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Last modified by Drunk Monkey on 2021-05-25 08:40
From version 1.1
edited by Drunk Monkey
on 2020-11-20 11:20
Change comment: There is no comment for this version
To version 2.1
edited by Drunk Monkey
on 2020-11-20 11:22
Change comment: There is no comment for this version

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1 -test
1 +1
2 +00:00:10,559 ~-~-> 00:00:12,209
3 +ICT: Okay, folks, welcome back. This is
4 +
5 +2
6 +00:00:12,209 ~-~-> 00:00:14,249
7 +part three of a continuing series of
8 +
9 +3
10 +00:00:14,249 ~-~-> 00:00:16,979
11 +four videos. If I could go back and tell
12 +
13 +4
14 +00:00:16,979 ~-~-> 00:00:19,229
15 +myself what I know now, again, this is a
16 +
17 +5
18 +00:00:19,229 ~-~-> 00:00:20,729
19 +hypothetical conversation with my
20 +
21 +6
22 +00:00:20,729 ~-~-> 00:00:24,659
23 +younger self. Purely fiction. Just to
24 +
25 +7
26 +00:00:24,659 ~-~-> 00:00:27,029
27 +give you a perspective on if I tell
28 +
29 +8
30 +00:00:27,029 ~-~-> 00:00:29,669
31 +myself what to focus on, when I first
32 +
33 +9
34 +00:00:29,669 ~-~-> 00:00:33,989
35 +started, it would hopefully have avoided
36 +
37 +10
38 +00:00:34,019 ~-~-> 00:00:37,229
39 +majority of the painful lessons and
40 +
41 +11
42 +00:00:37,229 ~-~-> 00:00:45,629
43 +losses I had to incur How would I
44 +
45 +12
46 +00:00:45,629 ~-~-> 00:00:49,319
47 +practice? Where do you back test daily
48 +
49 +13
50 +00:00:49,319 ~-~-> 00:00:52,319
51 +setups? And I'll before I get into this,
52 +
53 +14
54 +00:00:52,499 ~-~-> 00:00:56,819
55 +this whole series is really linked to
56 +
57 +15
58 +00:00:56,819 ~-~-> 00:00:58,319
59 +the optimal trade entry pattern that
60 +
61 +16
62 +00:00:58,319 ~-~-> 00:00:59,999
63 +I've that I've made public on my YouTube
64 +
65 +17
66 +00:01:00,029 ~-~-> 00:01:04,019
67 +Channel, I've also included 20 videos of
68 +
69 +18
70 +00:01:04,019 ~-~-> 00:01:05,909
71 +daily setups. So that way kind of gives
72 +
73 +19
74 +00:01:05,909 ~-~-> 00:01:08,189
75 +you familiarity to what this pattern
76 +
77 +20
78 +00:01:08,189 ~-~-> 00:01:11,159
79 +looks like across a wide array of
80 +
81 +21
82 +00:01:11,159 ~-~-> 00:01:12,839
83 +different asset classes. But I'm
84 +
85 +22
86 +00:01:12,839 ~-~-> 00:01:15,989
87 +covering a simplistic approach to how
88 +
89 +23
90 +00:01:16,019 ~-~-> 00:01:19,289
91 +you should be practicing. First and
92 +
93 +24
94 +00:01:19,289 ~-~-> 00:01:21,959
95 +foremost, everyone knows, broker demo
96 +
97 +25
98 +00:01:21,959 ~-~-> 00:01:24,959
99 +platforms. Okay, so whenever you open up
100 +
101 +26
102 +00:01:24,959 ~-~-> 00:01:28,199
103 +an account with a broker, generally they
104 +
105 +27
106 +00:01:28,199 ~-~-> 00:01:31,019
107 +offer you a trial version of their
108 +
109 +28
110 +00:01:31,019 ~-~-> 00:01:33,659
111 +platform. So you can test your
112 +
113 +29
114 +00:01:33,869 ~-~-> 00:01:35,909
115 +strategies or whatever it is that you're
116 +
117 +30
118 +00:01:36,149 ~-~-> 00:01:37,619
119 +utilizing for your framework for your
120 +
121 +31
122 +00:01:37,619 ~-~-> 00:01:40,799
123 +setups. You can test drive it on a demo
124 +
125 +32
126 +00:01:40,799 ~-~-> 00:01:45,989
127 +account. forex has the ability to offer
128 +
129 +33
130 +00:01:46,019 ~-~-> 00:01:48,479
131 +demo accounts that for some brokers
132 +
133 +34
134 +00:01:48,479 ~-~-> 00:01:52,169
135 +don't expire. And it's not a big deal.
136 +
137 +35
138 +00:01:52,169 ~-~-> 00:01:54,089
139 +If it does expire. He just started
140 +
141 +36
142 +00:01:54,089 ~-~-> 00:01:57,329
143 +another one. But you don't want to treat
144 +
145 +37
146 +00:01:57,389 ~-~-> 00:01:59,969
147 +the demo account like Monopoly money.
148 +
149 +38
150 +00:01:59,999 ~-~-> 00:02:02,609
151 +You want to sit down with it and say,
152 +
153 +39
154 +00:02:02,609 ~-~-> 00:02:05,459
155 +Okay, how much of this hypothetical
156 +
157 +40
158 +00:02:05,729 ~-~-> 00:02:08,069
159 +pretend money would I be utilizing, if I
160 +
161 +41
162 +00:02:08,069 ~-~-> 00:02:10,289
163 +was trading, it wouldn't have been
164 +
165 +42
166 +00:02:10,289 ~-~-> 00:02:14,969
167 +$50,000 to start with, and working with
168 +
169 +43
170 +00:02:14,969 ~-~-> 00:02:17,849
171 +a demo with a sober mind about what
172 +
173 +44
174 +00:02:17,849 ~-~-> 00:02:20,249
175 +you're doing, and building good habits
176 +
177 +45
178 +00:02:20,279 ~-~-> 00:02:23,759
179 +and removing the opportunity to fall
180 +
181 +46
182 +00:02:23,759 ~-~-> 00:02:26,639
183 +into bad habits. That means overtrading
184 +
185 +47
186 +00:02:26,969 ~-~-> 00:02:28,739
187 +looking for setups even after you've
188 +
189 +48
190 +00:02:28,739 ~-~-> 00:02:31,109
191 +made a correct decision, and the market
192 +
193 +49
194 +00:02:31,109 ~-~-> 00:02:33,119
195 +shows you that you would have been
196 +
197 +50
198 +00:02:33,119 ~-~-> 00:02:35,639
199 +profitable. It's not an invitation to go
200 +
201 +51
202 +00:02:35,639 ~-~-> 00:02:37,829
203 +right back in the same day, to try to
204 +
205 +52
206 +00:02:37,829 ~-~-> 00:02:39,599
207 +get something else because it felt good.
208 +
209 +53
210 +00:02:40,439 ~-~-> 00:02:41,999
211 +You're going to fall victim to that
212 +
213 +54
214 +00:02:41,999 ~-~-> 00:02:46,139
215 +early on. So to avoid all that, don't
216 +
217 +55
218 +00:02:46,529 ~-~-> 00:02:48,179
219 +have it in your mindset. You have to
220 +
221 +56
222 +00:02:48,179 ~-~-> 00:02:49,499
223 +take a lot of trades every single day.
