Wiki source code of ICT Market Maker Primer Course - 17 - The ICT ATM Method.srt
Show last authors
author | version | line-number | content |
---|---|---|---|
1 | 1 | ||
2 | 00:00:11,580 ~-~-> 00:00:13,920 | ||
3 | ICT: folks welcome back in this teaching terming | ||
4 | |||
5 | 2 | ||
6 | 00:00:13,920 ~-~-> 00:00:16,770 | ||
7 | specifically dealing with the ICT ATM method | ||
8 | |||
9 | 3 | ||
10 | 00:00:23,820 ~-~-> 00:00:28,230 | ||
11 | okay points of focus in this module we introducing the ICT | ||
12 | |||
13 | 4 | ||
14 | 00:00:28,230 ~-~-> 00:00:34,020 | ||
15 | ATM method the ATM and bares conditions with targets and | ||
16 | |||
17 | 5 | ||
18 | 00:00:34,020 ~-~-> 00:00:39,180 | ||
19 | stop placement the ATM in bullish conditions, the targets | ||
20 | |||
21 | 6 | ||
22 | 00:00:39,180 ~-~-> 00:00:40,050 | ||
23 | and stop placement. | ||
24 | |||
25 | 7 | ||
26 | 00:00:42,240 ~-~-> 00:00:44,310 | ||
27 | Okay introducing the ICT ATM method. | ||
28 | |||
29 | 8 | ||
30 | 00:00:47,040 ~-~-> 00:00:52,890 | ||
31 | Alright, it's a standalone price action pattern. The pattern | ||
32 | |||
33 | 9 | ||
34 | 00:00:52,890 ~-~-> 00:00:59,250 | ||
35 | capitalizes on stop runs to find this pattern on the 60 | ||
36 | |||
37 | 10 | ||
38 | 00:00:59,250 ~-~-> 00:01:05,010 | ||
39 | minute chart It's relatively easy to spot and you can do it | ||
40 | |||
41 | 11 | ||
42 | 00:01:05,010 ~-~-> 00:01:10,500 | ||
43 | quickly and finding it. Because it's pretty much a well, | ||
44 | |||
45 | 12 | ||
46 | 00:01:10,530 ~-~-> 00:01:12,810 | ||
47 | it's a rejection level. Okay, and I'll show you what that | ||
48 | |||
49 | 13 | ||
50 | 00:01:12,810 ~-~-> 00:01:17,070 | ||
51 | looks like. It's pretty easy to trade. And the wonderful | ||
52 | |||
53 | 14 | ||
54 | 00:01:17,070 ~-~-> 00:01:23,370 | ||
55 | thing is it's a complete trading model for setups. Guess | ||
56 | |||
57 | 15 | ||
58 | 00:01:23,370 ~-~-> 00:01:28,920 | ||
59 | we're gonna look at the ATM in bearish conditions. Now once | ||
60 | |||
61 | 16 | ||
62 | 00:01:28,920 ~-~-> 00:01:31,560 | ||
63 | you take a look at this diagram on the right hand side, okay | ||
64 | |||
65 | 17 | ||
66 | 00:01:31,560 ~-~-> 00:01:35,820 | ||
67 | and let the image burn in for a couple of minutes. And as | ||
68 | |||
69 | 18 | ||
70 | 00:01:35,820 ~-~-> 00:01:38,130 | ||
71 | I'm talking to you just kind of like study what it's | ||
72 | |||
73 | 19 | ||
74 | 00:01:38,580 ~-~-> 00:01:45,300 | ||
75 | depicting. And I want you to think about how when we start | ||
76 | |||
77 | 20 | ||
78 | 00:01:45,300 ~-~-> 00:01:48,510 | ||
79 | as traders generally the idea of support resistance is | ||
80 | |||
81 | 21 | ||
82 | 00:01:49,860 ~-~-> 00:01:55,530 | ||
83 | rather early in our introduction to technical analysis. And | ||
84 | |||
85 | 22 | ||
86 | 00:01:55,530 ~-~-> 00:01:58,980 | ||
87 | the problem I found when I first started as a trader is what | ||
88 | |||
89 | 23 | ||
90 | 00:01:59,160 ~-~-> 00:02:02,790 | ||
91 | support resistance levels do I use this? I mean, there's so | ||
92 | |||
93 | 24 | ||
94 | 00:02:02,790 ~-~-> 00:02:05,550 | ||
95 | many you could possibly have in your chart, which ones | ||
96 | |||
97 | 25 | ||
98 | 00:02:05,550 ~-~-> 00:02:09,510 | ||
99 | should I be focusing on? So, my work has been trying to | ||
100 | |||
101 | 26 | ||
102 | 00:02:09,510 ~-~-> 00:02:11,850 | ||
103 | simplifying that so that way I could teach it to my | ||
104 | |||
105 | 27 | ||
