Market Mechanics Ep 18: Entry Models (SNIPER ENTRIES) — Transcript
Full transcript
- 0:00One of the biggest reasons traders
- 0:02hesitate is because they do not have a
- 0:04clear entry model. They see a setup
- 0:08forming, but they're still
- 0:09second-guessing themselves. They're
- 0:11still doubting themselves. They're still
- 0:13hesitating, not sure whether they should
- 0:15actually enter for the trade or not. Was
- 0:17that the liquidity sweep? Was that the
- 0:19market shift? Is this actually the real
- 0:22entry or am I too early or am I too
- 0:24late? And that is exactly what this
- 0:27lesson is going to solve. Right, so
- 0:29welcome to this lesson of the Market
- 0:31Mechanics Mentorship series. So far, we
- 0:33have talked about order flow, liquidity
- 0:36concepts, supply and demand zones, all
- 0:38of these good old Market Mechanics
- 0:39concepts. But at the end of the day,
- 0:42understanding the concepts is not
- 0:43enough. You still need to know how to
- 0:46actually enter for the trade. With
- 0:49confidence. With conviction.
- 0:52So in this lesson, I'm going to break
- 0:54down two of my main entry models, which
- 0:57is the market shift entry model and the
- 1:00flip zone entry model. Because the goal
- 1:03is not to understand the market
- 1:05intellectually. The goal is to know what
- 1:08you are waiting for when it is finally
- 1:10time to execute.
- 1:12At the end of the day, it's not about
- 1:14just understanding the theory. It's
- 1:16about having a repeatable model for
- 1:19execution.
- 1:20Having something that you can look out
- 1:23for every single time before you enter
- 1:25for the trade so that you can get
- 1:26consistent results.
- 1:28Now, before I break down these different
- 1:31entry models for you guys to see, you
- 1:33must understand that these entry models,
- 1:35they are not just random chart patterns
- 1:38that you have to memorize on the chart.
- 1:40These entry models only make sense when
- 1:42they appear in the right context.
- 1:46This means that you need to pair them
- 1:47with the right higher time frame bias.
- 1:50And they need to be located at the right
- 1:52point of interest.
- 1:54And it needs to happen at the right
- 1:56session with the right liquidity
- 1:58conditions and the right story behind
- 2:00the setup.
- 2:02The model itself is just the entry
- 2:04trigger. It's just the entry
- 2:06confirmation. It's just the pattern that
- 2:09you are looking out for before you enter
- 2:11for the trade. But it is not the reason
- 2:13for the trade.
- 2:15So, you still need to make sure that you
- 2:16build a higher time frame bias, you
- 2:18develop a daily bias, you determine
- 2:20who's in control of price, and then once
- 2:24price get to your point of interest,
- 2:26then you look for this confirmation
- 2:27itself.
- 2:29All right. So, yeah, once again, this is
- 2:30the set of time frames that you should
- 2:32be following based on your trading
- 2:34style. If you're swing trader, this is
- 2:36the time frame you're going to be
- 2:36following. Day trader, scalper. All
- 2:39right. So, pick the trading style that
- 2:41you are specializing in and focus on
- 2:43that set of time frames.
- 2:45So, in this example right here, on the
- 2:47left-hand side, what we have is the
- 2:48higher time frame or the medium time
- 2:49frame.
- 2:50What we want to see on those time frame
- 2:53itself. And then on the right-hand side,
- 2:55this is the patterns that we want to see
- 2:57happen on the lower time frame.
- 2:59So, once again, these are the
- 3:01confirmation, these are the confluences
- 3:04that we need
- 3:06before we press the buy and sell button.
- 3:08All right. So, all this is is just the
- 3:10confirmation, which means that we need
- 3:12to see this happen first, then we can go
- 3:14down to lower time frame to look for
- 3:15this.
- 3:17Now, what is an entry model, right?
- 3:19Like, what's the definition of an entry
- 3:21model?
- 3:22An entry model is a repeatable sequence
- 3:25of price action you wait for before
- 3:28entering for a trade.
- 3:30So, it should help you answer what needs
- 3:32to happen first, what confirms the
- 3:34setup, where the entry comes in, and
- 3:37where the invalidation is. Which means
- 3:40if this happens, then this trade idea is
- 3:42no longer valid.
- 3:46So, in this case itself,
- 3:48what we have on
- 3:50right here, right? These are the two
- 3:52sort of like patterns that ideally you
- 3:54want to look out for. All right, so
- 3:56let's start with the first one, right,
- 3:58which is the flip entry model.
- 4:00So, but before I dive into the entry
- 4:02model itself, let me just explain what
- 4:04we have over here.
- 4:06So, over here price went up, pulls back,
- 4:08goes up, pulls back, and then goes up
- 4:10and breaks structure. So, when this
- 4:12happened, we know that the buyers are in
- 4:14control of price, and then this is where
- 4:15we can map this as a swing low and a
- 4:17swing high, right? So, this is the swing
- 4:19range in which we want to be focusing
- 4:20on.
- 4:21And in a up uptrend just like this, we
- 4:24want to trade with the trend, which
- 4:25means that we want to look for longs.
- 4:26And ideally we want to look for longs at
- 4:28some form of demand zone, right? At some
- 4:30form of demand zone where we have a new
- 4:32higher low to be formed, and we want to
- 4:34capture that higher low, and then we
- 4:35want to trade the continuation to the
- 4:37upside just like this.
- 4:39So, this is what we are trying to see.
- 4:42Okay, so this is our trade bias. Our
- 4:44trade bias is telling us that, all
- 4:46right, we got price bullish right now. I
- 4:48want to look for longs, but I only want
- 4:49to look for longs once price comes down
- 4:51to this demand zone that led to this
- 4:53break of structure right here.
- 4:56And ideally I also want to see some form
- 4:58of liquidity sweep, right? Because like
- 5:00I said, the market needs the fuel in
- 5:02order for it to drive price up
- 5:03significantly.
- 5:05So, we need that liquidity.
- 5:07So, once again, if you look at the
- 5:08left-hand side right here, price went
- 5:10up, pulls back, and then goes up, right?
- 5:12So, it created like this minor internal
- 5:14higher low right here, and below every
- 5:17swing low there is going to be
- 5:19liquidity. There is going to be
- 5:20available liquidity. So, ideally we want
- 5:23to see price comes down, mitigate this
- 5:25demand zone, sweep that liquidity,
- 5:27create a V-shape reaction, and then at
- 5:30this point in time, right, the minute
- 5:32price touches the zone, this is the
- 5:35patterns that we want to see. Either one
- 5:37of these two patterns right here.
- 5:40Okay, so let's delve
- 5:41deeper into each one.
- 5:43So, the first entry model is the flip
- 5:45entry model. So, if you guys have
- 5:47recalled how to map out your flip zone,
- 5:49it's pretty much the same thing right
- 5:51here. So, you can see in the lower time
- 5:53frame, if you zoom in to this price
- 5:55action right here, this leg right here,
- 5:56what you will see is that lower time
- 5:58frame price have shifted bearish
- 5:59creating lower highs, lower lows just to
- 6:01facilitate the pullback.
