ICT - Trading Plan Development 6.srt
Last modified by Drunk Monkey on 2021-06-11 13:57
| 1 | 00:01:41,550 --> 00:01:51,540 | ICT: Okay folks, we are looking at Part Six on the trade plan development series and we're focusing on short term trading in this example. And obviously, you |
| 2 | 00:01:51,540 --> 00:02:02,160 | know, we're not gonna be reinventing the wheel here a lot of the concepts that I'll be discussing here are taught in previous teaching modules, I would counsel |
| 3 | 00:02:02,160 --> 00:02:14,190 | you to look at my short term trading video module, the power three video module, how to capture explosive profits in the Forex market, video module and module, |
| 4 | 00:02:14,580 --> 00:02:27,840 | you'll refer back to the optimal trade entry video module and maybe even the fib concept. So the module maybe you have helped you as well. But let's take a look |
| 5 | 00:02:27,840 --> 00:02:39,150 | at the overall plan here. Okay, and we're looking at short term trading plan and the premise to this style trading is we're gonna be trading in sync with the |
| 6 | 00:02:39,150 --> 00:02:47,220 | market structure. And we're gonna talk about market structure in this video module a bit more greater detail because I really want to differentiate from |
| 7 | 00:02:47,280 --> 00:02:59,190 | market flow okay, because there is a difference in what I mean when I say market flow and market structure, okay. If there was one specific preference over |
| 8 | 00:02:59,340 --> 00:03:08,340 | trading with market flow or market structure, it would be market structure. Okay, I learned from Larry Williams and I think this will be more or less of a |
| 9 | 00:03:08,340 --> 00:03:19,890 | better treaties on the explanation on how I trade with it in this in this module. I duration this style trading is as low as intraday. entry and exit of |
| 10 | 00:03:19,890 --> 00:03:29,910 | the same day to as little as a few days. anything greater than five days in a trade I would consider a swing trade. So five days or less. To me it's a short |
| 11 | 00:03:29,910 --> 00:03:41,400 | term trade and the average pips in terms of profit, we're aiming for 50 to 150 pips portrayed. Alright, so the buy signals, how do we arrive at looking for |
| 12 | 00:03:41,400 --> 00:03:48,810 | buys or we're gonna be trading long in the observance of a bullish market maker profile. That's the fractal we're going to be highlighting in this video module. |
| 13 | 00:03:49,020 --> 00:03:58,560 | There's all types of fractals all different styles of trading fractals. Again, fractals are simply a pattern that is infinitely visible, okay, in any timeframe |
| 14 | 00:03:58,590 --> 00:04:09,330 | up or down. Okay, they're going to look a little bit different overall, but generally they do overall premise or pattern to it is universally the same. |
| 15 | 00:04:09,420 --> 00:04:19,680 | Okay, and you'll see what I mean by that when we look at the actual market maker profile. We looking to find price patterns and conferences to support our trades |
| 16 | 00:04:19,680 --> 00:04:28,290 | in the direction of the market maker profile and market structure, those both being bullish and will be utilizing the optimal trade entry for entry price and |
| 17 | 00:04:28,320 --> 00:04:37,200 | using fib extensions for profits nothing new here guys new known reinventing the wheel here simple concepts we've already talked about in previous video modules. |
| 18 | 00:04:37,770 --> 00:04:46,950 | sell signals obviously much like everything else in my teaching is reverse everything. So if you look for the observance of a bearish market maker profile, |
| 19 | 00:04:46,980 --> 00:04:55,440 | the fractal again we're looking for with a bearish market structure. And we'll be looking for price patterns and conferences. And we'll be utilizing the |
| 20 | 00:04:55,440 --> 00:05:09,210 | optimal trade entry for our entry price and using fib extensions 127 162 and 200 for profit. Now, when we put a trade on the wrist, we associate each trade will |
| 21 | 00:05:09,210 --> 00:05:21,120 | be maximized at no greater than 2% per trade. Ideally, I recommend 1% even in a demo account, guys, because you don't want the determined demoralizing effect of |
| 22 | 00:05:21,150 --> 00:05:30,300 | being wrong in seeing your equity erode, even if it is a demo account. You're not, no, you're not learning anything by losing money fast. Okay, trust me, I've |
| 23 | 00:05:30,300 --> 00:05:44,760 | done that a lot. Early on, I've lost a lot of money, okay. And I never learned anything from that. Okay. I learned from really learning to step back and lose |
| 24 | 00:05:44,790 --> 00:05:53,850 | money slowly. That's, that's when you learn, because when you quickly lose money and lots of it, you're, you're so swamped with emotions, okay? You can't think |
| 25 | 00:05:53,850 --> 00:06:04,020 | of objectively and you want to be able to lose money slowly and objectively look at what it is you're doing wrong. And take a step back and look at it, if you're |
| 26 | 00:06:04,020 --> 00:06:15,450 | if you're losing seven 812 15% in one or two trades, okay? I've done that. Okay. Years and years ago, I've done that. And I'm telling you, you don't want |
| 27 | 00:06:15,450 --> 00:06:24,900 | anything from that you actually will find limitless reasons to get out of this and never do and never give yourself a chance. So again, can't stress it enough. |
| 28 | 00:06:24,900 --> 00:06:36,480 | Keep your risk very, very small. If you're brand new, absolutely brand new, risk one half of 1%. How about that goes against what you thought is logical, you |
| 29 | 00:06:36,480 --> 00:06:38,280 | think you gotta risk a whole lot of money you don't. |
| 30 | 00:06:39,600 --> 00:06:50,340 | So if you're looking at, you know, a trading portfolio and use these concepts or any other trading concepts, obviously, risk management is in the forefront of |
| 31 | 00:06:50,340 --> 00:06:57,960 | your mind as a trader is even as a developing trader, because as a professional myself, the first thing I care about is what am I going to risk? Okay, what is |
| 32 | 00:06:57,960 --> 00:07:06,270 | my risk overall? And how quickly can I remove the risk and go to breakeven, and then immediately looking beyond that point to lock in something I want to get |
| 33 | 00:07:06,270 --> 00:07:13,830 | paid, okay? I don't want I don't care about being right, I want to be paid. I know there's enough opportunities every single week, I can, I can harvest money |
| 34 | 00:07:13,830 --> 00:07:21,600 | from the market every week, okay? And that's the mindset you need to adopt. There's no rush to get in. There is a rush to protect your assets and your in |
| 35 | 00:07:21,600 --> 00:07:29,640 | your equity. So there's we rush, you rush to save money, and you move slowly when you're trying to make money. Okay, so that way you're controlling your |
| 36 | 00:07:29,640 --> 00:07:38,940 | drawdown. And for more information on that, obviously, look at my handling drawdown and inevitable losses video module. Okay. That's actually how I handle |
| 37 | 00:07:39,180 --> 00:07:48,780 | with losing streaks. And yes, surprise, I have losing streaks. So you have to have that in your arsenal as well. So now, taking a step back and looking at |
| 38 | 00:07:48,780 --> 00:07:55,140 | this, you're probably scratching and saying, Well, wait a minute, this really isn't a trading plan. Well, that's for the guys that just started watching my |
| 39 | 00:07:55,140 --> 00:08:02,640 | videos. And they're looking at this saying, what does this even mean? for those who've been following me for a while I have digested the previous videos and you |
| 40 | 00:08:02,640 --> 00:08:10,200 | understand what optimal trade entry is, you understand what specific price patterns we're talking about the understand what consequences are? Okay, you had |
| 41 | 00:08:10,200 --> 00:08:18,090 | a brief introduction to fractals with the optimal trade entries. We're going to learn a little bit more about that in here. And what specifically a market maker |
| 42 | 00:08:18,090 --> 00:08:31,860 | does on all timeframes to facilitate trade. But it's not my goal here to break down every intricate detail that goes into making a specific short term trading |
| 43 | 00:08:31,860 --> 00:08:44,370 | plan. And the reason why is because I don't know your personality. I don't know what framework you're building you're trading on. And you'll understand more |
| 44 | 00:08:44,370 --> 00:08:55,170 | about what I mean by that when we actually break down the market maker profile, because every one of these profiles is ambiguous. Okay. In other words, it can |
| 45 | 00:08:55,170 --> 00:09:06,540 | be viewed even though I present it as a bullish market profile, you may hone in on one aspect of this specific prat fractal. And you may say, Well, this is a |
| 46 | 00:09:06,540 --> 00:09:17,160 | pattern I see clearly. And I'll present it in this presentation as a bi model. But you may see the opportunities in here to sell, okay, and believe me, this |
| 47 | 00:09:17,160 --> 00:09:29,910 | will make much more sense when we started looking at it. But if that's what you see, that's how you trade, okay? And don't discount that. Okay, and rewind that |
| 48 | 00:09:29,910 --> 00:09:40,740 | for a second. If you're, if you're listening to the playback, go back a couple seconds and hear that, again. That specific aspect of this fractal pattern, if |
| 49 | 00:09:40,740 --> 00:09:52,980 | you specifically see the selling aspect of a buy model, that's your niche. That's your framework to start trading, okay. All you need is a small little |
| 50 | 00:09:53,100 --> 00:10:00,000 | segment of the marketplace to be profitable. Okay, that's what you're doing this for. You're not in here to impress your wife and I'm here to press your husband |
| 51 | 00:10:00,000 --> 00:10:05,880 | how smart you are. You don't want to go back to high school and say, you know, do your physics teachers, hey, look at this, you know, I told you I was gonna |
| 52 | 00:10:05,880 --> 00:10:14,610 | amount to something. I'm a forex trader, okay? That's not that's not your goal, okay. And if it is you prioritize make it back to getting profitability, okay? |
| 53 | 00:10:15,300 --> 00:10:23,040 | Keep the ego out of it. So, with all that, you know, I could go on and on and on here, let's look at the actual market maker profile. |
| 54 | 00:10:29,640 --> 00:10:39,030 | Okay, this is the market maker profile for the buy model. Okay, and what this specifically is detailing here and it looks rather Elementary, it looks rather |
| 55 | 00:10:39,030 --> 00:10:54,510 | simplistic, but I assure you, it's conceptually how I trade okay. This overall diagram is the basis on how I can anticipate price action, I can anticipate and |
| 56 | 00:10:54,510 --> 00:11:07,140 | specific targets, I can anticipate reversals, I can anticipate continuations, I can anticipate pauses I can anticipate price retesting previous support and |
| 57 | 00:11:07,140 --> 00:11:20,430 | resistance okay everything that I do internally as a trader can be summarized with this very pattern right here okay. And basically the the concept is simply |
| 58 | 00:11:20,430 --> 00:11:33,360 | looking at how price in here okay yet you find a resistance level okay and in here this green box is delineating consolidation. This consolidation is |