224 +
225 +57
226 +00:02:50,159 ~-~-> 00:02:51,779
227 +You're gonna lose a lot of money. You
228 +
229 +58
230 +00:02:51,779 ~-~-> 00:02:53,249
231 +don't know it yet, but you're going to
232 +
233 +59
234 +00:02:53,249 ~-~-> 00:02:55,379
235 +lose a lot of money, trying to do that.
236 +
237 +60
238 +00:02:57,839 ~-~-> 00:03:00,809
239 +And third party apps like for tester and
240 +
241 +61
242 +00:03:00,809 ~-~-> 00:03:03,659
243 +you can go to forex tester calm. And
244 +
245 +62
246 +00:03:03,749 ~-~-> 00:03:06,629
247 +they have a medium where you can go back
248 +
249 +63
250 +00:03:06,629 ~-~-> 00:03:11,489
251 +and back test strategies and such. And
252 +
253 +64
254 +00:03:11,489 ~-~-> 00:03:14,489
255 +finally trading view calm today, which
256 +
257 +65
258 +00:03:14,489 ~-~-> 00:03:16,679
259 +doesn't exist at the time of you coming
260 +
261 +66
262 +00:03:16,679 ~-~-> 00:03:19,589
263 +up now Michael, the tradingview.com
264 +
265 +67
266 +00:03:19,589 ~-~-> 00:03:22,889
267 +website offers pretty much everything
268 +
269 +68
270 +00:03:23,489 ~-~-> 00:03:27,089
271 +that was available when you started,
272 +
273 +69
274 +00:03:28,079 ~-~-> 00:03:32,339
275 +meta stock, super charts TradeStation
276 +
277 +70
278 +00:03:32,879 ~-~-> 00:03:35,699
279 +all those things and bells and whistles
280 +
281 +71
282 +00:03:35,729 ~-~-> 00:03:39,029
283 +that you're liking right now aren't
284 +
285 +72
286 +00:03:39,029 ~-~-> 00:03:41,249
287 +really that important. You're going to
288 +
289 +73
290 +00:03:41,249 ~-~-> 00:03:43,319
291 +focus primarily on the open the high,
292 +
293 +74
294 +00:03:43,319 ~-~-> 00:03:45,989
295 +the low and the close. It doesn't feel
296 +
297 +75
298 +00:03:45,989 ~-~-> 00:03:47,369
299 +like that that's where you're going to
300 +
301 +76
302 +00:03:47,369 ~-~-> 00:03:50,579
303 +be heading. But eventually, you're going
304 +
305 +77
306 +00:03:50,579 ~-~-> 00:03:52,109
307 +to strip all the indicators off your
308 +
309 +78
310 +00:03:52,109 ~-~-> 00:03:53,819
311 +chart, Michael, and you're not even
312 +
313 +79
314 +00:03:53,819 ~-~-> 00:03:56,489
315 +going to consider any of it. It doesn't
316 +
317 +80
318 +00:03:56,489 ~-~-> 00:03:58,379
319 +make sense to you right now, but trust
320 +
321 +81
322 +00:03:58,379 ~-~-> 00:04:01,979
323 +me everything becomes clear by not
324 +
325 +82
326 +00:04:01,979 ~-~-> 00:04:04,169
327 +having anything on your charts. You
328 +
329 +83
330 +00:04:04,169 ~-~-> 00:04:06,029
331 +don't have to have any overlays of your
332 +
333 +84
334 +00:04:06,779 ~-~-> 00:04:09,299
335 +platform indicators you'd like
336 +
337 +85
338 +00:04:10,049 ~-~-> 00:04:12,869
339 +stochastic right now, it's not going to
340 +
341 +86
342 +00:04:12,869 ~-~-> 00:04:15,809
343 +ever appear on your chart anymore. You
344 +
345 +87
346 +00:04:15,809 ~-~-> 00:04:18,269
347 +like MACD, it's never going to appear on
348 +
349 +88
350 +00:04:18,269 ~-~-> 00:04:21,029
351 +your chart anymore. Michael. You want to
352 +
353 +89
354 +00:04:21,029 ~-~-> 00:04:24,239
355 +strip the chart down and focus on the
356 +
357 +90
358 +00:04:24,239 ~-~-> 00:04:26,429
359 +four price levels that is the most
360 +
361 +91
362 +00:04:26,429 ~-~-> 00:04:28,529
363 +paramount. It's the open the high, the
364 +
365 +92
366 +00:04:28,529 ~-~-> 00:04:30,839
367 +low and the close and looking at
368 +
369 +93
370 +00:04:30,839 ~-~-> 00:04:34,199
371 +different intervals. The previous day's
372 +
373 +94
374 +00:04:34,199 ~-~-> 00:04:36,089
375 +highs and lows, previous week's highs
376 +
377 +95
378 +00:04:36,089 ~-~-> 00:04:37,649
379 +and lows in previous months highs and
380 +
381 +96
382 +00:04:37,649 ~-~-> 00:04:41,669
383 +lows will offer a plethora of setups. It
384 +
385 +97
386 +00:04:41,669 ~-~-> 00:04:43,469
387 +doesn't feel like that makes sense to
388 +
389 +98
390 +00:04:43,469 ~-~-> 00:04:45,719
391 +you right now. But it will absolutely
392 +
393 +99
394 +00:04:45,719 ~-~-> 00:04:47,579
395 +unlock all of the understanding that
396 +
397 +100
398 +00:04:47,579 ~-~-> 00:04:49,889
399 +you'll need to carve out consistent
400 +
401 +101
402 +00:04:49,889 ~-~-> 00:04:52,769
403 +steady setups. So let's go into trading
404 +
405 +102
406 +00:04:52,769 ~-~-> 00:04:54,899
407 +view and look at how we can practice.
