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ICT 2024 Mentorship Lecture #4 August 8_ 2024

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e e

happy birthday to

me happy birth oh oh

hello good morning good morning how are

you well today is ict's birthday not

when Michael became ICT that's November

5th uh the actual birth date of the the

main

himself Mr Guru

um August 8th at 711 11 p.m.

tonight 52 years ago I entered the the

fry so hope you're all doing well um let

me just uh start off real quick with the

uh the live stream yesterday I kind of

like went off on a rant and I don't

apologize for it so let me just make

that very clear I don't apologize for

it but uh I think uh those in the in the

seats they have control over what's

going on these uh live streams I think

uh they let me know that I was given a

little too much opinion about certain

things so we're going to avoid that

because my stream was disrupted

yesterday so to avoid that happening

again we'll just have to uh leave it for

another

medium so

anyway today on the economic calendar uh

and today you can take this one to the

bank um we will be shutting down at

9:00 is my birthday and I do have plans

and my wife basically laid down the wall

and said 9 o' or

else so gentlemen you know what that

means I have to uh make my Escape here

at 8:59 so that way I have uh met our

Arrangement and agreements before I

started the stream today she was a

little disappointed actually was going

to be doing it all but I was like yeah

come on come on I got to I got to go out

here and hang out my people okay

so uh we're going to look at this

morning's price delivery if you've

noticed on the um let's see here get my

cards out of

way yes I still hold a back of cards

while I'm talking to

y'all um I don't know what's going on

with um YouTube like I can't see

anything the the check it or test

it so um I'm going to go over to my

personal private group real quick if you

just give me a

moment I just want to get a

check on my audio before I go any

further because I've I've done live

streams before and thought I was talking

and could be heard and it wasn't picking

up anything and I've also done videos

where I've recorded for

hours and uh

on the find out I wasted my time talking

so okay my my personal private students

are letting me know they can hear me

loud clear so I don't want to see any

comments saying turn up your mic get get

a better equipment because you need to

turn your volume up or use

headphones all right so at 8:30 today

the economic calendar gives us

employment data okay so it's it's not

non-farm payroll like like typical you

know first Friday of the month

um it

is something that is ahead

of those numbers well not I'm sorry not

ahead of those numbers but it's

like related to that that information I

don't care what the number is I never

look at those numbers for any report I

don't look at the number for CPI I don't

look at PMI I don't look at the nonr

payroll numbers I don't compare the

trends of what what all of that is all

baked in okay it's all baked into to

what price is going to do and I just

want to hunt where I think it may reach

for okay so you're probably looking at

the charts especially the one up in the

upper le- hand corner the 15-minute time

frame and you probably notice that

there's a whole bunch of lines on it

okay and for a chart that is an ICT

chart that's very busy okay it's a whole

lot of stuff going on which is what I

was referring to yesterday when I was

talking about how

you want to create a Lo a

layout and um I also want to say

something real

quick trading view I think was a little

upset with me um one of the

representatives taing in the private

message of uh trading usually you see

the messages over here on the right hand

side um I think he was letting me know

that I disclose too much information

about but I really didn't disclose

anything except for they offered an

opportunity and like I've been true to

everything everyone else every vendor

every brokerage firm every prop firm

every person or entity or company that's

ever asked for some kind of a

partnership with me I've always declined

it because if I do that if I if I do a

program or an affiliation with

anyone that means my opinion is

influenced period And I don't trust

anyone's opinion that has an affiliate

or or partnership monetarily with anyone

or any company because they're monetized

their opinion is monetized so when I say

something and I haven't said anything

bad about trading VI in fact you're

probably all going to be buying a

membership to trading view on Black

Friday so they should be thankful that

I'm pushing and and hurting everybody

that that's the day everybody should buy

it it's not my fault that they heavily

discount their stuff on that day I just

wish I would have done it like that the

first few times I paid for it but don't

bother me dude okay I'm repping I'm

repping as best I can because I like the

service don't don't nag me in the

private messages so

anyway the uh the lines you see here

this is kind of like what I was getting

at yesterday where you want to start

populating your chart with you don't

have to go back in time you can just

start doing it walking forward which is

essentially what I have here I I just

picked the Sunday new week opening Gap

and that's as you see up here and I want

take you to the Chart where it actually

is formed so we can see it and then this

is how I recommend that Caleb labels his

okay so while it's not important to have

these on the chart you're watching you

know all day long or minute by minute or

if you're look you looking at a chart

like a less than one minute chart 15

second 30 second

chart it's not important to to view it

from this perspective because once you

see where you're at like for instance

we're here right now now this is Mark to

Market there that's real time and we are

just below Wednesday's new day opening

gaps low and we are above today's new

day opening Gap high so we're in between

okay which is classic it's typical

because we're waiting for a medium high

impact type of event at

8:30

now when we do not have high impact or

mut news in the morning session I still

am watching these levels because at 8:30

the element of time is still there so

the algorithm is going to just walk

forward it's not it's not

aware okay this is this is kind of like

me saying probably too much more than I

should but this is why I say I don't

care about the numbers that these

reports you know present to the the

public because at 8:30 the algorithm is

going to start spooling anyway okay um

on high impact news drivers or medium

impact news drivers they

can push it a little bit further I'm not

saying that it's absolutely 100% manual

intervention but they will loosen it up

a little bit so it starts to reach for a

little bit farther outside the normal

bend of volatility where it can go up a

little bit further than if it was if

without a news driver that would be

either medium or high impact and what am

I referring to if this is the first time

you're watching if you go to

forexfactory.com

um I don't have an affiliate with them

either I don't have anything with them

but they have a calendar that I've

always used when I was on baby Pips I

used that calendar and when I was

teaching Forex and and price action

through Forex that's the one I would use

you can still use it um but I I prefer

Econo day and that was the one I was

using a long time ago and it's a little

bit

harder on the eyes than the real nice

presentation that Forex Factory does

it's a real cleaner easier and Econo day

gives you a whole lot more information

that I don't personally think you need

everything that it shows but if you want

to be a completeness uh free like you

just have to know everything eono day is

the better economic calendar okay and

it's free you can go to their website

and there it

is if there is an absence of medium or

high impact news in the morning session

at 8:30 I still am watching 8:30 because

the market will in fact still spool

because it does

that I'm already looking at 8:30 anyway

because it's a key

time it just makes it

better more probable that we'll have a

lot more volatility and the price runs

will be a little bit more energetic when

we have a medium impact or a high impact

news driver that's due out at

E30 now

8:30 when we have something like we have

today this is classic where we'll be

sandwiched between just

waiting for that news to

hit everybody that wants to play

breakouts okay they're going to want to

be a

buyer maybe Above This high or that

high short sellers going to want to sell

short here on a a break below those

levels or above those levels

respectively because because they don't

know what they're doing I'm suggesting

to you that we have to sit and wait

because it's not in an area where any

one particular direction

is more likely than the other let's say

it that way so let's go through a

process of this is what we're practicing

we're looking at a time when the market

should start

running in about seven minutes or so and

then we want to watch and see how price

reacts and delivers to I'm going

to scroll back real quick and show you

where the new week opening Gap High the

consequent cotant which is the midpoint

between the high and the low and it's

labeled as you can see here okay and

then here is Tuesday's new day opening

gap which you get that on Monday at 6 PM

Eastern Standard Time and then here is

Wednesday's new day opening Gap High

midpoint Point New Day opening Gap low

for Wednesday which you get on Tuesday

at 600 p.m. remember you're the

6PM opening price gives you one or the

other the new day opening got high or

low and wherever that 6 p.m open is if

it's above where it stopped trading at

5:00 pm that same trading day then

that's that's going to mean we have a up

gap or opening Gap higher and the higher

read

would be your high or your new day open

Gap high and then where we closed at

5:00 p.m. for that one hour break if the

close is lower then that would be your

new day opening Gap low and then you put

a fib and measure the diff difference

between both and that 50% level is your

consequent encouragement so it's your

midpoint you don't need to put the

quadrants on it okay like I was teaching

yesterday uh after a while you'll just

trust the fact that you can eyeball it

you don't have to be so precise about

those levels I I like to do the quadrant

levels when there's a larger range okay

and this particular range this is one

where I would have the quadrants on if

it's a smaller range like say the um say

the new day opening Gap is like you know

10 10 handles or 15 hand something less

than 20 handles I'm going to eyeball it

I'm not going to worry about the actual

specific levels because we're talking

about very little in terms of separation

from where a trade might be entered and

where a stop stop would be it's it's not

going to be an impact to me for making a

graping a trade but this this is a

significant range here from

18,99 to 18,33 so we have we have

66 handles or so in here so that's a

pretty significant price range

so you would want to look at the

quadrants and then you simply would just

when you put the FIB between

the high and the low that makes up that

new day opening Gap and if you don't

know what I'm talking about and you

didn't watch yesterday's presentation go

back and watch it okay don't don't skip

ahead because you're going to watch the

video be frustrated you have no idea

what I'm talking about or assume that I

don't care that you are trying to learn

it properly because I've already

outlined it

yesterday but uh when you put the FIB on

the low and the high of that gap on your

Fibonacci you're just going to

toggle 75 or add it into your settings

75 and 0.25 so it gives you your

quadrant levels in addition to the 050

level which is the consequent

encroachment so you can see where

everything is

anchored here here here but I want to

scrub back and show you where we opened

so here's where Friday's trading

closed and then here's where we opened

on Sunday see that and then measuring

the distance between the close on Friday

and the open

on Sunday 6 p.m. your 50% level now on

new week opening gaps same thing if it's

a significant new week opening Gap I

want I want to put the the quadrant

levels on okay so I'll do that here so

that way you can see

it this level was dropped in so it's not

like it's not a it's not a fib you can

see that so that's how I keep the chart

clean

and that's what I'm suggesting to you

Caleb all I'm doing

is when I put the FIB

on I'm measuring the

open to the close and you can see it's

the the same price level so 4

51.75 let's take that Fibonacci

off

41.75 and all I did was drop the

horizontal line which is this one here

and put it on that price and if you have

to T if you have to calibrate it

you just drop it in close proximity to

it and

then the coordinates you just put the

price in 18,45

1.75 and then if you have to move it

around you just do these types of things

here so that way it's

sitting either below the high or just

above the low so that way it's it's

closely correlated so that way you know

what you're you're

monitoring but to get the quadrants when

it's an opening Gap like that

these are the settings again real quick

for for clarity sake you're going to

have these in your Fibonacci settings so

if you toggle them 0.75

0.25 that'll give you your quadrant

level so I'm adding them now so that way

you can

see you think that's

random you think that's random right

there some of you I've already mentioned

to me either in an email or a direct

message to me on my cell phone and I've

asked you politely not to do that and my

phone's been buzzing since 11 o' last

night with everybody wishing me happy

birthday while I appreciate that you can

just as well do it in the comment

section on a most recent post on the

community tab on my YouTube channel

because that's like the replacement for

Twitter so while you don't see other

people commenting I see every comment

that's made to me anything rude I broom

you I don't never need to see anything

from you ever again because I frankly

don't care about your opinion you either

here to learn or you're not if you're

not here to learn piss off

so we Spike through it the the Wicks do

the damage and then we come back down

look how it hits the bottom of the new

week opening Gap there and then

accelerates lower what is it reaching

for well you have

Tuesdays new day opening Gap there

trades into that look at the consequent

corre of that level

bang and then we come back up hit the

low of it inside a fair value G trades

lower here is the Wednesday new day

opening Gap look at the bodies

respecting that see that the Wicks are

going to do the damage okay and then we

have look at this completely random

comes back up consequent encouragement

trades lower one more time drops back

down and now what have we

done 8:30 we traded up to Wednesday's

new day opening got low consequent

encroachment High see if we can hit it

just a little bit more of a

spike there you go so what I was talking

about yesterday when we're looking at

Price how do you learn to trust where

the Market's going to gravitate to okay

like what side of the market is going to

reach for do you remember what I told

you that you're going to focus on if

you've taken notes you should already

know this because it's basically staring

at in front of you right now if the

Market's here okay and we have only

today's new day opening gap which is

here that's below opening right before

8:30 before the Run that's on that news

driver where are you seeing clustering

of new day opening gaps and a new week

opening Gap where do you see it is it

above the market or below

it smiling aren't you look at it you

have it above you have it above and you

have it above plus we've already had a

nice drop down we've taken Tak

liquidity relative equal

lows inside of a buy C cell signed

efficiency right there here

[Music]