| 59 | 00:11:33,390 --> 00:11:45,210 | essentially happening or occurring rather around a higher time frame hopefully nothing less than a one hour basis resistance level okay. So the top of this |
| 60 | 00:11:45,240 --> 00:11:58,080 | range in here really is assuming that we see a resistance level here. So while price is in this consolidation, as a prep as a pattern trader, you would be |
| 61 | 00:11:58,080 --> 00:12:11,160 | hunting climax reversal types patterns, okay? Those being MACD divergence, bearish. type one bearish stochastic divergence, an ICT reflection, optimal |
| 62 | 00:12:11,160 --> 00:12:25,260 | trade entry cell, okay, turtle soup cell. Okay, so those types of patterns, okay, or hammer or lie guys call them pin bars. Okay, if you see that in |
| 63 | 00:12:25,260 --> 00:12:36,990 | candlesticks up here, that end is this implied resistance level. Those are all patterns that you would look for. Okay? So you have a resistance level here. You |
| 64 | 00:12:36,990 --> 00:12:48,810 | have a confluence of price pattern. That could be a candlestick like a bearish hammer, it could be railroad tracks, it could be tweezers. It could be on a |
| 65 | 00:12:48,810 --> 00:12:59,400 | whole slew of different types of candlestick patterns, but associate that also with an ICT reflection on optimal trade entry in here, something else and maybe |
| 66 | 00:12:59,400 --> 00:13:08,970 | even if you're going to be utilizing an indicator and not stressing out here by now it's probably a foreign word to purist. But if you can find something |
| 67 | 00:13:09,000 --> 00:13:18,960 | indicator wise to support it also. Yeah, it's just something else that you would you look to see what other traders may be factoring in to current market |
| 68 | 00:13:18,960 --> 00:13:27,000 | sentiment. Okay, so obviously, you'd be looking for something on the very short term in here as an overbought reading, maybe stochastics, RSI, whatever |
| 69 | 00:13:27,000 --> 00:13:37,740 | oscillator you use waiting for sonar, anything that is you would be looking for an overbought reading in this in this consolidation area. Now once market |
| 70 | 00:13:37,740 --> 00:13:44,520 | structure breaks down, okay, and again, we're going to talk about market structure and going in greater detail and how I use it. But right now we're just |
| 71 | 00:13:44,520 --> 00:13:54,720 | giving them a brief summary or an overview, if you will. market structure breaks, it trades below the range low here. Okay, when we see that we enter a |
| 72 | 00:13:54,720 --> 00:14:05,610 | new phase and the market profile, this red box delineates a new phase or segment of the overall profile. Now the reason why it's red, okay, in case you're |
| 73 | 00:14:05,610 --> 00:14:16,950 | wondering, what's the deal with all these colors, why you must gotta be specific as well. To me, I'm on alert. Okay, this is a red alert type segment of this |
| 74 | 00:14:16,950 --> 00:14:27,870 | market profile, or this fractal pattern that I'm looking at in price. Now, this overall price swing down to present a buying opportunity. This could be present |
| 75 | 00:14:27,870 --> 00:14:36,810 | on a one minute chart. Again, I do not trade with a one minute chart, but you can see this pattern falling on one minute. I look for it on five minute 15 |
| 76 | 00:14:36,810 --> 00:14:47,640 | minute, one hour, four hour and daily. Okay? So by having those timeframes, okay, and an understanding of hard times, support resistance levels. When I see |
| 77 | 00:14:47,640 --> 00:14:55,290 | this pattern unfolding, it makes trading for me. And obviously when you understand how it works for yourself, makes it very easy to anticipate, okay, |
| 78 | 00:14:55,290 --> 00:14:56,850 | that's what you want. As a trader, you want to be able to |
| 79 | 00:14:56,850 --> 00:15:05,790 | anticipate things, expect specific things unfold In price action, and and get yourself in sync with your anticipation of what price hopefully may do, but |
| 80 | 00:15:05,790 --> 00:15:13,920 | there's no guarantee that's going to do that. So that's the reason why we use stop losses. So getting back to this box here, why is it red? Well, once we |
| 81 | 00:15:13,920 --> 00:15:24,000 | break out of this consolidation here, okay, and that specific price point, I'm anticipating a retest of this specific support level now broken, it's going to |
| 82 | 00:15:24,000 --> 00:15:34,080 | be hopefully, a resistance point. Okay, so if price can trade back up into that point, I'm going to sell okay in here if I missed this opportunity, so this |
| 83 | 00:15:34,080 --> 00:15:43,710 | here, this high in here, in this red box, there are several patterns you can utilize for trading here, you can use a turtle soup cell pattern, you could use |
| 84 | 00:15:43,710 --> 00:15:53,070 | an ICT reflection pattern, you can use a type two trend following, which is a higher stochastics overbought reading here comparable to this previous high |
| 85 | 00:15:53,070 --> 00:16:02,070 | here. Okay, between this high in this high you'll see overbought readings on the stochastic. But this reading here, when this high in price does the cast will be |
| 86 | 00:16:02,070 --> 00:16:11,100 | even higher in terms of being overbought. So that's a type two trend falling or you may know it as a hidden divergence. Okay bearish. But again, it's a nickname |
| 87 | 00:16:11,100 --> 00:16:22,710 | nice. divergence is trend falling in nature and he dubbed it as a type two trend falling. Or you could see a type one bearish divergence in here on this little |
| 88 | 00:16:22,710 --> 00:16:30,600 | small little range in here as well, or you could see an ICT Grail, which is an optimal trade entry from this high to the low in here. And wherever it retraces |
| 89 | 00:16:30,600 --> 00:16:40,290 | up into. It could be a type two trend following with that optimal trade entry, which makes it an ICT Grail pattern. Again, if you don't know what these things |
| 90 | 00:16:40,290 --> 00:16:49,830 | are, um, more or less driving you back to the previous course videos, and it's in the high probability price patterns video. Okay, you'll learn all about those |
| 91 | 00:16:49,830 --> 00:17:00,600 | price patterns in that video module. This red box here could also present you an ICT Stinger sell signal, which is a optimal trade entry with a tight to trend |
| 92 | 00:17:00,780 --> 00:17:10,140 | trend following bearish divergence within the second overbought reading here. This will be a type one bearish divergence. That's what an ICT singer is that's |
| 93 | 00:17:10,140 --> 00:17:19,980 | a type one within a type two with an optimal trade entry Confluence at a implied resistance level, which would be here. Okay. Now, getting back to the reason why |
| 94 | 00:17:19,980 --> 00:17:33,030 | it's red. I don't have to see it retest here. Okay, so this area here, this is the one that has a lot of ifs, okay, it could break out and never retest that. |
| 95 | 00:17:33,360 --> 00:17:43,380 | Okay, on strong markets, it will just continue, pause, Bear Flag in here, and then move lower going down into the implied support level. Okay. So this area |
| 96 | 00:17:43,380 --> 00:17:52,470 | here, it can retest, I'd like to see that ideally, but don't necessarily have to have that. Okay. Now, what does that mean, for you as a trader in here, on short |
| 97 | 00:17:52,470 --> 00:18:01,170 | term basis, if you see this pattern folding over an hourly basis, this could be as much as 30 pips or 50 pips here. Okay. And you start seeing this pause in |
| 98 | 00:18:01,170 --> 00:18:08,640 | here, you know, you probably got a good leg before trades down into a higher time frame support level. Whoa, what am I talking about selling short, this is |
| 99 | 00:18:08,640 --> 00:18:18,000 | supposed to be a bar model. Yeah, you see what I'm talking about, if you see this price pattern unfolding in your charts, okay, and it's clear that you |
| 100 | 00:18:18,000 --> 00:18:28,950 | understand this leg is going down, but just know, don't have the confidence needed to be buying boldface support levels here. Okay, you would end up |
| 101 | 00:18:28,950 --> 00:18:38,340 | catching the buy, maybe on this side here after the breakout and the break in market structure, then a retest and then maybe you're a good candidate to be a |
| 102 | 00:18:38,340 --> 00:18:47,730 | buyer there. But not necessarily down here in the gray area. If you see this pattern as a sell, obviously, don't be limited by bias descriptions. Okay, to |
| 103 | 00:18:47,730 --> 00:18:56,280 | me, this is a buy model, because I'm more focused on this higher timeframe. Swing lower because the markets being engineered to go lower into a key support |
| 104 | 00:18:56,280 --> 00:19:06,780 | level that I would imply or expect rather to see price bounce down here, assuming there's at higher timeframe, monthly, weekly daily, for our one hour |
| 105 | 00:19:06,780 --> 00:19:18,570 | support level down here to anticipate a price movement higher. Now, assuming that we saw a price move out of this area here, okay, that's fine. It goes down |
| 106 | 00:19:18,570 --> 00:19:27,510 | to the level we're anticipating a support level to be unfolding. When we get to this area, this is the gray area because we don't necessarily know that that |
| 107 | 00:19:27,510 --> 00:19:36,480 | support level is going to provide support at all. Okay, you may get a small little bounce and this area here. This is where you want to take first profit. |
| 108 | 00:19:36,510 --> 00:19:45,630 | Why is it blue? Okay, and why is this one blue? Because if you do buy down here on the support level, okay, that would be down here that we're assuming based on |
| 109 | 00:19:45,630 --> 00:19:46,770 | a higher time frame premise. |
| 110 | 00:19:48,360 --> 00:20:01,740 | Look at the range. Okay, you have this high to this low as price starts to move up. Okay. If we start getting back to old support, bro can now resistance, this |
| 111 | 00:20:01,740 --> 00:20:11,880 | could be an optimal trade entry to continue even lower. So you want to take some profits here, move your stop to break even. Okay, and then have your remaining |
| 112 | 00:20:11,880 --> 00:20:22,590 | portion of the trade reach for what level here, this one here now this in this specific point here, you could see a type two trend following an optimal trade |
| 113 | 00:20:22,590 --> 00:20:35,580 | entry for an additional buy again, okay, Bull flag in here, rallies on up. And in here between both these blue boxes or even the lows in here. ICT Stinger buys |
| 114 | 00:20:35,610 --> 00:20:45,780 | ICT Grails, okay type two trend following those patterns could be seen on the upside in here. So that's how you hunt those. Okay, anticipate those types of |
| 115 | 00:20:45,780 --> 00:20:56,100 | patterns forming on the impulse move up away from the higher timeframe support level. What say specific about this area, well go back to the range, here's the |
| 116 | 00:20:56,100 --> 00:21:04,260 | high down to the low, you want to be taking some profits here because you may be pulling up into an optimal trade entry based on this previous range here to |
| 117 | 00:21:04,260 --> 00:21:16,830 | here. So why not take some off again, but still leave that stop down here. Okay, don't move the stop until we break out of this area here, it's got to cancel out |
