2022 ICT Mentorship Episode 8 — Transcript

Full transcript

1. 0:05all right folks welcome back
2. 0:07this is episode
3. 0:08number eight
4. 0:11applying institutional order flow to
5. 0:13forex markets
6. 0:15all right folks welcome back
7. 0:17taking a look at trading view and i
8. 0:20promise this is going to be a really
9. 0:21short one tonight
10. 0:23um
11. 0:25let's go to euro
12. 0:34and whenever i'm looking at data from
13. 0:36trading view this is the
14. 0:38data feed i use for
15. 0:40forex pairs only forex.com i don't want
16. 0:44definitely not them
17. 0:49all right so we have the daily chart up
18. 0:52for euro yen
19. 0:56just so you know i hate the end pairs i
20. 0:59can't stand them
21. 1:00but
22. 1:01but for the sake of completeness
23. 1:03this is how you would
24. 1:05look for these types of patterns in
25. 1:07forex
26. 1:09now i have lots of feedback in the
27. 1:11comments section that
28. 1:13you don't get to see but it's really
29. 1:14just for me i get a lot of requests
30. 1:16whether or not this is
31. 1:18appropriate to be using for higher time
32. 1:20frame charts and i think daily charts
33. 1:22are
34. 1:22what everyone classifies a higher higher
35. 1:25time frame chart so
36. 1:26i want you to take a look at shark fry
37. 1:28do any mock up on it
38. 1:34pause the video if you're not ready
39. 1:40still don't pause it to you
40. 1:42all right take a look at the
41. 1:45relative equal lows over you see that
42. 1:48it's gonna go
43. 1:50quick and dirty tonight
44. 1:52right and dirty
45. 1:54all right so we have
46. 1:56relative equal lows
47. 1:58marked out over here the market has
48. 1:59traded down through
49. 2:02and created a run higher
50. 2:05now here is why i do not like the end
51. 2:08pairs okay i get questions all the time
52. 2:10why don't you like again pairs icd they
53. 2:12move around nice they do this they do
54. 2:14that
55. 2:15they tend to have like a double
56. 2:18return to a specific level i like to see
57. 2:20and you're going to see it right here
58. 2:22okay
59. 2:23swing high
60. 2:25the market rallies through that
61. 2:27there's no
62. 2:28fair value out there
63. 2:30it drops back down in
64. 2:32then it runs again taking out this
65. 2:35swing high so we have two
66. 2:38points of market structure that have
67. 2:40moved to the upside in order its price
68. 2:42is traded above it
69. 2:44now this leg here
70. 2:47you want to go back through that
71. 2:48and see is there a fair value gap
72. 2:52well we have one
73. 2:54and two
74. 2:56market trades down into it here
75. 3:01sends it higher
76. 3:03what's above here buy side liquidity
77. 3:06this old high back here could be a draw
78. 3:08on liquidity as well so there's gonna be
79. 3:09buy stops whether it trades there or not
80. 3:11it's irrelevant okay
81. 3:14it's likely to draw to it
82. 3:16just like you know
83. 3:18playing horseshoes you play the game
84. 3:20horseshoes
85. 3:21not every single time you throw a
86. 3:23horseshoe is it going to go on that post
87. 3:26but it's still fun to play right so
88. 3:28you're aiming at that post whether you
89. 3:30hit that post or not and this would be
90. 3:31like the post in the game
91. 3:33playing horseshoes you're just aiming
92. 3:35for it
93. 3:36now obviously we started trading a new
94. 3:37day here but this candle which was the
95. 3:4010th of february 2022
96. 3:42this daily candle
97. 3:45we could trust that this was likely to
98. 3:47go higher because we went up we've
99. 3:49consolidated
100. 3:51and then start another run into this
101. 3:54high here
102. 3:55again whether it trades through it or
103. 3:56not it's irrelevant okay because even a
104. 3:58failure swing to get above old highs if
105. 4:00there's enough range from being right
106. 4:02here at the open to reaching up to here
107. 4:04that's enough to take a stab at it and
108. 4:06see if you're going to get any kind of
109. 4:07yield
110. 4:09so that's an example of it occurring on
111. 4:12a daily chart but i want to go into this
112. 4:13very day right there okay the 10th
113. 4:17so we're going to drop down into a 15
114. 4:19minute time frame
115. 4:22all right here's a 15 minute time frame
116. 4:23and
117. 4:24we're going to mark up our chart
118. 4:32midnight new york time
119. 4:35rocket rallies in here
120. 4:39yeah