106 | 00:02:11,880 ~-~-> 00:02:17,100 | ||
107 | children. Because of this, I've been able to make pretty | ||
108 | |||
109 | 28 | ||
110 | 00:02:17,160 ~-~-> 00:02:20,310 | ||
111 | detailed tutorials for people around the world to learn | ||
112 | |||
113 | 29 | ||
114 | 00:02:20,310 ~-~-> 00:02:24,060 | ||
115 | from. And I've developed a little bit better ability to | ||
116 | |||
117 | 30 | ||
118 | 00:02:24,060 ~-~-> 00:02:27,030 | ||
119 | teach over the years doing it. But initially, when I first | ||
120 | |||
121 | 31 | ||
122 | 00:02:27,030 ~-~-> 00:02:30,780 | ||
123 | started, I gave a lot of information, and it was overkill. | ||
124 | |||
125 | 32 | ||
126 | 00:02:31,200 ~-~-> 00:02:35,070 | ||
127 | So this teaching is going to be rather brief, but it's | ||
128 | |||
129 | 33 | ||
130 | 00:02:35,100 ~-~-> 00:02:39,870 | ||
131 | again, very dense in its information. So again, looking at | ||
132 | |||
133 | 34 | ||
134 | 00:02:39,870 ~-~-> 00:02:43,710 | ||
135 | this diagram here, I want you to think about what would | ||
136 | |||
137 | 35 | ||
138 | 00:02:43,710 ~-~-> 00:02:49,080 | ||
139 | constitute these turning points. And I'm sure if you were to | ||
140 | |||
141 | 36 | ||
142 | 00:02:49,080 ~-~-> 00:02:52,110 | ||
143 | go through charts, you could see patterns like this that are | ||
144 | |||
145 | 37 | ||
146 | 00:02:52,110 ~-~-> 00:02:56,370 | ||
147 | very similar in different timeframes. The timeframe that I | ||
148 | |||
149 | 38 | ||
150 | 00:02:56,370 ~-~-> 00:03:01,080 | ||
151 | teach, defined this pattern on is the hourly chart. The | ||
152 | |||
153 | 39 | ||
154 | 00:03:01,080 ~-~-> 00:03:03,090 | ||
155 | reason why I like to look for it on the hourly chart is | ||
156 | |||
157 | 40 | ||
158 | 00:03:03,090 ~-~-> 00:03:06,600 | ||
159 | because it gives me flexibility to drill down to a lower | ||
160 | |||
161 | 41 | ||
162 | 00:03:06,600 ~-~-> 00:03:12,180 | ||
163 | timeframe to refine risk to a smaller amount, while still | ||
164 | |||
165 | 42 | ||
166 | 00:03:12,180 ~-~-> 00:03:18,600 | ||
167 | keeping the maximum reward still in sight. And also, the | ||
168 | |||
169 | 43 | ||
170 | 00:03:18,600 ~-~-> 00:03:23,070 | ||
171 | hourly to me is clean enough in terms of a timeframe, it | ||
172 | |||
173 | 44 | ||
174 | 00:03:23,070 ~-~-> 00:03:28,470 | ||
175 | promotes a little bit longer term horizon for the setups. | ||
176 | |||
177 | 45 | ||
178 | 00:03:28,590 ~-~-> 00:03:32,580 | ||
179 | Now granted, an hourly chart is not long term. But you can | ||
180 | |||
181 | 46 | ||
182 | 00:03:32,580 ~-~-> 00:03:35,340 | ||
183 | see a lot of the levels you can see otherwise on a four hour | ||
184 | |||
185 | 47 | ||
186 | 00:03:35,340 ~-~-> 00:03:39,540 | ||
187 | or daily if you know you're looking for. So I kind of like | ||
188 | |||
189 | 48 | ||
190 | 00:03:39,630 ~-~-> 00:03:43,020 | ||
191 | to ingrain in your mind in this teaching how we can use key | ||
192 | |||
193 | 49 | ||
194 | 00:03:43,020 ~-~-> 00:03:46,830 | ||
195 | support resistance levels, and what makes these levels key. | ||
196 | |||
197 | 50 | ||
198 | 00:03:49,680 ~-~-> 00:03:51,720 | ||
199 | So the first thing you want to do is you want to take your | ||
200 | |||
201 | 51 | ||
202 | 00:03:51,720 ~-~-> 00:03:55,440 | ||
203 | 60 minute chart and this can work on any asset class. Okay, | ||
204 | |||
205 | 52 | ||
206 | 00:03:55,440 ~-~-> 00:03:59,970 | ||
207 | so I'm going to be using forex for this discussion. Okay. | ||
