Full transcript (134722 words)
This is the ultimate ICT and smart money concepts trading course. It will consist of six parts. The first one is going to be going over the basics, then liquidity, and then fair value gaps, market structure and bias, and then different advanced concepts. And then the last part is strategies and trading plans, different ones that you can actually use after finishing the course. Now at the end you will learn how ICT actually works and why most traders misunderstand it and then understand how price moves through liquidity imbalance and structure and these are going to be major parts in our course because these are actually the concepts that matters instead of you know mastering 10 concepts you want to master these and then you'll be a better trader. So we master the core concepts that matter which are these three and ignore the noise and then we add the advanced concepts in order to filter the bad trades and only focus on the high probability ones and then at the end you will see how everything actually connects into a complete trading model. So these three here as well as some of the advanced concepts. You'll see how we can actually make different trading plans based on these three concepts and then at the end what you will have is one strategy. So you can pick that one, master it and then execute it over and over again. So in short you'll be first of all in the first part understand the basics and then master the core concepts. You add the context from the advanced concepts and then you execute that one strategy and that's going to equal to profitability. So that is the main goal after finishing this course. Now before we start, every section in this course has clear timestamps. So feel free to jump to any concept you need and then continue the course any time. So I'll be having these in the video as well as in the description. For now, let's begin the course. Now first of all, who am I? I've been trading for seven years and I've mastered every possible ICT concepts. That is not a good thing because you really want to focus on few concepts and that is the whole point of this course. However, I master these and I really want to you know just look at what to focus on and then give it to you in this course. I've also taught these concepts to others. So if you notice here in my YouTube channel, I've started teaching ICD concepts about 3 years ago. So two years but this is actually three years and I've mastered every possible one. Now why is this course different? What's the promise here? We're going to be focusing on quality other than quantity. What does that mean? We're going to focus on the concepts that actually matters instead of flooding, you know, most of the ICT concepts here and give you something that you cannot put together that you cannot take advantage of. So, we're going to focus on the quality and forget about the quantity because other courses will focus on 100 concepts in one video and at the end of that video you will get nothing. You'll have concepts, you have, you know, pieces of a puzzle that you cannot put together. 7 years of experience, I'll only give you what works based on my experience. the good and bad of ICT. Instead of telling you that you'll be trading like smart money and you will catch the liquidity, all of these things, not really. I'm going to give you the good and bad of ICT concepts. I'll give you a clear framework and clear concepts and no fake bank level promises. So, you're not going to be a bank. You're not going to start your own hedge fund after this video. Not really. You'll be trading same as any other, you know, trading method. Yes, it works. Not as like a lot of people promises like you'll be trading like banks or hedge funds or institutions. Not really. Now key points I want you to remember that ICT or smart money concepts is just one way to read the charts and it's not the ultimate truth. So if you already have a method that you're using and you're making money, yeah, take a look at ICT or smart money concepts. you realize that there are a lot of similarities maybe between your way and the smart money concepts. We are retail traders using retail patterns. Even ICT concepts or smart money concepts, these are still retail patterns and that is perfectly fine. So there is, you know, we're not going to go over the cult of uh sweeping liquidity of retail traders because we're still retail traders. That is one thing we should be comfortable with. Also, this course focuses on what works, not what sound impressive. Now, I can give you a lot of concepts that you will think, "Oh my god, this is impressive. This is feels like a secret concept." I do know all of these concepts, by the way, but I'm not going to teach you because you get nothing out of them. I want you to keep this in front of you as we go through the lessons. It will keep you grounded and stop you from chasing the hype, which I don't want you to chase. Never chase the hype. You want to focus on what actually matters, what actually works and what is realistic. Chapter two, the lie. Now, their definition is that ICT is an approach that teaches you to think and trade like institutional smart money. That is what a lot of people are going to teach you, which is not true at all. These are still patterns coming from pattern recognition skills. uh sometimes same as head and shoulder patterns same as trend line patterns and same as break and retest all of these patterns it's still ICT so we need to set this realistic expectation that you will not trade like institutional after this however you can still continue watching the video to get a realistic way to trade ICT and smart money concepts before we continue I've taken everything I've learned over the past seven years and put it all into one place at school Inside you'll find structured courses including the exact strategy I use every day, the edge model. These are some of the trades that I do share before happening and I did take with my community members. You're welcome to join if you want to make the real change in your trading. Let's continue. So does it work? Yes, it works. But there was more