not
443 00:38:34 --> 00:38:40 interested in creating 123, copy me. Here's your plan, and there it is. Go,
444 00:38:40 --> 00:38:43 run and make money, make books, sell courses and be a mentor and sell
445 00:38:43 --> 00:38:46 mentorships for $1,000 to get in and never have to prove that you're a
446 00:38:46 --> 00:38:52 trader. Now, come on, I'm not putting people in business like that. So at 330
447 00:38:53 --> 00:38:58 the market starts to run away from lower quadrant of the first was first
448 00:38:58 --> 00:39:02 displacement in the midnight opening range, the market rallies aggressively
449 00:39:02 --> 00:39:08 up to some random projected level, negative 0.5 and then creates a
450 00:39:09 --> 00:39:13 retracement, makes a higher high, fails to take out the high, and then we trade
451 00:39:13 --> 00:39:19 back down into the first displacement again, stops dead end at The high at
452 00:39:19 --> 00:39:25 five o'clock now, London session is done. Okay? What's going to take place
453 00:39:25 --> 00:39:31 now we focus on the day session. Now what we'll do is, we'll, we'll scrub
454 00:39:31 --> 00:39:41 over to and jump right into the 930 session here, and notice how we traded
455 00:39:41 --> 00:39:49 up in the electronic trading hours right ahead of the New York opening bell at
456 00:39:49 --> 00:39:55 930 see how the price trades up here. Look at this. That's that negative one
457 00:39:55 --> 00:40:00 standard deviation on the midnight opening range. See how that deliver. At
458 00:40:00 --> 00:40:05 that, and then you have this nice turtle soup rally up, and then breaks down. You
459 00:40:05 --> 00:40:14 see that? See that right there. Now, inside of this area here, okay, I want
460 00:40:14 --> 00:40:17 to refer back to a reference point that's found in regular trading hours.
461 00:40:17 --> 00:40:22 So if we go into regular trading hours, and I don't know. Again, if you have the
462 00:40:22 --> 00:40:26 plan with trading view that allows you to see this, I'm not selling for them.
463 00:40:26 --> 00:40:29 They offer me affiliate program. I denied and declined it. I'm not
464 00:40:29 --> 00:40:32 interested in doing any affiliate because I want, again, my opinion about
465 00:40:32 --> 00:40:36 things to be organic, and I'm not for sale, and you can't hire me. And if I
466 00:40:36 --> 00:40:39 don't like your product, I'm going to say I don't like it. If I like your
467 00:40:39 --> 00:40:43 product, I'm going to say I like it. I'm not asking for any kickbacks. Okay, so
468 00:40:43 --> 00:40:48 we're gonna go to register trading hours real quick. And I want you to look at
469 00:40:48 --> 00:40:57 this little area right here. You see that? So right here, that's the opening
470 00:40:58 --> 00:41:01 price here, and the difference between where we settled previous day at
471 00:41:01 --> 00:41:07 registrating hours. See that, boom, boom, those two reference points there.
472 00:41:08 --> 00:41:15 So now watch if I highlight that volume imbalance, because that's what this is,
473 00:41:15 --> 00:41:22 and I'm going to highlight that with this shaded color. Okay? Now, because I
474 00:41:22 --> 00:41:26 have this here, I can go back to electronic trading hours. I know this
475 00:41:26 --> 00:41:31 is, this is so complicated. ICT, this is hard, right? And that's why you, you
476 00:41:31 --> 00:41:37 don't see anybody able to do the same things you see me do. He's such a
477 00:41:37 --> 00:41:42 narcissist. Now, it's, I'm just telling you the truth, having this revenue
478 00:41:42 --> 00:41:48 trading hours, reference point, volume of balance and extending it forward. And
479 00:41:48 --> 00:41:54 we're going into the 930 opening here. The market takes a dive. Trades. Look
480 00:41:54 --> 00:42:00 where the bodies are. You see that that's that midnight opening range. See
481 00:42:00 --> 00:42:05 how it's did that. See how it's respecting that. Gann had nothing to do
482 00:42:05 --> 00:42:08 with that. Wyckoff has nothing to do with it. Her cycles has nothing to do
483 00:42:08 --> 00:42:11 with that. Sam Simon, supplying a man had nothing to do with that. Volume
484 00:42:11 --> 00:42:15 profile had nothing to do with that. B wob had nothing to do with that. Nothing
485 00:42:15 --> 00:42:20 to do with that. And the market does what it rallies right back up into that
486 00:42:20 --> 00:42:28 same area. Look with the body, stop in my volume and bounds in my source code,
487 00:42:28 --> 00:42:34 my reference point that I say you can go no further, you stop right here. And the
488 00:42:34 --> 00:42:39 market breaks down once more. And it does something that I've taught in 2024
489 00:42:41 --> 00:42:48 and mentioned in audio, in Twitter spaces in the summer of 2022 in version
490 00:42:48 --> 00:42:54 fair value gaps. Well, let's add that real quick. So the market's doing this.
