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2 |1 |00:00:01 ~-~-> 00:00:05 |ICT: Hi folks, welcome back. We're looking at storytellers.
3 |2 |00:00:06 ~-~-> 00:00:14 |This series is about how you should journal now, the benefits of building a
4 |3 |00:00:14 ~-~-> 00:00:19 |narrative, understanding bias, understanding session bias, the ideal
5 |4 |00:00:19 ~-~-> 00:00:26 |drawing liquidity or the next one thereof, that is built upon what I'm
6 |5 |00:00:26 ~-~-> 00:00:30 |showing you here. Now, at first glance, it seems like it's just reviewing
7 |6 |00:00:30 ~-~-> 00:00:35 |hindsight data and true to form, that's what you will be doing, because you
8 |7 |00:00:35 ~-~-> 00:00:39 |won't have any idea on how to trade it right? You're learning how to do it. So
9 |8 |00:00:39 ~-~-> 00:00:43 |before you can get good at trading Well, you have to learn how to read price
10 |9 |00:00:43 ~-~-> 00:00:49 |well, and then you also have to learn how to know yourself and stave off all
11 |10 |00:00:49 ~-~-> 00:00:53 |those things that are going to be problematic for you, and focusing on on
12 |11 |00:00:53 ~-~-> 00:00:59 |the things that are useful, and then back testing and journaling and Logging
13 |12 |00:00:59 ~-~-> 00:01:03 |things, very specific things. In the beginning, you're only gonna be looking
14 |13 |00:01:03 ~-~-> 00:01:09 |for one real, obvious setup per day. And the more you do this, the more you
15 |14 |00:01:09 ~-~-> 00:01:15 |journal and record yourself in your own words, ideally inside your chart. Okay,
16 |15 |00:01:15 ~-~-> 00:01:19 |so you're gonna be recording annotations, things that are salient for
17 |16 |00:01:19 ~-~-> 00:01:25 |that given session, that given market, that day, that week, that month, and you
18 |17 |00:01:25 ~-~-> 00:01:29 |want to try to give as much detail as you can and familiarize yourself with
19 |18 |00:01:29 ~-~-> 00:01:33 |certain characteristics that tend to repeat. And they're all generally time
20 |19 |00:01:33 ~-~-> 00:01:37 |based deliveries. They're they're very specific, PD array responses drawing to
21 |20 |00:01:37 ~-~-> 00:01:41 |an obvious liquidity pool above or below the marketplace based on a higher Time
22 |21 |00:01:41 ~-~-> 00:01:41 |Frame bias.
23 |22 |00:01:49 ~-~-> 00:01:54 |All right, so we're looking at June 4, 2025 I didn't do a review yesterday. I
24 |23 |00:01:54 ~-~-> 00:02:00 |meant to, but I'm busy with my son, Cameron, so I'm hard at work being dead
25 |24 |00:02:00 ~-~-> 00:02:07 |and ICT in the woodshed with him, trying to get him prepared to be able to carve
26 |25 |00:02:07 ~-~-> 00:02:16 |out his own income the daily chart here. Let's zoom in on this. I'll review
27 |26 |00:02:16 ~-~-> 00:02:20 |yesterday's trade I shared on x. By the way, I know some of you were asking for
28 |27 |00:02:20 ~-~-> 00:02:25 |it, but time didn't permit me to be able to do that last night. So daily chart
29 |28 |00:02:25 ~-~-> 00:02:32 |here. Let's go back in time, and I'll refer you to Monday's storyteller series
30 |29 |00:02:32 ~-~-> 00:02:38 |on YouTube channel down close candle, bullish order block. I mentioned how we
31 |30 |00:02:38 ~-~-> 00:02:43 |traded down into that, and I mentioned as a kind of like a foresight, looking
32 |31 |00:02:43 ~-~-> 00:02:48 |forward to now hindsight, looking forward to how we were going to use this
33 |32 |00:02:48 ~-~-> 00:02:53 |order block and then send price back up. And I said, I want to see it trade to
34 |33 |00:02:54 ~-~-> 00:02:58 |the consequent encroachment of this candles wick or halfway point. And I
35 |34 |00:02:58 ~-~-> 00:03:03 |said, just a rough eyeball it, it's basically the same as this low of this
36 |35 |00:03:03 ~-~-> 00:03:10 |Sibi. So we did, in fact, trade up into that yesterday, and then we traded up
37 |36 |00:03:10 ~-~-> 00:03:15 |into consequent encroachment of the Sibi. Okay, so the two targets I
38 |37 |00:03:15 ~-~-> 00:03:21 |mentioned in that order from Monday's analysis was delivered here today and
39 |38 |00:03:21 ~-~-> 00:03:28 |yesterday. So I want to show you this level here how we opened up yesterday