208 | |||
209 | 53 | ||
210 | 00:04:00,000 ~-~-> 00:04:04,290 | ||
211 | The scope is in demo trading only. But you can also do if | ||
212 | |||
213 | 54 | ||
214 | 00:04:04,290 ~-~-> 00:04:08,010 | ||
215 | you also do demo accounts with futures contracts, commodity | ||
216 | |||
217 | 55 | ||
218 | 00:04:08,010 ~-~-> 00:04:13,530 | ||
219 | stocks, bonds and the like. So, you start with a 60 minute | ||
220 | |||
221 | 56 | ||
222 | 00:04:13,530 ~-~-> 00:04:16,770 | ||
223 | chart. Pretty simple, straightforward, you don't do, you | ||
224 | |||
225 | 57 | ||
226 | 00:04:16,770 ~-~-> 00:04:19,200 | ||
227 | don't do a whole lot of top down analysis, because the | ||
228 | |||
229 | 58 | ||
230 | 00:04:19,200 ~-~-> 00:04:22,920 | ||
231 | pattern is self sufficient. So you've been looking for a 60 | ||
232 | |||
233 | 59 | ||
234 | 00:04:22,920 ~-~-> 00:04:29,400 | ||
235 | minute chart for a key high to form. And what makes it a key | ||
236 | |||
237 | 60 | ||
238 | 00:04:29,400 ~-~-> 00:04:34,140 | ||
239 | high is you want to see it create this initial short term | ||
240 | |||
241 | 61 | ||
242 | 00:04:34,140 ~-~-> 00:04:39,120 | ||
243 | high, and then it runs through it. It breaks down, okay, | ||
244 | |||
245 | 62 | ||
246 | 00:04:39,120 ~-~-> 00:04:44,040 | ||
247 | it's gonna break a swing low right here. When price trades | ||
248 | |||
249 | 63 | ||
250 | 00:04:44,040 ~-~-> 00:04:46,590 | ||
251 | through that, that's when it becomes a valid pattern. It | ||
252 | |||
253 | 64 | ||
254 | 00:04:46,590 ~-~-> 00:04:52,800 | ||
255 | does not become a valid pattern until we get below this | ||
256 | |||
257 | 65 | ||
258 | 00:04:53,130 ~-~-> 00:04:57,810 | ||
259 | swing low here. Okay? So imagine price action, kind of | ||
260 | |||
261 | 66 | ||
262 | 00:04:57,810 ~-~-> 00:05:01,050 | ||
263 | creating a checkmark Okay. Give it little short short term | ||
264 | |||
265 | 67 | ||
266 | 00:05:01,050 ~-~-> 00:05:05,550 | ||
267 | high here and it makes a check like that. Okay? When that | ||
268 | |||
269 | 68 | ||
270 | 00:05:05,730 ~-~-> 00:05:11,130 | ||
271 | check mark gets surpassed by price action when it trades | ||
272 | |||
273 | 69 | ||
274 | 00:05:11,130 ~-~-> 00:05:14,610 | ||
275 | back up to that, that's setup. Okay, that's what we're | ||
276 | |||
277 | 70 | ||
278 | 00:05:14,610 ~-~-> 00:05:22,650 | ||
279 | looking for. So ideally, what makes this setup stronger is | ||
280 | |||
281 | 71 | ||
282 | 00:05:22,650 ~-~-> 00:05:27,240 | ||
283 | if this whole price swing is part of a two stage move. In | ||
284 | |||
285 | 72 | ||
286 | 00:05:27,240 ~-~-> 00:05:30,630 | ||
287 | other words, we have a short term high, that's ran out, and | ||
288 | |||
289 | 73 | ||
290 | 00:05:30,630 ~-~-> 00:05:33,720 | ||
291 | we have a short term high here and it runs out. Okay, so | ||
292 | |||
293 | 74 | ||
294 | 00:05:33,720 ~-~-> 00:05:37,380 | ||
295 | this move should be ideally the second move up, taking a | ||
296 | |||
297 | 75 | ||
298 | 00:05:37,380 ~-~-> 00:05:40,560 | ||
299 | short term high. That means we're pretty much overbought | ||
300 | |||
301 | 76 | ||
302 | 00:05:40,860 ~-~-> 00:05:43,290 | ||
303 | from a technical standpoint without the necessity of any | ||
304 | |||
305 | 77 | ||
306 | 00:05:43,290 ~-~-> 00:05:43,950 | ||
307 | indicators. | ||
308 | |||
309 | 78 | ||
310 | 00:05:45,360 ~-~-> 00:05:50,730 | ||
311 | So we're focusing again on this short term low here and it | ||
312 | |||