show

order extend to the right

okay boom trades down to upper quadrant

of that fair value G which is a bid B

cellid deficiency okay um let's just put

some juice on this a little

bit I think that's uh

random you think you think that's just R

that's buying pressure there guys don't

you understand it's buying pressure that

turns these markets right on the dime

somebody collectively tells everybody in

a Reddit thread that we're all going to

buy at that price so anyway the price

comes off of that comes back down I like

the fact that we didn't come down and

touch this because that sets the tone

for it's trading up to these

levels okay it's going up into these

levels for the sake of offering the

equivalent to fair value because all

these levels here are potential areas

for engagement for deeper pockets okay

and that means that they could I'm not

saying yet but it could be going up here

to create just a little bit of

excitement to low or lower in

Ires and then they take them against the

Cals and come back down and work in

today's uh new day opening Gap again

later in the afternoon or maybe during

the the 9:30 opening um while I won't be

with you and I will be with my wife I

will be admittedly peeking at my phone

watching at 9:30 to see what we're

gravitating to okay um new week open Gap

um it's going to take a real move to get

up there and that would indicate

something entirely different that I

would probably put me on the sidelines

until we get to like 10 o'clock like if

in other words if we run up there if we

start to really expand up in a prior to

9:30 opening uh I would absolutely wait

until 10:00 Silver Bullet and that would

be my uh my setup and I would worry

about taking a trade only around that

premise not something

you know before like usually I'll have a

an expectation on the marketplace where

I think it's going to gravitate to this

or that level and if it's above that

means I'm going to be looking for some

scenario where I want to see a shift in

Market structure that's bullish um time

of day I want to trade inside of a macro

that's the last 10 minutes of the new

new hour about to begin and or 10

minutes after the top of the new hour so

I'm hunting that type of setup and those

those conditions are not there yet for

me but I wanted to sit with you today

and have it on the chart and kind of

like prove to you like this is when

you're when you're talking about support

and

resistance okay and you're you're

looking at books like technical analysis

in the financial markets by John Murphy

or any other classical retail you know

textbook those are absolutely helpful

and useful because it gives you what the

other Traders out there are going to be

trying to do and they're going to try to

risk money on those ideas these archaic

ideas that have actually no bearing on

what price is going to

do the the concept of support and

resistance is in my opinion too

myopic and I've lost a lot of money

trying to trade them because the idea is

it goes to an old high bounces down and

then if it goes up here one more time

the idea of it going back up here and

touch it again to me as a Trader with

the perspective I have now is

why does it need to go back up there if

it's going to be resistance and it

started to drop the first time it

touched it then there's really no

weakness there it's going back there for

a reason right it's going back there to

go above it because people are shorten

it but their stop losses above that and

it took years for me to figure that out

because I wasn't someone that would

wanted to sell short because I was

afraid to sell short I was only trying

to buy if I was trying to trade so when

you look at how the market

trades around these inefficiencies these

actual gaps gaps and then because they

trade to them and fill them in everybody

else in this industry before I started

teaching like this

publicly they would never worry about

those levels

again it was completely tossed out this

this this got rid of it it was no longer

a factor for them when they would look

at Price action and I'm trying to tell

you that you don't want to do that you

don't want to do that they have a life

cycle of hi degree of sensitivity that

in my opinion to serve you as a as a

student new day opening gaps you want to

have at least the last five days okay

and the last five weeks if it's the new

week opening that and if you have these

levels on a

layout you'll be able to see okay at the

time at 8:30 when we were first

talking I mentioned how we're in between

two sign ific

inefficiencies so nobody can sit there

and say well it's a so and so entry

pattern because of this or that because

it's in like a no man's land

but as I was teaching you yesterday how

can you determine what side it's going

to push

through and why would it do that well if

you're sitting and watching the

market 8:00 is when you're looking for

relative equal highs and relative equal

lows and into 8:30 and then at 8:30 what

are we doing we're looking

for where is the stacking and clustering

of these inefficiencies the new day

opening gaps and the new week opening

Gap if it's above market price which is

right here at 8

8:30 where is it most likely going to

press into the side that has all the

inefficiencies even if they've already

been traded to see this is what I'm

referring to like it's already crossed

over this Gap here it's already touched

the low of it here and dropped this one

here we went back and forth inside of it

and left it came about conent

encroachment to the low well that means

it's done right just toss it out the

window it's already been used

up it's stale now that's what you're

you're you're going to think that like

anybody else would if they saw a gap

fill in okay well that gap's done let's

go look at something

else you don't want to do that you

absolutely don't want to do that because

the algorithm the price engine that

pushes

price it's driven by these reference

points so what the algorithm does is it

calls back to these points of reference

based on time and price what prices the

prices I showed you what locations on

what date the ones I'm showing you here

and what I taught you and what'll happen

is is you're going to learn to

anticipate which direction the market

will push to before it happens so the

next stage in your understanding would

be if you're expecting price to reach up

why because you have a new day Gap new

day opening Gap here a new day opening

Gap here and a new week opening Gap up

here and we've already dropped down into

a very deep discount relative to the

price run from down here all the way up

to what we did as a high on

Wednesday so we've dropped down we're in

a deep discount here it rallies up and

then we're waiting for that news driver

to come out to W retail because they're

going to try to play the Breakout

game they don't have any idea what side

the Market's going to reach

for and the way

you build confidence and Trust in your

trades is you have to do these types of

exercises notice no button was pushed

notice there's no trade idea there's no

worry about a stop loss there's no worry

about how many contracts to buy or

sell because you have to do this

drill for weeks and months to overcome

that fear of I'm going to get it wrong

how do you how can you trust it the

things I'm teaching you how can you

personally trust these things outside of

my word saying it's it's good stuff you

should take my word for it I'm telling

you don't take my word I don't want you

to take my word for any of it I want you

to test it yourself because you already

see it's valid the logic is there

and if you can't see that you're denying

it or you didn't pay attention or take

notes because this is the this is the

exact thing I outlined yesterday where

you see the new day new day opening Gap

new day opening gaps plural and the new

week opening Gap it's above where market

price was right before that high impact

news driver at

8:30 so what does that mean well let's

say it like this if we would have seen

price drop down

okay and there was a much cleaner Fair V

Gap in here not the inversion Fair V Gap

that's right

there if it would have had another

cleaner Fair V Gap here and if it would

have dropped down initially at

8:30 that would been a potential for us

to say okay we would expect it to drop

down to that fair value Gap and then

expand up and reach into these gaps here

and maybe look real

close there

why there well if you look at the

range put this high I'll fix that in a

second it's always in the wrong

place do that happen to you this box

always pops up right where I need to be

adjusting something so here we have the

high down the low

and where is

that 50% there it is right there 50%

level there so Above This level we have

this Gap here which is what we've

already traded to with this one here I

like that one because it's also inside

of a

breaker see

that

now if we're using this reference point

do you remember what I taught you about

the

breakers what did I teach you about the

breakers I'll give you a minute let me

get a drink real quick it should be in

your notes

if you have a breaker which is a high

low higher high that blows out the buy

sign liquidity during the run up if you

have a fair value Gap in there that's

the one you want to focus on and you

don't want to focus on just the down

Clos candles that make the last bit of

turn before the rally up because this is

technically your bearish breaker here

but if you have a gap like that right

there that one could be a potential

inversion Fair

Vega so you have to highlight that and

extend it over so we have this PDA right

here the breaker and the potential

inversion fair value Gap that could draw

price up to that meaning

that what we see here this was

indicating the likely Direction it would

trade up

to and you have to appreciate in the

beginning and not punish yourself

yourself or tell yourself this isn't

doing I'm not making any money doing

this this is foolishness you there

should be a button being pushed there

should be a stop-loss recommended or

something like that you don't get to

that level with confidence being able to

take the trade and and hold on to a

trade and not get scared out of it or

put a stop loss in the wrong place until

you do these types of things and you

have to do it daily for weeks and months

and then you overcome that fear of I

don't know what it's going to do but I'm

willing to press the button because I

see somebody on a live stream or ICT

talked about something he talked about a

specific level that means it's going to

go right there right away no that's

where my interest is and I want to then

look for evidences and signs in price

delivery that it's going to probably

reach there but the first step in you

determining the direction or bias Caleb

is when you're looking at when the

Market's about to move which is 8:30

news driver even if there isn't any news

you still look for these same signatures

here it just means that if there's a

high impact or a medium impact news

report due at

8:30 then it's going to be a much more

significant more

um the magnitude of the move and the

speed of the move will be that much more

prevalent because there is a high or

medium impact news driver if there is

none then we'll just start to see price

just start to move up to these levels

okay it's not 100% but out of 100%

you're probably in 80% or higher that

that's the right direction and initially

so if you're a scalper if you're looking

for something to get in there and just

make a run on some movement in handles

and and or in 4X Pips this is what you

do okay you look for these types of

signatures these evidences that the

market is going to want to do this type

thing and it gravitates to it it's like

a magnet pulling price there okay so I

just want to real quick add these things

on the

chart just as lipstick um I'll do

this

and we'll

this whenever you see a a fair bat

that's highlighted in this shade of

orange uh that's that's my way of

reminding myself as I'm talking to my

son or you if I'm in a video or if I

share a trade you should already know

that I'm I'm viewing that as an

inversion so if the market creates it as

a buy side and balance sell side and

efficiency and it rallies up for someone

that just watches a f- minute trainer

video from somebody else that watches my

stuff and thinks they understand it or

watches me do something with a concept

of introduced they'll think okay well

this is when it drops back down here

that's a buy no it's

not no it's not all we did was go up

into a new week opening Gap traded to a

high Wick through it a few times doing

the damage and then we displace lower

that's not a

buy okay so with that we can now go

into um where's my lower

charts let me maximize this

one so here's a 15-second

chart and if some of you don't have the

ability to see this real

time but here's

8:30 right there bang it opens and

quickly runs in 15

seconds the market travels from 17,000

986 and 3/4 to 1889

huge huge amount of displacement and if

you don't know what you're doing and

you're

gambling that type of run especially if

you're trying to do these funded account

company challenges and they offering you

a maximum of five contracts on their on

their lowest thing and your risk is is

maximum of 3,000 don't hold me these

numbers I just I'm just trying to

remember what Cameron and Caleb were

having to deal with when they were

trying to do these things but I think

it's $3,000 if it's if it's not

something close to that but they offered

like you can trade with five

contracts or on the larger ones you can

trade with 15 contracts and that's

guaranteeing you're going to blow out

and then you have to pay a reset fee and

they don't have to pay you out anything

because you you you failed so you just

keep paying the transaction fees and

that's how they make their money

well on the 15sec chart we can see it

runs

into Wednesday's new day opening Gap

Tuesday's new day opening Gap

and then we have this fair value Gap

that is above equilibrium on the price

run that's dropped since Wednesday's

high and here we have price rally up

come back down look at the overlapping

of this candle's High and the next

candle we open we trade down where's it

trade to consequent encouragement on

Wednesday's new day opening Gap see that

to this level right here it touches it

right there and then rallies leaving

what a fair value got what kind this is

a buy side and balance sell side and

efficiency so if it's likely to keep

going higher because it's going to dig

into this one and maybe reach

into this level we don't need to know

right away but because we have this

potential new day opening Gap we can

draw up into there's range between

trading on this fair value Gap being

repriced too and how how far can it

overshoot this

Gap but look at the overlapping of here

where this body and this body agree the

top of that one and the low of that one

that right there is a PD

array one of the 81 that supposedly I

don't have it can touch that

perfectly what's the open on that 1881

A5 what's the low on that candle

18815 perfect

perfect and then it rallies what does it

create small little volume and Bounds

inside

of and real close to what what what's

what's between these two levels

here B balance celsi inefficiency so we

want to see it form support or an

inability trade to the midpoint of it or

if it does it needs to repel it

immediately

that looks like

this see every time I do that it

jumps there so here's consequent corach

of that B cell efficiency we trade down

to some random quadrant level see that

and then what does it do it rallies this

is good this is good because it leaves

this volume IM balance open and it

doesn't come back down to the midpoint

and starts to Rally then the market

creates every little down closed candle

needs to support price because that

means it's acting as a bullish order

block until we get above here and it

does and Trad to the high of that new

day opening gap on Tuesday which you

derive that information from Monday at 6

pm and the difference between Monday at

5:00 P pm to closing price Market trades

back down into down close candles here

just outside of the Tuesday's new day

got

low hammering around back back and forth

inside here if this falters and fails

and goes below this candle's

low to me stand aside until 9:30 opening

don't try to Mickey Mouse and play games

with it because it probably probably

hurt you

chall figure out this level was here not

sure what that

is oh it's the it's the midpoint of the

overall range I was like oh what is that

line it's the measurement of that high

on Wednesday to the low of

yesterday so that it's distracting

but while you have these levels on in

mind and when they're in close proximity

you want to have these on your chart for

trade purposes you don't have to have

every single one of them on your chart

that you're going to operate on so again

as I was mentioning yesterday you want

to see

them on a layout that you can refer back

to that's outside of your operating

trading uh layout so over here like

where I have uh live trading this this

could be uh labeled

as new day opening

Gap uh template okay or it could be new

week opening gaps and new day opening

gaps if you want to have a lot of stuff

on your chart and you're comfortable

with navigating all that you can put

them both on there I personally don't

recommend doing that but you I'm

authoring you your own personality to be

implemented here so I'm not trying to

say this is the best way to do

it it's up to you how you want to to

your charts I'm just saying that this is

how I'm coaching my son to do it so that

way his charts will look easy to me and

understanding what he's annotating

because it's something I've instructed

him to do this way so that way we're not

trying to make it harder for me because

I'm a little older in cont tankers now

being

[Laughter]