| 118 | 00:21:17,490 --> 00:21:28,500 | this optimal trade entry from this high to this low. Because this one here, the second little blue box here. This could be a continuation. Okay, more, I'll talk |
| 119 | 00:21:28,500 --> 00:21:41,520 | about that later on. It's a bi model that really is transforming or mutates into a continuation lower. Okay. And it'll be a trend following going lower. And |
| 120 | 00:21:41,520 --> 00:21:50,070 | we'll talk about that again in greater detail actually walk through it. Now as price goes on higher, obviously, this previous consolidation, those participants |
| 121 | 00:21:50,070 --> 00:22:00,180 | that are higher timeframe premise or position traders, they're not going to be in a rush to lower stops down above this high or this high. Okay, they're |
| 122 | 00:22:00,180 --> 00:22:10,320 | willing to sit back and allow price to retrace deeper, but their stop loss order is going to be resting rate above this highs. That's where you take your profits |
| 123 | 00:22:10,320 --> 00:22:21,840 | on your short term trading. Okay, always look to take your profits on short term trades at logical areas of stops. Okay. Any previous highs? Okay, as price moves |
| 124 | 00:22:21,840 --> 00:22:31,290 | up, look to take profits there, because there's a pocket of liquidity that will offer many times outstanding areas to take profits. Now, why do you take |
| 125 | 00:22:31,290 --> 00:22:42,810 | majority if not all your position off here? Because this could be a reversal and trade very, very deep into the range between the low made here and the high here |
| 126 | 00:22:43,170 --> 00:22:55,320 | or the low here to the higher? Why sitting through all that drawdown without taking profit? It doesn't make any sense to me. Okay, this low here to this high |
| 127 | 00:22:55,740 --> 00:23:06,510 | that range, we could be deep, deeper in terms of retracement and still overall trade higher. Okay, but take some profits, or here's the here's what could |
| 128 | 00:23:06,510 --> 00:23:15,300 | really happen. You could take this position and see profit all the way up here and never take anything off. And watch it come all the way down and trade in |
| 129 | 00:23:15,300 --> 00:23:25,620 | reverse completely against you. That can happen guys. I know it doesn't seem like it could because we all want to be right. But it's not about being right. |
| 130 | 00:23:26,040 --> 00:23:27,180 | Okay, it's about being profitable. |
| 131 | 00:23:32,610 --> 00:23:42,420 | Alright, let's look at a market maker sell model. Okay, this one here, this is actually how I learned this pattern. I saw this pattern before I saw the buy |
| 132 | 00:23:42,420 --> 00:23:54,150 | model and it's because I My belief is I think the market is predisposed to go up. Everybody thinks buy and hold and buy then sell it. So to me, this pattern |
| 133 | 00:23:54,150 --> 00:24:03,690 | makes more sense to me. But usually you see a consolidation a support level price makes an impulse move up, okay and comes back down doesn't have to find |
| 134 | 00:24:03,750 --> 00:24:13,350 | old resistance broken now support and bull flags in here. Now you can get a type to trend following in here. A lot of the continuation patterns we discussed |
| 135 | 00:24:13,380 --> 00:24:26,460 | earlier. turtle soup, false. Previous low taken out raw stop rate or something that effect moving up into a higher timeframe key resistance level. Okay? So |
| 136 | 00:24:26,460 --> 00:24:36,720 | you're anticipating the consolidation to run up into a higher timeframe resistance, then a break down. Okay, and then obviously, every test is what |
| 137 | 00:24:36,720 --> 00:24:52,680 | we're looking for. Okay, but over here, the focus is now going to be on one are we seeing trend following signals like type two, ICT stingers? Grails okay to |
| 138 | 00:24:53,040 --> 00:25:00,630 | imply continuation moving lower, bare flags, something of that nature because when market structure breaks in here, and we're gonna take a look Examples of |
| 139 | 00:25:00,630 --> 00:25:12,150 | that, we want to see lower prices, because this area here will be an area of pockets of stops resting right below that, that's what we're capitalizing on. We |
| 140 | 00:25:12,150 --> 00:25:20,610 | want to get short at a resistance level. But this is a gray area. Again, we don't know with any great certainty, or, you know, assurity really that this is |
| 141 | 00:25:20,610 --> 00:25:31,170 | going to be a high, we're trading it with the anticipation that it will be based on a resistance level that we may see up here, based on a monthly, weekly, daily |
| 142 | 00:25:31,200 --> 00:25:39,330 | for our nothing less than one hour basis. So this swing lowers what we're looking to capitalize on down into this area where we would run the previous |
| 143 | 00:25:39,420 --> 00:25:49,350 | consolidations area of stops. Okay. Now, again, going back to that same premise, why don't I give you specific details on how to trade it with a specific plan. |
| 144 | 00:25:49,860 --> 00:26:01,650 | Conceptually, you may see this as this area as a buy in this area to take your profits or trigger stop loss and then eventually get tagged out. And that's your |
| 145 | 00:26:01,650 --> 00:26:10,830 | profit from maybe in the consolidation, buying an awful trade entry by here, or an ICT reflection in here or an s&p bullish divergence, something that's a |
| 146 | 00:26:10,830 --> 00:26:20,970 | climax reversal, could be a reason to be getting long in here. And this is your confirmation here, maybe even bought this, okay. And then looking forward to |
| 147 | 00:26:20,970 --> 00:26:31,770 | moving in higher, you know, this could be your trade, this consolidation or pause to here or consolidation beginning to end here, this be their whole |
| 148 | 00:26:31,950 --> 00:26:43,830 | trading career. This is this one pattern, this one portion of the fractal just so you can see how it could be utilized. And again, I don't teach this and I |
| 149 | 00:26:43,830 --> 00:26:53,250 | don't advocate it, but just so you can see it, you could be a scalper and see a higher timeframe resistance level like that. And then when price breaks down in |
| 150 | 00:26:53,250 --> 00:27:00,420 | here, these smaller little price swings inside this area here, using fit extensions, you could be taking profits down here, and this could be your |
| 151 | 00:27:00,420 --> 00:27:10,080 | scalping career right here. Okay, you could be doing that once a day. And then just be done, make 10 1520 pips and be walking in walk out the door and sealer. |
| 152 | 00:27:10,800 --> 00:27:19,530 | Again, I don't trade like that. I don't teach that. But I just want to show you the universalism to this pattern. It's easily applied to all types of trading |
| 153 | 00:27:19,530 --> 00:27:29,370 | styles. But generally, we're looking for this area here to sell into a higher timeframe resistance level with this premise unfolding. Okay, the larger leg and |
| 154 | 00:27:29,370 --> 00:27:37,680 | price is going to be the high down to the low blowing out the previous consolidation. Alright. Now some of you probably already recognize this pattern |
| 155 | 00:27:37,710 --> 00:27:47,490 | that seen my London open trading video that I released a couple years ago, but I took down because I really wasn't pleased with the overall presentation of it. |
| 156 | 00:27:47,520 --> 00:28:00,000 | So I am revamping it. And that's what part seven is really highlighting. It's this the centerfold or flagship of that module, my London open tactics, but this |
| 157 | 00:28:00,330 --> 00:28:12,300 | area here, between here this high in this low, this is the lions portion of the move. And this is a very easy aspect of this route fractal this this pattern or |
| 158 | 00:28:12,300 --> 00:28:22,230 | leg of the pattern is what we're looking for. Okay, now inside these red boxes, you could see type two trend following again is the reflections. |
| 159 | 00:28:23,880 --> 00:28:32,370 | continuation patterns of all sorts, okay? And obviously optimal trade entries from previous highs retracing, okay, and every retracement should set up into |
| 160 | 00:28:32,370 --> 00:28:40,320 | another optimal trade entry going lower reaching for this area of consolidation, where underneath it will be resting stops. And again, we're looking to take |
| 161 | 00:28:40,320 --> 00:28:44,730 | profits at logical areas of where stop loss orders would be. Okay. |
| 162 | 00:28:50,880 --> 00:29:01,830 | All right market structure. Oh, look at this. It's not the best, obviously, but it will accomplish the means I'm sure. When you're looking at price action, |
| 163 | 00:29:02,070 --> 00:29:12,960 | okay. It's probably easier. Okay. And this is how I did it as well, on my computer, when I started utilizing computer charting, and not use paper |
| 164 | 00:29:12,960 --> 00:29:20,490 | charting, because I started as commodity trader and actually actually drew my bars vertically, put a little open tick to the left and close tick to the right. |
| 165 | 00:29:20,910 --> 00:29:26,850 | And I did that for all the commodities I traded. And at the time, I was doing about 15 different markets, which is stupid because I didn't know what I was |
| 166 | 00:29:26,850 --> 00:29:41,580 | doing. I thought I had been everything. But I learned Hey, I found out by taking a step back. Okay, and looking at the charts on my screen from across the room, |
| 167 | 00:29:41,670 --> 00:29:53,760 | I could see the price swings, very easy that way. And it really was the premise that I was always too zoomed in. I needed to be on that one minute chart. I need |
| 168 | 00:29:53,760 --> 00:30:01,350 | to be on that five minute chart because that's where the money is going to happen. And that's not how it works. Okay, so this depiction of market |
| 169 | 00:30:01,350 --> 00:30:10,530 | structure. Hopefully, if you don't see this, try that. Put your computer screen on and watch this video or watch your charts. Okay, and instead across the room, |
| 170 | 00:30:10,920 --> 00:30:21,180 | okay, and just look at it. Do you see the price swings on this chart? It's obviously not a price chart. It's a hand drawn diagram that I've made in just |
| 171 | 00:30:21,750 --> 00:30:34,230 | paint on the computer. Okay, just for simple, crude demonstration. But hopefully you can see the price swings. Here you have this leg up. Then you have this leg |
| 172 | 00:30:34,230 --> 00:30:46,170 | down. retracement, then you have the second leg lower, you have this price swing up, you have a retracement then you had a second leg up. Okay? Now looking at |
| 173 | 00:30:46,170 --> 00:30:57,150 | that you can see peaks and troughs, highs and lows. Okay. And that looks more or less like this. Okay, you can see that we do have short term highs and lows in |
| 174 | 00:30:57,150 --> 00:31:08,400 | the marketplace here, assuming this is a currency pair or a stock. Now these little circles, okay are essentially what we used to call ring highs and ring |
| 175 | 00:31:08,400 --> 00:31:17,790 | lows. Okay, this is a premise I learned from Larry Williams. And whenever the market made a short term high or low, that would be a low with two higher lows |
