The GxT "Universal Sequence" - Structured Approach — Transcript
Full transcript
- 0:00Yo, what's up, everybody?
- 0:02Welcome back to a another YouTube video.
- 0:06Um it's been a long time, of course,
- 0:08like 2 months or so. So, I do apologize
- 0:10for that, but I think this will make up
- 0:12for it.
- 0:13Um probably going to be one of the
- 0:15better videos that I put out for you
- 0:18guys, and I think it's going to be a
- 0:19real game changer for you guys.
- 0:21Um it's something that I
- 0:23really wish I had when I was first
- 0:25learning how to trade. You know, so much
- 0:27noise out there, so many people learn
- 0:29from, so many concepts,
- 0:32um no structure, but that's what I'm
- 0:35trying to be for you guys, you know?
- 0:37I'm trying to be the guy that just
- 0:38provides everything you need to know.
- 0:40Um no BS, right? Um all for free. I
- 0:44don't want you guys to go You guys don't
- 0:46have to go pay for education, right? You
- 0:48don't have to join
- 0:50You don't have to pay me anything,
- 0:51right? I don't need your money. Okay?
- 0:54Um
- 0:56Yeah. I'm trying to, you know, provide
- 0:59everyone a quality education because I
- 1:01think that's what people deserve. Um
- 1:05And yeah, I I I've I've been screwed
- 1:06over many times, man. I've been on
- 1:08profit for like 3 and 1/2 years before I
- 1:10even made a dollar.
- 1:12And I've been through all the
- 1:13mentorships,
- 1:15all this and that. Um
- 1:17So, I'm trying to provide
- 1:20clarity education for you guys.
- 1:22Um so, you guys don't have to do that go
- 1:23through that, right?
- 1:25Um So, let's go ahead and begin and
- 1:27let's start this lecture.
- 1:29Um So, what this is going to lecture is
- 1:31going to be about is about essentially
- 1:33continuation.
- 1:35So,
- 1:36I just call it um DGXT universal
- 1:39sequence. It's essentially using gaps
- 1:41for continuation. Um we're going to go
- 1:45over, you know, gap selection and really
- 1:48just from the top down. Um it's a
- 1:50complete approach, like it's a
- 1:51mechanical approach, and that's what you
- 1:53need. You need simple framework to go
- 1:56over, right? Or um to follow. And that's
- 2:00what is the hardest part, right? It's
- 2:03It's how to put it all together. It's
- 2:04how to build a framework and then, you
- 2:06know, how to build off of that, etc. And
- 2:09follow each step, so like that's what
- 2:11this video is about, and that's what
- 2:13it's going to provide.
- 2:14And um
- 2:15yeah, that's what my whole model is
- 2:17about. I try to make it very simple and
- 2:19um mechanical as possible and logical.
- 2:21And uh yeah, so let's go ahead and get
- 2:23to it here. So,
- 2:25it's going to be a long video, by the
- 2:26way.
- 2:27Um I have a lot of slides here and uh
- 2:30quite a bit of examples, like it
- 2:31literally might be over
- 2:33an hour long.
- 2:35But like I said, I don't try to BS my
- 2:37videos, no edits. I try to put as much
- 2:40information as possible. I want you
- 2:41leaving this video
- 2:43um
- 2:44you know, with no questions, you know?
- 2:46No
- 2:48no feeling of like what am I missing.
- 2:50No, you won't be missing anything. I'm
- 2:51not leaving anything out here, really.
- 2:53So,
- 2:54that's why it's so long. Uh I want to
- 2:56provide as much examples to drill into
- 2:57your head as possible, so
- 2:59that's what we're going to do here. So,
- 3:01strap in. It's 2:00 a.m. in the morning
- 3:02for me, by the way.
- 3:04So, I'm cooked, but it's all good.
- 3:07So, let's start now.
- 3:09So, universal models, what is a
- 3:11universal model? So, this is what was
- 3:13taught by the MM Trader. Uh it's
- 3:15essentially a framework, right? And we
- 3:16always need a framework. A framework is
- 3:18essentially price going from point A to
- 3:20point B. That's all it is, right? It's a
- 3:22key level to a draw liquidity. So, our
- 3:24first
- 3:25framework or universal model,
- 3:27uh the word universal meaning that we
- 3:30can apply it to any time frame. It's
- 3:32fractal, right? Just like anything um
- 3:35in trading, it's all fractal, right? So,
- 3:38here is where we trade into a key level,
- 3:42right? And this is where we can actually
- 3:43anticipate a reversal. You can't
- 3:44anticipate a reversal until you hit a
- 3:46key level, right? So, once you hit a key
- 3:48level, we look to the opposing side of
- 3:50the range that caused the retracement,
- 3:51which is the external range high, as our
- 3:53target, right?
- 3:55So, as you see, price trades into the
- 3:57the uh fair value gap or internal range
- 3:59liquidity. Those are the same thing.
- 4:00You're going to see me interchange those
- 4:02words. Um
- 4:06it's just how It's just how the the
- 4:07verbiage is. Um oops.
- 4:10But yeah. So, price goes into
- 4:13um liquidity and trades to external
- 4:14liquidity as our targets. So, the next
- 4:17universal model or framework,
- 4:20again, those are the same thing, too,
- 4:21is when price trades into ERL,
- 4:24this is where price is going to reverse
- 4:26and trade back into IRL, which is
- 4:29essentially back into the range, right?
- 4:31Um
- 4:32and that's what we're going to be
- 4:33targeting, right?
- 4:35Very simple. We're going to try to fly
- 4:36through a lot of the simple stuff. We're
- 4:38going to start from very simple um
- 4:40framework stuff, and we're going to show
- 4:42you guys how to piece it together
- 4:44and really go how to go from basically
- 4:46point A to point B in mechanical
- 4:49process, okay?
- 4:50>> [snorts]
- 4:51>> Um so,
- 4:53how to trade a manipulation range. It's
- 4:55essentially where price trades into a
- 4:57range low, right? Or a swing low,
- 5:00manipulates it, and we expand into the
- 5:02opposing side as our target, as you see,
- 5:05right? Price trades into the range low,
- 5:07reverses, we target the range high.
- 5:09Really simple stuff.
- 5:11Um nothing too crazy. Now, this is also
- 5:12really simple, but we're still going to
- 5:13go over it. So, what is a C2 closure?
- 5:16When do we apply it? So, we apply swing
- 5:18formations to key levels, so basically
- 5:20our framework, um so, highs and lows and
- 5:23gaps,
- 5:24um
- 5:26to confirm reversals, right? So, the
- 5:28market cannot reverse without swing
- 5:29point. So, therefore, we confirm
- 5:32reversals with swing points.
- 5:34And catch the expansion, right? So,
- 5:36after a swing point forms, expansion
- 5:38follows, expansion away from the key
- 5:40level towards our target, right? So,
- 5:42that's the framework. So,
- 5:44the first type of swing point, there's
- 5:46three types that I use.
- 5:49Shout out to T Trades.
- 5:50Um he's the one that really popular
- 5:52popularized this
- 5:53um here.
- 5:55So,
- 5:56candle two closure is simply where price
- 5:59fails to close within candle one's
- 6:01range. This hints at a reversal.
- 6:04What happens after reversal? We expand,
- 6:05right? So, once price expands away from
- 6:08C2 low,
- 6:09if we get a strong close above C2
- 6:11candle's high, right? Body closure above
- 6:14that C2 high,
- 6:15then we can anticipate a continuation in
- 6:18candle four.
- 6:21So, what is a C3 closure? It's where you
- 6:23don't have a C2 closure, right? Maybe
- 6:25you hit a key level, but we don't have a
- 6:27C2 closure, so you don't know if price
- 6:28is going to reverse until you get a C3
- 6:30closure. So, you're going to wait for
- 6:32price to actually form that three candle
- 6:34swing formation, and the mechanical
- 6:36process is for validating this candle
- 6:39three is when it closes over candle
- 6:41two's opening price, okay?
- 6:44Um so, you want to be trading candle
- 6:45three here or candle two because um
- 6:48these are not valid swing formations.
- 6:51You're going to trade candle four
- 6:53when you get a valid candle three
- 6:54formation or closure.
- 6:57So, C2 reversal's expansion, this is the
- 6:59third sequence,
- 7:01um not sequence, but swing formation.
- 7:04This is the same thing as this here,
- 7:07where candle two hits a key level,
- 7:11but it's the wick size. It's a
- 7:13difference in wick size, right? If this
- 7:15candle has a small wick, it can reverse
- 7:17into expansion, and we can trade this
- 7:20reversal candle. And we do it um every
- 7:22day, really. Um if you're trading
- 7:23reversal profile for DGXT, that's what
- 7:25you're trading.
- 7:26Um
- 7:28and yeah, it has to hit a key level,
- 7:29obviously though, because we can't
- 7:31anticipate a swing formation or reversal
- 7:33if you don't hit a key level, right?
- 7:36So, we're going to then, once you have
- 7:38the closure,
- 7:40we're going to mark out our first level
- 7:43of invalidation. Okay? So, we always
- 7:45going to have an invalidation to a trade
- 7:47idea. Okay? So, step one is a
- 7:51universal model, right? Once price
- 7:53trades into that key level,
- 7:56then we confirm it with a swing
- 7:57formation. The next step is to then set
- 8:01an invalidation to that trade idea,
- 8:03right? So, what that would be
- 8:05equilibrium of a the previous candle,
- 8:08basically. So, if the previous candle is
- 8:11a reversal candle with a large wick,
- 8:13you're going to mark out the whole wick.
- 8:15Okay? And for an expansion candle, what
- 8:17do we
- 8:19What What things do we have in common
- 8:20with an expansion candle? What are
- 8:21expansion signatures, right? Shallow
- 8:24retracements, right? Which exactly what
- 8:27expansion candles form,
- 8:29which is a small wick, basically. It's
- 8:30just a lower time frame shallow
- 8:32retracement, okay? So, small wick is an
- 8:34expansion signature. If you look at all
- 8:37expansion candles in the market, they
- 8:38all have these small wicks, so that's
- 8:41what we're going to demand, and that's
- 8:43going to be a filter for price for us to
- 8:45engage with, right?
- 8:47So,
- 8:48this is where you would expect
- 8:50candle three's wick to form in the upper
- 8:53half of the previous candle's range,
- 8:55basically, right? So, if price hits
- 8:57equilibrium here, that would be an
- 8:59invalidation because if we hit
- 9:01equilibrium here, that would form a
- 9:02large wick
- 9:04for this candle three, which would be an
- 9:05invalidation. We don't want to trade a
- 9:07large
- 9:08uh wick candle, right? We want to trade
- 9:10expansion. I keep saying it, right? Uh
- 9:13that's like a habit of mine. I don't
- 9:14know why I do it.
- 9:15Sorry about that. I see the comments
- 9:17about that. I'm like, "Dude, that is so
- 9:18bad." Anyways,
- 9:20so once we have a strong previous
- 9:23closure as an expansion candle, we mark
- 9:25out the whole range, right? We don't
- 9:27mark out the wick, obviously. Mark out
- 9:28the whole range, and we want to see the
- 9:31upper half of that previous candle's
- 9:32range um basically
- 9:36form the low of uh candle four, okay?
- 9:40So, now when you put it all together,
- 9:42this is essentially what we have, where
- 9:43we must hit a key level, then we just
- 9:45confirm it with a swing formation,
- 9:47right? One of the three, it doesn't
- 9:49matter. So, here you can see that we hit
- 9:51the key level, but candle two does not
- 9:53close the candle two um
- 9:56you know, formation as we don't close
- 9:57back within candle one's range. So, what
- 9:59do you have to wait for? A candle three
- 10:01closure. Okay? If you don't get a candle
- 10:03three closure, then the whole you don't
- 10:05trade at all. Um, you need a new swing
- 10:07formation. So, you'd have to like sweep
- 10:08out this low. Right? So, like if price
- 10:10doesn't form this closure here, um, it's
- 10:14going to form this low, which is a key
- 10:15level. So, you have to wait for that to
- 10:16get swept and wait for a new swing
- 10:18formation, by the way. So, just want to
- 10:20put that out there.
- 10:21But, yeah. Once you have a valid candle
- 10:22three closure, now we can trade candle
- 10:24four. So, what do we do? Mark out
- 10:26equilibrium of candle three's range. And
- 10:28again, we want to see the upper half
- 10:30being respected as that is our
- 10:32invalidation point.
- 10:34That would be internal to external.
- 10:36Let's get into external to internal with
- 10:37a candle two closure confirming this
- 10:40reversal. So, as you see, we closed back
- 10:42inside of candle one's range. So, then
- 10:45we can anticipate candle three to
- 10:46expand. Where should it form its high?
- 10:48Within the lower half of the previous
- 10:51candle's wick range. What about over
- 10:53here? Where candle one hits the key
- 10:55level. If it doesn't reverse, then we
- 10:57would anticipate the next candle to
- 10:59reverse off the previous candle's low
- 11:01because obviously this candle didn't
- 11:02reverse. We must create a reversal
- 11:04candle to reverse price.
- 11:06Um, as long as it has that small wick,
- 11:08we can trade it. Okay? That reversal
- 11:10into expansion candle. Now, if you're
- 11:12going to trade continuation, you want to
- 11:13have a strong close here, ideally.
- 11:17Um,
- 11:19yeah, you measure out the whole. If it's
- 11:20if actually close an expansion candle
- 11:21like this, you mark out the whole
- 11:23candle, right?
- 11:24Um, and you want to see, obviously
- 11:27again, we're repeating the same things,
- 11:29but um, it's important. We want to see
- 11:31C3's wick or low being supported by the
- 11:35upper half of the previous candle's
- 11:37range and expand into our external range
- 11:41high.
- 11:42So, now we're going to get into key
- 11:44level refinement. So, this is basically
- 11:47going for our first invalidation,
- 11:50which is the upper half of the previous
- 11:52candle's range in a bullish scenario
- 11:53like this. Now, we're going to look for
- 11:55a refined key level because this is
- 11:57quite a large range to be an
- 11:59invalidation level, obviously. So, we're
- 12:01going to look for a key level within
- 12:03this range because obviously, you know,
- 12:05we know it should form somewhere in this
- 12:07upper range. So, we're going to look for
- 12:08a key level within that, you know,
- 12:10percentity of the daily open.