313 | 79 | ||
314 | 00:05:50,730 ~-~-> 00:05:58,290 | ||
315 | has to break below that. Again, part of a two stage move | ||
316 | |||
317 | 80 | ||
318 | 00:05:58,290 ~-~-> 00:06:02,880 | ||
319 | higher And we're gonna be waiting for price to retrace back | ||
320 | |||
321 | 81 | ||
322 | 00:06:02,880 ~-~-> 00:06:06,240 | ||
323 | to the swing low that forms prior to the key high forming. | ||
324 | |||
325 | 82 | ||
326 | 00:06:06,450 ~-~-> 00:06:12,630 | ||
327 | Now what makes this high key is the fact that we have taken | ||
328 | |||
329 | 83 | ||
330 | 00:06:12,630 ~-~-> 00:06:16,230 | ||
331 | out a short term high, but the low immediately after that | ||
332 | |||
333 | 84 | ||
334 | 00:06:16,230 ~-~-> 00:06:20,400 | ||
335 | short term high is violated, it's broken down. So, in | ||
336 | |||
337 | 85 | ||
338 | 00:06:20,400 ~-~-> 00:06:23,700 | ||
339 | essence, this is a break in market structure here. And all | ||
340 | |||
341 | 86 | ||
342 | 00:06:23,700 ~-~-> 00:06:27,150 | ||
343 | we're doing is waiting for a retest of that same old support | ||
344 | |||
345 | 87 | ||
346 | 00:06:27,150 ~-~-> 00:06:30,660 | ||
347 | level now becomes resistance. So now when we see this in | ||
348 | |||
349 | 88 | ||
350 | 00:06:30,720 ~-~-> 00:06:37,530 | ||
351 | proper context, we can classify and quantify real support | ||
352 | |||
353 | 89 | ||
354 | 00:06:37,530 ~-~-> 00:06:41,730 | ||
355 | resistance, because we're incorporating the idea of a stock | ||
356 | |||
357 | 90 | ||
358 | 00:06:41,730 ~-~-> 00:06:44,730 | ||
359 | run above this short term high. And then anyone that's long | ||
360 | |||
361 | 91 | ||
362 | 00:06:44,730 ~-~-> 00:06:47,460 | ||
363 | here, we're gonna have a stop below this low, so they run | ||
364 | |||
365 | 92 | ||
366 | 00:06:47,460 ~-~-> 00:06:50,340 | ||
367 | through those stops. Price comes back up to this level here. | ||
368 | |||
369 | 93 | ||
370 | 00:06:50,670 ~-~-> 00:06:53,580 | ||
371 | We've already rejected price above this short term high | ||
372 | |||
373 | 94 | ||
374 | 00:06:53,580 ~-~-> 00:06:58,290 | ||
375 | above number two. So this level here should promote selling | ||
376 | |||
377 | 95 | ||
378 | 00:06:58,620 ~-~-> 00:07:02,280 | ||
379 | and it should stave off Real buying, because we've broken | ||
380 | |||
381 | 96 | ||
382 | 00:07:02,280 ~-~-> 00:07:05,910 | ||
383 | market structure with this swing low with this drop down. So | ||
384 | |||
385 | 97 | ||
386 | 00:07:05,910 ~-~-> 00:07:09,390 | ||
387 | this would be a nice area to look for shorts. And then once | ||
388 | |||
389 | 98 | ||
390 | 00:07:09,390 ~-~-> 00:07:15,120 | ||
391 | we have that, what we look for on this entry pattern, we | ||
392 | |||
393 | 99 | ||
394 | 00:07:15,120 ~-~-> 00:07:19,530 | ||
395 | have to frame obviously, profit and risk. So we first have | ||
396 | |||
397 | 100 | ||
398 | 00:07:19,530 ~-~-> 00:07:22,710 | ||
399 | to determine what's our potential profit. What do we hope to | ||
400 | |||
401 | 101 | ||
402 | 00:07:22,710 ~-~-> 00:07:27,810 | ||
403 | make? So we look for a swing low, where in this case it | ||
404 | |||
405 | 102 | ||
406 | 00:07:27,810 ~-~-> 00:07:32,310 | ||
407 | would be sell stops resting below that short term low. And | ||
408 | |||
409 | 103 | ||
410 | 00:07:32,310 ~-~-> 00:07:36,690 | ||
411 | we would target from our entry point at this low down to | ||
412 | |||
413 | 104 | ||
414 | 00:07:36,690 ~-~-> 00:07:39,930 | ||