- 6:03So, in this case, what we want to see in
- 6:05order for price to give us confirmation
- 6:08that it's going to continue to push to
- 6:09the upside
- 6:11is that we want to see signs that this
- 6:12pullback is over, the internal structure
- 6:15has shifted from bearish to bullish.
- 6:18Which means that we need to have some
- 6:20form of market shift. That's the
- 6:22prerequisite. That's the non-negotiable
- 6:24for each one of these entry models
- 6:25itself, and that is the market shift.
- 6:27The market shift tells us that internal
- 6:29structure has shifted from bearish to
- 6:30bullish, and the pullback is over, and
- 6:32right now the continuation is going to
- 6:35happen.
- 6:36So, that's the market shift, right? So,
- 6:38ideally, we want to see the market shift
- 6:39happen in the market itself.
- 6:41So,
- 6:42in this entry model, first thing for us
- 6:45is price comes down, mitigate the point
- 6:46of interest, all right? So,
- 6:48the minute price mitigate the point of
- 6:50interest, this is where you will jump
- 6:51down to the lower time frame. Okay,
- 6:53which means that if price is in the
- 6:54middle of nowhere just like this, you do
- 6:57not jump down to the lower time frame.
- 7:00So, if you're a day trader, this is what
- 7:02you want to be seeing on either the
- 7:034-hour or the 15-minute time frame.
- 7:06And then once price touches your
- 7:0715-minute demand zone, then you jump
- 7:10down to the 5-minute time frame to look
- 7:13for this particular pattern, to look for
- 7:15this entry confluence, entry
- 7:17confirmation, entry model.
- 7:20Okay, so this is very important, right?
- 7:22Because a lot of you guys are jumping
- 7:24into the lower time frame prematurely,
- 7:26right? You should be only jumping down
- 7:29once price touches your
- 7:32demand zone that is on the 15-minute
- 7:34time frame if you are day trading. Okay?
- 7:37So, ideally, I want to see price
- 7:39pullback to my medium time frame point
- 7:43of interest, the 15-minute demand zone,
- 7:45and when it does, I jump down to the
- 7:475-minute to look for either one of these
- 7:49confirmation itself.
- 7:51Okay, so let's go back to the entry
- 7:52model. So, this black box that you can
- 7:55see right here, this is pretty much this
- 7:56medium-term point of interest here.
- 7:58So, you can see the minute price
- 7:59mitigate it, boom, jump down 5-minute,
- 8:01look for this pattern. If the pattern
- 8:03appears in the market, you enter the
- 8:05trade with confidence, with conviction.
- 8:07If the pattern does not appear, then you
- 8:08stay out the market as simple as that.
- 8:11So, the minute price mitigate this zone,
- 8:12ideally the next thing I want to see is
- 8:14price create a market shift just to
- 8:15confirm to me that the structure is
- 8:17indeed shifting bullish, right?
- 8:20But, in this case,
- 8:22what is price going to use in order to
- 8:25create that market shift? Liquidity. It
- 8:28needs that available liquidity. So,
- 8:31ideally we want to see that sweep the
- 8:34low that was formed right here. Ideally,
- 8:37we want to see them grab the liquidity
- 8:38that we have over here.
- 8:40Okay, so that has to be swept. And if
- 8:42that gets swept, then now we got the
- 8:44fuel that price need to get the market
- 8:46shift to the upside, to, you know, take
- 8:48back control of price from the sellers.
- 8:55So, in this case,
- 8:57price mitigate a demand zone, 15-minute
- 8:59demand zone, and then it led to a market
- 9:01shift. But, before it led to a market
- 9:02shift, it gave us a flip zone. Okay, so
- 9:05remember, what is flip zone? A flip zone
- 9:07is pretty much a zone that caused the
- 9:08opposing zone to fail. So, in this case,
- 9:10price went up, react from this supply
- 9:12zone. If this supply zone were to do its
- 9:14job, price would just continue coming
- 9:16down, take out the last low, creating a
- 9:17new lower low, lower high, just
- 9:19continuing its bearish dynamic, which
- 9:21means that there's a chance for price to
- 9:23just continue bearish. And if price
- 9:26continue bearish and take out this low,
- 9:27then we got a market shift, and the
- 9:29entire trend has just reversed from
- 9:30bullish to bearish.
- 9:32But, if it doesn't, if this low continue
- 9:34holding, then there's still a chance
- 9:35that price will shift bullish.
- 9:38All right, so that's what would happen
- 9:39if this supply zone were to do its job,
- 9:42but it failed to do its job, right?
- 9:43Because when price actually reacted from
- 9:45this supply zone, it created a failed
- 9:47reaction right here.
- 9:49Which is just a fancy way of saying
- 9:51that, you know,
- 9:53there was insufficient sell orders in
- 9:55the market for price to continue going
- 9:56down. As a result, the demand has
- 9:58exceeded the supply, the buyers have
- 10:00overwhelmed the sellers, and right now
- 10:03we are pushing to the upside, leaving us
- 10:05a failed reaction, which means that we
- 10:07can mark this entire thing right here as
- 10:09the flip zone.
- 10:10So, now, what does this tell us? This
- 10:13tell us that there was so many buyers in
- 10:16the market
- 10:17that they pretty much kicked all the
- 10:19sellers off the market. How do we know
- 10:21that? Well, we got a market shift,
- 10:23right? Which tell us that there's a
- 10:24shift in structure, shift in order flow,
- 10:27shift in market sentiment.
- 10:29And not only we do we have a market
- 10:31shift, we also have a flip zone, which
- 10:33tell us that there's just insufficient
- 10:35sell orders for price to continue going
- 10:37down.
- 10:38So, we pretty much got all the
- 10:40conferences in the world that tell us
- 10:42that the buyers have took back control
- 10:43of price.
- 10:44And now, all we do is that we wait for
- 10:47price to pull back to the flip zone
- 10:48right here, and then we make our entry.
- 10:50We enter for our long position the
- 10:52minute price mitigate the flip zone, and
- 10:54then we look to trade the move to the
- 10:56upside. As simple as that.
- 11:00Okay, as simple as that. That's the flip
- 11:02entry model itself.
- 11:05Now, the next entry model is the market
- 11:08shift entry model, and this one is a
- 11:09very classic, it's pretty much my bread
- 11:11and butter entry model, you know, it
- 11:13appears quite commonly in the market
- 11:15itself, and it's quite reliable if you
- 11:17use it with the right context. Okay, so,
- 11:20here's a tip. For this market shift
- 11:22entry model to work really, really well,
- 11:23you want to make sure that you wait for
- 11:25price to sweep as much liquidity as
- 11:27humanly possible.
- 11:29All right, so, same thing right here.
- 11:31When price mitigate this zone, I do
- 11:32leave you want to look towards the left
- 11:33to see whether you have swept any
- 11:35liquidity that we have created over
- 11:36here. If we swept that liquidity, then
- 11:38nice, it got a fuel that it need to
- 11:40actually move to the upside. All right.