| 176 | 00:31:17,820 --> 00:31:26,640 | on both sides of it. So it's a three bar pattern. And whenever you had a high with a lower high on both sides of it, again, three bar pattern, that's a swing |
| 177 | 00:31:26,640 --> 00:31:37,830 | high. Whenever that appeared on our daily charts, we would make a little ring around that or circle. Okay, and how those levels mapped out comparable to each |
| 178 | 00:31:37,860 --> 00:31:47,310 | other. Okay, you can discern the overall trend of the marketplace without having trend lines on your chart, without having moving averages on your chart without |
| 179 | 00:31:47,310 --> 00:31:58,140 | having any real anything, just except for price price telling you what the trend is okay. And because I'm a swing trader by nature, this to me makes greater |
| 180 | 00:31:58,140 --> 00:32:07,140 | sense than having moving averages trend lines, and looking for that picture perfect trend line or trend up or trend down. They don't last like that, guys, |
| 181 | 00:32:07,140 --> 00:32:15,570 | and when you see it clearly as a trend, it's over. Okay, that's about when it's reversing, or it's about the reverse soon. So by looking at price in terms of |
| 182 | 00:32:15,570 --> 00:32:26,730 | swings, okay, that's what helped me as a trader, taking small segments of the market and breaking it down incrementally module, okay. And in digesting it like |
| 183 | 00:32:26,730 --> 00:32:37,860 | that, I learned that you can be very consistent, and seeing where specific price moves up and down will unfold. But looking at this chart here, it's pretty |
| 184 | 00:32:37,860 --> 00:32:52,050 | obvious that these are short term highs and lows. But if you haven't already noticed, there's other highs and lows here. Notice that we have the blue rings |
| 185 | 00:32:52,050 --> 00:33:05,430 | here. Okay. These little areas are intermediate term highs and lows. Sounds cool, doesn't it? Well, essentially, what that means is, is you're you have a |
| 186 | 00:33:05,430 --> 00:33:13,650 | high. And now I'm assuming here that there was something on the other side here. So again, this is just a crude demonstration of what I see in the marketplace in |
| 187 | 00:33:13,650 --> 00:33:23,940 | terms of market structure. As a lot of guys on YouTube talking about market structure, a lot of forex quote unquote mentors, talking about market structure, |
| 188 | 00:33:24,030 --> 00:33:35,490 | okay, but I don't think they utilize it in the capacity that I'm teaching here. And I'm not claiming originality here guys, I'm all I'm doing is passing the |
| 189 | 00:33:35,490 --> 00:33:42,870 | baton to you. I learned it from Larry Williams, one of the best traders there is in terms of price action. And |
| 190 | 00:33:44,490 --> 00:33:55,980 | you may see him as a price trader in terms of price patterns. But you know, his early works in terms of market structure and that nature to manage this time |
| 191 | 00:33:55,980 --> 00:34:07,710 | timeless, they are absolutely gems, if you can get hold anything Larry Williams did early on all his his books, great things, it's good. Looking at this overall |
| 192 | 00:34:08,730 --> 00:34:21,660 | crew diagram, okay, now by looking at it, when you see a short term high here with a high and a short term, high lower center, what you have a high here with |
| 193 | 00:34:21,690 --> 00:34:35,010 | a lower high on both sides of it. This is an intermediate term high. Okay. If you have a enemy term high over here, with an intermediate term high over here, |
| 194 | 00:34:36,450 --> 00:34:45,210 | this makes this a long term high. So intermediate term high and long term highs and lows. Those are the specific swings in the marketplace that you're looking |
| 195 | 00:34:45,210 --> 00:34:59,490 | for. So having a market or chart rather, noting all the swing highs and lows on a short term basis. It may seem daunting at first, but by doing that, you'll |
| 196 | 00:34:59,490 --> 00:35:11,190 | start seeing There's specific highs that are higher than to previous short term highs. Again, that being an enemy term high, if you see that enemy term high |
| 197 | 00:35:11,220 --> 00:35:23,370 | with lower enemy term highs on both sides of it, that will classify that as a long term high. Okay. Now as price breaks down, okay, and you start seeing |
| 198 | 00:35:23,370 --> 00:35:34,080 | intermediate term lows, and you have another enemy at term low, if we break market structure at any time in here, okay, and that means breaking short, short |
| 199 | 00:35:34,080 --> 00:35:46,590 | term highs and lows in here. We break this short term high here. Now market structures broken to the upside. Okay, price comes down makes a low, but it |
| 200 | 00:35:46,590 --> 00:35:56,220 | never breaks that long term or intermediate term low here. It rallies up and again breaks its previous high here. So we're breaking highs and maintaining |
| 201 | 00:35:56,220 --> 00:36:07,380 | higher lows. Okay. Do you see a trend line on this chart? No. You don't need them. Okay. Do you see a moving average on this chart? No, you don't need them. |
| 202 | 00:36:07,710 --> 00:36:17,130 | Okay. So as price starts to break highs in here, you see market structure being bullish. Eventually, at some point, you'll see the intermediate term high here |
| 203 | 00:36:17,130 --> 00:36:30,660 | formed. Now look, here is the the main thing I want you to say. If you missed this, getting long, and you miss this opportunity to get long in sync with it, |
| 204 | 00:36:30,990 --> 00:36:45,540 | if you see an enemy a term Hi, take out a previous intermediate term. Hi. Is market structure bullish or bearish? It's bullish. Okay. It's bullish. So even |
| 205 | 00:36:45,540 --> 00:36:54,900 | though you'll start seeing these short term lows and highs in here, I think this is what gets everybody confused is okay. Well, market flow has broken to the |
| 206 | 00:36:54,900 --> 00:37:06,780 | downside here. So now I'm only going to be looking to the seller. Why? Why why what do you think and that's not as important as the overall market structure. |
| 207 | 00:37:07,170 --> 00:37:16,410 | Market flow is going to go up and down all the time, then upon whatever timeframe you're looking at. If this is a daily chart, okay, this being a |
| 208 | 00:37:16,410 --> 00:37:26,820 | bearish market flow here, that's fine. If you're a day trader, you might even see trade lower. But generally, you're in a bullish market environment has this |
| 209 | 00:37:27,000 --> 00:37:36,600 | intermediate term hide broke above a previous intermediate term high? So the trend okay is bullish, the market structure is bullish, I would expect to see |
| 210 | 00:37:36,870 --> 00:37:46,230 | expansion to the upside, okay, or another new leg up? What do you mean by that? What's the previous leg? Well, here's the enemy term high. Whereas me term low |
| 211 | 00:37:46,230 --> 00:37:55,800 | or long term low prior to it down here. So I'll be utilizing this swing from this low to this high. At some point when the market makes a low that's |
| 212 | 00:37:55,800 --> 00:38:04,020 | tradable. Okay, I would look for that same price moving from this high to this loan terms of range, I would add it to whatever that buying point is to the |
| 213 | 00:38:04,020 --> 00:38:15,540 | upside. Okay, and that would give me give me my measured move type of analysis. Okay. So even though we'd start seeing all these little short term lows |
| 214 | 00:38:15,540 --> 00:38:24,120 | breaking, and it looks like market flow, which is not what I'm teaching here, I'm teaching market structure. Okay, because that's, to me is much more |
| 215 | 00:38:24,150 --> 00:38:36,000 | significant, much more stronger in terms of analysis that break above an intermediate term high here. That to me is significant, because now even though |
| 216 | 00:38:36,000 --> 00:38:40,140 | we see a retracement, all that's going to be is a low |
| 217 | 00:38:41,460 --> 00:38:48,960 | to that intermediate term high as it retraces, what's it going to go, it's going to retrace down to optimal trade entry. I'm gonna buy that. And once it has its |
| 218 | 00:38:48,960 --> 00:38:56,160 | first impulse off of that, if I missed it, the first retracement there, that's where I'm buying for an optimal trade history. So this is how you start |
| 219 | 00:38:56,160 --> 00:39:06,600 | anticipating, okay, these fractal patterns to unfold, okay, these buy and sell models on the market maker profile. Okay, because you'll start seeing these |
| 220 | 00:39:06,600 --> 00:39:21,900 | things unfold with this premise in mind. Okay, so we've hopefully arrived that where we determine a bullish or bearish market structure. Okay. All right, we |
| 221 | 00:39:21,900 --> 00:39:36,720 | are looking at a mountain not a mountain guys, this is depicting a rather crude overall swing high, okay, or a upswing in the marketplace, okay, that we would |
| 222 | 00:39:36,750 --> 00:39:48,840 | utilize for going short. Okay, because our belief as professional traders using technical analysis and price action, price action is engineered to go up first |
| 223 | 00:39:48,990 --> 00:40:04,980 | to go down. Okay, so price goes up to go down, and price goes down to go up. Looking at this crude depiction of a market swing up If you add to that levels |
| 224 | 00:40:04,980 --> 00:40:15,990 | of predetermine key support resistance levels, okay. In other words you would anticipate, okay, you're going to anticipate at some point over here, price may |
| 225 | 00:40:15,990 --> 00:40:29,310 | rally up, but as price rallies up, okay, if we have a bullish market structure, think now if price is trading around in this area here if prices at this point, |
| 226 | 00:40:29,940 --> 00:40:40,380 | bullish on the market structure, and this is a key support resistance level, okay, if price is going up to it, do we anticipate price to trade here and trade |
| 227 | 00:40:40,380 --> 00:40:52,230 | lower? Or do we anticipate price breaking that and coming back to it and finding support? Hopefully the ladder, okay, the higher time frame premise is going to |
| 228 | 00:40:52,230 --> 00:41:03,930 | have more weight. So if we are looking for bullish prices, we're going to have more influence or expectation rather, on seeing support and resistance levels |
| 229 | 00:41:03,930 --> 00:41:13,350 | being broken to the upside, and eventually coming back and finding support. So these levels, we would have more credibility established on the fact that it's |
| 230 | 00:41:13,350 --> 00:41:21,930 | going to break as resistance but then come back and find that as support. Same thing here is price rallies up through this level here, we expected to give way |
| 231 | 00:41:21,930 --> 00:41:30,480 | on the upside, but then find likely support here later on. Okay, if it trades back to it. Same thing, as we're trading up to these resistance levels, we're |
| 232 | 00:41:30,480 --> 00:41:40,860 | gonna anticipate price giving way as broken resistance but will lend support. Okay, again, we get to a higher timeframe key resistance level, okay? When we |
| 233 | 00:41:40,860 --> 00:41:51,900 | see this, this may be a very hard timeframe daily, weekly, monthly, okay, or it could be a big figure on top of it. It could be a monthly high on top of a key |
| 234 | 00:41:51,900 --> 00:42:01,770 | resistance level, a lot of factors overlapping this specific price point, making it a key level, we wouldn't anticipate the reversal here. And then obviously, |