121. 4:41and then we go into the
122. 4:42new york session right here
123. 4:44so we're going to go into this
124. 4:47price structure
125. 4:49and fair it out
126. 4:51the run that occurred in here
127. 4:53so i'm going to
128. 4:55put a rectangle in this area so that way
129. 4:56we know what we're looking at relative
130. 4:58to this 15 minute time frame
131. 5:07you guys ask why i do powerpoint slides
132. 5:09this is the reason why
133. 5:11it makes it a lot easier to go right to
134. 5:12what i'm looking for
135. 5:14all right we're gonna drop down to a
136. 5:15five minute chart
137. 5:19okay
138. 5:20and if you take a look at
139. 5:34seven o'clock in the morning
140. 5:3810 o'clock in the morning
141. 5:40that's your new york
142. 5:41ict killzone okay that's the time of day
143. 5:44that new york session trades form
144. 5:48i have more information in that regard
145. 5:50for
146. 5:51time of day
147. 5:52for forex in this
148. 5:54channel i said lots of videos lots of
149. 5:56topics and things you can explore i
150. 5:58don't want to beat it to death because
151. 5:59i've already done in other places but
152. 6:01just know that seven o'clock in the
153. 6:02morning 10 o'clock in the morning new
154. 6:03york time again
155. 6:04on trading view you need to have it
156. 6:06toggled to that everything else
157. 6:09it'll be wrong
158. 6:11all right so here is the time of day at
159. 6:13the forming of a new york setup
160. 6:18forms all right so we have the market
161. 6:21trading down
162. 6:24takes out a swing low trades down below
163. 6:26that
164. 6:27and then punches higher
165. 6:29right above this swing high
166. 6:31inside this price like right here is
167. 6:34there a fair value gap we're going to
168. 6:36start breaking it down top down from
169. 6:38five minute
170. 6:40top down
171. 6:41we're gonna break it down from the five
172. 6:43minute down to the one minute chart so
173. 6:46from this low
174. 6:48up to this high
175. 6:54right in there that's we're gonna
176. 6:57study on each new time frame so i'll go
177. 7:00down to three minutes
178. 7:06okay so in this price leg here do we
179. 7:08take out a swing low yes we trade down
180. 7:12below swing low
181. 7:13does it take out a swing high
182. 7:17here
183. 7:18yes it does so now we have a valid
184. 7:20condition to see if there's a trade
185. 7:23go back through this price leg
186. 7:25is there a fair value got
187. 7:28right in here
188. 7:31and this one here
189. 7:32so remember i was teaching you it could
190. 7:34stab down there just be mindful of that
191. 7:36but
192. 7:37try to get your entry in on that one
193. 7:39there
194. 7:41and that's what we have here trace that
195. 7:43to it there
196. 7:44now the question is going to be is how
197. 7:46far
198. 7:47will it trade to because we're not
199. 7:49looking at anything over here because a
200. 7:51middle of the range type idea so for
201. 7:53expansion type moves practical lesson
202. 7:56tonight where if we don't have a range
203. 7:58to trade inside of
204. 8:00how do we anticipate how far can trade
205. 8:01up or trade down in this case we're
206. 8:03looking for a long
207. 8:05where would our targets be because the
208. 8:06old high is over here
209. 8:08now i'm sure if we went to a hard time
210. 8:10frame keep looking to the left we'll
211. 8:11find something
212. 8:12but a real easy way
213. 8:15is to take
214. 8:17your price
215. 8:20leg over here see this swing low break
216. 8:22prior to this run up then we
217. 8:24consolidated drop down create a discount
218. 8:27and then create our retracement rally
219. 8:32and start to run up into these highs
220. 8:34how can we know
221. 8:37well i like to take a fib
222. 8:45anchor it
223. 8:46let go of my
224. 8:48and anchor it to
225. 8:50a previous swing okay so from this low
226. 8:53that is high
227. 8:54after we leave this consolidation it
228. 8:56starts to trade higher
229. 8:59um standard deviation negative one
230. 9:02and i got a lot of questions you know
231. 9:04what's my setup for my fib i actually
232. 9:06show that on the ote primer video so
233. 9:09you're welcome to take a look at that on
234. 9:11the youtube channel as well
235. 9:13133.153
236. 9:19and
237. 9:24that's not that
238. 9:25let's see
239. 9:27hi is 133
240. 9:2915 and three so right to the right to