than that. There are a lot of ICT profitable traders that I know. However, a lot of them are actually unprofitable. A lot of the ICT traders. And why? because they have unrealistic expectation and it's unfortunately more of a cult. Again, their promise is that you want to trade like smart money, think like institutional, finally understand how the market really works. No more guessing. You will see the algorithms next move. And this is the ego trap and that's why I'm mentioning this at the beginning to set realistic expectation. We don't want to think that we're going to be smart money and then when we fail or when we get a losing trade then we say this doesn't work because that is not the reality. There is no the algorithm because we do have multiple algorithms. Which one are we actually following? Which one are we trading based on? So we are still retail. We have limited capital. We don't have insider information and we're just using fancy terminology for that. However, institutions have billions in capital, direct market access and then a lot of professional equipment. We cannot call, you know, support and resistance levels or uh break and retest. We cannot call it an order block. You know, that is not going to work. So, we need to forget about this way of thinking from the beginning. Now, what's the reality is that every strategy works sometimes. either you're going to call yourself trading like you know Goldman Sachs or uh JP Morgan your strategy is still going to work sometime it's like a coin flip [clears throat] now why most courses fail when it comes to ICT concepts because they do give you a puzzle that you need to solve yourselves which is not even solvable now these are some of the ICT concepts you see we have a lot of them right here and I do have a lot more of these these are some of the ICG concepts when you have a way of trading that has this amount of uh different concepts it's not even a trading plan it's a [clears throat] puzzle so if we have this price action leg here from this point actually from this point to this point and these are the PD arrays these are some of the ICT concepts that could push price lower when price is going up so now think about it this for valley gap Price could go lower. Breaker block. Price could go lower from here. Another fair value gap. Price could go lower. So we could either respect this one or disrespect. We could go to this one or to the fair value gap above. But then we could also go to the order block. Now we could go to these Fibonacci levels. But also one possible scenario is that we're going to just respect all of these and we're going to go to the liquidity. But still maybe we're going to respect this one. So we're going to, you know, avoid all of this and respect this. So you see it's a puzzle and this is why most courses fail because they give you this puzzle, they give you all of these concepts which not to work together. So if you uh learn all of these, you'll be confused on which one to actually look for. Now why I'm starting with the bad things about ICT to save you from wasted time to set real expectations to show you why this course is different to clear the noise so you focus on what actually works. This is what I want you to focus on. Okay. Four things I want you to always remember when going through this course. What's the solution here? We need to stop trying to solve the market and start playing the probability game. This specific rule here, this specific advice, if you apply this to any trading strategy, it's still going to work. It's like a coin flip. If there is an edge of you know above 45% or you know even 30%. If you have that edge and apply this probability advice and play the probability game you'll be profitable just by applying this. But if you are trying to solve the market to solve the algorithm to trade like robots this is not going to work. Now we want to focus on something simple rather than something complex. We want to find something repeatable instead of finding something perfect that only comes once in a year which is not going to be uh repeatable. Uh we want to look for something statistical other than predictive and we want to trade probability and forget about certainty. This is the solution in order to become a profitable trader. Chapter three core concepts. Now there are a lot of different ICT concepts as I showed you earlier. However, there are three concepts that most of the setups that you see on YouTube, most of the different ICT strategies, a lot of them seem different. However, they all share these three core elements. Liquidity, fair value gap or we can you know consider this as a PD array. So, I'm just picking fair value gap because it's the best among them and then market structure. These three concepts you can make and create your strategy of these and you can look for these three when you go to YouTube and look for any trading strategy. You'll see that most of these strategies just share these three elements and you'll realize this at the end when we go to the strategies. Now first of all market structure. Now in my opinion I would say market structure could be actually the most important concept in trading because what is it? What is market structure? It's simply the pattern of price movement over time. So if you cannot read that pattern, then you cannot read the market. Okay? So think of it like stairs. Uptrend is going up the stairs which feels like higher steps each time. Downtrend is going down the stairs that feels like lower steps each time. And then sideways is walking on a flat floor. So there's no clearly direction. Now this is the stair. Uptrend is going higher every time. Downtrend is going down the stair. So a step down every time. Lower steps. Sideways is just doing nothing. Walking on a floor. You'll see you're still staying on the same uh level. So this is the same level. You're still staying here. You're just walking on the floor and it has no clear direction. So this is the three uh signatures of market structure. Now the details of market structure. This is for example a chart. So we have price action chart prices going up sometimes going