Original subtitles

Okay folks.

We are in the second teaching of a series of eight for the month of September, 2016.

And you've seen this before, but I just want to bring us up to you one more time.

Uh, this is the market efficiency paradigm and what does jelly is or

what I was trying to communicate by drawing it out is we, as new traders are

collectively part of this larger whole.

Of uninformed money and whether we acknowledge it or whether we believe it

or what, uh, we invariably come in contact with the understanding that there is a

smart money group of traders out there.

And when I first got involved in trading, I didn't know anything about smart money.

I just knew that the markets were potentially there and I could be proud of.

And in fact, I was going to be profitable.

I knew it.

I couldn't believe that I ever lose money until I lost it.

So when we, as traders, look at the marketplace as new investors, new

traders, new speculators, uh, we may or may not have the understanding that

there is a smart money entity out there.

And we, as the larger populace of retail minded trading, we

think because of our sheer, vast.

Okay.

We are the driver.

Okay.

Apparatus that's called the marketplace.

And we tend to think of ourselves as the drive axle of what makes the markets

go up and down, which is the facade.

That's the facade of supply and demand.

That's the facade of trend lines, driving price.

When it touches it as the facade of moving average crossovers causing

price go up or down, that's the facade that's waited and we are led to believe

that that's exactly what it takes.

Either in books or in seminars or webinars or gurus people.

And I've done this when I was younger too.

I, I was convinced that indicators drew price up and down.

And I, I packed houses on America online when I got on, I want a

chat room and people were in there flocking to here, the things that

I would discuss about stochastic and RSI and William street center.

And I was talking about three momentum indicators.

When you, if you're just going to follow a momentum.

So, if anyone knows more about being in this group over here, trust me, it's me.

I've been, I've been in this group enough to know that I learned more about

this group over here, that doesn't like to draw too much attention to itself.

The contrast that with everybody in the retail, we all have Twitter accounts.

We all have my effects, books that we're sharing.

We're all trying to be on Instagram, showing Lamborghini's and whatever.

Houses cars, boats, yachts, girlfriends.

They ain't even yours.

Everybody is living large over here in the uninformed money and smart money.

They're here quietly, just doing their thing.

Who's inside the small circle over here, the banks who's in here,

everybody on social media, everybody in a retail account at all real gurus

and teachers out there that have things that they're selling services.

Yes, I have a new service, but when I'm teaching you ain't available

anywhere else, see this group, this large populous of people they

think, and I was part of this group.

Initially, they think that the sheer vastness of the size of them is much more

controlling in terms of where price is going to be driven higher or lower because

of the buying and selling pressure.

That's equated to their mere involvement in price.

And that's a facade, this huge populace of trading people or traders

community, and the retail realm is really not that big, but we are led

to believe that we are huge in it.

We were given, this is idea of ourselves that we're giants.

We push price around and.

We don't.

In fact, it's this small little group of traders.

Okay.

They're the ones that influenced this entire mechanism that we call the markets.

This small little group of traders is actually the drive shaft.

And if this was a belt, like when a car, okay.

Like an alternator.

Is the actual motor spinning the whole price higher, lower.

It's not this big circle of people.

So there has to be a paradigm shift.

See if you're over here thinking that it's the group of traders that is online

talking amongst themselves as a whole.

They're the ones that make price go up and down because of their buying

and selling interest because the supply and demand factors around them.

That's what pushes price around.

That's a facade.

And I'm here to tell you that you need to put that to bed now, because

I'm going to level everything you've ever imagined about the

marketplace and how it really works.

You have no idea where we're going and you need to leave this realm and this circle

of people and their thought processes and transition and have a paradigm

shift in your thought process about how the markets are efficient, because

they're not efficient for the spectrum.

They're efficient for the smart money, the banks drive price, whether you want to

accept it or not, that's what's going on.

And the sooner you get to that understanding and expectation of

what it is that's going on in price.

It's not for your well-being it's for the bank's well-being it's

their business, their liquidity provider, everyone else's liquidity.

Are you alone?

Oh, a lion, which one?

Because one of us is going to eat meat and the other one's going to

stand there, looking stupid and grass.

I don't want to be a part of this herd.

I didn't want to be a part of that.

Once I understood where I was, I wanted to get out of there and I'm going to

live over here in a small little area.

And for years I quietly made money doing nothing, but focusing

on the things I knew that this small group of entity of traders.

And I looked at these individuals initially with the stain thinking,

I'm going to come after you.