52 so here we have uh a potential

immediate rebalance

yeah my bones are telling me I'm 52

today all right so the initial run from

8:30 unless you were already positioned

long from early on and you're just using

it for a momentum run like trying to get

to uh

a higher time frame objective above the

marketplace your ability to get in the

move you know move like a 100 Handles in

just like 15 seconds you're not you're

not going to be able to pull that off

okay

um using the ideas I just outlined when

you're in the 15sec chart that's the

closest thing that could have been

implemented for me and I'm I'm ICT so

that's the that's the best I could have

pulled off using the information that I

taught yesterday that draw would be

cered and and determined based on where

the market was at right before the news

driver hits and then that means I have

more probability that the Market's going

to expand higher why because I taught

you yesterday go back and listen to it

again if you didn't listen to it go in

and listen to how I explained if you

start looking at a chart or a layout

that has these new day opening gaps and

you start seeing clustering above it

above wherever you're at waiting for a

setup to

form when between

7:00 8:00 and 9:00 well we have a sweet

little cherry on top with the fact that

we have a news driver today at 8:30 so

that means the attention and focus is

going to be where is it going to be in

the first 30 minutes of 7 o'clock

Eastern time no is it going to be ahead

of 8 o00 no it's going to be right at

8:30 why because the economic calendar

is your TV Guide to the next important

event to watch on TV okay so we're

watching price like television our

interest is peaked when at 8:30 because

the news driver is going to happen and

that

volatility that will be introduced why

because the market is going to spool

it's going to run real

quick look at your time and uh sales

data at 8:30 look at it at 829 at 828

827

825 how much buying was taking place

there how much buying took place in the

run

up in this just one single candle at

8:30 you're not going to see a an

exorbitant number of contracts it's the

fact that it's being repriced there

aggressively so how's that happening the

price engines that's an algorithmic

artifact it's it's something that is

driven by

automation it matters not how many

buying of of the asset or contracts or

if it's a stock it doesn't matter how

many shares are being bought it's going

to be pushed up there and then when it's

at these lofty price

levels then it's your it's your task to

see does it justify being there and if

there's reasons to see it sustain or run

higher then you don't look at anything

that would otherwise look like a

reversal pattern you you cancel that out

and you look for continuation which is

very very hard to do when you're brand

new when you look at runs like this it's

hard not to feel like

okay I'm looking at indicators and it's

all these diverences bearishly so I'm

afraid to do anything going

WR and when you're brand new and you

don't know anything at

all that's why it's important to not

have any opinion so the only thing you

can do is in the beginning you annotate

your chart as I indit indicated for you

here

and then you study it and you watch it

and you observe and when you see things

that are interesting you screenshot it

and make a quick note you have to have a

pad in a pen or pencil next to you and

you write down you the screenshot I took

857 you know on the one minute chart you

know what what was your concern there U

there's a fair value Gap here it was

like a buy side and balance sell side

efficiency and there's a fair value Gap

a little bit higher in price is it going

to go into this and then propel up into

this level here is it going to do that

is it going to do it before 9:30 or does

it want to retrace and clean up these

relative equal lows disrupt that and

then run up there or does it completely

fall out of bed and trade back down into

this imbalance here to the low of

Wednesday's new day opening Gap see

these are all questions when you're

brand new these are all things that you

can study and you have no monetary risk

involved and by doing these types of

things it it desensitizes yourself to

needing to be right in the beginning

because you're not going to be right you

don't know what what you're going to see

you're learning and by watching price do

these things day after day week after

week for months you're going to pick up

on things that I've talked about in

lectures but it didn't mean anything to

you because you haven't saw price action

repeat you haven't seen it repeat rather

over and over and over again and then it

means something to you it resonates with

you

whereas right now you don't know what

it's doing you don't know what to expect

if I had nothing on my charts it would

be it would be completely alien to you

you wouldn't have any idea what it what

what's what's it trying to do why would

it have gone up here if I wouldn't have

gave you that lecture yesterday in the

live

stream you could not sit here in

agreement and say yeah this is what you

said yesterday this is what it will

likely do and this is what it did okay

so now what do you do with it when the

Market has already traded in a manner

where it has then set up the

likelihood that if it's bullish okay if

it's going to likely press into an area

above the marketplace where you're

watching price form a potential setup in

other words the key times when you're

hunting a

setup what happens if it would have done

something where at at 825 it had dropped

down into a fair value

Gap and then going into

8:30 what would have been potentially

available to you you could have traded

into that news data as it dropped down

into the fair value

Gap buying that anticipating this type

of run but because we were between two

new day opening gaps and there was no

real inefficiency to think of in terms

of trusting

it yeah you had a bias that's based on

what I taught yesterday that it would

likely go

higher but as a new developing student

or Trader you don't want to gamble on

that because you're really just saying

okay I want to test this Theory and if

it's good I'm going to make money on

it but you have to understand that if

you're testing this and you're observing

it and you're doing practice drills of

watching price action tape reading it

you're not even demo trading it there's

no paper trade execution you're teaching

yourself to trust your anticipatory

price reading skills reading price

anticipating that it's going to behave

beh a certain way you can't rush this

part of it you got to watch it see it

and this is the part of the Walk forward

so uh three two and one lecture of this

mentorship is basically the back testing

how to log how to look for certain

things and observe how the market

behaves this is what you're doing when

you're walking forward so that way if

you're a little bit further along in

understanding you don't have to go at

the snail Pace that I'm forcing Caleb to

go through because he doesn't have this

this skill set strong enough yet nowhere

near where most of my students that have

been with for a while they could read

price action better than him just

because he's my son doesn't make him

better than majority of you he really

isn't that good but he's he's making an

effort to to get good at it so that way

he can make money and and you carve out

his way with actual

trades and not rely only on his income

this is like again this this lecture and

Friday's lecture again will be all based

on walking forward what you're supposed

to be doing what you're supposed to be

looking for how to weigh out factors

that will help build a routine or

guidance that helps you refer to it as a

uh process or procedure this is what we

do every time we sit in front of the

charts we start like this we look for

things like this and then we take the

experience of watching it logging it and

when you do that what are you

doing you're making price action the

same thing as if you went out and bought

a brand new Ashton Martin or a new

Rolls-Royce ghost or wraith or

Lamborghini or Bugatti or whatever

whatever car that tickles your

fancy suddenly your eye is keyed up on

that car and you're when you see it out

in public if someone else has it again

you'll say wow that's my car or that's

like my car they must have bought one

when I bought one and it's just because

now you've made it significant to you

you've opened up your mind and activated

your particular activating system

meaning that you've added significance

to this you've added significance to

reading price when it makes these

certain things or these

characteristics and therefore because

you're journaling them you're

continuously adding sign ific to the

importance of understanding what these

formations at the time of day that they

form what do you think's going to happen

when you look at a new chart when it's

ticking real time you're going to notice

your your you're going to notice your

car right you're going to notice your

setup your pattern the thing that you

have built affinity for and around

because you have spent time caring about

it by journaling now if you're just

going to sit back and and have an

attitude that has yeah I know it's four

minutes after 9 I got to get this part

out entirely and I'm I'm I'm going to

hope my wife's Grace is a little bit

more uh lenient because it's my birthday

but I have to make this

point the fact that you're watching

price and you're journaling it not just

looking at it blindly like a deer in

headlights confused and scared and

wondering what it's going to do and or

not pressing the button to try to chase

a price run you're looking at it with

the intent purpose

of logging things that are important to

you that you want to study and see if it

pans out and you're noticing how fast

the price runs move if they fail what

did it look like before it fails and how

much does it how much does it run

against you before it delivers to where

you studi to see if it can reach for it

now I have this fair value Gap up here

and it may not get there if it doesn't

get there I don't care because the idea

of the lecture and the thought process

behind yesterday's teaching delivered

like Gang Busters today right in front

of you in a live stream the side of the

marketplace that I gave you the rules on

yesterday the guidance that process and

protocol delivered

today there was no reason to enter

beforehand because it was not in an area

where it could be trusted and there

wasn't any drop down right before 8:30

which would have been a little bit more

indicative of

okay that would be where I would trade I

would I would trade in that because I

anticipate the market wants to trade up

into these inefficiencies that have

already been crossed over by Price

action so again we're not doing supply

and demand we're not trading uh support

and resistance we're trading old

reference points in inefficiency for the

express purpose of seeing it engage and

liquidate Traders that's

liquidity where has the money been made

prior to 8:30 where where's the money

been made being

short so if there is a huge bias to the

market wanting to reach up into where

the new day opening gaps are and a new

week opening Gap what does that mean the

pain is going to be placed on the shorts

that means the Market's going to Rally

you may or may not have an opportunity

to get involved in it and when it starts

off as it did right before 8:30 that's

one where you simply have to wait and

you drop down into a 15-second chart and

then you trade the the inefficiencies

and or the first order block that will

support that

idea in this case it's likely go up into

the Tuesday new day new day opening gap

which it's done it's working above it

here it's still might fail it still

could very well fail and go down back

into Wednesday's new day opening Gap

High perfectly reasonable and it could

still do that and then still trade after

9:30 and trade up to here it could do

that that so all these things come with

experience and and weighing out okay

what's the probability what time is it

right now it's 7 minutes after

n is that in is that conducive for a

significant sharp price run when you

have in 202 minutes or so the opening

bell where you're going to have that

initial

volatility and you have the opening

range of 30 minutes that could easily

trade all the way back down here and

give the impression that it's completely

failed and falling out of bed and it

could never go back up here to this high

again and it could rip their face off

for anyone that tries to fade that so

it's a whole lot of it's like I've said

it before when I was doing Twitter

spaces and and other lectures too it's

many times like plat

spinning and it's usually where a guy

has a dow Rod a wooden Dow rod and

plates China plates and he spins the

plate on top the single Dow rod and he

has like 20 30 of them going on the

stage he has to constantly run around to

the ones that are starting to slow down

and he don't want anything to fall and

break that's what you're doing in the

beginning you feel like a plate spinner

because you're trying to

find the end that's profitable but you

don't want to break any plates in the

process when I'm telling you it's like

making an omelet you're going to have to

break some eggs for you to understand

how to make a good omelet you're going

have to break them and you have to screw

up a few times and that's where your

learning comes from and but see in the

beginning you're thinking I got to avoid

losing that's that's that's success

that's winning I have to avoid Doing It

Wrong otherwise I'm going to fail and

I'm telling you you have to fail in the

beginning to see what you're doing wrong

and not look at it as a way of oh I'm

never going to get there I failed a lot

I've done a lot of things in the

beginning where I thought for sure this

was going to this was going to be the

thing and that indicator didn't land me