408 +
409 +103
410 +00:04:55,199 ~-~-> 00:04:57,179
411 +Alright, so here is the trading view
412 +
413 +104
414 +00:04:57,179 ~-~-> 00:05:00,539
415 +platform and I have the charts up With
416 +
417 +105
418 +00:05:00,569 ~-~-> 00:05:03,059
419 +the euro dollar currency pair, on the
420 +
421 +106
422 +00:05:03,059 ~-~-> 00:05:05,549
423 +left hand side, it is a 15 minute time
424 +
425 +107
426 +00:05:05,549 ~-~-> 00:05:07,409
427 +frame. And on the right hand side, it's
428 +
429 +108
430 +00:05:07,409 ~-~-> 00:05:10,739
431 +a daily chart. And the assumption is
432 +
433 +109
434 +00:05:11,010 ~-~-> 00:05:13,110
435 +that we're focusing on the optimal trade
436 +
437 +110
438 +00:05:13,110 ~-~-> 00:05:15,570
439 +entry on a higher time frame until it
440 +
441 +111
442 +00:05:15,570 ~-~-> 00:05:20,070
443 +delivers to a key level. I'm going to
444 +
445 +112
446 +00:05:20,070 ~-~-> 00:05:21,450
447 +show you right now what that would look
448 +
449 +113
450 +00:05:21,450 ~-~-> 00:05:24,330
451 +like. Here we have a high that would be
452 +
453 +114
454 +00:05:24,330 ~-~-> 00:05:28,110
455 +targeted. In here, as the price was
456 +
457 +115
458 +00:05:28,110 ~-~-> 00:05:30,510
459 +rallying up, we can see before we got to
460 +
461 +116
462 +00:05:30,510 ~-~-> 00:05:34,920
463 +this high back testing these types of
464 +
465 +117
466 +00:05:34,980 ~-~-> 00:05:38,250
467 +setups is what you'd be doing. We're
468 +
469 +118
470 +00:05:38,250 ~-~-> 00:05:44,070
471 +going to show a Fibonacci on this swing
472 +
473 +119
474 +00:05:44,070 ~-~-> 00:05:47,340
475 +low. With this candles higher low and
476 +
477 +120
478 +00:05:47,340 ~-~-> 00:05:49,170
479 +this candles higher low, surrounding
480 +
481 +121
482 +00:05:49,170 ~-~-> 00:05:50,550
483 +this one particular candle. That's why
484 +
485 +122
486 +00:05:50,550 ~-~-> 00:05:53,520
487 +I'm anchoring it to that. I'm dragging
488 +
489 +123
490 +00:05:53,520 ~-~-> 00:05:55,470
491 +it all the way up to this candle is
492 +
493 +124
494 +00:05:55,470 ~-~-> 00:05:58,110
495 +high, because it's as it's making higher
496 +
497 +125
498 +00:05:58,110 ~-~-> 00:06:00,660
499 +highs. I'm going to overlay the fib On
500 +
501 +126
502 +00:06:00,660 ~-~-> 00:06:04,080
503 +every successive higher high, because
504 +
505 +127
506 +00:06:04,080 ~-~-> 00:06:05,460
507 +that's going to be the range in which
508 +
509 +128
510 +00:06:05,730 ~-~-> 00:06:07,920
511 +any retracement comes it'll be within
512 +
513 +129
514 +00:06:07,920 ~-~-> 00:06:10,350
515 +that range. And it'll be apparent when
516 +
517 +130
518 +00:06:10,350 ~-~-> 00:06:13,740
519 +you see it here. So we draw this up. So
520 +
521 +131
522 +00:06:13,740 ~-~-> 00:06:15,570
523 +that Okay, so you can see the Fibonacci
524 +
525 +132
526 +00:06:15,570 ~-~-> 00:06:17,580
527 +that's anchored from this low up to this
528 +
529 +133
530 +00:06:17,580 ~-~-> 00:06:20,070
531 +high. It captures this retracement of
532 +
533 +134
534 +00:06:20,070 ~-~-> 00:06:24,060
535 +this candle right here is the 10th of
536 +
537 +135
538 +00:06:24,060 ~-~-> 00:06:27,450
539 +July 2020. Here's the 10th. On the 15
540 +
541 +136
542 +00:06:27,450 ~-~-> 00:06:28,500
543 +minute time frame, you can see how the
544 +
545 +137
546 +00:06:28,500 ~-~-> 00:06:29,880
547 +15 minute time frame drops down into the
548 +
549 +138
550 +00:06:29,880 ~-~-> 00:06:32,940
551 +optimal trade entry. Which is the 60 to
552 +
553 +139
554 +00:06:33,270 ~-~-> 00:06:36,390
555 +70 retracement level and 70.5 sweetspot.
556 +
557 +140
558 +00:06:37,560 ~-~-> 00:06:39,750
559 +This level is going to be one of the
560 +
561 +141
562 +00:06:39,750 ~-~-> 00:06:41,730
563 +levels you're going to like a lot but
564 +
565 +142
566 +00:06:41,730 ~-~-> 00:06:42,870
567 +you'll save yourself a lot of
568 +
569 +143
570 +00:06:42,870 ~-~-> 00:06:44,970
571 +frustration if you just use the 62%
572 +
573 +144
574 +00:06:44,970 ~-~-> 00:06:47,160
575 +retracement level Michael. Most of the
576 +
577 +145
578 +00:06:47,160 ~-~-> 00:06:49,800
579 +trades that you're hunting in these next
580 +
581 +146
582 +00:06:49,800 ~-~-> 00:06:52,890
583 +couple years are going to be unwilling
584 +
585 +147
586 +00:06:52,890 ~-~-> 00:06:55,020
587 +to trade at a 70.5 or even 79%
588 +
589 +148
590 +00:06:55,020 ~-~-> 00:06:56,160
591 +retracement level but he would just
592 +
593 +149
594 +00:06:56,160 ~-~-> 00:06:58,950
595 +simply use the 62% retracement level and
596 +
597 +150
598 +00:06:59,160 ~-~-> 00:07:01,920
599 +defer The insatiable desire for you to
600 +
601 +151
602 +00:07:01,920 ~-~-> 00:07:03,990
603 +find the perfect entry all the time
604 +
605 +152
606 +00:07:05,070 ~-~-> 00:07:07,830
607 +later on in your 40s you're going to
608 +
609 +153
610 +00:07:07,830 ~-~-> 00:07:10,470
611 +feel real comfortable with not having
612 +
613 +154
614 +00:07:10,680 ~-~-> 00:07:12,750
615 +the absolute best entry and the absolute
616 +
617 +155
618 +00:07:12,750 ~-~-> 00:07:15,360
619 +best exit. There's lots and lots of
620 +
621 +156
622 +00:07:15,360 ~-~-> 00:07:18,690
623 +opportunity in between. So 62%
624 +
625 +157
626 +00:07:18,690 ~-~-> 00:07:20,940
627 +retracement level on here is ideal and
628 +
629 +158
630 +00:07:20,940 ~-~-> 00:07:23,250
631 +we can actually see a key reaction off
632 +
633 +159
634 +00:07:23,250 ~-~-> 00:07:26,340
635 +of that 62% retracement level price
636 +
637 +160
638 +00:07:26,340 ~-~-> 00:07:29,100
639 +starts to move higher. Now, your focus
640 +
641 +161
642 +00:07:29,280 ~-~-> 00:07:33,030
643 +is to imagine every daily candle moving
644 +
645 +162
646 +00:07:33,030 ~-~-> 00:07:37,140
647 +higher. Open, near the low of the day,
648 +
649 +163
650 +00:07:37,230 ~-~-> 00:07:39,780
651 +close near the high the day. Up close is
652 +
653 +164
654 +00:07:39,780 ~-~-> 00:07:43,170
655 +the mode of delivery. We're expecting
656 +
657 +165
658 +00:07:43,230 ~-~-> 00:07:46,770
659 +until we get to this high. So when we
660 +
661 +166
662 +00:07:46,770 ~-~-> 00:07:48,960
663 +get up to it and through it. Okay,
664 +
665 +167
666 +00:07:48,960 ~-~-> 00:07:52,170
667 +remember that slogan to it and through
668 +
669 +168
670 +00:07:52,170 ~-~-> 00:07:56,760
671 +it to it and through it. That's how
672 +
673 +169
674 +00:07:56,760 ~-~-> 00:07:58,860
675 +you're going to find the easiest bread
676 +
677 +170
678 +00:07:58,860 ~-~-> 00:08:00,600
679 +and butter setups. There is In every
680 +
681 +171
682 +00:08:00,600 ~-~-> 00:08:04,050
683 +market asset class, the idea is the
684 +
685 +172
686 +00:08:04,050 ~-~-> 00:08:06,660
687 +framework is this optimal trade entry is
688 +
689 +173
690 +00:08:06,660 ~-~-> 00:08:08,880
691 +going to keep delivering until we get to
692 +
693 +174
694 +00:08:08,880 ~-~-> 00:08:12,030
695 +this high and slightly above it. Here is
696 +
697 +175
698 +00:08:12,390 ~-~-> 00:08:14,130
699 +one half a standard deviation, and it's
700 +
701 +176
702 +00:08:14,130 ~-~-> 00:08:18,180
703 +calling for 114 46 and two puppets.
