One Trading Setup For Life ⭐

Date: 2023-06-21

URL: https://www.youtube.com/live/vuBRMFhFZAY?si=WSr9xmSny0BYbjNy Watched Date: June 22, 2023

Tonight, we’re doing a little bit of a lecture here on some important information about finding setups.

And I get a lot of questions as a mentor, teaching Forex and recently index futures. The things I’m going to talk about tonight are not limited to any one particular asset class.

It’s kind of like removing all of the uncertainty of where you’re supposed to be looking in the charts. When am I supposed to be utilizing electronic trading hours? When am I going to be referring to regular trading hours, and for what reason? What type of setups form when?

That way, it allows you to have a setup for life.

Now, some of you may have thought this was going to be a pattern, or PD array.

Lecture, it’s not. I’m teaching you how to find your own setups, but specifically when and where they form.

That’s the part that is always a constant. That’s the thing that a lot of new traders, and those that are struggling as a breakeven trader, lose sight of.

It’s a matter of knowing what to look for and when. It incorporates market profiling. We’re talking about schematics, things that I’ve taught and have shared publicly on this YouTube channel.

You can find that information in the Core Content, where I’m dealing with specific day profiles.

For the folks that really want to find a lot more setups, or not be limited to a one-trick pony, not that that’s a bad thing, because the 2022 model is excellent. The Optimal Trade Entry pattern is excellent.

Algorithmic trading with ICT models for all assets.

And again, the premise is one trade setup for life.

Now, what do you think that would entail? Something that would repeat over and over again. It’s not ambiguous. It’s very specific.

I really want you to think about the lesson tonight that we’re going to cover, and think about how your setup, your multiplier, the PD array that you gravitate to most, it may be the fair value gap, it may be a breaker pattern, it may be the Optimal Trade Entry pattern.

It could be a simple order block. It could be a Turtle Soup. It could be a number of things. It could be the inversion fair value gap.

Whatever that PD array is that you see easily in a chart, the one that you don’t have to look too hard for, or strain your eye, or scour through the candlesticks to find it, the one that simply makes sense to you when you see price action, your eye goes right to it, that, my friends, is the one you’re supposed to be looking at.

That’s the one you start with. It does not mean that that’s going to be your entire career. It just means that that’s the one that resonates with you right now as a new student of mine.

And then you grow from that.

I promise you, when you learn one PD array and how to use the information I’m going to share tonight, it will be so much easier for you to see all the things that form in all the PD arrays that I’ve taught and then will teach.

But you have to have some kind of a baseline to grow from. And if you’re rushing through it, or trying to push too much on yourself, the time limits that you placed on yourself for learning how to do it are unrealistic.

Some of you are going to learn sooner than others, and others are going to require more time. I can’t speed that up for you. You’re bringing in your own learning curve.

And the things that you’re going to worry about are going to find their way to the min as you learn how to focus on the things I’m teaching you, and not anything more than that per lesson.

So let’s get into it.

Draw on liquidity, okay? It’s the sole purpose of price delivery.

When we look at liquidity, there’s a specific range in mind. This is a lesson that gets to the heart of the matter.

Where is it that you should be framing your focus? And what liquidity? What specific liquidity does ICT refer to?

Yes, we’re going to cover that, and you’re going to see.

When we first start talking about liquidity, the assumption is you’re a day trader, whether you’re a scalper, whether you are a session trader, an intraday day trader where you’re trying to do the entire daily range, or if you’re just a short-term trader, or you’re looking to time the market for your longer-term swing trade or position trade.

All of that is encapsulated in tonight’s discussion.

It’s not just an intraday chart concept. You can use these concepts to really narrow down the amount of risk, reduce it to minuscule amounts.

It doesn’t mean it’s without loss. It doesn’t mean that you will have winning trades all the time. It just means that if you understand the concepts I’m covering tonight, you will have the ability to go in and fine-tune your risk model, be able to reduce the amount of risk that’s associated with your trades, and also time the market and know where the market is going to go to next.

First session we’re talking about is the PM session ranges.

Okay, and this is always going to be referred to in terms of previous day.

So previous day, we are going to be referring to the 1:30 p.m. to 4 p.m. time window.

And this is always in New York local time.

PM session ranges, you’re looking for the highest high and the lowest low between 1:30 p.m. and 4 p.m.

Now, is there any ambiguity there? No. It’s very simple, succinct, right to the point.

Now, what do you do with it?

If you are bullish, okay, and we are trading in close proximity to that range, as we see here, this example here, I’m using the June contract before rollover took place. At the time of this recording and livestream, we were looking at the September contract for the indices for 2023.

But I’m showing you an example because this is something I utilized in commentary, something I use in terms of live analysis and executions and such.

But I want you to understand that when we look at PM session ranges, it is always referred to in regular trading hours.

If we’re going to be looking for PM session ranges, it’s always going to be the previous day, the time window, the amount of time that you’re looking inside of.

What price range? What high are you looking at, ICT? What low are you looking at, ICT?

Regular trading hours. It cuts out all the overnight trading.

Once we start trading regular trading session hours the next day, the algorithm is going to refer back to these specific times and what liquidity exists above and below it.

So if we’re bullish, and we’re trading near the opening, this little orange line here is going to be in every slide. That denotes the 9:30 opening bell. You know, when everybody’s on CNBC, they clap their hands. That’s when the opening bell occurs for the stock indices and stock market.