- 11:42So, in this case, price mitigate the
- 11:4415-minute demand zone, got the
- 11:46liquidity, creating a V-shape reaction
- 11:48telling us that the buyers has took back
- 11:49control of price, buyers have, you know,
- 11:52gain regain control of the market, and
- 11:55then right now we are potentially going
- 11:56to shift bullish. All right. So, the
- 11:57minute we got this market shift right
- 11:58here, what I can potentially happen is
- 12:00that we are just going to be doing
- 12:02nothing until price pull back to the
- 12:04demand zone that created that market
- 12:06shift. This is your lower time frame
- 12:08demand zone, right? So, this second
- 12:10black box that you can see right here.
- 12:12This is your 5-minute demand zone,
- 12:14right? So, on the 5-minute time frame,
- 12:16before you enter for the trade, you want
- 12:18to make sure that you have mapped out a
- 12:19demand zone that created the market
- 12:21shift.
- 12:22And then just wait for price to pull
- 12:24back, react from this demand zone, and
- 12:26then you look for entries to trade it to
- 12:27the upside. As simple as that.
- 12:30Right? So, that is the market shift
- 12:32entry model.
- 12:33Now, one thing you have to understand is
- 12:36that a lot of times this could
- 12:38potentially
- 12:40be a false breakout. What I basically
- 12:42mean by that is that sometimes price can
- 12:45come down here,
- 12:47mitigate this demand zone over here,
- 12:49and then starts going up there and take
- 12:51out the last lower high.
- 12:52Okay? So, when this actually happen, we
- 12:54actually got a market shift.
- 12:57But, instead of continuing going up just
- 13:00like this, as a result, price continued
- 13:03going down, taking out this low here.
- 13:07When this happens,
- 13:09what this is essentially telling us is
- 13:11that there was not enough buyers in the
- 13:13market to sustain this move to the
- 13:15upside.
- 13:17In fact, this move to the upside is just
- 13:20sort of like a manipulated move that was
- 13:22created by smart money, by the big
- 13:24banks, by the institutions
- 13:26for price to go up there, grab the
- 13:28available liquidity that was above the
- 13:30lower high, trigger all the stop losses
- 13:32of retail traders who entered for a
- 13:33short position or any other stop orders.
- 13:38And then now they're going to use the
- 13:39liquidity for price to continue going
- 13:41down even further.
- 13:43And perhaps even come down here, grab
- 13:46the available liquidity below this swing
- 13:48low right here
- 13:50before causing price to reverse to the
- 13:52upside.
- 13:54All right, so this is a tip Well, rather
- 13:57this is more of like a warning that I
- 13:58want to give to you guys. When you guys
- 14:00are using this entry model, this is the
- 14:02situations that you will see sometimes.
- 14:04Sometimes there's just insufficient
- 14:06liquidity for price to move up just like
- 14:09this. As a result, you need to create
- 14:11more liquidity, grab more liquidity
- 14:14before the real move can actually
- 14:15happen.
- 14:16And if that's the case, what you want to
- 14:18do is to wait for price to create that
- 14:21market shift entry model again. Right,
- 14:23so in this case, when price comes down,
- 14:25pick out this low, this is our internal
- 14:27break of structure, and this is also
- 14:29where we can expect a liquidity sweep.
- 14:31So the minute price create a V-shape
- 14:32reaction just like this, taking out the
- 14:33last strong lower high, this is where
- 14:36you got a market shift, and same thing
- 14:37you just wait for price to pull back to
- 14:39this lower time frame demand zone, and
- 14:40then look for your entry and trade it to
- 14:43the upside.
- 14:47All right.
- 14:49So those are the entry models itself.
- 14:53One entry model is more centered around
- 14:55like the fair reaction, you know, like
- 14:57pretty much the shift in sentiment, the
- 14:58shift in order flow. The other entry
- 15:01model is more centered around like the
- 15:03shift in structure. Okay? So both of
- 15:07these entry models, they are designed to
- 15:09stop you from entering too early and to
- 15:11help you wait for the market to reveal
- 15:13more information before you commit.
- 15:15Because this is a lot of mistakes that a
- 15:16lot of traders tend to make. They see
- 15:18price
- 15:19touch the demand zone, they enter for a
- 15:20buy.
- 15:22They don't wait for liquidity sweep.
- 15:23They don't wait for structure shift.
- 15:25They don't wait for fair reaction. They
- 15:27don't wait for any confirmation. They
- 15:29just automatically assume that price is
- 15:30just going to magically go up just
- 15:32because they entered for the big
- 15:35not really big, but like they just
- 15:36because they entered for the buy
- 15:37position. They think that they are smart
- 15:39money. When in reality, no, that's not
- 15:41the case. All right. So, once again, I
- 15:44can't emphasize this enough, but the
- 15:45context matters so much more than the
- 15:48entry confirmation itself.
- 15:50A clean-looking entry model means
- 15:52nothing if it's forming in the wrong
- 15:54location,
- 15:56in the wrong part of the range, the
- 15:58premium and discount range, or against
- 16:00the higher time frame story.
- 16:02A good model in a bad context is still a
- 16:04bad trade.
- 16:05Okay. So, it doesn't matter whether you
- 16:07have 10,000 different confluences,
- 16:09right? You got all the stars in the
- 16:11world lighting up for you to enter for
- 16:12this trade. But if
- 16:14it's paired with the wrong context,
- 16:16located at the wrong location, taken at
- 16:18the within the wrong timing, it's going
- 16:21to fail. All right. So, context matters
- 16:23as much as the entry model itself.
- 16:26And bear in mind that these are just two
- 16:28of the many proven entry models that we
- 16:29actually teach inside my mentorship
- 16:31program, 1% Club. Right? So, if you're
- 16:33interested to find more find out more of
- 16:35these entry models, you know, get more
- 16:36weapons in the arsenal, you can check
- 16:38out my mentorship program, link in the
- 16:39description.
- 16:41With that being said, let's go on to the
- 16:42chart and just try to apply these entry
- 16:45models. Right? So, first of all, I'm
- 16:47going to show you what the entry model
- 16:48looks like on the chart just so that you
- 16:50can like get used to seeing it because
- 16:52it's not as simple as, you know, these
- 16:55perfect diagrams all the time, right?
- 16:57Sometimes it just doesn't look like
- 16:58this. Sometimes price can consolidate a
- 17:00little bit and then start shifting
- 17:02bullish. And if that's the case, if you
- 17:04don't understand what the pattern looks
- 17:07like on the chart, you are just going to
- 17:09get lost, confused, and you are just not
- 17:12going to be able to spot it.
- 17:17So, in this case itself,
- 17:19what do we have? We got price comes
- 17:20down, okay, clear as day, very bearish.
- 17:23How do we know it's bearish? Because
- 17:25price is creating your lower highs and
- 17:27lower lows, lower highs, lower lows.
- 17:30So, in this case, this is the swing high
- 17:32and this is the swing low.
- 17:33So, right now, our expectation is that
- 17:35if price were to remain bearish, what
- 17:37going to happen next is that price going
- 17:40to
- 17:40maybe come up to this
- 17:42supply zone, the last supply zone at
- 17:44this last lower high right here, react
- 17:46for me and just continue going down.
- 17:49But, in this example right here,
- 17:51what we had was that price was actually
- 17:54pulling back.
- 17:56Okay, you can see this right here, the
- 17:58minute this candlestick was formed over
- 17:59here.