415 | that level just below the old low that's what we are aiming | ||
416 | |||
417 | 105 | ||
418 | 00:07:39,930 ~-~-> 00:07:43,170 | ||
419 | for. That's our target, if you will, the risk is going to be | ||
420 | |||
421 | 106 | ||
422 | 00:07:43,170 ~-~-> 00:07:49,170 | ||
423 | defined by one or two pips above the key high, okay, or the | ||
424 | |||
425 | 107 | ||
426 | 00:07:49,170 ~-~-> 00:07:54,240 | ||
427 | rejection high. Sometimes price can go above this short term | ||
428 | |||
429 | 108 | ||
430 | 00:07:54,240 ~-~-> 00:07:58,710 | ||
431 | low a little bit. It's better if it doesn't, but don't be | ||
432 | |||
433 | 109 | ||
434 | 00:07:59,430 ~-~-> 00:08:02,580 | ||
435 | afraid. If it goes up by a little bit, your stop loss is up | ||
436 | |||
437 | 110 | ||
438 | 00:08:02,580 ~-~-> 00:08:05,520 | ||
439 | here to do its work. It's a demo account, don't lose any | ||
440 | |||
441 | 111 | ||
442 | 00:08:05,520 ~-~-> 00:08:09,240 | ||
443 | sleep over. Okay? So we're looking for the framework of this | ||
444 | |||
445 | 112 | ||
446 | 00:08:09,240 ~-~-> 00:08:12,330 | ||
447 | entry point to this as our objective and our stop loss | ||
448 | |||
449 | 113 | ||
450 | 00:08:12,510 ~-~-> 00:08:16,050 | ||
451 | protecting our overall position. Okay, so let's take a look | ||
452 | |||
453 | 114 | ||
454 | 00:08:16,050 ~-~-> 00:08:22,500 | ||
455 | of it in actual price action. Okay, we can see price | ||
456 | |||
457 | 115 | ||
458 | 00:08:22,500 ~-~-> 00:08:27,930 | ||
459 | creating a short term high here, price runs through it, no | ||
460 | |||
461 | 116 | ||
462 | 00:08:27,930 ~-~-> 00:08:31,200 | ||
463 | short term high here, price runs through that and then it | ||
464 | |||
465 | 117 | ||
466 | 00:08:31,200 ~-~-> 00:08:35,460 | ||
467 | rejects being above this short term high and trades down | ||
468 | |||
469 | 118 | ||
470 | 00:08:36,240 ~-~-> 00:08:41,160 | ||
471 | below this low in price comes back up and retake retreats to | ||
472 | |||
473 | 119 | ||
474 | 00:08:41,160 ~-~-> 00:08:44,790 | ||
475 | it. Okay, so this candle here violates it and then we come | ||
476 | |||
477 | 120 | ||
478 | 00:08:44,790 ~-~-> 00:08:47,520 | ||
479 | right back up to it and trades right into that same level. | ||
480 | |||
481 | 121 | ||
482 | 00:08:47,880 ~-~-> 00:08:52,350 | ||
483 | As soon as that happens, that is a sell scenario. Okay, or | ||
484 | |||
485 | 122 | ||
486 | 00:08:52,680 ~-~-> 00:08:55,290 | ||
487 | shorting opportunity. We're gonna be looking for a move | ||
488 | |||
489 | 123 | ||
490 | 00:08:55,290 ~-~-> 00:09:00,420 | ||
491 | below this low. Our risk is defined by the high six Five | ||
492 | |||
493 | 124 | ||
494 | 00:09:00,420 ~-~-> 00:09:04,530 | ||
495 | pips risk to make from this entry point down to the stops. | ||
496 | |||
497 | 125 | ||
498 | 00:09:06,720 ~-~-> 00:09:10,950 | ||
499 | That's not bad you can take that trade it's not you barn | ||
500 | |||
501 | 126 | ||
502 | 00:09:10,950 ~-~-> 00:09:16,530 | ||
503 | burning, okay? If we drop down into a 15 minute timeframe, | ||
504 | |||
505 | 127 | ||
506 | 00:09:17,250 ~-~-> 00:09:21,990 | ||
507 | we can take that same insight in here in zero in and use our | ||
508 | |||
509 | 128 | ||
510 | 00:09:22,020 ~-~-> 00:09:25,560 | ||
511 | trusty optimal trade entry pattern to reduce some of the | ||
512 | |||
513 | 129 | ||
514 | 00:09:25,560 ~-~-> 00:09:29,670 | ||
515 | risk. So now we can reduce that 65 pips stop loss down to 20 | ||
516 | |||
517 | 130 | ||