Now, obviously, they’re trading all night long, but that opening window starts that opening range for the next 30 minutes.

Where will that usually run for, the higher level, if you’re bullish?

And if we take out the PM session low, where is it going to be? Sell-side below that. It’s wonderful, because if it’s bullish, and we have a higher-timeframe premise expecting the market to go higher.

When you go through the process of listening to me and doing the things I tell you to do, and I justify why you should do all these things, that’s the boring part.

The folks that have started making real money, six figures, payouts, okay, doctor salaries in a month or less, that stuff comes by listening and practicing, and going into the charts, and not taking my word for it, but going in and seeing if the things I’m saying are true.

This logic, if we’re bullish, we’d like to see sell-side taken. Why? Because that means Smart Money would accumulate that sell-side liquidity and absorb it for their buy-side. So they’re going to treat that sell-side as counterparty to their Smart Money buying.

So they’re accumulating in the Judas swing. The drop down here just goes into this area here where the liquidity is.

So we definitely want to be looking at the previous day’s session. Not just any old high and low. The highs and the lows between 1:30 and 4 o’clock New York local time. That’s the PM session range.

The highs and the lows, there’s liquidity above and below it. If we’re looking for higher prices, we definitely expect it to be running to the buy-side. But at the opening, we expect, not always, but we expect, we anticipate a run lower, that Judas swing that every Tom, Dick, and Harry on social media are going to chase.

They’re going to think it’s breaking to new lows, it’s going to keep going lower. No, no, no, no. It’s only running down here to take sellers in the marketplace, and they’re going to buy them. And then the market runs to the buy-side.

Now, you could be a trader that simply takes this order here as long as a Turtle Soup. Now, admittedly, this takes a great deal of conviction. It probably won’t be the first thing you reach for learning from me.

In fact, it took a lot of time for me to trust that idea of buying below old lows and selling above old highs for entries, not targets. It’s easy to do it for a target. But it’s entirely different. It takes an entire paradigm shift in your thinking to go into the marketplace and anticipate that as an entry.

But it can be done, and it takes time. How you get there is you study all moves like this, and you journal them.

But your model could simply be, wait for the sell-side in the previous PM session range. If you’re bullish, that’s your bias going in. That means you’re expecting the weekly range to expand higher and draw on liquidity higher on the weekly timeframe.

We covered all that stuff in previous discussions. But going down into liquidity like this, when we’re bullish, we would reasonably expect it to run for what? The buy-side.

Where? What buy-side? What high are you looking at, ICT?

That one right there. Why? Because it’s inside the range between 1:30 and 4 o’clock.

How, pray tell, is that complicated?

It’s not complicated. And I’ve taught this ad nauseam, over and over and over again.

If you can’t learn from tonight’s lesson, I don’t know how to do it better than this one.

Okay, go further into the day now, considering a full 24-hour rotation.

Over the course of 24 hours, what is the mind of ICT? What are the inner musings of the Inner Circle Trader?

I’m going through the process of this very routine right here.

I look at the PM session range. If it’s not a factor, or it’s not to be considered because we’re not in close proximity to that range, because we could be significantly higher or lower around 9:30, then what am I looking for?

And if I’m not close to the previous PM session, 1:30 p.m. to 4 p.m. range at the time of 9:30, at the opening bell, and I’m watching that next 30 minutes, which is the opening range, what am I going to look for next?

If it’s not that, I’m looking at the London session range. That means I’m going to be looking at the range between 2 o’clock in the morning and 5 o’clock in the morning, New York local time.

Now again, tell me, is that complicated?

No. Simple.

So in your charts, you want to be annotating what those levels are. Now, you can do it like this here, where I have actual annotations that I can draw.

I don’t have an indicator thing that plots them for me.

I prefer high-touch over high-tech. That means I’m putting some thought into it. I get closer with the marketplace by doing that and sharing it with you.

I just don’t trust an indicator to do it.

London session range.

If we are not in close proximity to the previous PM session at 9:30, remember this orange line here denotes the 9:30 opening bell on the stock market.

So where are we at in terms of proximity?

We’re starting the trading here. So where are we? Are we in close proximity to a PM session high or low?

No. But we are in close proximity to what? London session buy-side. We’re digging into that.

So all of this can be viewed pre-9:30 as a Judas swing.

So London session buy-side liquidity, we’re seeing that run up into it here.

And then where is the low at?

Remember, 2 o’clock to 5 o’clock in the morning, New York local time. That’s not ambiguous.

What is the range? The highest high and the lowest low here, in here.

So if we raided the buy-side, and we did it on a run, that’s a Judas. We anticipate that as a false run higher, and then we’re going to see, does it shift lower?

How can we use that information?

Well, you can use the 2022 model. You can use a breaker, a bearish breaker. You can use the ICT Optimal Trade Entry.

In here, from this low to the high is a fair value gap. This is a shift in market structure below this low right there. That’s your 2022 model, or Optimal Trade Entry.

What would you be aiming for?

London session sell-side liquidity.

Do you have to sit through a retracement? Yes. But we’ll cover that, because that in itself is also a range that we utilize intraday.

Notice when I’m taking you through the whole routine of 24 hours. Where are we at?

Open.

Open is 9:30. We have to wait for 30 minutes, because there’s going to either be a run higher or lower, or it may consolidate. And then we’ll have to wait for the 10 o’clock displacement.