- 18:00Clear as day.
- 18:01All right, let me just show you guys
- 18:02right here.
- 18:04All right, you can see the supply zone
- 18:05is doing its job. Price come up here to
- 18:07the 50% of this supply zone, some sell
- 18:09orders step into the market causing
- 18:10price to push to the downside.
- 18:13All right, so it is doing its job. But,
- 18:15whether it's going to finish its job is
- 18:16another thing.
- 18:17All right, let's just continue to see.
- 18:19Remember, if the sellers were to
- 18:22maintain control of price, what needs to
- 18:24happen is that price need to continue
- 18:25coming down here taking out this
- 18:27previous low,
- 18:28previous weak low, creating a new strong
- 18:31lower high right here. But, if that
- 18:32doesn't happen, then that's the first
- 18:34sign that tell us that the market is
- 18:36shifting bullish.
- 18:37It's just the first sign, it's not a
- 18:39it's not a definite sign. All right, so
- 18:41later price went up, slowly coming up
- 18:44just like this. You can see. And we have
- 18:45this, this is your failed reaction,
- 18:49which tell us that, you know what, maybe
- 18:50buyers has overpowered supply.
- 18:53But, we cannot confirm for sure yet. All
- 18:57right, so
- 18:58in this example, you cannot assume that,
- 19:01"Oh my god, price is going up. I'm just
- 19:02going to enter for a buy right here."
- 19:04Why not?
- 19:05Right? You got a failed reaction. Why
- 19:06not enter for a long position right
- 19:08here?
- 19:09Because you haven't gotten the
- 19:10confirmation that the structure is
- 19:11indeed shifting bullish.
- 19:13You haven't gotten a market shift.
- 19:16So, what can still potentially happen is
- 19:17that price can pull back to the supply
- 19:19zone, goes down, create a field
- 19:21reaction, maybe it's just coming up here
- 19:23to sweep the liquidity above this high,
- 19:26and then just continue crashing down.
- 19:28All right? Nothing is set in stone yet,
- 19:31since price is still within this range.
- 19:33It has not taken out this low, has not
- 19:35taken out this high, has not taken out
- 19:38the strong high, has not taken out the
- 19:39weak low. Nothing is set in stone yet.
- 19:42So, if price were to continue going
- 19:43down, take out this low, then we know
- 19:44that it's bearish. If price were to
- 19:46continue going up, take out this strong
- 19:48high, then we know it's bullish.
- 19:49All right? So, this part of the time you
- 19:51shouldn't be doing anything. You should
- 19:52just be staying calm, being very
- 19:54patient, and just waiting to see what
- 19:57happens next. All right? Just observe.
- 20:00The minute price come up there and it
- 20:01create a candlestick just like this
- 20:03where it close above the last lower
- 20:04high, this is where you pretty much got
- 20:06your confirmation that price is indeed
- 20:08shifting bullish. Because this is where
- 20:10we got a market shift.
- 20:12Okay? The structure has essentially
- 20:13shifted from bearish to bullish. Now we
- 20:16can expect a new high low to be formed
- 20:18somewhere around here and just continue
- 20:20going up. And that's what we are trying
- 20:21to capture. We are trying to capture
- 20:22this high low.
- 20:24So, the minute this happens, this is
- 20:26where you can draw two zones. All right?
- 20:28So, let me just
- 20:30go back in time a little bit. Right
- 20:31here, let me just erase those zones and
- 20:32do it with you guys.
- 20:33So, in this case,
- 20:35this is the market shift.
- 20:37And you always draw the zone from the
- 20:39extreme. All right? So, this is the
- 20:40extreme swing low, and then this is like
- 20:42the new swing high. So, this is where
- 20:44you can draw the extreme demand zone,
- 20:47which is entire range right here. If you
- 20:49are using the range method, if you are
- 20:50using the pivot method, you'll be this
- 20:53candlestick right here, this pivot
- 20:55reversal candlestick right here. This is
- 20:56your extreme demand zone.
- 20:58So, going back to the entry model, if we
- 21:00were to enter at the extreme demand
- 21:02zone, which entry model is it? Well,
- 21:04it's going to be the market shift entry
- 21:06model,
- 21:07which states that you need to be
- 21:08entering upon the mitigation of a lower
- 21:11time frame point of interest that
- 21:12created the market shift.
- 21:14All right, so that's the extreme demand
- 21:15zone.
- 21:17And then later on price
- 21:19went up,
- 21:20created a fair reaction right here and
- 21:21then continued going up. So, in this
- 21:23case, there is a fair reaction over
- 21:24here, so we can draw this entire range
- 21:27right here as our
- 21:29flip zone. Okay, so this is our flip
- 21:31zone.
- 21:32If you were to refine it to the pivot
- 21:33candle, you'll be somewhere around here.
- 21:36All right, so now we got your flip zone
- 21:39right here and then we also got your
- 21:41extreme zone right here.
- 21:43So, let's continue to observe what
- 21:44happens next.
- 21:46Price comes down, mitigates its flip
- 21:47zone. If you are using this particular
- 21:49entry model itself, this is where you
- 21:51look for longs and you will enter upon
- 21:52the mitigation of this flip zone itself.
- 21:54Boom, enter for a buy order right here
- 21:56the minute price reverse at this flip
- 21:57zone and then you will be able to
- 21:59capture this very nice move to the
- 22:01upside before price continue coming down
- 22:04to the extreme zone. Right, extreme zone
- 22:07mitigate extreme zone and then push to
- 22:09the upside.
- 22:11Now, here's a mechanical rule that I
- 22:13have in my system.
- 22:15If something like this occurs,
- 22:18I always enter on the extreme zone
- 22:20rather than the flip zone.
- 22:22Why? Because in this case, if a flip
- 22:25zone is being formed right here, chances
- 22:27are there's going to be available
- 22:28liquidity being built up below this fair
- 22:30reaction right here.
- 22:32So, ideally I want to see that get swept
- 22:36and also mitigate this extreme demand
- 22:37zone and then I make my entry from here.
- 22:40Okay, so this is just a mechanical rule
- 22:42that I have in my system.
- 22:43You can test it out, right? Usually what
- 22:46I've seen is that if there's a flip zone
- 22:48and an extreme zone just like this,
- 22:50price tends to come down to the extreme
- 22:52zone.
- 22:53Not always, depends on the market
- 22:55condition, depends on the amount of fuel
- 22:57the market gets at the flip zone, but
- 22:59yeah, this is just a simple mechanical
- 23:01rule that I have in my system. Right?
- 23:03So,
- 23:04that's that. Now, I just wanted to show
- 23:06you this example just to show you guys
- 23:08what the entry model looks like in the
- 23:11market itself. Right? This is what you
- 23:13should expect to see. As long as you
- 23:15follow the systematic framework, you
- 23:17should be fine. Right? The systematic
- 23:19framework is, you know what? You got to
- 23:21wait for the market shift to happen. You
- 23:23got to wait for the flip reaction. Then
- 23:24you get a flip entry model. Obviously,
- 23:26after the point of interest mitigation
- 23:28and also the liquidity sweep. And then
- 23:30for the market shift entry model is that
- 23:32you got to wait for the market shift,
- 23:33wait for price to pull back to a point
- 23:35of interest that created the market
- 23:36shift, then you look for your entry.
