1 | 00:00:06 --> 00:00:10 | ICT: Hi folks, welcome back. We are looking at the NASDAQ now. I was going |
2 | 00:00:10 --> 00:00:13 | to do two videos. I was going to make one earlier this morning, about |
3 | 00:00:13 --> 00:00:19 | yesterday, and then wait till this afternoon and do today's video. But |
4 | 00:00:19 --> 00:00:25 | like, blend them together so and I'll save you some video. Watch time. I'll |
5 | 00:00:25 --> 00:00:32 | try to be as brief as I can possibly be. You know how I am. All right? So first |
6 | 00:00:32 --> 00:00:37 | and foremost, let's take a look at yesterday. Here is Tuesday's daily |
7 | 00:00:37 --> 00:00:42 | candle. And inside this little area right there that is a volume imbalance, |
8 | 00:00:42 --> 00:00:47 | because the the wicks bridge the two bodies together, but there's no body |
9 | 00:00:47 --> 00:00:53 | laying in there still has yet to be a body laying inside that little area. So |
10 | 00:00:53 --> 00:01:02 | the market opened, traded down into that here, and also this wick, this candle |
11 | 00:01:02 --> 00:01:06 | right here. It's wick. I'm measuring that to get the consequent encroachment. |
12 | 00:01:06 --> 00:01:16 | That's what that red line is here. Okay, and one piece I forget about, I might |
13 | 00:01:16 --> 00:01:22 | talk and forget this. This wick right here, is a draw and a consequent |
14 | 00:01:22 --> 00:01:28 | encroachment is this level here. So for like, Non Farm Payroll, Thursday and |
15 | 00:01:28 --> 00:01:34 | Friday, I think that that might be a upside draw, and then, if it gets really |
16 | 00:01:34 --> 00:01:40 | animated, the high here, and then that small little volume imbalance right |
17 | 00:01:40 --> 00:01:47 | there. Okay, so that's kind of like what I'm expecting. I'm not demanding it, |
18 | 00:01:47 --> 00:01:53 | obviously, but that's what I think is probably unfolding. But I could be |
19 | 00:01:53 --> 00:01:56 | wrong. It's not our barrel, so don't they'll be taking trades based on what |
20 | 00:01:56 --> 00:02:03 | this set. Also looking back to this wick here, okay, that consequent encroachment |
21 | 00:02:03 --> 00:02:10 | there. That's that there, but now it was a premium draw on liquidity. When we |
22 | 00:02:10 --> 00:02:15 | were down here, remember that? And then now, because we went above it, this |
23 | 00:02:15 --> 00:02:27 | would actually become a discount. So like, okay, so I'll actually change that |
24 | 00:02:27 --> 00:02:33 | color. These are all things I should have done before. Dude, you could have |
25 | 00:02:33 --> 00:02:37 | did all this in five minutes. I don't know. I like dragging across the coals |
26 | 00:02:37 --> 00:02:44 | the ones that don't want to be here. So yesterday we had again the market open |
27 | 00:02:44 --> 00:02:48 | trade down that volume and balance and consequent encroachment of this scandals |
28 | 00:02:48 --> 00:02:55 | wick, that's half of the wicks length, and then it traded higher and took out |
29 | 00:02:55 --> 00:03:01 | the previous day's high and traded inside of this wick. So if we take that |
30 | 00:03:01 --> 00:03:10 | wick and we add now the 25 level and the 75 level, these are all pertinent. Those |
31 | 00:03:10 --> 00:03:17 | are all still likely targets, if not the high itself going into nonprofit Friday, |
32 | 00:03:17 --> 00:03:23 | okay, the reason why I think that's likely to occur, because it's come down |
33 | 00:03:23 --> 00:03:30 | and filled in even this gap in here. So we have a separation between these |
34 | 00:03:30 --> 00:03:35 | candles low. This candle is high, and we traded down into that today, and it's |
35 | 00:03:35 --> 00:03:41 | came off that pretty aggressively. So yesterday, started the run up, and I |
36 | 00:03:41 --> 00:03:45 | think they came down, stopped everybody out. That would be long ahead of |
