How I Enter All My Trades (Supply & Demand)

So, having a good entry model is easily one of the most important factors towards becoming profitable. So, today I'll simply be showing you exactly when I execute my trades to not only get a good risk reward, but also simulate my back testing as closely as possible. Because I'm sure lots of you are profitable in back testing, but fail when it comes to live markets. And generally, this just means that your entries are off. And this can be pretty simply mastered. So, to start off, we're going to elaborate on that point, okay? In back testing, we are primarily seeing the final form of the candle, which means the closure and the wicks. Unfortunately, we can't see when just everything in the candle happened because, I mean, it could look like this the whole way through. So, we have to base everything pretty much based off the closure because in back testing, we can see the closure of every candle easily. That's not a question. We can see where every candle close happens. So, if you can make a profitable entry model that works based on the close of a candle, and you're getting good results in back testing, then that means you will get the exact same results in live markets. If you don't know, I trade a variation of the supply and demand where we simply have a level of liquidity just in front of our zone. So, as soon as a candle taps our zone, as you can see here, it tapped inside the zone. It rejected, it never closed inside, and we closed bullish. This is generally my entry model, and this is like 90% of the time. Because look, this was just a random example I pulled out from months ago. And we can easily simulate this the exact same way in live markets because it's just the close of a candle. Most people are waiting to reach a certain point in a candle or do something that requires formation during that candle, but you can't see that in back testing. So, you wonder why you're just like getting completely different results in live markets. It's because you're entering at a different point to your back test. Here's another great example of a trade from actually just like a week ago that I took. You can see we have our supply zone, we have our level of liquidity in front of the zone, and as soon as we tap it, we reject and we close bearish. This is the directional close that I'm looking for because we can literally come into live markets and wait for the close of the candle this exact same way and get the exact same result. Now, a few years ago, there was some like different rules that I traded with the strategy on the 5-minute where it would just close and as long as it closes outside of the zone, then you'd take it. Like it didn't even have to close bearish off a supply zone or bullish off a demand zone. It was just based on the close of the candle. And if that works, then that's still a great entry model because it's completely replicatable in live markets to back testing, and you'll be getting the exact same results as long as you trade with discipline. Although, if you're trading my strategy, trade with the directional close. Trust me, your win rate will be amazing. But you can see how this is just the easiest thing to replicate. You can't this up in live markets. However, I don't like to limit myself to just one entry model, and that's because a lot of the time entering on the directional close, price might run off a little bit, and you might get like a way worse risk reward, or it gives you such a bad entry that you don't even want to enter anymore. I mean, in this case, uh the difference between the entry model I'm about to talk about and the directional close would be from a 1 to 2.9 to a 1 to 4, and that can make a big difference. And a lot of the time it can make a way bigger difference. So, this is the break of candle entry. I'm sure lots of you have heard of it, and I'm going to talk about it here in a way that I generally don't really talk about it. I think it can be seen as quite a risky entry model. Like anything but the directional close can be seen as quite risky because generally we do want to wait for that. But I don't think that it really is too risky. So, let me show you exactly what it is. So, same thing, we have a demand zone here. We enter our zone and we reject. And instead of waiting for the close of the candle, we enter when we break past the previous candle. As you can see right here, we broke past this black candle, the like highest point of it. We didn't break past the body of the candle. We broke past the entire candle, and that is where we'll take our entry. Now, this is giving bullish confirmation. It's giving confirmation that there's good volume in the market and that we're going up. Now, the risky part about this is that we could break past the candle and then still come down and, you know, potentially close down here and then lose. And it's just like you've technically taken an invalid trade based off the close uh that you could have just avoided. But it's generally really not risky at all because that very rarely happens if you do this on like the second half of the formation of the candle. So, say you have a 5-minute candle, you do it in the last 2 minutes or so, it's very rarely going to come back down. Generally, it's made up its mind, it's going up. I hope that does make sense, but generally, if a break of candle opportunity is given and there's like a decent amount of volume in the market, like you can see the candles are like pretty large and whatever, then it is fine to take that. And this is also very replicatable in back testing. Because if the candle went above the previous candle at any point, which you can see via wicks or closes, then you know you would have entered there. I mean, here's another example where it completely changes the outcome of a trade. We still This is a valid trade. We have our liquidity, we have our supply zone. We came into the zone, we tapped it, and this never closed bearish. So, entering completely based off the directional close, we wouldn't have been given an opportunity to enter until all the way down here. This is a 1 to 0.7. That's not even a thing. We could have taken a 1 to 4 if we had just entered on the break of candle. Same thing again, we just enter after it breaks past the previous candle's low, wicks included once again, and you can very visibly see exactly when it happens. Now, once again, this won't happen all the time. Generally, I'm entering on the close of the candle probably like 90% of the time. It's just way more common to just have to wait for that. But you can see right here the difference that it made, and you would obviously in live markets be seeing the high volume that's coming in of this candle, and you know you don't want to be waiting for the close of a candle when it's coming all the way down here, uh and you still haven't entered. This like just still early in the candle. Generally, you want to take advantage of that bearish volume and get in at a decent entry. However, this example right here is an example that I imagine would be a bit more risky because based on how large this candle is, we can assume that it probably broke candle pretty early in the candle's formation. So, you can see that it did have the opportunity to potentially end up, you know, it could have actually hit stop