- 12:13Um,
- 12:14because it has to have, you know, it has
- 12:17to basically be that fair value gap
- 12:18because if it is if it's a fair value
- 12:20gap down here, it's irrelevant because
- 12:23if price comes all the way down here,
- 12:24what are we creating? Respect
- 12:26disrespecting EQ first off and we're
- 12:28creating that large wick. Okay? So, this
- 12:30is this is kind of a way we can pick
- 12:32fair value gaps. Okay? We want close
- 12:34proximity fair value gaps to the opening
- 12:37prices of higher time frame candles. So,
- 12:39you see this gap here?
- 12:40This would be an alignment. So, here's
- 12:43the alignment here. If this is a weekly
- 12:45candle and we want to trade a
- 12:46continuation week, basically, we're
- 12:48going to look for a daily gap within the
- 12:50previous week's range. If this is a
- 12:52daily candle, we're going to look for a
- 12:54four-hour gap. If this is a four-hour
- 12:56candle, we're going to look for an
- 12:57hourly or 30-minute gap. So on and so
- 12:58forth.
- 12:59Okay? It's all fractal and we're going
- 13:01to do the same thing across all time
- 13:03frames. You're going to see how
- 13:03repetitive this gets and how fractal
- 13:05this is. It's kind of crazy. So,
- 13:08what do we expect this next candle to
- 13:10do?
- 13:11A bullish candle, we want it to open low
- 13:12first, right? So, as you can see, that
- 13:16would be the protraction phase of the
- 13:17daily candle, which forms the wick. So,
- 13:19that key level is going to reverse price
- 13:22or reverse the candle, basically,
- 13:23forming the wick and we expect price to
- 13:25expand away, forming the body. So, you
- 13:28have two phases within a candle. I'll
- 13:30make a video on this one day where you
- 13:33have the expansion phase of the daily
- 13:34candle and the um, sorry. You have the
- 13:36protraction phase of the candle and the
- 13:38expansion phase of the candle. The
- 13:39protraction phase forms the wick. The
- 13:41expansion phase The expansion phase
- 13:44forms the body. We expect the
- 13:46protraction phase of the daily candle to
- 13:49form from these refined key levels.
- 13:52Okay? And in continuation, we're going
- 13:54to use fair value gaps. That's all we're
- 13:56focusing on today, basically, is fair
- 13:58value gaps and continuation and how high
- 14:01probable it is. Okay?
- 14:04So, you see the candle opens low in our
- 14:05refined key level.
- 14:07Um, and we expect that to form low day
- 14:09and then, obviously, once it expands
- 14:11away, it forms the body of the candle.
- 14:14So,
- 14:15now we're going to talk about
- 14:17the essentially aligned framework. So,
- 14:19this is where you have an overall higher
- 14:21time frame draw on liquidity, right?
- 14:23Where you expect expansion candles away
- 14:26from the reversal to your draw on
- 14:28liquidity. But, what is going to support
- 14:31this expansion these expansion candles?
- 14:33Is lower time frame models. So, lower
- 14:36time frame models are what forms the low
- 14:38of these expansion candles, essentially.
- 14:40Okay?
- 14:42So, you're going to have models inside
- 14:43models, basically.
- 14:45Um,
- 14:46and that's what we're really doing here.
- 14:48Okay? So, once this, you know, key level
- 14:52down here is confirmed by a higher time
- 14:53frame swing, we want to trade
- 14:55continuation to this high. But,
- 14:59we want to basically align a lower time
- 15:01frame model with our higher time frame
- 15:03model or our higher time frame draw on
- 15:05liquidity. You're kind of aligning two
- 15:06draws on liquidities, essentially. And
- 15:08you can
- 15:09basically time the expansion, right?
- 15:13Because you can't expand forever. Like
- 15:14we can't expand forever to this high.
- 15:16We're going to undergo consolidation.
- 15:17You're going to undergo retracement. And
- 15:19that's how we can we can consistently
- 15:21anticipate where those retracements will
- 15:23end and time the expansion toward this
- 15:26high. That's what we're doing,
- 15:27basically.
- 15:29So, what's the process? Again, what are
- 15:32we doing? Mark out EQ of the previous
- 15:34candle's range. Looking for a refined
- 15:36key level, which is always a gap. Okay,
- 15:38we got the gap. What do we want the
- 15:40candle to do? Open low into it. What is
- 15:42this? Internal to external. This is a
- 15:44universal model.
- 15:46An aligned universal model.
- 15:48Okay? In higher time frame continuation.
- 15:51Do you see guys see how this is a lower
- 15:53time frame model in a higher time frame
- 15:55model? That's what I'm basically trying
- 15:57to show you guys here.
- 16:00And that's the sequence, by the way. Um,
- 16:03you're aligning a lower time frame model
- 16:05with the higher time frame model,
- 16:05basically, using a fair value gap.
- 16:07That's pretty much it.
- 16:09But, obviously, we have a lot more to go
- 16:10into here.
- 16:11So, what if you're trading the reversal?
- 16:14Okay, so this is important. So, if
- 16:16you're trading the reversal, that's
- 16:17completely fine, right? It's just lower
- 16:20probable. So, we'll get into like
- 16:22reversals, um,
- 16:25maybe in another video. But, right now
- 16:26we're talking about continuation. So,
- 16:28how does this continuation even form?
- 16:30It's when price
- 16:32confirms the reversal. And obviously,
- 16:35how are you going to confirm the low of
- 16:36this higher time frame candle with GXT
- 16:38and aligned swing. So, if this is the
- 16:40daily time frame, we're going to confirm
- 16:41with the four-hour candle. So, when
- 16:43price expands away, it's going to
- 16:45obviously create four-hour expansion
- 16:47candles away from this daily low here.
- 16:50That's going to make up the daily
- 16:52expansion candle. It's just lower time
- 16:54frame four-hour candle swing.
- 16:55And that's going to create that
- 16:57expansion away from the key level. It's
- 16:59creating a gap.
- 17:01Okay? Now, when are we likely to get new
- 17:04phases of price? It's after expansion
- 17:06like this into, you know,
- 17:09basically, um,
- 17:11highs to left, right? We don't expect
- 17:14price to reverse from these highs to
- 17:15left because they're they're not aligned
- 17:18with, you know, this is our overall draw
- 17:20on liquidity, right? Anything opposing
- 17:22to our overall draw on liquidity should
- 17:24be used as retracement. They they
- 17:25shouldn't reverse price, right? This is
- 17:27where we expect price to print a new
- 17:30phase of price. It's after expansion
- 17:32like an intermediate time frame
- 17:33expansion. If this is actually, you
- 17:35know, the daily, when we hit like hourly
- 17:37highs on the one-hour or 30-minute,
- 17:39whatever, right? We expect retracements
- 17:41and consolidations like new phases of
- 17:43price, essentially. That's what I'm
- 17:44trying to show you guys. And this is
- 17:47where you're going to wait for a key
- 17:49level to get hit, which is a fair value
- 17:50gap. You're going to wait for a
- 17:52uh, a new, you know, universal model,
- 17:55which is IRL era,
- 17:57um, to align itself. And you're going to
- 17:59time that expansion, that reaccumulation
- 18:01or redistribution, whatever you want to
- 18:02call it, uh,
- 18:04into this high, basically.
- 18:06So, how do we do that, right? After we
- 18:08have the candle closure,
- 18:11simply, what do we look for? A gap. It's
- 18:13the same thing, right? So, when we hit
- 18:14this gap,
- 18:17this is now the trigger to end this
- 18:19retracement, right? Once we retrace, we
- 18:22should expand.
- 18:24And now it's just GXT.
- 18:26And how do you confirm the low of this
- 18:28candle? With an aligned swing. Right?
- 18:30So, if this is the weekly, we use the
- 18:32daily. If this is a daily, we use the
- 18:35four-hour. Okay?
- 18:37And it's the same thing. Now, we have a
- 18:39key level down here. What do we confirm
- 18:41a key level with? A swing formation.
- 18:43Once you have the swing formation, what
- 18:44do we mark out? E- EQ of the range.
- 18:47Okay? Once we have EQ of the range, what
- 18:49do we look for? If you want to trade
- 18:50continuation, a gap within the EQ of the
- 18:52range. So, you have the same thing. We
- 18:54do the same thing across all markets.
- 18:57And this is how you get high probable
- 18:58trades, the highest probable trades.
- 18:59Now, we're going to add a time element
- 19:01to this.
- 19:03Okay? So, this is how you're really
- 19:05going to put it all together. Okay? So,
- 19:07here would be an example of a weekly
- 19:10reversal candle where the week is
- 19:12opening low first into like a range low.
- 19:15How you going to confirm that? With a
- 19:17um, daily reversal candle. So, like I
- 19:19said, you can trade this.
- 19:21Right? You can trade this reversal. You
- 19:23can anticipate it. Es- essentially, if
- 19:25you have like SMT and we're not going
- 19:27over the, you know, what we demand at
- 19:29reversals necessarily cuz that's would
- 19:30be a reversal video. You guys likely
- 19:33already know. Um, but again, I'll make a
- 19:35video on that. This is more so like how
- 19:37to confirm this is actually this higher
- 19:39time frame move. How do you confirm
- 19:40that? Is with the candle closure itself.
- 19:43Okay? And what do you what we have
- 19:45within the candle closure itself? Is
- 19:47that gap, right?
- 19:50Um, that's what we want to use to
- 19:52continue from, right? So, what's going
- 19:53to form the low of this day? What's the
- 19:54alignment? If we want to
- 19:57go from the daily,
- 19:58right? What's the alignment for the gap?
- 20:00It's a 4-hour.
- 20:01Okay?
- 20:02Uh, like we mentioned earlier. So,
- 20:05we want this day,
- 20:07we expect that a continuation, like a
- 20:08weekly continuation. It's like weekly
- 20:10profiling, Tuesday reversal, Wednesday
- 20:12continuation. We want to look for a
- 20:14aligned key level to form the
- 20:16protraction phase of this candle. We
- 20:18want it to open low into a 4-hour gap,
- 20:20if there's a gap here. Form the low of
- 20:22day. What do we confirm it with?
- 20:24A 4-hour swing. Right?
- 20:26Now, once you have this
- 20:28this um
- 20:29previous candle's close, or this closure
- 20:31here, it's literally the same thing
- 20:33you're seeing here, but now intraday.
- 20:35So, now we're going to go into intraday
- 20:37price action. So, once you have your
- 20:39candle two closure at London session,
- 20:42what would that really be?
- 20:44A London reversal. What would you What
- 20:46would you expect 6:00 a.m. to do?
- 20:48Obviously, it's a a C2 closure in
- 20:50London, so you expect a continuation C3,
- 20:53um, which is just New York continuation.
- 20:55So, it's just
- 20:56right? We trade into the a key level, in
- 20:59this case it's a range low or whatever,
- 21:00but um, if you don't catch this reversal
- 21:03down here, what what's going to happen?
- 21:05Price is going to expand away from the
- 21:06reversal, cuz obviously, it's going to
- 21:08reverse, price expands away. That
- 21:10creates fair value gaps.
- 21:13It's going to expand [clears throat]
- 21:13into something to left. This is where
- 21:15you get new phase of prices.
- 21:17Um, where we're going to retrace, how do
- 21:18we um,
- 21:20anticipate new phase of price? You must
- 21:22be in a key level, right?
- 21:25Wait for that candle closure to confirm
- 21:26it, and we do the same thing, literally.
- 21:30How do we confirm this wick here? With a
- 21:321-hour and 30-minute swing point.
- 21:34It is as simple as that. What's the
- 21:36alignment for a 4-hour?
- 21:38If you want to see an aligned key level
- 21:40within the previous 4-hour range, it's a
- 21:421-hour and 30-minute gap. So,
- 21:44essentially,
- 21:45it's if-then statements. If the previous
- 21:48session reversed,
- 21:50then the next session should continue.
- 21:52What is it going to continue from? A
- 21:54gap. That's simple as that. We hit a key
- 21:57level here,
- 21:58just wait for a gap for continuation.
- 22:00That's really the whole point of this
- 22:02video, guys. It's really simple. So,
- 22:03when we hit this key level,
- 22:05again, what do we confirm with?
- 22:08A um
- 22:09swing point, okay?
- 22:11And we're doing the same thing, mark out
- 22:13the equilibrium of this range here. It's
- 22:15a 1-hour 5-minute. I'm sorry, what the
- 22:17hell? It's a 1-hour 30-minute. Um, we're
- 22:19going to look for an aligned key level
- 22:21on the 3-minute 5-minute.
- 22:23Um, within the upper half of this
- 22:25candle's range. So, what does that going
- 22:26to look like? It's going to look
- 22:27something like this. So, this is what I
- 22:29want you guys to look for, really on all
- 22:32all time frames, but specifically right
- 22:34now we're kind of talking about the the
- 22:36lower time frame. This is going to be
- 22:37the highest the highest probable
- 22:38sequence that you can really have on a
- 22:41lower time frame, and it's essentially
- 22:43just a reversal signature followed by a
- 22:45continuation signature.
- 22:47So, what is a reverse signature?
- 22:49It's essentially a V-shape. It's going
- 22:51to look like a V-shape, where we expand
- 22:52into a key level and expand away. So,
- 22:55expansion into a key level, reversal
- 22:57expansion. That's all reversal is. It's
- 23:00just expansion away from key level,
- 23:02right? You're going to confirm that with
- 23:03the CSD. So, you have the option here
- 23:06to either enter on the first CSD, right?
- 23:09This is going to be
- 23:11it's going to be high probable, for
- 23:12sure. Now, the next highest probable
- 23:15sequence would be just waiting for a gap
- 23:17and maybe entering off the gap, okay? If
- 23:18you guys are like traders like reversal
- 23:20traders, these are your two options
- 23:22here. But, if you're a continuation
- 23:23trader, you're going to wait for price
- 23:25to engage with the gap and form
- 23:28a order block um, off of the gap,
- 23:32basically. And you're going to enter
- 23:33that. And this is the highest probable
- 23:34sequence, obviously, cuz it's
- 23:35continuation. And um, yeah, this is a
- 23:38lower time frame filter, so
- 23:40we're kind of basically this is what you
- 23:42want to see in a reversal candle. When
- 23:43you actually look inside of a reversal
- 23:44candle, doesn't matter the time frame,
- 23:46you want to see the this V-shape
- 23:48signature. Right? That's what actually
- 23:49confirms the the reversal candle. If I
- 23:51look into a reversal candle, it looks
- 23:52like choppy, it's not a reversal. It
- 23:55The higher time frame candles lie to
- 23:56you. It's a it's a pattern. Um, so you
- 23:59need to see these things here.
