OTE Pattern Recognition Series - Vol 13.srt
Last modified by Drunk Monkey on 2021-06-10 10:04
| 1 | 00:00:10,679 --> 00:00:17,309 | ICT: Welcome back, folks, this is video number 13 in a continuing series of the optimal trade entry pattern recognition series for the inner circle trader |
| 2 | 00:00:17,339 --> 00:00:26,939 | YouTube channel. Alright, Eric example again today is the dollar CAD and our charts already trained in on the five minute chart. And I'm going to counsel you |
| 3 | 00:00:26,939 --> 00:00:37,409 | to take a look at your daily chart and look at their most recent optimal trade entry that formed, which led to this strong breakdown on a daily chart. Now, |
| 4 | 00:00:37,949 --> 00:00:49,709 | when we see big moves like that, the natural assumption is, it's gone down too far. And it's going to have to reverse. And many times that's going to plague |
| 5 | 00:00:50,639 --> 00:01:00,659 | your trust in a pattern like this in the New York session. As you can see, the Mark has been going down. And when we add the annotations to the chart, you'll |
| 6 | 00:01:00,659 --> 00:01:10,769 | see that nothing really has changed, it's still the same logic. And you can't just simply say, the markets oversold, the pattern can't work. That's not how |
| 7 | 00:01:10,769 --> 00:01:18,899 | this works, the markets going to seek liquidity, and it's going to expand and seek that liquidity above or below the marketplace. If you look at the daily |
| 8 | 00:01:18,899 --> 00:01:29,429 | chart, it had a really obvious equal lows. I teach that as Candyland. It's just ripe for the taking sell side liquidity. And couple that with optimal trade |
| 9 | 00:01:29,429 --> 00:01:37,469 | entry on a daily chart and you get beautiful results like this, we're gonna look at the dollar CAD here. And if you haven't already done so pause your video. |
| 10 | 00:01:41,579 --> 00:01:51,689 | Alright, so now I'm going to add the annotations. Alright, so you can see they have the New York session. Again, standard times never changing 8:30am, New York |
| 11 | 00:01:51,689 --> 00:02:02,969 | time to 11am. Okay, the optimal trade entry is here. Now, obviously, you can see the market has been going down. And we have this retracement in here inside the |
| 12 | 00:02:02,969 --> 00:02:11,339 | heart of the New York session trades back to optimal trade entry. Now notice it goes just a little bit above that that's okay, it's fine. It's not a big deal. |
| 13 | 00:02:11,999 --> 00:02:23,939 | You may have looked at this and elected to use this swing high here. I use this one only because it has the direct displacement from this high starting going |
| 14 | 00:02:23,939 --> 00:02:32,069 | lower. It did have a higher high here and I'll show you what that looks like in a moment. But drop down and then consolidation and run more. One more time rally |
| 15 | 00:02:32,099 --> 00:02:42,719 | up to me, I'm going to use this point here. Before I go through this one, I got to take the annotations off for a moment, you can see this one's slightly higher |
| 16 | 00:02:43,139 --> 00:02:57,059 | than this one, but this one's where all the volume is. Then you see that with the bodies of the candles versus this wick. Adding that 60% and tracing level, |
| 17 | 00:02:57,149 --> 00:03:07,259 | that's our standard for this model as that energy pattern, your start with how to be above the short term high, whatever fits your risk appetite if it's 1% |
| 18 | 00:03:07,919 --> 00:03:20,549 | half a percent 2% 20% if you don't want to be in the business too long, and now be in bed. Alright, so the short term low trades to 3811 and a half. So that |
| 19 | 00:03:20,549 --> 00:03:34,589 | gives you about what's at 20 pips or so he about 20 pips just to the old low here, and then you get half a standard deviation at 3993. One full standard |
| 20 | 00:03:34,589 --> 00:03:48,929 | deviation and 3775 and a half in one and a half standard deviations at 137 57 and a half and the low of the day comes in exactly at 1.3757 and a half. So |
| 21 | 00:03:48,929 --> 00:03:58,379 | beautiful, beautiful symmetry in the dollar CAD obvious setup, from the daily chart, using the things that I've taught, obviously on this channel for free, |
| 22 | 00:03:58,379 --> 00:04:07,139 | you can go through all the tutorials and see everything I've shown in those videos coupled with this optimal trade entry pattern recognition series. You can |
| 23 | 00:04:07,139 --> 00:04:16,769 | see how the things that I teach and I look for up here every single market day in this time of day. So this is an example again you can use for your |
| 24 | 00:04:16,949 --> 00:04:20,639 | edification, hope you found insightful until next time, wish good luck and good trading |