40 |39 |00:03:28 ~-~-> 00:03:33 |and traded down immediately to this candle sticks high, all right. So we
41 |40 |00:03:33 ~-~-> 00:03:41 |have Wednesday, Tuesday, Monday and then Friday. So Friday's high we traded down
42 |41 |00:03:41 ~-~-> 00:03:45 |to that on Tuesdays, trading immediately opening here, and trading right back
43 |42 |00:03:45 ~-~-> 00:03:51 |down when it does that and trades above the open. That's one of the most
44 |43 |00:03:51 ~-~-> 00:03:56 |powerful bullish scenarios you can have when you have a bias that's leaning for
45 |44 |00:03:56 ~-~-> 00:04:01 |higher prices, which is what we were looking for anyway. And I said, if we
46 |45 |00:04:01 ~-~-> 00:04:05 |get outside of this city, this would be the next one to draw to. And if we get
47 |46 |00:04:05 ~-~-> 00:04:08 |really animated and use this as an inversion fair value gap, which this one
48 |47 |00:04:08 ~-~-> 00:04:16 |can be as well this gap here, so both of these could be used, and I guess, traded
49 |48 |00:04:16 ~-~-> 00:04:21 |off of with a bullish inversion fair value gap aspect to it. If it does that
50 |49 |00:04:21 ~-~-> 00:04:26 |these relative equal highs are suspect. Okay, so I'm avoiding trying to pick a
51 |50 |00:04:26 ~-~-> 00:04:31 |top. I saw a couple people, you know, making comments on X saying that, you
52 |51 |00:04:31 ~-~-> 00:04:36 |know, my students were were selling short, or I was bearish, or something to
53 |52 |00:04:36 ~-~-> 00:04:39 |that effect. All you have to do is look at Monday's video. You'll see that I was
54 |53 |00:04:39 ~-~-> 00:04:44 |calling for where we're at right now on Monday, so it's delivered perfectly. So
55 |54 |00:04:44 ~-~-> 00:04:48 |anyway, we're going to drop down lower time frames. Just be mindful that this
56 |55 |00:04:48 ~-~-> 00:04:53 |line here is salient to Friday's high and Tuesday we open traded down to it
57 |56 |00:04:53 ~-~-> 00:04:56 |immediately, and then we've seen the two targets I mentioned on Monday deliver
58 |57 |00:04:56 ~-~-> 00:05:04 |you. Right. Here's an hourly chart. And just to for completeness sake, I
59 |58 |00:05:04 ~-~-> 00:05:09 |mentioned how this bicycle mount cell site efficiency was the low on this day
60 |59 |00:05:09 ~-~-> 00:05:13 |here. And then we rallied up, came back down, used the high of the Sibi. I'm
61 |60 |00:05:13 ~-~-> 00:05:17 |sorry, busy rather buy some amount, sell side efficiency this. We hit that and
62 |61 |00:05:17 ~-~-> 00:05:22 |then we started to rally up. And then once we went above this high, then we
63 |62 |00:05:22 ~-~-> 00:05:25 |had immediate rebalance. That's what this is. Here. Look at the bodies
64 |63 |00:05:25 ~-~-> 00:05:30 |respecting as well, and the market starts to gravitate towards what the
65 |64 |00:05:30 ~-~-> 00:05:37 |daily city low. Okay, daily city low is, again, this area here on the daily
66 |65 |00:05:37 ~-~-> 00:05:43 |chart. So this red shaded line, I'm sorry, red, shaded rectangle in the
67 |66 |00:05:43 ~-~-> 00:05:51 |midline here, that is going to be seen here. Here's the midline or consequent
68 |67 |00:05:51 ~-~-> 00:05:54 |encroachment, the high of that and the low of that. So it's the daily city low
69 |68 |00:05:54 ~-~-> 00:05:59 |and the daily city consequent encroachment, or midpoint of that shaded
70 |69 |00:05:59 ~-~-> 00:06:05 |area shows you on the daily chart, and have been showing you for weeks and
71 |70 |00:06:05 ~-~-> 00:06:12 |almost two months now. So the immediate rebalance from that point on up to the
72 |71 |00:06:12 ~-~-> 00:06:17 |low of the daily Sibi, that is the draw on liquidity. That was the thing I told
73 |72 |00:06:17 ~-~-> 00:06:21 |you to look for on Monday. And it happened. And then if we can grind out a
74 |73 |00:06:21 ~-~-> 00:06:27 |run up into the consequence, that would be it. Now, let me counsel you to recall
75 |74 |00:06:27 ~-~-> 00:06:37 |that this week is a Non Farm Payroll event week, okay, meaning that I teach
76 |75 |00:06:37 ~-~-> 00:06:42 |my students to strive to look for setups on Monday of Non Farm Payroll week. A
77 |76 |00:06:42 ~-~-> 00:06:46 |lot of people say I teach not to trade on Mondays. It's not true. If you're