491 00:42:54 --> 00:42:58 It's going from here. And see, look at that volume imbalance. See the
492 00:42:58 --> 00:43:05 difference between this candlesticks close and this candle sticks open, that
493 00:43:05 --> 00:43:09 green candle here, there's a small little portion of price action right in
494 00:43:09 --> 00:43:17 there. And let's take away this extent, right? We don't need that for here. And
495 00:43:17 --> 00:43:23 if we look at that, that volume imbalance rate there. We have to use
496 00:43:23 --> 00:43:27 that when we're referencing buy side and sell side imbalances. So this
497 00:43:27 --> 00:43:31 inefficiency on the upside, normally we would expect it to trade back down,
498 00:43:31 --> 00:43:34 because anyone that's watched my work, they'll say, oh, it's one of those fair
499 00:43:34 --> 00:43:38 value gaps. It's simple. You just go in and you buy that. Wrong, wrong, wrong,
500 00:43:38 --> 00:43:44 wrong. The idea is we already made a run and created the high, and then it bumped
501 00:43:44 --> 00:43:51 it here at 930 the high today is getting rated. Then it grades lower. Everybody
502 00:43:51 --> 00:43:55 wants a dog pile on and go short. And then they send it right back up to that
503 00:43:55 --> 00:44:01 imbalance, that volume of balance. And then we have this move lower. And this
504 00:44:01 --> 00:44:05 is an inversion fair value gap, so once we trade through it, coming right back
505 00:44:05 --> 00:44:10 up into the bottom of it. Look at the bodies. Is the bodies respecting the
506 00:44:10 --> 00:44:16 halfway point? Yes, you want proof. Let's do it. Here's the midline. Look at
507 00:44:16 --> 00:44:25 the bodies stopping dead in its tracks. Boom. Lower. She goes lower. Okay, and
508 00:44:25 --> 00:44:31 let's aim for 640 21,006, 40, and then we'll be content with something like
509 00:44:31 --> 00:44:35 that. So we can go in here and do something like, I don't know, maybe
510 00:44:35 --> 00:44:44 share some executions. And there we go, boom, and broken fair value gap and
511 00:44:45 --> 00:44:49 taking profit, selling short two more, and then doing another quick recovery in
512 00:44:49 --> 00:44:56 there. So we're seeing that we have no real interest. I'm sorry I said we went
513 00:44:56 --> 00:45:06 short there. Me adding going long. So. Covered. Went long, went long, and then
514 00:45:06 --> 00:45:11 sold the two contracts there. So I did two things there. I went short, and see
515 00:45:11 --> 00:45:21 it there. Short, buying it back, and then going long, and going long. You can
516 00:45:21 --> 00:45:26 see it right behind that right here, going along there and going along there,
517 00:45:26 --> 00:45:33 and then feeling out of it right there. Because I wasn't content with holding I
518 00:45:33 --> 00:45:37 wanted to see it come back up and bump into this, and then I was gonna reverse
519 00:45:37 --> 00:45:40 and then add more, going short. But I didn't like what it was dealing so it is
520 00:45:40 --> 00:45:47 what it is. So all in all, that was how I engaged today. I really wasn't going
521 00:45:47 --> 00:45:51 to do anything this morning, but I figured, well, you know, this is pretty,
522 00:45:51 --> 00:45:54 pretty easy. Let me just get in, get involved with it. But
523 00:45:55 --> 00:45:59 in here, once we traded down into consequent crochet of the Midnight
524 00:46:01 --> 00:46:05 opening range. It's a 30 minute interval between midnight and 1230, Eastern Time.
