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so entries are pretty much one of the last things that we're looking at right
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you know we spoke about this at the very start of the module in that introductory
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uh to technical analysis lesson where you know essentially we need to build
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the story right first so if i just kind of put up the
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sort of main uh areas of confidence that we look at
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right market structure as we know always comes first that in in my opinion when
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you're starting to build a trade idea no matter well no matter what strategy you
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trade market structure always comes first that is the main confluence then
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we can look at our supply and demand zones right and we want to see where
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they are positioned within market structure are we playing pro trend
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counter trends et cetera et cetera then last we can kind of start to look
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at uh not last but after that we can start to look at liquidity concepts
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right the two main ways that we use that one being for those sweep zones and the
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other one being do we have inducement um in front of our zone and then finally
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probably the kind of last major confluence i would look at is pricing
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how well priced is the area that i'm looking to trade from so you know that
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was how we used our premium versus discounts all right so obviously spoke
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about that in the market structure module but
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we kind of view that as its own sort of separate uh piece of confluence and that
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is essentially the order of importance in which i would use to personally start
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to build a trade idea right so that's pretty much what we've gone through so
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far uh in the technical analysis module and you've learned all of those
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individual concepts but we've learned it in a way where we've kind of built uh
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you know each of those concepts on the prior concept right and we've built that
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story along and we've slowly put it together
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throughout each sort of sub module and lesson and you saw trade examples kind
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of the whole way through that so you should have a pre kind of you know good
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grasp before even watching this lesson in terms of how we are looking to to use
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all of that but also how you know we are looking to actually enter trades
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so this lesson specifically isn't going to really be about that it's not going
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to be about looking at all of those pieces of confluence and how we build
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those trade ideas what this lesson is about is that once
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you've already done that and you've done the hard work and and you've built the
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whole story right the whole higher time frames how the piece together where we
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are within structure you know etc etc and you and you've identified and
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refined the exact same the exact zone that you wish to trade from in terms of
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your hard time frame poi right your point of interest
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then obviously there's a few options that are going to be available to you in
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terms of how you specifically can enter that zone and execute that trade and
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that's what this lesson um is going to be about so again it's not going to be
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about putting all of that together so far
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but more so once you've built all that story and
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you've got the zone or the area in which you want to build a trade idea around
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and when you actually want to start to execute a position
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this lesson is going to be about kind of those options that are available to you
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then when we get into the next section coming up which is about trade plans
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right creating and building your own specific and personalized trade plan
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that is where we will then talk a lot more around you know putting all
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together what confluence you want to see and you need to see as minimum criteria
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or what is just you know additional positive confluence but you don't
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actually need it to execute a trade but more specifically
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you know what time frames are you going to be trading from what constitutes a
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higher time frame poi for you and then what lower time frame are you going to
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use for execution because for some people
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you know they'll be using four hour uh you know structure they'll be using m15
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pois right to build the trade ideas around but then once the price is in the
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m15 poi that's when they'll then be using say the m1 or maybe lower for
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their actual execution whereas other people may be you know using the weekly
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the daily and then the 15 minute for execution right so
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all of that is pretty much irrelevant for this specific lesson because we're
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going to get into that in a little bit coming up but this is like i keep saying
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right this is just going to be about once you've done the hard work you've
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built that kind of you know that that area in which you want to to look to
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execute how can you actually get in right so let's dive into that and drag
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this across so there's kind of two main sort of entry types a way to classify it
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one being a risk entry and the other one being a confirmation
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entry obviously there's three here so you probably think you're always saying
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two but the double confirmation entry for me kind of just just gets looped in
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with with confirmation entry but yeah let's just dive into it and talk
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about it so the first one being risk entry so this is very very simple so
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essentially you have your higher timeframe poi in this case the supply
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zone right denoted by this gray box now like i was saying right a higher time
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frame is any time frame is it's going to be specific to each individual trader a
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higher timeframe for one person could be the daily for another person it could be
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the m15 right and then your lower time frame is just uh sorry just put my phone
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on silent there we go your lower time frame will then just be uh you know
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whatever lower time frame is going to be lower than the higher time frame one
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that you use at so in this case regardless of whether this
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is a continuation zone or a reversal so obviously it was if it was a
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continuation we would have price moving to the downside right forming a lower
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low price would be pulling back up into the supply zone right that caused that
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break of structure and we'd be looking to get short here to then try and
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potentially catch this lower high right to then get that next break of structure
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for price to form a lower low so that's the idea with that or of course if it
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was a straight reversal so if price was trading to the upside and then price
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came down we had that reversal and then we could be looking to trade in here to
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try and catch that lower high so it's irrelevant of whether it's a reversal or
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continuation what essentially makes this a risk entry
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is that you were just looking for price to pull back up into that hard time
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frame poi and you were looking to just whack a limit order on
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right anywhere on or within the zone and then you're essentially hoping that
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price isn't going to reverse tag you in and then go in your favor okay so we'll
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talk kind of a little bit further on in this lesson about more a bit a bit more
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about the specifics of exactly where you can enter within the zone but right now
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i just want you to concentrate on essentially you're just identifying your
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high timeframe zone and you're just looking to enter on it put your limit
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order on it and that essentially is your risk entry so remember your stop will
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always go behind the zone and then your entry can be anywhere on or within the
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zone okay obviously the more refined you go the better the wrist reward you get
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but the more you increase the probability that you may not get tagged
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into a position so that's your risk entry