| 235 | 00:42:02,190 --> 00:42:10,740 | with that expectation, we want to dissipate The support levels to start breaking down. And then once they're broken, we would anticipate those support levels to |
| 236 | 00:42:10,740 --> 00:42:21,420 | be more influential in price in terms of resistance. Okay, and again, going lower this level here, we wouldn't see it give way as support, break it and will |
| 237 | 00:42:21,420 --> 00:42:31,140 | permit price to come back to it but lend and anticipate it to be as resistance. As price moves lower. Again, we wouldn't see support be broken. But we would be |
| 238 | 00:42:31,140 --> 00:42:38,970 | comfortable with it being retested as resistance and then trading lower obviously into our objectives. So what does that really look like in terms of |
| 239 | 00:42:38,970 --> 00:42:44,490 | price swings with that same model? Well, here's a crude example. Obviously, |
| 240 | 00:42:45,780 --> 00:42:55,080 | we'd see price straight up to these levels, maybe even offer very, very short term resistance. And that was what we expect, okay, but we're really |
| 241 | 00:42:55,080 --> 00:43:05,190 | anticipating price to break through these levels as price moves higher, will permit price to find support there. But being cognizant to the fact that price |
| 242 | 00:43:05,250 --> 00:43:17,310 | is not going to always stop on a dime, allowing slipping through our predetermine levels. Now, when price does that this creates new shorter term |
| 243 | 00:43:17,490 --> 00:43:26,670 | support resistance levels. So while these may be hard timeframes support resistance levels, respectively. As price moves and gyrates between these |
| 244 | 00:43:26,670 --> 00:43:36,540 | levels, it's going to create new support resistance levels on a lower timeframe. So they're going to be useful to us in terms of short term trading. And |
| 245 | 00:43:37,140 --> 00:43:46,560 | obviously, the better signals will build around the higher time frame support resistance levels, but don't be afraid to take trades in sync with the overall |
| 246 | 00:43:46,560 --> 00:43:57,420 | model. Okay, or direction, if it provides it even if it's on a shorter term, so in other words, if this is a daily, okay, these short term lows in here could be |
| 247 | 00:43:57,420 --> 00:44:06,780 | traded on a one hour or 15 minute basis and surely with a five minute chart, okay, getting in sync with the higher timeframe surge up into a higher timeframe |
| 248 | 00:44:06,780 --> 00:44:16,470 | key resistance level and then slide lower on the other side of this fractal. Okay. So, again, as price starts to break down over here, market structure is |
| 249 | 00:44:16,470 --> 00:44:26,040 | broken, you can get your standard optimal trade entry bearish patterns, okay, and you will start seeing these levels provide you resistance, okay. And if it |
| 250 | 00:44:26,040 --> 00:44:34,680 | trades it to as support, it should be very short term, very little momentum up. Okay, that's what you're looking for. The key is, you want to see very little |
| 251 | 00:44:34,680 --> 00:44:43,920 | bounce to the upside. That's your clue that the level is going to break down as support but will be more influential as resistance on this side, much in the |
| 252 | 00:44:43,920 --> 00:44:53,220 | same capacity on the reverse, as prices moving up here that these levels will probably very short term resistance but eventually give way but be very |
| 253 | 00:44:53,220 --> 00:45:09,090 | influential in terms of finding support machines capacity of looking for price swings higher for selling dips in the marketplace, obviously, are no different |
| 254 | 00:45:09,090 --> 00:45:19,860 | just simply reversing the rules. Assuming that we do have key support levels, okay? These being noted here, same premise in mind that as price was moving |
| 255 | 00:45:19,860 --> 00:45:28,320 | lower, we're expecting these levels to break way. And if price trades back to them, again, they should lend resistance as price trades down into a higher |
| 256 | 00:45:28,320 --> 00:45:39,870 | timeframe key support level down here. We went anticipate that reversal here, okay. And this would be an ideal indication to apply the market maker profile |
| 257 | 00:45:39,870 --> 00:45:49,590 | for buying, okay, the buy model. And as price moves up higher, obviously, the resistance should be broken. But permitting price come back to find support, |
| 258 | 00:45:49,950 --> 00:45:59,490 | again, looking for price to break through, but allowing price to come back and find support. This is the overall price swing down. Okay, and the concept that I |
| 259 | 00:45:59,490 --> 00:46:10,200 | use for support resistance and how I measure and anticipate a specific price level. And if it's an overall profile that's bullish, I'm going to look for |
| 260 | 00:46:10,200 --> 00:46:23,130 | resistance to provide support more than resistance. Okay, and I'm looking for confirmation that in terms of price action, what does that look like? What a |
| 261 | 00:46:24,930 --> 00:46:34,590 | crude depiction of price, obviously, it looks like this levels providing short term support but getting away, coming back finding resistance, but permitting |
| 262 | 00:46:34,590 --> 00:46:45,630 | slipping, not expecting price to always stop on a dime. And looking for obviously, all these levels to give way but looking for more in terms of these |
| 263 | 00:46:45,630 --> 00:46:54,360 | levels as resistance than the RS support, then the higher timeframe support level, causing the reversal. This would be the market maker profile for the buy. |
| 264 | 00:46:54,750 --> 00:47:04,950 | And obviously looking for upside, breaking all levels as hopefully the market provides little to no resistance. But lending at these predetermine levels on a |
| 265 | 00:47:04,950 --> 00:47:12,810 | higher timeframe monthly, weekly, daily, four hour and one hour, nothing less than a one hour. Those levels that will be clearly discernible on those higher |
| 266 | 00:47:12,810 --> 00:47:15,720 | timeframes to provide support for price. |
| 267 | 00:47:22,230 --> 00:47:32,220 | Okay, we are looking at the Australian dollar, this is a daily chart. Okay, and some of you that were at the webinar that I did with Mr. Chris Laurie. We did a |
| 268 | 00:47:32,640 --> 00:47:44,190 | webinar together. And I highlighted this very level here and the one on 150 on the Australian dollar. And before we build on this example, I just want to |
| 269 | 00:47:44,190 --> 00:47:57,420 | clearly discern, and this is a real quick rehash of what was discovered in that presentation. If you use this low here, and the high here, this red line here is |
| 270 | 00:47:57,420 --> 00:48:09,000 | essentially around the 50% mark or level of the range between this high in this low. And it is a mid figure point. In other words, it's a 50 level one on 150. |
| 271 | 00:48:10,590 --> 00:48:21,810 | This area here is where we'd anticipate an opportunity to get long in here or a buy. Okay, so we're going to use this whole thing in terms of price action is a |
| 272 | 00:48:21,810 --> 00:48:32,070 | small little sampling, okay, to how you utilize this market maker profile. And not just the buying scenario, but we're also gonna look at how it could be |
| 273 | 00:48:32,070 --> 00:48:36,180 | utilized in that small little segment of price action, Hey, could be a seller as well. |
| 274 | 00:48:44,639 --> 00:48:58,469 | Alright, we are looking at this specific area in price. Okay, this little gray box is going to delineate the very nature of a market maker profile. We're going |
| 275 | 00:48:58,469 --> 00:49:11,159 | to talk about how using this reversal scenario, okay, because that's what this is. being taught here. I'm not teaching you trend following short term trading, |
| 276 | 00:49:11,159 --> 00:49:23,009 | like the short term trading video module does, okay, I emitted the reversal, okay, or pure support resistance plays. Okay, that's many times very difficult |
| 277 | 00:49:23,009 --> 00:49:31,709 | for a lot of traders to do. It's easy to trade with the trend and not I teach that first, because it's easy to do. This type of trading takes a little bit |
| 278 | 00:49:31,709 --> 00:49:40,289 | more finesse. It takes a lot of confidence in your ability to read price, and understand what key support resistance levels are. But obviously looking at |
| 279 | 00:49:40,319 --> 00:49:50,009 | daily chart, the one on 150 level and the fact that was a midpoint of that big large range and just put a one on 150 level on your chart and to study how many |
| 280 | 00:49:50,009 --> 00:49:59,909 | times it has been support resistance over the last number of years really, and you'll quickly discern that it is a key support resistance level. So we're going |
| 281 | 00:49:59,909 --> 00:50:09,599 | to drill down into the small little box here, okay, essentially and break this whole thing down and utilize the market maker profile in the Australian dollar. |
| 282 | 00:50:15,599 --> 00:50:28,379 | Alright, inside that gray box, there's a smaller little range. This small little range is where all of the busy bees were doing all their work, busy bees and |
| 283 | 00:50:28,379 --> 00:50:41,069 | this analogy is the smart money. Now, the smart money will accumulate during consolidations. Okay, and here's what I want you to think for a moment. Imagine |
| 284 | 00:50:41,069 --> 00:50:53,099 | smart money, the central banks and the big dealers. Okay, the guys that are the movers and shakers in the marketplace, okay? If this entity that we're going to, |
| 285 | 00:50:53,159 --> 00:51:03,929 | quote unquote, call smart money, okay, they are the big dogs that are big players in the industry. We're gonna, more or less think of them as a |
| 286 | 00:51:03,929 --> 00:51:16,619 | Tyrannosaurus Rex. Okay, the big dinosaur, okay, that is the carnivores of all carnivores. There they are it. Okay. apex predators by definition, if this big |
| 287 | 00:51:16,619 --> 00:51:29,519 | dinosaur, okay, wants to jump in the pool. Alright. And the poor being the marketplace. Let's assume for a moment, the dinosaur is smart money because it's |
| 288 | 00:51:29,519 --> 00:51:40,889 | so big, okay, it's so huge in terms of its ability to move the marketplace. If this dinosaur Smart Money jumps into the on the pole, what's going to happen? |
| 289 | 00:51:42,209 --> 00:51:51,299 | It's going to be a huge reaction to the water. Okay, in number one, the water levels gonna rise up quickly. Okay, and it's gonna make a big impact. Okay, a |
| 290 | 00:51:51,299 --> 00:52:02,669 | big splash in the market. You see that in price action, okay? If there's a lot of buying during consolidation, and price moves up out of that, okay, and it |
| 291 | 00:52:02,669 --> 00:52:16,769 | moves quickly. This dinosaur, okay knows that it can't buy a lot and not move the market. Okay, it's going to create a demand. So if it wants to assume a |
| 292 | 00:52:16,769 --> 00:52:27,539 | position, but once you get an average price, okay, in other words, smart money wants to get involved here, okay, it sees value here. It'll buy some, but |
| 293 | 00:52:27,539 --> 00:52:39,359 | because it buys it in such large quantities and creates a short term demand for it, okay, it will wane off its buying and allow price to move back to a more |
