Skip to Content

Wiki source code of ICT-WENT-02.srt

Version 1.1 by Drunk Monkey on 2020-11-20 16:14
Show last authors
1 1
2 00:00:18,390 ~-~-> 00:00:19,920
3 ICT: Okay, in the previous video, we
4
5 2
6 00:00:19,920 ~-~-> 00:00:22,590
7 discussed how 6% compound that over a
8
9 3
10 00:00:22,590 ~-~-> 00:00:24,660
11 year would more than double your
12
13 4
14 00:00:24,660 ~-~-> 00:00:27,630
15 account. And you can see that depicted
16
17 5
18 00:00:27,630 ~-~-> 00:00:30,330
19 here if one hypothetically started with
20
21 6
22 00:00:30,330 ~-~-> 00:00:32,790
23 $5,000. And you were, in fact
24
25 7
26 00:00:32,790 ~-~-> 00:00:35,490
27 consistently returning 6% per month,
28
29 8
30 00:00:36,240 ~-~-> 00:00:38,610
31 after one full year, January of the
32
33 9
34 00:00:38,610 ~-~-> 00:00:41,490
35 following year 2015, you would have just
36
37 10
38 00:00:41,490 ~-~-> 00:00:43,920
39 a little bit over, doubling your money
40
41 11
42 00:00:43,920 ~-~-> 00:00:46,500
43 at 5000 would be 10,000. Again, you can
44
45 12
46 00:00:46,500 ~-~-> 00:00:49,020
47 see this a little bit $60 and 98 cents.
48
49 13
50 00:00:50,610 ~-~-> 00:00:53,490
51 And again, as I promised, it's less than
52
53 14
54 00:00:53,490 ~-~-> 00:00:57,900
55 25 pips per week. Now. I know it sounds
56
57 15
58 00:00:57,900 ~-~-> 00:01:00,810
59 a little too good to be true. Being able
60
61 16
62 00:01:00,810 ~-~-> 00:01:02,220
63 to make just a little bit of pips like
64
65 17
66 00:01:02,220 ~-~-> 00:01:04,290
67 is for over a period of a week, and
68
69 18
70 00:01:04,290 ~-~-> 00:01:06,780
71 still doing such a dramatic increase in
72
73 19
74 00:01:06,780 ~-~-> 00:01:09,000
75 your equity. And again, if you guys
76
77 20
78 00:01:09,000 ~-~-> 00:01:11,520
79 aren't excited about 6% per month, and
80
81 21
82 00:01:11,520 ~-~-> 00:01:12,600
83 you don't think that is dramatic
84
85 22
86 00:01:12,600 ~-~-> 00:01:16,710
87 returns, and you obviously aren't really
88
89 23
90 00:01:16,710 ~-~-> 00:01:19,080
91 aware of what goes on in the investment
92
93 24
94 00:01:19,080 ~-~-> 00:01:20,850
95 world, because this is a phenomenal
96
97 25
98 00:01:20,850 ~-~-> 00:01:23,730
99 return. Okay. But that's assuming you're
100
101 26
102 00:01:23,730 ~-~-> 00:01:25,080
103 using a 30 PIP stop, which is
104
105 27
106 00:01:25,080 ~-~-> 00:01:26,820
107 essentially what I like to see new
108
109 28
110 00:01:26,820 ~-~-> 00:01:28,740
111 traders do because it gives you a little
112
113 29
114 00:01:28,740 ~-~-> 00:01:32,970
115 bit of flexibility for, you know,
116
117 30
118 00:01:33,000 ~-~-> 00:01:34,620
119 allowing in their price action because
120
121 31
122 00:01:34,650 ~-~-> 00:01:36,330
123 most of us when we first start doing
124
125 32
126 00:01:36,360 ~-~-> 00:01:39,060
127 things, we're in a rush to do things or
128
129 33
130 00:01:39,060 ~-~-> 00:01:41,460
131 we are a little lethargic or
132
133 34
134 00:01:42,990 ~-~-> 00:01:45,810
135 apprehensive. So we may get in at most
136
137 35
138 00:01:45,810 ~-~-> 00:01:47,400
139 of opportune time, we'll probably end up
140
141 36
142 00:01:47,430 ~-~-> 00:01:49,230
143 missing that as we develop as new
144
145 37
146 00:01:49,230 ~-~-> 00:01:52,620
147 traders. So I allow a 30 PIP stop, and I
148
149 38
150 00:01:52,830 ~-~-> 00:01:55,140
151 actually encourage traders use the 30
152
153 39
154 00:01:55,140 ~-~-> 00:01:58,200
155 PIP stop as an initial if you're really
156
157 40
158 00:01:58,200 ~-~-> 00:02:01,320
159 really green to trading. You could use a
160
161 41
162 00:02:01,320 ~-~-> 00:02:03,030
163 40 PIP stop and it will give you a lot
164
165 42
166 00:02:03,030 ~-~-> 00:02:05,220
167 more cushion as well. Now, don't be
168
169 43
170 00:02:05,220 ~-~-> 00:02:06,960
171 discouraged because it will be
172
173 44
174 00:02:06,960 ~-~-> 00:02:08,910
175 considered a large stop in some people's
176
177 45
178 00:02:08,910 ~-~-> 00:02:12,150
179 eyes. It's all relative, really. But
180
181 46
182 00:02:12,150 ~-~-> 00:02:15,870
183 we're going to assume that 6% is
184
185 47
186 00:02:15,870 ~-~-> 00:02:18,120
187 understood here as a relatively
188
189 48
190 00:02:19,470 ~-~-> 00:02:23,670
191 achievable goal. Okay. And we're going
192
193 49
194 00:02:23,670 ~-~-> 00:02:25,710
195 to give you a case study to think about,
196
197 50
198 00:02:26,670 ~-~-> 00:02:30,270
199 I'm going to assume that the average
200
201 51
202 00:02:30,270 ~-~-> 00:02:34,440
203 person out there would require about
204
205 52
206 00:02:34,530 ~-~-> 00:02:39,060
207 30 $500 per month, it's US currency.
208
209 53
210 00:02:39,270 ~-~-> 00:02:41,400
211 Okay. And we'll give you a hypothetical
212
213 54
214 00:02:41,700 ~-~-> 00:02:45,810
215 scenario, if one would have to require a
216
217 55
218 00:02:45,990 ~-~-> 00:02:49,530
219 income of 30 $500 per month. My question
220
221 56
222 00:02:49,530 ~-~-> 00:02:51,780
223 to you is if you're trading with just
224
225 57
226 00:02:51,810 ~-~-> 00:02:55,770
227 this goal in mind 6% per month, in
228
229 58
230 00:02:55,860 ~-~-> 00:02:58,560
231 aiming for 23 pips for the week, as a
232
233 59
234 00:02:58,560 ~-~-> 00:03:02,070
235 net Less than 100 pips per month,
236
237 60
238 00:03:02,580 ~-~-> 00:03:05,130
239 allowing you a 30 PIP stop, you're only
240
241 61
242 00:03:05,130 ~-~-> 00:03:08,580
243 risking 2% of your equity. Okay, looking
244
245 62
246 00:03:08,580 ~-~-> 00:03:12,570
247 at that, as it relates to trading with a
248
249 63
250 00:03:12,570 ~-~-> 00:03:16,170
251 $5,000 account, even after three years,
252
253 64
254 00:03:16,200 ~-~-> 00:03:17,850
255 you still haven't reached that goal.
256
257 65
258 00:03:18,240 ~-~-> 00:03:21,210
259 Okay? Now I'm doing this to show you
260
261 66
262 00:03:21,600 ~-~-> 00:03:26,910
263 realistically how you may encounter you
264
265 67
266 00:03:26,910 ~-~-> 00:03:31,350
267 may encounter some lag time in your
268
269 68
270 00:03:31,350 ~-~-> 00:03:33,780
271 goals, that's fine. As long as you're
272
273 69
274 00:03:33,780 ~-~-> 00:03:36,450
275 moving ahead in the direction of your
276
277 70
278 00:03:36,450 ~-~-> 00:03:39,030
279 larger, longer term goal. Every small
280
281 71
282 00:03:39,030 ~-~-> 00:03:41,070
283 incremental movement towards that goal
284
285 72
286 00:03:41,340 ~-~-> 00:03:44,040
287 is a positive. Okay? Again, it's not a
288
289 73
290 00:03:44,040 ~-~-> 00:03:46,140
291 race, it's not a sprint. This is a
292
293 74
294 00:03:46,140 ~-~-> 00:03:48,060
295 journey to be enjoying it as you go
296
297 75
298 00:03:48,060 ~-~-> 00:03:49,590
299 through it. Otherwise, you're gonna make
300
301 76
302 00:03:49,590 ~-~-> 00:03:51,990
303 it an arduous task. It's gonna be just
304
305 77
306 00:03:51,990 ~-~-> 00:03:53,040
307 like the thing you're trying to escape
308
309 78
310 00:03:53,040 ~-~-> 00:03:57,060
311 now, that j ob. So now let's look at
312
313 79
314 00:03:57,330 ~-~-> 00:04:00,450
315 what I promised you going forward that
316
317 80
318 00:04:00,450 ~-~-> 00:04:02,970
319 we would look at ways to make
320
321 81
322 00:04:03,540 ~-~-> 00:04:05,580
323 exponentially larger returns on our
324
325 82
326 00:04:05,580 ~-~-> 00:04:08,520
327 equity. And let's assume for a moment
328
329 83
330 00:04:08,790 ~-~-> 00:04:11,520
331 that you wanted to make it very
332
333 84
334 00:04:11,520 ~-~-> 00:04:15,210
335 respectable 10% per month and we're not
336
337 85
338 00:04:15,270 ~-~-> 00:04:18,000
339 changing the amount of risk percentage
340
341 86
342 00:04:18,000 ~-~-> 00:04:19,530
343 wise we're going to keep it at 2%
344
345 87
346 00:04:20,880 ~-~-> 00:04:23,880
347 suddenly, just by expecting a larger 10%
348
349 88
350 00:04:23,880 ~-~-> 00:04:27,630
351 return, we would need to net 38 pips Now
352
353 89
354 00:04:27,630 ~-~-> 00:04:29,490
355 again, this is rather reasonable,
356
357 90
358 00:04:29,490 ~-~-> 00:04:32,100
359 there's nothing significantly, you know,
360
361 91
362 00:04:34,500 ~-~-> 00:04:36,660
363 shocking about the level of pips that
364
365 92
366 00:04:36,660 ~-~-> 00:04:38,700
367 would be required to earn that. Okay,
368
369 93
370 00:04:38,700 ~-~-> 00:04:41,340
371 you're only risking $3 and 33 cents per
372
373 94
374 00:04:41,340 ~-~-> 00:04:43,590
375 Pip. Okay, that's, that's the gearing
376
377 95
378 00:04:43,860 ~-~-> 00:04:47,310
379 using the 30 PIP stop over the course of
380
381 96
382 00:04:47,310 ~-~-> 00:04:50,640
383 one year. Okay, your $5,000 would return
384
385 97
386 00:04:51,840 ~-~-> 00:05:01,140
387 a net balance of $15,692 now Looking at
388
389 98
390 00:05:01,140 ~-~-> 00:05:04,170
391 that same model, that we would assume
392
393 99
394 00:05:04,170 ~-~-> 00:05:06,720
395 that 30 $500 would be one's expected
396
397 100
398 00:05:08,130 ~-~-> 00:05:12,060
399 return per month to live, okay, you'd
400
401 101
402 00:05:12,060 ~-~-> 00:05:13,980
403 have to have about $37,000 in your
404
405 102
406 00:05:13,980 ~-~-> 00:05:17,040
407 account to draw that out. Okay, or at
408
409 103
410 00:05:17,040 ~-~-> 00:05:19,170
411 least to make that over the, over the
412
413 104
414 00:05:19,170 ~-~-> 00:05:23,280
415 course of a year. Now, my advice is not
416
417 105
418 00:05:23,280 ~-~-> 00:05:24,390
419 to think that once you get to these
420
421 106
422 00:05:24,390 ~-~-> 00:05:26,160
423 levels, you can start living off the
424
425 107
426 00:05:26,160 ~-~-> 00:05:28,500
427 account and start drawing out funds in
428
429 108
430 00:05:28,500 ~-~-> 00:05:32,790
431 the amount it's shown here. What I'm
432
433 109
434 00:05:32,790 ~-~-> 00:05:36,180
435 suggesting to you really is, that is if
436
437 110
438 00:05:36,180 ~-~-> 00:05:37,890
439 that's what you're aiming for, for a
440
441 111
442 00:05:37,890 ~-~-> 00:05:40,410
443 monthly income, you have to have some
444
445 112
446 00:05:40,410 ~-~-> 00:05:42,810
447 money in your account. Okay, I'm going
448
449 113
450 00:05:42,810 ~-~-> 00:05:44,070
451 to refer into your savings account or
452
453 114
454 00:05:44,070 ~-~-> 00:05:46,560
455 your bank account to survive for the
456
457 115
458 00:05:46,560 ~-~-> 00:05:48,480
459 year and allow your money to build over
460
461 116
462 00:05:48,930 ~-~-> 00:05:50,940
463 the course of the 12 months and then as
464
465 117
466 00:05:50,940 ~-~-> 00:05:52,560
467 long as you average around this same
468
469 118
470 00:05:52,830 ~-~-> 00:05:54,630
471 amount, obviously, you would be able to
472
473 119
474 00:05:54,630 ~-~-> 00:05:57,570
475 meet that annual salary requirement to
476
477 120
478 00:05:57,570 ~-~-> 00:06:00,000
479 live as a as a full time trader. That's
480
481 121
482 00:06:00,000 ~-~-> 00:06:01,890
483 The way I teach it is the way I tried to
484
485 122
486 00:06:01,890 ~-~-> 00:06:05,190
487 groom traders to leave the retail world
488
489 123
490 00:06:05,310 ~-~-> 00:06:08,820
491 of trading and just speculating for
492
493 124
494 00:06:08,820 ~-~-> 00:06:11,940
495 extra money then moving into full time
496
497 125
498 00:06:11,940 ~-~-> 00:06:17,400
499 trading. The 10% return is it's pretty
500
501 126
502 00:06:17,400 ~-~-> 00:06:19,890
503 solid return, there's nothing I can say
504
505 127
506 00:06:19,890 ~-~-> 00:06:23,040
507 bad about it. It does get you rich over
508
509 128
510 00:06:23,040 ~-~-> 00:06:25,350
511 a period of time. It doesn't do it
512
513 129
514 00:06:25,350 ~-~-> 00:06:27,420
515 quickly, but it does significantly
516
517 130
518 00:06:28,170 ~-~-> 00:06:30,240
519 increase over a period of time. If you
520
521 131
522 00:06:30,240 ~-~-> 00:06:32,400
523 look at what transpires over the course
524
525 132
526 00:06:32,430 ~-~-> 00:06:38,130
527 of three years, you're $5,000 obviously
528
529 133
530 00:06:38,130 ~-~-> 00:06:41,520
531 would grow to about $170,000. Now again,
532
533 134
534 00:06:41,520 ~-~-> 00:06:43,230
535 this is assuming that you're not paying
536
537 135
538 00:06:43,230 ~-~-> 00:06:45,600
539 any taxes on it, and you are in fact
540
541 136
542 00:06:45,600 ~-~-> 00:06:48,630
543 hitting 10% return consistently every
544
545 137
546 00:06:48,630 ~-~-> 00:06:51,780
547 single month. Now, as you start,
548
549 138
550 00:06:52,080 ~-~-> 00:06:53,910
551 obviously, you may not hit 10% and then
552
553 139
554 00:06:53,940 ~-~-> 00:06:56,970
555 there may be other months where you do
556
557 140
558 00:06:57,000 ~-~-> 00:06:59,820
559 better than 10% Okay, but overall, you
560
561 141
562 00:06:59,820 ~-~-> 00:07:01,260
563 should average out. If you're doing
564
565 142
566 00:07:01,260 ~-~-> 00:07:02,940
567 things consistently, it should do
568
569 143
570 00:07:03,000 ~-~-> 00:07:04,980
571 staying around that 10% if you're
572
573 144
574 00:07:04,980 ~-~-> 00:07:07,530
575 looking at these returns here, less than
576
577 145
578 00:07:07,530 ~-~-> 00:07:10,290
579 40 pips per week, and again, we haven't
580
581 146
582 00:07:10,290 ~-~-> 00:07:13,380
583 done anything to 30 pips stop. Now the
584
585 147
586 00:07:13,380 ~-~-> 00:07:17,340
587 question is this. assume for a moment
588
589 148
590 00:07:17,760 ~-~-> 00:07:22,320
591 that you can fine tune your entries a
592
593 149
594 00:07:22,320 ~-~-> 00:07:25,590
595 little bit more precise. And over the
596
597 150
598 00:07:25,590 ~-~-> 00:07:28,350
599 course of this presentation in series,
600
601 151
602 00:07:28,410 ~-~-> 00:07:30,330
603 where every new and or aspiring for our
604
605 152
606 00:07:30,330 ~-~-> 00:07:32,730
607 share wants to know, we're going to
608
609 153
610 00:07:32,760 ~-~-> 00:07:36,510
611 teach specific applications, concepts
612
613 154
614 00:07:36,510 ~-~-> 00:07:39,900
615 and skill sets that will enable you to
616
617 155
618 00:07:39,930 ~-~-> 00:07:42,450
619 reduce the amount of initial stop loss
620
621 156
622 00:07:42,450 ~-~-> 00:07:44,730
623 that's required. We're going to assume
624
625 157
626 00:07:44,730 ~-~-> 00:07:49,530
627 for a moment that we can now reduce our
628
629 158
630 00:07:49,530 ~-~-> 00:07:56,010
631 stop loss initially to 20 pips, okay. If
632
633 159
634 00:07:56,010 ~-~-> 00:07:59,970
635 we can take the same trades 2% per risk.