518 | 00:09:29,670 ~-~-> 00:09:32,700 | ||
519 | pips. Notice also that we have a Fibonacci extension of | ||
520 | |||
521 | 131 | ||
522 | 00:09:32,970 ~-~-> 00:09:37,020 | ||
523 | 300%, which takes us right below that low where our sell | ||
524 | |||
525 | 132 | ||
526 | 00:09:37,020 ~-~-> 00:09:39,960 | ||
527 | stop target with me. Now we're going to look at an example | ||
528 | |||
529 | 133 | ||
530 | 00:09:39,990 ~-~-> 00:09:43,590 | ||
531 | of the bullish condition of an ATM. Again, look at the | ||
532 | |||
533 | 134 | ||
534 | 00:09:43,590 ~-~-> 00:09:50,250 | ||
535 | scenario here in this crude depiction. Game we'll be | ||
536 | |||
537 | 135 | ||
538 | 00:09:50,250 ~-~-> 00:09:53,700 | ||
539 | scanning the price action on a 60 minute chart key low to | ||
540 | |||
541 | 136 | ||
542 | 00:09:53,700 ~-~-> 00:09:57,330 | ||
543 | form and a short term swing high broken to the upside. | ||
544 | |||
545 | 137 | ||
546 | 00:09:57,540 ~-~-> 00:10:00,750 | ||
547 | That's gonna be this here. So we're looking for For a low, | ||
548 | |||
549 | 138 | ||
550 | 00:10:01,110 ~-~-> 00:10:03,810 | ||
551 | that's violated and then we trade rate back above the short | ||
552 | |||
553 | 139 | ||
554 | 00:10:03,810 ~-~-> 00:10:06,360 | ||
555 | term high right here. So in other words, what we're looking | ||
556 | |||
557 | 140 | ||
558 | 00:10:06,360 ~-~-> 00:10:10,020 | ||
559 | for, it's kinda like a crooked little number seven. Okay? | ||
560 | |||
561 | 141 | ||
562 | 00:10:10,710 ~-~-> 00:10:14,040 | ||
563 | And when that is violated on the upside, when price comes | ||
564 | |||
565 | 142 | ||
566 | 00:10:14,040 ~-~-> 00:10:17,820 | ||
567 | back down to it, that's what we're hunting. So ideally, this | ||
568 | |||
569 | 143 | ||
570 | 00:10:17,820 ~-~-> 00:10:22,230 | ||
571 | is going to be part of a continued swing lower, we have a | ||
572 | |||
573 | 144 | ||
574 | 00:10:22,230 ~-~-> 00:10:24,420 | ||
575 | swing low, that's violated here, and then we have a swing | ||
576 | |||
577 | 145 | ||
578 | 00:10:24,420 ~-~-> 00:10:27,450 | ||
579 | low, that's violated here. So it's like a two stage move | ||
580 | |||
581 | 146 | ||
582 | 00:10:27,450 ~-~-> 00:10:31,140 | ||
583 | lower of breaking old support old support. Now we're really | ||
584 | |||
585 | 147 | ||
586 | 00:10:31,140 ~-~-> 00:10:34,470 | ||
587 | oversold technically without any necessity of needing any | ||
588 | |||
589 | 148 | ||
590 | 00:10:34,470 ~-~-> 00:10:40,470 | ||
591 | indication to tell us that. So here's our to scale drop | ||
592 | |||
593 | 149 | ||
594 | 00:10:40,470 ~-~-> 00:10:40,920 | ||
595 | down. | ||
596 | |||
597 | 150 | ||
598 | 00:10:42,269 ~-~-> 00:10:44,099 | ||
599 | And where are we waiting for price to retrace back to the | ||
600 | |||
601 | 151 | ||
602 | 00:10:44,099 ~-~-> 00:10:48,119 | ||
603 | swing high broken prior to the key low forming again, that's | ||
604 | |||
605 | 152 | ||
606 | 00:10:48,119 ~-~-> 00:10:51,659 | ||
607 | this here, and we zero in right there. That's our setup for | ||
608 | |||
609 | 153 | ||
610 | 00:10:51,659 ~-~-> 00:10:55,679 | ||
611 | a long. So we'll look for our opportunity for creaming our | ||
612 | |||
613 | 154 | ||
614 | 00:10:55,679 ~-~-> 00:10:58,469 | ||
615 | potential reward. Again, we're gonna be hunting by stops | ||
616 | |||
617 | 155 | ||
618 | 00:10:58,469 ~-~-> 00:11:03,569 | ||
619 | above this swing high here. And stop losses below here. So | ||
620 | |||
621 | 156 | ||
