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Version 1.1 by Drunk Monkey on 2020-11-20 15:55
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3 ICT: Okay, folks, welcome back. This teaching is going to be
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7 specifically dealing with the ICT Asian kill zone.
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11 Okay, the Asian kill zone. This is the first of several
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15 specific times of the day where I like to look for setups.
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19 Admittedly, this is the least active time of the day for me.
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23 I live in the North American continent on East Coast. So
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27 whatever time it is in New York time in states, that's my
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31 local time. So what ICT concepts are going to use in this
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35 module. Again, the importance of time and price,
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39 the Asian open
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43 the asian session
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47 and important characteristics that make up the asian
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51 session. Okay, first, we're gonna get into the agent open.
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55 Now, this time of day,
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59 you're going to find that the Australian dollar, the New
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63 Zealand dollar, Japanese yen pairs are ideal for this time
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67 of day. They're active there. Markets are open at that time.
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71 And it goes without saying that their markets are trading
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75 actively as it relates to their specific currency and
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79 country of origin.
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83 This
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87 small little window of opportunity for North American
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91 traders, the trade after a nine to five job could fit
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95 exactly what you're hoping to do as a part time gig if you
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99 will. And or your trading model could be completely built
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103 around the asian session and never be up for the woman or
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107 trade in New York session. Now, the Asian open can sometimes
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111 set up an optimal trade entry pattern that can offer 15 to
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115 20 pips for a scalp. Now the higher timeframe bias is
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119 helpful here. But short term retracements in either a bull
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123 or bear market can offer similar optimal trade entry setups.
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127 As an example here, this is the dollar yen pair. And again,
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131 I'm not trying to zoom in on these charts, because the
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135 details are not important at this point. I'm just trying to
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139 build up an overview of the specifics about the asian
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143 session that are important right now, the salient points if
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147 you will, there's other details and a lot of details that go
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151 into this timeframe. But you're going to find that if you
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155 are looking for trades in this time of day, these pairs the
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159 Aussie New Zealand dollar Japanese yen tend to do very well.
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163 As you can see here, in this example to the right, you can
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167 see the agent open as delineated here. And if you look at
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171 forex Ltd, that's the demo account I teach with. If you hit
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175 Ctrl y on a 15 minute timeframe, that vertical line is going
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179 to be delineating what I refer to as the Asian open. Now,
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183 it'll fluctuate back and forth relative to daylight savings
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187 time. But for the most part, I'm looking at a window of
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191 about two hours. So even though it may not start exactly at
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195 seven o'clock or eight o'clock in the states in the evening
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199 time, relative to the daylight savings time,
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203 shifted, takes place.
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207 If that shift is taking place in terms of time, like right
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211 now we are in daylight savings time at the time of this
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215 recording in December 2017. In when we leave this
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219 daily Same as time, it'll
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223 shift a little bit, but I use a two hour window said it
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227 doesn't have a great impact at all. So what I look for is a
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231 move that originates or forms immediately after the Asian
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235 open. Another example here the New Zealand dollar, again,
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239 very similar. This one, you can see the optimal trade entry
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243 comes down with just one singular candle on a 15 minute
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247 timeframe comes down to an optimal trade entry, runs equal
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251 highs in the previous day's range and ultimately runs all
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255 the way up to the previous Friday's high. Now this is all
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259 done during the asian session, prior to Frankfurt open or
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263 London open. Now we're gonna talk about the asian session.
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267 Now, the periods when the market is not willing to run in
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271 the asian session hours, there's not gonna be an optimal
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275 trade entry pattern, it will consolidate until midnight New
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279 York time. Now, the Asian trading session actually extends
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283 beyond the midnight hour of New York time. But I focus
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287 specifically in the realm of the agent open to midnight. So
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291 there's a range of several hours, okay, that I deem as the
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295 agent session for my trading, even though it does trade,
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299 past midnight, New York time. The setup or the information
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303 that I gleaned from these hours prior to midnight, are going
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307 to be covered in future tutorials and teachings. But there
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311 is a limitation, because I go into greater detail in the
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315 mentorship but you will get a plethora of insights using
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319 this specific range of time. But for now, the importance of
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323 the consolidation holds many clues to how the daily range
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327 will develop over the remainder of the 24 hour trading day.
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331 Now, these will be covered again in future lessons. But I
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335 want you to take a look at this example here the euro
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339 dollar. Now, generally, this pair isn't very active during
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343 the asian session, there are times when it is active and it
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347 creates a significant higher low or it begins the daily
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351 range higher low in this delineation of time. For the most
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355 part, it tends not to do that. So when it's not doing that,
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359 we can view this asian session as a consolidation that will
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363 in future lessons be very meaningful and significant terms
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367 of our analysis. Much like the euro dollar, the pound
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371 dollar, again generally is not very active in this time of
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375 day. So when it is not poised to make a significant higher
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379 low during the asian session or start running off of an
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383 optimal trading Entry during the asian session, again we
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387 would anticipate that particular time of day to be in a
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391 consolidation. And again these consolidations will be very
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395 significant to us in future teachings.
