Dumb Money Concepts - Entering and Exiting Trades — Transcript

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1. 0:00right dumb money Concepts lesson number
2. 0:02two we're looking at zones today dumb
3. 0:06money Concepts one of the major things I
4. 0:08say is there is no stop losses so let's
5. 0:12look at the chart how we work actually
6. 0:14is we have red zones we have gold zones
7. 0:17and we have Hunter zones okay and
8. 0:19instead of having entries stop losses
9. 0:23and take profits it's much more of an
10. 0:25intuitive sort of feel that you can add
11. 0:27and reduce as the trade goes along I
12. 0:30shouldn't have said intuitive because
13. 0:32there is a methodology to this madness
14. 0:35and now when we look at the 4our here we
15. 0:38can just have a very brief explanation
16. 0:40of how you would enter this short right
17. 0:43so we determined that the trend is beish
18. 0:46for example because the 2hour here is
19. 0:49closing we have uh pretty strong Trend
20. 0:52to the downside right after that and
21. 0:54then we failed to make a new high here
22. 0:57um and that means that we're going to
23. 0:58then go to the opposite Direction
24. 1:00because we did not complete a close
25. 1:03after we see this close here this large
26. 1:05candle close below we can say okay the
27. 1:07trend is bearish right so what you would
28. 1:10want to be doing is setting up entries
29. 1:13all within the hunter Zone and you would
30. 1:16put one straggler probably in the Red
31. 1:18Zone rather than having the traditional
32. 1:21sort of methodology of entering a trade
33. 1:24here and putting your stop loss here
34. 1:26right this is what a traditional Trader
35. 1:28might do an SMC well this is DMC this is
36. 1:31a three-hour trade that you would often
37. 1:33see right or sorry maybe two-hour trade
38. 1:34rather and you would often see something
39. 1:36like this uh but then you would get
40. 1:38stopped out from that Wick right off of
41. 1:41this Wick here right on the open okay so
42. 1:44what you would do using dumb money
43. 1:46Concepts is You' enter those trades here
44. 1:49you would enter on the oppos other side
45. 1:51of the hunter Zone and you'd maybe throw
46. 1:52another one just in case okay just in
47. 1:56case we get up here so I put through
48. 1:58some lines you might have three entries
49. 2:00for example you could have two you could
50. 2:01have one depends on what the chart looks
51. 2:02like I decided to have three today after
52. 2:05we see this Wick that's good
53. 2:06confirmation that we are going to
54. 2:07continue to the other side and then
55. 2:08we're going to start drawing our golden
56. 2:10Zone our golden zone is where you're
57. 2:11going to be shooting for your profits I
58. 2:13would have taken some off here and I
59. 2:14would have taken some off on the other
60. 2:16side potentially you could draw levels
61. 2:18within here I'm not sure but you would
62. 2:20be exiting within this Zone depending on
63. 2:22where the levels
64. 2:24are because why because that's the level
65. 2:27that is next in continuation so after
66. 2:30we've seen that 2hour close here the
67. 2:33next level down is clearly this so
68. 2:36that's where we're going to Target so
69. 2:37we're going to enter all within
70. 2:39here and then we're going to Target
71. 2:41within there okay if we are wrong cuz we
72. 2:45do need to we do need to be able to get
73. 2:46out of the
74. 2:47trade we need to see two examples the
75. 2:50higher time frame is closing in the
76. 2:52other direction and our trend has now
77. 2:53changed or we're seeing closes within
78. 2:56our red zone so every single time you're
79. 2:58going to have a red zone that you don't
80. 2:59want it to go if it closed up here I
81. 3:01would have exited the trade for a loss
82. 3:03sometimes that loss is larger than 1 R
83. 3:05maybe it's 1.5 R and that's why we don't
84. 3:07really use R too often with DMC we just
85. 3:10use our profits that's everything for
86. 3:12lesson two guys