| 294 | 00:52:39,359 --> 00:52:48,779 | favorable point, okay, or equilibrium. Okay, and they'll buy a little bit more, okay. And as they buy, it'll rally up even more. Now, they don't want to draw |
| 295 | 00:52:48,779 --> 00:52:57,599 | too much attention. And they don't really want to see price move too far away what their average hopeful price would be. Okay. So they're looking at price |
| 296 | 00:52:57,659 --> 00:53:07,769 | eventually moving lower, okay, as moves back lower into that same consolidation area, this specific point is where they're going to accumulate more of that same |
| 297 | 00:53:07,769 --> 00:53:15,869 | position. Okay, so they're that dinosaur wanting to get in the pool. So they're going to go in that water, one leg at a time, slowly, but surely putting |
| 298 | 00:53:15,869 --> 00:53:26,219 | themselves in that water. Now, by doing that, yes, the water level will rise, it'll rise up quickly at first, but then it'll wait for the waves to settle, |
| 299 | 00:53:26,249 --> 00:53:34,439 | smoothed out a little bit. And then it'll start to put its new leg in, again, then slowly lower in its body. And eventually, once it's down to its shoulder |
| 300 | 00:53:34,439 --> 00:53:41,699 | length, the mark will be all up here. Okay. And at that point, everybody in the market will say, wait a minute, this is a bullish market, let's get in here and |
| 301 | 00:53:41,699 --> 00:53:51,029 | start buying it. So we don't want to be buying when it's obvious, okay, we want to be getting in there when that Tyrannosaurus rex is lowering one leg at a time |
| 302 | 00:53:51,029 --> 00:54:01,409 | in and we'll know it. Okay, we'll know it when it happens. When it starts to move up out of the consolidation, we know that that large entity we know in call |
| 303 | 00:54:01,439 --> 00:54:10,469 | Smart Money is on the move, it's doing something because the public's not going to make a rally up like that. Okay, only institutional level trading is going to |
| 304 | 00:54:10,469 --> 00:54:19,289 | move price, same way does here, there's going to be an absence of interest on the buying aspect of the market. So if the institutions are not willing to buy, |
| 305 | 00:54:19,529 --> 00:54:26,429 | okay, what's going to happen, price is going to fall out a bit. And if they do selling in here, it's going to cause capitulation, which is what you see here as |
| 306 | 00:54:26,429 --> 00:54:36,569 | well. But price trades down into this higher timeframe 101 50 level. And I have a smaller short term level here, but we're talking about that here. We're just |
| 307 | 00:54:36,569 --> 00:54:45,509 | gonna focus on that one on 150 level. So we have a higher time frame support level. And then prices inside of this range. Again, we would expect accumulation |
| 308 | 00:54:45,509 --> 00:54:54,989 | to be unfolding. Now again, we don't know who Smart Money is. We just know that the Smart Money entity itself is going to most likely work its way in the |
| 309 | 00:54:54,989 --> 00:55:06,149 | marketplace here because we're at a higher time frame support level. So as price starts To break up out of here, okay, this area sets the stage for what we want |
| 310 | 00:55:06,149 --> 00:55:08,339 | to see the market maker profile, |
| 311 | 00:55:10,079 --> 00:55:22,829 | we're going to start seeing the characteristics that these market maker profiles provide for us in terms of anticipation in terms of price action. So let's go in |
| 312 | 00:55:22,829 --> 00:55:32,819 | and look at this specific segment in the marketplace. Again, this is the Australian dollar, okay, and we're drilled in to October 7, and eighth, okay, |
| 313 | 00:55:32,819 --> 00:55:42,419 | and here's that area where we sold off. So we had a consolidation here, price broke down, move into another consolidation at that higher timeframe, one on |
| 314 | 00:55:42,419 --> 00:55:53,699 | 150, key support level, price inside this consolidation, it moved up out of it. Okay. And this was the first indication that we had smart money, enter the |
| 315 | 00:55:53,699 --> 00:56:02,459 | marketplace, okay, without looking at all this information over here, because we're gonna come back to that in a little while. This price action here is very, |
| 316 | 00:56:02,489 --> 00:56:12,119 | very symmetrical. Okay. In other words, there's a lot of symmetry to how price is moving in here. It's nothing that you can't see on your own after some study. |
| 317 | 00:56:12,329 --> 00:56:26,789 | But what do you want to? What do you want to focus on here? Is the nature of the buy model? Okay, I want you to look in this example, and find the buy model. Can |
| 318 | 00:56:26,789 --> 00:56:41,699 | you see that buy model in this small area of price? I'll give you a moment to look at it. Okay, then looking at price action, okay. Again, focusing on this |
| 319 | 00:56:42,239 --> 00:56:53,249 | area here. This is your sell model. Do you see in that same example, in terms of price action, do you see an example where that sell model can be found in this |
| 320 | 00:56:53,249 --> 00:57:03,359 | small segment of price action. Again, I'll give you a moment or two to see if you can find it. And I'm going to give you example of it. So don't worry if you |
| 321 | 00:57:03,359 --> 00:57:18,449 | can't see it, because it's just an exercise of observation. Okay. And now looking at this example, on price, when we see the market maker profile, setting |
| 322 | 00:57:18,449 --> 00:57:32,429 | up, and we're going to give, again, very clear examples inside this segment of price, you can anticipate what's going to most likely unfold again, it's no |
| 323 | 00:57:32,429 --> 00:57:41,939 | guarantee that when you see these things, it's going to happen exactly. To script. But to me, this is how, you know, I look like you know, an eighth in the |
| 324 | 00:57:41,939 --> 00:58:00,239 | videos because I'm calling specific price swings and near specific levels before they happen. Now, again, looking at price here, if you're looking at price here, |
| 325 | 00:58:01,739 --> 00:58:14,189 | can cannot put a little hint here to this area here is an area where that profile unfolds. Can you see it now? Again, I'm gonna I'm gonna give you a |
| 326 | 00:58:14,189 --> 00:58:30,539 | greater detail example. But do you see this little consolidation here? Think of this consolidation as that okay. And this little area here is this pause in |
| 327 | 00:58:30,539 --> 00:58:41,459 | price doesn't look like much of a pause here, but it was and then rallies up, makes the high here. So at the zenith of this price move, I'm sorry, this price |
| 328 | 00:58:41,459 --> 00:58:54,419 | move here. This Zenith is here in the in the profile model. Then we saw price slipped down as market structure breaks, which is what happens here. Then you |
| 329 | 00:58:54,419 --> 00:59:07,049 | have the optimal trade entry here. And then price slides lower, taking out the low or the previous consolidation here, as noted here, okay, so inside of this |
| 330 | 00:59:07,049 --> 00:59:19,529 | area of opportunity, there's a good chunk of pips that you could very easily harvest intraday, okay, not necessarily long portion of time is still an |
| 331 | 00:59:19,529 --> 00:59:21,419 | opportunity for you to take a short term trade. |
| 332 | 00:59:27,570 --> 00:59:45,270 | Looking at this example, okay, where is the market maker profile for the buy? This area here is this consolidation. This pause in here is this area right |
| 333 | 00:59:45,270 --> 00:59:54,330 | here. Notice how it didn't get back up to that area. Like I was stating before, it was too weak. There was no there was no demand for it. So if there's no |
| 334 | 00:59:54,330 --> 01:00:02,370 | demand, there's gonna be a lot of supply. So supply is gonna come in, sell it off and even greater move down. to a higher timeframe support level, and we move |
| 335 | 01:00:02,370 --> 01:00:15,960 | into consolidation, which sets the tone for the market to be in this stage here. Okay, now we're hunting a reaction in the marketplace right here. So as price |
| 336 | 01:00:15,960 --> 01:00:28,530 | moves up out of it, which is what we see here, price comes down retested like we'd like to see here. And that's this area right here. And then price moves up, |
| 337 | 01:00:29,160 --> 01:00:44,070 | which is what you see here makes the pullback in here. And you see that here. Now price fails to go above this high here, okay, so it doesn't get above here. |
| 338 | 01:00:44,070 --> 01:00:53,400 | So this is why you want to take profits at logical areas, which is here and here. Again, being here and here, okay, because you're working within what range |
| 339 | 01:00:54,090 --> 01:01:05,070 | this high this low. So this could be an area of opportunity to take profits and obviously here because if you look at this high to this high, you're in a nice |
| 340 | 01:01:05,100 --> 01:01:16,140 | retracement level okay. And as price starts to rally again it failed and move lower Okay, remember, I was talking about how between this high in this low in |
| 341 | 01:01:16,140 --> 01:01:26,040 | the module for the buying price at this point, I came when it starts to go higher, it may not get up to this level here it may come back and retrace into |
| 342 | 01:01:26,040 --> 01:01:34,590 | the range between this low and whatever high formed here. And you see that forming here from the low in the consolidation up to the high, all we do is |
| 343 | 01:01:34,590 --> 01:01:44,520 | retrace deeper. And what that does is allow the market makers to take out the stops that are on the right side of the marketplace. Okay, and retraces from |
| 344 | 01:01:44,520 --> 01:01:54,990 | this low to this high and you find optimal trade entry at the 62% retracement level. And then price starts resuming move even higher. Okay, so now take a step |
| 345 | 01:01:54,990 --> 01:02:07,530 | back. Okay. And if you if you can't see it on the five minute chart like this, let's take a look at it on one. A 15 minute basis. Okay, we're zoomed out a |
| 346 | 01:02:07,530 --> 01:02:21,390 | little bit more thinking in terms of that same bi model. Okay, watch what happens. We're using that same 15 minute chart. Now, we have that first |
| 347 | 01:02:21,390 --> 01:02:35,520 | consolidation up here. We have the gray area down here where the bar should take place where here, we have price Now move up. And now this is what this is that |
| 348 | 01:02:35,520 --> 01:02:45,270 | pattern right here. But if you're zoomed in on a five minute, we expected to see it here. But now we're looking at a 15 minute, suddenly the fractal can be seen |
| 349 | 01:02:45,270 --> 01:02:57,510 | on a higher timeframe. Still the same price segment moving, okay, higher. But we're not seeing it to the to the same unfolding that we saw on the five minute |
| 350 | 01:02:57,510 --> 01:03:06,000 | we are expecting to see it trade down here and then move up. And while this was profitable, yes. Okay. We didn't see what was unfolding on a 15 minute because |
| 351 | 01:03:06,000 --> 01:03:16,590 | we're in too tight. Now suddenly, this consolidation and then move lower down to a key support level one on 150. The run up and then trade back down to this area |
