How to Count Entries Step-by-Step (Trading Mastery Guide) — Transcript

Full transcript

1. 0:00Knowing how to count entries is one of
2. 0:01the most important skills that you can
3. 0:03learn as a trader. If you know how to
4. 0:05count entries properly, you will gain an
5. 0:07advantage over majority of traders out
6. 0:10there. Why is it so important? Well,
7. 0:12because every single price movement
8. 0:14matters and every single movement on a
9. 0:16chart happens for a reason. And markets
10. 0:18tend to move in two-legged pullbacks.
11. 0:21You may not see it at first glance, but
12. 0:23once you get a bit more experience and
13. 0:24you train your eyes to look for these
14. 0:26moves, for these two-legged pullbacks,
15. 0:28you will come to a conclusion that
16. 0:30markets tend to move in two-legged
17. 0:33pullback fashion. So, number one thing I
18. 0:34have to do is I have to identify the
19. 0:36structure and we have bearish trend
20. 0:38working lower. How do I know this? Well,
21. 0:40because I have lower highs and lower
22. 0:42lows, this is telling me that the trend
23. 0:43is down. And as a trader, I'm going to
24. 0:44make the most money if I'm only thinking
25. 0:46about selling. So, I'm only thinking
26. 0:48about selling and I want to identify the
27. 0:50right opportunity to sell, where the
28. 0:52correction is going to end. That's the
29. 0:54whole point of trading. I have a bearish
30. 0:56trend down and I need to identify the
31. 0:57spot on the market where I can sell a
32. 1:00high probability opportunity. So, I'm
33. 1:02going to use the counting technique to
34. 1:04identify the second entry. And I'm
35. 1:06always going to reset the count at each
36. 1:08new low. This is the lowest low. I would
37. 1:09reset the count here. And we have
38. 1:11another significant low. So, I'm going
39. 1:13to use this low in this market to reset
40. 1:15the count. when I'm counting for entries
41. 1:18to go short. Since the trend is down,
42. 1:20I'm looking for breaks below bars lows.
43. 1:24Okay, so we have new low right here,
44. 1:26lowest low, and I have no break below,
45. 1:29market is trending higher. No break
46. 1:31below, correction is working higher. And
47. 1:33finally, this bearish bar had a break
48. 1:35below its own low, indicating we have
49. 1:39first entry short, first attempt by the
50. 1:42market to resume the trend working
51. 1:44lower. But remember markets tend to move
52. 1:47into like a pullbacks. Corrections are a
53. 1:49little bit stronger and the first
54. 1:50attempt is not strong enough to make
55. 1:53market go lower. We're looking for the
56. 1:54second attempt. It comes down to human
57. 1:56psychology. Once market tries something
58. 1:59once, traders will generally try one
59. 2:01more time. The second time before
60. 2:02throwing the towel. So you have new low
61. 2:05first entry short. It got stopped
62. 2:07instantly because we have a break above
63. 2:08of the first entry short. And now we
64. 2:11have second entry short because we have
65. 2:13a break below this bar low. So it's all
66. 2:16about looking for breaks below bars
67. 2:19lows. New low. First entry short failed.
68. 2:22It was stopped. And now we have bearish
69. 2:24bar break below its low. We have second
70. 2:26attempt by the market to go lower. And
71. 2:28this is a little bit stronger hyperit
72. 2:29setup. And we have another new low. This
73. 2:33low is the lowest low in this market.