636
637 160
638 00:08:01,860 ~-~-> 00:08:04,050
639 portrayed rather, now we're trading with
640
641 161
642 00:08:04,050 ~-~-> 00:08:09,600
643 $5 per Pip. Notice it's still 2% $100 or
644
645 162
646 00:08:09,600 ~-~-> 00:08:13,440
647 5000 equity. We're aiming to make $500
648
649 163
650 00:08:13,440 ~-~-> 00:08:17,100
651 or 10% for the month. Notice the
652
653 164
654 00:08:17,100 ~-~-> 00:08:20,220
655 contrast here. We had moved from needing
656
657 165
658 00:08:20,220 ~-~-> 00:08:23,940
659 to require making 150 pips now only down
660
661 166
662 00:08:23,940 ~-~-> 00:08:26,280
663 to 100 pips. Remember it was 90 pips
664
665 167
666 00:08:26,280 ~-~-> 00:08:29,100
667 before trying to make 6% return with 2%
668
669 168
670 00:08:29,100 ~-~-> 00:08:31,830
671 risk on 30 pips stops. Now watch what
672
673 169
674 00:08:31,830 ~-~-> 00:08:34,410
675 happens when we change it to 15 pips.
676
677 170
678 00:08:36,000 ~-~-> 00:08:38,040
679 Now many are thinking whoa 15 pips
680
681 171
682 00:08:38,040 ~-~-> 00:08:40,350
683 that's a really small stop. Well,
684
685 172
686 00:08:40,440 ~-~-> 00:08:41,910
687 there's ways to do that and we're going
688
689 173
690 00:08:41,910 ~-~-> 00:08:43,980
691 to teach you that in this course. But
692
693 174
694 00:08:43,980 ~-~-> 00:08:46,320
695 now look what happens. We're under 20
696
697 175
698 00:08:46,320 ~-~-> 00:08:50,490
699 pips for the week, under 20 pips only
700
701 176
702 00:08:50,490 ~-~-> 00:08:53,580
703 needed to make 75 pips for the entirety
704
705 177
706 00:08:53,790 ~-~-> 00:08:56,190
707 of the month. Notice we didn't increase
708
709 178
710 00:08:56,190 ~-~-> 00:08:59,850
711 our risk, it's still 2% to risk would be
712
713 179
714 00:08:59,850 ~-~-> 00:09:02,700
715 a lot Loss of $100 still 2% of our net
716
717 180
718 00:09:03,120 ~-~-> 00:09:05,790
719 equity of 5000. Our bidding beginning
720
721 181
722 00:09:05,790 ~-~-> 00:09:08,370
723 mounts, again aiming for 10% return.
724
725 182
726 00:09:09,240 ~-~-> 00:09:11,250
727 Now, this is where it gets interesting.
728
729 183
730 00:09:12,900 ~-~-> 00:09:14,430
731 Notice that these numbers and figures
732
733 184
734 00:09:14,430 ~-~-> 00:09:16,710
735 are not changing over here. Do anything
736
737 185
738 00:09:16,710 ~-~-> 00:09:18,990
739 I'm changing is the amount of initial
740
741 186
742 00:09:18,990 ~-~-> 00:09:23,190
743 stop loss that's required. Okay, we cut
744
745 187
746 00:09:24,030 ~-~-> 00:09:27,510
747 the total monthly PIP expectancy from
748
749 188
750 00:09:27,510 ~-~-> 00:09:31,620
751 150 in half down to 75. Only by
752
753 189
754 00:09:31,710 ~-~-> 00:09:34,770
755 adjusting and spending more time on
756
757 190
758 00:09:34,770 ~-~-> 00:09:37,860
759 accuracy and reducing our amount of PIP
760
761 191
762 00:09:38,610 ~-~-> 00:09:41,700
763 on the stop. So in other words, we cut
764
765 192
766 00:09:41,700 ~-~-> 00:09:44,790
767 our 30 PIP stop loss in half to 15 pips.
768
769 193
770 00:09:45,120 ~-~-> 00:09:46,920
771 Now you're probably wondering, is it
772
773 194
774 00:09:46,920 ~-~-> 00:09:48,840
775 really possible to do that? Yes, it
776
777 195
778 00:09:48,840 ~-~-> 00:09:50,640
779 absolutely is. And we're going to give
780
781 196
782 00:09:50,640 ~-~-> 00:09:53,550
783 examples of that in this video. But for
784
785 197
786 00:09:53,550 ~-~-> 00:09:55,080
787 now, understand that it's going to take
788
789 198
790 00:09:55,080 ~-~-> 00:09:56,040
791 you a little bit of time to get there.
792
793 199
794 00:09:56,040 ~-~-> 00:09:58,260
795 So again, it's all about not rushing
796
797 200
798 00:09:58,260 ~-~-> 00:10:02,010
799 initially. You need to go To this model
800
801 201
802 00:10:08,910 ~-~-> 00:10:13,140
803 First, if you can't do this model 2323
804
805 202
806 00:10:13,140 ~-~-> 00:10:15,960
807 pips per week, 90 pips for the month,
808
809 203
810 00:10:16,440 ~-~-> 00:10:18,990
811 using a 30 PIP Stop, don't think for a
812
813 204
814 00:10:18,990 ~-~-> 00:10:20,670
815 moment you're gonna be able to do 15
816
817 205
818 00:10:20,670 ~-~-> 00:10:22,890
819 pips stop loss straight, okay? You got
820
821 206
822 00:10:22,890 ~-~-> 00:10:24,540
823 to be able to grow into it. And it
824
825 207
826 00:10:24,540 ~-~-> 00:10:25,770
827 doesn't take long to do that it only
828
829 208
830 00:10:25,770 ~-~-> 00:10:27,090
831 takes a couple months, we're talking
832
833 209
834 00:10:27,090 ~-~-> 00:10:30,210
835 about six months. This is the amount of
836
837 210
838 00:10:30,210 ~-~-> 00:10:32,550
839 time that you would require this whole
840
841 211
842 00:10:32,670 ~-~-> 00:10:35,580
843 six month bracket up here. If you can do
844
845 212
846 00:10:35,580 ~-~-> 00:10:38,940
847 6% consistently over six months, the
848
849 213
850 00:10:38,940 ~-~-> 00:10:41,160
851 only thing you're changing is the
852
853 214
854 00:10:41,160 ~-~-> 00:10:43,200
855 initial stop loss amount. Because if you
856
857 215
858 00:10:43,200 ~-~-> 00:10:46,290
859 can prove to yourself and be consistent
860
861 216
862 00:10:46,290 ~-~-> 00:10:49,260
863 about the way you apply the concepts
864
865 217
866 00:10:49,260 ~-~-> 00:10:51,510
867 that we're sharing, the only thing
868
869 218
870 00:10:51,510 ~-~-> 00:10:53,910
871 you're changing is the math. Okay,
872
873 219
874 00:10:54,600 ~-~-> 00:10:57,840
875 you're reducing the initial risk in half
876
877 220
878 00:10:57,840 ~-~-> 00:11:01,560
879 from 30 to 15 pips Nothing changes in
880
881 221
882 00:11:01,830 ~-~-> 00:11:04,440
883 percent risk, nothing changes in the
884
885 222
886 00:11:04,440 ~-~-> 00:11:07,740
887 dollar amounts over here, okay? But your
888
889 223
890 00:11:08,040 ~-~-> 00:11:10,740
891 work that's required to do the trades
892
893 224
894 00:11:10,740 ~-~-> 00:11:14,010
895 and returns drop rather exponentially
896
897 225
898 00:11:14,460 ~-~-> 00:11:16,470
899 unless you actually build a lot more
900
901 226
902 00:11:17,970 ~-~-> 00:11:20,670
903 flexibility over here on this end, okay
904
905 227
906 00:11:20,670 ~-~-> 00:11:22,800
907 in terms of monthly returns and still
908
909 228
910 00:11:22,800 ~-~-> 00:11:25,890
911 never changing, total risk portrayed.
