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These are the user uploaded subtitles that are being translated: 1 00:00:00,110 --> 00:00:06,010 So this lesson should be somewhat simple but basically this is these are some 2 00:00:06,010 --> 00:00:11,250 methods that can be very very effective at instantly increasing your average 3 00:00:11,250 --> 00:00:16,450 risk reward in an extremely mechanical and systematic manner and as you can see 4 00:00:16,450 --> 00:00:21,810 all it literally is is just refining your entry to be a little bit further 5 00:00:21,810 --> 00:00:24,830 within the zone that you're entering within and that's it. 6 00:00:25,310 --> 00:00:29,310 But that can have a massive impact on your results over the long term because 7 00:00:29,310 --> 00:00:32,890 you can see here, all four of these, I have to count those quickly to double 8 00:00:32,890 --> 00:00:37,450 check, all four of these examples are obviously the same price action example, 9 00:00:37,550 --> 00:00:39,410 right? It's the same thing, same trade idea, blah, blah, blah, blah, blah. 10 00:00:39,850 --> 00:00:42,830 But like, depending on whether you enter on the edge of the zone, right, stop 11 00:00:42,830 --> 00:00:44,930 losses are always behind, they're always in the same area. 12 00:00:45,190 --> 00:00:49,270 But whether you enter on the front edge of it or you enter somewhere within is 13 00:00:49,270 --> 00:00:52,250 going to increase your risk to reward significantly, especially when some of 14 00:00:52,250 --> 00:00:53,850 these zones can get quite big, okay? 15 00:00:55,340 --> 00:00:58,240 So, I mean they're somewhat self explanatory but may as well quickly talk 16 00:00:58,240 --> 00:00:58,879 through them. 17 00:00:58,880 --> 00:01:00,880 I've just called this edge, entering on the edge of the zone. 18 00:01:01,180 --> 00:01:05,519 Now, over the years I've always referred to this as the distal, the front of the 19 00:01:05,519 --> 00:01:08,880 zone, but I've been informed that that's completely wrong. 20 00:01:09,080 --> 00:01:12,100 I think the front is supposed to be called the proximal and the back is 21 00:01:12,100 --> 00:01:13,068 the distal. 22 00:01:13,070 --> 00:01:16,790 Anyway, I forget it. So I'm going to refer to it as the edge from now on, the 23 00:01:16,790 --> 00:01:17,768 front edge, okay? 24 00:01:17,770 --> 00:01:20,930 But if you hear us mention this or you see it in the old content somewhere, 25 00:01:20,930 --> 00:01:24,350 is basically what we're referring to. We mean entering on the front edge of your 26 00:01:24,350 --> 00:01:25,128 zone, okay? 27 00:01:25,130 --> 00:01:29,590 So that's the most, obviously, unrefined way of entering on any zone that you 28 00:01:29,590 --> 00:01:35,490 draw. Then you simply enter on the 25 % of the zone. So the way you can do this 29 00:01:35,490 --> 00:01:38,830 here, I'm just using a Fibonacci tool, okay? So the Fib retracement, you can 30 00:01:38,830 --> 00:01:40,330 grab that from up here. 31 00:01:40,610 --> 00:01:45,480 And then when you draw it, so for instance if you draw like that double 32 00:01:45,480 --> 00:01:50,200 into it and then you just click if you want to enter on 25 add in the 25 there 33 00:01:50,200 --> 00:01:53,200 okay and it will come in and you need to play around with like the background 34 00:01:53,200 --> 00:01:57,500 colors and and things like that so so it appears uh when you do it but 35 00:01:57,500 --> 00:02:01,040 essentially what it should look like if you wanted to do this one is there you 36 00:02:01,040 --> 00:02:05,140 go 0 .25 so you have zero 0 .25 and one and all that is saying is that you're 37 00:02:05,140 --> 00:02:06,140 drawing the 25 38 00:02:06,660 --> 00:02:10,060 section of the box okay so you enter there so it's a little bit more refined 39 00:02:10,060 --> 00:02:13,860 then obviously entering on zero percent increases risk reward then likewise here 40 00:02:13,860 --> 00:02:17,860 you're just entering on 0 .5 right halfway in the zone so you're always 41 00:02:17,860 --> 00:02:22,780 on the eq and then this is a slightly different one whereby uh you just enter 42 00:02:22,780 --> 00:02:25,520 the body candle so obviously if it's demand you do the high of the candle and 43 00:02:25,520 --> 00:02:28,180 it was supply you would do the low of the candle um 44 00:02:29,050 --> 00:02:33,030 this isn't really something i've ever done uh when i first ever started using 45 00:02:33,030 --> 00:02:36,890 supply and demand this was actually how i drew supply and demand zones um but i 46 00:02:36,890 --> 00:02:40,170 didn't use to enter on them directly to trade in a slightly different way um but 47 00:02:40,170 --> 00:02:44,070 yeah this just may be a way you want to test because that is where in theory the 48 00:02:44,070 --> 00:02:48,190 bulk of the orders should be so some of you might want to want to test that out 49 00:02:48,190 --> 00:02:53,470 it's just another option but the key thing as always about all of this is 50 00:02:53,470 --> 00:02:56,850 trying to be consistent and mechanical as always right so 51 00:02:58,040 --> 00:03:00,560 these are ways in which you do that right sometimes you don't just go i'm 52 00:03:00,560 --> 00:03:02,600 to kind of enter in the zone a little bit because i want to keep my stop loss 53 00:03:02,600 --> 00:03:05,560 little bit smaller or a little bit bigger or whatever it's