All language subtitles for Lesson 1 - Basics _ Opening Range Concept EN (f)

Okay folks.

Welcome back our continuing series
of the major four asset classes.

And we're going to be talking about index
trading and that's futures, index trading.

So it's important to remind you
again, please take the time to

read through the disclaimers here.

Everything that I'm discussing as it
relates to index futures should be

viewed in light of the paper trade only.

All right.

June, 2017 92, mentorship, ICT
index trading concepts, lesson one,

basics and opening range concept.

okay.

Index trading basics.

We're going to be focusing primarily
on the E-mini S and P for the

introduction here, but we will brush
briefly over the other two indices.

I like to.

So the trade symbol for the E-mini S and
P is E S and which stands for the E-mini

S and P 500, the trading session we're
going to be focusing primarily on is

the New York session specifically keying
in on the 9:30 AM to 4:00 PM, New York

time, and the contract delivery months
for the E-mini S and P R March code H.

June code M September
code you December code Z.

And the format for the
code is E S the month code.

And then a year or an example would
be ESU one seven or September, 2017,

contract of the E-mini S and P.

And the amount per tick
is $12 and 50 cents.

One quarter of one point equals one tick.

Obviously four ticks makes
one point or $50 per one.

And you're leveraging
is seen by $50 times.

Yes.

And P 500 index at the time of
this days, close to this recording.

As you see here on the right-hand
side, it's about $122,000 leveraged,

right?

Spoos or it's the slang name?

Everyone referred to it back in the.

Eighties or so, um, that's 1983 folks
that are less than 30 years old.

So spoos, uh, as a slang
for, for S and P 500 trading.

So spoos opening range concept.

Okay.

The highest volume for S and P
trading is going to be seen between

9:30 AM and 10:00 AM, New York time.

So it was only a 30 minute span of
time, or that surge of the highest

volume generally kicks off right
at the opening two day four spoos

is going to be viewed as 9:30 AM.

New York time to 4:00 PM, New York time.

Now the market does trade 24 hours, but
we're going to focus primarily on the New

York session as it relates to daydream.

Opening range is going to be
seen with 9:30 AM, New York

time and ends at 10:30 AM.

New York time.

So you have an opening range of one hour.

Can you hear me narrowing our focus
to the opening range between 9:30 AM

to 10:30 AM, which tends to create the
spoos market high or low of the day.

It can be a run on stops or a fair value.

You can see here in the chart, this is
shaded and this is the opening range

one hour between nine 30 and 10 30.

Now every chart that we're showing here
in bar chart.com is shown in central time,

which is going to be an hour earlier.

So that's why you're seeing it
highlighted as eight 30 to nine 30.

But in reality, on the east coast
time, New York time in the U S it's

actually referring to nine 30 to 10 30.

True day, beginning and true date ending.

Okay.

Another example here, S and P 500
E-mini S and P September contract 2017

is the 15 minute candle stick chart
and we'll delineate the opening range.

Nine 30 to 10:30 AM.

New York time.

You can see the volume is the highest.

During that portion of the day.

And we have our opening range here and
we can look at the opening range, see

that return back inside of the previous
up-close candle or Bush or block.

And then later on, if we can see price
trading up to a reference point inside

the opening range as well for a later.

Transaction for a short

or more example.

Okay.

We're looking at the E-mini
S and P September contract.

This is a five minute chart on a
different day for doing the same thing.

The eight 30 to nine 30 on
bar chart is the same thing as

nine 30 to 10 30 New York time.

So there's our opening range.

Highest volume, the opening range
high and low inside the opening range.

There is a return back
to a full, shorter block.

The last down closed candle right
before the 11 o'clock hour in

your time, or would be seen as 10
o'clock on the bar chart.com chart.

Right.

Bear bull, shorter block and rally.

Another example here, the September
contract again for E-mini S and P 2017

five minute chart, delineating D nine 30
to 10 30, opening range, highest volume

again, during that portion of the day
are high and low are the opening, right?