912
913 229
914 00:11:26,610 ~-~-> 00:11:28,890
915 Now let's go back and assume for a
916
917 230
918 00:11:28,890 ~-~-> 00:11:31,500
919 moment that you want to make a 20%
920
921 231
922 00:11:31,500 ~-~-> 00:11:33,120
923 return now we're entering levels that
924
925 232
926 00:11:33,120 ~-~-> 00:11:38,850
927 are very, very phenomenal. Again, with a
928
929 233
930 00:11:38,850 ~-~-> 00:11:41,100
931 30 PIP stop loss you would need to make
932
933 234
934 00:11:41,130 ~-~-> 00:11:44,550
935 75 pips. Now if you've been a follower
936
937 235
938 00:11:44,550 ~-~-> 00:11:47,580
939 of mine, for any number of years, in
940
941 236
942 00:11:47,580 ~-~-> 00:11:52,260
943 2010, I came out with the idea that if
944
945 237
946 00:11:52,260 ~-~-> 00:11:56,190
947 we're aiming for 50 to 75 pips, this was
948
949 238
950 00:11:56,190 ~-~-> 00:11:59,010
951 the model I was teaching. Okay. But now
952
953 239
954 00:11:59,010 ~-~-> 00:12:01,200
955 we're going through The entire ICT
956
957 240
958 00:12:01,200 ~-~-> 00:12:02,400
959 library again now we're going to give
960
961 241
962 00:12:02,400 ~-~-> 00:12:05,010
963 you the Amplified view to make 20%
964
965 242
966 00:12:05,010 ~-~-> 00:12:07,890
967 return. Okay, we're going to use the
968
969 243
970 00:12:07,890 ~-~-> 00:12:11,370
971 same model here. assume for a moment we
972
973 244
974 00:12:11,370 ~-~-> 00:12:14,280
975 go down to reducing our initial stop
976
977 245
978 00:12:14,280 ~-~-> 00:12:18,540
979 loss to 20 pips. We moved from needing
980
981 246
982 00:12:18,540 ~-~-> 00:12:21,120
983 to make 75 pips a week 250 pips per
984
985 247
986 00:12:21,120 ~-~-> 00:12:24,810
987 week, notice we have not increased our
988
989 248
990 00:12:24,990 ~-~-> 00:12:28,890
991 risk per trade at all. 20% is still the
992
993 249
994 00:12:28,890 ~-~-> 00:12:32,370
995 expected goal. And using $5,000 as an
996
997 250
998 00:12:32,370 ~-~-> 00:12:35,160
999 equity base example, after one year,
1000
1001 251
1002 00:12:35,160 ~-~-> 00:12:39,030
1003 it's $44,580. In two years, it's
1004
1005 252
1006 00:12:39,030 ~-~-> 00:12:44,670
1007 $397,000. Now, at month seven, you're
1008
1009 253
1010 00:12:44,670 ~-~-> 00:12:46,200
1011 already at the level where you're making
1012
1013 254
1014 00:12:46,200 ~-~-> 00:12:48,870
1015 that hypothetical 30 $500 to sustain
1016
1017 255
1018 00:12:48,870 ~-~-> 00:12:51,240
1019 yourself on a monthly basis. And again,
1020
1021 256
1022 00:12:51,540 ~-~-> 00:12:53,430
1023 I'm not arguing the fact that everyone
1024
1025 257
1026 00:12:53,430 ~-~-> 00:12:55,320
1027 can live on 30 $500 I'm just using it as
1028
1029 258
1030 00:12:55,320 ~-~-> 00:12:56,730
1031 a case study. So please don't send me
1032
1033 259
1034 00:12:56,730 ~-~-> 00:12:58,650
1035 emails saying, I really can't afford to
1036
1037 260
1038 00:12:58,650 ~-~-> 00:13:00,810
1039 live on 30 $500 I'm just Using example
1040
1041 261
1042 00:13:00,810 ~-~-> 00:13:03,000
1043 guy so don't know don't make more of it
1044
1045 262
1046 00:13:03,000 ~-~-> 00:13:05,610
1047 than it really is. Now for a moment,
1048
1049 263
1050 00:13:06,090 ~-~-> 00:13:08,190
1051 let's assume that we are able to again
1052
1053 264
1054 00:13:08,280 ~-~-> 00:13:11,970
1055 trim our stop loss order initial entries
1056
1057 265
1058 00:13:12,000 ~-~-> 00:13:14,580
1059 and reducing the overall risk to 15
1060
1061 266
1062 00:13:14,580 ~-~-> 00:13:16,560
1063 pips. Now again, we're going to be using
1064
1065 267
1066 00:13:16,560 ~-~-> 00:13:19,080
1067 a day traders model for entry. Okay, but
1068
1069 268
1070 00:13:19,110 ~-~-> 00:13:21,120
1071 still using a 30 PIP stop, it was still
1072
1073 269
1074 00:13:21,120 ~-~-> 00:13:23,490
1075 respectable and you can do 25 pips. But
1076
1077 270
1078 00:13:23,490 ~-~-> 00:13:25,650
1079 for now, assuming that we can get very,
1080
1081 271
1082 00:13:25,650 ~-~-> 00:13:29,670
1083 very close to the marketplace and allow
1084
1085 272
1086 00:13:29,670 ~-~-> 00:13:33,510
1087 a 15 PIP stop loss. What will happen is
1088
1089 273
1090 00:13:38,640 ~-~-> 00:13:40,710
1091 you reduce your total monthly PIP
1092
1093 274
1094 00:13:40,740 ~-~-> 00:13:44,250
1095 expectancy to half again, so now we need
1096
1097 275
1098 00:13:44,250 ~-~-> 00:13:47,850
1099 to only make 150 pips and we only need
1100
1101 276
1102 00:13:47,850 ~-~-> 00:13:52,050
1103 to make 38 pips for the week 38 pips for
1104
1105 277
1106 00:13:52,050 ~-~-> 00:13:54,900
1107 the week with an initial stop loss of 15
1108
1109 278
1110 00:13:54,900 ~-~-> 00:14:00,270
1111 pips that's less than three to one Think
1112
1113 279
1114 00:14:00,270 ~-~-> 00:14:02,370
1115 about that's less than three to one. One
1116
1117 280
1118 00:14:02,370 ~-~-> 00:14:05,160
1119 trade with a setup of less than three to
1120
1121 281
1122 00:14:05,160 ~-~-> 00:14:08,400
1123 one would accomplish more than this.
1124
1125 282
1126 00:14:09,120 ~-~-> 00:14:12,900
1127 Okay, so now let's assume for a moment,
1128
1129 283
1130 00:14:13,080 ~-~-> 00:14:16,620
1131 going back to our original settings, we
1132
1133 284
1134 00:14:16,620 ~-~-> 00:14:21,930
1135 want to make 30% return. Now we're
1136
1137 285
1138 00:14:21,930 ~-~-> 00:14:24,810
1139 absolutely in error areas where it's
1140
1141 286
1142 00:14:24,810 ~-~-> 00:14:27,270
1143 just unheard of for folks to make this.
1144
1145 287
1146 00:14:27,570 ~-~-> 00:14:30,360
1147 Again, looking at this, we would need to
1148
1149 288
1150 00:14:30,360 ~-~-> 00:14:35,250
1151 make 113 pips for the week, or 450 pips
1152
1153 289
1154 00:14:35,250 ~-~-> 00:14:39,090
1155 per month. Now, I know most of you are
1156
1157 290
1158 00:14:39,090 ~-~-> 00:14:41,640
1159 saying, well, I can't make 450 pips per
1160
1161 291
1162 00:14:41,640 ~-~-> 00:14:43,620
1163 month. Well, you're probably right right
1164
1165 292
1166 00:14:43,620 ~-~-> 00:14:45,150
1167 now as a new trading or developing
1168
1169 293
1170 00:14:45,150 ~-~-> 00:14:47,340
1171 trader, you probably can't do that. But
1172
1173 294
1174 00:14:47,340 ~-~-> 00:14:51,390
1175 using 2% risk and a 30 PIP stop, you
1176
1177 295
1178 00:14:51,390 ~-~-> 00:14:53,790
1179 would need to make 113 pips per week.
1180
1181 296
1182 00:14:54,510 ~-~-> 00:14:58,200
1183 Now looking at our example of trimming
1184
1185 297
1186 00:15:01,740 ~-~-> 00:15:06,570
1187 20 pips stop loss, we would need to only
1188
1189 298
1190 00:15:06,570 ~-~-> 00:15:09,840
1191 make 75 pips for the week, or 300 pips
1192
1193 299
1194 00:15:09,840 ~-~-> 00:15:12,270
1195 for the month. Now this is doable, you
1196
1197 300
1198 00:15:12,270 ~-~-> 00:15:14,070
1199 can still do 75 pips over a week, even
1200
1201 301
1202 00:15:14,070 ~-~-> 00:15:15,510
1203 with the low volatility we have right
1204
1205 302
1206 00:15:15,510 ~-~-> 00:15:18,060
1207 now, currently in 2014. At the time of
1208
1209 303
1210 00:15:18,060 ~-~-> 00:15:20,430
1211 this recording, this is still doable,
1212
1213 304
1214 00:15:20,490 ~-~-> 00:15:21,960
1215 it's going to require some work, but
1216
1217 305
1218 00:15:21,960 ~-~-> 00:15:24,540
1219 still yet it can be done. If you go back
1220
1221 306
1222 00:15:24,540 ~-~-> 00:15:26,550
1223 over to our example again, assume for a
1224
1225 307
1226 00:15:26,550 ~-~-> 00:15:28,980
1227 moment that we can reduce our risk to
1228
1229 308
1230 00:15:29,160 ~-~-> 00:15:30,540
1231 again 15 pips
1232
1233 309
1234 00:15:31,800 ~-~-> 00:15:34,320
1235 we only need to make 56 pips for the
1236
1237 310
1238 00:15:34,320 ~-~-> 00:15:39,030
1239 week, or 225 pips for the month. Notice
1240
1241 311
1242 00:15:39,030 ~-~-> 00:15:42,270
1243 that we're not increasing the 2% risk
1244
1245 312
1246 00:15:42,480 ~-~-> 00:15:45,390
1247 per trade, it still stays locked at 2%.
1248
1249 313
1250 00:15:46,380 ~-~-> 00:15:49,680
1251 But it's allowing us a larger dollar per
1252
1253 314
1254 00:15:49,680 ~-~-> 00:15:54,870
1255 PIP risk and still maintain the 2% total
1256
1257 315
1258 00:15:54,870 ~-~-> 00:15:58,350
1259 risk portrayed on the $5,000. Again,
1260
1261 316
1262 00:15:58,380 ~-~-> 00:16:00,210
1263 these numbers are not changing as We
1264
1265 317
1266 00:16:00,210 ~-~-> 00:16:03,720
1267 adjust the PIP amount in terms of
1268
1269 318
1270 00:16:03,750 ~-~-> 00:16:06,360
1271 initial stop loss, it just changes the
1272
1273 319
1274 00:16:06,360 ~-~-> 00:16:09,810
1275 expectancy on what you need to make to
1276
1277 320
1278 00:16:09,810 ~-~-> 00:16:13,950
1279 acquire 30% per month. Now at 30% per
1280
1281 321
1282 00:16:13,950 ~-~-> 00:16:16,500
1283 month, your $5,000 will grow to
1284
1285 322
1286 00:16:16,530 ~-~-> 00:16:19,170
1287 $116,000. Now, again, going back to our
1288
1289 323
1290 00:16:19,170 ~-~-> 00:16:22,860
1291 3500 an hour example of, you know, case
1292
1293 324
1294 00:16:22,860 ~-~-> 00:16:25,320
1295 study needing to make 3500 hours to
1296
1297 325
1298 00:16:25,320 ~-~-> 00:16:27,810
1299 sustain oneself, you get into that
1300
1301 326
1302 00:16:27,810 ~-~-> 00:16:30,180
1303 region around the fourth month if you're
1304
1305 327
1306 00:16:30,180 ~-~-> 00:16:34,530
1307 able to do 30% return Now, again, this
1308
1309 328
1310 00:16:34,530 ~-~-> 00:16:37,560
1311 is assuming that one can consistently
1312
1313 329
1314 00:16:38,370 ~-~-> 00:16:40,980
1315 month over month over month to 30%
1316
1317 330
1318 00:16:40,980 ~-~-> 00:16:45,270
1319 returns. My question to us this if you
1320
1321 331
1322 00:16:45,270 ~-~-> 00:16:49,710
1323 can make 56 pips for the entire week,
1324
1325 332
1326 00:16:50,790 ~-~-> 00:16:55,440
1327 okay. You'll hit this number. every
1328
1329 333
1330 00:16:55,440 ~-~-> 00:16:56,910
1331 single month you'll do it. The only
1332
1333 334
1334 00:16:56,910 ~-~-> 00:16:57,840
1335 thing it's going to change is your
1336
1337 335
1338 00:16:57,840 ~-~-> 00:17:00,990
1339 dollar per risk. You know, in your On on
1340
1341 336
1342 00:17:00,990 ~-~-> 00:17:05,940
1343 your your trades. Now let's go and look
1344
1345 337
1346 00:17:05,970 ~-~-> 00:17:16,140
1347 at assuming that we had a 20 PIP stop.
1348
1349 338
1350 00:17:17,100 ~-~-> 00:17:27,210
1351 Okay 20 PIP stop and you run this across
1352
1353 339
1354 00:17:27,390 ~-~-> 00:17:37,470
1355 the entire 36 month example. Okay, you
1356
1357 340
1358 00:17:37,470 ~-~-> 00:17:43,260
1359 would need $5 per Pip, which 2% $100 of
1360
1361 341
1362 00:17:43,260 ~-~-> 00:17:46,110
1363 the total equity used for that month
1364
1365 342
1366 00:17:46,650 ~-~-> 00:17:50,820
1367 returning 30% it's 1500 dollars you only
1368
1369 343
1370 00:17:50,820 ~-~-> 00:17:54,450
1371 need to make 75 pips. Here's a question.
1372
1373 344
1374 00:17:55,950 ~-~-> 00:18:00,510
1375 We have a 20 PIP stop loss again Don't
1376
1377 345
1378 00:18:00,510 ~-~-> 00:18:02,610
1379 be confused but this is a notation. If
1380
1381 346
1382 00:18:02,610 ~-~-> 00:18:03,930
1383 you look at what we have here this is
1384
1385 347
1386 00:18:05,250 ~-~-> 00:18:08,280
1387 denoting the stop loss with requiring 20
1388
1389 348
1390 00:18:08,280 ~-~-> 00:18:13,200
1391 pips. Okay, so now 20 pips stop loss if
1392
1393 349
1394 00:18:13,290 ~-~-> 00:18:18,510
1395 one were to make a trade with one to one
1396
1397 350
1398 00:18:18,570 ~-~-> 00:18:21,720
1399 reward to risk ratio, that means you
1400
1401 351
1402 00:18:21,720 ~-~-> 00:18:24,000
1403 would expect to make what you're risking
1404
1405 352
1406 00:18:24,000 ~-~-> 00:18:27,120
1407 20 you're hoping to make what 20 PIP
1408
1409 353
1410 00:18:27,120 ~-~-> 00:18:30,060
1411 gain. Okay, so now what if you were
1412
1413 354
1414 00:18:30,060 ~-~-> 00:18:35,580
1415 looking for a two to one trait that's
1416
1417 355
1418 00:18:35,910 ~-~-> 00:18:39,000
1419 two rewarded for one wrist. You would
1420
1421 356
1422 00:18:39,000 ~-~-> 00:18:42,150
1423 need to make a 40 PIP net gain on that
1424
1425 357
1426 00:18:42,150 ~-~-> 00:18:44,370
1427 trade. you're risking 20 pips, you're
1428
1429 358
1430 00:18:44,370 ~-~-> 00:18:48,720
1431 hoping to make 40 Now watch this. If you
1432
1433 359
1434 00:18:48,720 ~-~-> 00:18:53,370
1435 were doing a three to one trade, risking
1436
1437 360
1438 00:18:53,370 ~-~-> 00:18:57,630
1439 20 pips you would expect to make 160
1440
1441 361
1442 00:18:57,630 ~-~-> 00:19:02,250
1443 pips risking 20 Aiming for 60 that's a
1444
1445 362
1446 00:19:02,250 ~-~-> 00:19:04,890
1447 three to one trade. Now, here's another
1448
1449 363
1450 00:19:04,890 ~-~-> 00:19:07,650
1451 example. If you're trying to make a four
1452
1453 364
1454 00:19:07,650 ~-~-> 00:19:11,010
1455 to one trade, you're risking 20 pips to
1456
1457 365
1458 00:19:11,010 ~-~-> 00:19:16,530
1459 make 80 pips. 80 pips made on a trade
1460
1461 366
1462 00:19:16,590 ~-~-> 00:19:18,960
1463 that's only risking 20 pips is
1464
1465 367
1466 00:19:18,960 ~-~-> 00:19:19,920
1467 absolutely doable.