37 | 00:03:45 --> 00:03:50 | Thursday and Friday, knock on payroll, and then we'll see what we get. I could |
38 | 00:03:50 --> 00:03:55 | obviously be wrong, but again, these, these are the details as to why I |
39 | 00:03:55 --> 00:03:59 | believe what I believe. So we're gonna jump right down into a one minute chart |
40 | 00:03:59 --> 00:04:01 | and cut to the chase, |
41 | 00:04:07 --> 00:04:17 | and we will look at the I wish there was a way. And those of you that know more |
42 | 00:04:17 --> 00:04:23 | about trading view than I do remember an empty for saying, Remember, because I |
43 | 00:04:23 --> 00:04:28 | don't do anything with empty for anymore, but remember when the platform |
44 | 00:04:28 --> 00:04:31 | would allow you to go back to a very specific date just by a couple |
45 | 00:04:31 --> 00:04:35 | keystrokes, boom. Thing earlier, is that possible with trading view? Because I |
46 | 00:04:35 --> 00:04:40 | don't know if it is. If it is, send me a message on x and say, Hey, ICT, this is |
47 | 00:04:40 --> 00:04:45 | what you're looking for for trading you. And I'll jump to that all right. So |
48 | 00:04:45 --> 00:04:50 | here's Tuesday in the afternoon, and I showed you all those trades and stuff. |
49 | 00:04:50 --> 00:04:56 | But the Monday review, I. |
50 | 00:05:01 --> 00:05:10 | I stated that you can go in and do this fair value Okay, remember, I had the |
51 | 00:05:10 --> 00:05:13 | higher one up here. I took that off so that we are tensions right in here. |
52 | 00:05:14 --> 00:05:20 | Notice that fair value gap is also inside that daily volume imbalance. The |
53 | 00:05:20 --> 00:05:25 | blue shaded box here again, pause the video, rewind it until we are talking |
54 | 00:05:25 --> 00:05:29 | about the daily chart, and you'll see what that blue area is here on the daily |
55 | 00:05:29 --> 00:05:36 | chart. Well, that fair value gap is inside of that, and I told you to draw |
56 | 00:05:36 --> 00:05:39 | that out. And those that did were surprised to see how it came down to hit |
57 | 00:05:39 --> 00:05:44 | that but I want you to take a look at what was also seen. |
58 | 00:05:50 --> 00:05:56 | We have relative equal highs. This is why I do the PowerPoint slides, because |
59 | 00:05:56 --> 00:05:59 | I ain't got to do all this stuff back and forth this high and this high. So |
60 | 00:05:59 --> 00:06:02 | they're relatively equal. That means there's lots of eyesight about this high |
61 | 00:06:02 --> 00:06:14 | here. They took the cell side out there, and we dropped down into classical |
62 | 00:06:14 --> 00:06:20 | encroachment of that blue shaded volume imbalance there just fell short of that |
63 | 00:06:20 --> 00:06:37 | there and then the low here. It's the short term low there, net buy side of |
64 | 00:06:37 --> 00:06:38 | balance, cell sign, efficiency. So |
65 | 00:06:45 --> 00:06:50 | now, when you look at that, look at the bodies here, respecting that fair value |
66 | 00:06:50 --> 00:06:53 | gaps. I told you that would become an inversion fair value gap, Monday's night |
67 | 00:06:53 --> 00:06:59 | review for Tuesday's trading, we trade down into that here, consequent |
68 | 00:06:59 --> 00:07:03 | encouragement of the fair value gap. And again, if you're not clear as to what |
69 | 00:07:03 --> 00:07:07 | I'm talking about here again, look at the Monday market review, and you'll see |
70 | 00:07:07 --> 00:07:13 | this has been suggested to you to draw it out. I didn't do it in my chart, but |
71 | 00:07:13 --> 00:07:18 | I told you you can do this too. And those that did it would have it on their |
72 | 00:07:18 --> 00:07:23 | chart Tuesday's trading, and it trades down into it here, hits it rallies back |
73 | 00:07:23 --> 00:07:28 | out, and then the body's supporting it here at the high we stab down to it one |