- 23:40All right. So, with that being said,
- 23:41let's look at some more examples.
- 23:44Before I do, let me just fuel with this
- 23:45green tea.
- 23:48If liquidity is the fuel for the market,
- 23:51green tea
- 23:52is the fuel for the soul.
- 23:54Oh my god, that's deep, man.
- 23:57Oh, oh my god, that's so good, man. Life
- 24:00is good, bro. Life is good, man. Life is
- 24:01good when you're enjoying this Korean
- 24:04green tea that tastes immaculate.
- 24:07Oh,
- 24:08>> [sighs]
- 24:08>> okay, cool. Now, let's take a look at
- 24:10this example right here next.
- 24:13So, now we are looking at NQ. All right?
- 24:16Once again, market mechanics concept is
- 24:18universal. It works across every single
- 24:20market, every single asset class. It
- 24:23works for futures, works for indices,
- 24:25stocks, commodities, crypto, whatever
- 24:28you are trading that has a chart, it
- 24:30works. All right? Anything and
- 24:32everything.
- 24:33So, let's take a look at this example
- 24:34here. All right? Let's, you know, go up
- 24:36to our medium time frame. All right? So,
- 24:38in this case, medium time frame, I'm
- 24:40going to be looking at it from the lens
- 24:41of like a day trader just like this. All
- 24:44right? So,
- 24:46this is how I'm going to be operating.
- 24:48I'm going to look at the chart
- 24:50of No, maybe should I day trade? Yeah,
- 24:53you know what? Let I just go day trade
- 24:54just to keep things simple. All right?
- 24:55So, higher time frame, medium time
- 24:57frame, I'm going to be seeing this.
- 24:58Lower time frame, I want to be seeing
- 24:59this.
- 25:00So, as a day trader, my higher time
- 25:02frame is the 4-hour, my medium time
- 25:04frame is the 15-minute, and my lower
- 25:05time frame is the 5-minute. So, to keep
- 25:07things simple,
- 25:09I'm going to be using the 15-minute time
- 25:12frame and the 5-minute time frame in
- 25:13this example. 15-minute as my medium
- 25:15time frame, 5-minute as my lower time
- 25:17frame.
- 25:17So, in this case, we have clearly
- 25:19established the fact that price is
- 25:20bullish. How do we know that? Price went
- 25:22up, pulls back, goes up, right? It's
- 25:24getting higher highs, higher lows. And
- 25:26clear as day, there's a lot of bullish
- 25:27imbalance, a lot of buying momentum, a
- 25:29lot of buying pressure.
- 25:31Right? So, in this case, we can mark
- 25:32this entire zone up as your demand zone,
- 25:34right? This entire pivot right here.
- 25:37So, you can also mark this as your swing
- 25:38low and your swing high.
- 25:41All right. So, now,
- 25:43we have done our analysis, we have done
- 25:44our research, we have done our
- 25:45preparation. What's the next step?
- 25:48The next step is that we develop our
- 25:50trade idea, which means that we want to
- 25:52look for longs. And ideally, we want to
- 25:54look for longs at this demand zone right
- 25:56here.
- 25:57Right? Once again, you can even go one
- 25:59step even further and map out the
- 26:00premium discount,
- 26:02but there's kind of no use in this case
- 26:04because like there is no demand zone
- 26:06within the premium pricing, right? So,
- 26:07it's very obvious that you need to wait
- 26:09for price to pull back to this demand
- 26:10right here.
- 26:11I think it's like the only demand here,
- 26:13anyways. Yeah, so this is like the only
- 26:14demand here. There's another very subtle
- 26:17demand right here, right? But because
- 26:19this is such a small little demand, I
- 26:20wouldn't even consider it.
- 26:23What I would instead do is that I'll
- 26:24mark up this
- 26:26as like a inducement, right? That's
- 26:29available liquidity sitting below this
- 26:31low right here.
- 26:32Right? So, the next step is to develop a
- 26:34trade idea, and we know that we should
- 26:35be looking for long positions
- 26:38at this demand zone right here.
- 26:41But right now, price is over here. So,
- 26:42do we do anything? No, we don't do
- 26:44anything, right? We just wait here, play
- 26:46with our fingers, you know, do what you
- 26:47need to do, just chill until price comes
- 26:50down to our zone.
- 26:52Boom, you can see the minute price
- 26:55touches the zone just like this, right?
- 26:57It touches it. Boom, this is your
- 26:59wake-up call. Jump down to your lower
- 27:01time frame to look for your entry
- 27:02confluence, to look for your entry
- 27:03confirmation. So, I jump down to the
- 27:055-minute time frame
- 27:07and this is where I'm looking for my
- 27:09confirmation.
- 27:10All right, so once again,
- 27:13what do we want to see? We want to see
- 27:14price mitigate the point of interest.
- 27:16Right? The minute price mitigate the
- 27:17point of interest, jump down to the
- 27:19lower time frame. That's the first step.
- 27:21The next step is that I want to see
- 27:22price sweep some form of liquidity that
- 27:25have been built on the left-hand side
- 27:26during the continuation phase. So, in
- 27:28this case, when price is going up, it
- 27:30pulls back, goes up, pulls back, and
- 27:32then goes up, it give us a lower high, I
- 27:34mean, a new higher low just like this,
- 27:36which means which means there's
- 27:37available liquidity being built up below
- 27:39those lows right here.
- 27:40So, ideally, I want to see that low get
- 27:42swept as well. Right? So, in this case,
- 27:44that's exactly what's happening right
- 27:45here. Price came down, sweeping the low
- 27:47below this sweeping the liquidity below
- 27:50this low right here. You can see it
- 27:51creates like a very long wick just like
- 27:53this, and then starts pushing up, right?
- 27:54We can potentially get a V-shape
- 27:55reaction anytime right now.
- 27:57And in this case, all right?
- 28:00This is where you'll really be able to
- 28:03see that the internal structure is
- 28:05bearish right now. Okay? So, internal
- 28:06structure bearish right here. So, for us
- 28:08to know that the trend is going to shift
- 28:10to bullish, we want to see price take
- 28:12out the last lower high. All right, so
- 28:15where's the last lower high? The last
- 28:17lower high is probably somewhere around
- 28:18here. Okay, this is the last lower high.
- 28:20We want to see price take that high up.
- 28:24Okay, so in this case, if I want to, you
- 28:27know, get even much more precise entry,
- 28:29this might be for the scalpers out
- 28:30there. I would jump down to the 1-minute
- 28:32time frame.
- 28:33And if I jump down to the 1-minute time
- 28:34frame, this is where things get a lot
- 28:36more clearer, right? You will see that
- 28:38this is actually the last break of
- 28:39structure. This is also the last break
- 28:41of structure, which means that this
- 28:44right here it's actually the last lower
- 28:46high. So, if price take out that last
- 28:47lower high, then this is where we got
- 28:49our market shift.
- 28:51Okay? This is where we got our market
- 28:53shift right here.