- 24:02So, this is what's going to look like.
- 24:03Um, when you can maybe confirming the,
- 24:06you know, a gap or something, maybe
- 24:07confirm the high and low of day, which
- 24:09would be just confirming a reversal
- 24:11profile. When you're confirming the high
- 24:14and low of 4-hour candle within GXT,
- 24:16whatever, right? It's going to It's all
- 24:18going to be the same. You're going to
- 24:19confirm with the swing formation, right?
- 24:21You're going to mark out your EQ. You
- 24:22want to see this lower time frame
- 24:24signature.
- 24:25Okay?
- 24:26Um, if you If you want to trade a
- 24:27reversal candle, like a C2 candle on the
- 24:29hourly and 30-minute, um, which you can
- 24:31do. I'm going to show you guys how to do
- 24:32it. Um,
- 24:35>> [snorts]
- 24:35>> we want to see these things, especially
- 24:36the V-shape signature. That's the most
- 24:38important part, right? If you don't see
- 24:40that, that's your lower time frame added
- 24:43filter. You're not going to engage with
- 24:44with price, because it's low
- 24:45probability.
- 24:47Um, so now let's get into the next
- 24:49sequence. So, we went over everything we
- 24:52want to see. We basically went over gap
- 24:54selection, like how to pick the right
- 24:55gap. It's essentially just
- 24:58it within the previous candle's range,
- 25:00right? That's really it. It's It's
- 25:01basically close proximity gaps to
- 25:04current price, or close proximity gaps
- 25:06to the openings of higher time frame
- 25:09candles, okay? That's how we actually
- 25:11have gap selection.
- 25:13Because in continuation, just think
- 25:15about it, phase of price. In expansion,
- 25:17we want shallow retracement, so we don't
- 25:19care about gaps that are like way high
- 25:21end. If I'm bearish, I don't want to see
- 25:23gaps way high end premium get hit. I
- 25:25want to see shallow retracements in
- 25:26expansion. So, it's very logical. Um,
- 25:29so, when we actually have a gap, we want
- 25:33price to engage with the gap, but create
- 25:34an a SMT sequence with the gap. And this
- 25:38is why it's so high probable, because
- 25:39what you're having here
- 25:40is a universal model being confirmed by
- 25:44a swing formation. But, you you guys
- 25:46know me. I don't just trade a swing
- 25:47formation from a key level. I look for
- 25:49two stage SMT at the reversal. So, when
- 25:51you have two stage SMT at the reversal,
- 25:54and then price creates a gap,
- 25:56right?
- 25:58And then we create SMT in the gap, it's
- 26:00extremely high probable. It already
- 26:02showed you that price is reversing. Cuz
- 26:04remember,
- 26:05what is a reversal signature? It's when
- 26:08price expands away from the reversal.
- 26:11So, this is what price is showing you
- 26:13right now, when it has this gap. It's
- 26:14already showing you that price is
- 26:15reversing. So, really, if you have open
- 26:18draws on liquidity,
- 26:19and then you have this gap being hit
- 26:21with an SMT sequence, it is the highest
- 26:23probable sequence you can have. There's
- 26:25nothing else that's high probable than
- 26:26this.
- 26:27Obviously, you're going to take losses,
- 26:29like of course I take losses, like what
- 26:30the hell? But, you're going to be fine.
- 26:32I I promise you, this mechanical
- 26:34process, like
- 26:35you you're going to win win majority of
- 26:38trades.
- 26:39Um, so this is the first sequence. It's
- 26:40simply an SMT fill. And no, you do not
- 26:43need two stage SMT in continuation like
- 26:47this. You don't need it. Um, because
- 26:49again, we already had two stage SMT, or
- 26:51we already had an SMT, um, which
- 26:53confirms the reversal, and we already
- 26:54expanded, which again confirms the
- 26:56reversal. Um, so you don't need it. So,
- 27:00this is where you simply have one asset
- 27:02trading into a gap, and the other one
- 27:04doesn't. That's a crack in correlation.
- 27:06That confirms the gap. Um, obviously,
- 27:08you want to trade this asset, cuz it is
- 27:10weaker. But, sometimes it doesn't really
- 27:11give you an opportunity. You can still
- 27:13trade this asset. And again, we're using
- 27:16candle logic, or swing point logic. If
- 27:19this wick is small,
- 27:21then you can trade it. If it's If the
- 27:22wick is not small, then you just wait
- 27:24for candle two closure and trade candle
- 27:26three. It's that simple, guys.
- 27:29Let's move on. What's the next SMT
- 27:30sequence?
- 27:31Um, this would be when both assets hit
- 27:34the gap. So, we don't have SMT with the
- 27:36gap, that's cool. If you don't have SMT
- 27:38with the gap, you need SMT via swing
- 27:40point. And this is
- 27:42where we have a PSP. So, if you don't
- 27:44know what a PSP is, go watch my video.
- 27:47I have a video on it. Maybe go watch
- 27:49someone else's. There's a lot of videos
- 27:50on it, right?
- 27:52So, we have the SMT reversal, gap, swing
- 27:55point SMT, which is a PSP, okay? It's a
- 27:58difference in closes, which is the crack
- 28:00in correlation in itself. That's when we
- 28:02trade candle three lower. And obviously,
- 28:05you want to trade this asset, cuz it's
- 28:06weaker.
- 28:08But, generally, it doesn't really
- 28:09matter. Um,
- 28:11especially when both assets create the
- 28:12same gap, like We'll get into that maybe
- 28:15in another video, but generally, it
- 28:16doesn't really matter, okay? So, when to
- 28:19expect a two stage PSP versus just a
- 28:22PSP,
- 28:23it's looking at the assets that is
- 28:26strongest
- 28:28with the close. So, notice how, you
- 28:30know, we're bearish right now, but this
- 28:32asset is closing bullish, so it's the
- 28:33strongest asset. If the PSP itself on
- 28:37the strongest close is like a reversal
- 28:39candle, so CSD candle two reversal,
- 28:41typically, we don't actually need to go
- 28:42and revisit this high to create two
- 28:44stage PSP, okay?
- 28:46But, when it closes like this, see how
- 28:48it's a also a PSP here? This asset
- 28:49closes reversal candle, this one does
- 28:50not. So, on the strongest close, it is
- 28:53not a reversal candle. This is where you
- 28:54do, ideally, want to see a two stage
- 28:56PSP. This is where you can actually
- 28:57anticipate it. So, this is the same
- 29:00thing
- 29:02really as this, but it's a two stage
- 29:03PSP, okay?
- 29:05Um, and again, you want to trade this
- 29:06asset, ideally, but you're going to have
- 29:07opportunities here as well.
- 29:10Now, this is my favorite [snorts]
- 29:12favorite favorite favorite favorite
- 29:17sequence to see right here, okay? It's
- 29:20the same thing. We get a gap, but this
- 29:23is very specific, where
- 29:26it has to be the most recent gap. That's
- 29:28because
- 29:30the PSP has to basically be the candle
- 29:33that creates the gap, so
- 29:35um,
- 29:36you know, how does a gap get created?
- 29:38It's when it's a three candle formation,
- 29:39so candle one, candle two, candle three.
- 29:41It's where candle three and candle one,
- 29:44their wicks do not meet, which creates a
- 29:46gap. Okay? So,
- 29:49it has to be with consecutive candles.
- 29:51That's what a PSP is. So,
- 29:53that's why it has to be with the gap um
- 29:57candle itself that creates the gap. And
- 29:58that's when
- 30:00um we get a continuation PSP. So, again,
- 30:03watch my video on a continuation PSP.
- 30:05It's essentially just um a continuation
- 30:07PSP is following a reversal. So, yeah,
- 30:09this is following a reversal in
- 30:10continuation. Okay? It's where the
- 30:13candle three is a gap, but also a PSP.
- 30:16So, when I say it's not going to
- 30:18take out uh the PSP high, but when I say
- 30:20it is, okay? Little confusing if you're
- 30:23new,
- 30:24but
- 30:25I prom- it's like an SMT fill basically,
- 30:27right? Where one asset's not trading
- 30:29into a gap, it is an SMT fill, but it's
- 30:31also a two-stage PSP continuation,
- 30:34right? Right, two-stage continuation
- 30:35PSP, right?
- 30:37Um so, it's very high probable, okay?
- 30:39Very, very high probable.
- 30:40Um
- 30:41and again, you can trade this asset that
- 30:43created a higher high as well.
- 30:46Um especially if markets are like
- 30:48generally pretty correlated, it doesn't
- 30:49matter.
- 30:50Um sometimes it's harder to catch this
- 30:52this candle here because it might be
- 30:54super low in the range, or maybe this
- 30:57wick is not really a proper opposing
- 30:58candle, just trade this asset. It's It's
- 31:00generally going to be fine.
- 31:02Um
- 31:03so, now we're going to get into
- 31:05asset synchronization. So,
- 31:08if you guys don't know what that is, I
- 31:10go in over a little bit in my
- 31:14SMT video, but trust me, I'm going to
- 31:16drop a video on that, so don't worry.
- 31:18Um
- 31:20this is simply when a leading asset,
- 31:22right, trades into a low first,
- 31:25fails to manipulate it, right? And then
- 31:27the lagging assets switches to the
- 31:30weaker asset to catch up to the low
- 31:33that the leading asset already took out.
- 31:35All right, so it's essentially breaking
- 31:36the SMT.
- 31:38Okay, cuz at one point there is SMT
- 31:39here. So, this asset is stronger, but
- 31:41then it switches weaker. And how do we
- 31:43gauge this? It's with
- 31:44a full some form of SMT fill,
- 31:48or some form of um
- 31:49you know,
- 31:50strength switch within a gap. It It can
- 31:52look many ways, okay, guys? Doesn't have
- 31:54to look just like this, right?
- 31:56Maybe it's with a PSP. Maybe both assets
- 31:58trade to the gap, but this asset over
- 32:00here closes bearish. That's a strength
- 32:02switch. And this is really high
- 32:04probable, like really high probable. And
- 32:07you want to trade this asset.
- 32:09And you're going to target this low.
- 32:10You're not going to target this low
- 32:11necessarily,
- 32:12or um again, we'll go over a video on
- 32:14that later.
- 32:15It really depends on how correlated
- 32:16markets are, but
- 32:18generally you just want to trade this
- 32:19asset
- 32:20into the low that this asset already hit
- 32:23and failed to reverse from, basically,
- 32:24okay?
- 32:25Um but yeah, this is a strength switch
- 32:27SMT fill,
- 32:28one of the
- 32:30highest probable sequences. Um or
- 32:33maybe if you get like a strength switch
- 32:35PSP within a gap, okay? Something like
- 32:37that.
- 32:38Either it's pretty much either one of
- 32:39those two.
- 32:40Um really high probable.
- 32:42Now, let's put it all together. So,
- 32:46essentially, you are going to require
- 32:49some form of SMT at the reversal to
- 32:51confirm the universal model. But once
- 32:53you get the candle closure, what are we
- 32:54going to do?
- 32:55We're going to simply use gaps in
- 32:56continuation.
- 32:58That's what this all this video is
- 32:59about. Once we hit the gap, you're going
- 33:01to form You're going to require some
- 33:03form of SMT sequence.
- 33:06And that's essentially it, guys.
- 33:07It's extremely
- 33:09easy.
- 33:10It really is. It's just like wait for a
- 33:12gap after
- 33:13You don't even have to This is the
- 33:15thing. You don't have to anticipate a
- 33:16reversal. Like you just let it happen.
- 33:18You let price show you by forming a gap.
- 33:21That's why it's so amazing.
- 33:22Um so easy. This is why I wish someone
- 33:24showed me this a long time ago in my
- 33:26journey because like, dude, it's like as
- 33:28simple as it gets. It's really as high
- 33:30probable as it gets. It's like the best
- 33:32of both worlds. It gives you structure
- 33:34and framework to follow.
- 33:36And uh yeah, I use it literally every
- 33:37single day.
- 33:39Every single day. So,
- 33:40it also tells you, you know, which gaps
- 33:42you're going to use, you know? This is
- 33:44why you mark out your EQ, etc., right?
- 33:46You know what I'm saying?
- 33:47So, now let's go over some examples. I
- 33:49have a lot of examples.
- 33:50Um I assume we're like 30 minutes right
- 33:52now, so
- 33:54we'll go
- 33:55for a little while here. I I don't know
- 33:57if we're going to get through all these
- 33:57guys cuz it's as you can see, it's 2:40
- 33:59right now.
- 34:00But let's go ahead and get into it. Um
- 34:04so, yeah, let's get into this one.
- 34:05This example right here.
- 34:08So, what do we have on the higher time
- 34:10period? Is a universal model. Price
- 34:12expands into external range liquidity.
- 34:15Once you have a closure, what do we
- 34:16expect price to do? To trade back into
- 34:19internal range liquidity. What do we
- 34:20have right here? It discounts
- 34:22fair value gap.
- 34:25As you can see,
- 34:27um and that's what we can target, right?
- 34:29Just going from external to internal.
- 34:30So, what do we do? Mark out equilibrium
- 34:32of the range. So, as you can see, price
- 34:34does hit EQ, but if it doesn't super
- 34:36early in the day and it opens high
- 34:38first, like it can still You just want
- 34:39it to reverse around this area, okay?
- 34:41So, it's not a complete invalidation cuz
- 34:43you're going to see we get a two-stage
- 34:45sequence here.
- 34:46So, you see this gap here?