704 +
705 +177
706 +00:08:18,870 ~-~-> 00:08:21,480
707 +Okay? The actual high of this price
708 +
709 +178
710 +00:08:21,480 ~-~-> 00:08:23,880
711 +when, as of the time of this discussion,
712 +
713 +179
714 +00:08:24,780 ~-~-> 00:08:28,680
715 +the high comes in at 114 52. And one bit
716 +
717 +180
718 +00:08:28,680 ~-~-> 00:08:30,360
719 +that so it goes a little bit above that,
720 +
721 +181
722 +00:08:30,360 ~-~-> 00:08:33,600
723 +but that's a good idea as a target, if
724 +
725 +182
726 +00:08:33,600 ~-~-> 00:08:36,570
727 +not just simply at the old high. Now,
728 +
729 +183
730 +00:08:36,600 ~-~-> 00:08:38,220
731 +we're going to take our concentration
732 +
733 +184
734 +00:08:38,250 ~-~-> 00:08:39,810
735 +away from the daily chart because we can
736 +
737 +185
738 +00:08:39,810 ~-~-> 00:08:40,830
739 +clearly see with the benefit of
740 +
741 +186
742 +00:08:40,830 ~-~-> 00:08:43,530
743 +hindsight here that we had a series of
744 +
745 +187
746 +00:08:43,590 ~-~-> 00:08:46,800
747 +up close candles, and each day you'd be
748 +
749 +188
750 +00:08:46,800 ~-~-> 00:08:49,650
751 +hunting a New York setup. Now this is
752 +
753 +189
754 +00:08:49,650 ~-~-> 00:08:51,660
755 +going to be the easiest framework,
756 +
757 +190
758 +00:08:51,660 ~-~-> 00:08:53,640
759 +Michael, if you just submit to it early
760 +
761 +191
762 +00:08:53,640 ~-~-> 00:08:56,940
763 +on, stop trying to find trades outside
764 +
765 +192
766 +00:08:56,940 ~-~-> 00:08:59,790
767 +of this timeframe. focus in here and
768 +
769 +193
770 +00:08:59,790 ~-~-> 00:09:01,800
771 +you're gonna To find everything that you
772 +
773 +194
774 +00:09:01,800 ~-~-> 00:09:04,680
775 +would ever need. So all of our attention
776 +
777 +195
778 +00:09:04,680 ~-~-> 00:09:06,450
779 +is going to go over to this chart here.
780 +
781 +196
782 +00:09:07,470 ~-~-> 00:09:09,540
783 +So scrubbing forward a little bit, you
784 +
785 +197
786 +00:09:09,540 ~-~-> 00:09:12,900
787 +can see the daily dividers. And what
788 +
789 +198
790 +00:09:12,900 ~-~-> 00:09:13,770
791 +you're going to do is you're going to
792 +
793 +199
794 +00:09:13,770 ~-~-> 00:09:17,400
795 +take a line segment, you use a rectangle
796 +
797 +200
798 +00:09:17,400 ~-~-> 00:09:19,110
799 +if you want. And you're going to
800 +
801 +201
802 +00:09:19,110 ~-~-> 00:09:22,800
803 +delineate on the chart each day 830 to
804 +
805 +202
806 +00:09:22,800 ~-~-> 00:09:24,240
807 +11 o'clock in the morning, New York
808 +
809 +203
810 +00:09:24,240 ~-~-> 00:09:27,600
811 +time. So when you study this time,
812 +
813 +204
814 +00:09:27,630 ~-~-> 00:09:28,860
815 +you're going to be able to see a
816 +
817 +205
818 +00:09:28,860 ~-~-> 00:09:31,650
819 +retracement lower, because remember the
820 +
821 +206
822 +00:09:31,680 ~-~-> 00:09:33,720
823 +framework is every day the daily candles
824 +
825 +207
826 +00:09:33,720 ~-~-> 00:09:36,000
827 +are going to go higher. That is what
828 +
829 +208
830 +00:09:36,000 ~-~-> 00:09:38,760
831 +your job as the power three.
832 +
833 +209
834 +00:09:40,289 ~-~-> 00:09:43,859
835 +This high is going to be attacked, but
836 +
837 +210
838 +00:09:43,889 ~-~-> 00:09:45,929
839 +each day is going to be accumulation,
840 +
841 +211
842 +00:09:45,959 ~-~-> 00:09:48,899
843 +manipulation and distribution. The
844 +
845 +212
846 +00:09:48,899 ~-~-> 00:09:50,519
847 +accumulation is going to be near the low
848 +
849 +213
850 +00:09:50,519 ~-~-> 00:09:52,019
851 +the day they're accumulating long
852 +
853 +214
854 +00:09:52,019 ~-~-> 00:09:54,359
855 +positions. You're going to see that
856 +
857 +215
858 +00:09:54,359 ~-~-> 00:09:57,239
859 +movement up going into New York, New
860 +
861 +216
862 +00:09:57,239 ~-~-> 00:10:00,449
863 +York session is 830 to 11 o'clock. As
864 +
865 +217
866 +00:10:00,479 ~-~-> 00:10:02,969
867 +the market retraces lower in there,
868 +
869 +218
870 +00:10:03,359 ~-~-> 00:10:05,219
871 +inside that consolidation and
872 +
873 +219
874 +00:10:05,219 ~-~-> 00:10:07,169
875 +retracement you're going to find a five
876 +
877 +220
878 +00:10:07,169 ~-~-> 00:10:10,079
879 +minute optimal trade entry. That means a
880 +
881 +221
882 +00:10:10,079 ~-~-> 00:10:13,349
883 +low swing high down in that doesn't take
884 +
885 +222
886 +00:10:13,349 ~-~-> 00:10:15,749
887 +out the previous swing low trades to the
888 +
889 +223
890 +00:10:15,749 ~-~-> 00:10:18,179
891 +62% retracement level, your stop would
892 +
893 +224
894 +00:10:18,179 ~-~-> 00:10:21,269
895 +be below the low that creates the
896 +
897 +225
898 +00:10:21,269 ~-~-> 00:10:24,659
899 +optimal trade entry. You'd go long at 62
900 +
901 +226
902 +00:10:24,659 ~-~-> 00:10:28,139
903 +plus spread and reach for previous day's
904 +
905 +227
906 +00:10:28,139 ~-~-> 00:10:32,279
907 +high or a combination of that and the
908 +
909 +228
910 +00:10:32,279 ~-~-> 00:10:33,809
911 +standard deviations on the Fibonacci
912 +
913 +229
914 +00:10:34,469 ~-~-> 00:10:38,699
915 +that mean like this is one standard
916 +
917 +230
918 +00:10:38,699 ~-~-> 00:10:40,349
919 +deviation. This is one half a standard
920 +
921 +231
922 +00:10:40,349 ~-~-> 00:10:43,559
923 +deviation and so on. So each day you can
924 +
925 +232
926 +00:10:43,559 ~-~-> 00:10:46,199
927 +start to see and back test how many pips
928 +
929 +233
930 +00:10:47,099 ~-~-> 00:10:49,349
931 +that using the 62% retracement level
932 +
933 +234
934 +00:10:49,349 ~-~-> 00:10:51,119
935 +would give you plus the spread for your
936 +
937 +235
938 +00:10:51,119 ~-~-> 00:10:53,099
939 +entry that you would have risked to get
940 +
941 +236
942 +00:10:53,099 ~-~-> 00:10:54,659
943 +that trade on and how many pips it
944 +
945 +237
946 +00:10:54,659 ~-~-> 00:10:58,889
947 +delivered how long the trade took from
948 +
949 +238
950 +00:10:58,889 ~-~-> 00:11:03,749
951 +entry. To delivery to your target. How
952 +
953 +239
954 +00:11:03,749 ~-~-> 00:11:06,779
955 +much of a drop down did each setup take?