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now a lower time frame entry will be sorry not the timeframe a confirmation
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entry or a double confirmation entry is essentially where you would then drop
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down uh to a lower time frame once price enters your higher time frame poi so in
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this case the minute that price gets to here where this orange line is right the
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very edge of our hard time frame zone i would have an alert that would ping off
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i would then drop down to my lower time frame my execution time frame whatever
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that may be okay and then i would start to wait for
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price to switch bearish in line right with the hard time frame intention if
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i'm looking to catch a low high price is fractal the lower time frames
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will switch bearish first okay and we'll see that and then that way we're using
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that little bit of extra confirmation the lower timeframes because we're
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looking for you know that bearish order flow starting to kick in we're looking
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for demand to start failing right supply to start taking control and we're going
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to see that first on the lower time frames if this hard time frame zone is
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likely to hold right so if there's supply in the zone
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and we're going to look for that next boo to the downside we're going to see
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that first on the lower time frames okay and that's essentially all we're doing
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and that's you know this is why it's a bit riskier because price could
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obviously just you know we don't have any confirmation price could come up
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into here move a little bit and then just stop us out
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and the same thing could happen here we could still have all of this
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confirmation and price could still go and stop us out but at least we've had a
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little bit more confirmation on the lower time frames and we're seeing that
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fractal bearish order flow start to kick in
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and this is why this can be useful okay so very simply confirmation
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price comes into our hard time frame poi we drop down to our execution time frame
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we wait for um you know essentially price to start breaking strokes to the
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downside so confirmation entries when you get that first breaker structure
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downside price then pulls back up in this case into a supply zone and we
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would look to get short from that first zone there right and that would be your
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confirmation entry and then as the name suggests a double
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confirmation entry is then when we have that double break of structure so we
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have that first initial break of structure we then see price pull back
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tap into supply and then we get another break of
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structure and then that secondary supply essentially is your double confirmation
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entry right and then you know i guess technically you could keep doing that
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right and then you'd get a triple confirmation uh confirmation entry so on
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uh and so forth so yeah you can either enter on the confirmation entry or you
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can wait for even more confirmation to get that double confirmation entry and
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that could be your first initial position or of course you could enter on
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both and you could use that to just scale in and really that's as simple as
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it is okay it's just kind of a way of classifying
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how you may want to approach you know that hard time for mpoi because
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you could see this whether it be the four hour the m15 whatever time frame
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you like to use and it's kind of essentially two options you either just
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want to get it get in on that zone you just want to enter anywhere on or within
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it stop always goes behind or you want to wait for a little bit more
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confirmation you'll drop down to a lot of time frame execution uh your your
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execution time frame and then you can look to either just take that first
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break of structure to get the confirmation entry or that double
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confirmation entry now one reason kind of why you may want
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to wait for the double rather than that first confirmation entry is because what
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can happen so if you just kind of imagine this bit of price action here as
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price comes up into your hard time frame poi we then come down right and we get
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that breaker structure here but then what can happen is this price can come
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back up and you could be looking to get short from this zone but price could
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just continue up right so then it ends up just grabbing that liquidity belief
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that zone right to then fuel the move and then sweep the liquidity above this
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high and then we get the real move going so that's why waiting for you know
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another break of structure to the downside first can kind of boost your
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strike rate or you may wish to do so um you know if you don't have a lot of
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confidence in that specific poi then you may want to see more confirmation and
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wait for that double break of structure just to stop you getting caught in a
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potential liquidity sweep here right have you got tried to get shot from that
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supply zone and then you get stopped out before the real move goes okay
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so yeah that's pretty much it that's kind of as simple as it needs to be you
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don't need to over complicate it any more so than that
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now one thing i actually do want to add to
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it um kind of just a very kind of nuanced
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difference between risk entry and confirmation entries here on the lower
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time frames is that when price comes into your higher timeframe poi so we
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look at this kind of first entry model here uh just like we saw right price
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comes into it on the lower timeframes right
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we then get that break of structure price then pulls back now it doesn't
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come up straight away to that first supplies and that's created because
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remember if price came up to here that would be our confirmation entry right
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but in this case it doesn't quite pull back up to that supply zone and then we
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get that second break of structure so now we have that double break of
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structure we now have our second supply zone now
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we can definitely look to take this double confirmation entry here all right
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and we can look to get sure now what can happen as you can see is price can then
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come down it can break that low here right we can get another break of
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structure but then price can come back up this would then stop us up for break
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even but then what happens when price comes
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back up well it has to switch bullish right because it has to break that lower
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high which then forms a higher high in order to come back i'll get rid of
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the orange line if in order to come back to the initial zone that we were looking
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at right the origin demand zone of that move price has to switch bullish to get
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back here so you definitely can look to enter here you know we've
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had the especially if you know like for instance we get a sweep zone price
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sweeps equity taps into a higher timeframe poi we get multiple breaks of
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structure to the downside and then yes we could look to get short here as well
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from that double confirmation entry pricing comes down we then move to break
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even as we get a break at that low or we can pass it out to move to break even
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again we'll talk about management in the next lesson
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essentially price will come back up stop us for breakeven and then we can look to
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enter from this zone here and we can put a limit order on here right but you have
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to understand that price on this time frame on your execution time frame once
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it breaks this high here it has now switched bullish again at this moment so
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order flow is bullish technically that lower timeframe demand is now in control
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so as you're trying to short here it's a bit more riskier right because you don't
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have that confirmation but this is a valid trade i'm not saying you can't