1468
1469 368
1470 00:19:20,490 ~-~-> 00:19:22,890
1471 It's going to take some time and study
1472
1473 369
1474 00:19:22,890 ~-~-> 00:19:26,130
1475 to find them. Okay? But they're there.
1476
1477 370
1478 00:19:26,460 ~-~-> 00:19:28,860
1479 They're there every single month, every
1480
1481 371
1482 00:19:28,860 ~-~-> 00:19:32,130
1483 single week, and sometimes, okay, you
1484
1485 372
1486 00:19:32,130 ~-~-> 00:19:33,780
1487 can catch them simply in a day trading
1488
1489 373
1490 00:19:33,780 ~-~-> 00:19:36,720
1491 scenario. Many times you have to require
1492
1493 374
1494 00:19:36,720 ~-~-> 00:19:39,240
1495 your trade to hold on to it for a few
1496
1497 375
1498 00:19:39,240 ~-~-> 00:19:41,220
1499 days to do that, but you can still do
1500
1501 376
1502 00:19:41,220 ~-~-> 00:19:45,660
1503 it. Okay. But my question is this. If
1504
1505 377
1506 00:19:45,660 ~-~-> 00:19:49,290
1507 you're focused on doing these types of
1508
1509 378
1510 00:19:49,290 ~-~-> 00:19:51,360
1511 trades here where I'm trying to make my
1512
1513 379
1514 00:19:51,360 ~-~-> 00:19:53,190
1515 20 pips per day or I'm trying to make my
1516
1517 380
1518 00:19:53,400 ~-~-> 00:19:56,730
1519 15 pips per day, okay, this right here,
1520
1521 381
1522 00:19:57,690 ~-~-> 00:19:59,580
1523 gets most people in trouble because
1524
1525 382
1526 00:19:59,820 ~-~-> 00:20:01,530
1527 they're Trying to get in there every
1528
1529 383
1530 00:20:01,530 ~-~-> 00:20:03,480
1531 single day and try to make those trades
1532
1533 384
1534 00:20:03,840 ~-~-> 00:20:06,990
1535 to make these pips. Okay? I give these
1536
1537 385
1538 00:20:06,990 ~-~-> 00:20:09,960
1539 examples here as as models to choose
1540
1541 386
1542 00:20:09,960 ~-~-> 00:20:12,090
1543 from because there's several scenarios
1544
1545 387
1546 00:20:12,090 ~-~-> 00:20:14,760
1547 that specific traders will find
1548
1549 388
1550 00:20:14,760 ~-~-> 00:20:16,020
1551 themselves comfortable in position
1552
1553 389
1554 00:20:16,020 ~-~-> 00:20:18,330
1555 trading, swing trading or day trading or
1556
1557 390
1558 00:20:18,330 ~-~-> 00:20:20,460
1559 scalping. And that's what this is
1560
1561 391
1562 00:20:20,460 ~-~-> 00:20:21,990
1563 designed for. This is the scalpers
1564
1565 392
1566 00:20:22,230 ~-~-> 00:20:24,990
1567 mentality here or day traders column.
1568
1569 393
1570 00:20:25,860 ~-~-> 00:20:28,320
1571 This is what you would need to make as a
1572
1573 394
1574 00:20:28,350 ~-~-> 00:20:32,970
1575 short term trader, okay, or a swing
1576
1577 395
1578 00:20:32,970 ~-~-> 00:20:35,580
1579 trader here twice a week. And then for
1580
1581 396
1582 00:20:35,580 ~-~-> 00:20:38,640
1583 the weekly is like a position trader you
1584
1585 397
1586 00:20:38,640 ~-~-> 00:20:40,980
1587 hold for the weekly range. And obviously
1588
1589 398
1590 00:20:40,980 ~-~-> 00:20:42,300
1591 a long term trader would be looking for
1592
1593 399
1594 00:20:42,330 ~-~-> 00:20:45,390
1595 the monthly moves, okay. So this is all
1596
1597 400
1598 00:20:45,390 ~-~-> 00:20:47,490
1599 broken down with that mindset. You
1600
1601 401
1602 00:20:47,490 ~-~-> 00:20:49,470
1603 choose where you're going to be most
1604
1605 402
1606 00:20:50,070 ~-~-> 00:20:52,500
1607 appropriate in terms of what you're
1608
1609 403
1610 00:20:52,500 ~-~-> 00:20:54,180
1611 allowing your, your your psyche to
1612
1613 404
1614 00:20:54,180 ~-~-> 00:20:56,910
1615 absorb. most traders can't do day
1616
1617 405
1618 00:20:56,910 ~-~-> 00:21:00,450
1619 trading most traders. You can Get in
1620
1621 406
1622 00:21:00,450 ~-~-> 00:21:02,580
1623 front of the charts because of jobs
1624
1625 407
1626 00:21:02,580 ~-~-> 00:21:05,310
1627 because of other things that are an
1628
1629 408
1630 00:21:05,310 ~-~-> 00:21:07,890
1631 obstacle for them. But there's other
1632
1633 409
1634 00:21:07,890 ~-~-> 00:21:10,890
1635 ways to do this. Okay? And let's use the
1636
1637 410
1638 00:21:10,890 ~-~-> 00:21:14,580
1639 example that you're, if you're looking
1640
1641 411
1642 00:21:14,580 ~-~-> 00:21:17,400
1643 for this scenario right here, okay, we
1644
1645 412
1646 00:21:17,400 ~-~-> 00:21:20,010
1647 have the gearing is a 20 PIP stop,
1648
1649 413
1650 00:21:20,070 ~-~-> 00:21:22,110
1651 that's what we're going to use. And
1652
1653 414
1654 00:21:22,110 ~-~-> 00:21:24,570
1655 we're only risking 2% and we're aiming
1656
1657 415
1658 00:21:24,570 ~-~-> 00:21:27,060
1659 for 30% return for the month. That means
1660
1661 416
1662 00:21:27,060 ~-~-> 00:21:31,050
1663 we have to do essentially what we have
1664
1665 417
1666 00:21:31,050 ~-~-> 00:21:33,120
1667 to find a trade that's four to one
1668
1669 418
1670 00:21:33,150 ~-~-> 00:21:36,480
1671 reward the risk that will give us better
1672
1673 419
1674 00:21:36,480 ~-~-> 00:21:41,640
1675 than this. Okay, I'm just gonna move
1676
1677 420
1678 00:21:41,640 ~-~-> 00:21:43,080
1679 this a little bit just to show you
1680
1681 421
1682 00:21:43,080 ~-~-> 00:21:44,070
1683 something because right now it's saying
1684
1685 422
1686 00:21:44,070 ~-~-> 00:21:46,500
1687 we need to make 75 pips per week to get
1688
1689 423
1690 00:21:46,500 ~-~-> 00:21:53,280
1691 30% return. If Yeah, that would be a
1692
1693 424
1694 00:21:53,280 ~-~-> 00:21:56,430
1695 wonderful return women to get 32%
1696
1697 425
1698 00:21:56,430 ~-~-> 00:21:58,290
1699 return, you got to get 80 pips and that
1700
1701 426
1702 00:21:58,290 ~-~-> 00:22:01,410
1703 would be that four to one scenario where
1704
1705 427
1706 00:22:01,560 ~-~-> 00:22:04,350
1707 you're risking 20 pips. Okay? Let me
1708
1709 428
1710 00:22:04,350 ~-~-> 00:22:05,610
1711 just change this right now as we're
1712
1713 429
1714 00:22:05,610 ~-~-> 00:22:08,430
1715 talking about to make, you know, a 20
1716
1717 430
1718 00:22:08,430 ~-~-> 00:22:10,530
1719 PIP stop loss, you're risking $5 per
1720
1721 431
1722 00:22:10,530 ~-~-> 00:22:14,280
1723 point per PIP 2% risk total is $100
1724
1725 432
1726 00:22:14,520 ~-~-> 00:22:16,890
1727 you're aiming for 32% that would equate
1728
1729 433
1730 00:22:16,890 ~-~-> 00:22:20,010
1731 to that for one scenario. Okay? So if
1732
1733 434
1734 00:22:20,010 ~-~-> 00:22:22,770
1735 you do four to one reward to risk setups
1736
1737 435
1738 00:22:22,890 ~-~-> 00:22:26,400
1739 every single time you do a trade, you
1740
1741 436
1742 00:22:26,400 ~-~-> 00:22:29,160
1743 will be in the realm that's required,
1744
1745 437
1746 00:22:29,430 ~-~-> 00:22:33,870
1747 okay to do one shot one kill setups per
1748
1749 438
1750 00:22:33,870 ~-~-> 00:22:37,560
1751 week, and he would hit 32% return. Okay,
1752
1753 439
1754 00:22:37,950 ~-~-> 00:22:39,480
1755 so now let's look at a chart and see
1756
1757 440
1758 00:22:39,480 ~-~-> 00:22:41,610
1759 what that looks like and how those types
1760
1761 441
1762 00:22:41,610 ~-~-> 00:22:44,520
1763 of trades setup and how we can find four
1764
1765 442
1766 00:22:44,520 ~-~-> 00:22:47,100
1767 to one three to one, reward risk
1768
1769 443
1770 00:22:47,160 ~-~-> 00:22:50,610
1771 scenarios and keep our our stop losses
1772
1773 444
1774 00:22:50,640 ~-~-> 00:22:54,540
1775 really relatively tight. But before we
1776
1777 445
1778 00:22:54,540 ~-~-> 00:22:56,040
1779 do, let me go let me do this. Let's go
1780
1781 446
1782 00:22:56,040 ~-~-> 00:23:01,140
1783 back and do our gearing for 15 PIP stop
1784
1785 447
1786 00:23:01,680 ~-~-> 00:23:05,790
1787 and we'll use the same scenario of
1788
1789 448
1790 00:23:05,790 ~-~-> 00:23:08,160
1791 breaking it down What? What's required?
1792
1793 449
1794 00:23:09,030 ~-~-> 00:23:11,670
1795 Okay, so we're using a 15 PIP stop, you
1796
1797 450
1798 00:23:11,670 ~-~-> 00:23:14,670
1799 would need to make 56 pips for the week.
1800
1801 451
1802 00:23:14,970 ~-~-> 00:23:20,700
1803 Okay? So 15 pips right reward the risk
1804
1805 452
1806 00:23:20,730 ~-~-> 00:23:23,850
1807 of one to one you would need to make 15
1808
1809 453
1810 00:23:23,850 ~-~-> 00:23:27,360
1811 pits net and two to one reward the risk
1812
1813 454
1814 00:23:27,390 ~-~-> 00:23:33,480
1815 would be 30 pips for 15 pips risk three
1816
1817 455
1818 00:23:33,480 ~-~-> 00:23:39,210
1819 one would be a 45 PIP 215 PIP ratio and
1820
1821 456
1822 00:23:39,210 ~-~-> 00:23:40,650
1823 always you're looking to make 45 pips
1824
1825 457
1826 00:23:40,650 ~-~-> 00:23:43,140
1827 gain for 45 I'm sorry for 15 pips risk,
1828
1829 458
1830 00:23:43,380 ~-~-> 00:23:45,660
1831 you're trying to aim and make 45 pips
1832
1833 459
1834 00:23:46,770 ~-~-> 00:23:51,000
1835 four to one would give you 60 pips. Okay
1836
1837 460
1838 00:23:51,000 ~-~-> 00:23:54,210
1839 you need to make 60 pips for the 15 pips
1840
1841 461
1842 00:23:54,210 ~-~-> 00:23:56,010
1843 risk to make four to one and again that
1844
1845 462
1846 00:23:56,010 ~-~-> 00:23:57,810
1847 will be better than this sets, probably
1848
1849 463
1850 00:23:57,810 ~-~-> 00:23:58,530
1851 very close.
1852
1853 464
1854 00:24:00,390 ~-~-> 00:24:02,280
1855 To this and so that we have here, so you
1856
1857 465
1858 00:24:02,280 ~-~-> 00:24:04,500
1859 would need to make 60 pips per week,
1860
1861 466
1862 00:24:04,920 ~-~-> 00:24:07,890
1863 risking 15, initially, with a four to
1864
1865 467
1866 00:24:07,890 ~-~-> 00:24:11,070
1867 one ratio, reward to risk, and you would
1868
1869 468
1870 00:24:11,070 ~-~-> 00:24:14,550
1871 hit 32%. Now, again, this is all we're
1872
1873 469
1874 00:24:14,550 ~-~-> 00:24:16,590
1875 dealing with just, this is just math,
1876
1877 470
1878 00:24:16,620 ~-~-> 00:24:18,660
1879 okay? And this is how easy it is it's
1880
1881 471
1882 00:24:18,660 ~-~-> 00:24:21,750
1883 not hard to come up with a strategy to
1884
1885 472
1886 00:24:21,750 ~-~-> 00:24:23,910
1887 get these ridiculous amounts of return.
1888
1889 473
1890 00:24:24,180 ~-~-> 00:24:25,980
1891 What makes it difficult is you got to be
1892
1893 474
1894 00:24:25,980 ~-~-> 00:24:27,300
1895 able to see how to do that in the
1896
1897 475
1898 00:24:27,300 ~-~-> 00:24:29,820
1899 charts. So let's go over to the market
1900
1901 476
1902 00:24:30,330 ~-~-> 00:24:32,610
1903 and take a look at how that's done. All
1904
1905 477
1906 00:24:32,610 ~-~-> 00:24:34,440
1907 right, we're looking at the British
1908
1909 478
1910 00:24:34,440 ~-~-> 00:24:40,440
1911 Pound USD pair. Okay, and I have some
1912
1913 479
1914 00:24:40,680 ~-~-> 00:24:43,320
1915 lines on here that we're gonna utilize.