- 34:48We have an SMT fill with this gap. So,
- 34:50this 10:00 high and one thing to
- 34:52preference, guys,
- 34:54or tell you guys about,
- 34:56is that you don't need both assets to
- 34:58have a gap, actually. You don't need
- 35:00that. Um
- 35:02some people are going to say that's
- 35:03wrong. Some people do want two gaps on
- 35:05both assets, but I don't require it. Um
- 35:08because [clears throat]
- 35:10an SMT fill
- 35:11on just one of the assets, for example,
- 35:14like that's that's just a really strong
- 35:16signature in price,
- 35:18right? If you have a If you have a SMT
- 35:20fill, or you know, SMT with this low,
- 35:22for example, with this gap,
- 35:24um but the other asset doesn't have a
- 35:24gap, like leaving gaps open in expansion
- 35:28is still a very, very like strong
- 35:31signature in expansion. Like that's what
- 35:32you want to see, um honestly.
- 35:35Um so, you don't really need it. So,
- 35:37some people say you do.
- 35:39Maybe you do, you know? Maybe you want
- 35:40to require that. I don't require it. So,
- 35:42I'm just going to say that right now.
- 35:44Um but
- 35:45what did I What did we do here, guys?
- 35:47We mark out equilibrium of the previous
- 35:49candle's range. So, this is the daily
- 35:50time frame. So, what's the alignment?
- 35:52It's the 4-hour. We only look for 4-hour
- 35:54gap within the previous day's range. So,
- 35:55here we have a 4-hour gap.
- 35:58So,
- 35:59what's the first step when we engage
- 36:00with a key level, which is a universal
- 36:02model?
- 36:03Is how we would confirm with the swing
- 36:04point, right? Um so, [clears throat] if
- 36:07you look here,
- 36:08this candle hit the key level, but what
- 36:10does not support?
- 36:11It does not support expansion, right? It
- 36:13has a very large trades very far away
- 36:16from the opening price, so it can't be a
- 36:18a reversal candle bearish, so.
- 36:20This is where we can anticipate a
- 36:22reversal off of
- 36:24this previous 4-hour high,
- 36:26right?
- 36:27And um
- 36:28you can trade it because it has a small
- 36:29wick. So, this is a reversal into
- 36:31expansion candle. And I actually traded
- 36:32this.
- 36:33Um I posted this, but I I took it on
- 36:35gold.
- 36:37We're going to go over it.
- 36:38Um
- 36:40yeah. So,
- 36:42we have that with um gold here. So,
- 36:44you're going to see this 10:00 higher
- 36:45here on gold is not even a gap
- 36:48necessarily.
- 36:50Y'all see that?
- 36:52How there is no SMT there,
- 36:54technically.
- 36:55When I go over here to silver,
- 36:58there obviously is an SMT there.
- 37:00So, there's your first-stage SMT,
- 37:02right? So, we're going to get a little
- 37:03bit into two-stage SMT here.
- 37:05But really I just want to show you guys
- 37:07the sequence. So, the day also opens
- 37:08high first. That's how we want a bearish
- 37:10day to form.
- 37:12What do we have here?
- 37:13A precision swing point.
- 37:16So, check this out. This 2200 candle is
- 37:19bullish.
- 37:20What about on
- 37:21this asset?
- 37:23Y'all see how it's bearish?
- 37:28All right, so there is a two-stage
- 37:30sequence right there.
- 37:32Also, for gold,
- 37:35what do I have here? There's your
- 37:36first-stage SMT with the euro.
- 37:40We get a strength switch, so
- 37:42actually, 2100
- 37:44is the candle that traded into this
- 37:47level here.
- 37:48So, you see how this asset also has a
- 37:49gap here?
- 37:52So, remember 1800 candle traded to the
- 37:53gap? Then we have that second-stage
- 37:55crack in correlation here. So, that's
- 37:57your strength switch right there. Um
- 37:59so, again, you can trade this now. I
- 38:01traded this. Literally
- 38:03I literally traded this.
- 38:04Um I'll show you my exact trade. Um and
- 38:07I posted this on
- 38:09everything, basically. Twitter,
- 38:11whatever. And I just simply
- 38:13I don't know why I closed this trade for
- 38:15some reason, like an idiot. Um which I
- 38:18should not have done, but what do we
- 38:19have here, guys? V-shape signature.
- 38:21We have the continuation signature. We
- 38:23have gaps. We don't need to hit the
- 38:24gaps, by the way. It's ideal. You can
- 38:25also use lower time frame SMT fills if
- 38:27you want.
- 38:29You just want to see the gaps because
- 38:30gaps show displacement.
- 38:32Um so, I was I got in a little bit late.
- 38:35I was like in this or something. Maybe a
- 38:37little bit lower.
- 38:38So, it's like somewhere around here.
- 38:40That was my entry.
- 38:41And for some reason, dude,
- 38:44I just got spooked out. I don't know why
- 38:46I did this.
- 38:47Again, I make mistakes sometimes, but I
- 38:48saw we were in a gap here, guys. We're
- 38:50in a gap over here. I just thought it
- 38:52was going to fail for some reason.
- 38:53And I was seeing that we had this
- 38:55V-shape higher, and then I just assumed
- 38:57we're going to see S D, and I just got
- 38:59out of the trade right here. Like
- 39:00literally right there.
- 39:01And then it just melts, like I'm an
- 39:02idiot. Don't do this. Don't let Again,
- 39:04don't let opposing PD arrays
- 39:07to the higher time frame spook you out
- 39:09cuz they should fail.
- 39:10And that's just a rookie mistake made,
- 39:11like straight up rookie mistake. I never
- 39:13do that. I don't know why I did it.
- 39:15But I let this go for like 10 R, dude. I
- 39:17was going to TP here. Truthfully, I was
- 39:19not going to hold it. Um you're going to
- 39:21see what happens.
- 39:22It really melts. I was not going to hold
- 39:24it all that all that um low,
- 39:27to be honest. I was just going to take
- 39:28the previous low.
- 39:30But let's show you the sequence within
- 39:31this continuation real quick.
- 39:33So, this is not even about this example,
- 39:35really, but we're going to go over here
- 39:37to silver. So, when we form this high of
- 39:40day,
- 39:41what is it going to do, guys? It's going
- 39:42to expand away. We're going to create
- 39:44expansion candles away, which creates
- 39:45what? Gap. Gaps. So, if you ever missed
- 39:48it the reversal, cool. Trade the
- 39:50continuation. What do you need?
- 39:52Basically, what do you need to have is
- 39:55the only draw on liquidity open.
- 39:57That's the biggest thing. You ideally
- 39:58want to draw on liquidity open to
- 40:00continue to towards, basically.
- 40:02Right? So, here you have an SMT fill.
- 40:05Simple as that. What do we do when we
- 40:07hit a key level,
- 40:08which is a gap here? Confirm with this
- 40:10swing point. Boom. Go to lower time
- 40:11frame. What do we have? V-shaped
- 40:13signature.
- 40:14It's simple as that, right? Um take the
- 40:16trade into the low. It's literally that
- 40:18simple. Um you're going to see later on
- 40:20we even get this little SMT fill as well
- 40:23because we have potential open
- 40:24objectives, which is the daily gap. I
- 40:26think this is the daily gap right here.
- 40:28Um
- 40:29Let's look, actually, just to show you
- 40:31guys.
- 40:34Yep, that's a daily gap. We still have
- 40:35it open.
- 40:37We clearly failed to manipulate this
- 40:38low. You see how we expand through it?
- 40:40So, you know price is going to continue.
- 40:42But you got to time it. You know we're
- 40:43going to retrace likely after hitting um
- 40:46after hitting a low. We're going to
- 40:47retrace at some point. When are we going
- 40:48to capture a retracement from a gap SMT
- 40:50with it? What do we look for? My stomach
- 40:53is growling.
- 40:54A V-shaped signature. Now, I personally
- 40:56wouldn't take this just because it's so
- 40:58low in the range,
- 41:01but you know, to each their own. Some
- 41:03people do take that, so I just don't.
- 41:06But that's what we want to see it
- 41:07regardless. Ideally, just candle two
- 41:09doesn't expand like that. Ideally, it
- 41:11gives us a better entry, but that's
- 41:13going from the top down. All right. Did
- 41:15you see what we just did? We went from
- 41:16the daily candle closure
- 41:19to the 4-hour.
- 41:20Right? Look for SMT in it. Okay, cool.
- 41:23Um now we're just trading GXT,
- 41:24basically. Right? If you trade the
- 41:26model, right? Very good mechanical
- 41:28model.
- 41:30All right, cool. And continuation. This
- 41:31is Asia reversal, London continuation.
- 41:34So, again, if the previous session
- 41:35reversed,
- 41:37then it should expand away, creating
- 41:39gaps for the next session to continue
- 41:41from. Right? That's what we have
- 41:42[snorts] here.
- 41:43Same thing. Mechanical process. If I
- 41:46mark out EQ,
- 41:48we're basically just within this
- 41:50previous range here,
- 41:51right? The only reason why it has a
- 41:52large wick is because it's a strong
- 41:53asset at this point. Um if I go to gold,
- 41:56it's a little bit weaker, pretty sure.
- 41:58Yeah, you see that smaller wick? Um
- 42:00that's the only reason.
- 42:01But the high basically high of this
- 42:04candle is obviously
- 42:05created from the previous range. Right?
- 42:07So, you're finding the gap within the
- 42:10previous range of the 4-hour candle. And
- 42:12when we hit that gap, you want to see an
- 42:13SMT sequence. Simple as that.
- 42:16Um and yeah, let's go ahead and move on.
- 42:20So, this is actually the previous day.
- 42:22Um
- 42:23So, you're going to see like this is the
- 42:25continuation day
- 42:27right here, but now we're going to go
- 42:28over this day specifically.
- 42:31And first, let's go over the two-stage
- 42:33sequence. So,
- 42:35here's your first stage SMT. So, this is
- 42:37how you actually anticipate a reversal
- 42:38going to forming is when we actually hit
- 42:40a key level. If I want to anticipate a
- 42:42daily candle reversal, we have to like
- 42:45hit a key level. You know what I'm
- 42:46saying?
- 42:47Um
- 42:48So, that's what we have here. We have an
- 42:49SMT. Now, you also get the two-stage
- 42:51cracking correlation.
- 42:53So, here's your first stage SMT. You get
- 42:54the strength switch.
- 42:58Right? Via PSP. What did this PSP close?
- 43:01Not really a reversal candle, so what we
- 43:02can expect to take out the high, right?
- 43:05Um so, I actually traded this asset
- 43:07here.
- 43:09Mainly because it was just higher in the
- 43:10range. This is what I mean when both
- 43:12assets were are reversing like this,
- 43:14you're going to see that it doesn't
- 43:15really matter which asset you trade. Um
- 43:18you're going to see how I managed this.
- 43:19And I posted this on Twitter. These are
- 43:20all trades that I actually took, by the
- 43:22way.
- 43:23Um maybe not all these examples, but
- 43:25majority of them. So,
- 43:26what do we have here, guys? A candle
- 43:28closure. So, here
- 43:30this is where I'm using other markets.
- 43:32So, notice how this candle here is not
- 43:33technically a valid closure. It's not a
- 43:35valid candle three, basically, cuz we
- 43:37don't close below here. But
- 43:39when I go to this asset, it is.
- 43:42You see right here? This candle is the
- 43:43same candle. We close a CSD.
- 43:46It It's clearly a reversal.
- 43:47Um this asset has equal lows now at this
- 43:49point. You see these equal lows right
- 43:51here?
- 43:52It's clearly a reversal. Like, use your
- 43:54brain. You don't have to be that
- 43:55mechanical, you know what I'm saying?
- 43:57Like, when I look within this PA here,
- 43:59clear reversal signature. Like, V-shape.
- 44:02We have the gap. We have the CSD. This
- 44:04is exactly what I entered from, guys.
- 44:08Where did I TP? Um I TP'd when the the
- 44:10leading assets hit this low. That's when
- 44:12I TP'd.
- 44:13Um and it was actually a pretty good
- 44:14decision, honestly.
- 44:16Um I posted this as well, so it's around
- 44:18here.
- 44:19So, when I TP'd this,
- 44:21as soon as the other assets hit low, it
- 44:22was around 5R. Really, really good
- 44:24trade. Um
- 44:26>> [clears throat]
- 44:26>> Yeah, that's just going from, you know,
- 44:29strength switch sequence, right?
- 44:32Um expecting reversal candle. The candle
- 44:33opens high first, generally.
- 44:35Um
- 44:37We get the two-stage sequence. We get We
- 44:38get the confirmation, guys. So, what are
- 44:41all assets doing right here? They're all
- 44:43reversing at this SMT. Notice how
- 44:44they're all basically expanded
- 44:47away from this high, this initial SMT.
- 44:49They're all expanding away. Look at
- 44:51them.
- 44:52Right? If I look at all the assets here,
- 44:53they're literally all doing that.
- 44:55>> [snorts]
- 44:55>> Like, what is ES doing, by the way?
- 44:57Not ES.
- 44:58Um silver.
- 45:00Silver, while gold is taking out this
- 45:03high, it's creating a fair swing value
- 45:05gap. Right? That's an advanced premium
- 45:06discount sequence, which I'll make a
- 45:08video on.
- 45:09Um
- 45:10But yeah.
- 45:11All that. So, once you basically see all
- 45:13assets expand away from the initial
- 45:14reversal, typically they're all going to
- 45:16get to the same draw on liquidity.
- 45:17Right? That typically always happens.
- 45:19You see how this asset got really close
- 45:21to its draw on liquidity? We can form an
- 45:22SMT here and get a new phase of price,
- 45:24but it's likely going to break the SMT.
- 45:27And what are you going to wait for?
- 45:30A gap to form, right? So, price expanded
- 45:32away from the initial reversal, formed a
- 45:34gap. We can use this for continuation.
- 45:36What do we want to look for? An SMT
- 45:37sequence. So, when we trade into the
- 45:39gap, do we have SMT with the gap?
- 45:41No.
- 45:42Or I guess technically right there we
- 45:44did. Right there we technically did.
- 45:46Um but you're going to see it doesn't
- 45:47really work.
- 45:49It doesn't work, but what is this
- 45:50waiting for, guys?
- 45:51This is a quarterly through concept.
- 45:52It's waiting for 12:00, basically.
- 45:55Right?
- 45:56There's a waste of time trades and stuff
- 45:57like that. We'll We'll go over it all.