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take this we just have to understand that this is a risk entry compared to if
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price came down here that first little break of structure then came into the
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zone and then you got short from here that would be classified as a
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confirmation entry okay because price is bearish it's in line
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with the direction in which you were trying to trade but when price then
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comes back uses that prior move as liquidity right forms as equal highs
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then price comes back into it that is then your risk entry here
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now this entry model over here is the exact same entry model that we have here
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except once it actually comes back up to that zone where initially we'd be
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looking to take a risk entry what you can do is you can wait for price to
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switch bearish again on their execution time frame so then when it you know gets
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that breaker structure against the downside price is now bearish supply is
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back in control and essentially you're just using a confirmation entry of this
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zone right to confirm that the supply is going to hold wait for that breaker
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stretches the downside supplies back in control and now you can look to get
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short from here with that confirmation entry
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okay so you can do this on this exact same time frame so for instance let's
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imagine that you know this hard time frame is a four hour chart and then you
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were looking to enter on the m15 so that was a blue line here this would be an
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m15 risk entry over here you would then wait for price to come into that zone
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you would then wait for price to then switch bearish create a new supply zone
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that would then be your m15 confirmation entry but you don't necessarily have to
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use you know the m15 to see if this m15 zone is going to hold because price
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could come up into your m15 zone here and then you could drop down to say the
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m1 or the m5 or whatever you want to use wait for the m1 or the m5 to switch
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bearish and then enter here on the m1 right so you've used that m1 to
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fractionally confirm this m15 to fractively confirm right the four hours
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so you can understand and see how we can use those different time frames together
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um i know it can be a little bit confusing when you kind of first think
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about it but really just when to kind of see the differences here between a risk
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entry and a confirmation entry and kind of i guess the most simple way to define
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it is that a confirmation entry is when the
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time frame you were looking to execute on is essentially you're trading with
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the trend you're trading you know that continuation rather than this kind of
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being you know this would be a straight reversal because price is bullish at
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this point as as you're trying to short it
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okay so then let's take a look at essentially
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the the kind of pros and cons between you know when to use a risk entry and
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when you may want to use a confirmation entry now
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kind of just laying this out here for you guys to think about it's going to be
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different for every trader some people may only want to use confirmation
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entries others may pretty much only use risk entries some may use a combination
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of both depending on you know different factors
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so let's kind of go through those and then you can kind of see you know why
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you may we just wish to use one over the other or in specific circumstances so
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a risk entry as the name suggests it is slightly riskier but that doesn't
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necessarily mean you know the reward isn't there okay so essentially if i
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could you know put it down into the simplest way you can use it is you would
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identify your hard time frame point of interest
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now what you can do then is let's say this was your four-hour zone is you
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could refine your four-hour zone just to make it a little bit more smaller and
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more accurate by jumping down a lower time frame looking and investigating
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this section of price action on say the m15
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and then on m15 you may actually see well this is where the actual true
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supply came in you would use your confluence with the
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to then identify the 715 zone that is stacked and nested within your hard time
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frame zone right your four hour zone so now what you have done is you have you
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know used multiple time frames to refine your hard time frame poi to a lower
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timeframe poi and then that means you can whack your limit order with a
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slightly smaller entry or a reward i should say right rather than you know
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entering on the distal of the four-hour zone and obviously it's gonna you know
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negatively affect your wrist to reward so
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that's obviously optional you don't have to do that you can literally just stick
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to the four hour zone and obviously once you're happy with it set your limit
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order on the zone now this is best used
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you know in my opinion when you were trading with the trend so essentially
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you know those continuations because you you're increasing the probability that
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price is going to hold right we know that it's more likely that structure is
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going to hold that if price is turning to the downside and forming a series of
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lower lows and lower highs that it's more likely that a lower high will form
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here right so that's why you know without waiting for that lower time from
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execution like we can with the confirmation entry this is why using
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risk entries with the trend hopefully it's pretty obvious of why
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that's why that you know you would be more inclined to use it this way
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and best use when you can refine that higher time frame zone with
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a lower time frame zone that's nested within it essentially just to increase
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your risk rewards and decrease your accuracy of entering at the right point
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right best use when you kind of just want to
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be aggressive if it's a zone you really really like and price action is just you
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know there's tons of positive confluence and you just want to get in you want to
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be aggressive then just being you know whacking your
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risk entry limit order um can be good and kind of finally i guess
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your training personality or your your routine let's say you're busy with work
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you have a nine to five or you're someone who just doesn't want to be on
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the charts a lot set and forget you can identify a high timeframe poi it could
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be the weekly the daily four-hour whatever even m15 you're gonna have
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probably hours and hours if not days to sometimes spot these zones that you want
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to enter from and instead of waiting for price to get back there then having to
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jump down a lower time frame you know wait for all of this to realign then set
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your entry order uh you have to be in front of the charts instead you could
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see this you know the night before and the four-hour chat could then be trained
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to the downside you know the next day or so it can pull back your entry orders
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being there the whole time then you're trying uh you know tagged into the trade
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ideally it runs into profit um it's a much more hands-off approach
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and that's really kind of where risk entries um you know come into their own
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so i guess the main kind of obvious
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benefits to to using risk entries is that you can get into trades that
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sometimes literally price can come into his own and it can just you know tap and
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go very very aggressively is there if there's a massive imbalance within that
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zone right an overwhelming amount of supply compared to demand obviously in
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this area uh then this is where you know it can be beneficial sometimes you just
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kind of miss that that confirmation entry and sometimes you will miss the