- 28:56All right? But, to keep things simple,
- 28:57we just going to stay at a 5-minute time
- 28:59frame for now just to show you the price
- 29:01action over here. The minute we got our
- 29:02market shift over here,
- 29:04this is where you want to go and
- 29:06identify the lower time frame demand
- 29:08zone that created this market shift. All
- 29:10right? So, in this case, price come all
- 29:11the way down here and then started going
- 29:13up creating a V-shape reaction after
- 29:15sweeping the liquidity that we have on
- 29:16the left-hand side right here. So, this
- 29:18right here becomes our extreme demand
- 29:20zone.
- 29:21All right? Which means that after this
- 29:23market shift, we don't want to enter for
- 29:25the position yet. We want to wait for
- 29:27price to pull back to our extreme demand
- 29:29zone right here.
- 29:30So, we wait. We wait. The minute price
- 29:32pull back to that extreme demand zone,
- 29:33you can execute either a manual buy
- 29:35order, or you can place like a limit or
- 29:38stop order at this price point right
- 29:39here. And then once price step into that
- 29:41area, you get tapped into the trade by
- 29:43your broker.
- 29:45Okay? So, in terms of the stop loss, my
- 29:48idea is always place a stop loss at a
- 29:50price point which invalidate the trade
- 29:52ideal. All right? So, in this case, you
- 29:54can either place it below this lower
- 29:55time frame demand zone if you're
- 29:56conservative, or if you're aggressive,
- 29:58you might want to even place it below
- 30:01this candlestick that you actually enter
- 30:03the trade from.
- 30:05Once again, up to you. I will advise you
- 30:06to test this out. And then for take
- 30:08profit, to keep it simple and mechanical
- 30:10in this lesson, we're just going to set
- 30:11it at 2R.
- 30:13All right? So, sure sure enough, here
- 30:15our fast price just go up there and
- 30:16smash our TP. All right? As simple as
- 30:18that.
- 30:19All right? So,
- 30:21now, that's pretty much how you use the
- 30:23this entry model itself, which is the
- 30:25market shift entry model. It's quite
- 30:26straightforward. You're just waiting for
- 30:28a liquidity sweep, market shift, wait
- 30:30for price to pull back to this demand
- 30:32zone right here.
- 30:33Now, let's talk about the other entry
- 30:35model, which is the flip entry model.
- 30:36Because if you jump down to the lower
- 30:38time frame, you will see that there was
- 30:39actually a flip entry model. All right?
- 30:41This is very interesting.
- 30:43All right, so when I jump down to the
- 30:44time frame, now I see a few different
- 30:46things. I see that when price was
- 30:48creating this V-shape reaction right
- 30:50here and creating this market shift,
- 30:52there was actually a failed reaction
- 30:55right here.
- 30:58All right, so in this case,
- 31:00once again, what happened over over here
- 31:01is that price went up, pulls back
- 31:03mitigating this supply over here.
- 31:08All right, mitigating this supply over
- 31:10here, and we have we got a failed
- 31:13reaction before price goes up, which
- 31:15means that this entire range right here
- 31:17becomes our flip zone.
- 31:19All right, if you want to even more
- 31:20precise, you can map out this
- 31:23pivot candle right here, and this is our
- 31:24flip zone.
- 31:25So, when price have
- 31:28mitigated this 15-minute demand zone
- 31:31right here, you jump down to the lower
- 31:33time frame, either the 5-minute or the
- 31:341-minute, and then this is where you
- 31:36search for entry model. And I do like I
- 31:38said, I want to see this liquidity get
- 31:39swept. This liquidity gets swept right
- 31:41here, we create a V-shape reaction, this
- 31:43tells us that there's institutional
- 31:45buying intent, right? Price is indeed
- 31:46shifting bullish, and it's further
- 31:48backed up by this market shift right
- 31:50here, which tells us that buyers has
- 31:52indeed took back control of price. So,
- 31:55yeah, in this case, like let's just go
- 31:56back a little bit over here, price come
- 31:59out there creating this market shift
- 32:01over here.
- 32:02So, this tells us that the structure is
- 32:04indeed shifting from bearish to bullish.
- 32:07And now, we pretty much got all our
- 32:10criteria, right? We got the liquidity
- 32:12sweep, we got price mitigating this
- 32:13point of interest, we got the failed
- 32:15reaction being formed, we got this flip
- 32:16zone being formed right here, we got our
- 32:18market shift, and now we just do nothing
- 32:20until price pull back to this flip zone
- 32:23itself.
- 32:24As simple as that. All right, so you do
- 32:26nothing, do nothing, all right?
- 32:28Maybe you want to place like a limit or
- 32:30stop order right here, instead of
- 32:31entering manually, you place it at the
- 32:32edge of the zone,
- 32:34and then you just do nothing until price
- 32:36comes down here and tap you into the
- 32:39trade. Right, so at this point of time
- 32:40you are tapping into the trade and let's
- 32:42observe what happens next. Okay, so once
- 32:44again you can
- 32:45either place your stop loss below the
- 32:47zone itself, right? Below the flip zone
- 32:49just like this or below the candlestick
- 32:50in which you enter the trade from.
- 32:53Right, and then just set a TP at 2R and
- 32:55you can see you will smash it just
- 32:58very fast just like this. Okay, and then
- 33:00price just continue
- 33:02bullish and just continue going up and
- 33:03just absolutely skyrocket.
- 33:05So, that is an example of
- 33:09the flip entry model and also the market
- 33:11shift entry model applied on Nasdaq.
- 33:14Right? I hope you guys have gotten like
- 33:16kind of used to like just identifying
- 33:18these patterns. If not, don't worry. Now
- 33:21let's take a look at a bearish example.
- 33:22Right, we have looked at a bunch of
- 33:24bullish examples. Now let's try to take
- 33:26a look at a bearish example.
- 33:29Okay, so in this case itself, right?
- 33:32This is price on the 15-minute time
- 33:35frame over here.
- 33:38I think this is price in a
- 33:38consolidation. So, this is going to be
- 33:40an interesting one.
- 33:41Right, so let's just go back in time a
- 33:43little bit right here.
- 33:46Okay, so right now
- 33:50this is the consolidation, but if you
- 33:51zoom in at the most recent price action
- 33:53you will see that we are actually
- 33:54bullish right here. Price goes up, pulls
- 33:56back, goes up. We are actually bullish.
- 33:58So, once again swing highs uh swing low
- 34:00right here.
- 34:01All right, so right now our expectation
- 34:03is that price is going to remain
- 34:04bullish. So, if price comes down,
- 34:06mitigates this demand zone right here,
- 34:08you know, this is where
- 34:10perhaps price is going to shift bullish,
- 34:12right? So, we want to look for longs
- 34:13right here.
- 34:15But in this case, price goes up all the
- 34:17way up here
- 34:18creating your failed reaction, right?
- 34:20Which pretty much does that, you know
- 34:22what? Maybe price is not shifting
- 34:23bullish yet.
- 34:24But we cannot confirm until price take
- 34:26out this low, right? So, later on price
- 34:27comes down, take out this low right
- 34:28here, giving us a market shift.
- 34:31Okay, so when you get a market shift,
- 34:33just like this, which confirmed to you
- 34:35that the market has officially shifted
- 34:36bearish, this is where we know for a
- 34:38fact that
- 34:40swing high,
- 34:41swing low. Right now, where can we
- 34:44expect price to pull back to?