- 45:59Um but it's waiting for 12:00. And
- 46:00typically, this is what lagging assets
- 46:03typically wait for, 12:00 and 10:30.
- 46:05Um We'll go over that, for sure.
- 46:08Um but basically, we're in a gap. We
- 46:10want to use that gap. Now we're just
- 46:11waiting for a PSP because we don't have
- 46:13SMT with the gap. So, you need a PSP or
- 46:15uh SMT with a swing or something like
- 46:17that, right?
- 46:18But ideally, it's a PSP. It's just way
- 46:20higher way more high probable than an
- 46:22SMT
- 46:23just with a swing. That's why I didn't
- 46:25even add the swing, you know, in here.
- 46:27Just wait for a PSP.
- 46:29Um but what this really is, guys, if I
- 46:30go to the 90-minute candle,
- 46:35now we're kind of [clears throat] going
- 46:35to a little bit some advanced things,
- 46:37but
- 46:38we can do the same thing and use
- 46:40sequential SMT.
- 46:42So, you're seeing that we have a
- 46:4290-minute gap,
- 46:44the 90-minute strength switch sequential
- 46:47SMT with the 90-minute candles.
- 46:49Whether you use it or not, it doesn't
- 46:50matter. It's still the same concept. You
- 46:53see how this asset is putting in a
- 46:54higher high?
- 46:55This asset is putting in SMT fill. So,
- 46:57that would be that SMT fill the strength
- 46:59switch SMT fill, basically, right? And
- 47:00this is where you anticipate price to
- 47:02expand at this low.
- 47:04Um so, I just wanted to show you guys
- 47:05that.
- 47:06Also wanted to show you guys how, you
- 47:08know, what formed the low of day here,
- 47:09guys?
- 47:10When I look at the back of the previous
- 47:11day's close,
- 47:13let's kind of delete this stuff now.
- 47:15When I look back at the pre Oh,
- 47:17Should I have done that? Oh, yeah, I
- 47:18think I'm good. Okay. I just want to
- 47:20make sure.
- 47:20All right. When I look back at the
- 47:21previous day's close,
- 47:24we can expect continuation. Why?
- 47:27Um because this asset still has
- 47:30this high to draw on to.
- 47:32All right. Look at these equal highs. We
- 47:33can expect price to get this high, but
- 47:35we want We want to trade ideally
- 47:37obviously this asset cuz it's way
- 47:39stronger. It's way closer. But what do
- 47:40we do? We mark out EQ of the previous
- 47:42day's range,
- 47:43which is right here.
- 47:45What do we look for? A key level.
- 47:47Basically, fair value gap and
- 47:48continuation.
- 47:50This should form a low of day. This
- 47:52should form the low to get to the high,
- 47:53basically, right? And when we get to the
- 47:55high, that's when we get a new phase of
- 47:56price.
- 47:57So, what do we do? We open low into the
- 47:58gap first. What do we form?
- 48:01We don't form SMT with a gap, as you can
- 48:03see.
- 48:04With With none of these. With gold, do
- 48:06we do it?
- 48:07No.
- 48:09Okay, so what do you need? A PSP. So,
- 48:10boom, that PSP bearish close,
- 48:13bullish close. That confirms this low
- 48:16to get to the high, basically, okay?
- 48:20So, do you see how um that sequence
- 48:22worked out there?
- 48:23Um and that's the same day. You're going
- 48:24to see this happen multiple times this
- 48:26day.
- 48:27Um what about this continuation? You're
- 48:28going to see it actually continue, so
- 48:30you get a swing formation here, right?
- 48:32So, you get the the PSP forms a low of
- 48:34day. Now it's just London continuation,
- 48:36basically. Right? Mark out EQ of this
- 48:38range.
- 48:39But all all I'm really doing, guys, is
- 48:40is looking for a key level around the
- 48:42opening price of a higher time frame
- 48:43candle. So, when I look at here,
- 48:45like, what do we have?
- 48:47This is just simple GXT, right? This is
- 48:49GXT continuation sequence. Within the
- 48:51previous candle, what do we do?
- 48:54We hit a key level and reversed. So, the
- 48:56next candle should do what? It should
- 48:58expand. Right? Or Yeah, basically, next
- 49:01candle on the open should expand.
- 49:03If you have a If you don't know that
- 49:04sequence GXT, then
- 49:06look at my
- 49:07I think it's my last video, yeah. My GXT
- 49:08video. So, do we have SMT with this gap?
- 49:11Yes.
- 49:13And a PSP.
- 49:15Right? So, [clears throat] that's a
- 49:16two-stage sequence, but again, we don't
- 49:17need that. But we do have it, so it's
- 49:19very high probable.
- 49:21Um
- 49:22and yeah.
- 49:23How does lower time frame look here,
- 49:25guys? Let's look. Is there a V-shaped
- 49:26signature?
- 49:29Not really. Not initially. I would say
- 49:31this doesn't look like a V-shape. And
- 49:32there's no SMT here. I remember I
- 49:34checked this before the recording.
- 49:36There's no SMT here. If there's SMT
- 49:37here, this would be a B shape. But you
- 49:39see like how we don't have this strong
- 49:41like V shape through this low.
- 49:44Um what price is kind of doing here is
- 49:46just waiting for a new opening
- 49:48of a 4-hour candle and new hourly
- 49:50candle. So it kind of just messes around
- 49:52a little bit. This can happen because
- 49:54again, this this hourly candle can't
- 49:56reverse higher. So
- 49:58if it comes back up here really early on
- 49:59the candle, it can't expand higher. So
- 50:01it kind of might BS a little bit. So
- 50:03what you just wait for if you see maybe
- 50:05you don't trust the reversal ever, just
- 50:06wait for a gap to form
- 50:09for price to show you and let it respect
- 50:11the gap.
- 50:12Let it Let it um form that propulsion
- 50:14block off of that gap.
- 50:16Right? And then you can trade that. You
- 50:18can trade the continuations, you know,
- 50:19gap here, trade the continuation, etc.
- 50:22We sweep out that low, that's perfect.
- 50:24You know, trade that. You just demand a
- 50:26little bit more if you're not so sure
- 50:27about that, okay?
- 50:29That's a simple little rule there.
- 50:32Um so again, what are we seeing, guys?
- 50:34We're seeing the same things happen.
- 50:35You're seeing the same sequence happen
- 50:37multiple times in the same day.
- 50:38Um because that's how reversals form.
- 50:40That's how continuations form.
- 50:42Um so let's move on here.
- 50:44So this is going to kind of be talking
- 50:45about the higher time frame here.
- 50:47We're I was going to go super in depth
- 50:48with like most of these days, but I
- 50:50don't think we have time, guys.
- 50:52Um
- 50:53I don't I'm not sure if we have too much
- 50:54time here. So let's look here.
- 50:56So we have a higher time frame sequence
- 50:58here
- 50:59on the daily chart. So
- 51:00look here. Let's kind of split screen
- 51:02this a little bit.
- 51:05So what am I am?
- 51:07I am I am I am I am I am I am I am
- 51:11Let's go here. So look at this candle
- 51:13here.
- 51:19Okay, I don't want to mess with this too
- 51:20much because I do have drawings here
- 51:23on YM. So
- 51:24let's just look here. So this Wednesday
- 51:26candle is what creates the SMT. And you
- 51:28see how the closure itself is a PSP. Now
- 51:31typically again,
- 51:33this PSP candle is a bullish expansion
- 51:35candle. So ideally you want to see a
- 51:36two-stage PSP here. We don't get it.
- 51:38Um we do get some intraday strength
- 51:40switch here, but
- 51:42basically we have the two-stage SMT,
- 51:43okay? And we have the close here
- 51:46on NQ, right? We have this close.
- 51:48C2. That confirms the
- 51:51the key level SMT or the the universal
- 51:54model. Essentially just However you see
- 51:56it, you can see it as a couple of
- 51:58things. You can see it as external back
- 52:01into internal or
- 52:03internal of this range to external down
- 52:07here. Like it doesn't matter how you
- 52:08view it. If you view it on YM as order
- 52:10paying ranges, order paying range high
- 52:12to a low, or manipulation range,
- 52:14whatever you want to call it. It doesn't
- 52:15really matter.
- 52:16Um but initially it's just essentially
- 52:18trading back into EQ of this range
- 52:21and back to the low-hanging fruit low,
- 52:22which would be
- 52:25Monday's low.
- 52:27This is the first level here. And it's
- 52:29like when we engage, you know,
- 52:31basically we trade back into like
- 52:33internal range. It's like how do you
- 52:34know that price is not going to do this
- 52:37to go from internal to external? Well,
- 52:39do we have SMT with the gap? Are Are we
- 52:41forming reversal signatures here? If
- 52:42we're not, if we're just ripping right
- 52:43through it, then it probably is order
- 52:45paying ranges, right? We're going to
- 52:46target this low.
- 52:48Um
- 52:50and this is where strength switching
- 52:51comes in, which we're going to go over
- 52:52in a minute, but um so what are we going
- 52:54to do, guys? We're going to mark out EQ
- 52:56of this previous range.
- 52:57And what do we expect price to do?
- 53:00All right. Now let's let's think about
- 53:01it again from a fractal perspective.
- 53:04Okay, if you have a higher time frame
- 53:06reversal and draw liquidity,
- 53:08we're going to expect daily expansion
- 53:10candles away from that level.
- 53:12All right? So what's going to form the
- 53:13high of these high of the day of these
- 53:16expansion candles in the daily time
- 53:17frame is 4-hour gaps. But when we
- 53:19actually print multiple expansion
- 53:21candles in the same direction, we're
- 53:23going to create daily gaps.
- 53:25Okay? That support higher time
- 53:27continuations. See how it works? It's
- 53:28the same over and over, right?
- 53:31Sorry, I didn't mean to cuss, but let's
- 53:32look at Let's look back in the previous
- 53:34day's range here. Let's try to delete
- 53:35all this stuff. Let's look back in the
- 53:37previous day's range here. What do we
- 53:38have within this week, guys?
- 53:40Is a
- 53:414-hour gap.
- 53:43Right? This is where you want to see an
- 53:45SMT sequence, which we actually don't
- 53:47have. We don't have one here.
- 53:49Um so this is where you just wouldn't
- 53:51really trade it maybe.
- 53:52Um
- 53:54Here you do get a nice
- 53:56You do get a nice sweep, though. I will
- 53:58say that. You do get a nice sweep. So
- 54:00again, if you don't have For me at
- 54:02least, I require SMT, guys. That's just
- 54:04what I require.
- 54:05Um
- 54:07So if I don't have SMT at the very
- 54:09reversal, I just don't trade it. What do
- 54:11I wait for? A gap. I let price show me
- 54:14that it's going to reverse by creating
- 54:15gaps in price.
- 54:17So if you go on YM, it's a little bit
- 54:18weaker, but this could have been a
- 54:20potential opportunity, this gap here.
- 54:23That
- 54:23What do we need to see? An SMT in the
- 54:24gap. Um you have a gap here, but on
- 54:28YM, it's way weaker. Like Remember this
- 54:30is stronger, but um
- 54:33Wait, where are we at here? Yeah, we're
- 54:34here.
- 54:35This is actually stronger, but now
- 54:36actually weaker this day. This is how I
- 54:38anticipated this
- 54:40reversal from the expansion. We're not
- 54:41even going to go over this trade, but
- 54:42we'll go over
- 54:44um the one of these other trades. So
- 54:46again, like
- 54:48this gap
- 54:50can be used if you have some form of SMT
- 54:51sequence. This gap can be used.
- 54:54Right?
- 54:55This gap can be used, which is what I
- 54:58took later in the day.
- 55:00Let's go over this trade real quick.
- 55:03We're not going to go over my first
- 55:04trade. Um we're just going to go over
- 55:06this one real quick. So you have SMT
- 55:07with this gap here. So
- 55:10this here is 8:30 high. Let's go on ES.
- 55:158:30 high.
- 55:17Which would technically be up here, but
- 55:18you see how this gap is not filled here?
- 55:20We'll just use that one. So there's an
- 55:22SMT with that gap with YM.
- 55:25Right?
- 55:26Um
- 55:27and there's a PSP right here. So you see
- 55:28it's a bullish close and a bearish
- 55:31close, but you see how these markets are
- 55:32decoupled? This asset is really
- 55:34expanding lower right now, as you see.
- 55:37And then this asset is just
- 55:39consolidating. It's like retracing.
- 55:40Right? So this These assets are
- 55:41expanding into lows right now. Well,
- 55:43this one's in deep premium of the range.
- 55:46This is where
- 55:47This is the coupling, basically. This is
- 55:48where you see strength switch happening.
- 55:50So in order for a new sequence, in order
- 55:52for a new phase of price, typically, you
- 55:55want to wait for
- 55:57this asset to switch strength,
- 55:59basically.
- 56:00So
- 56:01that's what we're going to see.
- 56:03That is when we create retracements.
- 56:05When we create retracements,
- 56:07uh assets sweep highs out, they trade
- 56:09into gaps, and that's the trigger,
- 56:11right? So that's what you see here.
- 56:13This high right here
- 56:15or or this SMT is just a retracement on
- 56:19these assets, right? So you see this
- 56:21move opposing to the draw. How would be
- 56:23a How would we know this is likely going
- 56:24to work out? It's because the draw
- 56:26liquidity is still left open. This is
- 56:28Sunday.
- 56:29This is Sunday, the current week's low.
- 56:31That's like the very easiest draw
- 56:32liquidity of all time, right? This is
- 56:33not going to be low of day or low of
- 56:35week. This week opens high first.
- 56:37Remember we have that daily sequence.
- 56:39Very high probability we're going to get
- 56:40here because price has shown us that
- 56:41it's it has reversed. It's creating
- 56:44gaps. We're We're holding the gaps.
- 56:46Now we're creating equal lows. I mean,
- 56:47come on, dude. We're hitting that.
- 56:49We're absolutely hitting that level. So
- 56:51if you look here, what forms the high?
- 56:53So now we're trading intraday
- 56:54continuation. Pretty much what we're
- 56:56doing is trading off of the previous
- 56:574-hour range. What's in the previous
- 56:594-hour range?
- 57:00Is the gap.