525 00:46:06 --> 00:46:11 We went to consequent encroachment period, back up to the high, low, Quick
526 00:46:11 --> 00:46:17 Price. It's touching What's this dash line? Remember that that's midnight
527 00:46:17 --> 00:46:26 opening price, hour three. So we can say that right here. That's the high the
528 00:46:26 --> 00:46:31 day. This candlestick, the open is here, and one more time they pass back up into
529 00:46:32 --> 00:46:38 a premium. We break lower inversion, fair value gap. Michael gets short rise
530 00:46:38 --> 00:46:43 all the way down, slices through the midnight opening range, and look what it
531 00:46:43 --> 00:46:48 does. It leaves it aggressively. It's no longer interested in coming back to test
532 00:46:48 --> 00:46:52 it as a resistance or premium array. That's what it's indicating. The
533 00:46:52 --> 00:47:00 market's extremely heavy. So look for lower prices. So we can see the market
534 00:47:00 --> 00:47:07 does, in fact, offer my 21,006 40, and it pushed down aggressively and with
535 00:47:07 --> 00:47:17 slippage, 21,006 30. And then I did some reversal trading in here to try to scalp
536 00:47:17 --> 00:47:22 a little bit, and was able to finesse a couple little points in there, but then
537 00:47:22 --> 00:47:26 buried that idea quickly, because we couldn't even get up to this level here
538 00:47:26 --> 00:47:32 where I wanted to go short and hold on to it for the rapid trading hours gap
539 00:47:33 --> 00:47:38 that was afforded, you know, traders that were looking beyond just simply
540 00:47:38 --> 00:47:45 yesterday's Opening range gap. So I told you I would look at things with the
541 00:47:45 --> 00:47:50 forex market. So let's take a look at the Forex payer and forex.com That was
542 00:47:50 --> 00:47:56 always the broker data feed I used when I was teaching Forex. And here's POUND
543 00:47:56 --> 00:48:02 DOLLAR or cable as it's usually referred to by as forex traders. All right. So
544 00:48:02 --> 00:48:05 now let's go back through real quick, because this is already a very, very
545 00:48:05 --> 00:48:09 long video, and this is not what I intended to do, but I apologize. It's
546 00:48:09 --> 00:48:13 just sometimes it's just going to be like that, right? I almost say, would
547 00:48:13 --> 00:48:18 there be days like this? This guy loves himself too much. All right, so we're
548 00:48:18 --> 00:48:27 looking at the same thing here. We're going to look at the midnight start
549 00:48:27 --> 00:48:34 here. So we have midnight candle right there on a one minute chart. Notice that
550 00:48:34 --> 00:48:40 here one minute, and then we're going to do the same thing with 1230 so that way
551 00:48:40 --> 00:48:45 it'll give us the midnight opening range. So that's that's your range,
552 00:48:45 --> 00:48:49 okay? And what you're doing is you're getting three reference points there.