- 34:45Well, in this case, you always draw from
- 34:48the extreme, right? This is the extreme
- 34:50supply zone right here. And is this just
- 34:52an ordinary supply zone? No, it's not
- 34:54because price went up there, pulls back,
- 34:56creating a swing high, generating
- 34:58available liquidity above those highs.
- 35:00Then price went up there, swept that
- 35:01high, and then started coming down right
- 35:03here. So, this right here is actually a
- 35:06liquidity sweep, right? So, this is a
- 35:08supply zone that swept liquidity itself.
- 35:11And then later on price
- 35:13comes down, pulls back, goes down,
- 35:15right? You can even map this up as an
- 35:17additional supply zone right here.
- 35:19And then price comes down, reacting from
- 35:21this demand zone, failed to do its job,
- 35:22creating a fake reaction before going
- 35:24down, which means that this right here
- 35:27is our flip zone.
- 35:29Okay? This right here is our flip zone.
- 35:33Right, so let's just observe what price
- 35:34does next, right? Price comes up,
- 35:36mitigate the flip zone, and then go.
- 35:38Okay, so once again, this is just a
- 35:40variation of what the flip zone entry
- 35:42model looks like in a bearish scenario.
- 35:45But I want you guys to pay attention to
- 35:47what happened right here.
- 35:49Okay, so over here, when price mitigate
- 35:51this flip zone,
- 35:53if you go down to the lower time frame,
- 35:54this is where you should be able to see
- 35:56some form of entry model itself. All
- 35:58right?
- 36:00The 5-minute, the 1-minute, let's just
- 36:01see what happens.
- 36:03Price comes down and then just start
- 36:05crashing down like crazy.
- 36:08Okay.
- 36:10So, I'm going to show you this on the
- 36:125-minute time frame, right? So, let's
- 36:13say once again, we're approaching this
- 36:15from the lens of a day trader, which
- 36:17means that the 15-minute time frame is
- 36:18our medium time frame, and the 5-minute
- 36:22or the 1-minute is our lower time frame.
- 36:24So, over here, 15-minute time frame has
- 36:26confirmed to us that price has shifted
- 36:27bearish. So, we should only be looking
- 36:29for shorts. And where are we looking for
- 36:30shorts? We are looking for shorts either
- 36:32at this flip zone or this supply zone
- 36:34right here. As simple as that. So, once
- 36:37price step into this point of interest
- 36:38or this one right here or this one right
- 36:39here, then I would jump down to the
- 36:41lower time frame, which is the 5-minute
- 36:43time frame to look for my entry model.
- 36:45So, if price is still right here, I'm
- 36:47not doing anything. I'm not doing
- 36:48anything. I'm not doing anything. Boom.
- 36:50Touches this zone, go down to the lower
- 36:51time frame, the 5-minute time frame. And
- 36:53this is where I'm searching for the
- 36:55entry model itself. And if you look at
- 36:57this flip zone, it's not just an
- 36:58ordinary flip zone. It's a flip zone
- 37:00that sub liquidity. Because price went
- 37:01up, pulls back, goes up, sub liquidity,
- 37:04and then goes down. So, pay attention to
- 37:07the tiny little details, right? The tiny
- 37:08little details add up in the grand
- 37:10scheme of things.
- 37:11So, in this case, price pull back to
- 37:13this flip zone that sub liquidity.
- 37:15Mitigates it, touches it. Cool. Now, I'm
- 37:17interested. Now, I'm seeing where is the
- 37:20market shift going to happen.
- 37:21Right? Price goes up, pulls back, goes
- 37:24up. Right? This is the last high low,
- 37:25which means that the market shift will
- 37:26only happen if price take out this low
- 37:28here.
- 37:30Now, observe what happens next. Price
- 37:32continue coming down, creating this
- 37:33market shift. And right now, the minute
- 37:35price create this market shift, our
- 37:37expectation is that price is potentially
- 37:39going to pull back to this supply zone
- 37:41that created this market shift.
- 37:44And then this is where we can use our
- 37:45market shift entry model, right? Where
- 37:47we look for shorts, the minute price
- 37:48mitigate this zone, and then we short it
- 37:50all the way down here.
- 37:51But observe what happens next.
- 37:53Price comes all the way down here. There
- 37:55was no pull back whatsoever.
- 37:57So, in this case, what do you do?
- 38:00Well, you don't do anything.
- 38:02All right, so
- 38:03this is where
- 38:06if you want to be very strict, very
- 38:07mechanical with your trading system,
- 38:10you have to be okay with letting these
- 38:12trades go sometime.
- 38:14Because sometimes there's just so much
- 38:16liquidity in the market at a specific
- 38:18price point, at a specific location that
- 38:20it does not create that pull back to
- 38:21grab more liquidity.
- 38:23Right? Because if it needs more
- 38:24liquidity, then obviously after the
- 38:25market shift, it's going to pull back to
- 38:26this supply zone, fill up the remaining
- 38:28sell orders, and then continue dumping.
- 38:30But there was already enough liquidity
- 38:32right here. Right? That's why price
- 38:34actually came down.
- 38:36So this is
- 38:37something that we actually teach our
- 38:38students inside the 1% Club, which is
- 38:41aggressive version of the entry model
- 38:42itself. This is a little bit more
- 38:43advanced.
- 38:45Right? Because you need to make sure
- 38:46that you're not using this entry model
- 38:48in every market condition. You're only
- 38:50using it in high probability scenarios
- 38:52where you enter for a sell position the
- 38:54minute you price actually mitigate this
- 38:55point of interest.
- 38:57But yeah, I'm not going to delve too
- 38:58deep into that. Right? Not going to
- 39:00confuse you. For now, to be strict and
- 39:02mechanical with your trading system,
- 39:05remember, you want to see a price pull
- 39:07back to your point of interest, then you
- 39:08look for entry. All right?
- 39:10So let's jump down to the 1-minute time
- 39:12frame to see what happened right here.
- 39:13To see whether we can actually have any
- 39:15entry over here.
- 39:17Okay. So this is where it gets a little
- 39:20bit nuanced, right? A little bit
- 39:21advanced, like I said.
- 39:23If you guys are watching this right now,
- 39:24chances are you might be interested in
- 39:26this advanced sort of concepts. So I'm
- 39:28going to show you like how to really get
- 39:30like those precise entries. So in this
- 39:33case over here, we actually did get a
- 39:35market shift, but it was at a very
- 39:37subtle level. It was at a fractal level.
- 39:40If you jump down to the 1-minute time
- 39:41frame, then you can see the market
- 39:43shift.
- 39:44So in this case, price goes up,
- 39:46pulls back creating this bearish candle,
- 39:48and then goes up. Right? So this right
- 39:49here is the last fractal high. Right?
- 39:52The last fractal low. So if price take
- 39:54out this last fractal low,
- 39:56then this is where we got our fractal
- 39:58market shift. Once again, I don't I
- 40:00don't believe I'm teaching this concept
- 40:01inside this series because this is just
- 40:03an advanced concept that we teach inside
- 40:05the 1% Club, the mentorship program.
