This Simple Trading Level Made Me Profitable — Transcript

Full transcript

1. 0:00In this video, I'm about to reveal one
2. 0:02of the best trading levels I have ever
3. 0:03found. In the last 4 years, I have tried
4. 0:06so many strategies, head and shoulders,
5. 0:08order flow, pattern trading, etc. And I
6. 0:11have finally found this level that
7. 0:13allows me to find consistent setups
8. 0:15every single day. The best part about
9. 0:17this level is that it not only finds me
10. 0:19trading setups to take, but it also
11. 0:21helps me understand my daily bias and
12. 0:24keep me on the right side of the market.
13. 0:26After watching this video, you are going
14. 0:27to completely understand how to mark
15. 0:29this level, how to use this level, and
16. 0:32how to start printing profits with this
17. 0:34level. So, without further ado, guys,
18. 0:36let's get straight into the video,
19. 0:37introducing 50% of the daily range. All
20. 0:41right, guys, so we're going to be
21. 0:42talking about 50% of the daily range
22. 0:45here. What is the 50% level? How to mark
23. 0:47out the 50% level? And all of that good
24. 0:50stuff. So, the way I understand the 50%
25. 0:53level, it is just a support and
26. 0:55resistance level where you can see that
27. 0:57price is going to consistently bounce
28. 1:00off of that level, and if you pair that
29. 1:02with an IFG setup, it will allow you to
30. 1:05get some very nice entries, some quick
31. 1:07and easy wins, and this level gives out
32. 1:10setups every single day. So, here is an
33. 1:13example of what we're looking at. We
34. 1:15have the 50% level marked out right
35. 1:17here. You're waiting for price to drive
36. 1:19into that level, which is shown right
37. 1:21here, reject that level as support, and
38. 1:24in this leg right here, in this
39. 1:26reversal, is where you would be entering
40. 1:29in your trade and taking those profits,
41. 1:31okay?
42. 1:33So now, how do you draw the 50% level?
43. 1:35Well,
44. 1:36it's very, very simple. Number one, you
45. 1:38can just take the daily candle, find the
46. 1:40midpoint of the daily candle, and then
47. 1:42just mark your 50% level. Or number two,
48. 1:45which is what I will show you right
49. 1:47here, you are going to go on to to I
50. 1:50like the 5-minute chart, to be honest.
51. 1:51It really doesn't matter. But what you
52. 1:54can do is you can go on to the 5-minute
53. 1:56We'll do the 15-minute. Go on to the
54. 1:5815-minute chart. Now, what you're going
55. 2:00to do is the daily range is going to
56. 2:02start at 6:00 p.m. EST, okay?
57. 2:06From the previous day. So, 6:00 p.m. New
58. 2:08York time is where the daily range is
59. 2:10going to start. So, that is all the way
60. 2:12back here. Now, the daily range is going
61. 2:14to stop at whatever current price you're
62. 2:17at. So, it's going to be from 6:00 p.m.
63. 2:19to whatever time you are currently
64. 2:21trading at, right? And now, you're going
65. 2:23to find the high and the low of that
66. 2:25range. So, our range our range is going
67. 2:27to start all the way back here.
68. 2:29Um and this is the entire range that we
69. 2:32can work with, okay? So, what is the
70. 2:34high and low of this area? Well, the
71. 2:36high is going to be all the way up here
72. 2:38as we can see. And then, the low of the
73. 2:40daily range is going to be actually
74. 2:43where price is currently at. We just
75. 2:45broke the daily range low. So, the
76. 2:47current daily range level is going to be
77. 2:49down here or whatever when price puts
78. 2:51this low. So, what you would do is you
79. 2:53would take your rectangle tool, draw a
80. 2:56box from the high to the low, and the
81. 2:58midpoint of that box is going to be the
82. 3:0250% of the daily range. Now, this is
83. 3:04actually a good example and why I want
84. 3:06to show you this in live time.
85. 3:08The 50% of the daily range is a dynamic
86. 3:11level, meaning if we create a new high
87. 3:13or a new low within the day, that level
88. 3:16is going to actually move, right?