I'm going to, I'm going to devour you.

I'm going to do the same thing.

And then as I looked at it more and more and heard stories about

people and it alives losing their homes, marriages, it tugged on me.

And I didn't want to just be over here being like the banks.

And then I bridged over into what you saw me do in 2009.

And I revealed a lot of things in this mentorship.

You're gonna learn a whole lot.

That's not meant for you to share it on your YouTube channel.

It's not meant for you to share it on your blog.

It's not meant for you to pass it around on Twitter.

Instagram, make torrents.

It's not supposed to be there.

It's only supposed to be between you.

You're welcome to share this with your, uh, this information with your children

and your family members started legacy, but don't make this common knowledge.

It's going to happen.

Some goobers going to take this stuff and be the one that,

you know, I'm the cool guy.

I'm the one that got in there and made it all accessible to everyone

else that she could feel the heat.

Look, the hero that you're not really doing yourself.

Let this stuff stay well hidden.

You're paying for it.

Appreciate it for what it is and don't share it.

It's not going mainstream.

This is the group that we have, whoever can make it in between

October 1st and now that's it.

That's it.

Because when we leave September and October, we're buttoning

up all of the free tutorial stuff and we're going right in.

The nuts and bolts of where we got to go to, to get to the lighter months.

See, when we come into the marketplace, we don't understand this.

We think that this group, that we're part of we are the, the, the market.

We are the market where the traders, we push place up and down.

But if you are honest with yourself, if he's traded at any time, and

you look back on your trading, you probably looked at the market

and you saw something like this.

He knew something was going on and you just couldn't put it together.

You see these vague things that take place in marketplace, your stock gets run.

It looked exactly like he was going to go up, but it came only down,

knocked you out, then went up and you see these things happening to you.

You just can't figure it out.

You know, there's something to it.

You've had the sensation that, yeah, this is rigged.

My brokers have to get me.

It's not really your book.

It's the interbank feed that drives price against the funds and the

brokers are going to expand the spread as well on you and not you out.

When you look at the price action as a new trader, and you didn't have

this exposure to understanding how the markets are being driven and manipulated

to the degree of every single mint.

My minute detail.

They're absolutely correct.

It's an AI it's artificial intelligence and it's, you are not

trading against a person anymore.

It's a computer program that delivers price and it knows human

behavior because it's the same way.

It's been always fear and greed.

So when you look at price and you've been trading for a while and you had this fuzzy

picture about something going on behind the scenes, but never really understanding

what it was until you met me.

And suddenly there's clarity.

Suddenly you understand that there's something that's been there all wrong.

Now you can identify it.

And what's more important is you understand how to track it

and do the same thing it does.

And by default, you become a resident of that small circle because this

small circle is the drive shaft.

It wits makes the markets go up.

It's not the big populous of traders.

It's the liquidity provider.

So you need to be thinking like this small group is over here.

They're not trying to draw attention to themselves.

They're not trying to be online, flashing this and flashing that

they're just quietly in here.

Skinned people arrive and you've been there before.

And just, this is where as I have you either stay in this business long enough

to lead this group and come over here.

Or sit back in the middle here, you get real close to being there and

you get bounced back to this group.

Get real close to, uh, getting over here.

And then you start developing a little bit more and you play tug of war.

Some of you in my group right now, and this mentorship, you're in this little

area right here where you can see there's some signals and signs of a real entity,

a smart money in play, but you're not fully convinced to leave this group yet.

You have too many convictions about your tools, your indicator.

Your, your pet guru, your buddy that has a website.

It's so cool to you.

It's just not enough.

You gotta be able to release all that stuff and just leave it all

behind and join the smart money.

Because trust me, we're not serving cookies, but it's a way better lifestyle

over here than it is over there.

Okay.

Now the first year you, I gave you elements to a trade set up and I, it.

Two characteristics to it.

It has context and framework around the trade.

And then obviously those we're back to institutional order flow.

So you had to be able to bridge the two understanding expansion, retracement

reversal consolidation, and applying them to respectively or blocks.

Fair value gaps, liquidity voids, liquidity calls stops online.

I'm sorry.

Runs an equilibrium.

What does that mean for us?

For instance, in its scope of price, how can we use these ideas and

make them act bookable to price?

Now I know some of you are chomping at the bit to learn long-term trading

because you can't do day trading.

Bear with us as we go through these first couple months, because I want you

to give you immediate feedback and the way you get that is by using intraday

study, because you get a lot of feedback and intraday action that is applicable

to longer term charts, but you can't, I can't teach long-term day trade.