And notice it's an extended range.

It's not a small range
and it's extended here.

When we have that, generally we'll
look for the higher, the low to

be violated later in the day.

If it's going to be a bullish day, we'll
look for that upper end of the opening

range to be violated or traded, to
reverse as a sell off day, where if we

had a move, primarily moving up during
the opening range, we would look for the

opening range of load to be retreated.

If we're bearish, but the extension
or long, wide ranges in opening

range for spoos that will give
us a range to reach back into and

look for stops on the opposite end.

In this case, we have the run below it.

So a turtle soup right here.

What are the opening range
later in the morning?

So we have turtle soup and then a rally
and it reaches all the way back to the

opening range high to run the stop that
we're seeing during the opening range.

Now I mentioned that there would be
a discussion with the other two and

the seeds that I like to follow, and
that is seen with the NQ or NASDAQ in

the opening range is the same for this
it's nine 30 to 10 30 New York time.

And the volume is seen as being high
that morning and we have the high

end and the low end of the opening.

And inside that opening range, we can
look for reference points and we have a

very shorter block that we can turn return
back into prior to the opening range.

But we have a rejection black will be
just below it with the last up-close

candle inside the opening range.

And that could be used as well
for a facilitation of a short.

And again, that same reference
point is used later on in the

day for a dramatic sell off.

So our short here and a short here today
for the NASDAQ E-mini futures is the same.

You're getting at nine 30 and
closing at 4:00 PM, New York time,

the other, and to see, I like
to follow is the doubt, meaning.

And your opening range is the same for it.

Nine 30 in the morning, New York, time
to 10 30 in the morning, New York time,

largest volume during that morning.

Again, it's the first 30
minutes, nine 30 to 10.

O'clock.

It has the largest volume of the day,
typically for the morning session.

And that creates usually
the higher, low of the day.

In this case, we've traded down from
overnight making a load a day, and

then we have opening range high and
low inside that we can look for in this

case, a rejection block, the lowest
close down closed candle, and it trays

back into it here later in the morning,
creating the rejection and notice that.

WIC that went down.

It failed to go lower than the
low formed in the opening range.

That volume bar that makes the
low of the day inside the opening

range is the high green volume bar.

Then we have that second attempt to trade
down below 21 to 65, but it does it with

a lower volume or the red volume ball bar.

It's not enough volume.

It's weak.

We mentioned in the commodity section.

Where futures in bonds and, and regular
commodities volume precedes price.

So if we're going to be making a lower
load or retesting an old, low or old high,

it should be seen with higher volume.

If it's not, then it means volume is
preceding price in the sense that it's

not as strong as I otherwise would
look treating back down there at the

time that WIC was a bold bearish.

And then otherwise it would have been very
scary to see that, but when that candle

closed the volume for that particular
candle, didn't register the equivalent

to what was seen in the low, the day
earlier in the day, making the very

low the day during the opening range.

So that rejection block seen here
did not see a higher run in volume

and it was eventually rejected
and price traded higher on the.

So when we look at indices and trading
during the season, we can look at them

on an individual basis as shown here.

And we're also going to start
blending them together to get

stronger signals, directional bias.

And we're also going to look for
specifics about time of day that

are unique with trading indices.

This introduction is to focus
primarily on the opening range.

It's split in.

The full spectrum is at 60 minute opening
range from nine 30 in the morning to

10 30 in the morning, New York time.

But the first 30 minutes, we're also
going to build on that idea as well.

When we start talking about trading
the am trend, when we have the opening

range idea defined and we have bias and
we have institutional order flow also

referred to when a hard timeframes,
the opening range will give them.

Otherwise support resistance levels.

That would be going over
other traders heads.

They wouldn't even be aware of it, but
there's a very specific relationship

to the first hours range, high and low.

And the first 30 minutes, high, low,
as you'll see in the next teaching

trading to am trend until then, I
wish you good luck and good trading.