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Alright, a couple of trades here for the
playbook today. One of these was taken on
stream and the other one was taken off the
public stream. That trade was too quick.
It closed before the stream was able to
start. So I'll break these down in the
playbook because they are worthy of the
playbook trades. It shows A-ranked setups
using the same sort of area and same
cluster, but on two different sides of the
market. This is what I mean when I talk
about in the community. I've mentioned it
to a couple of you guys that you shouldn't
marry your particular bias if you're
expecting a short and you get the small
reaction happens but then it breaks
through. Be willing to quickly flip to a
long bias, at least in the short term. You
can see I took a short first and then a
long second, both using the same sort of
area and same sort of levels. So let's
break them down. We had a cluster of value
levels in here. Very tight sort of range
of value levels across this portion of the
range today. The first trade here, you can
see that it was a short and a very quick
short, only three points. A three-point
scalp using six contracts, just under $1
,000 on this particular trade. So what
we're looking at here is we have the
reinforced value area level, right? We
have the overnight value area low and you
see this very distinctive node or shelf of
volume across here at the time of that
trade. Very distinctive, right? It's not
ambiguous, very sharp edge right across
the overnight value area low and it's also
in very close proximity with that previous
week's value area low. So it was quite a
confident level to look for a quick snap
reaction and it's exactly what we got. As
soon as price approached that level 6653,
I got my limit order, limit sell in there.
It triggered really quick and was done
within a matter of 20, 30 seconds for that
trade to take profit. Three points. Now, I
was only expecting a short little pullback
or reaction from this point because you
can see from the lows down here, if you
look at the low here and look at the
volume, very little volume transacted on
that dip low and was immediately bought
back up. So what that says to me is that
there was a lack of interest at these lows
from, in this case, sellers. Sellers were
not able to continue to push down. They
became uninterested in selling any further
at that price and buyers took over,
pulling price back into value. Very strong
move as well. Little to no pullbacks.
Little to no engagement from sellers. So I
was not expecting this to be a complete
reversal. Rather, just a quick pullback at
a high probability area for that to
happen. Hence, a small trade. Three points
scalped to the downside. And then you can
see not long after that, it reversed. The
other reason for that three point take
profit was I wanted to take profit before
this high volume node here was traded
into. You can see this high volume node
and the current session value low were
right across this area. You can see that's
where that retest happened before price
continued to the upside. So I wanted to be
in and out of that trade fairly quick
before it reversed, continuing to the
upside. So that was trade number one.
Trade number two, you can see I took it
long. Now at the time of that trade, let's
pull the volume profile across to the time
of that trade. And this trade here was
taken at 2.46pm. And let's look at the
profile. So this is just the opposite of
what that first trade was. We'd pulled up
back into value, back into the value of
the current session and back above the
value area lows of the previous week and
the overnight session value low. And back
to around that fair value of the point of
control of overnight. So we can see that's
where the price pulled back into. And I
was looking for my entry to be within this
zone here. So between the overnight value
low and overnight point of control, we
have just a cluster. It's not as distinct,
right? It's not as distinctive as that
first shelf. But there is a definite
cluster of volume sitting across these
levels. So that kind of reinforces this
zone as an area where I'd want to get
long. So I initially wanted my entry to be
a little bit lower into this area here.
But on the DOM at the time, there was a
large amount, 700 plus contracts sitting
on the bid. So I was watching that and I
tried to get filled just in front of that
bulk of orders. And so I got a slightly
less favorable entry, but still within
that zone. And my stop loss still outside
of that high volume node. So I was in a
good area, all things considered. Better
entry would have been deeper, but I got my
entry at 6,655. Right, right in that zone
confirmed by the high volume cluster
within these two value levels. Having been
broken to the upside, coming back to
retest. I'm looking for that long. So I
got long there, filled, and took profit at
five points, which also wasn't entirely
arbitrary. But also because we had this
massive cluster of volume here, definite
shelf of volume sitting right across the
highs here. So I wanted to be out of that
trade within that cluster, not trying to
hold it any further to what was point of
control at the time. And you can see
that's basically where price paused for
the rest of the session for today. If we
pull it across to when I exited my trade,
that's what the profile looks like. And
not long after, that became point of
control itself. So a good exit on that
trade. Decent entry. Could have been a
better entry, but can't complain. Still
got in within the right zone and got out
in the right area, banking two wins in a
row. Same trade idea, same confluences,
basically just using the flip side, right?
Value levels reinforced on the other side
versus value level reinforced from the
underside here. So a good example of how
to use the volume profile to trade both
sides of the market, regardless of bias.
You know, if you're taking a counter trend
move, just take a smaller trade, three
points. If it's an A-rank trade and you
want to take it, just make it smaller. All
right? Anticipating just a smaller move,
counter trend. Boom. Banking that short
and banking that long next. So I hope that
is helpful for you. And I wanted to really
drive home that point. Don't marry your
bias. There are opportunities in both
directions. Just be careful about your
take profit targets to make sure you can
actually lock in that money while price
continues to do its thing.
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