956 +
957 +240
958 +00:11:07,979 ~-~-> 00:11:09,749
959 +You want to consider that because if you
960 +
961 +241
962 +00:11:09,749 ~-~-> 00:11:13,169
963 +have a large sample set of data, not
964 +
965 +242
966 +00:11:13,169 ~-~-> 00:11:14,759
967 +every trade is going to start and turn
968 +
969 +243
970 +00:11:14,759 ~-~-> 00:11:17,189
971 +right at the 62% retracement level, you
972 +
973 +244
974 +00:11:17,189 ~-~-> 00:11:19,529
975 +might have to incur some drawdown. And
976 +
977 +245
978 +00:11:19,529 ~-~-> 00:11:20,999
979 +don't make a big deal of it, Michael,
980 +
981 +246
982 +00:11:21,029 ~-~-> 00:11:22,739
983 +because you're going to have a lot of
984 +
985 +247
986 +00:11:22,739 ~-~-> 00:11:24,659
987 +trades. And they're not always going to
988 +
989 +248
990 +00:11:24,659 ~-~-> 00:11:27,779
991 +be reacting as soon as you get in many
992 +
993 +249
994 +00:11:27,779 ~-~-> 00:11:30,209
995 +times. The fact that they don't react
996 +
997 +250
998 +00:11:30,209 ~-~-> 00:11:32,939
999 +right away is indicative of you being of
1000 +
1001 +251
1002 +00:11:33,029 ~-~-> 00:11:35,429
1003 +you being offside and it's probably
1004 +
1005 +252
1006 +00:11:35,459 ~-~-> 00:11:36,779
1007 +better for you to just kill the trade
1008 +
1009 +253
1010 +00:11:36,779 ~-~-> 00:11:39,179
1011 +all together. But that's another lesson
1012 +
1013 +254
1014 +00:11:39,179 ~-~-> 00:11:45,689
1015 +the whole time. The next day, again, 830
1016 +
1017 +255
1018 +00:11:45,689 ~-~-> 00:11:47,429
1019 +to 11. You're going to look for the
1020 +
1021 +256
1022 +00:11:47,429 ~-~-> 00:11:49,469
1023 +price structure that London creates a
1024 +
1025 +257
1026 +00:11:49,469 ~-~-> 00:11:52,829
1027 +run and then a retracement down into
1028 +
1029 +258
1030 +00:11:52,829 ~-~-> 00:11:56,669
1031 +between 830 and 11. This is your optimal
1032 +
1033 +259
1034 +00:11:56,669 ~-~-> 00:11:58,769
1035 +trade entry. And when you see that
1036 +
1037 +260
1038 +00:11:59,549 ~-~-> 00:12:01,139
1039 +against you Students are chasing a level
1040 +
1041 +261
1042 +00:12:01,529 ~-~-> 00:12:03,029
1043 +aiming for a previous day's high
1044 +
1045 +262
1046 +00:12:03,209 ~-~-> 00:12:04,889
1047 +previous day's highs here. So you're
1048 +
1049 +263
1050 +00:12:04,889 ~-~-> 00:12:06,749
1051 +gonna aim for a run through that and
1052 +
1053 +264
1054 +00:12:06,749 ~-~-> 00:12:08,699
1055 +then add your standard deviations on
1056 +
1057 +265
1058 +00:12:08,699 ~-~-> 00:12:12,869
1059 +your Fibonacci tool for targets. same
1060 +
1061 +266
1062 +00:12:12,869 ~-~-> 00:12:15,239
1063 +premise. How long did it take you to get
1064 +
1065 +267
1066 +00:12:15,239 ~-~-> 00:12:18,029
1067 +to profitability and cover the dealer
1068 +
1069 +268
1070 +00:12:18,029 ~-~-> 00:12:20,339
1071 +spread? How many pips Did you encourage
1072 +
1073 +269
1074 +00:12:20,339 ~-~-> 00:12:22,409
1075 +draw down? How much time did it take to
1076 +
1077 +270
1078 +00:12:22,409 ~-~-> 00:12:25,649
1079 +get to target all of that is building up
1080 +
1081 +271
1082 +00:12:25,679 ~-~-> 00:12:29,519
1083 +a sample set of backlogs. This backlog
1084 +
1085 +272
1086 +00:12:29,549 ~-~-> 00:12:32,369
1087 +is what you go back through and study
1088 +
1089 +273
1090 +00:12:32,369 ~-~-> 00:12:38,879
1091 +for a hindsight derived experience. And
1092 +
1093 +274
1094 +00:12:38,879 ~-~-> 00:12:41,879
1095 +by doing this, it will program your
1096 +
1097 +275
1098 +00:12:41,879 ~-~-> 00:12:45,719
1099 +expectations to not perfect but it will
1100 +
1101 +276
1102 +00:12:45,719 ~-~-> 00:12:48,389
1103 +also show like we're showing here an
1104 +
1105 +277
1106 +00:12:48,389 ~-~-> 00:12:50,609
1107 +instance where an optimal trade entry
1108 +
1109 +278
1110 +00:12:50,639 ~-~-> 00:12:52,559
1111 +doesn't really necessarily form and even
1112 +
1113 +279
1114 +00:12:52,559 ~-~-> 00:12:55,829
1115 +if you use this one and down in getting
1116 +
1117 +280
1118 +00:12:55,829 ~-~-> 00:12:58,859
1119 +in long, your stop below this would have
1120 +
1121 +281
1122 +00:12:58,859 ~-~-> 00:13:00,449
1123 +been tagged. So you would have a loss.
1124 +
1125 +282
1126 +00:13:00,719 ~-~-> 00:13:02,939
1127 +So how much time did you take? Before
1128 +
1129 +283
1130 +00:13:02,939 ~-~-> 00:13:04,409
1131 +getting stopped out? How many pips did
1132 +
1133 +284
1134 +00:13:04,409 ~-~-> 00:13:06,209
1135 +it move against you from your initial
1136 +
1137 +285
1138 +00:13:06,209 ~-~-> 00:13:08,969
1139 +entry and how it traded for the day. All
1140 +
1141 +286
1142 +00:13:08,969 ~-~-> 00:13:11,819
1143 +of these ideas, give you again,
1144 +
1145 +287
1146 +00:13:11,969 ~-~-> 00:13:14,819
1147 +perspective. If you would have held on
1148 +
1149 +288
1150 +00:13:14,819 ~-~-> 00:13:17,279
1151 +to this trade, and didn't use a stop
1152 +
1153 +289
1154 +00:13:17,279 ~-~-> 00:13:19,199
1155 +loss, or kept moving your stop loss down
1156 +
1157 +290
1158 +00:13:19,229 ~-~-> 00:13:22,199
1159 +as you will have done, because you've
1160 +
1161 +291
1162 +00:13:22,199 ~-~-> 00:13:24,089
1163 +made those mistakes early on already.