78 |77 |00:06:46 ~-~-> 00:06:50 |brand new and you're a student of mine, it's not had too much experience doing
79 |78 |00:06:50 ~-~-> 00:06:54 |it. I tell everyone to avoid Mondays unless it's Non Farm Payroll week. And
80 |79 |00:06:54 ~-~-> 00:06:58 |with more experience, obviously you can trade every single day. You can read
81 |80 |00:06:58 ~-~-> 00:07:02 |price action and do whatever you want to do with your own model. But as a mentor,
82 |81 |00:07:02 ~-~-> 00:07:07 |as a teacher, I try to counsel new people with less experience. I help them
83 |82 |00:07:07 ~-~-> 00:07:13 |navigate the problematic days, because everybody thinks when they first come
84 |83 |00:07:13 ~-~-> 00:07:18 |into this is every day is a trading day, and it is for you to lose money. And I
85 |84 |00:07:18 ~-~-> 00:07:24 |try to look for the most advantageous days, times of day, days of week, months
86 |85 |00:07:24 ~-~-> 00:07:28 |of the year, that type of thing to you hopefully have all the advantages and
87 |86 |00:07:28 ~-~-> 00:07:32 |minimize, but you'll never be able to do it entirely but minimize the underlying
88 |87 |00:07:32 ~-~-> 00:07:38 |risks and or the adversities that plague everyday trading. Okay, day trading is
89 |88 |00:07:38 ~-~-> 00:07:43 |not everyday trading, and professionals don't make a mind of going out there and
90 |89 |00:07:43 ~-~-> 00:07:48 |trying to do an everyday trading event. Now, with experience, you'll be able to
91 |90 |00:07:48 ~-~-> 00:07:51 |determine if you're realistic with yourself and honest. You'll be able to
92 |91 |00:07:51 ~-~-> 00:07:56 |determine if you can trade every single day. But I think if you look for a very
93 |92 |00:07:56 ~-~-> 00:08:01 |few number of setups per week and wait for the setups to form for them, it's
94 |93 |00:08:01 ~-~-> 00:08:04 |very liberating, and that's how I'm going into this series here. I want you
95 |94 |00:08:04 ~-~-> 00:08:10 |to just look for the obvious moves each day and then build a narrative in
96 |95 |00:08:10 ~-~-> 00:08:14 |hindsight about why it did what it did in the beginning, you'll be clumsy.
97 |96 |00:08:14 ~-~-> 00:08:19 |You'll really just be waiting on my video and the commentary I give, but
98 |97 |00:08:19 ~-~-> 00:08:22 |it's meant for you to use as like training wheels on a bicycle.
99 |98 |00:08:22 ~-~-> 00:08:26 |Eventually, you want to get to the point where you do your annotation, your
100 |99 |00:08:26 ~-~-> 00:08:31 |commentary, and then watch my video and compare and contrast what you sell, what
101 |100 |00:08:31 ~-~-> 00:08:34 |you annotated in your own journal, versus what it is I'm talking about
102 |101 |00:08:34 ~-~-> 00:08:37 |without a doubt, there's going to be a lot of things I'm leaving out. As I
103 |102 |00:08:37 ~-~-> 00:08:42 |mentioned, I'm not trying to do a complete clinic on every possible PD
104 |103 |00:08:42 ~-~-> 00:08:49 |rate that was available, just the major draw or two on each individual day. So
105 |104 |00:08:49 ~-~-> 00:08:53 |anyway, we draw up into this level here, and today, for Wednesday, June 4, 2025
106 |105 |00:08:53 ~-~-> 00:08:57 |we did get to consequent encroachment. And it's funny how it just stopped,
107 |106 |00:08:57 ~-~-> 00:09:03 |right there, isn't it? It's probably random. All right. Here is the 15 minute
108 |107 |00:09:03 ~-~-> 00:09:06 |time frame. And we had this budget amount of cell sign efficiency right
109 |108 |00:09:06 ~-~-> 00:09:11 |before we get to the daily city below. It trades up into it falls short of the
110 |109 |00:09:11 ~-~-> 00:09:15 |midpoint, comes right back down. Look at the body, respecting that. And then we
111 |110 |00:09:15 ~-~-> 00:09:20 |consolidate, and we start building cell cell liquidity here. This is all time
112 |111 |00:09:20 ~-~-> 00:09:26 |distortion, which is usually what you're going to get on Wednesday morning of Non
113 |112 |00:09:26 ~-~-> 00:09:29 |Farm Payroll week. And then it becomes hit or miss, whether or not Wednesday's
114 |113 |00:09:29 ~-~-> 00:09:34 |afternoon trading or even Wednesday's morning session is worth trading at all.