anything but more draw down I would try

a new St uh uh new study method or I

would follow somebody that was hot and

and important back then in the 90s and I

would lose money with Larry Williams

stuff you know I tried to do his his uh

1900 you know his calls for the S&P in

the bom market and I would lose money

you know I I personally couldn't make it

work for me that's all I'm saying and

does that mean that he didn't make money

using it no it just means that when I

tried to use it for myself I I couldn't

make it work

so because of that I didn't stick with

I would do a couple weeks and that would

be it I wouldn't do anything with it

basically what most of my students when

they first come here they try to they

listen to the lectures they hear me talk

and cheerlead them on they like hey this

guy can really talk a good game I'm

inspired I'm gonna go out there and run

out there and get successful and then

they realize oh this is kind of boring

like this this is not all that exciting

and I got to do all this man there's got

to be a easier way to make money and

then they start looking at people that

have indicators or signal services or

whatnot and they they do the very thing

that I did when I was 20 my impatience

got the better of me and I just wanted

to make money and I'm telling you that's

not how you do

it it sounds counterintuitive and

counterproductive but you have to do

these things here and then once you get

the skill set and knowing that you can

trust yourself and you can repr price

action no one can take it from you if

you make a mistake or if you if you do

trade incorrectly and and you made it

public you they might troll you for that

trade but they that doesn't strip you of

your ability or prow to be able to do it

again and

profitably and mitigate that draw down

and make new Equity highs while they're

still trying to figure out what you're

doing to make money and they're

miserable and they're going around to

the next person soon as you win they're

going to go to another person and trol

them because they're miserable this

misery L

company so when you're watching price

you're trying not to think about the

highs and lows emotionally if it goes

down here that'll be demoralizing I

wasted all this time watching it from

8:30 to now you know this is like 45

minutes almost and the Markus just

sitting around here like this well

that's what trading that's what

trading's like folks you just because

you want to make money and you

eventually pass a funded account it

doesn't mean the Market's going to say

okay well Shirley has put her time in so

we're gonna we're going to run real

quick for her because she's in a trade

and she's you know she's she deserves it

so let's just let's just all work

towards making this fast and painless

for Shirley Shirley needs to get a

grip because that ain't how it

works this is a long uous task where

you're just going to sit there and watch

candlesticks Meander around and then

eventually go against you or go in your

favor and what you're doing every single

candle is you're watching and weighing

out does it support the narrative that I

underlining chose to get into as a trade

is it still giving me indications that

what I would like to see pan out is it

still potentially there as long as that

is in play you don't think about the

opposite side why because your stop loss

would do its job you're paying that stop

loss to protect you if it trades to a

specific level that you don't want to be

a part of if it goes beyond

that you're going to you're going to pay

for that stop loss to do its job which

is get you out at a loss or at open

profit where you're willing to say okay

I don't want give more open profit than

this if it goes to this level I'm

probably wrong and that means I'm okay

with being wrong but now it's at a point

where I have to make a decision and I

don't want to be focused on that

decision every five seconds while the

trade's going on so you have to use a

real stop not a mental stop because it

will make you mental when you lose 20 30

40% of your account when a market move

comes and you didn't expect it it blows

you out and you didn't have a stop

loss uh you're mental then you're

literally going to go crazy because it's

a simple thing you place a stop loss

place it place it not using a stop loss

is guaranteeing that you're going to

fail eventually given enough time that

outcome always always comes with failure

that means blown account that means back

to square run or you're completely not

going to do it ever

again so I'm looking at that volume

imbalance right here and the fact that

we came down and touch the top of

Tuesday new new day opening G high so we

have two little PD arrays inside of this

order

block there so I want to see does it

want to make a run for the high here and

start squeezing towards that fair B Gap

there it's already done enough for me

today where I can go peacock in front of

my wife tell her I told him yesterday

how to look for it how to determine

which side it's going to run for and did

beautifully

today and when you start seeing in the

beginning I got to text my wife and tell

her I'm G to be here into the opening

bell and she's going to yell at me with

Emojis give me a second hold

on Dear Honey love of my

life my sunshine in the morning how much

do I love

you I will be down

come

on I'll be down at

93 use your

de I'm smack on that

one all right so when you're watching

price action like this walking forward

um you're observing certain things um

anything that would make you

feel apprehensive anything that would

make you feel

that would second guess your

expectations on what you think price

might try to do whenever you have that

in the early stages okay don't don't

shun those

concerns write them down in your your

chart after you screenshot them okay but

you want to write that real quick

briefly inside of your notepad because

you have to have a notepad and a writing

instrument when you're watching price

and you should do that while you're

actually trading too

but if you have something that you know

is a concern for you while you're

watching price deliver you remind you in

the beginning you're not even demoing it

you're not pushing a demo entry you're

not trying to pick a entry point you're

not trying to know with great certainty

where your stop loss should be those are

questions that need to be answered later

on the initial stage of your development

is sitting in front of price action and

watching how it behaves I promise you

not 99% of all the instructors and

Mentor wannabes out there that are

trying to sell mentorships or teaching

you stuff they didn't do this part very

long at all they went right into trying

to demo and trying to demo and trying to

demo and then doing funded account

challenges and and how much money did

they spend on funded account challenges

versus how much money they've withdrawn

you know if it would be really

interesting to see that comparing

contrast if for people that do mentoring

um if they do that kind of stuff what

would be the difference what the split

the ratio between and that I think it'd

be probably

Illuminating but instead of trying to be

the next

teacher okay because some of you want to

learn how to do this that way you can do

mentorships and make a lot of money too

and have all the tax breaks and benefits

of that that trading doesn't afford

you learn how to just be a good

Trader and the way every good Trader

gets there is doing the boring part of

what we're doing here and what I've been

talking about the last three

sessions if you don't have the tenacity

to say this is

boring this is not fun I'm not making

any money with

this but I know that this is absolutely

the way I'm going to get there because I

will know by experience that there's

absolutely no reason for me to be

fearful of a of a movie that doesn't pan

out because I've seen many times where

if I watched and waited for certain

things to to present themselves in price

action the probability

get shifted so much more in my favor

that it's going to happen versus that if

I didn't know these things where how

would I know it

otherwise and then what you do is you

end up coaching yourself and encouraging

yourself which is what selft talk is

selft talk you want to do that to

yourself while you're watching price

action by yourself you want to say okay

you're doing good like it's it's reative

off of that volume imbalance and that

order block and touching the top of that

new day opening Gap from Tuesday other

otherwise other people would have never

noticed it never concerned themselves

with it because the Gap filled well here

we are it's you know ict's birthday and

is stuff still working days after that

these levels were

formed

so my question to you is this how many

times do I have to come out here and

prove this stuff theoretically logically

and it delivers to the perfect again

like think about

it see some of you you need to see me

push the button as a long as it goes

down in that volume of balance and use a

stop loss that would be right at the

rejection block right there on that

close that's where your stop loss would

be so what's the risk between that and

getting in at the high or the open of

that candle which is the volume in

Balance inside of that order block right

there Devil's Advocate you can be worst

case scenario use the opening price of

that order block and say that's your

fill and your risk is the close of that

candle you're watching this level

here it could have Wicked below it by a

tick but that's about as much as I would

have expected why why would I have only

expected that much because it's already

filled

in this volume IM balance

there two bodies this body's inside that

volume balance too then we had a wick in

here that went below that there's no

need for it to go back down below that

by except for one tick

how does ICT know how to put these stop

losses real tight like that how does he

know ict's stop placement is top tier

you're right it is because

there's logic behind it that you're

learning here and you have my son to

thank for it because he's the one that

wanted me to do this for him and he

wants it documented so therefore the

things that I'm teaching him he'll tell

you I'm not talking to him about price

action in in texts I'm talking to you

right here

everything I'm doing in front of you

he's watching it just like you

are and I do this every single day every

single day I know what the I know what

it's going to do if I don't know at the

moment when I sit down I'm going to wait

for more information and then I know

what it's going to

do now if you are someone that watches

this and says well you know that's all

well and good he got lucky what's it

going to be like when we're 5 weeks into

this and it's still panning out is it

still

luck is it is it still luck where's my

where's my lucky rabbit's

foot no no no it's this boring logic

that repeats all the time and you want

your trading to be boring you want it to

be boring you want it to be a monotonous

task where it's just so redundant just

like your job but yet you still find

your ass back there to get that paycheck

don't you you'll drive and sit through

traffic have other people cut you off

and cuss you out Brave through the

weather just to go get that little ass

paycheck and deal with

Carl well if you're willing to put

yourself through all that

what's keeping you from doing this it's

something simple some kind of head upy

ass syndrome that you got to pull your

head out of your own ass ass and say you

know what this guy has the goods he's

got people all around the world proving

that they're making money you see the

students names on the payout you see

them you go on go on those funded

account places that shows you who's

getting paid out and then watch their

videos when they say yeah I did this

this is how I'm making

money there was a time that they were

thinking just like

you oh this guy's full of you never

see him get out here and trade a live

with account in front of people you're

never going to see him call the Market

live what's going on right

now I'm giving you the logic the day

before it does it and then after the

fact I'm telling you okay now watch this

I'm watching this volume of balance

right here it's come down here now I

want to see does it run up here and

reach into

that now because it's done this ahead of

930 opening bell what does that mean

well on a day like

today I would wait because I got to run

from here to here that's a that's a

pretty sizable

run what is it almost 100

handles let me make sure say too much

I'll just use the opening price and only

order block that's that's our

hypothetical entry okay so 173 and we're

aiming for consequent

encroachment so consequent encroachment

is uh we'll say 250 did it get to

250 252 Okay so 250 from 173 so 80

handles were there about 70

handles something like that I'm 52 years

old today okay I'm having a five moment

you can do the

math it's better than every other

YouTuber that live streams let's put it

that way except for my student toship

that killed the daily they making over

130 handles I watched you girl don't

don't think I ain't looking okay I'm

watching you just because I'm quiet

doesn't mean I got uh I don't have your

live stream on I'm watching what you're

doing the

uh the takeaway is today because we've

already pressed up one-sided and we've

done all this business in here

um remember I was saying that how most

people would look at this and feel like

it's petering out and may may the second

guessing like okay is it is it going to

is it going to behave is it going to act

like resistance or bearish divergences

because if you're watching indicators

um it might trip you up and think wow

this is this is really running out of

momentum and it's probably going to go

back down here and fill in this

liquidity

void no no no no it's drawing up to

areas of inefficiency why did it why did

I highlight this fair value G remember