1164 +
1165 +292
1166 +00:13:24,479 ~-~-> 00:13:25,739
1167 +And you're going to make those mistakes
1168 +
1169 +293
1170 +00:13:25,739 ~-~-> 00:13:26,939
1171 +for another year and a half, because
1172 +
1173 +294
1174 +00:13:26,939 ~-~-> 00:13:28,349
1175 +you're going to wrestle with the idea of
1176 +
1177 +295
1178 +00:13:28,349 ~-~-> 00:13:30,959
1179 +being right. It's not about being right,
1180 +
1181 +296
1182 +00:13:30,959 ~-~-> 00:13:34,409
1183 +Michael, it's about being consistent and
1184 +
1185 +297
1186 +00:13:34,409 ~-~-> 00:13:36,569
1187 +flexible. When you can see the signals
1188 +
1189 +298
1190 +00:13:36,569 ~-~-> 00:13:38,639
1191 +that are indicating you're wrong or
1192 +
1193 +299
1194 +00:13:38,639 ~-~-> 00:13:41,999
1195 +offside. You have to kill it. Don't arm
1196 +
1197 +300
1198 +00:13:41,999 ~-~-> 00:13:43,139
1199 +wrestle it. There's so many
1200 +
1201 +301
1202 +00:13:43,139 ~-~-> 00:13:45,599
1203 +opportunities. If you try to blow your
1204 +
1205 +302
1206 +00:13:45,599 ~-~-> 00:13:47,789
1207 +account on one particular trading day
1208 +
1209 +303
1210 +00:13:47,789 ~-~-> 00:13:50,069
1211 +because you can't accept the fact that
1212 +
1213 +304
1214 +00:13:50,069 ~-~-> 00:13:51,839
1215 +you were wrong. You can't accept it,
1216 +
1217 +305
1218 +00:13:51,839 ~-~-> 00:13:54,089
1219 +you're human. And you're going to
1220 +
1221 +306
1222 +00:13:54,179 ~-~-> 00:13:56,549
1223 +struggle more you have to and that's why
1224 +
1225 +307
1226 +00:13:56,549 ~-~-> 00:13:58,559
1227 +I'm talking to you right now. I don't
1228 +
1229 +308
1230 +00:13:58,559 ~-~-> 00:13:59,999
1231 +want you to go through all that because
1232 +
1233 +309
1234 +00:14:00,449 ~-~-> 00:14:05,429
1235 +At 47 turning 48 soon these problems
1236 +
1237 +310
1238 +00:14:05,489 ~-~-> 00:14:06,899
1239 +that you're going to encounter if you
1240 +
1241 +311
1242 +00:14:06,899 ~-~-> 00:14:09,599
1243 +don't listen to me are still going to be
1244 +
1245 +312
1246 +00:14:10,049 ~-~-> 00:14:12,299
1247 +painful to relive or remember
1248 +
1249 +313
1250 +00:14:14,399 ~-~-> 00:14:17,549
1251 +how much information do you use from
1252 +
1253 +314
1254 +00:14:17,549 ~-~-> 00:14:20,459
1255 +this bad example? In terms of
1256 +
1257 +315
1258 +00:14:20,459 ~-~-> 00:14:22,199
1259 +profitability, but good example for
1260 +
1261 +316
1262 +00:14:22,199 ~-~-> 00:14:24,449
1263 +learning. You don't want to torture
1264 +
1265 +317
1266 +00:14:24,449 ~-~-> 00:14:26,639
1267 +yourself and say, Well, I was stupid
1268 +
1269 +318
1270 +00:14:26,639 ~-~-> 00:14:29,309
1271 +because it was really screaming against
1272 +
1273 +319
1274 +00:14:29,309 ~-~-> 00:14:31,589
1275 +me or I should have saw these multiple
1276 +
1277 +320
1278 +00:14:31,919 ~-~-> 00:14:33,209
1279 +attempts to go higher and and break
1280 +
1281 +321
1282 +00:14:33,209 ~-~-> 00:14:35,999
1283 +down. I just picked a really bad trade
1284 +
1285 +322
1286 +00:14:35,999 ~-~-> 00:14:37,889
1287 +and I was foolish, resilient, don't do
1288 +
1289 +323
1290 +00:14:37,889 ~-~-> 00:14:40,499
1291 +those types of things. Michael, don't
1292 +
1293 +324
1294 +00:14:40,589 ~-~-> 00:14:43,139
1295 +fill your journal up. with toxic
1296 +
1297 +325
1298 +00:14:43,139 ~-~-> 00:14:45,209
1299 +thinking. You're going to fill up the
1300 +
1301 +326
1302 +00:14:45,209 ~-~-> 00:14:47,279
1303 +first three years of journals with a lot
1304 +
1305 +327
1306 +00:14:47,309 ~-~-> 00:14:51,389
1307 +of things that are going to be linked to
1308 +
1309 +328
1310 +00:14:51,389 ~-~-> 00:14:53,249
1311 +your subconscious. And you're going to
1312 +
1313 +329
1314 +00:14:53,249 ~-~-> 00:14:54,149
1315 +look at the markets and you're gonna
1316 +
1317 +330
1318 +00:14:54,149 ~-~-> 00:14:55,979
1319 +remember, and this looks like that time
1320 +
1321 +331
1322 +00:14:56,009 ~-~-> 00:14:58,379
1323 +I lost X amount of money and didn't use
1324 +
1325 +332
1326 +00:14:58,379 ~-~-> 00:15:00,689
1327 +a stop or I didn't Get out when I should
1328 +
1329 +333
1330 +00:15:00,689 ~-~-> 00:15:02,579
1331 +have gotten out and you're reliving all
1332 +
1333 +334
1334 +00:15:02,579 ~-~-> 00:15:03,809
1335 +those painful moments that you've
1336 +
1337 +335
1338 +00:15:03,809 ~-~-> 00:15:06,449
1339 +journaled. You're going to use your
1340 +
1341 +336
1342 +00:15:06,449 ~-~-> 00:15:09,179
1343 +journal to have positive, constructive,
1344 +
1345 +337
1346 +00:15:09,779 ~-~-> 00:15:12,629
1347 +not negative criticism, but positive
1348 +
1349 +338
1350 +00:15:12,629 ~-~-> 00:15:16,409
1351 +criticisms. It's important for you to
1352 +
1353 +339
1354 +00:15:16,469 ~-~-> 00:15:19,379
1355 +frame your annotations in your journal
1356 +
1357 +340
1358 +00:15:20,159 ~-~-> 00:15:21,809
1359 +in such a way that there's no emotions
1360 +
1361 +341
1362 +00:15:21,809 ~-~-> 00:15:24,869
1363 +whatsoever. None. But you still want to
1364 +
1365 +342
1366 +00:15:24,899 ~-~-> 00:15:27,209
1367 +pull out the information that's salient
1368 +
1369 +343
1370 +00:15:27,209 ~-~-> 00:15:29,969
1371 +to the lesson because when you're wrong,
1372 +
1373 +344
1374 +00:15:30,029 ~-~-> 00:15:32,729
1375 +you need to study what led to you being
1376 +
1377 +345
1378 +00:15:32,729 ~-~-> 00:15:34,649
1379 +wrong. So that way, eventually, you're
1380 +
1381 +346
1382 +00:15:34,649 ~-~-> 00:15:36,539
1383 +going to key up on the things that
1384 +
1385 +347
1386 +00:15:36,539 ~-~-> 00:15:38,909
1387 +you're doing that are problematic, and
1388 +
1389 +348
1390 +00:15:38,909 ~-~-> 00:15:40,289
1391 +you're falling victim to over and over
1392 +
1393 +349
1394 +00:15:40,289 ~-~-> 00:15:42,179
1395 +again. But until you study them with a
1396 +
1397 +350
1398 +00:15:42,179 ~-~-> 00:15:44,459
1399 +sober mind, and objectively, you're
1400 +
1401 +351
1402 +00:15:44,459 ~-~-> 00:15:45,899
1403 +going to keep falling victim to it and
1404 +
1405 +352
1406 +00:15:45,899 ~-~-> 00:15:47,009
1407 +you're not gonna understand why it's
1408 +
1409 +353
1410 +00:15:47,009 ~-~-> 00:15:48,959
1411 +happening. Not only will you lose a lot
1412 +
1413 +354
1414 +00:15:48,959 ~-~-> 00:15:50,819
1415 +of money, but you're going to have a lot
1416 +
1417 +355
1418 +00:15:50,819 ~-~-> 00:15:52,619
1419 +of frustration that's completely
1420 +
1421 +356
1422 +00:15:52,619 ~-~-> 00:15:54,479
1423 +avoidable if you just do that this gave
1424 +
1425 +357
1426 +00:15:54,479 ~-~-> 00:15:58,919
1427 +you right now. The next day, same thing,
1428 +
1429 +358
1430 +00:15:58,949 ~-~-> 00:16:04,049
1431 +we're not looking For every single day
1432 +
1433 +359
1434 +00:16:04,049 ~-~-> 00:16:05,399
1435 +to be a winner, we're expecting it's
1436 +
1437 +360
1438 +00:16:05,399 ~-~-> 00:16:07,649
1439 +going to be a trade there may not pan
1440 +
1441 +361
1442 +00:16:07,649 ~-~-> 00:16:10,289
1443 +out. But we're staying with the same
1444 +
1445 +362
1446 +00:16:10,289 ~-~-> 00:16:12,989
1447 +narrative we're looking for this day.