And then you can look for a Silver Bullet between 10 o’clock and 11. Or you could use a run into the lunch macro, which we won’t talk about tonight.

But I promise you, I will be teaching those things.

I can’t do everything in one lesson. Everything line upon line, precept upon precept. It’ll be taught here and there.

But before November, you’ll have more than you’ll ever need.

So we have two ranges we’ve identified here for defining where liquidity is.

You can do this, folks.

Now, there are going to be times when you look at the market and it’s not going to be clear to you. If you don’t have a clear depiction of what should be taking place, where the market should draw to, positionally, there will be times when I’m either going to be on vacation, or I’m not going to tweet, or I’m not going to talk about something.

I’m living a life.

So if it’s not clear to you what it’s reaching for, don’t put a trade on. Study it.

And that experience will grow over time, and you’ll get better at doing it.

But when you’re journaling, I want you to go on your charts and journal like this. This should be part of your journaling.

If you don’t journal and you don’t record these types of things, your brain and your subconscious can’t retain it. It needs to be trained and conditioned.

That will activate your reticular activating system. That allows your mind to see it.

And when you’re looking at price action live, it’ll be like, oh, I got to look. Oh, there’s that.

All right, opening range gaps.

Opening range gaps are a specific event that takes place when you’re utilizing regular trading hours.

Here in TradingView, you want to make sure you’re toggled to regular trading hours. By doing that, what it’ll do is remove all the overnight trading, so you won’t see anything like London or anything like that.

Where do we stop trading for the regular trading hours, and when do we start trading again at 9:30, the opening bell?

That’s what you’re seeing.

Okay, that separation, that is my opening range gap.

So whenever you hear me say an opening range gap, not to be confused with opening range. Opening range is the first 30 minutes.

I will have a specific teaching in its entirety, all by itself on this channel. There will be an opening range lecture.

But when I say opening range, that is the first 30 minutes after the opening bell at 9:30.

So specifically, it’s 9:30 a.m. New York local time to 10 a.m. New York local time.

Not ambiguous at all, folks. Very, very specific.

This opening range gap is where we stopped trading using regular trading hours, and when we open up at 9:30, if there is a gap lower at 9:30, you will see this gap here. It’s being shaded with this little orange box.

It doesn’t mean it wants to run up there immediately.

I did codify some things around how to use that gap, and I’ll teach more about that also in its own lesson.

But tonight, I want you to think about where the market reaches for liquidity, why it reaches for that liquidity, and where it wants to go after it goes there.

This low over here, we didn’t have that low. That low is occurring in the morning session, or the AM session, between 9:30 and noon.

So what will be residing below that? Sell stops. We call that sell-side liquidity.

So we gap lower, and then run into that liquidity right there using regular trading hours.

Now, if you’re using electronic trading hours, you may have a lower low overnight. And between these two price points here, where we close that regular trading session and open the regular trading session, between those two price points, you have all of the 6 p.m. to 9:30 in the morning worth of trading that could have made a lower low here.

I don’t care. I don’t care.

If I’m going to refer to the opening range gap and we get a gap lower like this, I’m filtering out all of overnight price.

That’s it.

Now, is that ambiguous? Is that complicated?

No.

What low are you looking at?

Well, in regular trading hours on this chart, that’s a pretty obvious low, isn’t it?

That’s the stuff I’ve been doing on Twitter. I’m picking the right highs and lows, folks, because there’s a method behind what I’m doing.

I’m not inventing it as I go. I’m not going off on a whim, making it up as I go.

I’ve been doing this stuff for 30 years. It’s the same stuff all the time.

It’s a well-written, well-read novel to me.

That’s why I’m so consistent. That’s why I’m accurate.

And if you stick to these rules, you will become this accurate too.

It’s transferable.

You should be excited.

If we run to a pool of liquidity like this here, wouldn’t it make sense, since we’re now into a discount and inside of liquidity below old lows?

We’re in sell-side.

Now, we’ve already moved a lot from the previous session here. What would be reasonable?

Well, look at the economic calendar.

Today, we had Fed Chair Powell jawboning at 10 o’clock in the morning.

Do we trade around Powell or Fed Chair testimonies?

No. Not if you’re new. Not if you’re trying to keep your money. And not if you don’t want to be a gambler.

You wait.

And you wait for what?

The PM session. Exactly what I said this morning on Twitter.

I said on Twitter, today and tomorrow, Fed Chair will be testifying.

So you want to be what? Trading during the afternoon, if you’re going to trade at all. The probabilities are going to be high in your favor if you wait until the afternoon.

That means 1:30 in the afternoon New York local time to the 4 o’clock close.

Is that ambiguous? Is that complicated?

No.

Wouldn’t you know it, there’s a low here that forms at 1 o’clock.

And then at 1:30 or so, it creates an old low here.

It’s pretty interesting what happens after that low forms, it runs right on up into the opening range gap.

It runs up into the opening range gap after the New York lunch, after the morning session chop.

It runs to a logical, logical level based on information I’m showing you here.

See, in the morning, a lot of folks that understand this gap exists were looking for any reason to run right up there.

No, they’re not going to see it.

Why?

Because they don’t understand time.

The algorithm runs on time. It engineers liquidity in the morning session, and then it engineers going into lunch, and then it runs on that liquidity.

Why would they want to do that?

We’ll talk about that.

New York lunch raid.