74 | 00:07:28 --> 00:07:32 | more time, and then we start to run away, and then it comes right back down |
75 | 00:07:32 --> 00:07:36 | into the daily volume and balance high see that then rallies up back into the |
76 | 00:07:36 --> 00:07:40 | new week, opening gap and clearing the Buy side multiple times, and then |
77 | 00:07:41 --> 00:07:48 | picking up south side here and here, and rise up continuing into the rest of the |
78 | 00:07:48 --> 00:07:54 | day in the afternoon trade I showed you that. I'm just gonna put the point on |
79 | 00:07:54 --> 00:08:02 | review and all that again. The new week opening gap was used later in the |
80 | 00:08:02 --> 00:08:09 | afternoon and evening during the Asian session, and then use this resistance |
81 | 00:08:09 --> 00:08:14 | here. Sold off all these things, consequent crochet. Look at that, all |
82 | 00:08:14 --> 00:08:20 | these things I mentioned during the Saturday space is it's what you're |
83 | 00:08:20 --> 00:08:24 | seeing here in the chart. It's just, it's beautiful to see it deliver as |
84 | 00:08:24 --> 00:08:30 | outlined, and it repeats over and over again. And I mentioned the the buy side |
85 | 00:08:30 --> 00:08:35 | the other day, that's this level here. And in that new week opening gap, it's, |
86 | 00:08:35 --> 00:08:42 | it's been working basically those levels back and forth. And then today, in in |
87 | 00:08:42 --> 00:08:47 | Telegram, I told everyone I posted basically this chart here. I said I was |
88 | 00:08:47 --> 00:08:51 | watching this inversion fair value gap, where it was used here, and it broke |
89 | 00:08:51 --> 00:08:54 | down once we cheated inside a new week opening gap. I'll let you watch the |
90 | 00:08:54 --> 00:08:58 | videos in the telegram channel. I'm not going to rehash that, because there's a |
91 | 00:08:58 --> 00:09:01 | lot of good information in those very short videos, if you don't remember the |
92 | 00:09:01 --> 00:09:04 | telegram channel, and then you won't learn about it's not that big video. |
93 | 00:09:04 --> 00:09:09 | It's not earth shattering, but it is something that I think is is pertinent |
94 | 00:09:09 --> 00:09:12 | to building consistency and know what you're looking for. And then we trade |
95 | 00:09:12 --> 00:09:17 | down into the 25th of April's opening range gap. We pause here, drop down into |
96 | 00:09:17 --> 00:09:24 | it. Use it as resistance here. And it finally gives, gives rather another drop |
97 | 00:09:24 --> 00:09:31 | lower. And then we have the market reaching down in short term low. And |
98 | 00:09:31 --> 00:09:39 | then here's news, and this is my Venom model. Now, if you're new, you don't |
99 | 00:09:39 --> 00:09:45 | know what a venom model is I only taught it introductory, introductory Lee. I'm |
100 | 00:09:45 --> 00:09:48 | just, I just coined that term. If it's not real, I'm not sure if it is, but if |
101 | 00:09:48 --> 00:09:53 | it isn't, you know, I got dibs on it. The way it works is, first you have to |
102 | 00:09:53 --> 00:09:58 | know what you're looking for, in this case, higher prices. Why? Because it's |
103 | 00:09:58 --> 00:10:04 | been dropped all day long. I. And here is your sell side liquidity. I have a |
104 | 00:10:04 --> 00:10:08 | video tutorial on this so you can go back and watch it. There's sell side |
105 | 00:10:08 --> 00:10:15 | here, and they drop it down through the low but they do it with a city cells on |
106 | 00:10:15 --> 00:10:19 | a balanced buy center efficiency. And they do a few candles down here, and |
107 | 00:10:19 --> 00:10:25 | then they send it ripping right back up. And that single candle going back above |
108 | 00:10:25 --> 00:10:34 | that low is a busy so we have a strong, one sided candle going down to take the |
