The PERFECT SCALPING Strategy That Actually Works... — Transcript

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1. 0:00If you're looking for a scalping
2. 0:01strategy that works on low time frames,
3. 0:03has a high probability of success, and
4. 0:06is easy to execute, then this video's
5. 0:08for you. Today, I'm going to reveal a
6. 0:10unique scalping strategy that works
7. 0:12every single day and can be traded on
8. 0:15any asset. Now, to prove that this
9. 0:17strategy actually works, I'm also going
10. 0:19to show real trade examples of this
11. 0:21strategy in live market conditions, so
12. 0:23you can confidently trade it yourself
13. 0:25after watching this video. So, without
14. 0:27further ado, let's dive in. Now, this
15. 0:30strategy revolves around a concept
16. 0:32called manipulation. So, what is
17. 0:35manipulation? In simple terms,
18. 0:37manipulation happens when price breaks a
19. 0:39liquidity level and then quickly
20. 0:41reverses in the opposite direction.
21. 0:43Let's look at an example. Let's say we
22. 0:46have a support level on the chart. Now,
23. 0:48common trading knowledge would teach us
24. 0:50that because price has rejected this
25. 0:52level multiple times before, there's a
26. 0:54good chance price will reject it again.
27. 0:57So, when price reaches the support
28. 0:59level, the typical strategy is to take a
29. 1:01buy position at that support level with
30. 1:04a stop loss slightly below it and expect
31. 1:06price to reverse higher.
32. 1:08However, what usually happens when you
33. 1:10trade like this is that instead of
34. 1:12bouncing, price will sweep below the
35. 1:14support level, triggering your stop loss
36. 1:17first, only to then reverse and move in
37. 1:19the exact direction you originally
38. 1:21wanted. And I'm sure every trader on
39. 1:24Earth has experienced this at some point
40. 1:26during their trading career.
41. 1:28Now, this exact concept is what we call
42. 1:31manipulation, which is when price gets
43. 1:34manipulated into hitting people's stop
44. 1:36losses, only to then recover shortly
45. 1:39after.
46. 1:40Now, some of you might ask, "What makes
47. 1:42manipulation so unique? Why do we use
48. 1:45this concept as our strategy?"
49. 1:47The reason is because manipulation often
50. 1:50signals that price has bottomed out and
51. 1:52is usually followed by a strong reversal
52. 1:54after, which means if we can properly
53. 1:57time our entry during a manipulation
54. 1:59move, we could potentially capture a
55. 2:01large price move, giving us a good risk
56. 2:03to reward trade. So, here's how the
57. 2:06strategy works.
58. 2:08First, to simplify everything, I'll
59. 2:10break this strategy down into four
60. 2:12simple steps. Step one is to mark a
61. 2:15liquidity level.
62. 2:16So, a liquidity level is when price
63. 2:18moves toward a price point, then moves
64. 2:21away from it significantly.
65. 2:23That last point before the price pivoted
66. 2:25is what we call a liquidity level, which
67. 2:28you can mark by simply drawing a line.
68. 2:31Now, as we know, major swing points are
69. 2:33usually common spots for most traders to
70. 2:35place their stop losses. Because of
71. 2:38that, these points become a clear target
72. 2:40for manipulation.
73. 2:41A good rule of thumb when drawing
74. 2:43liquidity levels is if you need to look
75. 2:45hard to find one, then it's most likely
76. 2:47not a good liquidity level. A good
77. 2:50liquidity level needs to be obvious,
78. 2:52something other traders can clearly see
79. 2:54as well.
80. 2:55For this strategy, I would suggest
81. 2:57marking the liquidity levels on higher
82. 2:59time frames, like the 15-minute to the
83. 3:014-hour chart. Let's look at an example
84. 3:04of this.
85. 3:06In this chart, we're on the 15-minute
86. 3:08time frame on the Nasdaq futures chart.
87. 3:10Here, we can see the price coming down
88. 3:13and then reverses back up significantly
89. 3:15from this level. This makes it an
90. 3:17obvious liquidity level.
91. 3:19Once a liquidity level is identified, we
92. 3:22move to step two, wait for a
93. 3:24manipulation.
94. 3:26So, as discussed, a manipulation simply
95. 3:28means price sweeps a liquidity level. In
96. 3:31this example, we wait for price to break
97. 3:33below the liquidity level, like this.
98. 3:36Once a manipulation is identified, we
99. 3:38can move to step three.
100. 3:40Now, this step is the most important, as
101. 3:43this will determine how effective the
102. 3:45strategy will be.
103. 3:47But before that, I want to quickly
104. 3:49mention that every single day I share
105. 3:50daily market analysis and trade setups
106. 3:52inside my free Telegram community.
107. 3:55For example, I shared a buy setup on a
108. 3:57coin called Sui, and just 1 week later,
109. 4:00it was up 22%.
110. 4:02Members who took that setup were able to
111. 4:04capitalize on that move. So, if you want
112. 4:07to learn how a professional trader
113. 4:09analyzes the market, make sure to join
114. 4:11my free Telegram community. The link is
115. 4:13in the description.
116. 4:15Now, back to step three.
117. 4:17So, after a manipulation is identified,
118. 4:20we look for something called an inverse
119. 4:21fair value gap. Now, most of you may
120. 4:24have already heard of a fair value gap.
121. 4:27But, for those of you who don't know,
122. 4:29here's a quick explanation.
123. 4:32A fair value gap is simply a three
124. 4:34candle sequence where the high of the
125. 4:36first candle and the low of the third
126. 4:37candle do not overlap with the middle
127. 4:39candle's body.
128. 4:41This creates a visible gap, which is
129. 4:43called the fair value gap. So, remember,
130. 4:46if there's no gap, then it's not a fair
131. 4:49value gap.
132. 4:50Now, for this strategy, we're not
133. 4:52looking for a regular fair value gap.
134. 4:55Instead, we're looking for something
135. 4:57called an inverse fair value gap.
136. 4:59An inverse fair value gap happens when
137. 5:01price breaks a fair value gap and closes
138. 5:04in the opposite direction.
139. 5:06So, when a fair value gap forms and
140. 5:08price breaks through it in the opposite
141. 5:10direction, that's what we call an
142. 5:12inverse fair value gap.
143. 5:14So, looking at the chart, we want to
144. 5:16look for an inverse fair value gap
145. 5:18forming near the manipulation. And in
146. 5:21this example, we can actually spot a
147. 5:23fair value gap because there's a clear
148. 5:26gap on this candle's body. Right after
149. 5:28that, we can see price breaks above the
150. 5:31fair value gap and closes above it. So,
151. 5:34now we officially have an inverse fair
152. 5:36value gap. So, let's recap what we
153. 5:39currently have. First, we have an
154. 5:41obvious liquidity level. Next, we have a
155. 5:43manipulation of that liquidity level.
156. 5:46And finally, we have an inverse fair
157. 5:48value gap forming near that
158. 5:50manipulation.
159. 5:51Once these three criteria are met, we
160. 5:54move to step four, the final step, which
161. 5:57is the entry.
162. 5:59For the entry, we place a buy position
163. 6:01at the close of the inverse fair value
164. 6:03gap. The stop loss goes slightly below
165. 6:06the gap, and the take profit can be set
166. 6:08at two times stop loss.
167. 6:10Or, if you're aiming for a bigger move,
168. 6:12you can instead target the liquidity
169. 6:14resting at the highs. And in this setup,
170. 6:17price moved up and hit that take profit
171. 6:19level.
172. 6:21Now, as promised, here are some real
173. 6:23trading examples of the manipulation
174. 6:25strategy in action.
175. 6:26I personally found that this strategy
176. 6:29works best on the Nasdaq futures,
177. 6:31especially on lower time frames. In this
178. 6:33example, we're going to use the 3-minute
179. 6:35time frame.
180. 6:37So, the first step of the strategy is to
181. 6:39identify a liquidity level.
182. 6:41Now, if you just look at the chart, we
183. 6:44can see that price comes down and
184. 6:46reversed from this area, which makes it
185. 6:48a liquidity level that we can mark.
186. 6:50Once the liquidity level is identified,
187. 6:53we move to step two, which is looking
188. 6:55for manipulation.
189. 6:57And in this chart, you can see price
190. 6:59breaking below the liquidity level and
191. 7:01then sharply reversing back up. That's
192. 7:03exactly what we're looking for.
193. 7:06At this point, we can confirm that we
194. 7:08have a manipulation of this liquidity.
195. 7:11Now, for step three, we look for an
196. 7:13inverse fair value gap. On this chart,
197. 7:16we can spot this large red candle right
198. 7:18here.
199. 7:20You can see there's a very clear gap on
200. 7:22the body of the candle, which makes this
201. 7:24a fair value gap. Now, for this fair
202. 7:27value gap to become an inverse fair
203. 7:29value gap, we need to wait for price to
204. 7:31break and close above it. And once that
205. 7:33happens, that's when we officially have
206. 7:35an inverse fair value gap. So, just to
207. 7:39recap everything so far. First, we have
208. 7:42a liquidity level. Then we see
209. 7:44manipulation of that liquidity. And
210. 7:46finally, we get an inverse fair value
211. 7:48gap.
212. 7:50When all three conditions are met,
213. 7:52that's where we take a buy position. Our
214. 7:54stop loss is placed slightly below the
215. 7:56fair value gap, and the take profit is
216. 7:59set at two times stop loss.
217. 8:01And as you can see here, price moves up
218. 8:04and hits the take profit target.
219. 8:07Now, this strategy also works the same
220. 8:09in the opposite direction. Let's see an
221. 8:12example.
222. 8:13Here, we're on the Nasdaq futures
223. 8:155-minute time frame, and we can see the
224. 8:17price pushing up into this level and
225. 8:19then reversing from it. Which creates a
226. 8:21liquidity level at the highs.
227. 8:24The manipulation should also happen at
228. 8:26the highs. And right here, you can see
229. 8:29price wicking just above that level and
230. 8:31then rejecting back down.
231. 8:33So, we now have a valid manipulation.
232. 8:36Next, we look for an inverse fair value
233. 8:39gap. And in this case, we have this
234. 8:41large green candle with a very clear gap
235. 8:43on its body, which makes it a fair value
236. 8:46gap.
237. 8:47Now, for this to turn into an inverse
238. 8:49fair value gap, we now wait for price to
239. 8:52break and close below the gap.
240. 8:54Once that happens, we have a valid
241. 8:56bearish setup. So, here we enter a sell
242. 8:59trade with a stop loss placed slightly
243. 9:01above the fair value gap and the take
244. 9:04profit set at two times the stop loss.
245. 9:07And as you can see, price moves down and
246. 9:10cleanly hits the take profit target.
247. 9:13Now, I get that finding this
248. 9:14manipulation setup on a live chart does
249. 9:16take time because there are multiple
250. 9:19very specific conditions that need to
251. 9:21line up, and manually screening for them
252. 9:23can be time-consuming.
253. 9:25So, if you want a more efficient way to
254. 9:27screen these manipulation setups, there
255. 9:30is a tool that can help with that
256. 9:31process.
257. 9:33It's an indicator called Manipulation X,
258. 9:35which is available on TradingView.
259. 9:38So, this tool will automatically detect
260. 9:40a liquidity level, the manipulation of
261. 9:43that level, and a fair value gap. And
262. 9:46once price breaks above that fair value
263. 9:48gap and all of the entry conditions line
264. 9:50up, it marks the chart with a green
265. 9:52entry symbol like this, showing that
266. 9:54this is a valid manipulation setup,
267. 9:57which can be a potential buy entry.
268. 9:59In this example, you can see how that
269. 10:01setup ended up turning into a profitable
270. 10:03trade. So, this is an extremely useful
271. 10:06tool if you want to systematize the
272. 10:08manipulation strategy and remove the
273. 10:10guesswork when trading it. Now, let's
274. 10:12look at another example, this time on a
275. 10:15different market.
276. 10:16Here, I'm using it on the Bitcoin chart,
277. 10:19and you'll notice that the indicator
278. 10:20automatically looks for the strongest
279. 10:22liquidity level.
280. 10:24Then, it finds one resting at the highs,
281. 10:27and it also detected a manipulation and
282. 10:29a fair value gap. Then, once price
283. 10:32breaks below that gap, it prints a red
284. 10:34mark on the chart, signaling that this
285. 10:36is a valid bearish manipulation setup,
286. 10:39which can be a potential sell trade.
287. 10:42And, as you can see, after the signal
288. 10:44appears, price pushes lower and runs
289. 10:47into the liquidity at the lows,
290. 10:49resulting in a clean profit.
291. 10:51Now, if you want to copy the exact
292. 10:53settings I used in this video, you can
293. 10:55slow this part of the video down.
294. 11:01Another thing I really like about this
295. 11:02indicator is that it's purely price
296. 11:04action based, which means it works on
297. 11:07any market, whether you're trading
298. 11:09crypto, forex, gold, or futures.
299. 11:12But, remember, this is not an indicator
300. 11:15where you can just blindly follow its
301. 11:17buy and sell signals. No indicator works
302. 11:20like that. You still have to analyze the
303. 11:22setup before actually taking the trade.
304. 11:26The indicator simply saves you time by
305. 11:28automatically screening for potential
306. 11:29manipulation setups.
307. 11:31Now, I want to be clear about one thing.
308. 11:34The Manipulation X is not a free
309. 11:36indicator. You do have to pay a small
310. 11:38fee if you decide to get it. But, if
311. 11:41you're a trader who wants to save time,
312. 11:44automate the manipulation strategy, and
313. 11:46get more consistent setups, then I
314. 11:48believe this small investment will be
315. 11:50worth it. I personally find the tool
316. 11:53very powerful, and in practice, it only
317. 11:55takes a couple of winning setups to pay
318. 11:57for itself.
319. 11:59If you decide to get the tool for
320. 12:00yourself, just click the first link in
321. 12:02the description, and use the code DT20
322. 12:05at checkout for 20% off.
323. 12:07Just a heads-up, this discount is
324. 12:09limited to the first 50 traders. So,
325. 12:12once all the spots are filled, the
326. 12:13discount is gone.
327. 12:15Now, to be clear, if you still prefer
328. 12:17trading the manipulation strategy
329. 12:19manually without the indicator, that's
330. 12:21completely fine. You can just follow the
331. 12:24exact steps I laid out in the video.
332. 12:26But, if you're someone who wants to
333. 12:28systematize the manipulation strategy,
334. 12:30and remove the guesswork when trading
335. 12:32it, then you can consider getting the
336. 12:34tool.
337. 12:35If you're interested, click the first
338. 12:37link in the description, and use the
339. 12:38code DT20 to get 20% off.
340. 12:42So, that's all for today. Thank you for
341. 12:44watching, and I'll see you in the next
342. 12:46video.