Now, in the old days, and I was trading when the old days were the thing before electronic trading, we had open outcry pits. And when you called it into the broker, they would answer the phone. You had to wait for them to answer the phone, by the way, and then get transferred to the trading desk that you were assigned, the account managers for that account you have.

And you had to go through the process of giving them your account number and then your PIN. And then you had to give them your order.

They repeat the order the whole time the market is trading. Then they ask you if you want to wait for your fill. And if you say, I’m going to wait for my fill, you’re put on hold for a minute or two. When they come back, they tell you a confirmation number and where you’re filled.

And many times, you’re upset because you have real slippage.

Because you’re all spoiled. You know, press a button, you’re in there, right?

And the open outcry in the pits would have a lunch hour where it was very, almost like a routine. Unless it was a big trending day, the lunch hour between noon and 1 p.m. New York local time would generally be a consolidation.

Now, the way we could use that back then, and I’m going to show you how I use it now, but for historical purposes, I’m giving you a reference on how I became ICT.

The lunch hour, many times, was a reversal. And whatever took place in the morning was completely reversed.

And then if it was a trending day, it would just keep on going and would repeat whatever the morning low was up to the lunch high, and then run into 3 o’clock, 4 o’clock, and that would be their full daily range.

Other days, if it was bullish, it would go up and then consolidate during 12 o’clock to 1 o’clock in the afternoon, and then do the same move in the afternoon between 2 o’clock and 4 o’clock that it did in the morning session. But it would do it in half the time.

So it was a measured move, ABCD type of profile.

On other days, you would see just a morning move and then consolidate at lunch, and then stay consolidated the rest of the day.

And same thing if it was a bearish day. It would create the morning move, then consolidate at lunch, and do nothing extra. And that was pretty much it.

Those were the profiles that existed back then.

Now, you might be thinking, oh, that’s all well and good, Michael, but which one do you use?

Well, which one would you expect based on the economic calendar, the draw on liquidity for the weekly range? What is it trying to do? Where is it reaching for?

All those things have to be balanced. That still requires you and your study to get to that degree of understanding and implementing the things I’m teaching.

But you have no excuse when I’m pointing to it in advance. I’m taking you into the higher-timeframe weekly charts. I’m telling you where the market is going to go. And we watch it daily and weekly move thousands of points. Not five handles. Thousands. Hundreds.

So it gives you time and opportunity to get in sync with that type of movement.

You don’t have to have the lowest low and the highest high.

So a New York lunch raid, between noon New York local time to 1:30 p.m.

But it just said it’s an hour long, noon to 1:30. And there are people out there saying, oh, the market doesn’t care about anybody going to lunch. The algorithm doesn’t take lunch.

But it runs on that liquidity.

So everything that was utilized since the dawn of market manipulation, when the powers that be figured out that they could just run a numbers game, and everybody thinks it’s a free market, and they think it’s buying and selling pressure that makes these markets go up and down and where they go, they utilize that information.

That was not efficient at all when it was used in open outcry. In that price, that manipulation, that engineering of market direction, was made much more efficient when electronic trading took over.

So nothing has changed in regard to market manipulation and market making.

When I’m talking about dealers, folks, okay, if somebody’s out there saying, I’m a market maker, I’m a former market maker, you are not a market maker. You are a dealer.

The folks that are in control of price, where it’s going to go, how high it’s going to go, how low it’s going to go, that’s what I’m talking about.

And you don’t see them. They don’t have a face.

All of that has changed now, and it’s algorithmic. It’s highly efficient. They never get sick. They never mess up, because it’s 100% electronic.

It’s following code. It’s following instructions, period.

It’s all delivered on time.

So a lunch run on liquidity, a raid, if you will, you have to define the range between 12 o’clock and 1:30.

But you said it’s an hour long.

1:30 starts the PM session. That’s when the algorithm can start doing its macro.

A macro is a short order of instructions that will create an event in price delivery.

Your focus needs to be on the highest high and the lowest low.

I’m showing you the highest high in 12 to 1 o’clock, because there’s nothing higher than the high here.

The low formed here between 12 o’clock and 1:30. That’s the lowest low here.

So we see this low, it drops down there.

If we’re expecting price to be bullish, and it’s not done anything in the morning, Powell is talking. There’s a noon event expected like FOMC or something to that effect, you avoid the morning session. Let everybody else chase.

Using this information, you will be confident that you have no requirement to be in anybody’s membership or audience.

You’ll be able to do this, make your bread, and then go live your life. Do whatever you want to do.

Do not be chained to these charts.

You have to do all these things on your own. And that should not be scary. It should be exciting.

I’m excited for you.

But the session high and session low for lunch hour, I guess it’s really technically 90 minutes.

Below here, we can see it running down, taking that, when we’re expected to go higher.

What do you think exists up here that’s not being noted on the chart? (Opening Range Gap)

We’ll get back to that.

The market starts running at 1:30, completely random.

You don’t know that I’ve said that time at 1:30. You don’t know that I’ve said this many, many times, referring to the New York lunch and how there’s an algorithm that controls price.

And there’s a macro that begins at 1:30 that sets the tone and pace for the 2 o’clock to 3 o’clock Silver Bullet, baby.

The dots are starting to connect. Are you starting to see a little bit more of the tapestry that’s eluded you and everybody else out there that doesn’t believe there’s an algorithm, doesn’t believe that these markets are absolutely controlled by AI?

I promise you, that’s exactly what’s going on.