109 | 00:10:34 --> 00:10:39 | liquidity, a couple candles left underneath that low to absorb all the |
110 | 00:10:39 --> 00:10:45 | cell stops for accumulation purposes, and they displace it higher. This is the |
111 | 00:10:45 --> 00:10:50 | two fangs that make up that model I call venom, and they're injecting the venom |
112 | 00:10:50 --> 00:10:58 | into these. Cell stops, so Fang one, Fang two. Then leads, okay, so there's, |
113 | 00:10:58 --> 00:11:03 | I don't want to kill the the joy of watching the venom video that's on my |
114 | 00:11:03 --> 00:11:07 | YouTube channel. This is not all there is to venom. There's a lot of other |
115 | 00:11:07 --> 00:11:11 | things that I'll have in a book format. Because I know some of you are already |
116 | 00:11:11 --> 00:11:15 | rushing to put something together and sell it on Amazon, and it's gonna be |
117 | 00:11:15 --> 00:11:18 | wrong if you do, I promise you, and I'll probably go into your comment section |
118 | 00:11:18 --> 00:11:22 | and leave a review and tell them don't look at your stuff because it's garbage. |
119 | 00:11:22 --> 00:11:26 | So don't let me go to that extreme, because I will. I'd like to do those |
120 | 00:11:26 --> 00:11:32 | types of stuff as a guy out there. John fibotti, he tried that show. And, yeah, |
121 | 00:11:33 --> 00:11:40 | hello, right. So I'm looking for a entry before this candles high is taken out, I |
122 | 00:11:40 --> 00:11:44 | want to be buying. And there's two ways you can do it. You can do as a buy on a |
123 | 00:11:44 --> 00:11:48 | stop so buy stop. This candle sticks high. You can buy it that way, or if |
124 | 00:11:48 --> 00:11:54 | you're trying to keep a tighter stop loss, you can be buying at this candle |
125 | 00:11:54 --> 00:11:59 | sticks open or less. Okay, so it's a power three type of entry model, so |
126 | 00:11:59 --> 00:12:07 | opening price comes in at 19,001 74 even so you can put a limit order in. As soon |
127 | 00:12:07 --> 00:12:12 | as this candlestick closes and you open a new one, the limit order goes in at |
128 | 00:12:12 --> 00:12:17 | this candlesticks opening price at 19,001 74.00 you put the limit order in |
129 | 00:12:17 --> 00:12:25 | and in this candlestick here you'll see that I got filled. You. There, and you |
130 | 00:12:25 --> 00:12:30 | can see that there. See it Look, look real close right in here, I'll try to |
131 | 00:12:30 --> 00:12:35 | zoom the video in there is that little carrot symbol that tells you where the |
132 | 00:12:35 --> 00:12:39 | actual fill is. And there's the numerical value. Now the stop loss on |
133 | 00:12:39 --> 00:12:47 | that trade is this this busy? And if you look at or I have the FIB, see the lower |
134 | 00:12:47 --> 00:12:52 | anchored point and the higher anchor point, those two reference points, and |
135 | 00:12:52 --> 00:12:55 | that's what this level is here, consequent encroachment of that stop |
136 | 00:12:55 --> 00:13:02 | loss has to be just below that. Why? Because this venom model is a valence |
137 | 00:13:02 --> 00:13:06 | price range, and it should not come back down here. If it does, it's not a venom, |
138 | 00:13:06 --> 00:13:10 | and it's probably gonna be a wrong trade, okay, I'm not gonna be profitable |
139 | 00:13:10 --> 00:13:14 | if it goes down to consequent crochet or less than so I can put a stop loss just |
140 | 00:13:14 --> 00:13:18 | below that and feel confident that it's okay. And the market daily dies around |
141 | 00:13:18 --> 00:13:22 | in here and then sends it higher. Now I was, I was watching this. I'm, I'm |
142 | 00:13:22 --> 00:13:27 | smiling to myself. I knew it's going to go up here and take that out, but I |
143 | 00:13:27 --> 00:13:31 | forgot that I was only supposed to be taking trades with 30 in the morning, 20 |