| 352 | 01:03:16,590 --> 01:03:26,940 | here is exactly what you see here. Okay, so the market makers were using the 15 minute time frame to do their dealing. Okay. So watch what happens. Price |
| 353 | 01:03:26,940 --> 01:03:37,590 | rallies up here. Okay? And it gives you that other retracement deep here. Okay. And it rallies on up to do what to take out the previous consolidation where the |
| 354 | 01:03:37,590 --> 01:03:49,920 | stops are resting right here. And that's what they do here and they clear out the stops. Okay. So you see how this model gives you the ability to anticipate |
| 355 | 01:03:49,980 --> 01:04:01,590 | price action, and swings in the marketplace. Okay. Now, if it's not clear to you, I understand it's going to take some examples and some time you stood |
| 356 | 01:04:01,590 --> 01:04:11,370 | looking for it and you look at hindsight examples for a period of time and it may take months to get the perspective on seeing it, okay. But when you see it, |
| 357 | 01:04:11,670 --> 01:04:15,780 | you can't ever forget it, it's there. It's gonna be embedded in your brain. |
| 358 | 01:04:19,139 --> 01:04:30,089 | Now looking at this example here, okay. This is that one example I mentioned earlier that I was gonna give you a greater refined example of it. We have this |
| 359 | 01:04:30,089 --> 01:04:43,259 | area consolidation price runs up out of it. There's a little pause here makes the zenith breaks down comes up is the optimal trade entry and it falls out of |
| 360 | 01:04:43,259 --> 01:04:57,149 | bed where does it go? Below the previous consolidation. So what do you think model that is the market maker sell model. Look at the profile here. Okay, you |
| 361 | 01:04:57,149 --> 01:05:08,549 | can see that the half the consolidation here Which is here, to move out in the pause in here, here, the zenith of the move for here, which is here, the break |
| 362 | 01:05:08,549 --> 01:05:18,239 | down then optimal trade entry on here, which is what you see here. And then the move lower to get below the previous consolidation, as noted here, okay, just |
| 363 | 01:05:18,239 --> 01:05:27,599 | between this high and the move a little low here. That's rather handsome in terms of very short term trade, and you can take 40 pips out of the marketplace |
| 364 | 01:05:27,869 --> 01:05:41,579 | rather easily here. Okay. So now let's take a look at, again, that consolidation, what's specifically is different about this market maker profile |
| 365 | 01:05:42,119 --> 01:05:51,869 | that isn't seen in the previous ones, okay, because overall inside this higher timeframe market maker profile, okay. Notice that we had that consolidation out |
| 366 | 01:05:51,869 --> 01:06:02,969 | here, and in the higher timeframe, fractal moving higher, this is a bullish scenario, overall, remember that 15 minute chart we just looked at. But within |
| 367 | 01:06:02,969 --> 01:06:15,029 | that larger 15 minute market maker profile, or that fractal pattern, it's bullish, we just pulled out a bearish cell model. So again, that's the reason |
| 368 | 01:06:15,029 --> 01:06:25,169 | why I don't give you specific entry pattern concepts to trade, you know, on a short term, because it's so dynamic. When I give you this, for instance, looking |
| 369 | 01:06:25,169 --> 01:06:33,719 | at the sell model here, you may just see the buying aspect, okay, you may see just the, here's the optimal trade entry to get long, we're in a nested optimal |
| 370 | 01:06:33,719 --> 01:06:43,949 | trade entry here. So I'm going to buy that. So you're, you're using this profile to be long in here or long in here to get this as your profit objective. And |
| 371 | 01:06:43,949 --> 01:06:53,339 | maybe your mind doesn't understand to get to this point here. And this could be the sell. Okay, that's fine. It's all about profitability. It's not about being |
| 372 | 01:06:53,339 --> 01:07:04,529 | right. Okay. And when you trade fractals, okay. It's a lot of freedom. But there's a lot of rules to, okay, so it's a freestyle way of trading. without |
| 373 | 01:07:04,529 --> 01:07:13,139 | bias, really, if you think about it. And that's the nature of short term trading, you can work within a bullish market environment and be a bear. But you |
| 374 | 01:07:13,139 --> 01:07:21,809 | have to understand what you're doing. And it takes a little bit of finesse. Okay, but if you look at just the bullish market structure, and trade, bullish |
| 375 | 01:07:22,169 --> 01:07:34,559 | market maker profiles, it makes trading very, very easy. And if you just understand the sell model, for the buying portion of that fractal, which is |
| 376 | 01:07:34,559 --> 01:07:44,039 | here, here or here, there's nothing wrong with that. Absolutely. There's nothing wrong with that. That's your short turning search term trading niche. Okay. So |
| 377 | 01:07:44,039 --> 01:07:58,379 | that's what you would utilize for your trading. Okay, we just looked at an example. Okay, and how the market maker profile on a short term inside of a |
| 378 | 01:07:58,379 --> 01:08:11,939 | larger higher timeframe fractal appears to fail. Okay. But what it's doing is actually it's giving you a continuation of the larger profile. Okay, and let's |
| 379 | 01:08:12,029 --> 01:08:21,299 | look at what that means. Let's say we have a support level here. And price moves from that specific point and breaks market structure. Okay, so when we have |
| 380 | 01:08:21,299 --> 01:08:33,569 | market structure break like this, this will give us an indication hopefully, to anticipate higher prices. And when higher prices hopefully, come on their way. |
| 381 | 01:08:33,989 --> 01:08:44,459 | Now we have the greenlight go looking forward. Now, anything that retraces from this point, we're looking to hunt an optimal trade entry to go long. And when |
| 382 | 01:08:44,459 --> 01:08:53,009 | you have that, okay, you're going to see price meander, it's going to move, okay, you come back to your charts, and it looks a little different, that's |
| 383 | 01:08:53,009 --> 01:09:00,659 | fine. And this is the part of trading that's hard, because you have to wait for the setups and every time you come back to your charts, it's going to look a |
| 384 | 01:09:00,659 --> 01:09:08,219 | little bit different. Okay, but you're stalking you're setting up. Okay. Now looking at this chart, here, we have our higher time frame support level. But |
| 385 | 01:09:08,219 --> 01:09:12,509 | now also, we have new support resistance levels you have to factor in. |
| 386 | 01:09:12,690 --> 01:09:22,800 | Okay. And because as far as just as is never explained, you know exact it's not right to the PIP, you allow for certain slippage. But if you're waiting for |
| 387 | 01:09:22,800 --> 01:09:30,510 | retracements retracements, don't always go back to the levels, okay. retracements will be a little bit early. And this is where you can use the |
| 388 | 01:09:30,510 --> 01:09:40,860 | double Oh 50 optimal trade entry levels. Okay. W 50 means using the big figures and the mid figures to pull your fibs from in using swings, okay, and I'm not |
| 389 | 01:09:40,860 --> 01:09:51,660 | teaching that here. I'm going to counsel you to go back to the other videos and learning about that. But looking at price obviously see price did in fact, snap |
| 390 | 01:09:51,660 --> 01:10:05,340 | up from optimal trade entry. Okay. And now looking at this, okay, you would expect to see price. Do what Move inside of a cell model. Okay, so you're |
| 391 | 01:10:05,340 --> 01:10:17,160 | expecting price to find its zenith in here and start to break down lower looking for what looking for that lower low than the previous consolidation or beginning |
| 392 | 01:10:17,160 --> 01:10:28,110 | of the price move up. So this overall price swing, we're looking for to move down here. But if you're in a higher timeframe, bullish scenario within bullish |
| 393 | 01:10:28,110 --> 01:10:41,220 | market structure, or a more higher timeframe, bullish market maker profile, you're going to look at this area here to see where price may form a new buy. |
| 394 | 01:10:42,300 --> 01:10:50,520 | In, in bullish environments, the sell model won't come all the way down here, it's just going to give you a higher timeframe. retracement on the overall swing |
| 395 | 01:10:50,520 --> 01:11:03,540 | here. Okay, and what that looks like is this. You have price come back down. And you see price come all the way from its zenith, okay, which you anticipate if |
| 396 | 01:11:03,540 --> 01:11:15,120 | you're just looking at the model itself, looking at how price moves lower, you're not expecting that lower low. So as price starts to move lower, if we're |
| 397 | 01:11:15,120 --> 01:11:23,370 | in a bullish environment, we're not looking to see price move back below this consolidation, we're going to expect price to come back down and maybe retest |
| 398 | 01:11:23,370 --> 01:11:34,410 | this support level, or work within this optimal trade entry range here, or this optimal trade entry range here, and maybe even factor maybe pivots, maybe a |
| 399 | 01:11:34,410 --> 01:11:42,930 | trinity level. Oh, how about that we didn't talk about that yet, have we? So then you would be looking for your implied support levels to be a factor in this |
| 400 | 01:11:42,930 --> 01:11:54,300 | retracement as it pulls back into a deeper price swing. And by having that expectation as price starts to move into these support resistance levels, again, |
| 401 | 01:11:54,810 --> 01:12:04,860 | we're going to have more emphasis placed on this than looking for the previous low here, taken out for stocks, because the smart money's assumed a position |
| 402 | 01:12:04,860 --> 01:12:13,800 | back here, okay, they're going to defend that price action, as price starts to come back down here, they're going to accumulate more of that same position |
| 403 | 01:12:13,800 --> 01:12:22,260 | here, it's counterproductive for them to come back all the way down here. Okay, when they're trying to get price, you know, higher or at least maintain a |
| 404 | 01:12:22,260 --> 01:12:33,600 | specific price level. So that's why we see these overall declines deep retracements within a bullish market environment, because you're seeing more |
| 405 | 01:12:33,600 --> 01:12:45,690 | accumulation unfold by the smart money. And what that looks like, obviously, is a continuation and you see the expectancy of a retracement to a support level |
| 406 | 01:12:45,690 --> 01:12:55,230 | and then a bounce in right here. If you miss the opportunity to get the support level. Okay, you can see a smaller short term optimal trade entry forming here. |
| 407 | 01:12:55,230 --> 01:13:05,130 | And you can utilize that as your entry for short term trading to get in sync with the higher timeframe market maker profile. Okay, this could be a five |
| 408 | 01:13:05,130 --> 01:13:17,190 | minute price action and basing your trade on the idea that you're on a one hour or four hour market maker profile that's bullish. And by seeing that unfold, |
| 409 | 01:13:17,190 --> 01:13:29,010 | then you would see obviously, price move on higher. This is the range that you'd be utilizing here the low to high. This Confluence may be a 62. It could be a |
| 410 | 01:13:29,010 --> 01:13:37,080 | sweet spot, it could be a nice retracement level, there could be pivots in here. And it could be a trinity level in here is a lot of factors in here. But and |