- 57:01It's these gaps, basically. And this is
- 57:03where we get SMT two-stage SMT via
- 57:06consecutive candles. See this
- 57:08consecutive candle SMT?
- 57:11Which is a swing point. Um and now you
- 57:13get the strength switch PSP. So notice
- 57:15how this candle is bullish.
- 57:18YM is bearish. So this is when I still
- 57:21traded this asset being NQ. It's because
- 57:23we still have the draw liquidity. We're
- 57:25so close to draw liquidity. Um that's
- 57:28still when I trade it, right? And this
- 57:29is what I took. I posted this. What do
- 57:30we have here, guys? V shape signature.
- 57:34Gap. It doesn't matter the gap, how big
- 57:36it is. It's the V shape signature,
- 57:38really.
- 57:39And that shallow retracement in
- 57:41expansion. We want to see shallow
- 57:42retracements. That's why you can trust
- 57:43this
- 57:44these these small opposing candles. As
- 57:47long as you get in before we take out
- 57:48the draw liquidity. That's the main
- 57:50thing, guys.
- 57:51Um
- 57:52and you know, I took that trade and I
- 57:53posted it.
- 57:55I even recorded this for Lens members.
- 57:58Um yeah.
- 58:00It's about 4 out there.
- 58:02And I did take a loss this day, by the
- 58:03way.
- 58:04But again, losses don't matter. I took a
- 58:06loss on the same sequence, basically. Um
- 58:09it was just a 15-minute sequence. It was
- 58:10a 15-minute SMT fill. So you're going to
- 58:12see at one point, there's actually an
- 58:14SMT fill here at one point. It just
- 58:16failed. And I just lost the trade.
- 58:18Yeah, boohoo. Um losses happen. You're
- 58:21literally going to take losses with this
- 58:23sequence, obviously. With no model has a
- 58:25100% win rate. But I'm telling you
- 58:28I'm telling you over the long run,
- 58:30losses don't matter, dude. RR
- 58:34As long as you have a decent amount of
- 58:35RR, dude, you don't even need a high win
- 58:37rate. Like a 50% win rate, decent RR,
- 58:39like seriously, that's realistic. Um
- 58:41don't be thinking you're going to have
- 58:42like 80% win rate right off the rip or
- 58:44something. Um it's just not achievable,
- 58:47okay?
- 58:48Um so
- 58:50that's the sequence here, guys. And I'll
- 58:52show you the strength switch SMT fill
- 58:54here. Um so you're going to see
- 58:58Man, I I could show you guys I could
- 58:59show you so many days because it happens
- 59:01so often. I could show you this day here
- 59:03and the logic for it. We're just going
- 59:04to be here for a long time. So you have
- 59:06an SMT here at the low. So you can
- 59:08anticipate a reversal candle for two
- 59:10reasons. It's because we hit a key level
- 59:12with SMT, as you can see. That's one
- 59:14reason, but it's just a weekly profile.
- 59:17It makes sense to cap off this weekly
- 59:18range here, dude.
- 59:20Um because the weekly wick size. Look
- 59:22how large it is. Very large weekly wick
- 59:24size.
- 59:25So you know it can't expand past the
- 59:27open. You know it can't really expand
- 59:28past the weekly open very far.
- 59:30So if this is the perfect area to cap
- 59:31off the weekly range. Another reason why
- 59:34is because
- 59:35we're very overextended. So, when you
- 59:37have the previous day expand like this
- 59:39and then you continue the previous
- 59:41sessions, very highly likely you're
- 59:43going to get a New York uh retracement.
- 59:46Even if the even if we if even if the
- 59:48previous day doesn't expand like this,
- 59:50if just the previous sessions expand in
- 59:52one direction. Cuz you you're not going
- 59:54to expand in all three sessions. You're
- 59:56going to get a new phase of price. Um
- 59:59and that's just phase of price like 101,
- 1:00:01really. And here is just a straight um
- 1:00:04two-stage SMT, guys.
- 1:00:06So, again, I posted this, too. I took
- 1:00:09this, as well.
- 1:00:11Um
- 1:00:12and this is a two-stage sequence at the
- 1:00:14lows.
- 1:00:15What do we get on the lower time frame?
- 1:00:17V-shape signatures.
- 1:00:19Going to 3-minute here, you can see a
- 1:00:20little better. We're forming gaps. We're
- 1:00:22respecting gaps, so respecting order
- 1:00:25flow. This is a expansion signature. Um
- 1:00:29s- again, small gaps here.
- 1:00:31Right? Gap there. This is the sequence
- 1:00:34that I want to see and this is the SMT,
- 1:00:35by the way.
- 1:00:37This is the strength switch SMT, which
- 1:00:38is creating a 4-hour two-stage PSP.
- 1:00:42You guys can go study this and journal
- 1:00:43this. So, notice how this candle here
- 1:00:46is bearish on NQ is bullish.
- 1:00:49Right?
- 1:00:50And we do not take out this low.
- 1:00:52You all see that?
- 1:00:54And now I'm going to show you the second
- 1:00:55trade that I took is a strength switch
- 1:00:57SMT fill.
- 1:00:58So, when are you going to
- 1:01:01require a strength switch? Is when the
- 1:01:03leading asset trades into its draw on
- 1:01:05liquidity.
- 1:01:06That's when you require it. So, notice
- 1:01:08how NQ traded to this high. What do we
- 1:01:09have right below it? A 15-minute gap.
- 1:01:11So, I I use 15-minute gaps, too, in
- 1:01:14expanding markets, when when price is
- 1:01:17really expansive, right? Uh really
- 1:01:19volatile in one direction. Um typically
- 1:01:22this is going to form like the low of
- 1:01:24like 1-hour candles, for example. All
- 1:01:26right? So, cuz when I look here, when
- 1:01:28what am I really trading right now?
- 1:01:29Here's candle two, here's candle three.
- 1:01:31I'm trading candle four.
- 1:01:32When [clears throat] basically when you
- 1:01:33expand in candle two or candle three,
- 1:01:36usually I don't want to trade the next
- 1:01:37candle. Um because again, you get a new
- 1:01:40phase of price. So, I like to use
- 1:01:4115-minute gaps in that scenario. What
- 1:01:44makes up these expansion candles is
- 1:01:4715-minute expansion candles, which is
- 1:01:4915-minute gaps, basically, right? From
- 1:01:51the previous range. I mean, that's all
- 1:01:52we're doing, right? Doing the same
- 1:01:54thing, dude. You can't make it up.
- 1:01:56Previous candle, what do we have in it?
- 1:01:58Gap. All right. Strength switch, that's
- 1:02:00what what you need if you want to trade
- 1:02:01lagging asset. Notice how they both
- 1:02:04expanded away. Look how close it is.
- 1:02:06Typically, they're both going to hit. Um
- 1:02:09especially the middle asset here. It's a
- 1:02:10little bit different when it's decoupled
- 1:02:12like this with YM.
- 1:02:14But, um what do we have here? SMT fill.
- 1:02:17That's what I trade on. That's literally
- 1:02:19That's it. Exactly how it is in my
- 1:02:21slides. I mean, it's it's all
- 1:02:23mechanical. It happens the same every
- 1:02:25single time. What do we have here?
- 1:02:28Strength switch PSP. Bearish close.
- 1:02:31Bearish close.
- 1:02:32Bullish close right here. So, I took
- 1:02:34both of these trades. I just took this
- 1:02:36trade here, the lagging asset, the
- 1:02:38weakest asset to the gap. That's what I
- 1:02:40trade to.
- 1:02:42Um
- 1:02:43and I just want to show you guys that.
- 1:02:44That's kind of a trend, but now let's go
- 1:02:46over to this here.
- 1:02:48This is what I really [clears throat]
- 1:02:48want to show you guys. My higher time
- 1:02:50frame.
- 1:02:52So, what do we have here? So, notice how
- 1:02:54again,
- 1:02:56it's like this is how you you filter out
- 1:02:58SMT because some people are going to get
- 1:03:00faked out by this. They're going to see
- 1:03:01this as an SMT here and then a strength
- 1:03:04switch.
- 1:03:05When I look at YM,
- 1:03:08notice how this asset is the one that
- 1:03:10created the higher high, so it's
- 1:03:11stronger, technically. We have a bearish
- 1:03:13close.
- 1:03:14So, you think it's a strength switch
- 1:03:15where NQ has a bullish close. You think
- 1:03:17it's going to you know, reverse higher
- 1:03:19or something. But, what did they do at
- 1:03:21the initial high? What did we do up
- 1:03:23here?
- 1:03:24They all expanded away. You see that
- 1:03:27they all expanded away? So,
- 1:03:29this typically means they're all going
- 1:03:30to hit the same draw on liquidity. It's
- 1:03:32the same logic I just did on ES where
- 1:03:34they all expand ES and NQ expanded and
- 1:03:37then ES is really close to the that draw
- 1:03:39on liquidity. It's It's typically going
- 1:03:41to get there. So, when do we look for a
- 1:03:43strength switch sequence? Is when the
- 1:03:45leading asset hits the draw on
- 1:03:47liquidity. So, this is where NQ hit the
- 1:03:49draw on liquidity.
- 1:03:51Exactly when I want to see a strength
- 1:03:52switch. So, this is where we can get my
- 1:03:54favorite model, right? Which is a PSP
- 1:03:56SMT fill.
- 1:03:58Right?
- 1:03:59>> [clears throat]
- 1:03:59>> For basically YM to catch up to that
- 1:04:02low. So, notice how this is a PSP here
- 1:04:04and we trade to the gap on this asset.
- 1:04:07We get that SMT fill
- 1:04:10to break the SMT. Isn't that crazy?
- 1:04:13Um pretty cool, right?
- 1:04:17So, yeah. That's a great example there.
- 1:04:21Um
- 1:04:23I actually traded this day, too. Yeah, I
- 1:04:26did trade this day.
- 1:04:28Um
- 1:04:29because of that. So, the day opens up
- 1:04:31first, but also we can already
- 1:04:33anticipate this SMT forming, right? Um
- 1:04:36you you would anticipate NQ to trade to
- 1:04:39the gap, obviously, because it has the
- 1:04:40previous day close. But, what do we do
- 1:04:42here? Like to get to the gap on the
- 1:04:45daily. You mark a equilibrium of this
- 1:04:47daily close, right? What do we have
- 1:04:50within it? A 4-hour gap, dude. It's
- 1:04:52crazy. You have a 4-hour gap. So, what
- 1:04:55are you trading? GXT
- 1:04:57to um reverse to expansion candle,
- 1:05:00right? Um how do you confirm the low of
- 1:05:03this of this gap? You either want to see
- 1:05:05SMT in the gap. In this case, we don't
- 1:05:06have it. All assets traded to the gap.
- 1:05:09So, what do you wait for?
- 1:05:11A swing formation in the gap.
- 1:05:14And you you need to see some type of SMT
- 1:05:15sequence. So, you see this candle here?
- 1:05:17How it it hits the gap?
- 1:05:19And it basically um confirms the low of
- 1:05:22the 4-hour candle.
- 1:05:23And this candle over here is bullish and
- 1:05:26this one's bearish. See that? That's the
- 1:05:28PSP. There's your sequence. So, now what
- 1:05:30do you need to see?
- 1:05:31That lower time frame reversal
- 1:05:33signature, V-shape. V-shape signature,
- 1:05:35that's what confirms it. Um I wish I was
- 1:05:38freaking watching this. I would
- 1:05:39absolutely taken it. You get your your
- 1:05:41gap here, your CSD. I mean, perfect. I
- 1:05:44mean, that's perfect, bro.
- 1:05:46Um
- 1:05:47and I've been trading this. I took Asia
- 1:05:49today. Um I'm wondering if I'm logged in
- 1:05:51on Trade Away. I'll show you.
- 1:05:54I already posted it, but yeah, this is
- 1:05:55something you could take into the gap.
- 1:05:56Something like that.
- 1:05:582R. Whatever, right?
- 1:06:03>> [clears throat]
- 1:06:03>> Oh my god, this is taking forever, dude.
- 1:06:04Asia session be like especially on
- 1:06:07indices.
- 1:06:09All right. We ultimately get there. It
- 1:06:11took a little while till London session,
- 1:06:12but we got there, right? Um
- 1:06:14and that would be to basically trade the
- 1:06:16manipulation of the daily candle. It
- 1:06:18It's very logical right there. Um but I
- 1:06:20took this. Sorry, I got a little bit off
- 1:06:22topic here.
- 1:06:24But, what do we do when we when we hit
- 1:06:26this?
- 1:06:27When we create the SMT, guys, what do we
- 1:06:28do? We expanded away. That confirms the
- 1:06:32SMT. That is the reversal signature I'm
- 1:06:34talking about, the fractal nature of
- 1:06:36what we're talking about. Now, the only
- 1:06:38thing that I don't require, guys,
- 1:06:39necessarily, is is for example, like
- 1:06:42this is a daily model here. So, the
- 1:06:43alignment would be like daily hourly,
- 1:06:45technically, to see the V-shape and the
- 1:06:47CSD and the gap. But, I don't have to
- 1:06:49wait for that to form. I can trade the
- 1:06:50reversal. Now, if I want to trade
- 1:06:52continuation, that's what you're going
- 1:06:53to want to see, okay?
- 1:06:54So, if I want to trade continuation,
- 1:06:56guys, what am I looking for? We already
- 1:06:57know, gap, right? Um ideally, though, I
- 1:07:00will say,
- 1:07:01I wish it was this gap. Like, it would
- 1:07:03be better if it was this gap, not going
- 1:07:04to lie. Like, you want more closer
- 1:07:06proximity gaps. This is kind of a high
- 1:07:08in the range, but it's slightly okay.
- 1:07:10Here's why it's slightly okay. It's
- 1:07:12because we hit a low.
- 1:07:14So, this can be a deeper retracement cuz
- 1:07:16this can be a new phase of price. But,
- 1:07:18if we didn't hit that low and we went
- 1:07:19really high in the range, like that's
- 1:07:20not something you want to see. Um but do
- 1:07:23[clears throat] we have SMT in the gap?
- 1:07:25Yeah, we do.
- 1:07:28Um which is right there, 5:00.
- 1:07:32Wait, am I capping? Come on. Is it ES?
