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

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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
at
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
of
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
do
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
at
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
so
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
it
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
up
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
as
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
at
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
register at that time and then you ask
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
or
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
as
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
am
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