down sometimes. The details of market structure is that and this is what you need to understand in an uptrend we see. So if I just ask you a question and keep it simple and be logical here. Where's a phase of an uptrend in the market? What is uptrend? Is higher highs and higher lows. It's like when when it comes to a stair, it's going up going uh higher steps. Okay. So, what do we see here? We can see that we have an a high and then a higher high and then another high that is also higher and a higher high. So if I ask you where's an uptrend in this market here, you can clearly see that this is the um uptrend where market is going up. Where's a downtrend? It's this one here. And logically, where's the uh consolidation or where is the sideway sideway move? It's this one here. Because price has been creating highs that are almost equal and lows that are almost equal. So we're staying inside of the same range. This is a ranging market. This is a sideway. This is a downtrend and this is an uptrend. Now these are the details here but logically it's very simple and these are the details that you want to know about the market structure. So when is the change happening in the market section? Because if you remember from the previous slide we had price doing this going up going up but at some point it started going lower and then the trend changes right? So when it changes is this we have two types of market structure. We have the break of structure and we have the shift in the structure. The market structure shift. So we have the break and we have the shift. The break is the continuation type of market structure. The shift is the reversal type of market structure. So two things here. Now breakout structure is when we have a high. So we have price go up breaking above a high. Now we create a new high which is this one here. Price goes lower and then breaks the high again. That is a breakout structure because we are staying inside of the same trend. We are still breaking highs. Now if price continues like this goes lower and then takes the high that is another breakout structure. It's a continuation. Now take a look at this market actually shift. It's a reversal instead. So you see price is going lower. We have a breakout structure. A breakout structure. A breakout structure. Now, this is a low. Where's the high that was responsible for taking this low? It's this one. What happened here? At this specific point, when we go above, we created a lower low. But then we take the last high that we created and then we started a change creating higher highs. And you see here instead of creating a lower low we actually created a higher low and then we break the high. That is a market session shift. If we want to keep it simple it's the break of the last low in the structure or in the last high. So you see this high here we take the low we take the high and we break above it. This is a market s shift in a bearish scenario. It's price going up. take it, you know, uh breaking above the high but then breaking below the low. This low here, that is a market session shift that is bearish. Now, think about it as a crowd walking upstairs. When they suddenly turn around and start going down, that is a market shift. So, you see price or people in this case going up on the stairs, but then turn around and goes lower, that is a market such a shift and it is a reversal here. A breaker structure is a continuation. So focus on these because these are going to be some triggers when it comes to some of the strategies that we're going to go over. We need to see a market such as a shift and sometime we need to see a breakout structure continuation and reversal. Now the purpose of this the breakout structure and the market s shift is only one. It is to give you a high probability range or leg to trade from. That's it. All of these details for this specific purpose. Anyone tells you otherwise, it's all going to come back to this specific point. Any strategy focuses on this. What does that mean? We have a breakout structure here, right? So breaker structure gives you a high probability range to trade off which is from this high until the low where the retracement start. This becomes a high probability range. And why? because it caused a break of suction. Same thing here. It caused a break of structure from this high to this low that is a high probability range. Now, same thing here from this range from this high to this low that is a range that we can trust. Now, we talked about breakout structures which are these breaks to the lower side. However, what happened here? Should I take this one? Now, this is the question you always ask. What happened on this range? what this range did in order to consider the high probability. What are the signature of it? In this case, we can notice that we were in a downtrend and then we broke this high after taking this low and we could be now creating a higher low which is here. Now from here to here before anything happening we see a market session shift. Now this becomes a high probability range to trade off. Price goes lower and then going up. Now we take this low here and we trade from here. What happened after? If you notice price going up just like this. Do we trade based on this? Even though it worked and it's going to work a lot of times but it's not a high probability range that we can actually trust. And why? Because if you notice it did not create any structure uh signature. So not a market shift and not a breakout structure. However, this leg from here to here, it actually created something which is a breakout to the upside. So now from here to here, we can actually look for a creation of a low in order to go higher. So there is a big difference here and the main purpose again is just to find a high probability range or leg to trade from. Now my way of reading market structure is very simple. Now this is a simple way just based on one question and that is question is what phase are we in right now. Now if I ask you here from you know price going higher to here breaking structure and now pulling back. Now you want to ask yourself what phase are we in? Are we in a