I'm sorry.

Long-term trading on daily chart inside of 12 months adequately.

It can't be done because you're only looking at a scope of one year, but with

intraday it's like compressing years.

In just 30 years, what's it not even 365 days.

Really?

Do you want some days that we're gonna be together?

So let's look at the daily range, suddenly expansion, retracement, reversal, and

consolidation means something every day starts with consolidation, Asian range.

After midnight, there's a manipulation that takes place.

That's expanding.

It's coming in the form of a Judas swing.

What is it doing?

It's making the higher, low in London.

That's the London swing for a reversal that's around stops.

Then there is another expansion move.

Okay.

Down into the New York session, then there's going to be

what another consolidation.

That's the New York consolidation going into the eight to eight 30 news

embargo lift where there's going to be another injection of liquidity or.

Then there'll be another expansion.

And then we'd go into London close, which is another reversal condition.

And then what happens?

The market goes and consolidation for the rest of the day.

So we have a way of looking at these things and applying these concepts to time

of the day and repeating characteristics.

let's get back to the interbank price delivery algorithm.

The daily range strikes.

Can be really broken down and simplify with it starts with a price equilibrium

that's Asian range, then there's a manipulation, and that's always going

to come by way of some news event.

Some news driver either at the time of the manipulation or just

before it that's the Judas swing, then we'll see it range expansion.

In other words, after the higher load was formed, the range will start expanding.

It'll go down into five o'clock in the morning, New York time,

or go up into that time window, depending upon the daily direction,

we're going to use the perspective.

It's a by day.

That means that Asia, the Asian range had a small consolidation.

And then really after midnight, New York time, there was a drop down in price.

That's the manipulation making the false move for the well

there's a range expansion.

There, it goes into the reversal class.

London open scenario where it shoots down, runs the stops and then what happens?

It expands again, there's another range expansion into what five

o'clock in the morning, New York time between five o'clock in the morning

to eight o'clock in the morning.

In that time window, the market will go back into consolidate.

Then it'll have a retracement between eight o'clock and eight

30 in the morning, New York time.

Then it will have either a reversal in New York session or another expansion

move to arrange or expand and make the rest of the day going up into 10 o'clock

or 11 o'clock in the morning, New York time where it will have a reversal.

That's long and close, then the market will go into consolidation and then true

day at 1900 on Forex LTDs, uh, platform.

If you follow along with the videos we've been doing so far this month, you'll know,

is that going to talk about so we can see the interbank price delivery algorithm

on a daily basis by studying these events and then seeing it over a period of time.

You'll know what is most likely to happen.

Now let's look, look at it a little bit further.

If we're looking at price delivery, and this is the model that comes by

way of my understanding of it, of how the bank feeds priced to everyone.

If we're focusing on delivery of price, you have to understand that

it all starts with the consolidation.

Nothing can happen until consolidation consolidation is when the market's quiet.

Why, why is that important?

Because that's when the orders are building up in the marketplace, the

market makers roll out orders, the build up above and below the range.

The next stage is always expansion.

It's not consolidation to retracement.

It can't retrace.

It hasn't moved anywhere.

It has, it can't go consolidation reversal because it has to

come out of the consolidation.

So when you see a consolidation or a holding pattern, you've got to think

the next leg is going to be in price.

It's going to be an explosive move or an impulse.

Impulse price, swing movement.

You need to see movement by determining what that movement is

and what direction is relative to the conditions you're trading in.

Once we're in the expansion stage, okay, then you have a choice.

It can retrace come back to the word.

Rockets is left behind and then recapitalize that, and then make

another leg up or down relative to the direction it's moved.

Or once it's moved in the expansion, it can revert.

Once it reverses.

Okay.

There'll be another expansion.

And then it goes back to a consolidation.

The main thing is, I want you to understand this is, it never

goes consolidation, retracement.

It never does consolidation reversal.

It's always consolidation expansion.

And then from expansion, it goes either retracement or reversal.

It does not do consolidation expansion and consolidate.

That does not happen.

It does a consolidation expansion, your retraces for another, uh, move into

an order block and then recapitalize it and do the same direction it

move when they made it expansive.

Or it goes from expansion to reversal.

When you understand.

Algorithm the way it moves and operates.

It's very generic.

It's very systematic.

It has only a few options to go with hill and they're time sensitive.

They're day sensitive.

Okay.