144 | 00:13:31 --> 00:13:36 | in the afternoon. So I lost sight of everything. I got punch drunk because I |
145 | 00:13:36 --> 00:13:40 | was watching a live streamer in their chat window, whatnot. So I just, I just |
146 | 00:13:40 --> 00:13:44 | collapsed the trade there and was content with that. There's no there's no |
147 | 00:13:44 --> 00:13:48 | real reason for anything except for I didn't follow what I was setting out to |
148 | 00:13:48 --> 00:13:52 | do, and I was wanting to showcase to you all here. So this is me not following |
149 | 00:13:53 --> 00:13:56 | the outline I set for all of you, but still, nonetheless, it's still fun to |
150 | 00:13:56 --> 00:14:06 | see it. And ultimately, it goes above the 90,300 and these highs in here comes |
151 | 00:14:06 --> 00:14:11 | back down in re accumulates, and all of this is occurring also around the |
152 | 00:14:11 --> 00:14:17 | opening range that low of the 25th note that. So there are several things there. |
153 | 00:14:17 --> 00:14:25 | We have a market maker, buy model, okay, and I'm buying at the low risk buy. And |
154 | 00:14:25 --> 00:14:30 | you could have done accumulation, re accumulation, and then send it up there |
155 | 00:14:30 --> 00:14:33 | like that. That would have been wonderful for a market maker, buy model, |
156 | 00:14:33 --> 00:14:38 | and then it continues, actually going higher. And you can see it rips through |
157 | 00:14:38 --> 00:14:44 | that old volume imbalance on the daily chart after using the old opening range |
158 | 00:14:44 --> 00:14:49 | gap of the 25th and watch what happens here. We trade back down into that |
159 | 00:14:49 --> 00:14:53 | opening range gap, but look at the body right there. I love seeing that. It's |
160 | 00:14:53 --> 00:14:57 | telling you that. Okay, we stopped here. The next candle should go bullish. It |
161 | 00:14:57 --> 00:15:01 | opens slightly below it and then quickly read. Exit takes the buy side. Look at |
162 | 00:15:01 --> 00:15:06 | these candles here. See how smooth they are. Where there's smooth price action. |
163 | 00:15:07 --> 00:15:13 | It becomes jagged. It rips through here. Next buy side is here. It pumps. It |
164 | 00:15:13 --> 00:15:17 | pummels that rather. And we have this consolidation in here. And they pump it |
165 | 00:15:17 --> 00:15:22 | right up into new week, opening gap for this week, lots of price action, |
166 | 00:15:22 --> 00:15:28 | delivery in here, encroachment. Look at the bodies. That's so beautiful. All |
167 | 00:15:28 --> 00:15:33 | these folks out there saying, ICT, you didn't create or invent a gap at the |
168 | 00:15:33 --> 00:15:37 | open of a week? No, I didn't. I didn't create that, but I gave you the logic on |
169 | 00:15:37 --> 00:15:41 | how you're going to trade it and use it, precision based that was never in any |
170 | 00:15:41 --> 00:15:44 | books. You're never going to see that. They'll they'll say, Oh yeah, it's going |
171 | 00:15:44 --> 00:15:48 | to fill the gap. Gaps like to be filled. It could it could be used as an entry or |
172 | 00:15:48 --> 00:15:52 | a target, wonderful. But once it goes to that gap and closes it up, everybody |
173 | 00:15:52 --> 00:15:58 | else forgets it. That's what separates me from the boys. The boys, they're all |
174 | 00:15:58 --> 00:16:02 | chasing something new, and my stuff never gets stale, at least not for 60 |
175 | 00:16:02 --> 00:16:08 | days. Okay, 20 day, look back. 40 day, look back. 60 day, look back. This is |
176 | 00:16:08 --> 00:16:11 | only a couple days ago, and it's really, really fresh. So it drops back down, |
177 | 00:16:11 --> 00:16:17 | takes out the sell side here, and gravitates right back up to the new weak |
178 | 00:16:17 --> 00:16:24 | opening gap low this run here to there, that small little scalp right there, |