241. 9:32the point that you'd be looking for
242. 9:34and then
243. 9:37we've seen it received from that
244. 9:41okay
245. 9:43so
246. 9:44obviously when i show example like this
247. 9:46makes me want to trade me in
248. 9:49but i hate this pair i can't stand
249. 9:51there's other markets that
250. 9:53can scratch my itch for 4x but this one
251. 9:55is not one i like to trade
252. 9:56but
253. 9:57i wanted to come out tonight and kind of
254. 9:59give you
255. 10:00a quick view of what you could do with
256. 10:02these
257. 10:03markets using the model okay
258. 10:06there is a approach that you can use
259. 10:08with the london session okay and london
260. 10:11would be marking up your vertical lines
261. 10:13relative to new york local time two
262. 10:16o'clock in the morning to five a.m so
263. 10:18you'd have your your bracket so your
264. 10:20operating hours would be hunting the
265. 10:22setup
266. 10:23for new york between seven o'clock in
267. 10:24the morning and ten o'clock
268. 10:26local new york time
269. 10:28for london session trades
270. 10:30you would look for setups that would
271. 10:34provide you a way to trade a fair value
272. 10:36gap between two o'clock in the morning
273. 10:37and five o'clock in the morning okay and
274. 10:41that's as easy as i can make it for you
275. 10:43it's simple and any additional
276. 10:44information you would want to have i
277. 10:47have absolutely covered it in other
278. 10:49videos in this youtube channel okay so
279. 10:51it's predominantly a forex channel and
280. 10:54it's only been recently with the 2022
281. 10:56mentorship i'm talking and teaching
282. 10:57about the stock indices so
283. 11:00i got a lot of requests for 4x so here
284. 11:02you go it's
285. 11:04simply applying what you've been trained
286. 11:07with the futures indices
287. 11:10but
288. 11:11just applying it to the forex market but
289. 11:13applying it to the time of day relative
290. 11:14to
291. 11:16new york
292. 11:17or london and yes you can take trades in
293. 11:19asia yes you can take trades in london
294. 11:21close
295. 11:23but i'd prefer to have you just trade on
296. 11:25these two time frames here or time of
297. 11:27day rather
298. 11:28being new york open which is what's
299. 11:30being shown here seven o'clock tomorrow
300. 11:31ten o'clock in the morning new york
301. 11:32local time again always i can't say it
302. 11:34enough because if you don't do this
303. 11:36and you just have it set to your local
304. 11:38time
305. 11:39it won't work
306. 11:40but it's new york local time on trading
307. 11:42view
308. 11:43seven o'clock to ten o'clock this is the
309. 11:46time when you're hunting the setup okay
310. 11:48so
311. 11:49in summary
312. 11:51we can anticipate this market going
313. 11:52higher why because the euro dollar is
314. 11:55going higher
315. 11:56you can also
316. 11:58check it by going to let's go to daily
317. 12:01chart
318. 12:02first
319. 12:10and you can go to
320. 12:126e which is euro futures
321. 12:15and let us use the front month
322. 12:16continuous
323. 12:18okay you can see how euro
324. 12:21where has it been going
325. 12:23so has it been going lower or higher
326. 12:26clearly going higher
327. 12:28what has
328. 12:30the yen been doing
329. 12:37so when you look at forex pairs you want
330. 12:39to look for that relationship between
331. 12:41the
332. 12:42instruments that make up your pair
333. 12:44so euro yen euro is strong yen is weak
334. 12:49so what would that mean for euro yen it
335. 12:51would mean that
336. 12:52if your bias is bullish
337. 12:55and you have this
338. 12:57underpinning
339. 12:58between euro and yen
340. 13:00it's going to make this pair go higher
341. 13:03it's a real simple way of looking at how
342. 13:06to determine
343. 13:07these exotic crosses okay and how to
344. 13:09frame the logic behind whether it should
345. 13:11go higher or lower
346. 13:13and then apply time today wait for the
347. 13:15pattern i'm teaching you
348. 13:16and you won't need to do anything else
349. 13:18you don't need to buy a subscription to
350. 13:19anybody's services you don't need to
351. 13:22learn anything else you don't have to
352. 13:23buy any courses it's all right here for
353. 13:25free and
354. 13:27it works
355. 13:28until i talk to you next week enjoy
356. 13:30weekend and be safe