115 |114 |00:09:35 ~-~-> 00:09:38 |And then same thing goes into Thursday. And then finally, on Non Farm Payroll
116 |115 |00:09:38 ~-~-> 00:09:42 |Friday at 830 tomorrow, Eastern Time, and the carnival ride on unloads on the
117 |116 |00:09:42 ~-~-> 00:09:47 |marketplace, and everybody has to reset their prop accounts or close their
118 |117 |00:09:47 ~-~-> 00:09:54 |brokerage account, right? So this morning, I was looking at this drop
119 |118 |00:09:54 ~-~-> 00:09:59 |here. I saw all these breakers forming, and I wanted to see it take out this low
120 |119 |00:09:59 ~-~-> 00:10:04 |here. And. There's going to be a smaller five minute and one minute imbalance,
121 |120 |00:10:04 ~-~-> 00:10:08 |but specifically a five minute inversion fair value gap. I use the timing and
122 |121 |00:10:09 ~-~-> 00:10:14 |entry to go short to target that sell side liquidity. Over here, I went long
123 |122 |00:10:14 ~-~-> 00:10:18 |to get to this level. Here, you saw that on x, and I'll drop down lower time
124 |123 |00:10:18 ~-~-> 00:10:22 |frame in a second. But I put the gradient levels on here, and you can see
125 |124 |00:10:22 ~-~-> 00:10:24 |how we dropped down into the upper quadrant, but fell short of the
126 |125 |00:10:25 ~-~-> 00:10:30 |consequent encroachment of this busy didn't take out that low there, either,
127 |126 |00:10:30 ~-~-> 00:10:33 |but it did use the consequent encroachment there, which is again very
128 |127 |00:10:33 ~-~-> 00:10:34 |fascinating.
129 |128 |00:10:37 ~-~-> 00:10:38 |Got down to a five minute chart.
130 |129 |00:10:40 ~-~-> 00:10:45 |Same thing that low sell side, very, very defined, and this drop here is what
131 |130 |00:10:45 ~-~-> 00:10:49 |I wanted. I didn't get a chance to get positioned. It dropped really fast. So I
132 |131 |00:10:49 ~-~-> 00:10:53 |had to use the inversion fair value gap you'll see in a moment when I highlight
133 |132 |00:10:53 ~-~-> 00:10:59 |it. But dropping down into here would be another objective. But because it's
134 |133 |00:10:59 ~-~-> 00:11:03 |Wednesday of nonprofit here all week, I was content with getting out just below
135 |134 |00:11:03 ~-~-> 00:11:06 |here. Now, up to this point, it sounds like just about everybody else that's a
136 |135 |00:11:06 ~-~-> 00:11:10 |YouTuber or someone's on social media, and they'll say, I think I took a trade
137 |136 |00:11:10 ~-~-> 00:11:13 |somewhere here. I think, I think my feel was here, instead of just simply showing
138 |137 |00:11:13 ~-~-> 00:11:17 |the executions, okay, I'm not going to sit up here and tell you I took a trade.