that why why was that even

highlighted what did I what did I

use the same stuff that I taught in my

private mentorship lecture that are on

my YouTube channel for free stop paying

people for mentorship stuff that have

already laid on this YouTube channel for

free for

free it's there for you to watch anytime

you

want but

this is formed on

my wife's going to kill me today my

birthday present honey is

leniency the warden I'm asking the

warden for leniency please be lenient

with me today I'm in my moment okay I

got I have to I have to do this to my

completion and then I'm satisfied

because if I leave it and I don't say

what I want to say I won't be able to

enjoy my time with her and my family

because I'll be thinking about this

because I'm

obsessive this guy's a real jerk man

he's he's putting trading before his

wife and kids that's been my whole life

and that's why I'm not the best Mentor

so we had the low of this candle and the

high of that candle and the single pass

through it's sells side delivery

inefficiency is on the buy side that

means until this candles stick here that

high the difference between that and

this candle's high that is your

inefficiency still okay so looks like

that and what does it do it trades up

just above that on this candle there but

why did I pick this fair day got why did

I do that well if you go back and look

at where we were here before 8:30

started to run up I measured in front of

you this High dragging the Fibonacci

down to

here the only use of a Fibonacci for me

is I want to know where the midpoint is

that's all Fibonacci does for me because

that determines if it's overbought or

oversold I don't need an indicator to

tell me that you don't need an indicator

to tell you that and Divergence on any

indicator is useless it doesn't mean

because you're

compressing numbers and if you beat and

torture numbers enough the data will

submit to anything you want it to say so

it's a matter of looking for where are

we at in the range so can you see

clearly that this is the range High all

the way down to that low so the most

recent large degree of directional

movement right at 830 as it happened

where was the profitable trades being

held the Longs or the shorts

predominantly it's the shorts why

because it's been the most recent

protracted directional move and it's

been going

lower so when we have these big ranges

like that it's important to measure with

the FIB that way if you're going to go

long or if you're anticipating it's

going to go long why would we anticipate

that because what I gave you yesterday

guidance I'm I'm gonna slap you around a

little bit G you stay up like this I

gotta get it out of my system but 50% is

here so that's equilibrium so at that

level or below is discount at that level

or above is premium so we're here at

8:30 I taught you yesterday that if

there's clustering with the new day

opening gaps and the new week opening

Gap if that's a above where the market

price is and you're anticipating price

to have a movement one directional okay

or high impact or or medium impact news

drivers are likely to create a spooling

in price where they start gapping prior

price higher and you see that in that

15sec chart where it traversed over a

100 Handles in 15 seconds and you think

that's buying pressure it's not that's

absolutely algorithmic it's them

repricing now before the markets were El

ronic there would be a group of men that

sat around and they would pair orders if

you remember back in times where I was

teaching on baby Pips is you're pairing

they're pairing orders what does that

mean all they need is one trade one

contract to book

price that's it so if they have a an

intention of repricing to 18,160 when

price is sitting at

1,973 and it wasn't electronic markets

so the algorithm was all future they

can't do it yet because it's not

automated yet we don't have the

technology to do that so everything's

open

outcry what they would do is they would

sit in a room one man would put an order

in okay I want to buy at this price and

another guy would say okay I will agree

with that price and they hurry up and

they they stair step it just like that

and that would feed that that price run

so that way the price would book on your

chart before electronic trading and they

just kept prices moving just like that

and you can see it you can validate it

with volume just look at volume how many

contracts how many contracts were traded

8:30 to make that 100 handle

run when I get done showing this again

I'm going to I'm going to drop down into

like a one second chart and we'll look

at that that first uh 830 to 831

movement with a 1 second chart it's

Illuminating so because we have

equilibrium here and we're we're I'm

anticipating based on the logic taught

you yesterday if the Market's here

before the news driver the news driver

is going to be

the retail's excuse for why price went

up when it's not it's just the

highlighting of the time when the

Market's going to start spooling

spooling is just like when you have a

fishing rod okay and you put your little

anchor your little Sinker on the end of

it with your bait and your hook and then

you cast the fishing rod out into the

water the fishing line when it starts

leaving that that that

spool that

uh reel of fishing line as it's going

off that reel it's shooting off but it's

being unraveled real quick and it's

shooting out the length of the the

fishing pole and out into the water

that's exactly what's going on when the

algorithm starts

running when it enters into a by program

boom it starts spoiling higher when it

enters just a sell program boom starts

going

lower your task is to understand the

characteristics when the

time is likely to see that

unfold when there is no Market driver

when there's no news like at 8:30 or the

10 o'clock reports that come out or

sometimes there's a 9:45 number or 10:30

if it's uh crude oil inventory when you

have all those those reports of these

times the day that's they're pretty

generic everybody knows that but there

also are things like I taught as a macro

it's the first 10 minutes before the top

of the hour and 10 minutes after the top

of the hour the market will spool there

as well they'll start running what is it

running for it's running for liquidity

or run rushing to get into an

inefficiency you probably hear Bailey in

the background barking I

apologize I think it just got a

delivery and thank you for the uh

birthday cards by way there's too many

of them to to show I showed one of them

Moses thank you again but uh I just

don't I know some of you probably would

like to see your stuff show up on my

community post I I don't want to do that

but uh that day I just got one so that

was that was nice

um the

uh the fair value Gap that I chose here

is above the equilibrium price point

okay and it's also inside of that

breaker and if it's going to trade above

this where could put it trade too as an

up up you know upside Target this area

here that could act as what the

inversion fair value at so it's those

levels we look for okay so how how can

we use this information in a trade idea

let's go back down let get this

Fibonacci off let's go into a one minute

chart all right and then when price had

this big run here that's not what I

wanted to do let's go to the 15c Chart I

apologize

look at the reaction off the low of that

fair value got there that's probably

random don't paying attention to that

it's all it's all selling pressure the

uh the balancing between this candle's

body and then open and trading down here

that makes this from this low to that

high that's a balanced price range what

yeah that's balance that's balance price

delivery both directions have been

offered it's from this low that we don't

know yet is formed yet but it's also the

same low that makes the consequent

encouragement of Wednesday's new day

opening Gap see

that so all these things are converging

this run away from that and then close

we open trade down to that consequent

encouragment and then pass through and

leave that high there that means that

this

high is a balc price range down

to that low because between this

candle's low and that candle high price

has been offered up and down that's

balanced that's balanced and the market

trades back down and you see them

hitting the up close closing price here

and digging

into this

candle's

open hits it perfectly

rallies on a 15-second chart you can

use order blocks as your entry

um small fair value gaps volume

imbalances I love them if the direction

still in play okay and we we were

outlining this level here so anytime you

see a convergence of a new day opening

gaps low high or consequent

encouragement level and a down Clos

candle and you're bullish it leaves it

and comes back down in you can use that

as your Catalyst to study price does it

behave and run to your objective I gave

you the objective today I outlined how

the market will behave yesterday so I

pointed out the volume imbalance I

pointed out the fact that we came down

and touched the top of the

uh Tuesday I'm yeah Tuesday's new day

opening Gap and then we want to see does

it rally up and go into this fair value

Gap and we got that okay um 70 plus

handles if not you know whatever that

is on a very small run but after the

major damage was done done so I used the

logic in front of you we didn't touch

Market replay to do that you got to do

this okay you see how that changes the

bottom of my screen down here my screen

never looks like that it never looks

like that because ICT knows what the

going on I don't need to use no

Market replay to guess oh let's start

watching going forward the hell with

that it's it's it's dumb okay dumb I

want to leave this yes I do so that's

why my chart looks in in looks like that

okay even if I maximize it you know I

don't think you can pull up Market

replay when you do that can you no you

can't so there you go that's why I show

my screen maximized I try I go through

all this to prove to you that all this

stuff is happening in real

time the markets open you countdown to

close of a Candlestick I mean it's all

there but there are specific things that

you're going to find that are they real

signals that you want to participate in

they setups that are are more likely to

pay out than just looking at oh well

it's trading down and down closed candle

so it must go up no there has to be

other contributing factors to it and

when you're looking at things that are

outside the candles Allah new day

opening Gap new week opening

gaps the separation between those price

levels which is Event Horizon those

types of

things they're

like dark

pools they're things that the general

public are not privy to they're not

something they can reach for and say oh

yeah this is they're looking at

indicators they're trying to they're

trying to Overlay stuff on their chart

and looking at mathematically crunched

data thinking that that's what's going

to cause the market to go up and down no

the only thing that's doing is providing

liquidity for people that use that logic

and they put orders in the marketplace

based on that and then we go in

like a cannibal and devour them and they

don't even know what has happened and

we're going to go back the next day do

the same thing all over again and as

long as they have money in their account

and buttons to push to do so and we'll

be cleaning their clock again and that's

this that's the life cycle Stupid Money

Street money dumb money being

cannibalized by smart money and smart

money uses these Concepts look at what

the Market's

doing consequent encroachment I told you

this level before it happened they

traded up to it and then hits it here so

what is it indicating it's having

resistance right it's having a hard time

and then it breaks down this level or

that low after it touches this trades

down below that low what does that mean

right

there it's a shift in Market structure

so what is it going to do it's probably

going to trade up to a short-term

premium what's it going to trade to see

that

Gap see it there to there what's the

body over here

respecting that but the Wicks are

allowed to do what the damage how far

can it go well do you see the volume and

balance right there these are all things

that you annotate and screenshot as

price is doing what you're watching and

what do it trade down to some random

ND some horeshit it's it's all made up

it's all make believe I renamed this

from something

apparently find the book find the find

the VHS tapes and courses that talks

about these new day opening GS being

used like I tght it ain't there folks

but guess what it's all over on Amazon

right now it's on Amazon right now and

it has my logo somewhere in the book my

name on the cover of the book ict's

Inner Circle Trader Secrets blah blah

blah and they're teaching it through

ignorance they have no idea what they're

talking about the only thing they're

doing is paring what I said that's why

people that leave me notes and stuff you

talk too much because that means they

got to listen to all that or try to

condense it and they failed in school so

they're trying to

do you know with with uh John filati did

make a book with a bunch of and

it's all my stuff but supposedly credit

everyone else that has nothing to do

with them because he want to do a cash

grab until I put a review on

there come to the YouTube channel and

you'll see this guy's a

liar that's what you get from

uh the multi-level marketing gurus

20-year-old ripoff ripoff artists hit it

fails volume IM

balance fair value

Gap the takeaway is this when you have a

fair value

Gap and you have small little cracks in

the delivery price like that little tiny

volume IM balance right

there this tells you where the wick can

go but how can you trust the trade is

still viable or if you miss this first

run up here can you trade it if it goes

into it again in here yes that's a

reclaimed fair value

Gap that's the fact that the Market's

offering that again it's reclaiming that