1916
1917 480
1918 00:24:46,200 ~-~-> 00:24:50,370
1919 And I want to show you what we have.
1920
1921 481
1922 00:24:51,600 ~-~-> 00:24:53,550
1923 We're going to assume for a moment that
1924
1925 482
1926 00:24:53,550 ~-~-> 00:24:57,390
1927 you thought that this 170 60 level down
1928
1929 483
1930 00:24:57,390 ~-~-> 00:24:59,850
1931 here would be an important support
1932
1933 484
1934 00:24:59,850 ~-~-> 00:25:01,920
1935 level. Now I know you're probably
1936
1937 485
1938 00:25:01,920 ~-~-> 00:25:03,210
1939 thinking all right, Michael, you're
1940
1941 486
1942 00:25:03,210 ~-~-> 00:25:04,560
1943 already starting off with cherry picking
1944
1945 487
1946 00:25:04,560 ~-~-> 00:25:08,460
1947 scenario. Trust me, I am not. Let's go
1948
1949 488
1950 00:25:08,460 ~-~-> 00:25:10,470
1951 out to a daily chart and I'll show you
1952
1953 489
1954 00:25:10,470 ~-~-> 00:25:17,100
1955 where that 170 60 comes from. Okay, we
1956
1957 490
1958 00:25:17,100 ~-~-> 00:25:21,270
1959 are looking at the levels on a daily
1960
1961 491
1962 00:25:21,270 ~-~-> 00:25:24,810
1963 chart. And you see this old high back
1964
1965 492
1966 00:25:24,810 ~-~-> 00:25:28,110
1967 here. The high on this day comes in at
1968
1969 493
1970 00:25:28,110 ~-~-> 00:25:33,510
1971 170 63. My concepts teach that we like
1972
1973 494
1974 00:25:33,510 ~-~-> 00:25:37,470
1975 to round our numbers to whole numbers,
1976
1977 495
1978 00:25:37,500 ~-~-> 00:25:41,100
1979 or if it's very, very, very tight
1980
1981 496
1982 00:25:42,330 ~-~-> 00:25:44,220
1983 volatility. In other words, the rains
1984
1985 497
1986 00:25:44,220 ~-~-> 00:25:45,750
1987 are very tight. You're looking at
1988
1989 498
1990 00:25:45,750 ~-~-> 00:25:47,880
1991 current price action, we'll use the five
1992
1993 499
1994 00:25:47,880 ~-~-> 00:25:49,110
1995 numbers. In other words, we'll go
1996
1997 500
1998 00:25:49,230 ~-~-> 00:25:52,380
1999 between 20 and 30. We may use 25. Okay,
2000
2001 501
2002 00:25:52,380 ~-~-> 00:25:55,590
2003 between 30 and 40, we may use 35. So
2004
2005 502
2006 00:25:55,590 ~-~-> 00:25:57,570
2007 we'd like to round the round numbers or
2008
2009 503
2010 00:25:57,690 ~-~-> 00:26:00,960
2011 round to fives. Okay. So If you're
2012
2013 504
2014 00:26:00,960 ~-~-> 00:26:09,060
2015 looking at a high on this day, you can
2016
2017 505
2018 00:26:09,060 ~-~-> 00:26:12,300
2019 get the area's the high of 170 63.
2020
2021 506
2022 00:26:13,200 ~-~-> 00:26:19,710
2023 That's essentially 170 60 or 170 65. I
2024
2025 507
2026 00:26:19,710 ~-~-> 00:26:22,470
2027 like to go with 160, simply because
2028
2029 508
2030 00:26:22,470 ~-~-> 00:26:24,090
2031 that's one of the one I wanted to go
2032
2033 509
2034 00:26:24,090 ~-~-> 00:26:27,090
2035 with. If you wanted to use 160 75 as
2036
2037 510
2038 00:26:27,090 ~-~-> 00:26:29,610
2039 your support level, it would be nothing
2040
2041 511
2042 00:26:29,610 ~-~-> 00:26:32,220
2043 wrong with that at all. Okay, but that's
2044
2045 512
2046 00:26:32,220 ~-~-> 00:26:34,560
2047 where the 170 60 comes from. And simple
2048
2049 513
2050 00:26:34,560 ~-~-> 00:26:36,420
2051 support resistance teaches us that once
2052
2053 514
2054 00:26:36,420 ~-~-> 00:26:38,940
2055 this resistance level is broken to the
2056
2057 515
2058 00:26:38,940 ~-~-> 00:26:41,190
2059 upside, once price comes back down to
2060
2061 516
2062 00:26:41,190 ~-~-> 00:26:43,650
2063 it, we would reasonably expect a bounce
2064
2065 517
2066 00:26:43,710 ~-~-> 00:26:45,780
2067 or reaction at that price point. And it
2068
2069 518
2070 00:26:45,780 ~-~-> 00:26:47,250
2071 just so happens that we happen to get
2072
2073 519
2074 00:26:47,250 ~-~-> 00:26:53,130
2075 that today on Tuesday. And let's go back
2076
2077 520
2078 00:26:53,130 ~-~-> 00:27:02,520
2079 down to a 15 minute timeframe. Okay, and
2080
2081 521
2082 00:27:02,520 ~-~-> 00:27:06,840
2083 what we're looking at is the start of a
2084
2085 522
2086 00:27:06,840 ~-~-> 00:27:08,460
2087 new day here. This is where Tuesday
2088
2089 523
2090 00:27:08,460 ~-~-> 00:27:11,430
2091 began, okay? We had some, some
2092
2093 524
2094 00:27:11,430 ~-~-> 00:27:13,170
2095 consolidation in the market drifted
2096
2097 525
2098 00:27:13,170 ~-~-> 00:27:14,670
2099 lower and trading right into that level
2100
2101 526
2102 00:27:14,670 ~-~-> 00:27:17,160
2103 right there, bang right into it. The low
2104
2105 527
2106 00:27:17,280 ~-~-> 00:27:21,870
2107 on this, this candle here, if I can get
2108
2109 528
2110 00:27:21,870 ~-~-> 00:27:25,350
2111 things to work with me, okay, we got the
2112
2113 529
2114 00:27:25,350 ~-~-> 00:27:29,670
2115 low of 170 60. Beautiful, okay? You may
2116
2117 530
2118 00:27:29,670 ~-~-> 00:27:32,160
2119 notice this little blue line here, okay?
2120
2121 531
2122 00:27:32,190 ~-~-> 00:27:34,230
2123 And you may know this, this green line.
2124
2125 532
2126 00:27:34,530 ~-~-> 00:27:35,790
2127 And this red line we're going to talk
2128
2129 533
2130 00:27:35,790 ~-~-> 00:27:37,470
2131 later on in the series about this red
2132
2133 534
2134 00:27:37,470 ~-~-> 00:27:41,100
2135 line. And this line here. And this line
2136
2137 535
2138 00:27:41,100 ~-~-> 00:27:43,530
2139 here, basically are the times that I
2140
2141 536
2142 00:27:43,530 ~-~-> 00:27:46,350
2143 asked you in the previous video to mark
2144
2145 537
2146 00:27:46,350 ~-~-> 00:27:49,830
2147 out on your charts and study what takes
2148
2149 538
2150 00:27:49,830 ~-~-> 00:27:52,170
2151 place around those times of the day.
2152
2153 539
2154 00:27:53,130 ~-~-> 00:27:56,790
2155 Okay, price trades down into this level
2156
2157 540
2158 00:27:56,790 ~-~-> 00:27:59,790
2159 here. Okay, we're going to assume that
2160
2161 541
2162 00:27:59,790 ~-~-> 00:28:04,860
2163 you Lead that this was a bullish area to
2164
2165 542
2166 00:28:04,860 ~-~-> 00:28:10,860
2167 expect a bounce. Right, increase this so
2168
2169 543
2170 00:28:10,860 ~-~-> 00:28:16,350
2171 we can see it. Okay, so the level is
2172
2173 544
2174 00:28:16,350 ~-~-> 00:28:19,950
2175 170 60 you always have to factor in the
2176
2177 545
2178 00:28:19,950 ~-~-> 00:28:21,780
2179 spread. Okay, and we're just going to
2180
2181 546
2182 00:28:21,780 ~-~-> 00:28:24,060
2183 add five pips just for slippage and
2184
2185 547
2186 00:28:24,060 ~-~-> 00:28:25,710
2187 traditional retail spreads on the
2188
2189 548
2190 00:28:25,710 ~-~-> 00:28:28,230
2191 British Pound USD pair, okay? And that
2192
2193 549
2194 00:28:28,230 ~-~-> 00:28:31,650
2195 means your limit order would come in
2196
2197 550
2198 00:28:31,680 ~-~-> 00:28:35,550
2199 around 170 65. So your entry would be
2200
2201 551
2202 00:28:35,550 ~-~-> 00:28:38,400
2203 around here. Okay, we're going to look
2204
2205 552
2206 00:28:38,430 ~-~-> 00:28:43,890
2207 at a scenario where you're buying want
2208
2209 553
2210 00:28:43,890 ~-~-> 00:28:46,170
2211 to limit once price drops down on this
2212
2213 554
2214 00:28:46,170 ~-~-> 00:28:48,300
2215 candle here. You're going to be buying
2216
2217 555
2218 00:28:48,960 ~-~-> 00:28:51,420
2219 that level. Okay, and what I just did
2220
2221 556
2222 00:28:51,420 ~-~-> 00:28:52,740
2223 was just put a little tiny little
2224
2225 557
2226 00:28:52,740 ~-~-> 00:28:54,930
2227 rectangle here. Now watch what happens
2228
2229 558
2230 00:28:54,930 ~-~-> 00:28:56,910
2231 it'll, it'll show up over here. Little
2232
2233 559
2234 00:28:56,910 ~-~-> 00:28:59,790
2235 numbers will pop up. You see that?
2236
2237 560
2238 00:29:01,469 ~-~-> 00:29:03,629
2239 See the eight now it's a nine. There's
2240
2241 561
2242 00:29:03,629 ~-~-> 00:29:06,239
2243 10 Okay, the range of the rectangles
2244
2245 562
2246 00:29:06,269 ~-~-> 00:29:10,919
2247 height is now 10 pips. There's 11 1213
2248
2249 563
2250 00:29:13,649 ~-~-> 00:29:16,109
2251 and I lost it because we went into the
2252
2253 564
2254 00:29:16,109 ~-~-> 00:29:19,139
2255 little indicator box here. See if I can
2256
2257 565
2258 00:29:19,379 ~-~-> 00:29:21,299
2259 go again some more ground not doing
2260
2261 566
2262 00:29:21,299 ~-~-> 00:29:26,339
2263 that. Okay, there's 15 pips. So your
2264
2265 567
2266 00:29:26,339 ~-~-> 00:29:32,099
2267 entry would be at 170 65 and your, your,
2268
2269 568
2270 00:29:32,159 ~-~-> 00:29:38,999
2271 your stop loss would rest 15 pips below
2272
2273 569
2274 00:29:38,999 ~-~-> 00:29:43,529
2275 your entry and that's right here. Okay,
2276
2277 570
2278 00:29:43,679 ~-~-> 00:29:47,009
2279 at 170 50 price has to trade down to
2280
2281 571
2282 00:29:47,009 ~-~-> 00:29:51,179
2283 that 170 50 level to stop you out. Okay,
2284
2285 572
2286 00:29:51,179 ~-~-> 00:29:53,549
2287 so that would be your the selling price
2288
2289 573
2290 00:29:53,549 ~-~-> 00:29:54,839
2291 because whenever we're looking at data,
2292
2293 574
2294 00:29:55,139 ~-~-> 00:29:58,739
2295 that's the sell price. So if as long as
2296
2297 575
2298 00:29:58,739 ~-~-> 00:30:01,139
2299 price stays above that one 7050 level,
2300
2301 576
2302 00:30:01,559 ~-~-> 00:30:03,599
2303 you would be in the trade. Now, this is
2304
2305 577
2306 00:30:03,599 ~-~-> 00:30:05,909
2307 where it gets interesting. We're going
2308
2309 578
2310 00:30:05,909 ~-~-> 00:30:11,249
2311 to zoom in. Okay, and now we're going to
2312
2313 579
2314 00:30:11,249 ~-~-> 00:30:15,119
2315 take, just take this range, okay? And
2316
2317 580
2318 00:30:15,179 ~-~-> 00:30:16,349
2319 what I'm going to do is I'm going to
2320
2321 581
2322 00:30:16,349 ~-~-> 00:30:17,879
2323 just move it over a little bit like
2324
2325 582
2326 00:30:17,879 ~-~-> 00:30:23,669
2327 that, just to differentiate. And I'm
2328
2329 583
2330 00:30:23,669 ~-~-> 00:30:24,389
2331 going to show you
2332
2333 584
2334 00:30:29,760 ~-~-> 00:30:33,780
2335 this would be from your entry. If you
2336
2337 585
2338 00:30:33,780 ~-~-> 00:30:35,220
2339 got out right up here at the top of the
2340
2341 586
2342 00:30:35,220 ~-~-> 00:30:38,280
2343 rectangle. That is a risk reward of one
2344
2345 587
2346 00:30:38,280 ~-~-> 00:30:42,840
2347 to one. Okay? We're going to take a step
2348
2349 588
2350 00:30:42,870 ~-~-> 00:30:48,180
2351 out farther. Okay, and that would be an
2352
2353 589
2354 00:30:48,180 ~-~-> 00:30:49,500
2355 exit point here.
2356
2357 590
2358 00:30:54,720 ~-~-> 00:30:56,700
2359 If you got out there, that will be a two
2360
2361 591
2362 00:30:56,700 ~-~-> 00:30:59,370
2363 to one. Okay, you're gaining two for
2364
2365 592
2366 00:30:59,370 ~-~-> 00:31:02,850
2367 every $1 risk. Okay, we're going to move
2368
2369 593
2370 00:31:02,850 ~-~-> 00:31:05,250
2371 that out farther. Now this is a three to
2372
2373 594
2374 00:31:05,250 ~-~-> 00:31:07,410
2375 one see you're using that same amount of
2376
2377 595
2378 00:31:07,410 ~-~-> 00:31:11,100
2379 pips. Okay 15 pips now three times for
2380
2381 596
2382 00:31:11,100 ~-~-> 00:31:13,200
2383 one risk. This is a three to one reward
2384
2385 597
2386 00:31:13,200 ~-~-> 00:31:16,230
2387 risk ratio. We're going to go out one
2388
2389 598
2390 00:31:16,230 ~-~-> 00:31:23,640
2391 more step 1234 game to one risk, okay,
2392
2393 599
2394 00:31:23,640 ~-~-> 00:31:26,610
2395 so it's a four to one risk to reward
2396
2397 600
2398 00:31:26,610 ~-~-> 00:31:27,180
2399 ratio.