74. 2:36So, I'm going to use this low right here
75. 2:39to reset the count again. Okay? Because
76. 2:41we are still in a bearish trend. So,
77. 2:43once again, I'm going to use this low
78. 2:45and I'm going to look for breaks below
79. 2:48bar low. No break here. Market is
80. 2:51working higher. Can we have a break
81. 2:52here? Actually, we can. You have a first
82. 2:55entry short right here because market
83. 2:58broke below this bullish bar. But this
84. 3:00right here is a good example what we
85. 3:02call technical entry and practical entry
86. 3:05where we want to enter. You can tell
87. 3:07that we have a first attempt below this
88. 3:10bullish bar. But as a trader since the
89. 3:13market is down, I want to sell below
90. 3:15bearish bar. I want to see confirmation
91. 3:16that sellers are in the market. There is
92. 3:18strong momentum. So we're mainly paying
93. 3:20attention to this bearish bar. But this
94. 3:22is just first entry short. And now we
95. 3:24have second entry short. Why we have
96. 3:26second entry short right here. First
97. 3:28entry short pullback. After first entry
98. 3:30short, a bar that is going to get a
99. 3:32break above its high is going to create
100. 3:34pullback followed by another bar that
101. 3:37gets a break below its low. It's
102. 3:39creating second attempt. Okay, you have
103. 3:41to have the pullback for second entry
104. 3:43short to be there. Here we had tiny
105. 3:45pullback. The two-legged pullback is
106. 3:47very hidden. Here we have visual
107. 3:49pullback because we have new high, first
108. 3:51entry long. We're going to talk about
109. 3:52this later on. And market continues to
110. 3:54go lower. I would reset the count at
111. 3:57each new low. When you're watching this
112. 3:58live, you're going to reset the count
113. 4:00right here. New low, first entry short,
114. 4:03and market is correcting. There is no
115. 4:06second entry. You can tell that on my
116. 4:08chart, I have the 12 bar EMA because
117. 4:10this is a key entry point. I'm using the
118. 4:12EMA or some variation of a trend line to
119. 4:15identify where on the chart the
120. 4:16correction is going to end. You can tell
121. 4:19once you get a second entry, the
122. 4:21two-legged pullback at the key entry
123. 4:23point, either the EMA or the trend line,
124. 4:25this is the place where the correction
125. 4:27phase will end and the brand new push
126. 4:29phase will start. So once again, lowest
127. 4:32low right here. Resetting the count is
128. 4:34the same counting technique all over
129. 4:36again. No break below, we're correcting
130. 4:38higher. We have a break below this bar
131. 4:40indicating first entry short. Can I get
132. 4:43a second entry short? I'm looking for
133. 4:45pullback. I have a first entry short and
134. 4:47I want to see break above one of these
135. 4:49bars highs. There's no break, no break.
136. 4:52So there is no pullback. The first entry
137. 4:53short is still working. We are trending
138. 4:55lower. We are trending lower and the
139. 4:57first entry short generated pull down.
140. 4:59That can happen also. But when you're
141. 5:00watching this live, you don't really
142. 5:01know if it's going to work. The second
143. 5:03entry is more high probability. So
144. 5:05you're going to see first entry is
145. 5:06working. But when you have your money
146. 5:08online, you want to take a high
147. 5:09probability trade and a second entry
148. 5:11will give you that edge over the market.
149. 5:14We have another lowest low. I'm going to
150. 5:18reset the count. Now, I'm going to zoom
151. 5:19out and I'm going to use
152. 5:22the indicator from tradeables. You can
153. 5:24find the link in the description. And
154. 5:26the reason why I'm using this is because
155. 5:28it's going to show you that also not
156. 5:31only looking for entries short, I can
157. 5:33also look for entries long, but I don't
158. 5:36want to go long. I want long entries to
159. 5:38fail because remember trend is bearish.
160. 5:41Trend is bearish. So I want to use trap
161. 5:44bulls to gain advantage and take the
162. 5:46other side of the orders. So here we
163. 5:48have red zero indicating count reset.