fair value Gap but the Wicks are doing

the damage so how far can it how can it

run against you how far can it run

against you rather well it can trade

into that volume in Balance but if it

does both and it starts to slam down you

really are being like a billboard sign

like on an interstate saying you're

running low on gas or you if you're

hungry pull out on this exit here

because we we have the goods it's a good

good thing to come this direction well

that's kind of like the neon sign saying

that that the bodies are staying inside

this volume I'm sorry Fair Val you

got these are all things that you're

going to annotate while you're watching

price the hell's going on here there you

go okay and look where the body stop I

mean really really really really think

about this okay think about the

that people are going to tell you and

you've read in books and you probably

believe right now if you're knew that

markets are random it's all buying and

selling pressure what the are the

chances of this candle's low and this

candle's high that is my fair value

Gap midpoint is consequent encroachment

that means it's it's

encroaching into this space again it's

consequential it's it's it's likely to

happen because therefore if it's going

to return back to it this is what you

expect that's why it's consequential

encouragement

look where the bodies

are you see that what's the wick doing

the damage to what to what degree is

that Wick going up against the

underlying expectation if you're going

to trade with this pattern what is the

extreme of how far that Wick can go well

look back over here we have this

short-term high does it go above that

sure it does but how high can it go

above that ICT look to the left what do

you have

left volume of balance

deliver one tick above back down

in consequent encroachment consequent

encroachment fails to get to the

consequent

encroachment that's what you're looking

for you want to see the next candle

start to dive go lower does

it oh wow now you can use this as a

institutional order for entry drill

trades up into that Gap but you want to

see that left open you don't want to see

that fill in because if it can leave

that open guess what that means it's a

breakaway Gap and it's probably going to

remain heavy and it may afford you 15 20

or more handles something to that

effect and you're weighing out all of

these potential delivery mechanisms your

stop loss would be here here's your fair

value Gap institutional order entry

drill there it spikes up yes but

beforehand it trades down to the low of

the new day opening gap on

Tuesday you would take a partial here if

you were holding on for

more chances are you probably would have

got stopped out because you would have

definitely been moving your stop loss

below the fair B you got but you're

paid you're paid and if you did

something like that if you had an

expectation maybe you're watching on the

chart right now while I was talking and

you were looking at something like that

that's a that's a plus that's a win in

your learning not that you should have

been taking a trade by the way if you're

watching and observing

it relative equal lows

top of the Tuesday let's see if it can

Spike down below

that you can make these drills as small

and as minute as possible and then

looking and judging how does it behave

or you can look at it from I want to see

it try to Traverse over a span of 20 to

30 handles and study each one of them

and if you're looking at a 15-second

chart it gives you a lot of examples

where you you can do this and just study

what is it doing how is it behaving what

levels is it respecting how fast is it

going away from a level how fast is it

drawing to a level and or is it starting

to stagnate is it having a hard time

moving

around all these things are things that

you need to be conditioning yourself to

observe real time because that's the

that's the experience that you're going

to lean on when you're trading with real

money or when you're trading a funded

account ch or when you're trading with a

funded account with a prop firm or if

you're managing other people's money

because I have students that are delving

into that now and I'm not talking about

Mickey Mouse money like millions of

money which my opinion and you know who

you are just recently email me my

opinion is no comment if you're CH if

you're choosing to do that I have no

input on that I just know that it's very

very very very stressful if you're okay

with that kind of stress have fun don't

do anything differently you already know

how to trade just trade with a whole lot

less risk but I don't want to comment

any more on that because I don't I I'm

not I'm not GNA do that because I just

know it's very it's very very stressful

to manage other people's money with that

level but I think that's it I I I gave

you that's more than I wanted to you got

another 46 minutes beyond what I said I

was willing to to do today I spent a

little bit of uh my birthday with you

see how balance we Wicked above that new

day opening got to what random level

right

there and then we move back down to make

another lower

low watch right here okay because all of

this is pretty pretty well balanced if

it remains heavy um at 10:00 or leading

into 10:00 we might get some kind of a a

silver bullet it could try to explore a

little bit deeper in here it doesn't

mean it's going to keep falling out of

bed but based on what it's doing right

now at the very moment where we're

looking at it I'd give it an opportunity

to see

that um I would rather see this stay

open or not open but not traded to

because they're relative equal highs

right now I'd like to see it come back

down and upset this where is it at right

here come down and hit that and let

everybody think it's going to drop and

then rake them across the co and take it

back up here in the afternoon we're

going into the lunch hour if I was

making the market for Nasdaq that's how

I'd do it but I'm just a demo baller I

don't know anything I had fun today I

hope you learned something uh if you did

I'd appreciate you give me a thumbs up I

didn't check yesterday's live stream um

and because it abruptly ended and I had

no control over that it just they just

turned off the stream and I couldn't do

anything about it so I uh I I didn't

bother trying to restart it I just left

it the way it is I don't even know what

the last few words were that I was

saying

but I was pretty much done teaching it

was me more or less me coaching and

encouraging my son to just keep his

focus on what it is he's trying to learn

versus other people's opinions whether

it be about me or or our ability to read

price action as a community um it's hard

to it's hard to argue against this stuff

when you see it over a live chart where

it's being explained and especially with

this very very small time frame like

this um it's not random it leaves the

viewer with a sense of

astonishment it it's impressive to see

the prognostication that's available to

you when you understand what it is it's

doing and why is it doing it and you're

not surprised you're not scared you're

not nervous um if I didn't know what I

was doing I I certainly wouldn't be able

to sit out here and explain this stuff

over a live chart because I'd be afraid

that it wouldn't pan out and I I think

that if you listen to me uh I don't

sound like I'm animated at all except

for me making my dad jokes like I do all

the time like that type of stuff is

that's synonymous with you know that's

my delivery mechanism that's how I talk

with you all but I'm not in in any way

afraid that this stuff's going to fall

out of style like I mentioned before

it's going to keep working and the time

that you're wasting worrying about all

that stuff when the Market's presenting

opportunities for you to make your

grocery bill to make your car note to

make your home rent or mortgage payment

a little less painful or entirely cover

it all um you're wasting your

opportunity and time that could have

been used to just go through the things

that I'm teaching you to do that I'm

putting my son through and he has to

subject himself to doing these types of

things and when you see it paying out

it's really rewarding and you don't need

to have any profit yet because you're

seeing progress and that's why people

quit trading that's the number one

reason why people quit trading because

it ain't the money that they made even

when they gambled that keeps them

wanting to trade it's the the truth

that's deep down inside their core that

they know what they did to earn that

money was Absolut luck it was

not skill and they can parade it around

on the internet like it was skill but it

isn't it's not based on anything but it

just happened just like it happens for

people when they buy lottery tickets or

scratch offs or go to the casino those

moments of where it just happened to be

good for

them how can you attribute skill to to

going in and buying a scratch off

lottery ticket or picking a random

lottery ticket you you're in the line of

how many people there

are and you just happen to get up to the

the person to give you a random uh

lottery ticket you didn't pick the

number you just bought a random pick and

then it happens to be the winning ticket

you can't say that skill that's you just

got lucky

there and sometimes unfortunately in

trading individuals when we do things we

shouldn't do before we should do them

which is push a button on a live account

and risk real money when that happens

and we have a positive expectation met

where we hope to make money and it does

chances are you probably got out of a

level you didn't want to get out at and

it's probably a level that is before or

earlier than you wanted to get out but

because you've never made money before

this now is $1,000 or 500 bucks and

that's a lot of money to you because

you've never made any money in the

market and then you close the trade and

you want to tell yourself and project

that over the internet and say this is

my trade today I made money I made real

money what did you do you're a demo

baller like ICT or whatever that type

of uh

behavior and activity is you literally

lying to yourself and condition yourself

to believe that you're prepared to

continuously do that when I teach I

teach a manner in which

that you're going to learn how to do

this it's going to be harder than you

want it to be it's going to take longer

than you want it to take but once you

get through it you never have to go

through that ever again it's like riding

a bike I don't even know the last time I

got on a bicycle but I'm quite

certain I can ride that bike I can

pretty much go anywhere I want to go in

it even in bad

weather so it's just like that it's like

knowing what it is that

you're doing at your

job but your job's only going to pay you

what your company is willing to pay you

but you have to go there every day the

time they tell you to go there and stay

there as long as they tell you to stay

there or you don't maintain that gainful

employment if you go outside of the

parameters you lose the job that means

you lose the income that's like blowing

your account in trading well in trading

you have to start the same way you have

to submit to the boss that's you your

future trading self that knows what

they're doing if you had time machine

you go back in time your future

successful self will be telling you what

I'm telling you listen this is going to

suck it's going to be boring it's going

to be a monotonous task it's going to be

mundane and redundant and you're not

going to make any money initially for

months but stick with it stick with it

if you do the experience that you Garner

from it you glean all this positive

selft talk and you focus on the things

that are are beneficial to you and you

endure the things that are hardships and

opportunities for you to learn better

what you did wrong but you don't vilify

those moments you don't say and I

that up I didn't I didn't do that right

if I would have traded with real money

there I would have lost my ass that's

that's not how you record any

observation in your journal and that's

not how you think about it either you

may be watching the tape just watching

and observing and seeing okay here's an

opportunity to see if the market behaves

a certain manner

here but when it starts to turn on you

you should not feel any body symptoms

but you're going to be aware of it I

want you to think about it when you

start doing

this your breathing starts to speed up

or you start breathing through your

mouth that's the first indication that

you're now feeling Stress and Anxiety

and if you don't check that

you'll develop that as a habit and then

when you start trading with real money

they will become full-blown panic

attacks which will distract you from

watching the trade even though the trade

may still be viable and profitable if

you just stick with it but because it's

real money and you're watching the

ticker of the profit and loss little

thing when you when you put a trade on

it'll tell you what your open profit or

loss is you're going to be fixed on that

and not watching the

candlesticks and that's toxic thing it's

toxic trade management you're trading

your equity and you're not trading price

action which is why you should not have

your p&l being shown on the trader I'm

on the trade while you're first taking

your your trades because you want to

condition yourself to focus on the price

action is the chart still delivering is

it still doing the things you were

thinking it was expected to do at the

beginning of your trade before you even

enter the trade because as long as those

things are checking the boxes yes yes

yes who gives a with the profit is

because until you close the trade or get

stopped out that that number is not the

number it's going to be

different but you're watching it because

you're getting a dopamine hit every time

it makes a higher Equity high and then

then you're feeling adrenaline and