- 1:07:34Oh, it's ES. Um it's with ES. There,
- 1:07:36boom.
- 1:07:37Um so, we have that, but we don't have a
- 1:07:39technically don't have a closure here.
- 1:07:40But, we do on YM. So, you see what I
- 1:07:41mean? Like, you can use other assets to
- 1:07:43confirm it. All I need to see, really,
- 1:07:45is I need to trade an expansion candle
- 1:07:47away from a reversal. Like, that's what
- 1:07:49you really want to see. And then I want
- 1:07:51to see that reversal signature.
- 1:07:53So, what I want to see? The V-shape,
- 1:07:54right?
- 1:07:55So, you see this V-shape signature that
- 1:07:57we create?
- 1:07:59This gap I also took this. I posted it.
- 1:08:01Um so, when we hit this gap here,
- 1:08:03it kind of bullshits a little bit. Um
- 1:08:06there's an SMT here, SMT fill.
- 1:08:09And then we get the 3-minute close here.
- 1:08:14That's what I took.
- 1:08:16It was a little choppy for a little bit,
- 1:08:17for sure.
- 1:08:19Um but, that's what I took. Into
- 1:08:23what low was it?
- 1:08:24I think I just took 2R, yeah.
- 1:08:26I think I just took 2R. Yeah, it was
- 1:08:28that right there. There's something
- 1:08:30close to that. Really.
- 1:08:32Um it chopped a little bit, but then it
- 1:08:33ultimately got there and that was my
- 1:08:34trade right there. Because I knew it was
- 1:08:36going to be decoupled It was going to be
- 1:08:38pretty decoupled. Like, look how close
- 1:08:40YM is to these lows. So, when it hits
- 1:08:42when YM hits this low, it's like NQ is
- 1:08:44super high in the range, which is you're
- 1:08:46probably going to get a reaction. Um
- 1:08:48some sort of like new phase of price,
- 1:08:50but yeah, that's that's example there.
- 1:08:53Um just going from the top down there.
- 1:08:56I think we're just going to stop with
- 1:08:57the NQ here. Let's move on to maybe
- 1:09:00Let's move on to a loss. This is one I
- 1:09:01look took yesterday. So, you're watching
- 1:09:03this on Friday like super early in the
- 1:09:06morning. I took this Thursday loss.
- 1:09:09Let's look at the sequence, though.
- 1:09:11SMT with the previous day low.
- 1:09:14So, just looking for a phase new phase
- 1:09:16of price, potentially, right?
- 1:09:17So, [clears throat]
- 1:09:18this is the SMT here. Now, I know this
- 1:09:20is likely a retracement for two reasons.
- 1:09:23For one, we're leaving these equal lows,
- 1:09:25right? We're really deep in this range.
- 1:09:27We're probably going to take it. But
- 1:09:28also the weekly candle. The weekly
- 1:09:30candle does not support a bullish move
- 1:09:31higher. So, this is what I wanted to
- 1:09:33happen.
- 1:09:34I I would I was going to ping pong this
- 1:09:36dog like
- 1:09:37if it happens, so.
- 1:09:39If we did this, so you see how this wick
- 1:09:41is really small right here?
- 1:09:43How this this wick is very very large
- 1:09:45even before we had this move lower, it
- 1:09:47was very very large. So, we know that
- 1:09:49price cannot if it reached this high,
- 1:09:50which is a Monday's high or Tuesday or
- 1:09:53is it Yeah, Monday's high.
- 1:09:54When it reaches that level, it's going
- 1:09:56to create SMT with YM.
- 1:09:57And we know it can't expand past the
- 1:10:00opening price.
- 1:10:01Oh, you know, of this of this um
- 1:10:04week. So, this is how you would time
- 1:10:07that
- 1:10:08this retracement to be over is with this
- 1:10:10SMT with this high. But we didn't really
- 1:10:12reverse off of anything, so
- 1:10:14um unfortunately, right? But
- 1:10:17when I see this sequence, it's very very
- 1:10:19nice, dude. Like I don't care if it's a
- 1:10:20loss, it's so clean.
- 1:10:22Um
- 1:10:23So, I'm going to show you how you can
- 1:10:25use 4-hour gaps in continuation. And
- 1:10:28that's only only when Asia is the low of
- 1:10:31day because what you're basically going
- 1:10:33to have is price expanding right off the
- 1:10:34opening price of the daily candle.
- 1:10:37You're going to create 4-hour expansion
- 1:10:38candles away from the low of day, which
- 1:10:40creates 4-hour gaps, right?
- 1:10:42So, we have this. We don't have SMT with
- 1:10:44the gap, so we get SMT
- 1:10:46in the gap to confirm it.
- 1:10:48Plus you YM.
- 1:10:49YM takes out that low.
- 1:10:52Um
- 1:10:53so, that confirms it, right?
- 1:10:55So, again, you're going to confirm the
- 1:10:57low of this 4-hour candle with a swing
- 1:11:00formation or you're going to confirm the
- 1:11:02low of this
- 1:11:04basically um
- 1:11:064-hour candle
- 1:11:08and um
- 1:11:09key level with the swing formation. So,
- 1:11:11here's a swing formation.
- 1:11:12Right?
- 1:11:13Um so, you can trade it if you have the
- 1:11:15V-shape signature. Do we have it? Yes,
- 1:11:17we have a little gap here. You have the
- 1:11:19you know, you're expanding away, it's
- 1:11:21good.
- 1:11:22But when we expand away,
- 1:11:24remember when when price expands away
- 1:11:26from this reversal, creates expansion
- 1:11:27candles, which create gaps. It's a very
- 1:11:29very small gap, but if I was awake, I
- 1:11:32was not awake for this for an IP.
- 1:11:35This is If you see my driver video, you
- 1:11:37already know.
- 1:11:38Um
- 1:11:39we want to use we want the driver to hit
- 1:11:41these fair value gaps and reverse price.
- 1:11:43And this is where YM hits this gap
- 1:11:46or trades into this candle's low. So,
- 1:11:48basically what we have is reversal prior
- 1:11:50to driver expansion, a draw on liquidity
- 1:11:52open, which is super clean.
- 1:11:55Um which is aligned. Remember, this draw
- 1:11:57on liquidity is aligned with this draw
- 1:11:58on liquidity. This is what I mean, we're
- 1:11:59aligning lower time frame models with
- 1:12:00higher time frame models, right?
- 1:12:02Um so, this is where the driver trades
- 1:12:03the gap, has SMT with it.
- 1:12:06Um super clean. Like this is something
- 1:12:07you could definitely trade right here.
- 1:12:08Um like just take it on the gap or
- 1:12:10something
- 1:12:11because this closes a little bit high.
- 1:12:13So, you probably demand you probably
- 1:12:15wanted to demand a retest. You don't get
- 1:12:16the retest. If you create a gap, you
- 1:12:18just enter from the gap. Your stop loss
- 1:12:20is at the body.
- 1:12:21And this is a good trade, you know, take
- 1:12:23it like that, right?
- 1:12:24Um but I do wake up at 9:30 here.
- 1:12:27And again,
- 1:12:29what am I basically trading?
- 1:12:30Continuation. So, this 4-hour candle is
- 1:12:32already an expansion candle. So, this is
- 1:12:34GXT aligned sequence, right? We're just
- 1:12:36going to create
- 1:12:38um new swing formations when it with an
- 1:12:40already existing 4-hour expansion
- 1:12:41candle.
- 1:12:43Um we're going to trade um swing points
- 1:12:45from gaps.
- 1:12:46So, this is my favorite model, by the
- 1:12:47way. Where this 9:00 candle is bearish
- 1:12:50and creates a gap.
- 1:12:53Uh which is a PSP, so.
- 1:12:559:00 here is a bullish candle. So, you
- 1:12:57guys see it, right?
- 1:12:59My favorite model, by the way. This
- 1:13:01happens at 9:30.
- 1:13:03So, obviously I Again, it's the same
- 1:13:05thing down here. Literally the same
- 1:13:06thing happens back to back. It's just
- 1:13:07not a PSP sequence.
- 1:13:10I want the driver to trade into the gap
- 1:13:11and reverse price,
- 1:13:12right? [clears throat]
- 1:13:13So, this is what we get here, 9:30.
- 1:13:15Like bro, I'm taking this every time.
- 1:13:17Like what?
- 1:13:18Literally taking this every time.
- 1:13:20Here's the SMT.
- 1:13:21The CSD.
- 1:13:23Um I think I entered here, by the way.
- 1:13:25So, I entered on way up here, which to
- 1:13:27me the stop loss is too big, so that's
- 1:13:29why I put my stop loss here.
- 1:13:31And I lose because of that. Um it
- 1:13:33literally wicks me out to the T and then
- 1:13:36goes a little bit higher.
- 1:13:38Um
- 1:13:39I think it comes back anyways. Yeah, it
- 1:13:40comes back anyways.
- 1:13:41Uh
- 1:13:42yeah, wicks me to T there, sorry.
- 1:13:44Um but that was just to create SMT at
- 1:13:47this low for some whatever reason. Like
- 1:13:49NQ wanted to basically take out this low
- 1:13:51here, which causes ES to retrace,
- 1:13:54which causes me to lose because my stop
- 1:13:56loss is not on this low. Just probably
- 1:13:59should be, but that's how that's how I
- 1:14:00put my stop losses sometimes, so. It is
- 1:14:02what it is, all right? Live and die by
- 1:14:04it.
- 1:14:05Um so, I take a loss there, that's all
- 1:14:07good. So, I just it's still valid to
- 1:14:08enter, so I just enter off this one,
- 1:14:10this CSD here.
- 1:14:12Um and I'm thinking this is going to rip
- 1:14:13at 9:30, by the way, because typically
- 1:14:15if you have an open draw like this,
- 1:14:17the profile is super clean, in my
- 1:14:19opinion.
- 1:14:20Um
- 1:14:21I think this is going to go in, dude.
- 1:14:23And it does go for a little bit. Like
- 1:14:25this is a
- 1:14:26It could be a winning trade, for sure.
- 1:14:28Like it goes 2.3R. This is probably a
- 1:14:30winning trade for a lot of you guys if
- 1:14:31you just target 2R or maybe partial. I
- 1:14:33didn't even partial here.
- 1:14:35I didn't go break even.
- 1:14:37Uh I usually go break even, honestly. I
- 1:14:39just didn't do it there.
- 1:14:40It's like a discretionary decision. I
- 1:14:42just thought it was too high probable
- 1:14:43not to get there.
- 1:14:46And it Yeah, you see it takes me out and
- 1:14:48then it goes higher a little bit.
- 1:14:50All right, and then it just BSs and then
- 1:14:51reverses off of like kind of like
- 1:14:52nothing.
- 1:14:53But if you look here, guys, let me show
- 1:14:55you something here.
- 1:14:57Let me go to RTY.
- 1:15:00And I didn't even look at RTY, bro. I
- 1:15:02was too busy looking at this.
- 1:15:04RTY actually does trade to the gap. It
- 1:15:06literally does give us that logic.
- 1:15:09Right? Look at the weekly candle. It's
- 1:15:10just creating a new high of the week
- 1:15:12high of week here.
- 1:15:13SMT with the gap.
- 1:15:15And you get a strength switch, bro.
- 1:15:19I don't know I'm saying bro, but get a
- 1:15:20strength switch on the 90-minute. It's a
- 1:15:24which is even higher probable,
- 1:15:25obviously, guys. Sequential SMT strength
- 1:15:27switch. Look right here, 9:00 does not
- 1:15:29get taken. What about on YM?
- 1:15:32Boom, it does get taken.
- 1:15:34So, it's like, bro, I would have so
- 1:15:36taken that, bro. It is what it is, but
- 1:15:38we can trade What do we What can we
- 1:15:40trade, right? We can trade continuation.
- 1:15:42You typ- typically trade that. But
- 1:15:44again, I'm I was streaming with um
- 1:15:46>> [clears throat]
- 1:15:47>> with the lens, so I missed this as well.
- 1:15:50Um I was doing a
- 1:15:51a lecture, so wasn't even on the charts,
- 1:15:54really.
- 1:15:55Um actively looking, but this is a a
- 1:15:57strength switch
- 1:15:58because again, what are all assets
- 1:16:01doing? They're reversing, so initially
- 1:16:03typically they're all going to get the
- 1:16:04same low here.
- 1:16:05So, notice how YM took out this low,
- 1:16:06failed to reverse, and it trades into
- 1:16:08the gap here.
- 1:16:09This is the gap right here. It trades
- 1:16:11into the gap when it was previously
- 1:16:12weaker.
- 1:16:16This asset has an SMT fill.
- 1:16:19So, again, you can trade this as a
- 1:16:21lagging asset to low. That is your
- 1:16:24your new swing formation essentially,
- 1:16:25right?
- 1:16:26That you'd be waiting for in the
- 1:16:27sequence. Do you see how it it's the
- 1:16:29same thing every time? You just can't
- 1:16:31make it up. It's the most consistent
- 1:16:32logic
- 1:16:34ever. Like honestly.
- 1:16:35It's kind of crazy.
- 1:16:37Um
- 1:16:38>> [clears throat]
- 1:16:39>> I'll go over this one, too.
- 1:16:40At this point, I'm just showing you
- 1:16:41everything.
- 1:16:43Um here's a good one.
- 1:16:45Again, daily.
- 1:16:47It's just daily um model here, right?
- 1:16:50Manipulation of the range high.
- 1:16:52We get some form of bullish candle here.
- 1:16:54We know it's likely going to be a
- 1:16:56retracement because like whatever you're
- 1:16:57reversing from. If you come this deep in
- 1:16:59a range where you didn't find support
- 1:17:01internal here, you're going to go to the
- 1:17:03external range as a draw on liquidity
- 1:17:05typically.
- 1:17:06Um
- 1:17:07so, this is where
- 1:17:09you kind of just open up um the week
- 1:17:11here
- 1:17:12next to Friday's high and then we just
- 1:17:14reverse off of it. So, Monday reversal.
- 1:17:17Really? So, you're going to look within
- 1:17:19this reversal candle.
- 1:17:21What do we got? Gap. So, notice how
- 1:17:24we're opening in the gap already.
- 1:17:26Okay.