164. 5:50Count reset here, count reset here. We
165. 5:52use this low to reset the count. But you
166. 5:55can also see green zeros at the top of
167. 5:58the correction because once I have
168. 6:01correction working higher here, working
169. 6:03higher here, working higher here, I can
170. 6:05use the highest point of the correction
171. 6:07to reset the count for longs. And I can
172. 6:10look for either lower high or failed
173. 6:14second entry long because market moves
174. 6:16in pairs of twos. Here we have two leg
175. 6:18pullback to sell and here we have second
176. 6:20entry tole pullback to go long. So for
177. 6:23example, I'm going to use this high
178. 6:25right here because we corrected to the
179. 6:27key entry point. New high first entry
180. 6:30long indicated by the one pullback
181. 6:32second entry long failure after we got a
182. 6:35break below this bar. So this right here
183. 6:37is a failed second entry long and I can
184. 6:41use this entry to go short as well
185. 6:44because bulls are trapped. So I can sell
186. 6:46this second entry short and have a
187. 6:48winning trade. Your stop loss always
188. 6:50goes one to above the single bar. And I
189. 6:52can sell this failed second entry long
190. 6:55because the traders who are buying the
191. 6:57second attempt against the trend below
192. 6:58EMA, they're going to get trapped. So I
193. 7:00can use both ways to enter and sell
194. 7:03right here. So here we have new high
195. 7:05first entry long felt first entry long
196. 7:08would be lower high but it's a little
197. 7:10bit more advanced trade right here we're
198. 7:12going to talk about second entries in
199. 7:14this video remember you're not just
200. 7:16counting entries you have to identify
201. 7:17the context because we know the context
202. 7:19is bearish and I have the key entry
203. 7:21point I'm looking for correction phase
204. 7:23to end using the counting technique and
205. 7:25a new push phase to start so let's focus
206. 7:27on this section right here zero right
207. 7:30here indicating count reset first entry
208. 7:33short one right here. Market is
209. 7:36correcting. Can I get a break below this
210. 7:38bar? No break below. Okay, watching this
211. 7:40live, you would think, okay, maybe this
212. 7:41is a signal bar. Can I get a break
213. 7:43below? And I don't have a break below.
214. 7:45So, the market is still correcting. And
215. 7:47finally, we have a break below this bar
216. 7:48right here indicating second entry
217. 7:51short. Now, this second entry short is
218. 7:53on the opposite side of the EMA, which
219. 7:55we generally prefer to sell below EMA.
220. 7:57But if you have some sort of trend line,
221. 7:59you can sell above EMA confirming the
222. 8:01trend line or the trend is very very
223. 8:03strong. So this right here is a second
224. 8:05entry short. But this video is mainly
225. 8:06about teaching you guys how you can
226. 8:08count the entry properly. So this is a
227. 8:10second entry short and I can use the
228. 8:13high to look for long entries to fail.
229. 8:15We're breaking below EMA. You have first
230. 8:17entry long on this inside bar. If you
231. 8:19want to learn which signal bar is best
232. 8:22to enter, what is an inside bar? We have
233. 8:23a video about candlestick patterns as
234. 8:25well. Okay, new high, first entry long
235. 8:28felt. So, this right here is a lower
236. 8:30high. Okay, can I get a felt second
237. 8:32entry long? No. Market already pushed
238. 8:35down. I have a f second entry long all
239. 8:36the way down here, but I'm not
240. 8:37interested. I always want to take the f
241. 8:39second entry long before I'm going to
242. 8:41exceed the low I'm using to count for
243. 8:44second entry short. Here, I'm going to
244. 8:46once again reset the count. The red zero
245. 8:49first entry short. Market is correcting
246. 8:51and I have a second entry short. This
247. 8:53second entry short is not fully at the
248. 8:57EMA and it's a bullish bar. I cannot
249. 8:59sell I cannot sell bullish bar not fully
250. 9:01at the EMA. Okay,
251. 9:05even though it worked for a scalp.
252. 9:06Market needed to correct a little bit
253. 9:08more because it's a bullish bar not at
254. 9:10the EMA.
255. 9:12Okay, new low first entry short. Market
256. 9:14is correcting and I always reset the
257. 9:17count. So here we have only first entry
258. 9:18short. I can't really sell just yet.