179 | 00:16:24 --> 00:16:28 | that could be your role model. That could be just what you're looking for, |
180 | 00:16:28 --> 00:16:36 | your model. See this wick, okay, usually turn this into a four hour video, so I |
181 | 00:16:36 --> 00:16:39 | have to be careful. Do it. ICT do it. |
182 | 00:16:41 --> 00:16:45 | You see that right there, consequent encroachment of this wick. It's a |
183 | 00:16:45 --> 00:16:49 | discount wick. When price goes above it, if you know it's likely to draw back |
184 | 00:16:49 --> 00:16:54 | into the new week open gap. Soon as we break above it, the next candle we open, |
185 | 00:16:54 --> 00:16:57 | trade down to it there. Boom, there you go. There's your entry. And this portion |
186 | 00:16:58 --> 00:17:02 | should stay open as well a breakaway gap, and it rallies right back up into |
187 | 00:17:02 --> 00:17:05 | they take the short term buy side here and back into the new week, opening gap |
188 | 00:17:05 --> 00:17:10 | low, and now we're just hammering around. This is kind of like typical |
189 | 00:17:10 --> 00:17:17 | trash Wednesday afternoon of Non Farm Payroll Thursday. I've already told you |
190 | 00:17:17 --> 00:17:21 | what I think is likely to be a long term daily chart. Not that's not that it's |
191 | 00:17:21 --> 00:17:26 | long term, but that's my higher time frame for day trading. Our short term |
192 | 00:17:26 --> 00:17:30 | trading is the weekly chart. Swing Trading is the it's the monthly chart. |
193 | 00:17:31 --> 00:17:36 | So by having that understanding that we could potentially trade higher on the |
194 | 00:17:36 --> 00:17:41 | daily chart, Thursday and Friday going into it, I'm looking for reasons why the |
195 | 00:17:41 --> 00:17:44 | market may want to justify running to those levels, as I indicated on the |
196 | 00:17:44 --> 00:17:49 | daily chart here. It's just to me, you shouldn't be doing anything with this. |
197 | 00:17:49 --> 00:17:52 | And I know we're in the last hour trading. I don't like to trade the last |
198 | 00:17:52 --> 00:17:58 | hour trading on Non Farm Payroll, weeks, Wednesday or Thursday, Friday of Non |
199 | 00:17:58 --> 00:18:03 | Farm Payroll. Absolutely, absolutely. I love doing that, but just know that on |
200 | 00:18:03 --> 00:18:06 | your notes in your journal for Wednesday and Thursdays of non front people, |
201 | 00:18:06 --> 00:18:10 | Fridays, final hour trading, it's a big gamble. Sure, you might have a big win |
202 | 00:18:10 --> 00:18:14 | and might be thanking yourself that you didn't listen to me when I said it. But |
203 | 00:18:14 --> 00:18:19 | I'm speaking to new students, new traders. Trust me, it's better to do |
204 | 00:18:19 --> 00:18:23 | this than to go out there trying to gamble, and either it doesn't do |
205 | 00:18:23 --> 00:18:28 | anything, or it does something unexpected and hurts you. Okay, this |
206 | 00:18:28 --> 00:18:33 | week is one of those weeks where you can very easily get hurt and not fully |
207 | 00:18:33 --> 00:18:39 | understand why. So you have to dial back your level of exposure and risk. That |
208 | 00:18:39 --> 00:18:43 | means trade frequency falls off precipitously. Your leverage falls off |
209 | 00:18:43 --> 00:18:49 | precipitously. And just be content with what you can do on Monday and Tuesday, |
210 | 00:18:49 --> 00:18:55 | and maybe london session or Asia Tuesday night into Wednesday. Okay and and limit |
211 | 00:18:55 --> 00:18:59 | your trading to that as a new trader, and just watch just paper trade or tape |
212 | 00:18:59 --> 00:19:05 | read on Wednesdays, Thursdays, and certainly for her, not appropriate world |
213 | 00:19:05 --> 00:19:08 | Friday. So hopefully found this insightful. Hopefully it was helpful to |
214 | 00:19:08 --> 00:19:12 | you, and until I'll talk to you next time. Lord willing. Be safe. Bye. |