We want to see, when we’re bullish, the market drop down and take out the New York lunch lows. Even if it’s going to reverse, you can trade that here.

How can you trade it?

Wait for a shift in market structure. Fair value gap.

Don’t trust the 5-minute chart? I’ve already shown you today using a 15-second chart, and we’ll get to that too.

What did you say, 15-second charts?

Yes, yes, friends and neighbors, price is price. And you have to look where the inefficiencies are.

And every retail trader is using a 15-minute chart, an hourly chart, a 4-hour chart. And there’s this taboo around 5-minute charts or less because they’re not informed, they cannot initiate it.

Price is price in whatever you see in terms of measuring it using a time-based chart.

You have every advantage using a time-based chart. In fact, that’s the only way you’re going to see it.

Don’t listen to people who say don’t look at the time-based chart. It’s nonsense. Wrong.

Right away, that tells you they have no idea about algorithmic delivery. It escapes them. Sorry.

It runs on time. Time is the first factor.

What am I showing you here tonight?

Very specific windows of time and what to reference in terms of liquidity.

I’m trying to teach you everything that would bring you as close as I can bring you without having the 30 years’ experience I had.

So I’m taking you fast-track through three decades of understanding.

And if you don’t have the patience to sit through whatever the duration is for the lecture, that’s a little bit myopic and unrealistic. You’re selling yourself short.

And I don’t care if you learn it, really. If you’re going to be lazy, I don’t care.

But if you really want to learn it, I’m telling you what to do. I’m telling you what to avoid, where your focus should be.

If you’re bearish, you can wait for a run up into the opening range gap, take out a lunch buy-side liquidity pool, and then watch and see how it trades back below the New York lunch high.

If there’s a displacement, what does that mean?

See that right here?

Displacement. What does it leave?

This candle’s high, next candle’s low.

What is that?

That’s random. Look at that.

It’s like this, you know? It has no rhyme or reason, right?

Well, that’s your 2022 model.

Sell short.

And for what? I see the New York lunch low.

Well, I marked this one here at 1 o’clock. But you can use this one while you’re long bullish.

I know it looks cherry-picked, and talk about it, I promise I got something for you. You’re thinking that right now, I promise you.

Sit tight.

But in the afternoon session, you can see how that lunch hour plus 30 minutes, that 90-minute window, that low right here is where sell-side resides.

In the PM session, it raids that liquidity.

You have every advantage after tonight, going in and looking at what I’m looking for.

Where am I focusing?

I promise you, after tonight, your shit’s going to be different. Yes, it’s going to have knots.

AM session ranges: 9:30 in the morning to noon.

So right away, we are considering this in the afternoon. So we can always refer to it in the same trading day.

So we could be anticipating a market reversal profile, something to that effect.

If we have an elongated market, where, say, the New York session, the morning session rather, of the current trading day is consolidation, and then we have a directional lunch hour, or during the lunch hour it’s consolidation as well, we can refer to it.

And if we’re bearish, we look at the previous session trading.

Now, if you look at the previous session here, you’re using electronic trading.

What specific low am I looking for?

I’m looking at the 9:30 in the morning to noon.

If I’m not going to look at the PM session range, remember, I’m taking you to very specific pools of liquidity, I’m going to look past the PM session.

Well, why would I do that?

Because we’re already trading below it over here.

Do I refer to it for sell-side?

No, we’re already below it.

So if I’m bearish, what am I looking for? What low am I looking for? What draw on liquidity am I looking for?

In this regard, I’m using the AM session sell-side liquidity.

If I was bullish, it would be everything I just said here in reverse and opposite. I would be looking for the buy-side.

But if we’re bearish, I’m looking for very specific pools of liquidity.

If I showed this on regular trading hours, it would still get that low.

Very important.

Even though I’m showing you electronic trading hours here, I’m doing this for the sake of showing you an understanding that whether your chart is on regular trading hours or electronic trading hours, and I’m looking at the previous daily range, or if I want to trade below yesterday’s lows, what low am I looking at?

The PM session low or the AM session low?

Very, very specific. Unambiguous.

Not, well, I don’t know which one he’s looking at. He’s always changing shit around.

No, I’m not.

It’s always the same stuff. Always the same logic, always the same logic.

What’s changing is the profile that I’m operating in, because the market is delivering a specific way and I have to adapt to that.

And then I anticipate. I’m not reacting to price. I’m anticipating where it’s going to run to.

What does that mean?

Everything I’m teaching you tonight.

Now, I don’t expect you to watch this tonight and walk away feeling like you knew everything about what I just said.

You’re going to need to watch it a few times.

You need to listen to what I’m saying in here, and then go into your charts. Spend weeks and months going back through it.

That’s what will convince you that this is sound logic.

It’s not contrived. It’s not conjecture. It’s not made up. It’s absolutely what the market does every week, every day, and it will not stop.

So you can see the previous AM session low.

We were here, sell-side liquidity. This dotted line here denotes we’re looking at the 20th of June, 2023.

So I can’t use the afternoon session high and low because we’re already starting at 9:30 right below that.

So what am I looking for, ICT?

What am I supposed to be looking for?

That low.

It doesn’t matter if there was a lower low.

Okay, listen. If there was electronic trading hours showing and it had a lower low, and it went below that low here, I would still, listen, I would still refer to the PM session range, as I mentioned a little bit ago in this presentation tonight.

And before that one, I would go to this specific range here.

It’s a specific time.