259. 9:22Okay, new low. I'm going to reset the
260. 9:24count. First entry short below this bar
261. 9:27because I'm looking for breaks below
262. 9:30bars lows. First entry short. Pull back.
263. 9:33We tick higher and a second entry short.
264. 9:35If we get a break below this bar and we
265. 9:37have another second entry short and
266. 9:38market continues to go lower. Now I'm
267. 9:41going to use
268. 9:43the lines and you can visually see what
269. 9:46the two-legged pullback looks like. Some
270. 9:48two legs like here are very broad. You
271. 9:51can see clearly the two-legged pullback,
272. 9:53the zigzag movement here. It's a little
273. 9:55bit tiny. The first leg is longer and
274. 9:57the second leg is smaller. But it
275. 9:59doesn't matter. You are in a bearish
276. 10:00trend. You're at the EMA. Sometimes the
277. 10:02two legs are going to be clearly
278. 10:03visible. Sometimes they're going to be
279. 10:05hidden. But you can sell either way. If
280. 10:07you are at the key entry point, you're
281. 10:08in a downtrend and you have good signal
282. 10:10bar. The market continues to go lower
283. 10:13like this. We have another lowest low.
284. 10:17Second entry short far from the EMA. not
285. 10:19interested. If a second entry short is
286. 10:21far from the EMA, it means market may
287. 10:24correct high. Remember, according to
288. 10:26price action rules, you have to reset
289. 10:27the count at each new low. Right here,
290. 10:31new low right here, new low, new low,
291. 10:35new low. Here we have interesting
292. 10:37example that you will encounter as a
293. 10:39trader. Here we have lowest low, but you
294. 10:42actually have double bottom. Okay, new
295. 10:44low right here. Come reset first entry
296. 10:47short on an inside bar. This right here
297. 10:48is a new low break below this bullish
298. 10:50bar. So this right here created first
299. 10:53entry short, but you have double bottom.
300. 10:56Double tops and double bottoms reset the
301. 10:59count. So this is why you have the zero
302. 11:01right after the first entry short once
303. 11:03it created double bottom. And you're
304. 11:04going to reset the count at the second
305. 11:06low and first entry short. Second entry
306. 11:09short right here. New low, first entry
307. 11:11short, second entry short. To summarize,
308. 11:14you have to first identify the structure
309. 11:16so you know if the trend is bullish or
310. 11:19bearish. If you have a trading range,
311. 11:21you're still using the same counting
312. 11:23technique because even in trading range,
313. 11:24you have many trends within the range.
314. 11:26So if you have small uptrend in a train
315. 11:28range, you're going to reset the count
316. 11:29at the high looking for a pullback to go
317. 11:31long. If you have a small downtrend,
318. 11:32you're going to reset the count at the
319. 11:34low. Look for a second entry short at
320. 11:36the key entry point. So identify the
321. 11:38structure, reset the count at each new
322. 11:40low and also you can reset the count at
323. 11:43the top pivot of the pullback near the
324. 11:45key entry point to capitalize on the
325. 11:48late buyers and you can take the other
326. 11:50side of their orders. And now when we're
327. 11:52using these numbers, you can see that
328. 11:54there's a reason to price movement. And
329. 11:56by you understanding how to count
330. 11:57entries, you can identify the right
331. 12:00place on the chart to enter. If we're
332. 12:01going to get rid of the numbers and
333. 12:03you're going to observe the price action
334. 12:04like this to an untrained eye, it
335. 12:07doesn't make sense why market does what
336. 12:09it does and why prices keep correcting
337. 12:12to certain places and why prices are
338. 12:14continuing to go down. Prices continue
339. 12:16to go down because correction phase
340. 12:18ended. You have the second entry at the
341. 12:20key entry point and a new push phase
342. 12:22will start. Learn how to count entries
343. 12:24to identify an edge over all market
344. 12:27participants. I hope the video was
345. 12:29helpful, educational. If you're boss,
346. 12:31like the video, subscribe to the
347. 12:33channel, and good luck with your
348. 12:34trading.