- 1:17:27We're opening in the gap already. Look
- 1:17:28at YM, the correlated asset. SMT fill
- 1:17:30already.
- 1:17:32So, what do we have here is the
- 1:17:34two-stage PSP sequence where you have an
- 1:17:37SMT with the gap
- 1:17:39and a PSP.
- 1:17:42So, what do you What you can expect? A
- 1:17:43two-stage PSP to form.
- 1:17:45I actually took this and I uploaded it
- 1:17:47as well.
- 1:17:48So, these are all trades that I take. I
- 1:17:49actually trade this stuff, like
- 1:17:51and uh
- 1:17:53yeah, I'm not just like selling you some
- 1:17:55It's all free. No reason to lie to
- 1:17:57you. What do we have here, guys? V-shape
- 1:17:59signature. So, again,
- 1:18:01if I'm going to take Asia positional
- 1:18:02entry like this, I'm going to use
- 1:18:05like basically higher time frame draw on
- 1:18:07liquidity, higher time frame
- 1:18:08confirmation. Like especially Asia, I'm
- 1:18:10just going to use a higher time frame.
- 1:18:12Um
- 1:18:13I guess uh what's it called?
- 1:18:16Confirmation, so. There's no reason to
- 1:18:18go lower time frame here when I can
- 1:18:20literally enter off of the
- 1:18:2230-minute and get 7R, basically. I
- 1:18:24forgot where I entered exactly.
- 1:18:26Dude, it might be even up here. I don't
- 1:18:28even remember, dude. But it was a very
- 1:18:29good trade.
- 1:18:30You can go look on my Instagram or um
- 1:18:33X, you can find this. It's a
- 1:18:353rd of November.
- 1:18:36But yeah, I hold this position
- 1:18:40overnight.
- 1:18:42And um
- 1:18:43yeah, it's really clean. So, again, so
- 1:18:46when Asia is the high of day, guys, when
- 1:18:48Asia is high of the day,
- 1:18:50you you can use a 4-hour gap for
- 1:18:52continuation.
- 1:18:53And I'd pretty sure I took it on NQ.
- 1:18:57Yep, I did. So, I murdered this day.
- 1:19:00Um I took NQ here. So, there's no SMT in
- 1:19:02the gap.
- 1:19:05See how the Okay, there technically is.
- 1:19:07There's SMT like with this high,
- 1:19:08technically.
- 1:19:09But [clears throat]
- 1:19:11you get 90-minute sequential SMT here.
- 1:19:14Um this is what I mean by timing trades,
- 1:19:16timing reversals with um with correlated
- 1:19:19theory. Whether you believe it or not,
- 1:19:21I've seen it too many times. It's pretty
- 1:19:22good.
- 1:19:23I'm here you get right here. Wait for
- 1:19:2510:30. That's when 10:00 a.m. reverses,
- 1:19:27right?
- 1:19:28Um you're going to see YM takes it out.
- 1:19:30ES think takes it out as well. Yep.
- 1:19:33And this is where the market reverses.
- 1:19:34So, again, what is the the thing we look
- 1:19:37for to confirm this?
- 1:19:39Is a swing formation.
- 1:19:42In this case, it's tech You have to view
- 1:19:44it kind of as like a
- 1:19:45technical candle three because we're
- 1:19:47Again, it's like GXT where
- 1:19:49the previous candle hit the gap, but it
- 1:19:51also closed reversal candle. So, this is
- 1:19:53like continuation, but technically, this
- 1:19:55is not the reversal. It's actually this
- 1:19:56candle's reversal
- 1:19:58because the other asset's manipulated.
- 1:20:00So, either way, it doesn't really
- 1:20:01matter.
- 1:20:02It supports expansion. The the current
- 1:20:04candle you're trading supports
- 1:20:05expansion. That's what matters. Oh,
- 1:20:07yeah, you are trading a reversal candle
- 1:20:08already, so
- 1:20:09doesn't matter. [clears throat]
- 1:20:10So, here's the SMT. Like what do we
- 1:20:12have? V-shaped signature.
- 1:20:14Right? So, you could enter this first
- 1:20:16here.
- 1:20:18We should have, but I didn't.
- 1:20:19Um I again just waited for a gap.
- 1:20:22CST. I mean, it's that simple, right?
- 1:20:25So, this is my trade.
- 1:20:28Into these lows.
- 1:20:30I don't know where I targeted again.
- 1:20:31I'll remember like where I TP'd and
- 1:20:33stuff like that, but probably here. I
- 1:20:36was I was saying.
- 1:20:37We'll just do it for the video. Probably
- 1:20:39there.
- 1:20:40Um I'm pretty sure it is.
- 1:20:42And that's really it. Right? Pretty
- 1:20:43simple, right?
- 1:20:45Um
- 1:20:47And let's get into some more a little
- 1:20:48bit more. And we're going to really need
- 1:20:50to wrap this up pretty soon, guys.
- 1:20:52We really do.
- 1:20:53So,
- 1:20:54what about over here?
- 1:20:59Weekly model.
- 1:21:01On the right side of the room, so we're
- 1:21:02manipulating the range low.
- 1:21:04Again, do we have SMT to this low? Let's
- 1:21:05check.
- 1:21:10Uh I think I've had this open the whole
- 1:21:11time. If I did, I'm sorry.
- 1:21:13Do you have SMT to the low?
- 1:21:15No.
- 1:21:16I don't think.
- 1:21:17Um hold on.
- 1:21:19I don't think we do if I remember. Yeah,
- 1:21:20there's no SMT to the low, I don't
- 1:21:21think. So, if there's no no SMT to the
- 1:21:23key level itself, what do we look for?
- 1:21:25PSP. Here's a weekly bullish candle.
- 1:21:28Bearish candle.
- 1:21:30See how it closes are more of a
- 1:21:32expansion candle? Doesn't close back
- 1:21:33inside that candle.
- 1:21:35This is where you get a two-stage PSP,
- 1:21:36so
- 1:21:37what are we going to do
- 1:21:39within weekly expansion candles? We're
- 1:21:41going to look for daily gaps to support
- 1:21:42price higher, right? So, you see all
- 1:21:44these gaps here? The gap here.
- 1:21:47Um this SMT with like previous candle's
- 1:21:50lows, like this one.
- 1:21:52That's what we're going to be using,
- 1:21:53right? So, um the draw on liquidity is
- 1:21:55still open, so this is what I took. I
- 1:21:57also posted this.
- 1:21:59So, this is a continuation
- 1:22:00[clears throat] PSP, two-stage PSP
- 1:22:02because uh we're in continuation, right?
- 1:22:04We're in expansion towards the draw on
- 1:22:05liquidity. This is where we anticipate
- 1:22:06this to happen. So, this candle here,
- 1:22:08guys, is bullish on one asset.
- 1:22:11Um see how it's bullish? And then we
- 1:22:13close or we don't take that low out, but
- 1:22:16over here we do, right? So, now we get a
- 1:22:17closure to confirm
- 1:22:20whatever this retracement is to
- 1:22:21basically end the retracement to expand
- 1:22:23again. That's how we're timing
- 1:22:25expansions. It's with
- 1:22:27um
- 1:22:28essentially with um SMT.
- 1:22:30So, the key level here, there's no key
- 1:22:31level on daily, but this previous is
- 1:22:33low.
- 1:22:33It's simply
- 1:22:35a four-hour relevant low, as you see.
- 1:22:38So, we're manipulating this relevant
- 1:22:39low. We're going to target this high.
- 1:22:41So, what do you guys see here?
- 1:22:43So, remember, it's a fractal concept.
- 1:22:47If this is like a higher time frame
- 1:22:49reversal, and I want to trade trade a
- 1:22:51continuation, what are we going to wait
- 1:22:52for?
- 1:22:54We're going to wait for price to expand
- 1:22:55away. So, remember what happens when we
- 1:22:57hit opposing highs and stuff like that?
- 1:23:00When we expand with initial reversal hit
- 1:23:01opposing highs, we're going to get new
- 1:23:02face of price from a fair value gap. So,
- 1:23:04that's all you're going to wait for.
- 1:23:06This is where I literally enter from the
- 1:23:07gap.
- 1:23:08So, this is the daily close. I put my I
- 1:23:10put a limit at the low cuz I know that
- 1:23:13price hasn't reversed in the gap. It has
- 1:23:14to sweep this low out at least.
- 1:23:16And I put my stop loss on the gap low
- 1:23:18itself.
- 1:23:19I TP here
- 1:23:21at the previous high.
- 1:23:23Right? I take a positional entry here
- 1:23:24because
- 1:23:25we have the SMT, we have the reversal
- 1:23:28signature.
- 1:23:29That's the confirmation. I don't even
- 1:23:30need to trade anything else. Like we're
- 1:23:33opening near the level. So, we need open
- 1:23:35up near the invalidation level, which is
- 1:23:37a gap or something. Um
- 1:23:40then that literally you can anticipate
- 1:23:41Asia reversal or London reversal, right?
- 1:23:43Because you don't expect a New York
- 1:23:45reversal because
- 1:23:46I mean, if we're opening near that key
- 1:23:47level, then that would mean that Asia
- 1:23:49and London just consolidated in the key
- 1:23:51level. That We want price to hit the key
- 1:23:53level and expand quickly. We also have a
- 1:23:55four-hour gap here as well, by the way.
- 1:23:57So, you either way you look at it, I'm
- 1:24:00just looking at it on the hourly. Looks
- 1:24:01a bit cleaner, and I can put my stop
- 1:24:03loss here. Whereas like on here, I have
- 1:24:05to put it like way down here, which is
- 1:24:06not so necessary.
- 1:24:08Anyways,
- 1:24:09we'll do one more. This is insanely
- 1:24:11long. This is actually ridiculous.
- 1:24:14But here, what do we have?
- 1:24:16Potentially
- 1:24:18weekly
- 1:24:19basically external to internal, right?
- 1:24:22So, the previous week reversed. So, what
- 1:24:24are we going to do?
- 1:24:25Mark out equilibrium of the
- 1:24:27range low. So, ideally, we want to see
- 1:24:28this week do what? Open low into a daily
- 1:24:31gap. That's the alignment. And and go
- 1:24:33higher.
- 1:24:34So, you're going to see how this week
- 1:24:35forms.
- 1:24:38So, I think it does hit the gap like
- 1:24:39here.
- 1:24:41It already hit the gap, I think. I
- 1:24:42believe.
- 1:24:43But yeah, it did. But essentially, we
- 1:24:46form SMT with a key level. So, we have
- 1:24:48like this V-shaped signature. From the
- 1:24:51previous week's candle. That kind of
- 1:24:52confirms it. But now we hit this aligned
- 1:24:55gap here, and you have a two-stage
- 1:24:57sequence here.
- 1:25:01Let's show you DXY or not DXY.
- 1:25:04Um euro.
- 1:25:06So, you see we don't trade at the gap.
- 1:25:07You have SMT fill and a PSP here. So,
- 1:25:10then you have a two-stage PSP there. So,
- 1:25:14or a two-stage SMT, sorry.
- 1:25:16So, now you see how it's the same thing,
- 1:25:17but now it's just on the daily.
- 1:25:19Um now you can expect this next day to
- 1:25:21expand.
- 1:25:22And when I go to lower time frame here,
- 1:25:24we have a news event at 2:00.
- 1:25:27And there is no low of the day printed,
- 1:25:30right? This clearly is not a reversal
- 1:25:32signature because this is deep
- 1:25:33retracement. So, what do you want to
- 1:25:34see?
- 1:25:35This news event right here manipulate
- 1:25:37this low to pair it with the driver. So,
- 1:25:41what do we do?
- 1:25:43We manipulate the low at the driver.
- 1:25:44Perfect.
- 1:25:46Then we also
- 1:25:48create SMT with that low.
- 1:25:49Perfect, right? Um what do we have here?
- 1:25:52Do we have a V-shaped signature?
- 1:25:54Yes, V-shaped signature. Gaps. So, we
- 1:25:57want to see.
- 1:25:58But when price expands away,
- 1:26:00right?
- 1:26:01What's going to create gaps? Now, when
- 1:26:03the leading assets trades into
- 1:26:06objectives, what do we look for?
- 1:26:08A strength switch. So, euro trades into
- 1:26:11objectives up here. You're going to get
- 1:26:13new face of price. Where is that face of
- 1:26:14price going to be capped off of? Gaps.
- 1:26:17How do we confirm this gap?
- 1:26:19With a swing formation.
- 1:26:21Right?
- 1:26:22Or an an SMT sequence. So, here,
- 1:26:25this asset's going to trade into the
- 1:26:26gap.
- 1:26:28Again, it's the most recent gap, by the
- 1:26:29way, from the previous four-hour
- 1:26:31candle's range. See that?
- 1:26:33The previous four-hour range. So, boom,
- 1:26:34we trade at the gap. Does the other
- 1:26:35asset trade in the gap? No, it doesn't.
- 1:26:38Which is what? A strength switch.
- 1:26:41Because this asset hasn't actually
- 1:26:42reached any draw on liquidity. It hasn't
- 1:26:44even hit the previous high
- 1:26:46or whatever highs these are.
- 1:26:47So, that's the strength switch, and
- 1:26:49that's the trigger for again expansion.
- 1:26:51And you want to trade this asset here.
- 1:26:55As you see, we get there.
- 1:26:56Um so, that's going to wrap it up
- 1:26:58today, guys.
- 1:27:00I really hope you guys enjoyed something
- 1:27:01or learned something here.
- 1:27:03I hope you find value in it.
- 1:27:05I promise [clears throat] you if you
- 1:27:06study this video, study my content, um
- 1:27:09put it all together. I tried my best to
- 1:27:11put it all together for you guys, but I
- 1:27:12can't do it all for you.
- 1:27:14Um
- 1:27:16yeah, just continue to watch these on
- 1:27:18repeat, and you will learn.
- 1:27:21And um yeah, I really wish the best for
- 1:27:23you guys, and
- 1:27:24I'll try to put out video at some point
- 1:27:27when I can, guys.
- 1:27:29And hopefully this wasn't too long.
- 1:27:31Hopefully you guys are okay with it
- 1:27:32being so long, but
- 1:27:34yeah, I'll catch you guys later, and uh
- 1:27:36you have a good one, and stay safe.
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