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Last modified by Drunk Monkey on 2025-09-27 14:17
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2 |1 |00:00:00 ~-~-> 00:00:08 |ICT: Folks, welcome back. This is the focus on index futures, and we'll be
3 |2 |00:00:08 ~-~-> 00:00:17 |only looking at the Christmas and QE mini futures. September 24 2025 left
4 |3 |00:00:17 ~-~-> 00:00:22 |hand chart is daily. We'll go over that in a moment and in the one minute chart
5 |4 |00:00:22 ~-~-> 00:00:30 |here on the right, right. So we have this premium wick, consequent
6 |5 |00:00:30 ~-~-> 00:00:34 |encouragement in the upper quadrant, lower quadrants and the high and low of
7 |6 |00:00:34 ~-~-> 00:00:40 |it annotated here, and then this premium wick. So make sure you keep track of
8 |7 |00:00:40 ~-~-> 00:00:43 |what these levels are here on the daily chart and what you're looking at on the
9 |8 |00:00:43 ~-~-> 00:00:49 |smaller time frame. So we have the pre market session, buy, buy side, liquidity
10 |9 |00:00:49 ~-~-> 00:00:56 |pool. So here's the opening at 930 Eastern time. So at that moment, there's
11 |10 |00:00:56 ~-~-> 00:01:02 |a minor buy side, here's a more prominent buy, side liquidity pool. And
12 |11 |00:01:02 ~-~-> 00:01:06 |it's not likely to go up to this one here, because we've, we've already
13 |12 |00:01:06 ~-~-> 00:01:11 |created that high in the pre market session, seven o'clock in the morning.
14 |13 |00:01:11 ~-~-> 00:01:16 |So it's already done enough run up there, and it's been rejected. Keeps
15 |14 |00:01:16 ~-~-> 00:01:21 |going lower. So this was the buy side liquidity pool. It aimed for hit it and
16 |15 |00:01:21 ~-~-> 00:01:28 |then attack the sell side inside this premium wick. See it came right back up,
17 |16 |00:01:28 ~-~-> 00:01:34 |hit the consequent encroachment level at 24,008 74 and a half breaks outside of
18 |17 |00:01:34 ~-~-> 00:01:42 |the low of that premium wick here. So it's trading right here now. Okay, and
19 |18 |00:01:42 ~-~-> 00:01:50 |this first presented fair value gap is a city not using 930 so this is the first
20 |19 |00:01:50 ~-~-> 00:01:54 |one that formed. So this is first presented fair value gap, and the market
21 |20 |00:01:54 ~-~-> 00:02:05 |trades up into it and rejects and trades down to the lower quadrant. I'm sorry,
22 |21 |00:02:05 ~-~-> 00:02:12 |the upper quadrant at 24,007 90 and a half of this premium link here, that's
23 |22 |00:02:12 ~-~-> 00:02:20 |here. So we traded down to here, and we bounced right back up into 24,008 36
24 |23 |00:02:20 ~-~-> 00:02:25 |area and created relative equal highs. I'm going to move forward in the chart.
25 |24 |00:02:27 ~-~-> 00:02:30 |Here's that first participatory backup, and then that bounce off of it in the
26 |25 |00:02:30 ~-~-> 00:02:37 |relative equal highs. And we consolidated around the high of this.
27 |26 |00:02:37 ~-~-> 00:02:45 |Candles wick meandering around, and then we broke lower fair value. Got this
28 |27 |00:02:45 ~-~-> 00:02:49 |bearish here, after leaving this block of price action while bearish, trading
29 |28 |00:02:49 ~-~-> 00:02:54 |right back up into this. This is model 2022 because we had buy side taken here,
30 |29 |00:02:55 ~-~-> 00:02:59 |shift in market structure, trade back up into a fair value gap. It's in a
31 |30 |00:03:00 ~-~-> 00:03:07 |premium, and then breaks lower. Here's a breaker, high, low, higher, high,
32 |31 |00:03:07 ~-~-> 00:03:11 |bearish. Breaker, trading into it there, and we have an order block that's
33 |32 |00:03:11 ~-~-> 00:03:16 |bearish, which is changing the state of delivery. Breaks lower, break away gap
34 |33 |00:03:16 ~-~-> 00:03:21 |as it leads consequent encroachment of this premium will make. So where's it
35 |34 |00:03:21 ~-~-> 00:03:27 |going to reach for? We have this area here, but this fair value gap is it's
36 |35 |00:03:27 ~-~-> 00:03:31 |basically creating a sales on liquidity pool, so it's more likely we're going to
37 |36 |00:03:31 ~-~-> 00:03:35 |trade out into this area here. So having the quadrants on that creating that
38 |37 |00:03:35 ~-~-> 00:03:41 |price swing. So the low of that candlestick is the high of the fair
39 |38 |00:03:41 ~-~-> 00:03:46 |value gap, consequent encouragement, upper quadrant, lower quadrant, and the
40 |39 |00:03:46 ~-~-> 00:03:50 |low of the fair value gap. That's shaded in blue. So it's trading right here at
41 |40 |00:03:50 ~-~-> 00:04:01 |24,000x 55 right here, getting down into that and then the lower quadrant there.