They're intermarket related.

So when one market moves moving in real fast, if you understand the

relationships that I'm going to teach you.

You'll know where the trade setting up because one's being held in yellow

is like letting it run, which is the importance of knowing what the Euro

pounds doing it for trade and fiber cable.

All these things are going to blend together and you'll know exactly how

I'm doing these things internally.

And I'm doing it on the fly.

I'm not measuring things and writing this down, write that down, make a note to it.

I just know by looking at price, what I should be seeing and you see

it, I'm thinking out loud in the videos when I'm doing a live session.

All aiming at your better understanding of price delivery.

And when you understand these things, when you get to the level of month,

eight and month nine in the mentorship, you're going to be so strong at knowing

what the next thing's going to happen in your, in your price that you're studying.

You'll know all these four things.

Okay.

There's only certain.

Processes that have to take place in a certain order.

Like I said, it never goes consolidation, reversal.

It never does consolidation and retracement.

It goes consolidation to an expansion move.

There's an impulse leg, upper down easy.

They're going to be traced back down into where it just rail right up from.

What's going to rally back up into where it just dropped down

from the consolidation stocks.

They're going to run into expansion and then once it expands either going to come

back and retrace and give, giving another leg up or down, or it's going to reverse.

And then from the reversal start applying to hi, the general

structure is consolidation in Asia expansion, reverse in London, make

the higher load of the day, then expand small consolidation in new.

Yeah.

Retrace between eight o'clock and eight 30 in the morning, New

York time, another expansion move reverse back to consolidation.

You understand price delivery, then you will not learn it just by

what I've just explained to you.

It's just there, but you'll use this as a model that repeats itself

over and over and over again.

When you have higher timeframe, directional price.

Understood.

And then you look at this price delivery algo.

It's so easy to know what the price is going to do every single day.

Since the last week of August, we've been together.

And every single day, I've given you something that went right to the PIP or

had an explosive direction move where you could have taken 50 to 60 pips out.

And I don't trade that much every day, but I'm showing you by desensitizing you

to fear and greed, there's new receipt, there's new need for those things.

What we're teaching is.

Consistency, the ability to see these things happening all the

time, and also exercising willpower on not wanting to make money.

So you're suppressing the desire to make money.

You're developing your patients and you're learning a great deal.

You have no understanding of how much you're learning just in these first two

videos, but I'm telling you, you'll be able to look back on this months from

now and say, That was a huge step.

I didn't appreciate until now there's a certain process.

That way the price is delivered and it can't be changed.

It won't be changed and don't be afraid because you're learning it.

700 people is not going to turn the whole world around.

Okay.

And they stopped doing this.

It's not.

So again, in closing, take the information I'm giving you.

Stuff it under your mattress, stick it in a, uh, you know, a love

letter to your grandkids, you know how to do it, but don't market it.

Don't don't do that.

Okay.

Not because I'm going to lose sales, it's just, it's too good to share and

you're going to see why I've kept it for so long and not wanting to do it.

And hopefully you guys will take this information and do

something really great with it.

And that means not starting a website selling it.

Okay.

As nothing more I can say about this video, except for there's a process

that you're going to learn that it's very generic and it will not break.

It will not stop working.

And when you look at the marketplace in your charts, I want you to think none.

It doesn't matter what timeframe you're looking at.

I'm used to using the daily rains to give you how easy it is to see, or yeah.

Repeating, um, format.

So simple every day, you get an opportunity to study and see how.

That same thing happens with the weekly range.

The weekly range is the same thing.

Sundays opens consolidation and it's an expansion move in Monday, then what?

There's a reversal on Tuesday or Monday, and then what,

there's another expansion move.

Then he goes back into consolidation mid week, and it's either

going to do what it's going to reverse, or it's gonna retrace.

It's never doing consolidation retracement.

It's never doing consolidation, right.

It's consolidation expansion then from expansion you're making the

choice is either going to retrace back or it's going to reverse.

Trust me, it seems like you still have a lot of choices to make, but it's not.

And when you understand what you're looking at in terms of price, you'll

know if it's really leading to a reversal or if it's surely going to re

retrace and give you another option.

Can you get in that knee, lower leg up or down that you saw on the first impulse?

And believe me, you'll need to go back to this video, even though the second

one, you come back to this video.

As we give more details along the lines of price delivery over the

next couple months, month, four, and five, we will still refer back to

this one and you'll see, there it is.

It's been there all along so that guy's going to wish you

good luck and good trading.