553 00:48:49 --> 00:48:54 You can add the fourth one being the highest high and the lowest low and the
554 00:48:54 --> 00:49:04 opening price. But we're looking at this candlestick here, since it's a down
555 00:49:04 --> 00:49:08 close candle, that means the open of that body is your midnight opening
556 00:49:08 --> 00:49:15 price. So we're going to do this. So there's your midnight opening price for
557 00:49:15 --> 00:49:21 power three, and then we're going to look at the low in between these two
558 00:49:21 --> 00:49:26 vertical lines. What's the lowest? Low? Right here. All right. And then we'll
559 00:49:26 --> 00:49:32 make this pretty little color purple. The Color Purple. That was a great
560 00:49:32 --> 00:49:38 movie. I don't know if you guys watched that. That was one of the rule, let's
561 00:49:38 --> 00:49:42 make it real beefy. That's one of the good movies that came out during the
562 00:49:42 --> 00:49:56 80s, Whoopi Goldberg and number of other great actors were in that. All right, so
563 00:49:56 --> 00:50:06 we have our opening range. At midnight, opening price below and the high. So
564 00:50:06 --> 00:50:12 now, with this range here, what can we do? Well, we can grade it. That means we
565 00:50:12 --> 00:50:20 do our run from low to high, okay? And it'll allow us to do what we can see,
566 00:50:20 --> 00:50:25 price runs, and more specifically, inside this range, we're going to
567 00:50:25 --> 00:50:29 highlight that so that way we can project it throughout the entirety of
568 00:50:29 --> 00:50:34 the day, and we'll see how that is influential with price action. And let's
569 00:50:34 --> 00:50:42 do it purple. We'll do it like that, and then we'll extend it to the right. Okay,
570 00:50:42 --> 00:50:54 and then now, this here we can do things like run standard deviations off of
571 00:50:54 --> 00:51:01 this, where there's one standard deviation, then we can do the
572 00:51:01 --> 00:51:06 displacements, like, this is the first one here, so that's your first
573 00:51:06 --> 00:51:10 displacement, higher, leaving this consolidation here. So you can take that
574 00:51:10 --> 00:51:14 and project that into the day as well, kind of like, treat it like it's the
575 00:51:14 --> 00:51:20 first presented fair value gap. And we'll make that white simply because it
576 00:51:20 --> 00:51:26 should stand out now, okay, notice it's also encapsulating the opening price at
577 00:51:26 --> 00:51:31 midnight. See that? So there's a couple things there that are agreeing, and also
578 00:51:31 --> 00:51:37 this is consequent encroachment of this entire range at the midnight opening
579 00:51:37 --> 00:51:43 range. So there's a couple things that are converging in their Confluence in
580 00:51:43 --> 00:51:52 this little smaller range of price action. Let's scrunch this up. Okay, and
581 00:51:52 --> 00:51:53 I want you to
582 00:51:59 --> 00:52:07 you can see how we have the market reaching higher, and then it dies back
583 00:52:07 --> 00:52:14 down into negative point five here, the bodies here, and then look what it
584 00:52:14 --> 00:52:21 creates right there, relative equal lows. See that, that right there is a
585 00:52:21 --> 00:52:26 trap. They're just letting that look like it's this real good support, and
586 00:52:26 --> 00:52:31 then they rally higher up, takes us up into it looks like it's a standard
587 00:52:31 --> 00:52:38 deviation, six and a half or six. Maybe it's through six and a half and six and
588 00:52:38 --> 00:52:45 a half, and the market rolls away from that and then drops right down into, Oh,
589 00:52:45 --> 00:52:54 what's this time? What time is this? What time is that? Right there? 329 in
590 00:52:54 --> 00:53:00 forex. I taught you the sweet spot for London session is exactly 330 and that's
591 00:53:00 --> 00:53:04 when the algorithm comes in, fires off and what's it doing? Oh, it's just
592 00:53:04 --> 00:53:09 randomly trading down into that first presented fair value gap inside of the
593 00:53:09 --> 00:53:18 Midnight opening range. Oh, my goodness, Virginia, I believe this young man's got
594 00:53:18 --> 00:53:22 something here, and I don't think I've ever seen in any other person's books or
595 00:53:22 --> 00:53:32 courses or mentorships? Look at this. And then takes off, no it rallies trades
596 00:53:32 --> 00:53:37 right back down into the midnight opening range, and then sends price
597 00:53:37 --> 00:53:42 higher, and then works off of the negative point five level and the
598 00:53:42 --> 00:53:48 negative one level, and then rips through tears the face off of traders
599 00:53:48 --> 00:53:50 that are short here,
600 00:53:55 --> 00:54:03 way up here. So my question to you is, do you have a mentor that teaches you
601 00:54:03 --> 00:54:09 how to take that trade with that degree of precision. It's not using my Smart
602 00:54:09 --> 00:54:18 Money concepts. Bet you don't. I bet you they're asking for money, and you can
603 00:54:18 --> 00:54:22 never find these types of trades in the logic behind it. So why are you paying
604 00:54:22 --> 00:54:27 them? Why are you paying for those things? Huh, because you're getting it
605 00:54:27 --> 00:54:32 the real direct way, right from the horse's mouth right here. So you can see
606 00:54:32 --> 00:54:36 that there's a benefit, obviously, to having this information and knowing the
607 00:54:36 --> 00:54:42 time, Okay, listen to me, the time that the trades should form and deliver.