- 40:08But yeah, this is the fractal market
- 40:10shift, which means that this is our
- 40:12extreme supply zone that led to the
- 40:14fractal market shift, and then this is
- 40:16our flip zone, that led to the fractal
- 40:18market shift itself.
- 40:20And again, see what happens that after
- 40:22the market shift, price pulled back to
- 40:23this flip zone, there was not enough
- 40:25liquidity, right? As a result, price
- 40:27came down, you can see it just did not
- 40:29continue going down even further. As a
- 40:31result, it pulled back all the way up
- 40:32here to this extreme supply zone, and
- 40:33then go down. And notice what happened
- 40:36before it went down. It swept some
- 40:38liquidity from the fair reaction right
- 40:40here, right? So, this is the fair
- 40:41reaction, this is the flip zone. It
- 40:43swept the liquidity from the flip zone
- 40:45itself, and then continue going down.
- 40:47This is why I have a mechanical rule
- 40:49that says that if I have a extreme zone
- 40:50and a flip zone at the same area, I do
- 40:53the I only want to enter for a short
- 40:54position at the extreme zone itself.
- 40:57Right? So, this is where you enter for
- 40:58the trade. The minute price mitigate the
- 41:00sweep zone, the extreme zone, extreme
- 41:02supply zone, swept the liquidity from
- 41:04the fair reaction, place the stop loss
- 41:06above this zone itself, or even above
- 41:09the candlestick. You can see this is
- 41:10where things get really like precise,
- 41:13right? If you place it above the
- 41:15candlestick, you are getting like two
- 41:16pip stop loss. Place it above the zone,
- 41:18this is like four pip stop loss, right?
- 41:19This is how people get straight to those
- 41:21sniper-like entries itself.
- 41:23This is how my students managed to get
- 41:24funded over and over again, and just get
- 41:26so much payouts, you know, make anywhere
- 41:28from 5K to 10K to 20K to 30K to 50K a
- 41:31month using these sniper-like entries
- 41:33right here. They place the stop loss
- 41:35above this zone itself, and the target
- 41:39they can target the moon, right? They
- 41:40can target all the way down here. And
- 41:42you will see the trade still play out
- 41:43perfectly, right? It pretty much play
- 41:45out just just going out very smoothly,
- 41:47all because they know how to trade with
- 41:48sniper-like position.
- 41:51So, this is the concept which is called
- 41:52sniper entries, which is a lot more
- 41:54advanced. I don't recommend you guys to
- 41:56actually learn this if you're still in
- 41:57the first year of trading. If you're not
- 41:59even profitable at trading, you're much
- 42:01better off sticking to like whatever
- 42:03I've been teaching you for like the past
- 42:0515 minutes or so, right? Like I said,
- 42:07this is the advanced version of the
- 42:09entry model itself. We teach this inside
- 42:12the mentorship program. So, for now,
- 42:14just stick to like the basic stuff,
- 42:16right? If you want to learn the advanced
- 42:17stuff, you want to learn about all of
- 42:19the nuances in which you can apply these
- 42:21entry models, all the tips and tricks,
- 42:23and the hacks, then yeah, the mentorship
- 42:25program, that's the right place for you.
- 42:27By the ways, in this case, you can see
- 42:29what happens is that price came down,
- 42:31giving me us an internal break of
- 42:32structure, which further validates this
- 42:36market shift right here, which tells us
- 42:37that price is indeed bearish. And after
- 42:39this my after this internal break of
- 42:41structure, where did the price pull back
- 42:43to? Price pull back to this level
- 42:46supply zone right here, that swept
- 42:48liquidity. Okay, so this was the new
- 42:50supply zone that swept liquidity itself.
- 42:53Price mitigated that, and then continued
- 42:55collapsing. So, this is where advanced
- 42:57students will try to scale in for
- 42:59another position right here, and capture
- 43:01the next move to the downside. So, now,
- 43:03they not only have one trade running to
- 43:05TP, right?
- 43:08But they have two positions running to
- 43:10TP, right? So, now, the first trade, you
- 43:12know, they had like a 1:8 risk to reward
- 43:14somewhere around here, right? 1:8 risk
- 43:16to reward. The second trade, they have
- 43:171:10 risk to reward. Now, they are able
- 43:20to capture a total of 18 R on the trade.
- 43:23What this essentially means is that if
- 43:24you're risking 1% of your account, you
- 43:26have a chance to actually make 80% of
- 43:29your account, 18% of your account,
- 43:31right? So, if you're risking $1,000 a
- 43:32trade, guess what? If you win these two
- 43:35trades, you have made $18,000.
- 43:38If you're risking 10K on the trade
- 43:40itself,
- 43:42and in this trade, if you won both of
- 43:43these trades, you have made about 180K.
- 43:47Right, 10K, yeah, 180K. So, that's the
- 43:50power of sniper entries, and this is how
- 43:52we're able to capture these insane
- 43:54entries, 1:5 R, 1:8 R, 1:9 R.
- 43:58So, yeah, like I said, this is a little
- 44:00bit more advanced. I wouldn't recommend
- 44:01you guys to even like synthesize this,
- 44:03but, you know, I just wanted to share
- 44:05that with you, just to give you like
- 44:06more options as well for my fellow
- 44:09traders who want to take things to the
- 44:11next level. But like I said, these sort
- 44:13of advanced entry models, they don't
- 44:15work all the time. You have to make sure
- 44:17that you are using it in the right
- 44:18market conditions at the right location.
- 44:21Okay, like this sort of advanced
- 44:23aggressive version of the entry model,
- 44:25we teach our students to use it in very
- 44:27specific market condition. You cannot
- 44:29just be using this in every market
- 44:31condition, right? You have to use it in
- 44:32very specific market condition at a high
- 44:35probably these zone. You have to take
- 44:36into account the timing, you know, the
- 44:38location and all the other variables
- 44:39before you actually enter for the trade.
- 44:42But yeah, I don't want to confuse you
- 44:43for now.
- 44:44Just understand that these are the entry
- 44:47models right here.
- 44:49Your goal is to make sure that you look
- 44:51out for these entry models the minute
- 44:52price mitigate a medium-term point of
- 44:54interest, right? Your goal is not to
- 44:57predict first. Your goal is to react
- 45:00correctly once the model is clear. Once
- 45:03you see the entry model in the charts,
- 45:04then you react accordingly and you enter
- 45:06for the long or the short position. I'll
- 45:08say I'll just end up by saying that
- 45:11a good entry model is not just about
- 45:13forcing trades, it's about waiting for
- 45:15the market to tell a clear story, then
- 45:18executing with precision.
- 45:20Waiting for the market to give you the
- 45:22signal, then you enter for the trade
- 45:24itself.
- 45:26Patience really pays off, right? If you
- 45:28have the patience
- 45:29to just wait for these entry models to
- 45:31appear in the market at the desired
- 45:33point of interest at a medium-term point
- 45:35of interest, trust me, you will save
- 45:38yourself a lot of unnecessary losses and
- 45:41you will be able to make a lot of money.
- 45:43All right? So, with that being said, I
- 45:44hope you guys have enjoyed this lengthy
- 45:45lesson and as always, remember, you're
- 45:48just one trade away.
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