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move uh you can obviously get a high risk reward
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if you have managed to refine your poi to a lower time frame zone um yeah and
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just more generally kind of that autonomous execution that independent
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execution where it's a lot more hands-off um a lot more certificate
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which yeah some people will definitely prefer that approach it can also be a
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lot easier on your psychology as well for some people um because
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you know you set your order and you walk away rather here you kind of have to be
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a bit more active and you can kind of potentially talk yourself out of trades
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or make a few mistakes in the heat at the moment as is kind of happening um
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but other people find this find risk entries a lot harder in their psychology
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because um you know you can take some losses if
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you if you haven't identified you know high enough probability zones and some
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people just prefer to always always wait for that bit of extra confirmation as
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they just yeah it gives them a bit more confidence that the zones holding
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they're saying what they want to see in the lower timeframes and they prefer it
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this way so this is why you know there's a million ways to trade the markets to
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make money um and obviously yeah we'll talk about this a lot more in in the
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trade plan section but i just want you to start kind of thinking about the
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benefits and the cons to to each there's obviously always you know pretty much
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equal benefits and drawbacks right um you just got to figure out what is going
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to work best for you and kind of what makes most sense to you
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so the the main cons are yeah just like i was saying you don't really get any
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confirmation right so price could literally pull back and just blast
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straight through you and stop you out and also you can kind of generally get
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uh lower risk rewards um if you haven't refined it to a lower timeframe zone or
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of course you know if you're waiting for a confirmation entry you can you could
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go down to a really small time frame to wait for that bearish switching trend to
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then get a very very small stop-loss to give you a really high uh risk to reward
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so yeah in terms of the confirmation entry
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pretty similar you would obviously identify your high time frame poi using
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all of the confluence that we've looked for in the in the previous lessons
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market structure yadi rdr and then you can refine on lower timeframe again just
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like we did here i haven't drawn on this case but you could if i drag it across
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you could rather than just waiting for price to
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come in to say your hard time frame zone and waiting for say the m1 to switch
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bearish instead you can wait for the refined zone within your hard time frame
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zone to be hit first before you look for your entry model because what could
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happen is price could come up into your hard time frame zone like this it could
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then switch bearish and then you could look to get short here right from this
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zone but it could be a bit of liquidity grab price could go higher and then tap
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into the actual refine zone right within your hard time frame zone
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then you get the break of structure let's say this was a little high there
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sorry a little low there then you get your break of structure here right now
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that wasn't a full signal all of this was just a run on liquidity there
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and then you have you know much higher confluence that price is likely to to
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tag you in and go because it's you know mitigated that kind of last bit of
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refined supply that you that you've done so um refining it's obviously optional
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you don't need to do that and once you've got your zone that you
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like you obviously wait for price to reach it and then you drop down to your
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execution time frame so it's kind of denoted by this blue line here um so
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let's say your half time frame zone was a four-hour zone you then drop down to
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10-15 for instance you'd wait for 10-15 to switch bearish pull back into that
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first supply zone that would be your first confirmation entry um yeah you'd
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set your your limit order on that newly created fractal lower time frame zone
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and then you've got a bit more confirmation that this hard time frame
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zone is going to hold so this is going to be you know if you were going to use
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both types of entries confirmation and risk then this would be better to use it
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if you're kind of trading counter trends um because obviously there's less
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probability compared to pro trend trades that this so may hold so you may want to
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just wait for a little bit of extra confirmation and just to show that
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bearish order flow starting to kick in if you're looking to get short um also
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good if you have a large hard time frame poi so uh kind of what i mean by that is
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imagine this is a daily or a four hour zone
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generally those zones depending also going to be different for every pair but
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generally those zones can be you know anywhere from 40 to 100 pips for
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instance and if you're using the m1 for your execution time frame the minute it
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gets into here like i was just saying and you trade that first break of
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structure in that first flip your increase well it's a little lower
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probability that necessary that first move is going to be a true signal and he
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could take a lot of full signals as price moves deeper into that kind of 100
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pip zone before eventually it goes um so this is kind of when it when it's you
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know pretty decent to to use um you know there's extra confirmation
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entries and to use those refined pois to make sure that you don't get trapped in
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those full signals um but also to increase your risk reward because let's
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say you wanted to take a risk entry on that 100 daily zone um obviously your
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stop-loss is going to be much larger than when you can actually refine it to
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your your your lower time frame um you know an entry zone which is going to be
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much smaller than the higher timeframe zone uh it's also best used when price
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is moving very aggressively into your hard time frame poi so you know if you
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kind of get that v shape move where price moves down and it comes very very
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aggressively with all momentum back into your zone um you may want to just you
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know not take a risk entry with that and actually wait for that lower timeframe
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confirmation to start switching bearish just to give you a bit more confidence
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that price is going to hold um and then yeah another really good one
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is if you have multiple um
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pois to consider so for instance let's say um you know price
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uh comes to the downside and then you have let's say your origins
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aren't up here and then you may have a couple decisions right you could
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literally have one around here and then you could have another one here
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sometimes you can have even more and obviously this is the most well-priced
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one and there may be decent confidence for all of them and you're not quite
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sure which one is going to hold because price doesn't have to come to the origin
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then what you can do is you could uh just trade any confirmation entries that
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you get so maybe price just comes up into this one it blasts straight through
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it and never switches bearish it comes into the second one and then you get
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your entry model you could take that and then you're in right so what you were
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doing is you set alerts on all three and you just trade your entry model once you
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get your confirmation entry to confirm that zone is going to hold and then you
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can get in and what you may also want to do is that
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whole time is you may want to set your risk entry on the top one right because
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you know if price is going to form uh that lower high then this is the last
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point in which is going to do it to maintain that bearish trend right
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because this in theory should be a strong high
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so if you have multiple pois kind of one thing you can do like i was just saying
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set your risk entry here and then trade confirmation entries um from the
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decisional but yeah it will again be very dependent
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um on kind of each individual trade setup and also uh you know what you have
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in your plan so the main benefits of this is
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obviously additional confirmation and higher risk to reward if you are
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entering on a refined low time frame poi compared to just entering on the whole
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zone as itself uh main benefit drawbacks are you can miss moves that do not pull
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back that's what i'm saying here right sometimes pricing can just come in tap
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fly and it's off and you won't always get pullbacks to those to those lower
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time frame refinements and then finally um it can be where you
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just can get trapped in full signals where price can kind of give you that
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first initial confirmation tree and then push higher and deeper into the zone and
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before you get that real move as it was just a liquidity grab um yeah and that's
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kind of really it the main differences between risk entry and confirmation
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entry but this was just something that you you'll get used to with time and
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experience as you test more um and obviously it will depend a lot as well
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on um you know your your own personal uh lifestyle constraints you know if you
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have a job and things like that so kind of again if i could just kind of
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simplify it trying to want to you know the way we can trade you can over
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complicate things a lot and i think this diagram is kind of a good way to kind of
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summarize what again we're trying to do here so
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we have our higher time frame denoted by this black line we have price training
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to the downside this is obviously a weak low because it failed to take out the
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high this is a strong high because it's taking up the lows right so it should be
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protected in that bearish trend so on and so forth price pulls back into our
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supply zone here it fails to put in a lower low so then demand takes in
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control causing that change of character on that break of structure right we then
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get uh demand right so supply flipping to demand demand is now in control so
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you could either literally just take your kind of hard time frame entry like
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that essentially your risk entry and your hard time frame poi or you can wait
440
00:25:54,400 --> 00:25:57,600
for price to come into your poi drop down to your lower time frames and then
441
00:25:57,600 --> 00:26:00,559
you're essentially just waiting for the exact same thing to happen right price
442
00:26:00,559 --> 00:26:03,360
is obviously bearish on a lower time frame coming into your hard time frame
443
00:26:03,360 --> 00:26:06,240
zone then you're waiting for the lower time frame to start to switch bullish
444
00:26:06,240 --> 00:26:09,919
and then you look to get involved and you have that confirmation that that
445
00:26:09,919 --> 00:26:13,200
higher timeframe higher low may be forming right and then we can do what
446
00:26:13,200 --> 00:26:16,960
target that weak high or even further then again price comes into your next
447
00:26:16,960 --> 00:26:20,240
supplies uh your next demand zone in this case drop down to lower time frames
448
00:26:20,240 --> 00:26:23,360
wait for all the flow to start to switch bush again to give you that confirmation
449
00:26:23,360 --> 00:26:26,640
that this zone is holding and that that high low is in place and then target
450
00:26:26,640 --> 00:26:29,840
that weak high and that's it that's that's really as simple as we need to
451
00:26:29,840 --> 00:26:33,039
keep it right in terms of just thinking about what it is we are trying to do
452
00:26:33,039 --> 00:26:35,919
here and kind of those subtle differences between whether you want to
453
00:26:35,919 --> 00:26:38,880
just take that risk entry work your limit order on or whether you're happy
454
00:26:38,880 --> 00:26:42,240
to then drop down to the time frames and look for your confirmation entry now
455
00:26:42,240 --> 00:26:44,640
another thing as well i do want to kind of want to mention
456
00:26:44,640 --> 00:26:49,679
uh if it kind of wasn't clear is that you can use confirmation entries within
457
00:26:49,679 --> 00:26:53,679
your hard time from poi without actually changing time frame so for instance
458
00:26:53,679 --> 00:26:57,279
let's say you were looking at this hard time frame poi uh you know risk entry
459
00:26:57,279 --> 00:27:00,159
would just be whacking a limit order on there but what you can do is actually
460
00:27:00,159 --> 00:27:03,200
wait let's say this is the four hour chart this back line if price was coming
461
00:27:03,200 --> 00:27:06,400
back and had a bit of a minor pullback right a bit of a minor pullback and then
462
00:27:06,400 --> 00:27:08,880
you can get that four hour change of character here right where you get that
463
00:27:08,880 --> 00:27:12,320
minor breaker structure and then price comes into this four hour zone here when
464
00:27:12,320 --> 00:27:15,360
it's minor for our zone you haven't changed time frame but
465
00:27:15,360 --> 00:27:18,799
you've essentially used the four hour to give you that confirmation entry within
466
00:27:18,799 --> 00:27:21,200
that four hour zone now price isn't always going to do that it's going to
467
00:27:21,200 --> 00:27:24,880
depend on you know how it's setting up how big this actual range is right how
468
00:27:24,880 --> 00:27:28,000
big these swings are in price um sometimes there's a very tight range
469
00:27:28,000 --> 00:27:30,159
you're not going to get that much space in a 4-hour chart it's going to tap in
470
00:27:30,159 --> 00:27:33,600
and go um yeah hopefully kind of yeah that makes sense of how you can
471
00:27:33,600 --> 00:27:37,840
essentially just use this but without even changing time frames as well so
472
00:27:37,840 --> 00:27:43,039
don't be afraid to kind of use that too and then finally what i was just saying
473
00:27:43,039 --> 00:27:46,799
right this is kind of i guess the three in my eyes are three
474
00:27:46,799 --> 00:27:51,279
main ways in um which you can enter that zone so whether you're using risk entry
475
00:27:51,279 --> 00:27:55,200
confirmation entry whatever once you've actually picked that final last zone
476
00:27:55,200 --> 00:27:58,080
that you've drawn on your chart i know you're ready to actually size up where
477
00:27:58,080 --> 00:28:01,360
your entry is going to be and where your stop dust is going to be these are kind
478
00:28:01,360 --> 00:28:04,559
of the three main options so main one being
479
00:28:04,559 --> 00:28:08,480
essentially always entering on the distal so the distal is just essentially
480
00:28:08,480 --> 00:28:11,600
the edge of the zone it's the very front edge of the box
481
00:28:11,600 --> 00:28:15,360
and that is where you can put your entry order now no matter how you enter your
482
00:28:15,360 --> 00:28:19,919
trades stop losses as i've been saying they always go behind the zone okay no
483
00:28:19,919 --> 00:28:24,240
matter what now how much of a pip buffer you give between the end of the zone and
484
00:28:24,240 --> 00:28:28,080
and your stop loss again it's going to be down to each individual
485
00:28:28,080 --> 00:28:31,520
trader this comes with time experience and testing and it will depend on each
486
00:28:31,520 --> 00:28:34,799
individual pair as well right with how volatile they are the average true range
487
00:28:34,799 --> 00:28:37,679
depending on whether you whether you want to give it half a pip you want to
488
00:28:37,679 --> 00:28:40,480
give it one pip three pips whatever or maybe some of you literally just want to
489
00:28:40,480 --> 00:28:43,440
go straight to there that will also depend on on you know how good the
490
00:28:43,440 --> 00:28:46,240
spreads are with your broker et cetera things like that i'm not going to dive
491
00:28:46,240 --> 00:28:49,120
into this too much for now you're just going to have to test this and see what
492
00:28:49,120 --> 00:28:51,919
works for you but in terms of the actual entry the
493
00:28:51,919 --> 00:28:55,520
simplest way in the way i'd probably recommend all of you starting out to do
494
00:28:55,520 --> 00:28:58,640
is just use a distal so always enter on the edge of the zone and the reason why
495
00:28:58,640 --> 00:29:02,399
i say that is just because it's going to give you um well you're going to be
496
00:29:02,399 --> 00:29:04,720
entering in a lot more trades if you get this way
497
00:29:04,720 --> 00:29:07,440
because obviously if you enter on the edge of the zone once price comes in
498
00:29:07,440 --> 00:29:10,399
you're going to get tagged in compared to if you always enter on the eq
499
00:29:10,399 --> 00:29:12,880
sometimes price is going to come in and not tag you in
500
00:29:12,880 --> 00:29:15,279
so this is the most unrefined way of
501
00:29:15,279 --> 00:29:17,840
entering because risk reward is obviously going to be lower compared to
502
00:29:17,840 --> 00:29:22,640
these ways because you know you your stop-loss is going to be bigger right
503
00:29:22,640 --> 00:29:25,279
but i think when you're starting out i think it's useful to just always enter
504
00:29:25,279 --> 00:29:27,760
on the edge just so you're getting experience of getting in trades getting
505
00:29:27,760 --> 00:29:31,200
used to managing them um you're just going to learn a lot quicker that way
506
00:29:31,200 --> 00:29:35,360
and then the refinements come with time okay so the next like a simple way to
507
00:29:35,360 --> 00:29:39,200
always enter trades is you always enter on the eq of the zone the equilibrium
508
00:29:39,200 --> 00:29:43,760
the 50 level and that's kind of why it's useful to draw um your zones rather than
509
00:29:43,760 --> 00:29:47,919
uh drawing your entry zones with the box tool like this you can either use a gan
510
00:29:47,919 --> 00:29:51,440
box so that's kind of a useful one just quickly show you the settings take a
511
00:29:51,440 --> 00:29:54,559
screenshot of that if you want to use a gan box okay and i'll give you a line in
512
00:29:54,559 --> 00:29:58,720
the middle i personally prefer to use um i believe it's called a fib channel i
513
00:29:58,720 --> 00:30:03,120
have gone through this in the previous lesson let's have a quick look over here
514
00:30:03,120 --> 00:30:06,000
uh where are you over here
515
00:30:06,000 --> 00:30:08,559
actually no it's not a fib channel i believe it's the parallel channel isn't
516
00:30:08,559 --> 00:30:11,360
it yeah there we go she's been blind the parallel channel which is in the
517
00:30:11,360 --> 00:30:15,039
trendline section so that's what i personally use to draw my execution time
518
00:30:15,039 --> 00:30:18,640
frame zones so just click on that sort of the higher
519
00:30:18,640 --> 00:30:21,840
the candle right then if you hold shift it will draw a straight line then you
520
00:30:21,840 --> 00:30:24,240
can draw it to the bottom of the zone wherever you want it to be and there you
521
00:30:24,240 --> 00:30:27,120
go and then you've got that perfect eq in the middle so just double click on
522
00:30:27,120 --> 00:30:31,600
that and you guys can see the settings there um if you wish to copy that
523
00:30:31,600 --> 00:30:35,039
and in that way you can always enter on the eq no matter what and your stop-loss
524
00:30:35,039 --> 00:30:38,159
will always go behind the zone so obviously the size of the zone that you
525
00:30:38,159 --> 00:30:41,600
draw will determine how big your your stop-loss is in terms of pips and
526
00:30:41,600 --> 00:30:45,600
obviously then your risk to reward and then the final way is essentially
527
00:30:45,600 --> 00:30:50,640
using a fixed stop-loss so this of would only recommend for people
528
00:30:50,640 --> 00:30:54,880
who are a lot more advanced and who have done a lot of testing you have yeah
529
00:30:54,880 --> 00:30:58,960
essentially collected a ton of data and you're very because this will be very
530
00:30:58,960 --> 00:31:03,279
specific to to what time frame you enter on um your
531
00:31:03,279 --> 00:31:07,600
style of trading also specifically what pair your trade um it will it will
532
00:31:07,600 --> 00:31:10,320
differ from pair to pair because they are all slightly more volatile or less
533
00:31:10,320 --> 00:31:13,840
fortunate than each other um so yeah this is kind of the most refined way and
534
00:31:13,840 --> 00:31:17,440
essentially all it means is that let's say that you find for your side of
535
00:31:17,440 --> 00:31:21,440
trading or let's say you're a dollar you find that five pips a five pip stop loss
536
00:31:21,440 --> 00:31:24,799
is the most optimal way for you to trade then what you would do when you've
537
00:31:24,799 --> 00:31:28,000
identified the zone that you want to trade on is you would just
538
00:31:28,000 --> 00:31:31,200
for instance like let's say i would go okay here's my zone i know i want to
539
00:31:31,200 --> 00:31:34,080
fire pip stop so what i would do is i would just move the wrist to raw tool
540
00:31:34,080 --> 00:31:37,200
knowing okay i want my stop to be about that far behind the zone and because
541
00:31:37,200 --> 00:31:40,799
it's a fixed five pip stop wherever the entry ends up that's just where i'm
542
00:31:40,799 --> 00:31:44,640
gonna enter so for instance if this zone was like a larger zone or you just do
543
00:31:44,640 --> 00:31:47,279
the same thing right you just size up your five pip stop it has to be just
544
00:31:47,279 --> 00:31:50,080
behind the zone that's where i want my stop to be okay that means i'm now
545
00:31:50,080 --> 00:31:53,360
entering near the eq and obviously if it was a smaller zone you may end up
546
00:31:53,360 --> 00:31:57,360
entering on the distal right um and that's kind of quite a useful way to
547
00:31:57,360 --> 00:32:01,200
trade okay but this will come with just
548
00:32:01,200 --> 00:32:04,480
essentially testing figuring out kind of what average strike rate you have what
549
00:32:04,480 --> 00:32:07,440
average risk reward you need to achieve and kind of playing with the numbers a
550
00:32:07,440 --> 00:32:10,399
little bit more that way but yeah it's definitely not one i would recommend for
551
00:32:10,399 --> 00:32:13,200
when you're first starting out when you're first starting out i keep it very
552
00:32:13,200 --> 00:32:16,799
very simple and either always enter on the distal always enter on the eq and
553
00:32:16,799 --> 00:32:19,760
the stop loss is always going to be obviously just behind the zone um that's
554
00:32:19,760 --> 00:32:22,960
kind of yeah your three kind of main ways in which you guys can start to
555
00:32:22,960 --> 00:32:26,399
experiment and test with uh as we dive into it so
556
00:32:26,399 --> 00:32:30,000
yeah that wraps it up in very very simple terms we have either risk entries
557
00:32:30,000 --> 00:32:33,120
or confirmation entries we've kind of gone through the pros and cons of those
558
00:32:33,120 --> 00:32:37,200
risk entry is literally just entering um on the zone confirmation is obviously
559
00:32:37,200 --> 00:32:40,480
using those lower time frames and those fractal refinements that just kind of
560
00:32:40,480 --> 00:32:44,080
help you wait for the trend on those time frames to switch in favor to just
561
00:32:44,080 --> 00:32:47,440
show you that that higher timeframe poi is going to hold and in these three ways
562
00:32:47,440 --> 00:32:50,559
here is literally just whether you you know you can just bring that refinement
563
00:32:50,559 --> 00:32:55,519
of that zone uh even further so now let's take a kind of a quick look at an
564
00:32:55,519 --> 00:33:00,320
example of using what we just learned in the actual market
565
00:33:00,320 --> 00:33:04,960
so we're just going to look at a couple of trade examples really just kind of
566
00:33:04,960 --> 00:33:08,960
showing you the difference between risk entry confirmation entries and double
567
00:33:08,960 --> 00:33:12,480
confirmation trees in the live market and then of course
568
00:33:12,480 --> 00:33:16,000
the kind of those three main ways in which you can actually
569
00:33:16,000 --> 00:33:20,080
enter on that zone once you've kind of built the story and picked the zone that
570
00:33:20,080 --> 00:33:25,200
you wish to execute your trade on so kind of just going to do a quick kind of
571
00:33:25,200 --> 00:33:29,440
rough and ready analysis on your dollar literally just analyzing uh today's
572
00:33:29,440 --> 00:33:35,919
price action um it's currently tuesday the 21st of september 2021 um so yeah
573
00:33:35,919 --> 00:33:38,640
you know i'm not going to kind of go back and find the most utopian perfect
574
00:33:38,640 --> 00:33:42,480
trade example for you literally just showing you literally every single day
575
00:33:42,480 --> 00:33:46,559
the the same you know patterns occur the same way we can trade the market um yeah
576
00:33:46,559 --> 00:33:50,640
and just kind of show you that so daily chart uh reasonably similar to the
577
00:33:50,640 --> 00:33:54,399
examples that we've been building throughout the lesson so far we know
578
00:33:54,399 --> 00:34:00,320
that we've been uh trading within this larger big bullish weekly range price
579
00:34:00,320 --> 00:34:04,480
currently is tapping into this liquidity sweep zone right there's going to be
580
00:34:04,480 --> 00:34:08,159
some demand left within this wick which we initially had a reaction off but we
581
00:34:08,159 --> 00:34:12,320
failed to take out that weekly high price then came back down and took out
582
00:34:12,320 --> 00:34:17,679
this weak weekly low here and tapped into some remaining demand within this
583
00:34:17,679 --> 00:34:21,520
sweep zone down here so the daily chart if we kind of simplify even more has
584
00:34:21,520 --> 00:34:26,079
been in a clear bearish trend forming those swing lower highs and lower lows
585
00:34:26,079 --> 00:34:30,000
then price did take out this weak load right sweeping that liquidity tapping
586
00:34:30,000 --> 00:34:33,760
into the remaining demand that is left within this wick and it did have a
587
00:34:33,760 --> 00:34:38,079
pretty decent bullish reaction uh taking out this more minor high here and it
588
00:34:38,079 --> 00:34:41,760
tried to form that clear higher high breaking this more major swing high up
589
00:34:41,760 --> 00:34:44,960
here however it literally whipped that high
590
00:34:44,960 --> 00:34:50,000
by about a pip or so it barely you know broke it obviously didn't go above it
591
00:34:50,000 --> 00:34:54,159
and we didn't get that type one breaker structure so no higher high there for me
592
00:34:54,159 --> 00:34:57,680
um essentially just tapping into that external range liquidity and then
593
00:34:57,680 --> 00:35:02,640
retracing pretty aggressively um to the downside so the daily chart is kind of
594
00:35:02,640 --> 00:35:07,359
coming down into this um extreme zone here so there is the potential that
595
00:35:07,359 --> 00:35:11,680
price could um you know form a decent reaction from here and actually go on to
596
00:35:11,680 --> 00:35:15,440
make car highs because it did take out this high here um but for me that's kind
597
00:35:15,440 --> 00:35:18,800
of more of a minor high than the true swing high um i would have really wanted
598
00:35:18,800 --> 00:35:22,160
to have seen this high get close and broken above and to be a lot more
599
00:35:22,160 --> 00:35:25,920
convinced that price was going to go and push on higher um which obviously could
600
00:35:25,920 --> 00:35:28,800
happen right we could react from here and go i have no idea i don't have a
601
00:35:28,800 --> 00:35:33,520
crystal ball but based on my analysis i would say that the higher probability is
602
00:35:33,520 --> 00:35:37,920
that this low here is a weak daily low because it failed to create a higher
603
00:35:37,920 --> 00:35:41,359
high it failed to take out that swing high for me it failed to get a true
604
00:35:41,359 --> 00:35:45,200
close above it so we may just see a bit of a short-term reaction here and then
605
00:35:45,200 --> 00:35:50,240
we could see a run of that low there to form a much clearer lower low so based
606
00:35:50,240 --> 00:35:53,760
on that as price comes down into here um you can
607
00:35:53,760 --> 00:35:57,839
look to trade this reaction and look for some short-term longs to trade a bit of
608
00:35:57,839 --> 00:36:01,520
a pullback there so let's have a look on the four-hour chart and see if we can
609
00:36:01,520 --> 00:36:05,440
refine our daily zone even more so we kind of had two main areas i would say
610
00:36:05,440 --> 00:36:08,480
on the floor chart you could either take that whole range there right that four
611
00:36:08,480 --> 00:36:12,320
hour range just draw this box on for the for our chart or refine it to that
612
00:36:12,320 --> 00:36:17,839
single pivot created demand down here drag these across a little bit
613
00:36:17,839 --> 00:36:20,960
all right well the next one which price is near
614
00:36:20,960 --> 00:36:26,560
approaching is this more decisional uh demand zone here
615
00:36:26,560 --> 00:36:29,680
where we can take that single candle or you can of course just take the whole
616
00:36:29,680 --> 00:36:33,040
range not a massive difference there and i'm going to be kind of using lower time
617
00:36:33,040 --> 00:36:37,040
frames here to look for different entries so i guess yeah risk entry from
618
00:36:37,040 --> 00:36:40,240
a four-hour perspective you could literally just set one on on that
619
00:36:40,240 --> 00:36:43,119
four-hour zone there stop just below the lower of course you could set it on the
620
00:36:43,119 --> 00:36:46,640
eq or you could set one down here right and essentially would be your risk entry
621
00:36:46,640 --> 00:36:49,520
but for the sake of this example we're going to drop down to lower time frames
622
00:36:49,520 --> 00:36:52,480
to see if we can get those low time frame entries to essentially just play a
623
00:36:52,480 --> 00:36:55,280
reaction from this daily zone in these four zones to see if we can get a bit of
624
00:36:55,280 --> 00:36:58,720
a pullback um counter trend training obviously we'll talk about management in
625
00:36:58,720 --> 00:37:01,599
the in the upcoming lesson uh but obviously we wouldn't want to push it
626
00:37:01,599 --> 00:37:05,680
too far because we would really kind of expect this bearish autoflow to to to
627
00:37:05,680 --> 00:37:08,079
stay until it doesn't and potentially looking for a price to come up in
628
00:37:08,079 --> 00:37:11,280
towards these supply zones and continue the overall bearish movement we can
629
00:37:11,280 --> 00:37:15,920
clearly see looking at before our recent price action right how corrective and
630
00:37:15,920 --> 00:37:19,920
and slow those pullbacks are and sharp aggressive movements down right supply
631
00:37:19,920 --> 00:37:24,880
is clearly in control so what i would be doing in live market save my alerts in
632
00:37:24,880 --> 00:37:28,160
this zone and wait for price to come into there but yeah let's see if we can
633
00:37:28,160 --> 00:37:32,800
kind of wait for the 15 minutes to give us that change of character and start to
634
00:37:32,800 --> 00:37:36,400
switch british as it comes into our zone so i'm just going to kind of pay this
635
00:37:36,400 --> 00:37:40,079
slowly forward so price is starting to build a bit of liquidity you can see we
636
00:37:40,079 --> 00:37:43,920
had those relatively equal lows right there and again equal those there
637
00:37:43,920 --> 00:37:47,839
building activity coming into our zone so now i'll just be waiting for
638
00:37:47,839 --> 00:37:51,200
price to switch bullish and give us a bit of a change of character so nice bit
639
00:37:51,200 --> 00:37:55,119
of momentum there and now we clearly have uh that minor break of stretch to
640
00:37:55,119 --> 00:38:00,160
the upside there with that change of character giving me a very nice uh
641
00:38:00,160 --> 00:38:03,680
zone down here which you could pretty much classify as a sweep zone as well
642
00:38:03,680 --> 00:38:07,359
in my opinion took the liquidity from those there nice aggressive you know
643
00:38:07,359 --> 00:38:11,200
move in aggressive move out showing the clear that demand was filled and causing
644
00:38:11,200 --> 00:38:14,400
that change of character with that minor break of structure there so now what i
645
00:38:14,400 --> 00:38:17,839
would do well one thing you can do is you can literally set your limit order
646
00:38:17,839 --> 00:38:23,119
here right and trade that m15 so kind of it can get a bit confusing then if when
647
00:38:23,119 --> 00:38:26,640
you're jumping through time frames and how you define confirmation or risk
648
00:38:26,640 --> 00:38:29,359
entry because essentially if you're trading the
649
00:38:29,359 --> 00:38:32,640
four-hour zone your your your four hour if you're
650
00:38:32,640 --> 00:38:36,960
trading a four hour poi and then you use this m15 zone as your execution time
651
00:38:36,960 --> 00:38:40,880
frame this essentially would be your m15 confirmation entry because you're using
652
00:38:40,880 --> 00:38:45,200
them 15 to confirm your four-hour zone right so if you were to set your limit
653
00:38:45,200 --> 00:38:48,720
order here that essentially would be kind of your m15 confirmation entry but
654
00:38:48,720 --> 00:38:52,480
what i'm going to do is i'm going to drop down a time frame to the m1
655
00:38:52,480 --> 00:38:56,320
and i'm going to essentially trade the m15 poi that's obviously nested within
656
00:38:56,320 --> 00:39:00,480
the 400 daily but i'm directly trading the m15 poi it's blue zone here
657
00:39:00,480 --> 00:39:04,960
by using an m1 confirmation entry so what that means is that i want to trade
658
00:39:04,960 --> 00:39:10,000
the m15 poi but i'm waiting for the m1 to confirm that the m15 poi is going to
659
00:39:10,000 --> 00:39:14,160
hold right so i want to see that switch bullish ideally get that flip zone
660
00:39:14,160 --> 00:39:16,880
within there as well that structural zone right so then look to trade and
661
00:39:16,880 --> 00:39:21,359
then see if we can use that confirmation on the m1 uh to essentially confirm the
662
00:39:21,359 --> 00:39:24,320
m15 poi but like i said you don't have to do that you could literally just
663
00:39:24,320 --> 00:39:29,599
enter on the m15 um zone if you wish to do so so just going to kind of fast
664
00:39:29,599 --> 00:39:33,599
forward this until price comes down to our zone if it does so
665
00:39:33,599 --> 00:39:36,079
let's see
666
00:39:36,320 --> 00:39:40,240
so just dropping around kind of coming into let's see what the time is now so
667
00:39:40,240 --> 00:39:44,640
12 15 on the time that's coming just into new york sort of 1 p.m
668
00:39:44,640 --> 00:39:48,480
all right so now let me zoom in we've literally just tapped the zone so if you
669
00:39:48,480 --> 00:39:51,280
had your alert on the zone that would now have gone off we've set liquidity
670
00:39:51,280 --> 00:39:55,839
into that zone so now i just want to see the m1 start to switch bullish so we're
671
00:39:55,839 --> 00:39:58,640
just trapping around at this moment it hasn't formed a lower low or a lower
672
00:39:58,640 --> 00:40:01,359
high so i'd be essentially looking at this
673
00:40:01,359 --> 00:40:05,839
as my m1 supply zone right so i want to see this fail and m1
674
00:40:05,839 --> 00:40:10,720
break higher up above this high here so that would give me my
675
00:40:10,720 --> 00:40:14,960
m1 change of character
676
00:40:15,760 --> 00:40:19,680
so typing into that tapping into that and then we break up above it but on the
677
00:40:19,680 --> 00:40:25,599
m1 we fail to close above that uh high there and then we start to shoot
678
00:40:25,599 --> 00:40:28,560
off let's see does it come back
679
00:40:28,560 --> 00:40:31,839
no not really so in this case the m1 is getting pretty ugly there wouldn't
680
00:40:31,839 --> 00:40:35,359
really be anywhere i kind of want to set an entry order there but what i can see
681
00:40:35,359 --> 00:40:38,560
and guess is that on the 15 second there was probably a clean entry because if
682
00:40:38,560 --> 00:40:41,040
you remember what i was saying the difference between
683
00:40:41,040 --> 00:40:46,240
using type 1 or type 2 for your sd flips is with a type 1 which is where we just
684
00:40:46,240 --> 00:40:50,800
get the wick break i you know it's not as kind of confirmed if you were to then
685
00:40:50,800 --> 00:40:54,720
enter as price comes back to the zone and because you fail to close above but
686
00:40:54,720 --> 00:40:57,599
the reason why some people are happy to use a wick break like with this candle
687
00:40:57,599 --> 00:41:00,880
here bang on one o'clock is because on a lower time frame it would have closed
688
00:41:00,880 --> 00:41:05,359
above and then it would have come back right here and then tapped you in and
689
00:41:05,359 --> 00:41:08,640
then you'd be in the trade so if i kind of show you let's see if the 15 second
690
00:41:08,640 --> 00:41:11,839
will load for me uh here we go
691
00:41:11,839 --> 00:41:15,440
yeah so you can see how clear that is now if i zoom in
692
00:41:15,440 --> 00:41:18,480
so what would have happened if you were looking at this on the on the 15 second
693
00:41:18,480 --> 00:41:21,760
is price went up obviously clearly closed well above that and then you
694
00:41:21,760 --> 00:41:24,880
would have been looking to uh enter
695
00:41:24,880 --> 00:41:27,040
essentially within the cell to buy obviously you could refine it to that
696
00:41:27,040 --> 00:41:30,079
and one inside bar and then that would be your entry order there and then
697
00:41:30,079 --> 00:41:32,960
you're gonna set your limit or enter up markets price and returns you can get
698
00:41:32,960 --> 00:41:36,960
away with a one pip stop probably be a bit more lenient 1.5 pips um or you can
699
00:41:36,960 --> 00:41:39,839
obviously take the whole range two pips there right and then you would be in the
700
00:41:39,839 --> 00:41:43,680
trade that way if you took the second time frame entry obviously on the m1 it
701
00:41:43,680 --> 00:41:46,880
doesn't really give you an entry there so let's fast forward this a little bit
702
00:41:46,880 --> 00:41:51,440
more and see if we do get an m1 confirmation entry so next kind of area
703
00:41:51,440 --> 00:41:54,240
of supply be looking at is this range here
704
00:41:54,240 --> 00:41:57,839
right you can take the whole range or you can refine it to kind of you know
705
00:41:57,839 --> 00:42:01,920
this candle area here which we can see prices coming into while having a bit of
706
00:42:01,920 --> 00:42:06,079
a reaction so this now should form a lower low let's see okay so now we've
707
00:42:06,079 --> 00:42:10,319
closed oh no we haven't closed but we've spiked up above that high um so let's
708
00:42:10,319 --> 00:42:14,079
wait for it let's see if we can get an m1 close so now we have an enclosed
709
00:42:14,079 --> 00:42:18,560
above the reaction right so we have a confirmed failed reaction so now what
710
00:42:18,560 --> 00:42:22,640
that means is you can technically enter anywhere on that cell to buy price
711
00:42:22,640 --> 00:42:26,960
action right anywhere within this candle here so this is where you kind of have
712
00:42:26,960 --> 00:42:29,599
your options open right so let's say this is a zone you want to enter on you
713
00:42:29,599 --> 00:42:32,160
can either enter on the distal and then that will
714
00:42:32,160 --> 00:42:34,560
you will put your stop behind there right so
715
00:42:34,560 --> 00:42:37,839
probably you want to give that a bit of a buffer i'd say two and a half pips um
716
00:42:37,839 --> 00:42:41,359
or you can enter on the eq or you could say well i'm a type of trader who always
717
00:42:41,359 --> 00:42:44,960
wants a two pip stop so in that case you would then just do that and now
718
00:42:44,960 --> 00:42:48,160
essentially determine where your entry point is right or you can potentially
719
00:42:48,160 --> 00:42:51,599
move it a little bit closer so let's see if you get tagged in so then you get
720
00:42:51,599 --> 00:42:55,760
tagged in that case and then you'd be in the trade so let's see how this plays
721
00:42:55,760 --> 00:42:58,319
out so you yeah you still be in the trade at
722
00:42:58,319 --> 00:43:01,119
this point again we'll talk about management in a bit but you'll see in
723
00:43:01,119 --> 00:43:04,000
the next lesson that running at 2.5 definitely wouldn't really want to move
724
00:43:04,000 --> 00:43:06,880
that to break even a point you'd want to let it run a little bit more but yeah
725
00:43:06,880 --> 00:43:09,599
we'll talk about management in the next lesson and then you'd be in that trade
726
00:43:09,599 --> 00:43:14,560
so essentially what you've done here is we are playing essentially that daily
727
00:43:14,560 --> 00:43:17,440
and four hour pullback right remember from this large daily zone we were
728
00:43:17,440 --> 00:43:21,520
refined to two four-hour zones so the decisional and then the origin extreme
729
00:43:21,520 --> 00:43:25,040
down here we then waited for price to come in and we're essentially using the
730
00:43:25,040 --> 00:43:28,480
m15 as confirmation of which zone is likely going to hold first so we can
731
00:43:28,480 --> 00:43:32,880
play a reaction from here so that's one we got i'll show you on the m15
732
00:43:32,880 --> 00:43:36,319
all right that's why we waited for the m15 to switch british we got that uh
733
00:43:36,319 --> 00:43:40,000
change of character we created a sweep zone right that demand zone price came
734
00:43:40,000 --> 00:43:43,280
into it which we could have traded directly so that would have been an m15
735
00:43:43,280 --> 00:43:48,480
confirmation entry of a four-hour zone or maybe you know the m15 is the just a
736
00:43:48,480 --> 00:43:52,079
time frame that you use pois from so this would be your main time frame to
737
00:43:52,079 --> 00:43:56,400
look to build trade ideas around then you would then essentially that would
738
00:43:56,400 --> 00:43:59,920
classify as a risk entry i guess and then you would be jumping down to the m1
739
00:43:59,920 --> 00:44:02,960
for your confirmation entry if that makes sense so you wait for them one to
740
00:44:02,960 --> 00:44:06,000
tap into it you wait for the m1 to switch british for demand to get in
741
00:44:06,000 --> 00:44:09,280
control there wasn't really a clean m1 entry there for me
742
00:44:09,280 --> 00:44:12,800
much clearer under 15 seconds if you use that time frame otherwise for me this is
743
00:44:12,800 --> 00:44:16,880
the first valid and one entry where we get that uh flip occurring that exchange
744
00:44:16,880 --> 00:44:20,319
right that reaction the reaction fails price pulls back into it you get another
745
00:44:20,319 --> 00:44:23,680
opportunity to get back in here right as it fills up more entries or more demand
746
00:44:23,680 --> 00:44:27,599
i should say more orders within lowering the zone um and then we go there would
747
00:44:27,599 --> 00:44:31,119
have been another 15 second entry here as you can see right price comes back in
748
00:44:31,119 --> 00:44:33,920
um it would have been a lower timeframe confirmation and then you could have
749
00:44:33,920 --> 00:44:37,839
traded this move um off and away so yeah hopefully you can kind of see the
750
00:44:37,839 --> 00:44:41,599
differences there between the the time frames and kind of how you can classify
751
00:44:41,599 --> 00:44:45,200
that as risk entry or confirmation entry um i wouldn't get too caught up on it
752
00:44:45,200 --> 00:44:48,160
and too confused about it it's confusing um it's more just kind of trying to
753
00:44:48,160 --> 00:44:51,920
separate those out in your mind of really what those mean so then if we
754
00:44:51,920 --> 00:44:55,119
kind of fast forward this see how far price
755
00:44:55,119 --> 00:44:57,920
plays out so this is kind of around asian sessions so i wouldn't be trading
756
00:44:57,920 --> 00:45:00,880
around this time to kind of bring this to pre-london
757
00:45:00,880 --> 00:45:04,480
see so around 7am it's frankfurt so around this time here
758
00:45:04,480 --> 00:45:08,240
so we've had another m15 break of structure right so we're getting that
759
00:45:08,240 --> 00:45:11,599
bullish order flow starting to kick in but remember it's counter the four hour
760
00:45:11,599 --> 00:45:15,440
and daily trend so we don't be pushing uh this too fast so at this point it's
761
00:45:15,440 --> 00:45:20,240
kind of a couple areas i'd be looking at this being the most obvious zone here
762
00:45:20,240 --> 00:45:22,480
uh
763
00:45:22,880 --> 00:45:26,160
right and then the only thing i don't like about this is this pretty obvious
764
00:45:26,160 --> 00:45:30,000
liquidity sitting below it right all of those uh equal lows here if we can get
765
00:45:30,000 --> 00:45:34,160
the line to work there we go so be a bit cautious of that and we may come a
766
00:45:34,160 --> 00:45:38,720
little bit lower before we go so what do we have kind of have this
767
00:45:38,720 --> 00:45:42,480
orange origin demand zone that's being unmitigated down here
768
00:45:42,480 --> 00:45:45,839
all right if you just follow the series of mitigations and kind of another
769
00:45:45,839 --> 00:45:50,160
obvious one i would see is this is a flip zone let's see so that candles
770
00:45:50,160 --> 00:45:55,040
are mitigated but did it react uh so what i'm essentially looking at is
771
00:45:55,040 --> 00:45:58,960
this whole range here right this by-to-cell range on m15 so we drag it
772
00:45:58,960 --> 00:46:03,680
across all right and we can see that price pulled in
773
00:46:03,680 --> 00:46:07,200
oops so it moved in and then that uh cell to
774
00:46:07,200 --> 00:46:10,480
buy range right cause a reaction and then that's where the demand came in to
775
00:46:10,480 --> 00:46:13,760
kind of break those highs and take out that zone there so obviously price did
776
00:46:13,760 --> 00:46:17,440
come back into the top of the zone reacted and pushed away but we do have a
777
00:46:17,440 --> 00:46:21,280
mitigator zone below which has nice inducement above so i'd look to trade
778
00:46:21,280 --> 00:46:24,640
from either uh of these zones so then what we can do is obviously you can set
779
00:46:24,640 --> 00:46:28,079
limits on auto on either of them right take those kind of risk entries or you
780
00:46:28,079 --> 00:46:31,359
can drop down to your execution time frame so let's take a look at the m1 and
781
00:46:31,359 --> 00:46:34,880
then just wait for price to come into those zones and let's see if we get
782
00:46:34,880 --> 00:46:39,920
entries so price comes in
783
00:46:40,160 --> 00:46:43,760
okay so now we're looking to see if one switch is bullish okay nice big
784
00:46:43,760 --> 00:46:48,160
aggressive move away swept all of this liquidity here big movement in and out
785
00:46:48,160 --> 00:46:50,880
um so then i would essentially be looking at this
786
00:46:50,880 --> 00:46:54,000
uh and one entry here now this isn't really a flip zone for me this is more
787
00:46:54,000 --> 00:46:58,880
just a structural zone um so yeah i do prefer flip zones but yeah it's still
788
00:46:58,880 --> 00:47:02,880
got decent enough confidence to look to trade from so let's see let's see how
789
00:47:02,880 --> 00:47:05,920
big you know this would be so if you're entering on the distal bit of a safe
790
00:47:05,920 --> 00:47:09,200
buffer again two and a half pips or whether you're entering the eq or
791
00:47:09,200 --> 00:47:12,480
whether you're let's say you're a two pip stop trader then you would enter
792
00:47:12,480 --> 00:47:15,599
there right because it just depends on where your stop-loss is will determine
793
00:47:15,599 --> 00:47:19,359
where your entry is so let's see if we get tagged in so no tag there doesn't
794
00:47:19,359 --> 00:47:21,520
break the highest you leave your order on
795
00:47:21,520 --> 00:47:25,280
and then that ends up being a loss okay absolutely fine just trying to show you
796
00:47:25,280 --> 00:47:29,839
here right losses are more than valid this was a decent area in my opinion yes
797
00:47:29,839 --> 00:47:33,440
there's liquidity below that looks like price is now looking to sweep but we
798
00:47:33,440 --> 00:47:37,359
never know where the price will sweep it or not so we always react to it and not
799
00:47:37,359 --> 00:47:41,839
predict so let's see if we can get a decent reaction from the lower zone
800
00:47:41,839 --> 00:47:46,079
um let's see what happens even when price reaches there so a pretty
801
00:47:46,079 --> 00:47:49,520
aggressive move in and a pretty aggressive move out let's just wait if
802
00:47:49,520 --> 00:47:54,640
they want to switch bearish so kind of have this whole m1 range here
803
00:47:54,640 --> 00:47:57,599
drag this out the way
804
00:47:58,720 --> 00:48:03,839
okay um so there's our m1 zone
805
00:48:04,000 --> 00:48:08,880
so let's see if supply is going to hold so we're getting a reaction
806
00:48:08,880 --> 00:48:12,640
and then we're going to closure above and that change of character so that
807
00:48:12,640 --> 00:48:15,599
would be your m1
808
00:48:15,599 --> 00:48:18,960
shock and then this would be where the
809
00:48:18,960 --> 00:48:24,000
reaction is all right those inside bars so that would be the reaction failing
810
00:48:24,000 --> 00:48:27,680
so then you can enter anywhere within here
811
00:48:27,680 --> 00:48:32,160
i've not drawn that actually at all let's get it on there there we go
812
00:48:32,160 --> 00:48:34,640
and then down to here and then that would be
813
00:48:34,640 --> 00:48:39,040
essentially your confirmation entry of the lower m15 zone so again if you were
814
00:48:39,040 --> 00:48:44,240
to enter straight on this m15 zone whack a limit on the distal
815
00:48:44,240 --> 00:48:48,079
right it was just an m15 trader trading in 15 poi directly stop below the low
816
00:48:48,079 --> 00:48:50,720
probably seven pip stop that would be your position there that would be
817
00:48:50,720 --> 00:48:54,240
essentially your m15 risk entry maybe you want a confirmation entry so
818
00:48:54,240 --> 00:48:58,160
drop down to the time frame execution wait for the m1 shock and the flip
819
00:48:58,160 --> 00:49:02,000
there's your entry there let's see if we get tagged in or not
820
00:49:02,000 --> 00:49:05,359
so we've got another minor breaker structure prices come back in and then
821
00:49:05,359 --> 00:49:08,400
boom there's your nice movement away so there's your confirmation entry what do
822
00:49:08,400 --> 00:49:11,520
we get we're getting on the breaker structure there's no exchange between
823
00:49:11,520 --> 00:49:14,559
demand and supply there so there's no flip we kind of just smash straight up
824
00:49:14,559 --> 00:49:19,680
through but we do have these kind of pretty clean m1 um in fact
825
00:49:19,680 --> 00:49:23,440
i'll draw this zone here right on these two candles here where then you can get
826
00:49:23,440 --> 00:49:26,160
your double confirmation entry so this would be your first initial position on
827
00:49:26,160 --> 00:49:30,079
the confirmation entry now whether you took this you can scale in here or look
828
00:49:30,079 --> 00:49:33,760
to scale in or now you've got double confirmation right you're seeing demand
829
00:49:33,760 --> 00:49:37,200
starting to hold we've had a double break of structure um we've seen this
830
00:49:37,200 --> 00:49:40,480
supply to demand flip here we've created another area of demand so then this
831
00:49:40,480 --> 00:49:45,119
would be my double confirmation entry here all right so then let's just say
832
00:49:45,119 --> 00:49:48,319
you take a two pip stop nice and conservative below the low there and
833
00:49:48,319 --> 00:49:51,599
then that can be another entry there and then let's see
834
00:49:51,599 --> 00:49:55,040
kind of still part of why not move so i personally view that kind of as one just
835
00:49:55,040 --> 00:49:58,960
big push and looking to see if price can come back to the origin or not
836
00:49:58,960 --> 00:50:03,440
leave your order on let's see and you don't get tagged in so yeah
837
00:50:03,440 --> 00:50:06,960
that's the kind of the thing right you can get extra confirmation but
838
00:50:06,960 --> 00:50:10,319
you run the risk of potentially price not pulling all the way back and tagging
839
00:50:10,319 --> 00:50:13,920
you in in this case okay so that would be your risk entry down here
840
00:50:13,920 --> 00:50:16,720
that would be your m1 confirmation entry and then that would have been your
841
00:50:16,720 --> 00:50:21,680
double confirmation entry down here um but yeah you end up not getting in there
842
00:50:21,680 --> 00:50:24,880
um yeah is what it is the only thing you
843
00:50:24,880 --> 00:50:27,200
could potentially have done i'm just looking at this now to see how you could
844
00:50:27,200 --> 00:50:30,240
have got in is let's say you're looking at the extreme but price starts to move
845
00:50:30,240 --> 00:50:34,000
away it starts to break to the upside what you can do is realize that um
846
00:50:34,000 --> 00:50:38,079
actually price might not come back to mitigate that exact refined m1 um level
847
00:50:38,079 --> 00:50:41,760
of demand and actually it's just you know reacting to this whole cell to buy
848
00:50:41,760 --> 00:50:44,960
region because if you were to jump up to the m5 essentially this would be like an
849
00:50:44,960 --> 00:50:48,400
m5 demand zone right but then if you see and one starting to react to move away
850
00:50:48,400 --> 00:50:51,440
we get those minor breaks of structure then potentially you know you may want
851
00:50:51,440 --> 00:50:55,040
to enter on that next level of demand which should be here and that's how you
852
00:50:55,040 --> 00:50:57,920
could have got into the trade if you entered on the distal so not necessarily
853
00:50:57,920 --> 00:51:00,240
saying that will be in your trade plan or a position you may want to take you
854
00:51:00,240 --> 00:51:02,800
may always want to wait for price to come down to the extreme i'm just kind
855
00:51:02,800 --> 00:51:06,559
of showing an example of here of potentially if price starts to move away
856
00:51:06,559 --> 00:51:10,160
right break structure to the upside here it creates another level of demand that
857
00:51:10,160 --> 00:51:13,760
is how you can get in rather than always waiting for price to come in and tag you
858
00:51:13,760 --> 00:51:17,599
in but yeah that's kind of as simple as you need to keep it
859
00:51:17,599 --> 00:51:21,200
risk entry on the m15 zone m1 confirmation entry and that would have
860
00:51:21,200 --> 00:51:24,640
been a tiny double confirmation entry if it entered you in but it didn't in this
861
00:51:24,640 --> 00:51:28,720
case and obviously how you enter on the zones distal eq or have a fixed stop
862
00:51:28,720 --> 00:51:31,440
loss um but yeah when you're first starting out i definitely recommend just
863
00:51:31,440 --> 00:51:34,400
always taking it on the distal just to kind of get in more trades get more
864
00:51:34,400 --> 00:51:37,520
experience more exposure you get to journal more you get to you know just
865
00:51:37,520 --> 00:51:41,520
yeah for obvious reasons right refine it a bit more to the eq um it's very very
866
00:51:41,520 --> 00:51:44,960
simple and you just instantly double your rr for when you do get tagged in of
867
00:51:44,960 --> 00:51:48,240
course and then yeah then you can really start to refine and play around with
868
00:51:48,240 --> 00:51:51,599
fixed stop-losses losses only once you've collected a ton of data
869
00:51:51,599 --> 00:51:54,960
on what kind of is the most optimal for you for your style for the time frames
870
00:51:54,960 --> 00:51:58,720
you execute on and obviously for each individual specific pair
871
00:51:58,720 --> 00:52:02,160
because a two pip stop loss on your dollar is going to be
872
00:52:02,160 --> 00:52:05,599
well it can work out okay maybe for you but if you put that two pip stop loss on
873
00:52:05,599 --> 00:52:09,359
a pair like pound yen you will quickly see that that is tiny and it's not going
874
00:52:09,359 --> 00:52:14,400
to cover you at all because pound yen has a much higher average true range um
875
00:52:14,400 --> 00:52:16,800
yeah i'll leave it there before i write down about any longer hopefully that
876
00:52:16,800 --> 00:52:19,599
makes a lot more sense about entries and then we'll talk about this in a lot more
877
00:52:19,599 --> 00:52:23,040
depth of how you can tailor this and personalize this to your own kind of
878
00:52:23,040 --> 00:52:28,520
style as we look to create our trade plans94317
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