like no i always 54 00:03:05,560 --> 00:03:08,800 enter on the 25 of the zone or i always enter on the edge or i always enter an 55 00:03:08,800 --> 00:03:12,880 eq you need to have a rule to decide you know how and when you're doing things 56 00:03:12,880 --> 00:03:16,280 so you can be consistent now what i would say is always use this as your 57 00:03:16,280 --> 00:03:21,000 when you're starting out okay just enter on the front edge of the zone okay and 58 00:03:21,000 --> 00:03:22,840 stop loss is behind and just start off with that 59 00:03:23,740 --> 00:03:26,880 Get consistent with all of the other variables and everything we're trying to 60 00:03:26,880 --> 00:03:30,000 here. And then when you're kind of like, right, now how can I just try and 61 00:03:30,000 --> 00:03:33,120 refine a little bit more? Then think about this, okay? And go back to all of 62 00:03:33,120 --> 00:03:36,620 your old trades with your backtesting data and literally just have a column, 63 00:03:36,680 --> 00:03:39,600 right? And then you can just have all four of these and just go back through 64 00:03:39,600 --> 00:03:40,960 go, okay, what would the result be? 65 00:03:41,480 --> 00:03:45,800 Because obviously, the more refined you are, your risk -reward goes up, but it's 66 00:03:45,800 --> 00:03:49,700 at the expense of potentially not getting tagged in, okay? So you can have 67 00:03:49,700 --> 00:03:50,700 missed trades. 68 00:03:50,960 --> 00:03:54,480 So when you test this and when you backtest this or in anything you're 69 00:03:54,480 --> 00:03:58,760 and you're collecting data, you can't always just go, well, this is the most 70 00:03:58,760 --> 00:04:01,460 profitable set of rules, so I'm going to trade it this way. 71 00:04:01,820 --> 00:04:06,280 You also need to take into account, what am I going to be able to execute in the 72 00:04:06,280 --> 00:04:07,460 live market consistently? 73 00:04:07,700 --> 00:04:11,260 Because if you find that, you know, entering on the EQ gives you your best 74 00:04:11,260 --> 00:04:16,079 results when you're backtesting, you might find in live market, well, you 75 00:04:16,079 --> 00:04:18,760 three or four trades in a row where it doesn't quite tag you in that's going to 76 00:04:18,760 --> 00:04:22,079 affect your psychology right you're going to get FOMO and then you might not 77 00:04:22,079 --> 00:04:25,220 execute the next trade or you might start making mistakes so kind of try and 78 00:04:25,220 --> 00:04:30,400 find that happy medium for where you're getting tagged into enough trades that 79 00:04:30,400 --> 00:04:33,600 you know you'll be happy with and it's still still decent risk reward right 80 00:04:33,600 --> 00:04:36,940 always a little bit of a trade -off but again main thing pick something that 81 00:04:36,940 --> 00:04:40,720 you're consistent with we recommend you start with this this is basically at the 82 00:04:40,720 --> 00:04:46,080 time recording this is what I pretty much always use i always enter on um a 83 00:04:46,080 --> 00:04:50,400 single candle pivot zone and i pretty much always enter on the edge um for the 84 00:04:50,400 --> 00:04:53,240 most part okay one thing i haven't spoken about here it's probably not the 85 00:04:53,240 --> 00:04:57,000 example but when you get two candles like this or sometimes even three and 86 00:04:57,000 --> 00:05:00,380 thrust candle closes above it okay so imagine the wick of this candle was a 87 00:05:00,380 --> 00:05:04,740 little bit higher what you may want to do is refine your zone just a little bit 88 00:05:04,740 --> 00:05:09,020 higher okay so it's like this so you include both of those candles sorry it 89 00:05:09,020 --> 00:05:12,530 keeps disappearing so when you get a thrust candle that closes above like the 90 00:05:12,530 --> 00:05:15,850 two or three candles to the left you may want to include that as well because 91 00:05:15,850 --> 00:05:18,730 sometimes price will just tap the top of that and run but that's just something 92 00:05:18,730 --> 00:05:22,270 to keep an eye on something to test and again it's a way of being mechanical if 93 00:05:22,270 --> 00:05:25,370 you're just looking for when the thrust candle closes above the candles to the 94 00:05:25,370 --> 00:05:30,070 left you may want to include both of those um as well so yeah there's not 95 00:05:30,070 --> 00:05:34,870 too much else i can add here start with the left Start with that, get consistent 96 00:05:34,870 --> 00:05:37,610 with everything. And if you want to refine a bit more, this is what you can 97 00:05:37,710 --> 00:05:41,090 But I would highly recommend if you're going to start doing this, collect data 98 00:05:41,090 --> 00:05:43,910 on it and just have columns for each one and just see what works for you. But 99 00:05:43,910 --> 00:05:48,210 really think about the trade -off between increasing your risk reward and 100 00:05:48,210 --> 00:05:52,850 also missing a lot more trades. But yeah, be consistent with whatever you 101 00:05:53,370 --> 00:05:58,310 Some people sometimes do the edge and sometimes do 25 % in certain scenarios. 102 00:05:58,490 --> 00:06:01,610 But if you're going to chop and change, make sure you have certain rules for 103 00:06:01,610 --> 00:06:03,230 when you're going to do that. And I'll leave that up to you. 104 00:06:03,610 --> 00:06:04,610 Cool. 10759

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