continuation or reversal? Now continuation means we had a break a structure. Reversal means we had a market structure shift. That is one thing. Now the other question and the main question in my opinion is are we creating a higher high lower higher low or lower low that is our question. Now here when price breaking low and retracing up what are we creating here in this case we are creating a high in order to go lower and this high is a lower high. That is the simple question. Now here after breaking structure and then price is going lower. What are we doing here? What are we trying to make? We're trying to make a low. So we are about to go up here and that is only a retracement. What is this low? That is a lower low because we had a low here. We had a breaker structure. That is a lower low and then we're going to go up in order maybe to create a lower high to go lower. Now in this one here we are going lower breakout structure we went up we went lower. Now here uh before anything happening what we were trying to make here a lower low right and then we started going up. Now we broke the high. What are we trying to make here? Very simple. Now in this case a high going lower and then we're trying to make a low to go up because we had a market such a shift and now the trend is bullish. So that is a very simple way to actually know what to look for. So that is an automatic bias for you either to buy or sell. In this case I'll be selling most of the time. I'll be buying most of the time but you know definitely when we reach a key level and definitely with a confirmation entry. So some examples of reading market structure but the simple and easy way because when we focus on market structure if it's not too clear then we need to ignore it and focus on the clear one the one that we can actually trust because it's about focusing on what is the purpose focusing on high probability ranges and high probability uh price action legs to trade from. Now, if we look at this uh price action here and I'm just going to go like this and then what you want to focus on is one zone that we failed to displace above and then we had a breakout structure or market structure shift and then you want to look for another breakout structure and something like this where we have a clear trend. Now if we start from a point where I can see the structure being a bit more clear instead of something ranging. We can see at this point we have failing to displace above and price only we wicked above one candle and then started going lower. And what do you notice after that? So we've been moving on the general picture. We've been moving up but at some point we have a low here. We have another low and another low. Price closed below all of these. Whenever we have this, this is a market s shift indicating and giving you some signals that we might be starting to reverse. We might have some weakness here and starting to reverse. We have this high which is the highest high in this range and then we started going lower. This is where the pullback started to the upside. Now when we have this because this leg here caused a break of structure or micro section shift for multiple lows and multiple structures that mean it's a high probability range to look for for trades. Now any key level here, any reason to enter you know let's say you enter from here it does not matter okay we're not teaching anything but market structure here what happened price immediately started going lower and we have this structure we have this one here and then we have this one here and if you notice this price action lay here caused a lot of break structures and strong ones too. So now from this point where we started the pullback, we have this external market structure. External means the uh main one. Now this is an internal one where price just moves inside of the previous range that we have. So consider the internal one is where you want to look for the trade. So you see you have this high, you have this low, that is a high probability range when prices go into your entry for example. So this is a fair value gap. You want to look for entry that is you know the uh price approaching your entry is the internal one. And if you notice price gets somewhere. So let's say this imbalance here and then what happened? So if you notice here uh price went lower respected the structure kind of respecting and then started going lower also respecting and here we have failing to displace and then closing below this below this and below this and below this and below this. So multiple structures here broken below. What this creates for us is another high probability range from here to here. This is a range where we can actually continue on the same direction and that is how you understand market structure. This is how you understand you can start from any point and then you just want to make sure that that price action leg did something that price action leg broke structure did a shift in the structure and we can trust that one to trade off. That's it. That is how you understand. And if you think about the logic of my simple method which is asking the question what are we trying to make here? If you notice, we have a high, a lower high, and then a breakout structure. When price was going up, it does not matter where the zone is or anything. You know, when we think about the market structure logic, we're thinking about what are we trying to create now. So, as price was going up, what are we trying to create? A lower high. Because we have a high, a high, and we have a breaker structure. This one is lower. Now, we're trying to make a lower one. That's it. You want to keep market structure simple. Now the second core concept on ICT concepts is liquidity. A lot of different uh definitions on liquidity a lot of them are not accurate and a lot of them are just uh not realistic. Okay. Now in my opinion in simple terms liquidity refers to an area on the chart where a large number of buy and sell orders are clustered and most of them in common sense and in the simplest logic you ask yourself where do we have a large number of orders either buy or sell always and most