I don’t care about overnight highs and lows. I’m looking at very specific regular trading hours.

Regular trading hours is going to be referred to in the next trading session. They’re going to be respected or blown out.

It’s simple.

That’s not hard.

https://youtu.be/vuBRMFhFZAY?t=3407

This is today’s trading, the 21st of June, 2023, and it’s the E-mini S&P.

And I Photoshopped some things in here, obviously being facetious by saying that the opening range, as I taught you here tonight, that was one of the factors I utilized today.

If you’re following me on Twitter, I showed my PM session trade, which is what you’re seeing here, using everything that I taught you tonight.

Let’s go through it.

Okay, this morning, we were watching. Fed Chair Powell gave his testimony at 10 o’clock. And I had my favorite usual suspects that I like following on YouTube, and those that were live streaming, I listened to them.

And no disrespect, gentlemen and ma’am, they had really no idea what was going on, which is exactly what one would expect, because the market is gyrating and going sideways. It’s just churning up accounts, going sideways, beating up everybody.

You have to wait until we get through lunch.

If Fed Chair Powell is going to talk, and it’s a 10 o’clock testimony or whatever, we wait for lunch. Just wait for lunch.

If you do that, you will get the cleanest setup for the day.

The easiest.

What does that mean, cleaner setup? What do you mean when you say that?

Where everything just simply jumps off the chart, and it makes itself very obvious.

You want setups that are very obvious. That’s clean, okay?

I don’t want you, as my student, going into the marketplace and trying to just be an action hound and trying to trade everything.

I don’t teach my students to do that.

The ones that blow their accounts or fail their funded account challenges, that’s a characteristic that they have. That is not a derivative of learning from me. That’s a personal character flaw.

And you can correct it. You can fix it. But you can’t place that blame on me.

If you wait and you listen, I counsel all of you in real time, live on Twitter.

Don’t touch this right now. All right, focus on this time today. And when it’s appropriate, I’ll point to where the market is going to go to next.

I did that today.

The opening range gap here was utilized to get what would otherwise be done. If you had done the same entries and managed the same position, it would have resulted in $9,362.50 before commissions.

Now, I don’t know about you, where you are in the world and your walk in life, but almost $10,000 is a pretty respectable amount of money.

I mean, you can go on a nice vacation with that and get your spouse something really nice. You could probably do some really good Christmas shopping with that.

So that’s not chump change.

And I want you to think about the logic that’s shown here.

Powell at 10 o’clock, trash market, okay, just ignore it. Just ignore it. Just don’t even worry about it.

Oh, but it’s going to run. It’s going to move.

That is you as a neophyte trader and an action hound. You feel like you have to be able to do something in that.

I’m telling you, with 30 years of experience, you don’t need to.

You don’t need to.

It’s liberating when you just relax and say, you know what? This is the highest degree of manipulation right now, and I don’t know what they’re going to do, because they can manually intervene and send price careening higher or lower, and you won’t be able to see it coming.

So don’t torture yourself. Do something else. Sleep in. Go have breakfast with your spouse. Work out longer. Take your boat out. Ride your jet skis. Cut the grass. Whatever.

Don’t do anything in the marketplace. Just wait.

And then what time does your shift start?

At 1:30.

That’s when the macro will start running.

At 1:30, the market creates a low here. The market trades down below the New York lunch sell-side liquidity. Again, they can sweep it again.

But notice it doesn’t take that low here.

I don’t require it to.

The logic is, it’s going down here once more, just in case.

Rallies, comes back down into this down-close candle, which is a bullish order block.

The market rallies. We have displacement again, fair value gaps and whatnot.

I promise you, I’m going to take you into a 15-second chart, where I utilized the information I’m going to show you here.

What I saw was the market dropped down below the initial New York lunch sell-side liquidity. It’s dropping down below here, and then I’m anticipating it to go up into the opening range gap. That’s this shaded area up here.

I don’t need to show you an example where it goes all the way up there. I’m teaching you low-hanging fruit. That’s the first threshold for you to learn under my wing.

You can see it tonight.

The logic is, leave a partial on for that. But I’m trying to encourage you, while you’re learning, to learn how to do this modularly, step by step.

You’re not going to go out there and do a lot of contracts at one time. You won’t know how to do the pyramid thing that you’re going to watch me do here in a moment. You’re not going to know all that stuff.

And to remove all of the, man, I wish I would have had a partial on. I wish I would have held it longer.

You don’t know where your growth is going to be and how long it’s going to take you to get to a point where you can trust doing that.

So I allow for, and I build into my teaching, room for you to develop independent from my personal timing.

See, what I think a student should require in terms of learning may be more or less than what it’s going to require for you.

So I’m trying to be a realistic mentor, not just someone that says, go through my workshop, go through my training, and in this many days, months, weeks, or whatever, you’re going to come out knowing what you’re going to do. And if you can’t, then you suck.

That’s not practical.

So what I do is, I teach you where the market is going to go.

What is your terminus?

Terminus, while you’re first learning, is the easiest low-hanging fruit objective.

So if we’re buying down here on the basis that that sell-side liquidity pool for lunch has been swept here, and we see this returning but not respecting the run into and below that low, it’s denying that, and it showed a willingness to repel back above this low.

That’s what I was looking through all of this low here. I’m looking past all that, going right to that low right there.

Remember, this low here doesn’t get taken out until the PM session.

Look at your chart now.