| 411 | 01:13:37,110 --> 01:13:45,030 | obviously looking at previous lows is that the key because it's going to take price all the way down to run an old low for stops, but not necessarily the |
| 412 | 01:13:45,030 --> 01:13:54,090 | beginning or consolidation of the overall price. swing up Okay, so this price swing up is going to be a continuation and move higher. |
| 413 | 01:13:55,500 --> 01:14:05,820 | And overall by looking at price in that respect, you can see just looking at this, this is a very rather generic depiction of price action. But it really is |
| 414 | 01:14:06,270 --> 01:14:14,040 | seen a lot of times when you are in a bullish market environment. In other words, if prices overall bullish This is the type of price action you end up |
| 415 | 01:14:14,040 --> 01:14:26,970 | seeing higher highs and higher lows. How about that no necessity for trend line. Obviously, the same thing can be said on the reverse looking at a key resistance |
| 416 | 01:14:26,970 --> 01:14:34,290 | level like this. During a consolidation you would expect to see price eventually moved to a point where it breaks market structure and that looks like this here. |
| 417 | 01:14:35,130 --> 01:14:46,410 | And it's the market maker market structure shift rather. And we would be looking for price action to do what move down into a market maker profile for a buy. |
| 418 | 01:14:46,830 --> 01:14:55,800 | Okay, so because we're trading from a key resistance level, we're trading lower. Again events IE trading down into a key resistance support level. Okay, now |
| 419 | 01:14:55,800 --> 01:15:04,230 | we're expecting price to eventually move. So every time we come back to our charts, we're seeing The expectancy of what we're waiting for it to trade down |
| 420 | 01:15:04,230 --> 01:15:13,320 | to a support level. Okay, and as price starts to move back to new levels of resistance, we anticipate price to react accordingly, but doesn't necessarily |
| 421 | 01:15:13,320 --> 01:15:21,720 | have to trade back to it. Okay. Again, as we retrace, we're looking at what price moved from a high, down to this low. So we have a new range price can come |
| 422 | 01:15:21,720 --> 01:15:33,210 | up necessarily fall short of this, okay, and you see this probably in your own trading many, many times where price fails to get back to that point. But in |
| 423 | 01:15:33,210 --> 01:15:45,840 | terms of the range, okay, we went back to 60 to 79, or maybe even meet midpoint 70.5, sweet spot that I use for my optimal trade entry, and eventually sells |
| 424 | 01:15:45,840 --> 01:15:53,400 | off. But in here, this could be a reflection pattern, this could be a turtle soup, okay, it could be tied to trend following that nature. Okay. And you can |
| 425 | 01:15:53,400 --> 01:16:03,210 | use this by model that would be hunting initially, okay, as an area just to get short in the marketplace. But as price starts to move down, and we trade into |
| 426 | 01:16:03,570 --> 01:16:12,840 | what would be considered a higher timeframe support level, okay, we would anticipate price bouncing, and you start to see the early works of an optimal |
| 427 | 01:16:12,840 --> 01:16:21,420 | trade entry in here. Okay. So you could be a buyer here with the expectancy of the market maker profile by model unfolding. And as price starts to move up, |
| 428 | 01:16:21,690 --> 01:16:35,130 | okay, one would expect to see what while looking at price action, you would expect to see higher prices moving even even further up. But if you're thinking |
| 429 | 01:16:35,130 --> 01:16:45,600 | just in terms of this bi model, and not taking into consideration the fact that this could be the retracement here, for an overall continuation lower, we have a |
| 430 | 01:16:45,630 --> 01:16:55,470 | bi model that's going to mutate into a continuation for a sell off and continue lower. Okay, so you always have to be cognizant of that happening. And that's |
| 431 | 01:16:55,470 --> 01:17:05,550 | why we always use the previous range. Okay, so looking at that you have this high and this low prices retracing into this into that, okay, that could be an |
| 432 | 01:17:05,550 --> 01:17:15,720 | optimal trade entry that could be unfolding inside the viewer expected price move. So even though price cancel that we go back up into a higher timeframe, |
| 433 | 01:17:16,080 --> 01:17:25,950 | resistance level. But now we have this range still to consider this high. To this low. We're at 62 and 79% retracement in terms of that range. Okay. So even |
| 434 | 01:17:25,950 --> 01:17:35,730 | though we would be hunting this by model, okay, market maker profile, we still had to be cognizant of how this may unfold into into a trend following |
| 435 | 01:17:36,270 --> 01:17:45,390 | continuation lower and by that you would see price start to give us some trade entries in here on this lower timeframe. And when starts to break down, and this |
| 436 | 01:17:45,390 --> 01:17:54,120 | is the reason why we've had to take profits because simply taking a position assuming it back here, and an area of key support resistance. With the |
| 437 | 01:17:54,120 --> 01:18:05,640 | expectancy, that price moving up into an old salvation run stops, that's too myopic, you have to have the the the the ability, accept the fact that you're |
| 438 | 01:18:05,640 --> 01:18:14,760 | probably going to be wrong, okay? And you're always wrong until you take profit. Okay, so if you see price start to break down like this, obviously, you're going |
| 439 | 01:18:14,760 --> 01:18:23,640 | to wish you had taken profits. But you know, sometimes that's too late. So overall, looking at how the Australian dollar moves on a five minute basis, you |
| 440 | 01:18:23,640 --> 01:18:33,600 | can see how this area here is delineating the range. And this is obviously the low one at 148. But the key level we were watching was one at 150. So inside |
| 441 | 01:18:33,600 --> 01:18:43,560 | this consolidation, the Smart Money was accumulating, and price moves up and then came back down and retested, this broken resistance now in support. And in |
| 442 | 01:18:43,560 --> 01:18:49,620 | all in here, they continued to work within a higher time frame by model where price eventually moves higher. |
| 443 | 01:18:53,220 --> 01:19:04,560 | on an hourly basis, you can see how the Australian dollar traded within that same area of price. Okay, now look at how that 101 50 level reacted on an hourly |
| 444 | 01:19:04,560 --> 01:19:14,130 | basis. Okay, so far, we've only looked at a five and 15 minute chart on an hourly basis Look what unfolded eventually price eventually moves up, okay, |
| 445 | 01:19:14,520 --> 01:19:24,720 | retested, traded up to one or 246 came down gave another buying opportunity, okay, and then rallied up and then came back deep like we were talking about |
| 446 | 01:19:24,750 --> 01:19:35,340 | earlier, okay. And this retest of this old range that we had an initial accumulation, they took it back down to that specific point given the optimal |
| 447 | 01:19:35,340 --> 01:19:44,790 | trade entry, okay and then rallied up even higher and then eventually took out this previous consolidation area. So this is that buy model come to fruition. |
| 448 | 01:19:44,820 --> 01:19:56,940 | Okay, so over 200 and some pips, okay offer here as a short term trader. Okay, if you were looking for that type of trade, but this is the area that we called |
| 449 | 01:19:57,120 --> 01:20:07,440 | for in terms of Short term trading, I did a video previous to all the price action unfolding as it did here. And again, I'd counsel you to take a look at |
| 450 | 01:20:07,440 --> 01:20:16,620 | Chris laurie.com. And go into his video archive section and the webinar we did together is archived there, you can see the analysis that was done as well. |
| 451 | 01:20:18,390 --> 01:20:29,490 | Looking at, obviously, the daily in terms of what it looked like, all of this price action in here is what was called Okay, so over a period of few days, |
| 452 | 01:20:29,520 --> 01:20:45,570 | okay, you know, up over 100, and some pips obviously, but eventually moving to the point of over 200 some pips. Now, if you're looking at this video module, |
| 453 | 01:20:45,570 --> 01:20:53,700 | and you're wondering, this looks nothing like the short term trading video module you did, like, where you talk about the 18 and a 40, moving averages, |
| 454 | 01:20:54,090 --> 01:21:07,230 | right? You're right, because there's a difference. Okay, there's short term trend trading, which is what that view module talked about. And then there is |
| 455 | 01:21:07,500 --> 01:21:19,740 | climax reversal. Short term trading. And this is with that premise was in this teaching model module, talking about how looking for reversals at resistance and |
| 456 | 01:21:19,740 --> 01:21:30,900 | support levels is what we focused here. Notice how the low here that we were targeting based on trading the market maker profiles, during that specific time, |
| 457 | 01:21:31,410 --> 01:21:43,560 | the moving averages, were saying what gets short. Okay. But support resistance trumps everything. So when you see that type of event unfold, obviously, the |
| 458 | 01:21:43,560 --> 01:21:54,900 | moving averages are lagging. Okay. But price action is not, it's leading. Okay, so getting in here long. And in the very next day, getting long here as well, |
| 459 | 01:21:55,110 --> 01:22:06,330 | waiting for higher prices, you can actually see the market maker profile here on a daily chart, because it's what we're looking at here, here's the range in |
| 460 | 01:22:06,330 --> 01:22:17,310 | here. Here's the breakout of that range, the big Tyrannosaurus Rex jumped in the pool, okay, and it's sat still for a moment and wave the price to get stabilize |
| 461 | 01:22:17,310 --> 01:22:24,810 | again. And then it put its next leg inside of putting more of its body and then price eventually moves higher. And I can tell you, the price has actually moved |
| 462 | 01:22:24,810 --> 01:22:33,240 | even higher than this, since this particular low here as well. So we were very fortunate enough to have a very good example of price action in the Australian |
| 463 | 01:22:33,240 --> 01:22:43,200 | dollar. And I was very pleased to be able to share that beforehand in video recording, and targeting of the specific price levels where I thought price was |
| 464 | 01:22:43,200 --> 01:22:54,150 | going to trade too. And be able to share that with Chris Laurie as well in a webinar. So hopefully, this has been very insightful to you, and gives you some |
| 465 | 01:22:54,150 --> 01:23:03,300 | framework to utilize some of your short term trading, and where to apply specific price patterns and, and how to use that in your arsenal for short term |
| 466 | 01:23:03,300 --> 01:23:15,750 | trading. put some thought into how you're going to be a trader, you can use either one of them buy or sell module. And if you look at that fractal pattern, |
| 467 | 01:23:16,140 --> 01:23:27,420 | again, if you just understand part of the fractal, and you can make a career just on that. So in a buy module, and you just see the sell aspect of it. That's |
| 468 | 01:23:27,420 --> 01:23:30,900 | all you need. Okay, because remember, you can build a career on 50 pips a week. |