2400
2401 601
2402 00:31:36,299 ~-~-> 00:31:42,509
2403 We have 12345 ranges of 15 pips each,
2404
2405 602
2406 00:31:42,539 ~-~-> 00:31:45,749
2407 okay? So that's five reward to risk of
2408
2409 603
2410 00:31:45,749 ~-~-> 00:31:48,719
2411 one to find the one reward risk. Okay.
2412
2413 604
2414 00:31:49,109 ~-~-> 00:31:51,299
2415 And to get five to one you would have to
2416
2417 605
2418 00:31:51,299 ~-~-> 00:31:57,659
2419 get out at around 171 40. Okay, now we
2420
2421 606
2422 00:31:57,659 ~-~-> 00:32:00,959
2423 could go all the way up to The absolute
2424
2425 607
2426 00:32:00,959 ~-~-> 00:32:01,499
2427 high
2428
2429 608
2430 00:32:09,179 ~-~-> 00:32:14,399
2431 like that, and that would be 12345678 to
2432
2433 609
2434 00:32:14,399 ~-~-> 00:32:19,049
2435 one, reward the risk ratio. And I know,
2436
2437 610
2438 00:32:19,769 ~-~-> 00:32:21,389
2439 you probably are thinking man, that's,
2440
2441 611
2442 00:32:21,419 ~-~-> 00:32:22,439
2443 that's incredible. Well, you'd be
2444
2445 612
2446 00:32:22,439 ~-~-> 00:32:24,719
2447 surprised if you'd learned the concepts
2448
2449 613
2450 00:32:24,719 ~-~-> 00:32:25,949
2451 that we're going to be teaching in this
2452
2453 614
2454 00:32:25,949 ~-~-> 00:32:28,409
2455 series. And for those of you that wants
2456
2457 615
2458 00:32:28,409 ~-~-> 00:32:31,079
2459 the initial presentation over the last
2460
2461 616
2462 00:32:31,109 ~-~-> 00:32:35,399
2463 four years or so, from 2010 on, you're
2464
2465 617
2466 00:32:35,399 ~-~-> 00:32:36,839
2467 going to get the amplification of that,
2468
2469 618
2470 00:32:36,839 ~-~-> 00:32:39,209
2471 which is what we're getting here. This
2472
2473 619
2474 00:32:39,209 ~-~-> 00:32:45,119
2475 is, this is really where I want you to
2476
2477 620
2478 00:32:45,149 ~-~-> 00:32:49,589
2479 focus. Right here. You want this type of
2480
2481 621
2482 00:32:49,589 ~-~-> 00:32:53,579
2483 setup right there. You want that? Okay,
2484
2485 622
2486 00:32:53,759 ~-~-> 00:32:55,979
2487 you want four to one, and that's wealth
2488
2489 623
2490 00:32:55,979 ~-~-> 00:32:59,099
2491 building. Okay. 41 builds millionaires
2492
2493 624
2494 00:33:00,359 ~-~-> 00:33:08,159
2495 Notice also that inside inside of this
2496
2497 625
2498 00:33:08,159 ~-~-> 00:33:12,359
2499 day, just in Tuesday, okay, this is not
2500
2501 626
2502 00:33:12,449 ~-~-> 00:33:16,229
2503 a week. This is not the course of
2504
2505 627
2506 00:33:16,319 ~-~-> 00:33:17,999
2507 several days, this is just one day,
2508
2509 628
2510 00:33:18,599 ~-~-> 00:33:21,839
2511 price came off that 170 60 level and
2512
2513 629
2514 00:33:21,839 ~-~-> 00:33:25,469
2515 trade valia with a range of 132 pips.
2516
2517 630
2518 00:33:27,149 ~-~-> 00:33:28,679
2519 Now that's a nice, that's a nice range.
2520
2521 631
2522 00:33:28,679 ~-~-> 00:33:30,479
2523 It's, this is what you've probably been
2524
2525 632
2526 00:33:30,479 ~-~-> 00:33:31,889
2527 used to if you've been looking at forex
2528
2529 633
2530 00:33:31,889 ~-~-> 00:33:34,379
2531 for a number of years. This is about the
2532
2533 634
2534 00:33:34,379 ~-~-> 00:33:36,629
2535 standard, a little bit more standard
2536
2537 635
2538 00:33:37,829 ~-~-> 00:33:40,919
2539 daily range for the cable. Recently,
2540
2541 636
2542 00:33:40,919 ~-~-> 00:33:42,389
2543 we've entered into a small little
2544
2545 637
2546 00:33:43,289 ~-~-> 00:33:45,539
2547 volatility squeeze where nothing's
2548
2549 638
2550 00:33:45,539 ~-~-> 00:33:48,689
2551 really going on in the markets, unless,
2552
2553 639
2554 00:33:48,719 ~-~-> 00:33:51,149
2555 you know, one or two moves a week
2556
2557 640
2558 00:33:51,449 ~-~-> 00:33:53,519
2559 creates a significant move and they
2560
2561 641
2562 00:33:53,519 ~-~-> 00:33:54,779
2563 haven't really been this significant
2564
2565 642
2566 00:33:54,779 ~-~-> 00:33:59,309
2567 many times. But this isn't an area where
2568
2569 643
2570 00:33:59,849 ~-~-> 00:34:03,689
2571 you You could use that mindset of
2572
2573 644
2574 00:34:03,689 ~-~-> 00:34:05,459
2575 looking for a four to one reward to
2576
2577 645
2578 00:34:05,459 ~-~-> 00:34:08,519
2579 risk. Okay, now, I'm going to give you
2580
2581 646
2582 00:34:08,519 ~-~-> 00:34:13,139
2583 another drill. We talked about looking
2584
2585 647
2586 00:34:13,139 ~-~-> 00:34:16,589
2587 at the swing points and the each candles
2588
2589 648
2590 00:34:16,589 ~-~-> 00:34:19,049
2591 high and low, and the opening closing of
2592
2593 649
2594 00:34:19,049 ~-~-> 00:34:21,749
2595 those three candles on a swing point and
2596
2597 650
2598 00:34:21,749 ~-~-> 00:34:23,219
2599 drawing them out in time and looking at
2600
2601 651
2602 00:34:23,219 ~-~-> 00:34:25,319
2603 how the future reactions would occur
2604
2605 652
2606 00:34:25,319 ~-~-> 00:34:27,299
2607 around those particular price points.
2608
2609 653
2610 00:34:27,989 ~-~-> 00:34:29,879
2611 The levels I have on this chart here,
2612
2613 654
2614 00:34:30,329 ~-~-> 00:34:33,569
2615 okay, are rather important. We're gonna
2616
2617 655
2618 00:34:33,569 ~-~-> 00:34:38,969
2619 go out to a weekly Okay, and the weekly
2620
2621 656
2622 00:34:38,969 ~-~-> 00:34:39,419
2623 chart
2624
2625 657
2626 00:34:41,760 ~-~-> 00:34:42,720
2627 students
2628
2629 658
2630 00:34:44,069 ~-~-> 00:34:48,599
2631 Okay, what I've shown here is just in
2632
2633 659
2634 00:34:48,599 ~-~-> 00:34:51,479
2635 the recent times in recent days, I
2636
2637 660
2638 00:34:51,479 ~-~-> 00:34:55,319
2639 delineated the red line is a weekly
2640
2641 661
2642 00:34:55,319 ~-~-> 00:34:57,599
2643 high, which is here. Okay, this swing
2644
2645 662
2646 00:34:57,599 ~-~-> 00:35:01,439
2647 high and all the greens levels with the
2648
2649 663
2650 00:35:01,439 ~-~-> 00:35:02,909
2651 exception of this one here this one is
2652
2653 664
2654 00:35:02,909 ~-~-> 00:35:06,179
2655 really should be read. So let's change
2656
2657 665
2658 00:35:06,179 ~-~-> 00:35:14,339
2659 that. That is a weekly level okay and
2660
2661 666
2662 00:35:14,339 ~-~-> 00:35:15,779
2663 the green are simply going to be based
2664
2665 667
2666 00:35:15,779 ~-~-> 00:35:20,399
2667 on daily highs. Okay and what you're
2668
2669 668
2670 00:35:20,399 ~-~-> 00:35:22,349
2671 looking at is daily highs and weekly
2672
2673 669
2674 00:35:22,349 ~-~-> 00:35:26,219
2675 highs and lows on both. Okay and by
2676
2677 670
2678 00:35:26,219 ~-~-> 00:35:28,919
2679 doing that this is the exercise and you
2680
2681 671
2682 00:35:28,919 ~-~-> 00:35:31,499
2683 guys may remember this from the initial
2684
2685 672
2686 00:35:32,879 ~-~-> 00:35:36,869
2687 installment of excellent of execution by
2688
2689 673
2690 00:35:36,869 ~-~-> 00:35:39,959
2691 inner circle trader when I was giving
2692
2693 674
2694 00:35:39,959 ~-~-> 00:35:43,409
2695 them those initial videos back 2010 I
2696
2697 675
2698 00:35:43,409 ~-~-> 00:35:45,269
2699 did them silent. And now this is the
2700
2701 676
2702 00:35:45,269 ~-~-> 00:35:46,589
2703 amplification of it the things that you
2704
2705 677
2706 00:35:46,589 ~-~-> 00:35:51,089
2707 were missing by having the this is a low
2708
2709 678
2710 00:35:51,089 ~-~-> 00:35:53,909
2711 here, this is a high here, it lines up.
2712
2713 679
2714 00:35:54,419 ~-~-> 00:35:59,369
2715 We have a high here we have a high here
2716
2717 680
2718 00:36:00,509 ~-~-> 00:36:03,659
2719 We have a high here. The exercise I gave
2720
2721 681
2722 00:36:03,839 ~-~-> 00:36:07,439
2723 was that you want to buy support levels
2724
2725 682
2726 00:36:07,469 ~-~-> 00:36:11,399
2727 or daily lows or weekly lows and use a
2728
2729 683
2730 00:36:11,399 ~-~-> 00:36:13,649
2731 20 PIP stop with a 20 PIP profit
2732
2733 684
2734 00:36:13,649 ~-~-> 00:36:15,209
2735 objective. So you're you're trying to
2736
2737 685
2738 00:36:15,209 ~-~-> 00:36:18,629
2739 find reward the risk of one to one. Okay
2740
2741 686
2742 00:36:18,629 ~-~-> 00:36:21,119
2743 and you want to sell weekly highs and
2744
2745 687
2746 00:36:21,629 ~-~-> 00:36:24,899
2747 daily highs with a 20 PIP stop and
2748
2749 688
2750 00:36:24,899 ~-~-> 00:36:28,319
2751 looking to make 20 pips gain, okay? And
2752
2753 689
2754 00:36:28,349 ~-~-> 00:36:31,949
2755 we're going to look at to simply the
2756
2757 690
2758 00:36:31,979 ~-~-> 00:36:34,949
2759 month of June to the present time of
2760
2761 691
2762 00:36:34,949 ~-~-> 00:36:37,229
2763 this recording which is the 15th of July
2764
2765 692
2766 00:36:37,229 ~-~-> 00:36:40,589
2767 2014. Okay, and we're gonna highlight
2768
2769 693
2770 00:36:40,589 ~-~-> 00:36:44,399
2771 that just so we know where we're at. in
2772
2773 694
2774 00:36:44,399 ~-~-> 00:36:47,969
2775 deference to what's typically shown in
2776
2777 695
2778 00:36:48,269 ~-~-> 00:36:52,079
2779 data. I just want to focus on just this
2780
2781 696
2782 00:36:52,079 ~-~-> 00:36:56,729
2783 little area and I'm gonna go off
2784
2785 697
2786 00:36:56,759 ~-~-> 00:36:59,579
2787 weightless or change the background a
2788
2789 698
2790 00:36:59,579 ~-~-> 00:37:04,469
2791 little bit Now I'm going to go down to a
2792
2793 699
2794 00:37:04,469 ~-~-> 00:37:09,449
2795 15 minute timeframe. Okay, and I want
2796
2797 700
2798 00:37:09,449 ~-~-> 00:37:12,059
2799 you to notice when we trade down to
2800
2801 701
2802 00:37:12,059 ~-~-> 00:37:14,309
2803 these levels here, okay, when we trade
2804
2805 702
2806 00:37:14,309 ~-~-> 00:37:17,939
2807 down into that level, okay? We're
2808
2809 703
2810 00:37:17,939 ~-~-> 00:37:20,279
2811 looking for reaction, and you would be
2812
2813 704
2814 00:37:20,279 ~-~-> 00:37:22,559
2815 trading this reaction with the
2816
2817 705
2818 00:37:22,559 ~-~-> 00:37:26,069
2819 expectation of looking for a move of 20
2820
2821 706
2822 00:37:26,069 ~-~-> 00:37:30,599
2823 pips. Okay, so when price trades down
2824
2825 707
2826 00:37:30,599 ~-~-> 00:37:33,029
2827 into that level, you would use that
2828
2829 708
2830 00:37:33,299 ~-~-> 00:37:35,969
2831 specific price point and that would be
2832
2833 709
2834 00:37:35,969 ~-~-> 00:37:40,469
2835 167 30 and the low
2836
2837 710
2838 00:37:42,240 ~-~-> 00:37:43,800
2839 and it's a little bit
2840
2841 711
2842 00:37:48,390 ~-~-> 00:37:53,640
2843 right here. Price trades down into that
2844
2845 712
2846 00:37:53,640 ~-~-> 00:37:56,880
2847 level, which is identified by the
2848
2849 713
2850 00:37:56,880 ~-~-> 00:37:59,340
2851 exercise we just did, showing you how to
2852
2853 714
2854 00:37:59,430 ~-~-> 00:38:02,520
2855 how to arrive at them, the low
2856
2857 715
2858 00:38:08,309 ~-~-> 00:38:15,029
2859 is 167 20 so you're buying at 167 32 the
2860
2861 716
2862 00:38:15,029 ~-~-> 00:38:18,329
2863 lowest of the low it went was just 10
2864
2865 717
2866 00:38:18,329 ~-~-> 00:38:20,369
2867 pips below it. So your stop was never
2868
2869 718
2870 00:38:20,369 ~-~-> 00:38:25,409
2871 hit using a 20 PIP stop and looking at
2872
2873 719
2874 00:38:28,199 ~-~-> 00:38:29,249
2875 20 pips gain
2876
2877 720
2878 00:38:42,060 ~-~-> 00:38:44,100
2879 you'd be buying here and getting out
2880
2881 721
2882 00:38:44,100 ~-~-> 00:38:47,430
2883 right there. Okay. That's the exercise.