622 | 00:11:03,569 ~-~-> 00:11:07,799 | ||
623 | our entry to our stock is our risk and our entry to the buy | ||
624 | |||
625 | 157 | ||
626 | 00:11:07,799 ~-~-> 00:11:10,259 | ||
627 | stops above here is our potential profit or reward. | ||
628 | |||
629 | 158 | ||
630 | 00:11:12,690 ~-~-> 00:11:14,400 | ||
631 | All right, we'll take a look at an example in the bullish | ||
632 | |||
633 | 159 | ||
634 | 00:11:14,400 ~-~-> 00:11:14,880 | ||
635 | condition. | ||
636 | |||
637 | 160 | ||
638 | 00:11:17,399 ~-~-> 00:11:21,749 | ||
639 | Alright, so here is price action on an hourly chart, you can | ||
640 | |||
641 | 161 | ||
642 | 00:11:21,749 ~-~-> 00:11:27,329 | ||
643 | see we have one support level broken, another area of | ||
644 | |||
645 | 162 | ||
646 | 00:11:27,329 ~-~-> 00:11:31,709 | ||
647 | support broken, and then we have an old Whoa, violated | ||
648 | |||
649 | 163 | ||
650 | 00:11:31,709 ~-~-> 00:11:34,859 | ||
651 | aggressively, and then price trades back above it right | ||
652 | |||
653 | 164 | ||
654 | 00:11:34,859 ~-~-> 00:11:40,049 | ||
655 | here. When we see that this retest of that old high, that's | ||
656 | |||
657 | 165 | ||
658 | 00:11:40,049 ~-~-> 00:11:43,769 | ||
659 | where we're hunting along. So if that's our entry, and this | ||
660 | |||
661 | 166 | ||
662 | 00:11:43,769 ~-~-> 00:11:49,919 | ||
663 | is our stop loss, we're risking 140 pips, to make 225 pips | ||
664 | |||
665 | 167 | ||
666 | 00:11:50,759 ~-~-> 00:11:54,629 | ||
667 | by stops are our target here. Now that may not be an ideal | ||
668 | |||
669 | 168 | ||
670 | 00:11:54,629 ~-~-> 00:11:57,359 | ||
671 | scenario for you, it may not be something that fits your | ||
672 | |||
673 | 169 | ||
674 | 00:11:57,389 ~-~-> 00:12:00,749 | ||
675 | risk appetite, so we can now drop down into To a 15 minute | ||
676 | |||
677 | 170 | ||
678 | 00:12:00,749 ~-~-> 00:12:04,649 | ||
679 | timeframe and try to get that same 225 pips with a little | ||
680 | |||
681 | 171 | ||
682 | 00:12:04,649 ~-~-> 00:12:09,029 | ||
683 | bit lower stop loss. So here we are on a 15 minute time | ||
684 | |||
685 | 172 | ||
686 | 00:12:09,029 ~-~-> 00:12:11,309 | ||
687 | frame, I've zoomed in here and that same little area of | ||
688 | |||
689 | 173 | ||
690 | 00:12:11,309 ~-~-> 00:12:14,969 | ||
691 | looking to be a buyer, we're going to be now removing all | ||
692 | |||
693 | 174 | ||
694 | 00:12:14,969 ~-~-> 00:12:19,529 | ||
695 | that risk down to 80 pips, so we have a stop loss just below | ||
696 | |||
697 | 175 | ||
698 | 00:12:19,529 ~-~-> 00:12:24,329 | ||
699 | this old low here. Okay, so we have this low to this high | ||
700 | |||
701 | 176 | ||
702 | 00:12:24,509 ~-~-> 00:12:27,359 | ||
703 | here, coming back down to that level. So we're trying to | ||
704 | |||
705 | 177 | ||
706 | 00:12:27,389 ~-~-> 00:12:31,229 | ||
707 | give ourselves a little bit more of a better risk reward | ||
708 | |||
709 | 178 | ||
710 | 00:12:31,229 ~-~-> 00:12:37,229 | ||
711 | model here. Right away, we're almost at three to one that's | ||
712 | |||
713 | 179 | ||
714 | 00:12:37,229 ~-~-> 00:12:40,349 | ||
715 | improved, but watch what we do when we zoom in a little bit | ||
716 | |||
717 | 180 | ||
718 | 00:12:40,349 ~-~-> 00:12:42,629 | ||
719 | more. We're gonna actually go down to a five minute chart | ||
720 | |||
721 | 181 | ||
722 | 00:12:42,629 ~-~-> 00:12:47,609 | ||
723 | now and still see if we can get that 225 pips but with a | ||
724 | |||
725 | 182 | ||