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399 Okay, the asian session characteristics. Now the pairs that
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403 are not coupled with the dollar index, or, as we refer to as
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407 crosses are most active during this time day. The US dollar
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411 tends to consolidate until midnight New York time, which
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415 frieze crosses like all the yen, pound Ozzy and many other
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419 pairs that cross with the busy currencies of this time of
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423 day. Now, what type of currencies would that be? Well, like
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427 we can do a pound Swiss. Those types of, to me that's an
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431 exotic, I don't trade them, I tend to stay away from them.
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435 And that's the other reason why I don't like to trade the
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439 asian session as well. I am not trying to discourage you
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443 from researching and studying it because it may end up
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447 becoming your niche, it may be the thing that you are going
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451 to excel at best. So I don't want to give you the commentary
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455 in light of my own tastes and try to mold what you try to do
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459 or what you don't like or what you should like, based on
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463 what I say I like so my opinion or my personality doesn't
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467 suit well for these times a day. Like these are my either my
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471 family hours, okay or, as you know, my Twitter hours after
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475 after market hours, but if you are a working class hero and
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479 you can't be watching the markets intraday during the London
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483 and or New York session, and you have to do something in the
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487 evening hours, but before midnight, and still have a restful
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491 sleep. You can trade these crosses at this time of day and
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495 many times you can catch Anywhere between 20 and 50 pips,
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499 not every single day, but a couple times a week, you can
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503 find scenarios like that in the crosses. So now, with this
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507 understanding, we can look at an example like the Aussie yen
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511 here, you can see a beautiful example of how we have equal
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515 lows, the previous trading day, late New York, and there was
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519 an optimal trade entry sell, where it runs 20 pips below the
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523 New York session lows all the way down to a perfect
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527 symmetrical 20 PIP sweep and also a beautiful Fibonacci
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531 extension overlay. But if you are, like I said, someone
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535 that's working in the States, and you're limited in your
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539 time of day where you can be active, you can supercharge the
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543 asian session by using the cross pairs. Now you can still
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547 get movement in like the Aussie dollar, the dollar yen, New
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551 Zealand dollar, those types of pairs, but you're going to be
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555 getting a Drag sometimes because of the dollar index, you
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559 get much more volatility by having a couple with across
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563 numbers, like a euro Aussie, a pound swissy, something like
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567 that, where you have a lot more volatility because of the
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571 cross nature of the pair, and it's not being held back or
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575 limited by way of the dollar index. Okay, speaking of the
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579 pound swissy you can see this one here gives a beautiful
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583 example of a bullish optimal trade entry. And it trades
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587 above previous day's high and it reaches up into a target
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591 one on the Fibonacci. So, we're seeing these trades form
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595 prior to London's volatility. And we're also seeing it
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599 outside the scope of a New York so over the evening hours of
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603 The North American continent where everyone sits down at
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607 dinner and sits down with family time and watches TV or
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611 whatever they do. I don't really consume a lot of TV. But
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615 whatever the normal American family is doing in those hours,
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619 if you have the opportunity to look at the marketplace at
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623 the agent session, there's about two, sometimes three hours
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627 where you can really dial in and get a setup. And many times
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631 it's going to come in the form of the cross. So anything
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635 that's not coupled to $1, but has a pair that's usually
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639 active during the asian session. And again, that's the
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643 Aussie
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647 New Zealand, the yen.
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651 Those pairs tend to do a lot of movement, because they're,
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655 their countries are active, either markets are open at that
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659 time. And even though they're smaller markets, they do start
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663 the financial day. Now going to agree on one thing, we're
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667 going to agree that the financial day started At midnight,
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671 New York time, because right now, the dollar is still the
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675 reserve currency, whether you want to accept that or believe
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679 it, that's just the way it is. What I view as the key point
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683 of the day is midnight, New York time. So if we can look for
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687 that small little window of opportunity between the agent
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691 open and midnight, that's a sweet spot for crosses. Now,
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695 there are times in the day like in London or New York where
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699 a cross can move. And that's going to be done by
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703 manipulation with the dollar. This time of day, the dollar
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707 is usually quiet. So we're not going to see a lot of
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711 manipulation by way the dollar so all the movement is going
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715 to be done by using the crosses. So if you look for a strong
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719 currency against a weak currency during this time of day,
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723 and you get an optimal trade entry pattern, you'll get many
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727 times a wonderful opportunity to trade during a time Typical
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731 slow period of the 24 hour banking cycle. So hopefully you
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735 found this teaching insightful. If you want to find more
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739 information like this, you can find it at the inner circle
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743 trader calm or my YouTube channel, inner circle trader.
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747 Until next time, I wish you good luck and good trading.
748 }}}