2884
2885 722
2886 00:38:47,490 ~-~-> 00:38:50,130
2887 That's all there is to it. Now again,
2888
2889 723
2890 00:38:50,160 ~-~-> 00:38:52,560
2891 the reason why is you're not trying to
2892
2893 724
2894 00:38:52,800 ~-~-> 00:38:54,510
2895 find profits. That's not what you're
2896
2897 725
2898 00:38:54,510 ~-~-> 00:38:56,400
2899 trying to do. What you're doing is
2900
2901 726
2902 00:38:56,400 ~-~-> 00:38:58,350
2903 you're trying to follow a consistent
2904
2905 727
2906 00:38:58,710 ~-~-> 00:39:01,470
2907 plan of action. It's to show you how
2908
2909 728
2910 00:39:01,860 ~-~-> 00:39:03,960
2911 your, your mind is going to be trying to
2912
2913 729
2914 00:39:03,960 ~-~-> 00:39:06,960
2915 resist following the rules of being in a
2916
2917 730
2918 00:39:06,960 ~-~-> 00:39:09,930
2919 trading plan, okay? But it's also going
2920
2921 731
2922 00:39:09,930 ~-~-> 00:39:13,740
2923 to teach you that you can find a lot of
2924
2925 732
2926 00:39:13,740 ~-~-> 00:39:15,990
2927 opportunities where things will line up
2928
2929 733
2930 00:39:15,990 ~-~-> 00:39:17,130
2931 for you, but you're also going to
2932
2933 734
2934 00:39:17,130 ~-~-> 00:39:20,160
2935 encounter days and opportunities where
2936
2937 735
2938 00:39:20,220 ~-~-> 00:39:21,780
2939 it doesn't work out for you, you will
2940
2941 736
2942 00:39:21,780 ~-~-> 00:39:23,610
2943 get stopped out for 20 pips. And you'd
2944
2945 737
2946 00:39:23,610 ~-~-> 00:39:26,310
2947 be you would do this in a demo account.
2948
2949 738
2950 00:39:26,490 ~-~-> 00:39:29,070
2951 Okay? It's also going to teach you that
2952
2953 739
2954 00:39:29,070 ~-~-> 00:39:30,750
2955 you're not going to trade every single
2956
2957 740
2958 00:39:30,750 ~-~-> 00:39:33,060
2959 day, but it will give you one trading
2960
2961 741
2962 00:39:33,060 ~-~-> 00:39:36,300
2963 setup per week. Notice the double lines
2964
2965 742
2966 00:39:36,300 ~-~-> 00:39:37,950
2967 here, see that that's a Sunday. So this
2968
2969 743
2970 00:39:37,950 ~-~-> 00:39:41,910
2971 whole day here is one day or Monday.
2972
2973 744
2974 00:39:41,970 ~-~-> 00:39:43,530
2975 This is Tuesdays actually between the
2976
2977 745
2978 00:39:43,560 ~-~-> 00:39:46,230
2979 vertical lines here in here, between
2980
2981 746
2982 00:39:46,230 ~-~-> 00:39:49,380
2983 this vertical line here and here is
2984
2985 747
2986 00:39:49,380 ~-~-> 00:39:51,990
2987 Wednesday's trading. This is Thursdays
2988
2989 748
2990 00:39:51,990 ~-~-> 00:39:54,600
2991 trading. This is Monday's trading, okay.
2992
2993 749
2994 00:39:57,420 ~-~-> 00:39:59,580
2995 Using this example, here, this is a
2996
2997 750
2998 00:40:00,270 ~-~-> 00:40:02,400
2999 resistance level, okay delineated from
3000
3001 751
3002 00:40:02,400 ~-~-> 00:40:05,460
3003 the weekly chart you would sell at this
3004
3005 752
3006 00:40:05,460 ~-~-> 00:40:17,790
3007 price level at 168 25 168 25. Right
3008
3009 753
3010 00:40:17,790 ~-~-> 00:40:20,970
3011 there and your stop loss
3012
3013 754
3014 00:40:27,210 ~-~-> 00:40:31,680
3015 would be up here. So, if you're selling
3016
3017 755
3018 00:40:31,680 ~-~-> 00:40:38,820
3019 at once exceed 25 price traded what's a
3020
3021 756
3022 00:40:38,820 ~-~-> 00:40:41,940
3023 high if I can get my oh do Hickey here
3024
3025 757
3026 00:40:41,940 ~-~-> 00:40:46,740
3027 to work with me. Let's get a little bit
3028
3029 758
3030 00:40:46,740 ~-~-> 00:40:53,100
3031 tighter. The range high on that is
3032
3033 759
3034 00:40:53,190 ~-~-> 00:41:01,620
3035 168 44. So in here 168 44 It's close he
3036
3037 760
3038 00:41:01,620 ~-~-> 00:41:03,960
3039 may depend upon what data feed you were
3040
3041 761
3042 00:41:03,960 ~-~-> 00:41:05,790
3043 using and what broker you could have
3044
3045 762
3046 00:41:05,820 ~-~-> 00:41:08,250
3047 tagged down it could have very well
3048
3049 763
3050 00:41:08,640 ~-~-> 00:41:10,530
3051 taken you out. So that would have been
3052
3053 764
3054 00:41:10,530 ~-~-> 00:41:12,900
3055 an opportunity even though it did pan
3056
3057 765
3058 00:41:12,900 ~-~-> 00:41:19,170
3059 out and move from that level 20 pips and
3060
3061 766
3062 00:41:19,170 ~-~-> 00:41:21,300
3063 would have paid on that one they you
3064
3065 767
3066 00:41:21,330 ~-~-> 00:41:22,800
3067 could have you could have very easily
3068
3069 768
3070 00:41:22,800 ~-~-> 00:41:24,750
3071 been stopped out. Okay. And that's it
3072
3073 769
3074 00:41:24,750 ~-~-> 00:41:26,580
3075 that's the thing that's an exercise for
3076
3077 770
3078 00:41:26,580 ~-~-> 00:41:28,800
3079 you to see what it's like to go through
3080
3081 771
3082 00:41:28,800 ~-~-> 00:41:31,050
3083 that adversity. Okay and still see it
3084
3085 772
3086 00:41:31,260 ~-~-> 00:41:32,640
3087 still moving right in the right
3088
3089 773
3090 00:41:32,640 ~-~-> 00:41:34,440
3091 direction. So here we have another
3092
3093 774
3094 00:41:34,440 ~-~-> 00:41:37,200
3095 example just doing the same thing. You
3096
3097 775
3098 00:41:37,200 ~-~-> 00:41:39,960
3099 will be selling at once to see 825 as
3100
3101 776
3102 00:41:39,960 ~-~-> 00:41:43,710
3103 price trades right up to it. your stop
3104
3105 777
3106 00:41:43,710 ~-~-> 00:41:51,540
3107 loss again. never touched. Okay. So
3108
3109 778
3110 00:41:51,540 ~-~-> 00:41:52,950
3111 appears where your stop loss would be.
3112
3113 779
3114 00:41:54,000 ~-~-> 00:41:58,290
3115 20 pips take profit. Right down here on
3116
3117 780
3118 00:41:58,290 ~-~-> 00:42:00,810
3119 this candle you'd be filled That's it,
3120
3121 781
3122 00:42:00,870 ~-~-> 00:42:03,450
3123 you'd be out. Okay. And you would simply
3124
3125 782
3126 00:42:03,450 ~-~-> 00:42:05,400
3127 move to the sidelines. Again, the other
3128
3129 783
3130 00:42:05,400 ~-~-> 00:42:07,860
3131 part of the trading exercises, you are
3132
3133 784
3134 00:42:07,860 ~-~-> 00:42:10,320
3135 taking specific surgical strikes and
3136
3137 785
3138 00:42:10,980 ~-~-> 00:42:13,560
3139 taking out pips, controlled risk,
3140
3141 786
3142 00:42:13,950 ~-~-> 00:42:16,170
3143 controlled execution, you know where
3144
3145 787
3146 00:42:16,170 ~-~-> 00:42:17,790
3147 you're getting in now, you know, when
3148
3149 788
3150 00:42:17,790 ~-~-> 00:42:20,010
3151 you're getting out at, you know exactly
3152
3153 789
3154 00:42:20,010 ~-~-> 00:42:21,600
3155 what you're doing when you're doing it
3156
3157 790
3158 00:42:21,660 ~-~-> 00:42:23,010
3159 while you're doing it based on a
3160
3161 791
3162 00:42:23,010 ~-~-> 00:42:26,520
3163 specific price level that was delineate
3164
3165 792
3166 00:42:26,520 ~-~-> 00:42:27,930
3167 from a daily and weekly chart, which are
3168
3169 793
3170 00:42:27,930 ~-~-> 00:42:31,290
3171 the two highest important in
3172
3173 794
3174 00:42:31,380 ~-~-> 00:42:33,300
3175 institutional levels to be paying
3176
3177 795
3178 00:42:33,300 ~-~-> 00:42:34,560
3179 attention to, again, that being the
3180
3181 796
3182 00:42:34,560 ~-~-> 00:42:40,260
3183 weekly and daily so we had an example of
3184
3185 797
3186 00:42:40,260 ~-~-> 00:42:43,170
3187 a buy during that week. And we had an
3188
3189 798
3190 00:42:43,170 ~-~-> 00:42:46,170
3191 example of sell here for that week that
3192
3193 799
3194 00:42:46,170 ~-~-> 00:42:48,540
3195 would have panned out as an as a losing
3196
3197 800
3198 00:42:48,540 ~-~-> 00:42:51,960
3199 opportunity. We have a new week here
3200
3201 801
3202 00:42:51,960 ~-~-> 00:42:53,970
3203 starting on Sunday, right on Monday, we
3204
3205 802
3206 00:42:53,970 ~-~-> 00:42:55,890
3207 have that first opportunity trade, boom,
3208
3209 803
3210 00:42:56,190 ~-~-> 00:42:58,680
3211 sell into that resistance and get your
3212
3213 804
3214 00:42:58,680 ~-~-> 00:43:03,330
3215 20 pips done. Okay, now you can now also
3216
3217 805
3218 00:43:03,420 ~-~-> 00:43:05,400
3219 fine tune this a little bit. We
3220
3221 806
3222 00:43:05,400 ~-~-> 00:43:07,710
3223 discussed how to make 6%. Right? You can
3224
3225 807
3226 00:43:07,710 ~-~-> 00:43:10,650
3227 test the theory of making 6% with one
3228
3229 808
3230 00:43:10,650 ~-~-> 00:43:12,810
3231 trade per week by saying okay, well I'm
3232
3233 809
3234 00:43:12,810 ~-~-> 00:43:15,330
3235 not going to use a 20 Pip, stop loss and
3236
3237 810
3238 00:43:15,330 ~-~-> 00:43:17,310
3239 take profit at 20 pips, I'm going to use
3240
3241 811
3242 00:43:17,310 ~-~-> 00:43:22,830
3243 a 30 PIP stop loss and aim to make 25
3244
3245 812
3246 00:43:22,830 ~-~-> 00:43:25,050
3247 pips for the weekly goal. Yes, you're
3248
3249 813
3250 00:43:25,050 ~-~-> 00:43:28,290
3251 making less than your risk. But you're
3252
3253 814
3254 00:43:28,290 ~-~-> 00:43:31,830
3255 also aiming with the mindset that slowly
3256
3257 815
3258 00:43:31,830 ~-~-> 00:43:33,330
3259 developed into where you could
3260
3261 816
3262 00:43:33,330 ~-~-> 00:43:35,490
3263 potentially look to make that 30 pips
3264
3265 817
3266 00:43:35,490 ~-~-> 00:43:38,100
3267 for the 30 pips risk, okay. And then you
3268
3269 818
3270 00:43:38,100 ~-~-> 00:43:40,530
3271 take this exercise one step further by
3272
3273 819
3274 00:43:40,530 ~-~-> 00:43:42,750
3275 saying, Okay, well, if I can see these
3276
3277 820
3278 00:43:42,750 ~-~-> 00:43:45,990
3279 levels like this, why can't I take my
3280
3281 821
3282 00:43:45,990 ~-~-> 00:43:49,740
3283 stop loss and reduce it to a 15 PIP
3284
3285 822
3286 00:43:49,740 ~-~-> 00:43:53,400
3287 stop. So now if you're selling on that
3288
3289 823
3290 00:43:53,400 ~-~-> 00:43:59,910
3291 level, here your stop losses now. See
3292
3293 824
3294 00:43:59,910 ~-~-> 00:44:02,970
3295 that So that's how we will use these
3296
3297 825
3298 00:44:02,970 ~-~-> 00:44:06,060
3299 exercises going forward. Okay to groom
3300
3301 826
3302 00:44:06,060 ~-~-> 00:44:07,890
3303 you into doing the things that you need
3304
3305 827
3306 00:44:07,890 ~-~-> 00:44:10,860
3307 to be doing again this is one week
3308
3309 828
3310 00:44:10,890 ~-~-> 00:44:14,400
3311 starting here again you're going to let
3312
3313 829
3314 00:44:14,490 ~-~-> 00:44:16,170
3315 other trades pass by you don't care
3316
3317 830
3318 00:44:16,170 ~-~-> 00:44:19,050
3319 about what the other market setups are
3320
3321 831
3322 00:44:19,050 ~-~-> 00:44:22,770
3323 dealing you don't care about that. Where
3324
3325 832
3326 00:44:22,770 ~-~-> 00:44:28,110
3327 are we at here? We are did one trade for
3328
3329 833
3330 00:44:28,650 ~-~-> 00:44:30,930
3331 you Yeah, that was the Monday so you
3332
3333 834
3334 00:44:30,930 ~-~-> 00:44:32,910
3335 would be done for the week if you're
3336
3337 835
3338 00:44:32,910 ~-~-> 00:44:35,940
3339 doing once one shot one kill mentality
3340
3341 836
3342 00:44:35,940 ~-~-> 00:44:38,700
3343 in developing that. Here we have another
3344
3345 837
3346 00:44:38,700 ~-~-> 00:44:42,180
3347 an area here where we're looking for 20
3348
3349 838
3350 00:44:42,180 ~-~-> 00:44:46,470
3351 pips stop. Sell that level at the figure
3352
3353 839
3354 00:44:46,470 ~-~-> 00:44:50,040
3355 at 170 even 20 PIP stop, never hit you.