cortisol when you're in draw down and it

was moving away from the highest point

of the open trade Equity the highest

point the profit was there if you would

have closed it then you're going to

start thinking I wish I would have

closed that are you watching price

action when you're doing that no but

what are you doing you're feeding your

subconscious fear anxiety regret

depression so what are you gonna what

are you going to tap into the next time

you sit in front of a chart and and you

do another engagement of price action

entering a trade even if it's demo

you're going to revert back to that same

toxic experience that you just left so

you have to be very guarded on how you

manage your perception of yourself how

you manage yourself you have to keep

yourself

calm

and there's a lot of things that I'm

capable of sharing in terms of managing

the stress and managing the anxiety that

will initially be there but it's mainly

around your breath like breathing slow

breathing through your nose and also

selft talk because if you have your

conscience

on talking to yourself positive saying

okay this is I I want to see this this

is exactly what I'm hoping to see

because this is supporting my original

trade idea but even if it turns around

it's okay because I have a idea that if

it goes to this threshold if this was a

trade it would stop me out and it would

be minuscule in terms of any damage that

would never take me completely out of

the game so I'm focusing on what price

is doing right now and everything is

indicating to me that it's still moving

in my favor and every down closed candle

is supporting a move higher or every up

Clos candle is supporting lower prices

that still has a Target to reach for

there's an inefficiency or relative

equal low that I'm holding for I'm

submitting to that I don't need to rush

my stop loss this is not the last trade

I'm going to take everything I'm doing

is I'm doing everything as I'm supposed

to I'm sticking to the process and it

feels good doing that I have no anxiety

about this because everything I'm doing

is exactly pre-planned and prescripted I

know what this is likely to do and I'm

fulfilling my obligation and following

these procedures as I

should there's nothing negative there is

there you're being objective you're

reinforcing things positively and you're

canceling out any potential for negative

stimuli to make you feel regret or fear

anxiety and that's exactly what

professional Traders are doing whether

audibly like I just did in the beginning

you need to do it audibly that's why you

have to be you have to have a space away

from everybody else you don't want

anybody looking at you or listening to

you and interrupting your train of

thought

if you have animals and pets like I do

they got to be away from you every

single time I've allowed my pets in

they've always been a distraction

because I want to stop and pet them and

love all over them and if ain't enough

love for them then they start jumping in

my lap and then all of a sudden I just

missed an opportunity to take a partial

and then now what has happened man if I

would have took that partial off where's

my thought process I'm not in the trade

anymore I'm in the I'm in hindsight I'm

hanging on something I should have done

but didn't do so I end up usually

closing a Trader at least 50% a trait

that's my mechanism for managing that

because I've already been distracted and

I could potentially have lost the

plot So to avoid that

thing no no interactions okay when my

door is closed on my office no one comes

knocking and my wife or children keep my

pets downstairs they're not allowed to

come to the door and scratch and let me

know that they want to come to see me

I'll see them when I'm done working or

when I'm done doing like these live

streams or lectures this is time to

focus and that's how you manage all

those things but you're still going to

feel it and you're going to have to cope

with it and it's manageable but in the

beginning you're going to feel them

you're going to feel all these scary

thoughts and feelings and the report

card mentality am I doing this am I

going to be

successful the more times you expose

yourself to watching price action

without pushing a button

the more acclimated you are to

eventually get to the point where you

can do a demo trade because if you do

anything with a demo account prior to

spending time with reading price and

tape reading and developing these skill

sets within yourself and managing your

expectations managing your emotions

managing the the stimuli that you're

receiving by watching price if it moves

in your favor when it's not moving in

your favor you don't know anything about

yourself as a Trader if you're brand new

or if you haven't done this

you learn just how ill equipped you are

when you start trading with real money

and you don't know how to trade the only

thing that does trading with real money

and I don't care if it's a $100 account

that's that's absolute asinine

to start trading with any

amount of money that's real because now

you have skin in the race and the ass

hats that tell you to try to learn how

to trade with real money or you ain't

really learning how to trade that's an

idiot that is an absolute idiot

because you're putting so much toxicity

and negative thinking around every

aspect of your decision making and

execution and management of that trade

that you are fortifying and guaranteeing

that you're going to always trade in

fear anyone that tells you different is

a liar and they aren't making

money period That's this the bottom line

truth the only way you're going to get

to this point where you're completely

like you're completely detested like a

psychopath There's No Remorse for the

victim on the other side of my trade I

have zero empathy for the person

that's on the other side of my trade I

have zero empathy I don't lose sleep

over them I'm not worried about that I

don't care I want them to

lose I want any person that's on the

other side of my trade I want them to

lose that's the way we eat

here like a lion like

wolves they don't want to

torture they don't want to torture the

animal but they want to kill it because

they want to devour and eat it because

they need that sustenance they want to

feed themselves they want to feed their

their pride or their

pack well I have I have a family and I'm

Alpha so I have to do things and

make decisions that I can live with or

have to live with and the only way

you're going to get through this without

a conscience and moral dilemma is that

everybody understands the

risks and if youve ever listened to me

you understand that it's hard it's going

to take you longer it's not going to be

easy for you but once you understand you

and what you're trying to do and you

spend time in the charts trading will

get real real easy for

you because you're going to do a whole

lot less trading whereas right now you

want to do it every day every session

multiple

times you think high frequency trading

is an everyday appetite that you should

walk into these markets with it's

not you have to have a balance and

without

balancing I see I can talk my whole way

out of this there well we traded down

into this area here we hit it and then

went up for the relative equal highs and

it did that what time is it 10 o' so

there you

go so that's a pretty good read on a

15-second chart right I'm on 15sec

yeah so how much how much could you have

harvested from all the fluctuations

today that's your that's your homework

go through all this price action all of

the previous price action after the 8:30

over here how much of that could you

reasonably expect for yourself low-end

it don't do the highend don't do the

best scenario of where you could have

got a perfect entry and a perfect exit

could you have taken 25 handles out of

this

today could you have taken one 10 handle

trade with little to no draw down could

you have taken 50 handles

out explore that go into the price

action and look for those types of

things and by doing that unless you

start seeking and looking for it you're

not going to discover what your ideal

model is your ideal model model might

simply just be 20 handles a day it might

be 15 handles a day and you're content

with that you're done others it might be

75 handles and it might take you three

25 handle runs to get it there's nothing

wrong with

that but I don't want to press you into

a specific locked in only this way

because my my methods afford you

flexibility you can do whatever you want

to do all you have to do is know when

the price is going to behave in a manner

that it's conducive for that to pan

out look at this 15sec chart this look

like it's like a whole week of price

action but every individual Candlestick

is 15

seconds so everything you're seeing here

is no different than what you would have

looked at over the span of a week with a

one hour

chart there's opportunities all the

time all the time and I said I was going

to show you that one second uh chart at

8:30

just to show you that it's pretty much

untradeable at 8:30 when it first

released you either had to be positioned

beforehand or you just missed

it so if you like today's lesson and you

learned something the way you tell me is

you have the thumbs up button

I don't notice your thumbs down if you

do that and it doesn't change anything

when you do I just look at the number I

don't look at the analytics page about

it some people obsess about that I think

it's uh pointless so this is a 1 second

chart that means every single

Candlestick in this time frame

is represented by 1 second of open high

low and close so right here that's

8:30 right there at the turn of 8:30

even notice there's no there's no

additional seconds or anything like that

and then we had this big run so in one

second we traversed from

17986 and 34 to 18,37 and

3/4 so in one second boom just like that

handles or

so one

second if you're offside and you're

traing one

contract man you're getting pinched

aren't you what happens if you're doing

that 15 contract trying to use a funded

account you're smoked well let me get to

re refund this uh account link here and

put that through gotta lie tell my wife

had to buy a tire

Market drops down rallies again what is

this what's that right there it's a fair

value Gap but where is

it what's this level right

here consequent encroachment on

Wednesday's new day opening Gap so you

have a fair value Gap it drops down one

two three times

rally trading up into Tuesday's new day

opening

Gap trades back down into all of this

which is a balanced price range what

makes this a balanced price range if you

look

inside here you

have come

on up

down up down so it's painted like say

this is a wall in your house the paint

is coming off that roller really ample

really nice and then you start going to

another area where there's no paint yet

and you paint all this up here and then

you come right back down to where you

finished before you don't need to go

deep into that why because this has all

been balanced and that's why you see

it's down here there's no need for it to

explore into this range deeper

so what is it

doing using quadrants of that same

balanced price range put your FIB or

something like that and study that see

what it's

doing everything is mathematically

controlled by an algorithm everything

but it has to refer to specific things

in price action that's already happened

all of these calculations are happening

so fast because it's computerized and

it's cycling through through time frames

like real quick and it's referring back

to them really quick and making

decisions and bang but you think this is

buying and selling pressure because it's

easier to dis believe that it's easier

to believe that and it makes you sleep

at night that it can't be this

manipulated controlled because if it's

this manipulated controlled that means

that they have strings on it and they

can tug their strings anytime they want

and have an outcome that they want to

see and that's all I'm trying to tell

you that's what it is and you shouldn't

be mad about that you should be thankful

that the markets are red I am I'm

certainly thankful of it I don't look at

it like a casino and say you I

know if I go there I'm going to lose my

money because it's rigged to the degree

that you're going to screw you if you

start winning they're going to escort

you out the door you're not going to be

allowed to play there anymore ask any

count any card counter in Las Vegas they

know them and they're not allowed to be

in there because they're beating them

does that sound like it's a fair place

to uh Gamble at no if somebody can count

cards guess what that's not easy to do

it's not easy to do that so they have a

skill set and they're matching that

skill set against your probabilities and

your stack decks in the eye in the sky

and the rib games they

use

but even on a smaller time frame like a

one second chart you can see the same

phenomenon

repeating fair value gaps trading to the

levels reacting off of them

Lookout gravitating around the lower

quadrant in the midpoint cons

encroachment Lookout respected to here a

one second chart look out respected

there with the

bodies all this in here on a one second

chart and there's no algorithm there's

no way there's an algorithm there's no

way you could never prove to me I do

where's this algorithm

at I heard Tom H someone said make

Tom said where is this algorithm it's in

your charts that's the closest thing

you're ever going to

see but if you don't want to believe it

because it upsets your narrative or your

your school of thought it's just much

painless much more painless for you to

say

no I don't believe in an algorithm

okay you're not going to make me have

the same thought process that's for

sure that's not going to happen

with me but look how look at this

this is a you know Tuesday's new day

opening Gap and you're looking for

support and resistance and failing at it