of the time at highs and lows. So this is a swing point a lot of people if they want to go short they put their stop losses above. So we have a cluster of um orders here and a lot of people who want to go long as well they want to see the breakout above and a lot of people as well when we have the breakout they want to look for the retest here as well. So a lot of orders here we have sell orders we have stop losses and we have buy orders and we have another buy orders when it comes to the retest. So stop losses it's like get me out if price goes here take profit take my profit at this level. So when price comes here I want to take my profit and new entries I'll buy or sell if price reaches here and that is why we have a large number of either buy and sell orders clustered at the highs and lows. Now a lot of people are going to tell you that you know every high and low we're going to have a liquidity sweeps and uh a lot of orders are there so we're going to sweep them and the reverse that is not a logical way and a realistic way to look at liquidity there are two different outcomes when it comes to liquidity two different scenarios that could happen when we attack that liquidity this liquidity here is a fuel right so it either reverses from or it hills displaces above These are the two scenarios. So, not every high or low means reversal. A lot of people just look at this uh way of, you know, reading the chart is when we go to a high, we're going to have a reversal and when we go to a low, we're going to have a reversal. But think about it this way. We could have a breakout structure, right? A lot of time we have a high and we have a breakout structure. So, sometime we're going to have a displacement. Sometime we're going to sweep and reverse. Same as here we're going to go take the high and then immediately reverse after sweeping after failing to actually go above displacing above. Another scenario is displacing above here and then continuing in the same direction. Think about it as a liquidity sweep or a breaker structure. That is the difference. So two outcomes are possible and not only one. It's not always a reversal. Think about liquidity as just another key level very similar to support and resistance levels, supply and demand levels, fair value gaps, order blocks, anything. You know, these are all key levels and liquidity is one of them. It's one of the levels that based on probability we use. We don't know what support and resistance is. We only know that based on probability these zones work sometimes. same as supply and demand. It's not you know uh the by definition it's not a supply area or demand area that institution use but instead it's just an area that based on pattern recognition based on probabilities it works sometimes. So it works sometimes and fails sometimes. Even if we go lower we take liquidity we go up we're still going to take liquidity again and liquidity again. A lot of people I see on YouTube teaching liquidity as if price take that liquidity. There's no liquidity above. That's what they say. And price is never going to take that high. But go to the chart yourself and you're going to see that a lot of time we take a high and we take it again and again and again. So it's not that when a high is taken there is no liquidity. That is not accurate. It just based on probability. It's a key level that a lot of time reverse from. A lot of time uh displaces above. So that is how we should treat it. It's not something that will work all the time. It's not the holy grail. It's just another key level. Now the third concept is a fair value gap. Now as I said fair value gap is part and one of the PD arrays. PD arrays are uh different entries and different key levels inside of a price action leg. We're going to focus on fair value gap for this course. And why? because we want to focus on something specific other than looking at all of the different scenarios when we have one price action league which we call the puzzle. Now what is a fair value gap? It is a small gap left when price moves too quickly. There is no institutions involved. Sometime uh based on the um you know the volume at that area sometime price will go up even without institutions being involved. You know the the way we think about banks you know pushing price higher not not like this you know uh it shows that trading was not balanced there. It means that there was a lot of selling or a lot of buying and price sometimes come to fill part of the gap sometime the whole gap sometime part of it. Now why it happens again sudden news or event sometime yes because of uh news uh large orders hitting the market emotional reactions from traders and sometimes simply normal market mechanics a lot of time when we have small retracements we're going to have a lot of fair value gaps that does not mean that banks were just buying here and uh you know that way of thinking normally it just a normal market mechanics that's it >> in a very simple way. A fair value gap is just a three candle pattern. So if you notice, it's a pattern at the end. It's a pattern recognized by looking at the chart. That's it. And uh people notice that it works sometimes. So what is a bullish for Valley Gab? It's when the low of the candle three, which is this candle three here, is above the high of candle one. So if you notice, this low here is above than this one. it creates a gap. In other words, it's when the high of the first candle does not overlap and touch the low of the third candle. Now, in a bearish scenario, this is a bullish scenario. And it means that sometime price will go lower to retest the gap in order to go higher. And that is why we use it because sometime it actually offers, you know, a fair value. It offers a fair value. Uh I'm not going to buy from here. I'm going to wait for price to come here and then buy. it's going to give me better reward to risk and it feels like a fair value. Now, same thing here. A bearish fair value gap on the other hand is when the high of the candle three, which is this one, is below the low of candle one. So, you see this one is below the low of the candle one. In other words, same