3356
3357 840
3358 00:44:51,570 ~-~-> 00:44:55,650
3359 Does it pay you to 20 pips? Sure does.
3360
3361 841
3362 00:44:55,680 ~-~-> 00:44:57,900
3363 Boom. There's your one shot one kill set
3364
3365 842
3366 00:44:57,900 ~-~-> 00:45:01,260
3367 up. Drill for that week. And it does
3368
3369 843
3370 00:45:01,260 ~-~-> 00:45:04,470
3371 give you another one right here that
3372
3373 844
3374 00:45:04,470 ~-~-> 00:45:06,990
3375 would have paid you again to 20 pips.
3376
3377 845
3378 00:45:08,940 ~-~-> 00:45:10,200
3379 But once you get it you moved to the
3380
3381 846
3382 00:45:10,200 ~-~-> 00:45:11,970
3383 sideline, you don't worry about again,
3384
3385 847
3386 00:45:12,150 ~-~-> 00:45:14,880
3387 here's two scenarios right here where it
3388
3389 848
3390 00:45:14,880 ~-~-> 00:45:21,600
3391 does it again. Your stop is obviously
3392
3393 849
3394 00:45:21,600 ~-~-> 00:45:25,620
3395 never hit selling it at 160 I'm sorry
3396
3397 850
3398 00:45:25,620 ~-~-> 00:45:26,790
3399 170 60
3400
3401 851
3402 00:45:29,430 ~-~-> 00:45:35,550
3403 and looking at your 25th target taken
3404
3405 852
3406 00:45:35,610 ~-~-> 00:45:36,840
3407 right there, you would have got filled.
3408
3409 853
3410 00:45:37,380 ~-~-> 00:45:39,000
3411 same scenario here for another
3412
3413 854
3414 00:45:39,000 ~-~-> 00:45:42,120
3415 opportunity. Obviously stop, never hit
3416
3417 855
3418 00:45:42,150 ~-~-> 00:45:45,510
3419 song at the big figure. I'm sorry 170 60
3420
3421 856
3422 00:45:46,170 ~-~-> 00:45:47,850
3423 paying you. You're 20 pips right there.
3424
3425 857
3426 00:45:48,360 ~-~-> 00:45:52,560
3427 wonderful opportunity. Going into a new
3428
3429 858
3430 00:45:52,560 ~-~-> 00:45:57,900
3431 week. We have this Sunday here. All
3432
3433 859
3434 00:45:57,900 ~-~-> 00:46:02,190
3435 right. We have Price trading down to
3436
3437 860
3438 00:46:02,190 ~-~-> 00:46:08,610
3439 this level here buying the level Okay,
3440
3441 861
3442 00:46:08,670 ~-~-> 00:46:10,620
3443 here we are at a resistance and support
3444
3445 862
3446 00:46:10,620 ~-~-> 00:46:12,450
3447 level based on daily and weekly that red
3448
3449 863
3450 00:46:12,450 ~-~-> 00:46:15,180
3451 lines weekly. You would be buying here
3452
3453 864
3454 00:46:15,270 ~-~-> 00:46:17,760
3455 with a stop loss 20 pips below this is
3456
3457 865
3458 00:46:17,760 ~-~-> 00:46:19,740
3459 where you would absolutely be taken out
3460
3461 866
3462 00:46:19,740 ~-~-> 00:46:21,660
3463 of the trade rather quickly if you took
3464
3465 867
3466 00:46:21,660 ~-~-> 00:46:23,340
3467 it at all. Okay, so that'd be a losing
3468
3469 868
3470 00:46:23,340 ~-~-> 00:46:27,150
3471 trade for you to actually feel in feel
3472
3473 869
3474 00:46:27,150 ~-~-> 00:46:28,650
3475 what it's like to go through that.
3476
3477 870
3478 00:46:30,240 ~-~-> 00:46:31,890
3479 Here's an area where you'd be selling
3480
3481 871
3482 00:46:31,890 ~-~-> 00:46:33,150
3483 that same level because we traded right
3484
3485 872
3486 00:46:33,150 ~-~-> 00:46:36,000
3487 back up to it. your stop loss 20 pips
3488
3489 873
3490 00:46:36,000 ~-~-> 00:46:39,750
3491 away so you'd sell right at that 170
3492
3493 874
3494 00:46:39,750 ~-~-> 00:46:43,380
3495 figure. Stop Loss will be up here. never
3496
3497 875
3498 00:46:43,380 ~-~-> 00:46:49,080
3499 hit? does it pay you to 20 pips? Boom.
3500
3501 876
3502 00:46:49,260 ~-~-> 00:46:51,750
3503 Yes, it does. Okay. So you would be you
3504
3505 877
3506 00:46:51,750 ~-~-> 00:46:53,670
3507 would recoup the loss you took here.
3508
3509 878
3510 00:46:53,940 ~-~-> 00:46:56,070
3511 You'd immediately right now be back to
3512
3513 879
3514 00:46:56,400 ~-~-> 00:47:02,040
3515 even for the week. Okay, If you were
3516
3517 880
3518 00:47:02,040 ~-~-> 00:47:04,800
3519 looking to sell, again that level here,
3520
3521 881
3522 00:47:05,400 ~-~-> 00:47:08,040
3523 you would take a loss with this
3524
3525 882
3526 00:47:08,040 ~-~-> 00:47:10,350
3527 exercise. If you're taking again, it's
3528
3529 883
3530 00:47:10,350 ~-~-> 00:47:13,800
3531 assuming you take multiple entries. So
3532
3533 884
3534 00:47:13,800 ~-~-> 00:47:16,920
3535 you would if you sold this level here,
3536
3537 885
3538 00:47:16,920 ~-~-> 00:47:18,630
3539 you'd be stopped out for your 20 PIP
3540
3541 886
3542 00:47:18,630 ~-~-> 00:47:21,570
3543 loss. Okay, price comes back back down.
3544
3545 887
3546 00:47:21,930 ~-~-> 00:47:24,180
3547 This is a same level again, you would be
3548
3549 888
3550 00:47:24,180 ~-~-> 00:47:27,120
3551 buying it now. Again for the exercise.
3552
3553 889
3554 00:47:28,170 ~-~-> 00:47:30,450
3555 Price comes down that level you buy 170
3556
3557 890
3558 00:47:30,450 ~-~-> 00:47:32,100
3559 big figure your stop loss is 20 pips
3560
3561 891
3562 00:47:32,100 ~-~-> 00:47:34,380
3563 below it never trades there. does it pay
3564
3565 892
3566 00:47:34,380 ~-~-> 00:47:37,890
3567 your 20 pips? Yes. So now you took a
3568
3569 893
3570 00:47:37,890 ~-~-> 00:47:40,740
3571 loss here, recouped it here. You took a
3572
3573 894
3574 00:47:40,740 ~-~-> 00:47:42,870
3575 loss here recouped it here, your net
3576
3577 895
3578 00:47:42,900 ~-~-> 00:47:47,280
3579 even on the week and you go out the
3580
3581 896
3582 00:47:47,280 ~-~-> 00:47:49,770
3583 week, not even. That's a good exercise.
3584
3585 897
3586 00:47:50,040 ~-~-> 00:47:51,630
3587 That's a good learning experience for
3588
3589 898
3590 00:47:51,630 ~-~-> 00:47:54,240
3591 you that week. We go into a new week
3592
3593 899
3594 00:47:54,240 ~-~-> 00:47:59,820
3595 here, up to a level Okay, you have
3596
3597 900
3598 00:47:59,820 ~-~-> 00:48:01,380
3599 stopped loss above that level selling
3600
3601 901
3602 00:48:01,380 ~-~-> 00:48:04,860
3603 short blows you out 20 pips stop loss
3604
3605 902
3606 00:48:04,890 ~-~-> 00:48:07,350
3607 done. Okay, you're out of a loss. He
3608
3609 903
3610 00:48:07,350 ~-~-> 00:48:09,600
3611 starts the week. Again as a net loser.
3612
3613 904
3614 00:48:10,920 ~-~-> 00:48:14,280
3615 We got to another level. Notice it
3616
3617 905
3618 00:48:14,280 ~-~-> 00:48:16,140
3619 doesn't get to it right here fell short
3620
3621 906
3622 00:48:16,140 ~-~-> 00:48:18,330
3623 of a little bit. You sell short on that
3624
3625 907
3626 00:48:18,330 ~-~-> 00:48:23,550
3627 level of stop losses above 171 80. So at
3628
3629 908
3630 00:48:23,550 ~-~-> 00:48:25,560
3631 that price level and does it pay your 20
3632
3633 909
3634 00:48:25,560 ~-~-> 00:48:28,740
3635 pips? Yes. Be patient. Okay, so you
3636
3637 910
3638 00:48:28,740 ~-~-> 00:48:31,230
3639 recoup the loss you took here. Now
3640
3641 911
3642 00:48:31,230 ~-~-> 00:48:34,680
3643 you're even for this week. There's two
3644
3645 912
3646 00:48:34,680 ~-~-> 00:48:37,440
3647 weeks, you had no gains, but you're able
3648
3649 913
3650 00:48:37,440 ~-~-> 00:48:39,930
3651 to recoup the losses. Very, very
3652
3653 914
3654 00:48:39,930 ~-~-> 00:48:40,710
3655 important lesson.
3656
3657 915
3658 00:48:46,140 ~-~-> 00:48:49,350
3659 Price comes down to this example we
3660
3661 916
3662 00:48:49,350 ~-~-> 00:48:51,900
3663 showed earlier in the video explaining
3664
3665 917
3666 00:48:51,930 ~-~-> 00:48:55,530
3667 how to get the four to one scenarios. So
3668
3669 918
3670 00:48:55,530 ~-~-> 00:48:56,520
3671 this is where we're at right now
3672
3673 919
3674 00:48:56,520 ~-~-> 00:48:58,530
3675 presently. We trade up to that same
3676
3677 920
3678 00:48:58,530 ~-~-> 00:49:05,430
3679 level here intraday. selling this level
3680
3681 921
3682 00:49:05,430 ~-~-> 00:49:08,520
3683 at 171 ad using a 20 PIP stop never got
3684
3685 922
3686 00:49:08,520 ~-~-> 00:49:13,380
3687 tagged. Did it pay your 20 pips? Yes,
3688
3689 923
3690 00:49:13,380 ~-~-> 00:49:17,580
3691 indeed. Okay, so you're able to capture
3692
3693 924
3694 00:49:17,580 ~-~-> 00:49:19,380
3695 this one here and capture this one here
3696
3697 925
3698 00:49:19,650 ~-~-> 00:49:22,560
3699 using the trading exercises. And it's
3700
3701 926
3702 00:49:22,560 ~-~-> 00:49:24,540
3703 again, it's meant to develop your
3704
3705 927
3706 00:49:25,410 ~-~-> 00:49:27,120
3707 consistency of following a plan,
3708
3709 928
3710 00:49:27,510 ~-~-> 00:49:29,160
3711 regardless of whatever that makes money
3712
3713 929
3714 00:49:29,160 ~-~-> 00:49:31,080
3715 every single time or not. You don't care
3716
3717 930
3718 00:49:31,080 ~-~-> 00:49:33,630
3719 whether or not if you get to trade every
3720
3721 931
3722 00:49:33,630 ~-~-> 00:49:35,850
3723 single day, you're looking for weekly
3724
3725 932
3726 00:49:35,850 ~-~-> 00:49:37,920
3727 and daily highs and lows. Once they
3728
3729 933
3730 00:49:37,920 ~-~-> 00:49:40,290
3731 trade there, boom, you just go back over
3732
3733 934
3734 00:49:40,530 ~-~-> 00:49:43,410
3735 your charts of recent price action, you
3736
3737 935
3738 00:49:43,410 ~-~-> 00:49:45,660
3739 know, two, three months at tops and go
3740
3741 936
3742 00:49:45,660 ~-~-> 00:49:47,250
3743 through those levels, have them on your
3744
3745 937
3746 00:49:47,250 ~-~-> 00:49:49,440
3747 charts, okay, delineate them and then
3748
3749 938
3750 00:49:49,440 ~-~-> 00:49:52,050
3751 color, you know, fashion you like I use
3752
3753 939
3754 00:49:52,050 ~-~-> 00:49:53,640
3755 red for the weekly and green for the
3756
3757 940
3758 00:49:53,640 ~-~-> 00:49:55,590
3759 daily. It could be whatever, whatever
3760
3761 941
3762 00:49:55,590 ~-~-> 00:49:58,440
3763 you like. It doesn't have to be exactly
3764
3765 942
3766 00:49:58,440 ~-~-> 00:49:59,970
3767 how I'm showing it to you in turn.
3768
3769 943
3770 00:50:00,000 ~-~-> 00:50:02,520
3771 Colors and thicknesses and all that.
3772
3773 944
3774 00:50:02,760 ~-~-> 00:50:03,930
3775 It's a matter of preference what you
3776
3777 945
3778 00:50:03,930 ~-~-> 00:50:06,690
3779 want to differentiate those levels based
3780
3781 946
3782 00:50:06,690 ~-~-> 00:50:09,300
3783 on whether the weekly or daily and don't
3784
3785 947
3786 00:50:09,300 ~-~-> 00:50:11,220
3787 think too much about setting precedence
3788
3789 948
3790 00:50:11,220 ~-~-> 00:50:13,290
3791 over weekly being better than a daily
3792
3793 949
3794 00:50:13,290 ~-~-> 00:50:15,960
3795 for now just use the swing points and
3796
3797 950
3798 00:50:15,960 ~-~-> 00:50:18,480
3799 highs and lows that we discussed earlier
3800
3801 951
3802 00:50:18,480 ~-~-> 00:50:22,260
3803 in the video to build you the basis for
3804
3805 952
3806 00:50:22,260 ~-~-> 00:50:24,660
3807 the the initial steps and finding your
3808
3809 953
3810 00:50:24,660 ~-~-> 00:50:27,750
3811 excellence in execution. And until the
3812
3813 954
3814 00:50:27,750 ~-~-> 00:50:30,780
3815 next edition, I wish you good luck and
3816
3817 955
3818 00:50:30,780 ~-~-> 00:50:31,380
3819 good trading.