1448 +
1449 +363
1450 +00:16:12,989 ~-~-> 00:16:16,139
1451 +Here's a 16th. And that is on the daily,
1452 +
1453 +364
1454 +00:16:16,919 ~-~-> 00:16:19,319
1455 +right here, that's this day here. Now
1456 +
1457 +365
1458 +00:16:19,319 ~-~-> 00:16:21,899
1459 +that's a down close candle. When you see
1460 +
1461 +366
1462 +00:16:21,899 ~-~-> 00:16:24,419
1463 +this, okay, you're going to see this
1464 +
1465 +367
1466 +00:16:24,419 ~-~-> 00:16:26,069
1467 +high and the next candle has a lower
1468 +
1469 +368
1470 +00:16:26,069 ~-~-> 00:16:28,949
1471 +high, that swing high is gonna make you
1472 +
1473 +369
1474 +00:16:28,949 ~-~-> 00:16:32,219
1475 +think early on that it's creating a top
1476 +
1477 +370
1478 +00:16:32,399 ~-~-> 00:16:34,199
1479 +and there's no more buy signals to take.
1480 +
1481 +371
1482 +00:16:34,499 ~-~-> 00:16:37,049
1483 +Don't believe that. Just because it's
1484 +
1485 +372
1486 +00:16:37,049 ~-~-> 00:16:38,309
1487 +making a swing high doesn't mean it's
1488 +
1489 +373
1490 +00:16:38,309 ~-~-> 00:16:40,259
1491 +not going to likely give you another
1492 +
1493 +374
1494 +00:16:40,259 ~-~-> 00:16:42,239
1495 +buying opportunity. Even on that
1496 +
1497 +375
1498 +00:16:42,239 ~-~-> 00:16:44,009
1499 +particular day, it gives us an optimal
1500 +
1501 +376
1502 +00:16:44,009 ~-~-> 00:16:46,829
1503 +trade entry here. And you want to study
1504 +
1505 +377
1506 +00:16:46,829 ~-~-> 00:16:49,559
1507 +again 62% retracement level. How much
1508 +
1509 +378
1510 +00:16:49,559 ~-~-> 00:16:50,669
1511 +time did it take to cover the long
1512 +
1513 +379
1514 +00:16:50,669 ~-~-> 00:16:53,219
1515 +spread and move to target? How many pips
1516 +
1517 +380
1518 +00:16:53,219 ~-~-> 00:16:55,769
1519 +to offer. And even though it didn't get
1520 +
1521 +381
1522 +00:16:55,769 ~-~-> 00:16:58,049
1523 +to the previous day's high by taking out
1524 +
1525 +382
1526 +00:16:58,049 ~-~-> 00:17:00,749
1527 +scaled profits, you don't have To be
1528 +
1529 +383
1530 +00:17:00,899 ~-~-> 00:17:03,479
1531 +right about the next trade running to
1532 +
1533 +384
1534 +00:17:03,479 ~-~-> 00:17:04,439
1535 +the previous day's high when you're
1536 +
1537 +385
1538 +00:17:04,439 ~-~-> 00:17:07,589
1539 +bullish, short term highs in here as it
1540 +
1541 +386
1542 +00:17:07,589 ~-~-> 00:17:10,019
1543 +runs up, you want to take profits off
1544 +
1545 +387
1546 +00:17:10,049 ~-~-> 00:17:12,449
1547 +there. And when you back test and
1548 +
1549 +388
1550 +00:17:12,479 ~-~-> 00:17:14,369
1551 +practice, you would be doing the same
1552 +
1553 +389
1554 +00:17:14,369 ~-~-> 00:17:16,349
1555 +thing. Assuming that if you were in a
1556 +
1557 +390
1558 +00:17:16,349 ~-~-> 00:17:17,609
1559 +trade, you would take something off
1560 +
1561 +391
1562 +00:17:17,609 ~-~-> 00:17:19,079
1563 +here, and you'll take something off
1564 +
1565 +392
1566 +00:17:19,079 ~-~-> 00:17:21,329
1567 +here. And as it goes up into this area
1568 +
1569 +393
1570 +00:17:21,329 ~-~-> 00:17:23,729
1571 +over here, you may have been expecting
1572 +
1573 +394
1574 +00:17:23,729 ~-~-> 00:17:25,289
1575 +it to trade above here, but in this
1576 +
1577 +395
1578 +00:17:25,289 ~-~-> 00:17:29,249
1579 +case, it turns around. How much time did
1580 +
1581 +396
1582 +00:17:29,249 ~-~-> 00:17:32,069
1583 +you stay in the trade? While it was
1584 +
1585 +397
1586 +00:17:32,069 ~-~-> 00:17:35,099
1587 +dropped, dropping down here? How long
1588 +
1589 +398
1590 +00:17:35,099 ~-~-> 00:17:36,569
1591 +would you expect to hold on to that
1592 +
1593 +399
1594 +00:17:36,569 ~-~-> 00:17:37,979
1595 +trade before you realize that you were
1596 +
1597 +400
1598 +00:17:37,979 ~-~-> 00:17:42,119
1599 +wrong? and be honest about it, because
1600 +
1601 +401
1602 +00:17:42,149 ~-~-> 00:17:44,429
1603 +what you pour into your back testing and
1604 +
1605 +402
1606 +00:17:44,429 ~-~-> 00:17:47,549
1607 +practicing, while it's hindsight, if you
1608 +
1609 +403
1610 +00:17:47,549 ~-~-> 00:17:50,039
1611 +are not honest with yourself, if you put
1612 +
1613 +404
1614 +00:17:50,039 ~-~-> 00:17:53,219
1615 +in poor expectations, you're going to
1616 +
1617 +405
1618 +00:17:53,219 ~-~-> 00:17:56,969
1619 +get ridiculously backwards results.