as this scenario, when the low of the first candle does not overlap and touch the high of the third candle, that's it. It's a three candle pattern and when we have three candles sometime we're going to have a gap and sometime not. Sometime we're going to have a very big imbalance and sometime it can be very small. So it does not necessarily mean that there was no trading happen at that time rather than you know there was a small range where you know price moved a bit too quickly. Now when it comes to fair valley gap a very important tip is to focus on the 50% level of the fair value gap that is actually going to filter out many weak setups and a lot of time uh you're going to avoid losers and you're going to keep attention on higher probability trades. So if you just focus you know when we have this gap from this high to this low candle one and candle three we're going to look at the 50% of this gap. So, we're going to mark the gap and then take either a Fibonacci or gambox, draw it from the low of the F value gap to the high of it and then uh it's going to show you the 50% level. You want to filter out a lot of the trades and you want to focus on the 50%. That means if price comes to the beginning of the fair value gap, uh maybe not take it. Look for the 50% because even if price reach the beginning of the fair value gap, there is also a potential it's going to go lower into the 50%. And 50% in my opinion gives the most accurate entries. The thing is not all fair value gaps are equal. Some are actually meant to be respected and others are also meant and created to fail. Now I did explain this on the six fair value gap secrets ICT never told you video. So make sure to watch this one in order to have a much better understanding of fair value gaps and also focus on high probability. Actually the purpose of these six fair value gap secrets is to move from just trading any fair value gap into focusing more on the high probability ones. So just a quick disclaimer that a fair value gap before a sweep it's mostly disrespected and inverse. So this is the type of fair value gaps we don't want to trade anything before a sweep is mostly disrespected and inversed. Fair value gap after a sweep is high probability and mostly respected. So we always want to look for fair value gaps and focus on fair value gaps happening after price [clears throat] going into a key level and after a liquidity sweep. This is an example here is that we have this liquidity sweep and we come back to the range. We have a fair value gap here. This one is in blue which is before sweep. This one is in orange and it happened after this liquidity sweep. This one is going to work and this one is going to fail. And same thing here we have price taking the low and then immediately going higher. We had no displacement here. So price just maybe wicked below and then started going higher. We create a fair value gap after this fair value gap before is going to be disrespected and fair value gap after is respected. So we always want to focus on fair value gaps after liquidity sweeps. So putting all together uh the three concepts that we discussed when it comes to market structure the purpose is to define direction. So we look at trend or shift simply continuation or reversal breakup structure or market section shift. So these two things. So we define the direction using market structure. Then liquidity comes and it acts as targets plus key levels for signal. So it tells you when to actually take a trade and then fair value gap we can use it for precise entry and fair value entries after we determine the direction and the signal. We need first to understand what is a PD and what is the PD metric. So in ICT concepts PD stands for premium and discount and what does premium discount means? In any range for example this bullish range from this low to this high that's a bullish range. Now 50% of this range if we take a gamb or Fibonacci retracement 50% which is in the middle that's the equilibrium of the range. Above it in a bullish scenario it's premium and we only look for sells above the 50%. And below it it's a discount area and we only look for buys in the discount in this bullish range for example. So that's what a PD array is. It's a premium and discount. Now what is a PD array metrics? It's an arrangement of ICT tools or levels in premium and discount zones. So there are tools here or zones to look for cells and there are zones also here in an order to look for buys and those zones are used to enter trades as well as find bias or direction. And they can act as magnet for price. So price will usually go to those PD arrays. Starting with the first one which is highs and lows or in other words liquidity. So simply this is the core of the market. This is where the market will always go in order to get some fuel. That's the fuel of the market. So liquidity or highs and lows is the first period array that we have. And in order to understand this we're going to look at this in a support and resistance point of view. Okay. So we have resistance level. A lot of people will think that price needs not to go above this level and then respect it the same as support. But the reality of it is that above this support level which is the swing high or multiple swing highs, we have a lot of liquidity. In other words, we have a lot of orders. So price will usually go above this sweep in other words and then go down. That's a false breakout. And you see this happen a lot. Why? Because we need to take some liquidity. So liquidity can be highs and lows. Just any high and any low. Now sometime we have high probability ones and low probability ones. That's another subject. We also have equal highs and lows which we have high and another high at the same level which gets taken later here. That's a false breakout. Same thing with that trend line. We can use liquidity to enter trades immediately to target and then to find a bias based on those highs and lows. You can literally have a full trading plan based on just highs and lows. When it comes to highs and lows or liquidity in general, if we zoom in on the current price action of Euro