608 00:54:43 --> 00:54:47 That's how you don't have to trust that. I'm telling you there's an algorithm.
609 00:54:47 --> 00:54:50 All you have to do is say, okay, he's given me these reference points to keep
610 00:54:50 --> 00:54:55 looking for it. Do these things keep repeating? Yes, and they're not found in
611 00:54:55 --> 00:55:03 anything else. It's the wonderful thing. Saying I stand on that all the time, and
612 00:55:03 --> 00:55:07 many times it's people's throats that I'm standing on because they want to
613 00:55:07 --> 00:55:11 fight it. They want to argue, and they say that you can't be that guy. You
614 00:55:11 --> 00:55:16 can't know these things. And you didn't make it. You rebranded it from someone
615 00:55:16 --> 00:55:22 else, and you got $5 million direct wire from me, if you can go through anybody
616 00:55:22 --> 00:55:32 else's stuff and find this, because it's not there, 1996 codified. Oh, Michael,
617 00:55:32 --> 00:55:37 so anyway, the market trades lower, and what does it do here? Comes all the way
618 00:55:37 --> 00:55:42 back down into this area here. Look at this. Look at the bodies respecting.
619 00:55:43 --> 00:55:49 It's almost like it's been told behaved this way. And then it rips outside of
620 00:55:49 --> 00:55:53 it, which is normal. It's in introducing the idea that, okay, it's going to keep
621 00:55:53 --> 00:55:57 going lower. And then it doesn't. It comes right back into the range. Works
622 00:55:57 --> 00:56:02 the upper quadrant level. And look at the bodies. Look at that lower quadrant
623 00:56:02 --> 00:56:11 level, rips higher, comes right back to the opening range at midnight. Look at
624 00:56:11 --> 00:56:16 that. Isn't that beautiful? Isn't that beautiful? Seriously, all silliness put
625 00:56:16 --> 00:56:21 aside. Isn't that just beautiful? If it's going to come back down here and go
626 00:56:21 --> 00:56:24 higher, what's the easiest low hanging fruit objective, if you're a forex
627 00:56:24 --> 00:56:28 trader and you want to trade that at eight in the morning during the New York
628 00:56:28 --> 00:56:38 open kill zone, remember that here's my side. It's easy trade from here to
629 00:56:38 --> 00:56:48 there. Booked, done, done and dusted. There's so many setups here, so many
630 00:56:48 --> 00:56:53 things that you can build off of. But the main thing is this, are you looking
631 00:56:53 --> 00:56:58 for the moves that really like to launch and take off and rip the faces of
632 00:56:58 --> 00:57:03 traders that don't know any better? That's how I'm teaching you. That's
633 00:57:03 --> 00:57:08 exactly what I'm showing you right here. Daddy's pulled back the veil and showed
634 00:57:08 --> 00:57:16 you who's really informed, because the price is always delivered by a time
635 00:57:16 --> 00:57:22 based delivery mechanism. That is the algorithm. It's not buying and selling
636 00:57:22 --> 00:57:27 pressure. Convince me seriously. Convince me that buyers and sellers are
637 00:57:27 --> 00:57:32 using these reference points because no one else has thought about it. So where
638 00:57:32 --> 00:57:37 is it coming from? I didn't get it from anyone else. I didn't borrow the logic
639 00:57:37 --> 00:57:43 from anyone else. I didn't rebrand it. I didn't borrow the concepts from someone
640 00:57:43 --> 00:57:46 else and say, let me make a name for myself and call it something else.