42 |41 |00:04:02 ~-~-> 00:04:08 |At 24,006 29 and a half. I apologize, I have very, very poor eyesight. Now I'm
43 |42 |00:04:08 ~-~-> 00:04:21 |between prescription so but as it breaks lower, we get into the the low at 24,007
44 |43 |00:04:22 ~-~-> 00:04:28 |13. And three quarters of this premium wick right there. And then it creates a
45 |44 |00:04:28 ~-~-> 00:04:32 |measuring gap. Breaks lower, bearish fair value gap comes right back up, hits
46 |45 |00:04:32 ~-~-> 00:04:37 |it again, then slams into the upper quadrant, the fair value gap there. And
47 |46 |00:04:37 ~-~-> 00:04:44 |then we go off that consolidating right you can see consolidation led to
48 |47 |00:04:44 ~-~-> 00:04:49 |another, deeper retracement, up into this bearish for Vega, extend it over,
49 |48 |00:04:50 ~-~-> 00:04:59 |breaks lower, comes back up into the low of this premium wick. Here it starts
50 |49 |00:04:59 ~-~-> 00:05:03 |going. Salivating around it, and then trades right back up to the fair share
51 |50 |00:05:03 ~-~-> 00:05:09 |value gap and goes into the close of the day, just between the fair value gap and
52 |51 |00:05:10 ~-~-> 00:05:17 |the quadrant of that premium wick right there. So hopefully you can see the
53 |52 |00:05:17 ~-~-> 00:05:22 |benefits of having the gradient levels over top of premium and discount wicks.
54 |53 |00:05:24 ~-~-> 00:05:30 |The question about why did I use one wick and not another? And it's because I
55 |54 |00:05:30 ~-~-> 00:05:37 |start with the first one going to the left, and I have those levels there on
56 |55 |00:05:37 ~-~-> 00:05:41 |the chart, and then I have this one would be the next one I would have on
57 |56 |00:05:41 ~-~-> 00:05:47 |there, and I'm looking for the one that the algorithm is respecting. It's it's
58 |57 |00:05:47 ~-~-> 00:05:51 |not likely that both of these when they're basically subsequent
59 |58 |00:05:51 ~-~-> 00:05:59 |candlesticks, like one after another that have wicks. If, for instance, if we
60 |59 |00:05:59 ~-~-> 00:06:04 |plotted both of them, the chances of them agreeing right over top of the same
61 |60 |00:06:04 ~-~-> 00:06:09 |levels is it's not likely. But even more so, the chances of my PD arrays
62 |61 |00:06:09 ~-~-> 00:06:15 |overlapping and converging with both of them being plot on the chart is not
63 |62 |00:06:15 ~-~-> 00:06:19 |likely. So what I was doing was, and this is the part where you're supposed
64 |63 |00:06:19 ~-~-> 00:06:23 |to do this stuff on your chart. Not just look at my my charts by having both of
65 |64 |00:06:23 ~-~-> 00:06:27 |these plotted on yours is not being shown here on the chart here. But if you
66 |65 |00:06:27 ~-~-> 00:06:30 |plot the discount wick on here and discount wick on here, and put the
67 |66 |00:06:30 ~-~-> 00:06:33 |gradient levels on it and watch how price was respecting them or not
68 |67 |00:06:33 ~-~-> 00:06:39 |respecting it, you'll see the reason why I chose the one I did. You have to watch
69 |68 |00:06:39 ~-~-> 00:06:44 |what price is doing, is it respecting one particular inefficiency or one
70 |69 |00:06:44 ~-~-> 00:06:50 |particular wick and not another? So it's not like here's a hard and fast rule
71 |70 |00:06:50 ~-~-> 00:06:56 |that always works. You have to put some elbow grease into it and apply some due
72 |71 |00:06:56 ~-~-> 00:07:01 |diligence by looking for what the price action is actually doing. And it'll,
73 |72 |00:07:01 ~-~-> 00:07:05 |it'll be obvious which one you're supposed to be using. But all the time,
74 |73 |00:07:05 ~-~-> 00:07:11 |all the time, like I mentioned on the very first lesson last Tuesday, you have
75 |74 |00:07:11 ~-~-> 00:07:18 |to consider what wicks are available when you're trading all time highs, and
76 |75 |00:07:18 ~-~-> 00:07:25 |use all of them. Go back and look at the rules. Okay, it's there, but it doesn't
77 |76 |00:07:25 ~-~-> 00:07:30 |remove the workload for you to have them plot on your chart and see if there's
78 |77 |00:07:30 ~-~-> 00:07:37 |any validity to one wick over another one wick will be respected, and it's
79 |78 |00:07:37 ~-~-> 00:07:41 |your job to determine which one that is while price is delivering than before
80 |79 |00:07:41 ~-~-> 00:07:42 |the next move happens,
81 |80 |00:07:51 ~-~-> 00:07:55 |right, folks, short, sweet and right to the point I will touch base with you,
82 |81 |00:07:55 ~-~-> 00:07:58 |Lord willing tomorrow, until then, I wish good luck and good trading.
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