loss by the end of this candle. So, it is a bit more risky. Don't just think you're always going to get a higher risk reward. The other possibility possibility That's embarrassing. The other possibility is that it could have, you know, broken candle and then just closes up here, and you've just got a slightly worse entry than if you just waited for the closure. So, it's completely fine if you only want to trade closures of candles. It's completely fine if you want to include this. But this is probably, you know, my second most common entry model. And there's one more which I'll explain now. Also, before I get into the next entry model, I quickly wanted to announce because I haven't properly yet on the YouTube that I have temporarily closed the mentorship so I can focus on the students inside, and I've instead opened up the VIP group. If you don't know, I was running this before and people have been asking for it back since it closed, and I realized I don't want to leave people with just the YouTube content because I know I can give so much more than that. So, just like before, I'll be sharing my morning forecasts, my own trades, just like all my executions, uh all my back test results, like you can see all my charts, weekly live coaching calls, and, you know, more stuff. So, if you are interested, then check the link below. Now, for the final entry model I use, this is more for advanced people using the strategy. Uh I wouldn't recommend this to people beginning because it's quite difficult to understand everything at once. But this is the flip entry, okay? This is where you enter when price goes from bearish, where, you know, it's entering our zone bearish, and it flips to bullish, and you enter on that, you know, change of color. However, there are some quite specific things that have to happen for this to be worth doing. And the main one is that we want to be on a higher time frame candle. So, on the 5-minute time frame, generally, the lowest we want to be on is just a new 30-minute candle. So, obviously, a new 1-hour is even better, a new 4-hour is even better. But what do we know about new higher time frame candles? Well, if we go into a new 30-minute candle, pretty much all the time they are going to create a lower wick before moving up if, you know, we're going bullish. So, here we create a lower wick and then we move up. We create a lower wick and then move up. Lower wick up. Lower wick up. Lower wick up. Boom boom boom boom boom boom. And you can see this exact same situation happened just over here. So, we have a new 30-minute candle, we're predicting that we're going to go bullish, but price doesn't want to move off without creating that lower wick. So, generally, 90% of the time, we're going to create a lower wick first and then move up. So, if we get that confirmation of us having created that lower wick, and we've then flipped, when we know we're over we're going to be moving bullish just because, I mean, overall trend analysis, that's a whole different video. We're just making higher highs. So, why is it that higher time frame candles specifically like to create these lower wicks? Well, it's pretty much just a case of taking orders. It's market manipulation. We always see it. Um but basically, this candle right here, for example, new 30-minute candle, lots of people will be looking at this new candle because, I mean, the investors are looking at these higher time frames a lot of the time. They will be pushing markets down to sweep liquidity. For example, they are sweeping this level of liquidity, they are reaching a better price, which is, you know, maybe at this zone on the 5-minute, and then they are going to push the market up. They very, very rarely just fully just push up without, you know, doing some kind of manipulation, taking liquidity below, sweeping some kind of lows, reaching some [music] kind of good price, and then that's when they'll do the move. So, in a case like this, we can take advantage of that because we've seen that our new higher time frame candle has already created its bottom wick, and then it's moved up. So, I'll find another example of kind of how this works. This one right here is a break of candle entry. You can go through a few of just kind of random ones. This right here is a close of candle entry. You can see this is a bearish close. Another bearish close just over here. Another break of candle entry over here. You can see how this made a massive difference. If you want, you can pause the video and take a a better look at all of these. Just a close of the candle right here. Another close of the candle. And I believe here we have another flip entry. Now, it took a while to find one of these because we don't take them that often because we're not forcing these types of entries just because we want the possibility of getting a better entry. Generally, I am just taking the close of the candle most of the time. We are only taking this in very specific situations where it can give us a better edge. And this is an example of where it clearly has. So, this is once again a valid supply zone, valid level of liquidity in front of the zone, and this is a new 1-hour candle. So, what do we know about that? Price is likely, if it's going to go bearish and our, you know, analysis is correct there, then we expect price to come up and make an upper wick before it does that. And likely, our zone is right here. So, if price makes an upper wick, it's going to tap our zone perfectly and then reject. And we can enter perfectly on this flip right here. Once again, you never would have entered this trade if it was down here because I mean, yeah, the the risk-reward's just not good. But when you enter on the flip of the candle, this went up to, you know, 1:7. And it is as simple as a new 30-minute candle getting created, we come up, we make that upper wick, and then we drop. Got a confirmation that all the orders from the upside have been taken, we've taken liquidity, we've reached a better price for investors, and now price is ready to push down, and we can enter, or we can take advantage of that by entering a little bit earlier than we generally would. Once again, this is quite an advanced technique that I'd only recommend to people that are kind of mastering the strategy and are looking to maybe get some increased returns after. But yeah, that's about it for this video. They're kind of like only entry models I'm ever using. Uh once again, almost always the directional close, the others are kind of extras to help out on trades that I don't want to just completely miss because it doesn't give a good close of candle entry. And that's how professional traders are trading. They're not just entering based on random They have a set of rules to show exactly why they're going to be entering each trade, and they can simulate it years and years before uh to make sure that they know their strategy is going to work in the future. And I mean, go back test the strategy for yourself. Go back test the entry models if you want. It works. But yeah, that's about it for this video. I hope you all got some value from this. Let me know what you'd like to see next. This was highly requested for quite some time now, so yeah, I'll get to that. And like, subscribe, join the VIPs if you'd like, and I'll see you next time. Peace.