89. 3:19Currently, this is the low of the day,
90. 3:21but if price goes all the way down here,
91. 3:24that level is going to move because the
92. 3:26low of the day is moving. So, this is a
93. 3:28dynamic level. Now, my indicator and
94. 3:30what I use every single day marks this
95. 3:33level automatically because in the past,
96. 3:35it was really, really annoying just
97. 3:38marking this level constantly over and
98. 3:40over again and having to keep track of
99. 3:41it. So, I created an indicator which
100. 3:44marks out all my levels, including the
101. 3:4550% level, every single thing you need
102. 3:48to trade this model without stress, just
103. 3:50done on the chart for you. So, if you
104. 3:52want that, I will also put the link in
105. 3:54the description. It's an amazing
106. 3:56indicator. I use it every single day,
107. 3:58and that way you won't have to
108. 4:00constantly track this level. So, for the
109. 4:02future, I'm just going to turn on my
110. 4:04indicator here and it will look
111. 4:06something like Wait a second. It'll look
112. 4:09like this. So, you can see it's marking
113. 4:11the 50% level automatically and it's
114. 4:14going to move automatically as well.
115. 4:16Once this candle closes, it will mark
116. 4:19out the new area where that needs to be.
117. 4:20So, it's very, very good, very, very
118. 4:22easy, and uh will help you out a lot.
119. 4:25Guys, real quick, if you're enjoying the
120. 4:27video and you want to trade with me live
121. 4:29every single morning, you can click the
122. 4:30link in the description. You will get a
123. 4:327-day free trial to my premium Discord
124. 4:35where you will get live call-outs every
125. 4:37single day with analysis and I have a
126. 4:39library of 50-plus educational videos
127. 4:42that are not posted anywhere else. So,
128. 4:44let's get back into the video. So, guys,
129. 4:46here is an example how to use 50% of the
130. 4:49daily range. So, once again, we have the
131. 4:5150% level. We are going to wait for
132. 4:53price to tap into the level, reject out
133. 4:56of it. Now, once it rejects, that is
134. 4:57where you look for your entry model. You
135. 4:59can see here, I found a IFEG, an
136. 5:02inverted fair value gap. You enter on
137. 5:04the candle close and because we're
138. 5:06combining the IFEG with this rejection,
139. 5:09we're expecting price to continue
140. 5:11bullish to the top side of the range and
141. 5:13that's where you would enter your
142. 5:14position and you you know, you could see
143. 5:16it works very, very well. So, that is
144. 5:18how we're using this level specifically.
145. 5:20Once again, now you can see this happen
146. 5:22on the short side. Price comes up, digs
147. 5:25into the level, rejects. I pair that
148. 5:28with an IFEG. Once the candle closes
149. 5:30bearish, I enter inverse and my stop
150. 5:33loss would be a break back above that
151. 5:35level and we ride this all the way down
152. 5:38to this draw on liquidity right here.
153. 5:40Now, something that I want to show you
154. 5:41guys that actually happened today is the
155. 5:43difference between a good 50% tap and a
156. 5:46bad Oh, this isn't today. Now, something
157. 5:48I want to show you that actually
158. 5:50happened today is the difference between
159. 5:52a good 50% tap and a bad 50% tap. Now,
160. 5:56what's very, very important to note is
161. 5:58how price reacts to the level. The best
162. 6:0150% taps are going to be when price
163. 6:04wicks the level, the candle does not
164. 6:06close below the level or above the
165. 6:08level, and shows respect. So, you see in
166. 6:11this example right here, this is an
167. 6:13example of a bad 50% tap. Why? Because
168. 6:16price is clearly digging below the
169. 6:19level,
170. 6:20almost invalidating it, and it's also
171. 6:22closing below the level. Now, if price
172. 6:25were to reverse here, you may still be
173. 6:27able to take this trade, but that trade
174. 6:29is going to have a lower win rate. It is
175. 6:31going to be less consistent. The best,
176. 6:34most consistent trades are going to have
177. 6:36a perfect 50% tap with good momentum,
178. 6:39okay? So, this is an an example of a bad
179. 6:4350% tap. Now, I'm going to show you an
180. 6:46example of a good tap in the same exact
181. 6:49day. You can see on the right-hand side
182. 6:51of the screen, although NQ tapped the
183. 6:5350% level, ES has not. So, what I did
184. 6:57was because I didn't like the 50% tap on
185. 6:59NQ, I simply waited for the 50% tap on
186. 7:03ES on the right. This 50% tap is much,
187. 7:07much better because price never closes
188. 7:10below the level, and price reacts off
189. 7:12the level much better with good bullish
190. 7:15momentum. So, what I ended up doing here
191. 7:18is because we were getting the 50% tap
192. 7:21on ES, that means longs are now valid on
193. 7:24both ES and NQ. I decided to take the
194. 7:27long on NQ. They're valid on both
195. 7:29because NQ and ES are both indices, so
196. 7:32they're supposed to follow each other in
197. 7:34confluence. So, I decided to pair that
198. 7:3750% tap with this 30-second long setup,
199. 7:40assuming that price was going to
200. 7:41continue going to the upside, and I
201. 7:44targeted these wicks for a one-to-one
202. 7:47risk-to-reward, which does end up
203. 7:49working very, very nicely right here.
204. 7:52So, that is the clear difference between
205. 7:53a good 50% tap and a bad 50% tap. I
206. 7:57ended up being patient, sitting out, not
207. 7:59taking the bad one, waiting for the good
208. 8:02one, and actually came away with a win
209. 8:04here. So, now I have some examples of
210. 8:0650% taps from previous sessions. As you
211. 8:09can see right here, the first time price
212. 8:11comes in, taps into 50% of the daily
213. 8:14range, rejects out of it. Now we have
214. 8:16another chance, price is tapping into
215. 8:18this level, and I'm looking for a
216. 8:20rejection out of it. So once price gets
217. 8:23near that level, you could see here we
218. 8:25form this 2-minute IFEG setup. So I
219. 8:28would then enter long once the candle
220. 8:31prints over this gap.
221. 8:33Right? Which we can see there's the nice
222. 8:36tap right there. And again, good tap.
223. 8:39Very, very good tap there. Price never
224. 8:41closes below the level, just wicks. That
225. 8:43is exactly what we want to see.
226. 8:45You know, you'd get in the trade right
227. 8:47here on this candle, and then price hits
228. 8:50the TP up here, which would be these
229. 8:52relative equal highs. I I did actually
230. 8:55end up taking this trade on my funded
231. 8:57accounts. Right? So here is the next
232. 8:59example right here. As you can see, just
233. 9:01very, very textbook. I love how
234. 9:02consistently this level is respected. We
235. 9:05drive into the 50% level, tap it right
236. 9:08there. Now I'm expecting longs back up
237. 9:10to the top of the range.
238. 9:13I don't even remember what gap I took
239. 9:15here. Oh, there it is. There it is.
240. 9:18Yep.
241. 9:20And then there's the 1-minute gap
242. 9:22printed. Now this 50% tap is a little
243. 9:24worse than the previous one because you
244. 9:26can see that price did end up closing
245. 9:28below the level, but not by much. So I
246. 9:30would still take this type of trade. Now
247. 9:32if the price were to end up close down
248. 9:34here, then okay, that's a huge
249. 9:37invalidation. I'm no longer taking it.
250. 9:39But this is still within the general
251. 9:41range of what I consider valid.
252. 9:43Um so yeah, I would still take this
253. 9:451-minute long. You would enter long
254. 9:46there on the candle.
255. 9:50And then you would pretty much just be
256. 9:51targeting the top side here, which I
257. 9:53believe this hits.
258. 9:56Yeah, hits that hits right there like a
259. 9:58charm. So very, very nice trade like
260. 10:00right there. Once again, off of the 50%
261. 10:02tap. And you can actually see that the
262. 10:0450% level moved we made a new high of
263. 10:07day. That's why it's here and not down
264. 10:09here because my indicator is
265. 10:11automatically adjusting that as we made
266. 10:13a new high of day. Here is our final
267. 10:16example, I believe. Yeah, here's our
268. 10:18final example of the day. This one is a
269. 10:21short. So, once again, I'm just waiting
270. 10:23for price to trade into this level,
271. 10:26which it does right there. Boom. This
272. 10:29makes this short valid right here
273. 10:32because I'm expecting price to reject
274. 10:34off that level and start a bearish
275. 10:36trend.
276. 10:40Okay, so you'd enter the trade short on
277. 10:42this candle once price gets below the
278. 10:44gap.
279. 10:46And then you would just ride this thing.
280. 10:48I don't think this one hits, actually.
281. 10:50Yeah, this one doesn't hit the full TP,
282. 10:52which is right down here.
283. 10:54Um but this trade still went up 60
284. 10:56points, so that would be a 1.5 R, but it
285. 10:58missed those lows. But you get the idea,
286. 11:00guys. If you can just consistently mark
287. 11:02this level on your chart and see how
288. 11:04price reacts to it and rejects, you can
289. 11:06also pair that with the IFEG entry model
290. 11:09to catch some amazing trades. And uh
291. 11:12yeah, it's probably the best model I
292. 11:14have found in the 4 years I've been in
293. 11:16the markets. Well, guys, that's going to
294. 11:18be it for me. I hope you enjoyed this
295. 11:19video. If you did, don't forget to leave
296. 11:21a like, comment what you thought, and
297. 11:23subscribe to the channel. We have some
298. 11:25more content coming your way this week,
299. 11:27and I'll see you on the next one.