139 |138 |00:11:17 ~-~-> 00:11:20 |I took a trade and not show you the executions. I'm not going to I will
140 |139 |00:11:20 ~-~-> 00:11:24 |never do that. Okay? I would never do that. So let's take a look at that. Now,
141 |140 |00:11:26 ~-~-> 00:11:29 |here is the five minute chart. You can see here
142 |141 |00:11:29 ~-~-> 00:11:32 |is this order, block
143 |142 |00:11:33 ~-~-> 00:11:38 |right here. Don't close candle this one right here. And I'm entering on it there
144 |143 |00:11:39 ~-~-> 00:11:44 |and running up into the daily si below, I told you, we draw on liquidity Monday
145 |144 |00:11:44 ~-~-> 00:11:49 |night in analysis. So the next day, I do the very thing I told you I was looking
146 |145 |00:11:49 ~-~-> 00:11:55 |for with an execution. And then over here today, this business, don't worry,
147 |146 |00:11:55 ~-~-> 00:12:02 |this box will move out of the way. But this short is actually filled right
148 |147 |00:12:02 ~-~-> 00:12:09 |here. And it's terrible, terrible placement, if it weren't so obvious that
149 |148 |00:12:09 ~-~-> 00:12:13 |the sell side liquidity pool was going to get tagged, and I'll show you I mean
150 |149 |00:12:13 ~-~-> 00:12:17 |in a moment. But then after it hits that, after I close the trade, and then
151 |150 |00:12:17 ~-~-> 00:12:20 |the owners filled, it comes right back up to the Costco encroachment of the
152 |151 |00:12:20 ~-~-> 00:12:24 |daily city. Bodies respect it drops about one more time. Look at the body
153 |152 |00:12:24 ~-~-> 00:12:29 |staying inside of the daily city low. But the wick does the damage of taking
154 |153 |00:12:29 ~-~-> 00:12:34 |out that low and trading down to the upper quadrant of the 15 minute bison
155 |154 |00:12:34 ~-~-> 00:12:39 |balance, cell sign efficiency that's shaded in green, and then it goes into
156 |155 |00:12:39 ~-~-> 00:12:44 |just consolidation and just more time distortion.
157 |156 |00:12:54 ~-~-> 00:12:58 |Okay, and let's go back in time to Tuesday's trade. Here is the inversion
158 |157 |00:12:58 ~-~-> 00:13:03 |fair value gap that I was using also inversion fair value, gap, quarter block
159 |158 |00:13:03 ~-~-> 00:13:03 |on the
160 |159 |00:13:06 ~-~-> 00:13:12 |discount, range, volume and balance respected
161 |160 |00:13:12 ~-~-> 00:13:16 |with the bodies, comes up, hits the high of it drops back down. Upper quadrant.
162 |161 |00:13:16 ~-~-> 00:13:19 |You can see the entry right here, upper quadrant of the city, which becomes in
163 |162 |00:13:19 ~-~-> 00:13:22 |when it's bullish. Why is it bullish? Because I told you Monday I was looking
164 |163 |00:13:22 ~-~-> 00:13:28 |for looking for the low of the daily city low, and it draws from there up to
165 |164 |00:13:28 ~-~-> 00:13:32 |there. And I showed you that execution as it filled on x, just a small portion
166 |165 |00:13:32 ~-~-> 00:13:37 |of it. This is the business behind all of it. And then moving on over into
167 |166 |00:13:38 ~-~-> 00:13:44 |today, we had sell side building here is obvious. This is so obvious. So just
168 |167 |00:13:44 ~-~-> 00:13:51 |remember that this level here, 21,006 65 that right there is based on this pool
169 |168 |00:13:51 ~-~-> 00:13:58 |of liquidity that's forming. Scrub down over here, that same level, there's the
170 |169 |00:13:58 ~-~-> 00:14:05 |fill and the drop down into that liquidity, and then the later lower run.
171 |170 |00:14:05 ~-~-> 00:14:09 |But I was not able to hold that, because this is what could potentially happen,
172 |171 |00:14:09 ~-~-> 00:14:14 |because where it's not from here a week. So this little area in here is a
173 |172 |00:14:14 ~-~-> 00:14:18 |inversion fair value gap. You can study that on your own before we get to the
174 |173 |00:14:18 ~-~-> 00:14:22 |open at six o'clock, and I may not get the video by then. So if it happens,
175 |174 |00:14:22 ~-~-> 00:14:25 |then, you know, big deal. But right now I'm watching these relative equal lows,
176 |175 |00:14:26 ~-~-> 00:14:29 |so we could drop down into that, and then I'll be interested to see if it
177 |176 |00:14:29 ~-~-> 00:14:33 |starts to work overnight, higher to the high upper quadrant of the daily sippy
178 |177 |00:14:33 ~-~-> 00:14:33 |I'm
179 |178 |00:14:42 ~-~-> 00:14:45 |that's it for this one, until I'll talk to you next time. Be safe. You.