726 | 00:12:47,609 ~-~-> 00:12:52,649 | ||
727 | smaller stop loss. Okay, so now we have a five minute chart | ||
728 | |||
729 | 183 | ||
730 | 00:12:52,709 ~-~-> 00:12:56,669 | ||
731 | again, that same little area, that green circle resumed in | ||
732 | |||
733 | 184 | ||
734 | 00:12:56,669 ~-~-> 00:12:59,789 | ||
735 | here. And now I'm doing this doing an optimal trade entry | ||
736 | |||
737 | 185 | ||
738 | 00:12:59,789 ~-~-> 00:13:03,659 | ||
739 | long are in the fifth and the body's lowest open or close to | ||
740 | |||
741 | 186 | ||
742 | 00:13:03,659 ~-~-> 00:13:06,599 | ||
743 | the highest open or close and this swing high guess is a | ||
744 | |||
745 | 187 | ||
746 | 00:13:06,599 ~-~-> 00:13:09,839 | ||
747 | beautiful little optimal trade entry long. Right at the same | ||
748 | |||
749 | 188 | ||
750 | 00:13:09,839 ~-~-> 00:13:13,469 | ||
751 | level, we'd be looking for that scenario to unfold that. And | ||
752 | |||
753 | 189 | ||
754 | 00:13:13,469 ~-~-> 00:13:16,319 | ||
755 | now we can reduce that stop down to 20 pips, but still | ||
756 | |||
757 | 190 | ||
758 | 00:13:16,319 ~-~-> 00:13:19,889 | ||
759 | looking and hunting to earn 25 pips or in this case becomes | ||
760 | |||
761 | 191 | ||
762 | 00:13:20,159 ~-~-> 00:13:24,629 | ||
763 | 11 to one reward the risk model. So what we've done is we've | ||
764 | |||
765 | 192 | ||
766 | 00:13:24,929 ~-~-> 00:13:30,359 | ||
767 | looked for a key turning point. We've identified the key | ||
768 | |||
769 | 193 | ||
770 | 00:13:30,359 ~-~-> 00:13:35,039 | ||
771 | levels relative to runs on liquidity stops, and we use the | ||
772 | |||
773 | 194 | ||
774 | 00:13:35,039 ~-~-> 00:13:39,689 | ||
775 | targets in the form of a stock run as well. We can use the | ||
776 | |||
777 | 195 | ||
778 | 00:13:39,689 ~-~-> 00:13:43,379 | ||
779 | optimal trade entry to zero in and reduce the risk but still | ||
780 | |||
781 | 196 | ||
782 | 00:13:43,379 ~-~-> 00:13:47,369 | ||
783 | keep the possible potential reward, still the same as we | ||
784 | |||
785 | 197 | ||
786 | 00:13:47,369 ~-~-> 00:13:53,009 | ||
787 | would have used from an hourly setup. So the 225 pips is | ||
788 | |||
789 | 198 | ||
790 | 00:13:53,009 ~-~-> 00:13:57,239 | ||
791 | still available to us with a 20 PIP stop loss. Now granted, | ||
792 | |||
793 | 199 | ||
794 | 00:13:57,239 ~-~-> 00:14:00,479 | ||
795 | you have to hold for a while but this is what It looks like | ||
796 | |||
797 | 200 | ||
798 | 00:14:00,479 ~-~-> 00:14:03,479 | ||
799 | on a five minute zoomed out and not getting the entire move, | ||
800 | |||
801 | 201 | ||
802 | 00:14:03,509 ~-~-> 00:14:07,139 | ||
803 | but it takes a little bit of time to get there. But | ||
804 | |||
805 | 202 | ||
806 | 00:14:07,139 ~-~-> 00:14:11,459 | ||
807 | nonetheless, this is how we can use the ATM method to get | ||
808 | |||
809 | 203 | ||
810 | 00:14:11,459 ~-~-> 00:14:14,219 | ||
811 | high probability setups, trading key support resistance | ||
812 | |||
813 | 204 | ||
814 | 00:14:14,219 ~-~-> 00:14:19,169 | ||
815 | levels. Again 225 pips is available. That's 20 pips stop | ||
816 | |||
817 | 205 | ||
818 | 00:14:19,169 ~-~-> 00:14:25,979 | ||
819 | loss. Hope you enjoyed this presentation. If you'd like | ||
820 | |||
821 | 206 | ||
822 | 00:14:25,979 ~-~-> 00:14:28,619 | ||
823 | these types of teachings, you can find more at V inner | ||
824 | |||
825 | 207 | ||
826 | 00:14:28,619 ~-~-> 00:14:29,759 | ||
827 | circle trader.com |