I mentioned it earlier. This low, I trusted it.

But Michael, what happens if it went down here?

Then I would have got stopped out.

What?

Yeah, sometimes I get it wrong. Sometimes I mess it up. Sometimes I bring the baggage, okay, the scar tissue or my ego into it, and I try to outperform my own algorithm.

And I get my ass handed to me.

If I get stopped out and the trade is still valid, I’ll go back and re-enter.

If I get it wrong, you see it. I get stopped out, you see it.

If I get stopped out and it’s still a good trade, I’ll get back in. And if I get stopped out, then I’m done.

I’m done.

I don’t hide that from you.

So I’m buying under the premise that we’re returning into that sell-side liquidity here one more time.

What is it doing here, though?

It’s not taking out that low.

What is it doing?

It’s trading below the rejection block.

What’s the lowest closing price in this swing?

I don’t need that low to be taken out. I don’t want to see it taken out.

So all the understanding of price action over here, I’m anticipating this accumulation and Smart Money jumping on board like I was, to run to relative equal highs, and more specifically, inside the opening range from regular trading hours, where we stopped trading and where we started trading.

Some of you already get pissed off at your own performance because you think you should have 30 years of experience and performance and results too, because you watched my videos, or you spent enough time, which isn’t realistic, because none of us spend enough time to do what I’m doing.

It’s not ego. It’s not arrogance. It’s real practicality.

I mean, think about it, folks. I may have 30 years of experience, but I can’t pour that into you in a short period of time and you have 30 years’ experience too. It’s unrealistic.

And some of you are very hard on yourselves, and you think that you should be able to do what I do.

So I try to teach with that in mind, and I teach low-hanging fruit.

Those terms are my way of saying, okay, if it’s going to go higher, where is it going to go to logically?

Well, if it’s taken sell-side out here, that means the sell stops have been raided there. And we swept down into the rejection block and preserved that low.

In the afternoon, we should see a run up into that gap.

And for those that are wondering, why should that happen and not take out the relative equal lows?

It’s because we’ve already worked below that AM session low.

Remember, before we transitioned into this slot here, we traded into the previous session AM lows.

So we were really in a deep discount.

And that opening range gap has not been traded into from the open.

It opened and ran away from it quickly. It never came up to it until here.

And it left what?

Relative equal highs.

What time of the day did it do it?

Between 12 o’clock and 1:30.

So that’s your lunch buy-side liquidity.

Everybody that’s short thinks it’s going to keep going down. That’s where their stop loss is.

Who’s doing it?

Funds. Not Retail Rick.

Large funds, deep pockets, buying in every time the market gave me a buying opportunity.

Very specific PD arrays on a 15-second chart, I was entering.

This is a 1-minute chart, by the way. If you’re looking at it here, it’s 1 minute.

Every one of these entries was based on a 15-second candle.

I recorded it. I’ve already shared it on Twitter.

Every time it reached above relative equal highs, I’m taking a partial profit up in here.

Another partial profit above this high here. Partial profit above the high here. Partial profit.

So I don’t require it to trade above this high.

And I’m teaching you that you don’t need to do that either.

If you mimic the same trade in your own account, whether it be funded or in live funds, and you profited $9,363.50, are you going to beat yourself up because you didn’t have that run up to the opening range gap high?

Some of you might, and that would be unfortunate.

That’s not what I want you to think. That would be really a toxic mindset about your performance and what you’re trying to do.

You try very, very hard to filter out negative thinking.

That’s why social media is the worst. Social media is like cancer, okay, for developing students, because everybody’s got an ego. They’re all porn addicts out for measuring competition, okay?

And the point is, you’re trying to learn how to make money. And all I’m trying to do is teach you how to stay in the game long enough so you can keep your money, learn the skill sets I’m showing you, so that way you can leave your fucking job, and then live your life and do whatever you want to do.

Okay, and you don’t need to listen to me the rest of your life. I don’t want to be doing these videos. I’m not going to be doing it.

So I’m leaving you a legacy so that you can come back to this information, take your kids to this information, whatever, and build legacy wealth.

You don’t need to entertain these people’s egos. You don’t need to come back and keep me feeling good about myself either.

This stuff works.

But you have to graduate in your understanding about where it’s going to go and be realistic.

And then over time, when you start seeing this unfold, and reasons for it to go higher, you leave a runner on.

That’s the only way.

If you’re in there trading and you’re thinking to yourself, man, I don’t know, I should probably leave a runner on here. I know if I leave a runner on, it’s probably going to stop me out. And if I don’t put one on, it’s going to run.

Put one on.

What’s the worst thing going to happen?

It’s going to stop you out in profit.

See, you’re wrestling with being right.

When time permits it, I’ll give an example every single day.

Today I gave several examples.

This one today, I told you to wait for the PM session. That was the morning advice.

And I went in there and murdered it.

So every single one of these individual entries, that could be your model.

Some are better in terms of where their entry was, but I’m using them as pyramiding opportunities.

None of the things in here that I showed violated any of the bullish order flow.

This is real order flow.

Notice there’s no DOM, depth of market, Level 2 data required. No Bookmap required.

Everything that I’ve outlined here is shown to you on a time-based chart.

My partials are based on liquidity. Look at my exits on the partials. They’re at the highs.

My entries are in very key levels that would be a discount or reference what I’ve taught you.

And I’ve done so on a 15-second chart. That’s not even a minute. It takes four of these individual candles to make one minute.