641 00:57:47 --> 00:57:53 That'd be foolish. That would be foolish of anyone, especially someone like
642 00:57:53 --> 00:57:58 myself. I have a very large following. You would think out of 1.5 million
643 00:57:58 --> 00:58:01 people that are just subscribers, and I have most of the people that leave
644 00:58:01 --> 00:58:04 comments in my videos aren't even subscribed to my channel, so that tells
645 00:58:04 --> 00:58:09 you there's a whole lot more followers of the concepts and videos that I
646 00:58:09 --> 00:58:14 produce. We're in the millions, and those millions can't come forward with
647 00:58:14 --> 00:58:19 the evidence that this is somebody else's stuff. Come on, I've invited you
648 00:58:19 --> 00:58:22 to do it, and I told you I'd reward you, because I just it's a safe trade. I'm
649 00:58:23 --> 00:58:26 never going to have to put that $5 million in anybody's hands, because I
650 00:58:26 --> 00:58:34 made this, I codified this, it's mine, and it's because it's mine. I feel
651 00:58:34 --> 00:58:38 entitled to be able to share it, despite what anyone else might think about that.
652 00:58:40 --> 00:58:45 So that's why I do it. The market does, in fact trade up here and takes that buy
653 00:58:45 --> 00:58:50 side out. And we do, in fact have a one hour video, so it takes the buy side out
654 00:58:50 --> 00:58:54 here, consolidates, is all time distortion, and then we have the market
655 00:58:54 --> 00:58:58 drop down here. What's coming at 10 o'clock? Well, if you look at the
656 00:58:58 --> 00:59:04 economic calendar, we had the ISM PMI number, and we had the jolts number at
657 00:59:04 --> 00:59:07 10am Eastern Time. Then that's what we're seeing here. The market dives
658 00:59:07 --> 00:59:11 down, and then at 10 o'clock it does what it wicks through up to this Sibi
659 00:59:12 --> 00:59:18 here, which is also a breaker, high, low, higher, high. There's your breaker.
660 00:59:18 --> 00:59:23 The trade right into that hammered. It just the wick outside, because the wicks
661 00:59:23 --> 00:59:27 are allowed to do the damage, and then the market breaks aggressively lower.
662 00:59:28 --> 00:59:33 And it's almost like it was telling it way in advance, at midnight, that it
663 00:59:33 --> 00:59:37 wants to do these types of things. But I'll leave that up to you whether it
664 00:59:37 --> 00:59:40 decide there's any value in this. But this is one of the tools I used when I
665 00:59:40 --> 00:59:44 was doing Forex, and I didn't want to teach it to anybody, because it's just a
666 00:59:44 --> 00:59:50 secret weapon. It's one of the things that source code handlers, let's say it
667 00:59:50 --> 00:59:56 that way, they have that advantage, and all of your best moves are going to
668 00:59:56 --> 01:00:00 springboard off of things like this. And I have lots of these types. Of things.
669 01:00:00 --> 01:00:07 This is just one more of those 81 PD arrays that unfortunately puts me in a
670 01:00:07 --> 01:00:11 different category of technician. Puts me in a different category of
671 01:00:11 --> 01:00:18 visibility, because I don't see open, high, low and close. I see what the
672 01:00:18 --> 01:00:24 algorithm is doing. I see the reference points is going to go back to today, in
673 01:00:24 --> 01:00:31 the afternoon, tomorrow, next week, next month. That's what separates me, and
674 01:00:31 --> 01:00:36 that's what makes me inner circle trader. That's what makes me that those
675 01:00:36 --> 01:00:41 things I will never handle, those advantages to anyone else, my children
676 01:00:41 --> 01:00:45 will see them, but even in their hands with me teaching them, they're seeing
677 01:00:45 --> 01:00:55 how it's not easy. It's not easy to have what I have. It's not easy. And it's
678 01:00:55 --> 01:00:57 normal for you to see all these things and say, Man, this is really
679 01:00:57 --> 01:01:00 complicated, but here's how you should take this information and go forward
680 01:01:00 --> 01:01:04 with it. Okay, and then I'll close it. I want you to think about how we're
681 01:01:04 --> 01:01:10 finding the framework with this information, the opening range gap. We
682 01:01:10 --> 01:01:14 thought about that yesterday. Wasn't the first time I talked about it, but that's