dollar, we can see that most of the time when price take liquidity level in this case a high, it reverses because it took liquidity from here while other people are thinking that this should be respected because it's a resistance level. But what's going to happen is price taken that given a false breakout and then reversing. The same thing happening again in this case. We see taking the liquidity level reversing. And we can see that also on the bullish side. We can see that when price takes this low, it goes up. When it takes this low, it goes up. Same thing. So this is an example of highs and lows. Sometime we can have, you know, equal highs or relative equal highs or lows. In this case, we have this low as well as this low. And you see that they're almost equal. And what happened is price taken both here. both lows taken and then the expansion happen and the same thing here when it comes to the bearish side taking this liquidity reversing lower into the second PD array which is a rejection block and what is a rejection block so let's assume that we had for example a resistance level or support level or supply demand whatever and we have for example a supply area where price reacted from aggressively creating big wicks in price action so price was going up creating a big wick which means that big rejection and then another wick. So in two candles we have big wigs. Big wigs are rejection blocks and we can use them when price goes up to the big wicks here which is simply from the highest wick to the body of both candles here. That's a rejection block. Price will usually come back to this rejection block and then rejected from it again. And why this happen? Because the body of the candle sometime can also act as liquidity. There are some people who put their stop losses above the candle body instead of the high and we can see some liquidity also being inside of the week and sometime because of spread price doesn't need to run and sweep the high. It can just go to the body and some people would get stopped out again because either they putting their stop loss at break even or it just taken up because of spread. So big weeks are rejection block and they can be used as entry. 50% of the rejection block is very crucial. So you see from this point to the body that's our rejection block 50% of it is very crucial. Price can come to 50% and react aggressively. Higher time frame rejection block and that's the reality of the rejection block. So higher time frame rejection block can equal to a lower time frame order block. So if sometime you go to the lower time frame you will see that you actually have a lower time frame order block here. It's an order block instead of a rejection block. That's why sometime it works perfectly. However, remember that it's very risky to enter a rejection block. So I really suggest using other period rates especially if you are a beginner because sometime price will just disrespect this and target the highend state. Now as we said with rejection blocks there are big wigs that got rejected from another level. So what we can see here is this big week for example and it's not going to be every time. So sometime when it's not valid that's why I don't suggest rejection block for beginners. Sometime price can actually go above the high and take it instead of considering that period as a rejection block. It can be also a high. But what we can see here is that a big wick that was rejected from a fair value gap. And what happened here is price come into this rejection block and not taking the high but only coming almost 50% slightly above and then rejection. The same thing happening for example here. We get this big wick and what happened is price come in here. The same thing happening here. Here we got those big wicks actually one big and one small. And the same thing also happening here with this big wick and price got rejected from. So when we had big wick that got reacted from another level and it's already way up. Price will come only to that rejection block and not take the low. Now you got to be careful with this again because it can be a liquidity sweeping state. Order block. This is the most popular PD array that we have in the ICT concepts. Now what is order block? is the change in the direction or in other words the change in still delivery. So think about price going up and when we change the direction order block would be somewhere in here. Now what is a bearish order block in this case that's a bearish order block and usually it's a bullish candle. So it's the last bullish candle before the bearish move. We identify a displacement and a very aggressive bearish move. We look for the last bullish move and that's going to be our order block. That's in general there's some specification that we can apply to find the highest probability ones but in general that's when an order block is bullish order block on the other hand and it's going to be what the last bearish candle before the bullish move. So this one now is an order block and price can come back to and then push higher. Same thing here price will go up to the bearish order block and then push lower. I have some videos to find the highest probability order block so you can watch them. But in general that's what an order block is. Now as we said order block is the change in direction. So if we can see that we are for example uh going lower here and then we switch bullish and there was a big displacement that means because it's a bullish move then the last bearish candle. Now this can be an order block. But let's take another example also. We can see that we are going lower and then we switch to bullish aggressively. Now this is bearish candle before the big bullish move. Then that means what? We zoom in here. That's a bullish order block. And you can see after price going up, it comes back to and then it goes up. And this also can be an order block. Now I'm talking about order blocks in general. Sometime I would require an order block to have a fair value gap with it. Another example of order block is this one because we had a bearish move to the downside and that's the last bullish candle. Another