Does it look like noise?

Look at how the market reacted.

Probably two months ago, I introduced the inversion fair value gap.

Okay, so every one of my PD arrays can be utilized as a contrarian entry.

But unless you have the narrative in mind, knowing where is it going to reach for, where is the liquidity it’s going to be drawing price to next, how do you know?

How do you know that, ICT?

Well, you started with the weekly candle.

Where is it going to gravitate to?

I don’t care if you use another way of trading, folks.

If you use what I’m teaching you here tonight, it’s going to make your shit start working.

The times that it fails, it’s going against what I’m teaching tonight.

I promise you, that is not arrogance or pride or ego speaking.

Your shit ain’t working when it goes against this.

If you trade retail concepts with this stuff, your retail shit will start working.

You don’t have to like me. Okay? You don’t have to tell everybody that you trade SMC, or ICT, or whatever the fuck you want to call me.

I don’t care. I really don’t care.

But I really want to see you succeed.

I said in this lecture tonight, you have to go through weeks and months of backtesting, studying what it’s done, logging it, journaling it, and encouraging yourself in the commentary in the chart that you screenshot and put into your journal.

And you talk to yourself like you knew it was going to happen in advance.

And you’re tricking your subconscious into believing that is experience.

And because you’re sugarcoating it with everything positive, and you’re never saying anything negative, when you watch real-time price, it won’t feel scary.

Subconsciously, if you always looked at price action, or looked at people like me or other people that you think are frauds, scammers, or they don’t really know how to trade or whatever, you are literally flooding your brain with toxicity.

And I guarantee you probably can’t make a fucking penny trading because you’ve done that.

This game is 90% psychological. It’s easy to talk yourself out of it, and it’s easy to program your mind to keep you in the game before you really know the skill set.

You have to cheerlead yourself.

Nobody’s going to be able to do it for you.

The right way is understanding why price delivers the way it does.

And it does on the basis of time and price.

There’s a time that it operates, and it’s reaching towards very specific price.

I’ve already taught you the time elements, and tonight I’ve already taught you the price elements.

Time and price.

Between those two, you will always have a setup for life.

You can have a breaker. You can have an institutional order flow entry drill. You can have a fair value gap, an inversion fair value gap.

I’ve shown it to you on a 15-second chart.

You can’t get any plainer than that.

It’s real. It’s absolutely a real phenomenon. It’s really there.

But you know what makes it valid? And how to predict it?

Understanding liquidity, understanding time and price.

That lunch hour that nobody goes to lunch, the algorithm runs on that liquidity, and then it starts repricing and spooling to the next pool of liquidity.

So since it took sell-side, okay, what did I teach you?

Price only goes up to take buy-side or buy stops, or it goes up to an inefficiency above market price.

That’s the only two fucking reasons that price goes up, period.

If it’s not doing one of those two things, it’s going sideways.

I already teach you and taught you, the economic calendar tells you when it’s going to consolidate.

So what does that leave?

Up or down.

Okay, how do you know if it’s going to go up or down?

Look at the weekly chart.

What is it going to reach for on a weekly candlestick?

Something above the price or below the price?

Which is the most obvious?

There’s going to be a fair value gap or liquidity.

Which is the easiest, closest proximity PD array?

It’s probably going to go to that one.

If you’re wondering where to start, the 2022 Model for the 2022 Mentorship, it’s 41 videos.

I promise you, if you start there, you will get the shortest route to going into the charts and finding something that works every fucking day.

Every day. It works every day.

Now, here’s the caveat. It may not work in the market that you’re looking at right now, but it’s in every single one of these markets. It’s in there.

So what does that mean?

If you’re an index trader, it will be in one index. It may be in multiple indices, but it might only be in one. And that’s why I teach you to look at all three of the averages: the Dow, the Nasdaq, and the S&P.

It may not be in the Pound, but it is in the Euro. You see the difference?

That’s why I teach, or at least I tried, when I taught predominately only Forex, I was teaching Dollar, Euro Dollar, and Pound Dollar. You can’t miss it then. It’s there.

You have to have intermarket relationships and study like that with a closely correlated market.

Euro and Cable, or Euro Dollar and Pound Dollar, are closely correlated. They’re inversely correlated with the Dollar. So when the Dollar goes up, they go down.

But just because the Dollar is going down doesn’t mean it’s a good buy in Euro. Sometimes it’s a better buy in Cable. Most times it’s better in Cable, better in Euro, whatever.

But there are going to be times when the Dollar is going sideways, and the Euro or Cable may outperform one or the other.

What does that mean?

It just means that the real trade is not in that. It’s in the exotic, meaning that you can use the Pound Dollar if it’s really running, or if it’s predisposed to go up more if the Dollar is consolidating. That means you probably have a really good trade long in Pound.

There’s so much information in the stuff I’ve given, and you don’t even appreciate what it is because you just went through it one time and you haven’t even started trading with real money.

And then you start trading with real money and you come back and watch those same videos again, and you’re like, oh shit, he said that. I didn’t hear it the first time.

It just doesn’t mean anything to you right now, because you’re not even a demo trader yet with consistency.

When you start trading with real money, the lessons and all those droning discussions, jawboning by ICT, all that stuff is going to be much more meaningful to you.

It’s going to be rich understanding, because it’ll be you that’s prepared to hear it.

You’re not prepared to hear it. Most times, you’re not.