683 01:01:14 --> 01:01:21 your first beginning point. The framework that you use around opening
684 01:01:21 --> 01:01:27 range gaps is derived by the midnight opening range. That's the 12 o'clock to
685 01:01:27 --> 01:01:33 1230 eastern time before you even wake up the trade in New York session. You
686 01:01:33 --> 01:01:37 should have at least referred back to that, that area of price action, and
687 01:01:37 --> 01:01:41 carry forward that information like you're seeing right here, every
688 01:01:41 --> 01:01:49 significant price run, I promise you. I promise you, every significant price run
689 01:01:49 --> 01:01:55 that's worth its measure in terms of significance, the move that every trader
690 01:01:55 --> 01:02:01 wants to be a part of, that's where my PDA race shine. They just they ferret
691 01:02:01 --> 01:02:07 out all those types of moves, and nobody else's concepts can ever brag that fact
692 01:02:07 --> 01:02:11 they can't do it. There's nothing close to what you're learning from me, not
693 01:02:12 --> 01:02:19 even remotely in the same vicinity. We're light years above and beyond and
694 01:02:19 --> 01:02:28 outside the reach of anyone else out there. And this is nothing still. This
695 01:02:28 --> 01:02:34 is still nothing. If this was something you would learn in grade school, I have
696 01:02:34 --> 01:02:41 things that are PhD and mastery level, and this is like first grade. That's how
697 01:02:41 --> 01:02:47 deep this goes. That's how much precision and time based, oriented price
698 01:02:47 --> 01:02:55 delivery, just like that, all scripted, all coded, all codified. It'd be one
699 01:02:55 --> 01:03:01 thing if I said it and never proved that I could use the logic, but I showed it
700 01:03:01 --> 01:03:04 to you last night. I have students all the time. Can you show me London? Can
701 01:03:04 --> 01:03:07 you do something with London? We you keep promising London? London. I just
702 01:03:07 --> 01:03:12 gave you the golden ticket to trade in the London session. You don't ever need
703 01:03:12 --> 01:03:15 to have me talk about the london session ever again with everything I've taught
704 01:03:15 --> 01:03:20 in the 2016 2017 paid premium mentorship lectures that I've uploaded to this
705 01:03:20 --> 01:03:23 YouTube channel. Go look at the playlist. You'll see it. Go through all
706 01:03:23 --> 01:03:26 that content if you want to be a forex trader, and then apply what I just
707 01:03:26 --> 01:03:34 shared with you the night here. You will be unstoppable. You will be a force to
708 01:03:34 --> 01:03:37 be reckoned with. And you're not even going to be able to accept the fact that
709 01:03:37 --> 01:03:40 you now have this visibility. It's going to be years and you're gonna be still
710 01:03:40 --> 01:03:44 looking at thinking, Man, look what I can do. Look what I can see. Look at the
711 01:03:44 --> 01:03:51 visibility right now. Imagine going almost 30 years with that information
712 01:03:51 --> 01:03:52 behind your belt,
713 01:03:54 --> 01:03:58 walking among everyone else that thinks they know what they're doing, how these
714 01:03:58 --> 01:04:03 markets book price, laughing under your breath because they are thinking these
715 01:04:03 --> 01:04:06 things go up and down based on indicators, or buying and selling
716 01:04:06 --> 01:04:12 pressure, or V wop, or all this market profile garbage, all of that stuff.
717 01:04:13 --> 01:04:17 They're all lies that make you believe that you have an advantage in something
718 01:04:17 --> 01:04:21 that's random, and they train you to believe that when you lose Well, it's
719 01:04:21 --> 01:04:29 just something you have to accept. I don't accept that you don't accept that
720 01:04:29 --> 01:04:34 you are welcome to accept that you are welcome to use flawed logic. I have at
721 01:04:34 --> 01:04:41 it. Have at it. Trust in knowing that me and my students are going to appreciate
722 01:04:41 --> 01:04:45 the fact that you are on the other side of our trades, and if that sounds
723 01:04:45 --> 01:04:51 condescending and narcissistic and arrogant, so be it. The lion never
724 01:04:52 --> 01:04:58 apologizes when it eats so hopefully you found this one insightful until I talk
725 01:04:58 --> 01:05:01 to you tomorrow. Lord willing. Know, be safe and.