because the support resistance lines

you're putting on is what the books tell

you to do an old high an old low and we

target those things you see how that's a

completely PA dially opposed paradigm

shift from what the losing crowds doing

over and over and over

again and the way they see price and

they're not smart enough to stop doing

those things and reverse it just do the

oppos

and then treat these levels as an

opportunity to be

attacked because there's orders above

them how hard is that to understand I

for for the life of me I don't

understand why anybody with any Common

Sense can't see the truth in that versus

I'm looking for a p a pattern a harmonic

crossover this that other thing ratio

trades and all this horeshit that's

that's complicated to me that's a

complication I went through all that

dumb and I said okay what is the

real mechanism here because when I put a

trade on if I get stopped out I lost so

if I lost somebody got that money what

were they doing to get to my

money trading the other

direction targeting my stop

loss well if that's the case then it

should start happening all day

long and there it

was where do these things form

TimeWise they're like traps and snares

they lay them down in the same spot all

the

time you go out in the woods if you ever

go anywhere in the

woods you'll see a hide it's called a

hide where hunters will have usually

like a tree stand or something to that

effect and it's sitting there and they

might put deer feeders or whatnot all

around them and they just keep feeding

because they want the deer to keep

coming

around and then when they want to show

up the hunt they go and they climb up in

their hide

and they wait for the deer to do what

it's been trained to do keep coming here

food well that's what the economic

calendar has done it's a watering hole

for the Lions to wait for all the gazel

and the dumb asses to go down there and

get a

drink and when they go down and get a

drink it's their last

supper and lions

eat that's what the economic calendar is

for me it tells me the time when the

gazel are going to The Watering Hole it

tells me when my next meal in the

marketplace is coming to get

devoured and I can choose not to go down

to the watering hole if I have something

better to

do and that's a whole lesson in

itself just because that there's time

and opportunity for you to be in front

of the charts doesn't mean that you

should be and that's maturity that's

that's that's you navigating your

emotions look at this man look look how

it's respecting these

levels some random line dropped

on a chart that the goobers will tell

you oh eventually it's going to touch

one of those lines missing the entire

plot like missing the whole point of

what this is doing for you it's given

you a a means of

determining where price should fluctuate

from or gravitate

too this is the real support and

resistance that you think that these

books are teaching you and when you try

to do it it's never the right resistance

because it goes through and just keeps

trading higher or it's never the right

support you try to buy it and it is R

for

it it's demoralizing isn't it consequent

encouragement of the fair I up I told

you hit the low of it

boom look at these levels man this is 1

second it looks just like any other time

frame doesn't it trading down to the low

of Tuesdays new day with been

Gap look at

that there's no algorithm there's no

algorithm man there there's no

way that these markets are rigged you

you could never convince me of

it oh I'm telling you every time I read

somebody in somebody else's YouTube

channel comment on that and say

like that tell me you're an idiot

without saying it that's exactly what

you just did because all you have to do

is study it and see it it's

there how the is the buying and

selling pressure of all the traders in

the world stopping these prices on a

dime and respecting these levels that no

one's ever talked about until I started

talking about it but you can go back in

time before I taught them and you can

find them in your chart but you can't

find Tom Dick or Harry or

mentors ever telling you about

it that's not me beating my chest and

bragging I'm just trying to show you

that this stuff is

valid but the people that can't do it or

made a very big argument about it online

that there's no algorithm now they're

forced into to a huge mob of all of you

now that you know it and some of you are

very vocal and I'm telling you leave

them in your ignorance just leave them

in it it's better for you to do that

just let them stay stupid they're just

like that gazelle only thing they can

think of is I got to get a drink and

there's the watering hole let me go down

there and they're gone

ghosted and where we at here what's that

other level I told you it could

gravitate to

do you remember that inversion fair

value got above the

breaker there's that Gap I told you

about high low higher high this is where

I can draw to if it goes above

here what's your chart show does your

chart show

this what about

that into that Balan price range that I

showed you a little bit ago so what I

have in front of me when I'm

trading the only thing I work with it

today was the laptop that you me I'm

holding I swear in the lord's name that

all of my monitors that I have in front

of me are all off they're they're all

off but what I have on my charts is I

have a 15-second chart a 1 minute chart

a 5 minute 15 an hour a daily a weekly a

monthly and then I have a chart that I

call a

matrix where it's a five minute 4 minute

3 minute two minute one minute chart for

the NASDAQ the S&P and the Dow and what

I'm doing is I'm looking for S&T

divergences on all of them at the same

time when I'm anticipating a fair value

Gap per form

or a run of old highs I want to see it

diverge one of them will fail and it's

like a it's not a necessity for my trade

but it's is one of those things I like

to see as a qualifier it gives a little

bit more quality behind my analysis

where I already think it's going to do

something anyway and then it dis behaves

that way even more quicker and more

strongly in my favor and the speed

usually really starts to deliver because

I have that signature behind it so you

don't need SM smt like you really don't

need it to be in your trades but I like

to look for it because it gives me that

little bit of uh okay she's going to run

now and then she starts taking off

whether higher or lower based on my

analysis and the& the it forms so I want

you to go back and listen to this again

okay and you'll hear me talk about how

you know if I was making the market I

would drop it down take it down into

that area wipe that out and then run

above the relative equal highs earlier

in the day I told you that it's going to

run up into here and run up into here if

it goes above there it's delivered all

that folks I'm a fraud right I'm

a fraud I'm out here doing this in front

of you with a live data feed on the

smallest of time frames one

second can you get any smaller than one

second trading view you know I know

you're listening now can you give me a

time frame less than one second because

if you can I will trade that

too okay I don't have any access to that

okay it's it's this is what it is

so I don't know what else to tell you

folks either you're going to sit down

and listen take notes and then try just

try it that's all I'm asking you to do

is try it I don't have to give you a

refund because you didn't pay for this

you're putting your time in to listen to

the rules what it looks like how to how

to practice it and observe and capture

the information logging

it but all of this information doesn't

have to be on the same chart but you

should if you can afford yourself a

monitor at least one extra monitor where

you can have have this information on a

blank chart without the other stuff

there but because I'm trying to teach

you from the ground up a lot of you only

have one device that means you're stuck

with one chart one screen so it's a

little bit harder it's a lot more

juggling between time frames and whatnot

and you'll have a little bit more stuff

on your chart but it's possible to the

grow from that but you should have a

chart that doesn't have like the fair

value Gap I have here or that there or

the

these or that okay and I taught you

yesterday that I'm sorry this in this

too this shouldn't be there so you just

have your new day opening gaps and new

week opening gaps I told you how many to

have and why I told you how to determine

the bias yesterday and I told you how to

use these new day gaps I'm sorry new day

opening gaps and new week opening gaps

in relationship to when you anticipate

price spooling and moving directionally

and how to determine what direction it

moves for well we were here where is the

clustering of all the new day opening

gaps is it above or below that above

here here and here so where's price

going to go up then I told you look at

that fair value Gap right there and then

if it's going to go above that it'll

reach into here it's done that I would

be done if I was trading I'm done I'm

not doing now I'm not worrying

about the afternoon I'm going to have a

strawberry short cake for birthday cake

today I'm going to chill I'm probably

going to watch a movie with my wife in

my theater I'm going to kick back and

relax and enjoy being

52 you can do this folks do not let

these little weasel nut on

the internet talk you out of it because

it's costing you nothing but the effort

you put in if you give it a half ass

effort you're going to get half-ass

results you have no excuse you have no

hindrance now you have no reason to be

fearful you have no reason to doubt

there's an algorithm you have no reason

to believe that these things aren't

going to work because they do

work I come out here I tell you what's

going to happen over live data on the

smallest time frame time Fe time frames

and feed that you all can

verify you all have live streaming of

data just like I do if you have live

data you watched everything before it

happened today

again all of these opportunities that

was pointed out to you are not all the

trades that were available it's says

that's the ones that I think that I

believe that my son Caleb should focus

on those

initially but you only need one of them

and the one that makes the most sense to

you that's the one that you're going to

work for and look for in all of your

logging and all of your forward testing

and watching and reading price action

without demoing and then when you get

real good at noticing and when it's

there and how to anticipate how it's

going to

form it's like a time machine

it's like you can predict tomorrow's

weather better than the weather man you

know the winning lottery

tomorrow you know the outcome of a

sports event you're literally a time

traveler and you can forecast the future

and it feels like a mutant

superpower and when you do it in the

front of other people they have to say

it has to be fake this guy has to be a

fraud or this woman is a fraud she has

to be a fraud no one could do this no

one should be able to do this but yet

here the I

Enigma something that shouldn't be but

is and I'm gifting this to

you I'm not

selfish I want to see you do

well I know you can do it you just have

to believe it too and stick to the

processes that I'm laying out in front

of you just do

that just simply do that you have an

advantage that I'm going to be doing

this Monday through Friday unless

something is scheduled that I will tell

you in advance or if it's an emergency

something comes up but I committing

myself to my son understanding how to do

this so you're seeing it as he's

intended to receive it do I look like I

know what I'm doing does it look like

I'm scared does it look like I am

confused about what price is going to do

does it seem like this is too good to be

true because it should feel like

that and that's how you know you're at

the right place listening to the right

person because there ain't nobody else

out there that's going to tell you what

this price is going to do like me and

that is arrogance and that is me telling

you because I earned

it like it or not that's the way it is I

saw a comment and I'm going to close a

guy says uh like it or not ICT has a PHD

in technical analysis and the only thing

I'm going to submit to that is a

correction I have a PhD in technical

science because that's what I've turned

this into it's a science We Are

The Cult of winning and everybody

outside of it wants to be in it but it's

too afraid to drink drink deep

jump in the plasma pool baby there's

enough room for all of you because it

ain't changing is it's going to be

a bigger Club of winners and it can just

keep going and going and going and who

knows who you're going to inspire who

knows who you are going to inspire

because your success you found in this

all the doubt and trepidation you've had

I I don't know if it works we're gonna

find out we're gonna find out if ICT

yeah you're founding out aren't you you

want me to dance the way you want me to

dance and I'm going to dance the way the

I want to dance I have no problem

being out here every single day no

problem whatsoever and it's still going

to work it's still going to pan out it's

still going to happen

you think this is fun wait till you

start seeing the entries and the profit

targets getting hit and the partials and

the pyramiding all that stuff you ain't

GNA be able to sleep you're

gonna be buzzing on

goofballs you think I put you to sleep

with my talking you're not going to be

able to sleep waiting for the

next live stream so with that it's happy

birthday ICT give me a thumbs up if you

enjoyed it learn something today and

I'll talk to you tomorrow at 8 o'clock

Eastern stand

waiting for to be safe aren you

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YouTube Transcript:ICT 2024 Mentorship Lecture #4 August 8_ 2024

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ICT 2024 Mentorship Lecture #4 August 8_ 2024