1620 +
1621 +406
1622 +00:17:57,029 ~-~-> 00:17:58,499
1623 +You're going to expect certain things
1624 +
1625 +407
1626 +00:17:58,499 ~-~-> 00:18:00,689
1627 +that aren't realistic to see in terms of
1628 +
1629 +408
1630 +00:18:01,289 ~-~-> 00:18:04,319
1631 +outcome. And you're going to be at the
1632 +
1633 +409
1634 +00:18:04,319 ~-~-> 00:18:07,499
1635 +mercy of your emotions. And you're going
1636 +
1637 +410
1638 +00:18:07,499 ~-~-> 00:18:09,419
1639 +to be pulled around by a psychological
1640 +
1641 +411
1642 +00:18:09,419 ~-~-> 00:18:11,369
1643 +tug of war about being right or wrong if
1644 +
1645 +412
1646 +00:18:11,369 ~-~-> 00:18:14,339
1647 +you don't do these things. So next day
1648 +
1649 +413
1650 +00:18:14,339 ~-~-> 00:18:16,679
1651 +even though we had a losing day here in
1652 +
1653 +414
1654 +00:18:16,679 ~-~-> 00:18:18,539
1655 +this trade while it was profitable, it
1656 +
1657 +415
1658 +00:18:18,539 ~-~-> 00:18:19,919
1659 +didn't deliver to the previous day's
1660 +
1661 +416
1662 +00:18:19,919 ~-~-> 00:18:22,439
1663 +high, it's fine. You stick with the
1664 +
1665 +417
1666 +00:18:22,439 ~-~-> 00:18:26,189
1667 +narrative. Next trading day. Here it is
1668 +
1669 +418
1670 +00:18:26,219 ~-~-> 00:18:28,559
1671 +830 to 11 optimal trade entry, it's
1672 +
1673 +419
1674 +00:18:28,559 ~-~-> 00:18:30,149
1675 +dropping down, and it gets us to
1676 +
1677 +420
1678 +00:18:30,149 ~-~-> 00:18:32,309
1679 +opportunities it drops into it here and
1680 +
1681 +421
1682 +00:18:32,309 ~-~-> 00:18:34,049
1683 +gives us another one here, and then
1684 +
1685 +422
1686 +00:18:34,049 ~-~-> 00:18:36,269
1687 +takes out the previous day's high here.
1688 +
1689 +423
1690 +00:18:37,289 ~-~-> 00:18:42,209
1691 +So we have now delivered a setup that
1692 +
1693 +424
1694 +00:18:42,209 ~-~-> 00:18:44,399
1695 +takes out the previous day's high. And
1696 +
1697 +425
1698 +00:18:44,429 ~-~-> 00:18:46,019
1699 +this is Friday, so you can't trade the
1700 +
1701 +426
1702 +00:18:46,019 ~-~-> 00:18:48,119
1703 +next day. It's a Saturday, but how many
1704 +
1705 +427
1706 +00:18:48,119 ~-~-> 00:18:52,259
1707 +pips did it take from entry to scaling
1708 +
1709 +428
1710 +00:18:52,469 ~-~-> 00:18:54,209
1711 +at your previous day's high how many
1712 +
1713 +429
1714 +00:18:54,209 ~-~-> 00:18:56,099
1715 +pips was that? How much time did it
1716 +
1717 +430
1718 +00:18:56,099 ~-~-> 00:18:58,289
1719 +take? How many pips did you have in draw
1720 +
1721 +431
1722 +00:18:58,289 ~-~-> 00:19:02,519
1723 +down? All of those ideas, you build a
1724 +
1725 +432
1726 +00:19:02,519 ~-~-> 00:19:05,129
1727 +backlog of, and then on the weekends,
1728 +
1729 +433
1730 +00:19:05,459 ~-~-> 00:19:08,129
1731 +you want to study how each one of these
1732 +
1733 +434
1734 +00:19:08,219 ~-~-> 00:19:10,229
1735 +work together to complement one another.
1736 +
1737 +435
1738 +00:19:10,229 ~-~-> 00:19:10,739
1739 +In other words,
1740 +
1741 +436
1742 +00:19:11,010 ~-~-> 00:19:12,930
1743 +how did the previous day's trading set
1744 +
1745 +437
1746 +00:19:12,930 ~-~-> 00:19:15,300
1747 +up the situation you saw on the next
1748 +
1749 +438
1750 +00:19:15,300 ~-~-> 00:19:18,330
1751 +day, and look at it from a hourly
1752 +
1753 +439
1754 +00:19:18,330 ~-~-> 00:19:21,060
1755 +perspective, a daily perspective, and
1756 +
1757 +440
1758 +00:19:21,060 ~-~-> 00:19:22,980
1759 +it'll help you frame out the
1760 +
1761 +441
1762 +00:19:23,010 ~-~-> 00:19:24,480
1763 +institutional order flow that you'll
1764 +
1765 +442
1766 +00:19:24,480 ~-~-> 00:19:27,270
1767 +become known for in the Forex division.
1768 +
1769 +443
1770 +00:19:28,110 ~-~-> 00:19:31,230
1771 +So in this case, following this
1772 +
1773 +444
1774 +00:19:31,230 ~-~-> 00:19:33,540
1775 +criteria, and practicing every single
1776 +
1777 +445
1778 +00:19:33,540 ~-~-> 00:19:35,250
1779 +day, just keeping a backlog of it,
1780 +
1781 +446
1782 +00:19:35,730 ~-~-> 00:19:37,620
1783 +you're going to not only train yourself
1784 +
1785 +447
1786 +00:19:37,620 ~-~-> 00:19:39,270
1787 +to see the setup, but you're going to
1788 +
1789 +448
1790 +00:19:39,270 ~-~-> 00:19:40,950
1791 +grow in your understanding about how the
1792 +
1793 +449
1794 +00:19:40,950 ~-~-> 00:19:43,620
1795 +characteristics repeat over and over and
1796 +
1797 +450
1798 +00:19:43,620 ~-~-> 00:19:45,690
1799 +over again, and staying with just one
1800 +
1801 +451
1802 +00:19:45,690 ~-~-> 00:19:48,840
1803 +currency, but framing all the ideas on a
1804 +
1805 +452
1806 +00:19:48,840 ~-~-> 00:19:51,690
1807 +higher timeframe basis. That leads to
1808 +
1809 +453
1810 +00:19:51,720 ~-~-> 00:19:54,180
1811 +high consistency without having to need
1812 +
1813 +454
1814 +00:19:54,360 ~-~-> 00:19:58,620
1815 +perfection. So hope you found this one
1816 +
1817 +455
1818 +00:19:58,620 ~-~-> 00:20:00,450
1819 +insightful, I will be back again Next
1820 +
1821 +456
1822 +00:20:00,450 ~-~-> 00:20:02,610
1823 +week with the final portion of the
1824 +
1825 +457
1826 +00:20:02,610 ~-~-> 00:20:05,190
1827 +series, how to transition into practice
1828 +
1829 +458
1830 +00:20:05,190 ~-~-> 00:20:07,320
1831 +into live funds. Until then, I wish you
1832 +
1833 +459
1834 +00:20:07,320 ~-~-> 00:20:08,370
1835 +good luck and good trading.
1836 +
1837 +