example also can be this one here. So you see how we are going up here but before that we had a bearish move which is this order block right here. So the last bearish candle in this case is and I can take the body and you can see literally price reacting of that level. Now same thing can be right here. That's also an order block here. Now I have some requirements for order blocks but just for practicing that can be also an order block here. So it's always the last bearish candle before a bullish move or the last bullish candle before a bearish move. Another example is very nice as you see price coming lower going up and then aggressively going lower. This is last bullish candle before the bearish move. And you see price exactly reacting of that level. A breaker block one of my best PD rays that I trade with. Now what is a breaker block? Let's first look at this right here this diagram. When we have a supply zone for example disrespected what does it turn to to a demand zone right and same thing demand disrespected it's equaling to supply same thing when it comes to support and resistance a support dispersected it turns to a resistance and the same thing resistant disrespected we got support. Now let's take the same about order blocks and breaker blocks. A breaker block that failed and was disrespected it turns to a breaker block and it does the opposite. So if it was a bullish order block then it becomes a bearish breaker block. So breaker block is a filled order block and a lot of people actually complicate it but that's where most of people look for market section shift. You see this thing here market section shift point is most of the time a breaker block. So failed order block. You see how we had price going up coming lower going up and usually it's going to be associated with sweeps rather than breaker structure. So here we see no displacement above this high which tell me that this order block here will mostly be disrespected and violated. What do we define disrespected? It's going to be a candle closure below the order block. So you see how we closed below and then displacement below. We come back. This was a bearish candle before the bullish move which is a bullish order block. It was disrespected and now it's a bearish breaker block. Price comes back to and then pushes lower. So a failed bearish order block is a bullish breaker block. A failed bullish order block is a bearish breaker block. The good thing with a breaker block is that it confirms to you a market shift. So you see this point here, that's where a market section [clears throat] shift is most of the time and that's where price comes to and started going lower. So most of the time you're actually trading with a bias and with a real direction. Now an example of a breaker block but we got to remember that in order to identify a valid breaker block we got to understand what an order block is. If we go and look at this price action on the hourly chart on gold for example we can see here that we had few order blocks. One of the order blocks that we have is this last bearish candle. Then price goes up and then disrespecting that order block on the buy a candle closure to the lower side. Now when I take this because now we have this order block that was bullish. Now it's going to be a bearish breaker block and you see price respecting that bearish breaker block here. Now same thing is also here. You can see that we had for example this order block bearish one. We disrespected by candle closure here and then we comes back too. It might not be the highest probability one but it's still valid. And same thing here in this current price action. You see how we are bullish but the creation of a breaker block then disrespecting that one it turns to be on the other side instead. So you see how we're going up a lower going up we had an order block here that was disrespected price comes back to to push higher same thing here maybe an order block here and you see price comes back to it fair value gap the second most popular period array after order block. So this is also known as imbalance. Now why do we call it imbalance? We're going to know. And why is it a fair value gap? We're going to know. So what is a fair value gap? It's a three candle pattern representing rapid buying or selling pressure and price return to the gap most of the time. So you see it's a three candle pattern. So we only look for this when we have three candles and it is the gap or the space between the first candles week to the third candle wick. So from here to here that's a bullish fair value gap. On the other hand a bearish fair value gap would be this first candle the low of it and then the third candle the high of it. This zone here is your bearish fair value gap and this one will be pushing price lower and most of the time again price will retrace to this. Why is that? Because this is an imbalance. This is where we had a rapid up move that a lot of people trying to buy here and there was an efficiency here. Uh which means that a lot of people were trying to buy and they were not able to because there was only buying pressure here that a lot of the buying orders were not filled. So what's going to happen is price will come back to this area to fill some of the orders and then it's going to go up and it's a fair value gap because it's a fair value compared to buying here. That's a basic definition of it and that's a basic understanding. Now not every fair value gap is a high probability one and it means that it's going to hold. That's why I do have a lot of different advanced videos showing you which one is valid and which one is not. An example of a fair value gap and it's very easy to identify a fair value gap. Now, first of all, you're going to notice that fair value gaps are always going to be associated with displacement. And we also need to remember that it's a three candle pattern. So, we're going to identify it using three candles. What we can see here, for example, anywhere in the price action. For example, here we can see that there was actually a big displacement and most of the time we're going to have a fair value gap. