2022 ICT Mentorship Episode 10

Power 3 is Accumulation - Manupulation and Distribution

What the daily range is doing?

On a bearish days, it open and anything above it is the accumulation of the shorts.

But it’s not limited to just open and above. That’s where smart money are aiming to enter to short.

That’s where your stop raids and FVGs and OTEs are going to happen.

Every potential shorting candidate, every premium array will reside and form in the range between the open and it’s high and the projection of that juda swing down to the opening price. That’s the opening range.

Example of the opening range:

If we couldn’t have taken a short setup above the opening price on a bearish day, we can still take favorable trades inside the OPENING RANGE!

Because PO3 is, if I’m bearish I’m expecting the market to open and rally above.
If I can get something on short there, that’s ideal but I might not be able to do it or I may take a trade early and get stopped out.
It’s going to happen. But then it breaks down below its opening price, does that completely ruin the day for me?
Sometimes it’ll just tear off and I can’t catch it. It doesn’t give me a setup, I don’t worry about it and not being upset.

When I go in and backtest this, I can see that there’s lots of opportunities coming in just below the opening price. That’s called ‘’ CLOSE PROXIMITY ENTRIES ‘’

Manipulation is the initial rally up, that’s the sucker play. It’s only goes up just to go down. That’s a fake run.

We are using time references to understand if the low of the day is formed. If we’re near the end of the day (15pm 15.30 16 pm)

Back to BIAS

Example that he uses which can’t be seen on the screen:

37m chart with the example above

BIAS was bullish so any discount and Opening Range Discount arrays were opportunities to go long

1hr chart

15m

15m again

We expect after the open a rally higher then a sell off and close near the low of the day. Why? Because we worked the upper end of this Daily SIBI and we have multiple shifts in market structure. When we have a bearish bias on the daily chart anyway.

ICT suggest to backtest old data and tape read ONLY the live data for months to overcome the fear of shorting while it’s going up and longing while it’s going down.

To shift our mindset about the markets, we need to practice.

5m chart

Two things were important at this part, one is that there are two SIBIs and ICT says that trade the first one but arrange your risk management for allow you to hold the trade further than the second imbalance.

The second thing is, BSL ran and SIBIs were traded to before the 8.30 news.

Two energetic displacement candles that shifted the MS

They can not be missed when you look at the price action

4m chart

Mentions the bearish breaker candles and how he already explained it on the youtube channel.

Everyday before we start trading, ICT suggests that we write down our intentions for that day.

Closing thoughts about sudo experience and how to journal the back testing. Also about not the rush through the progress of learning this.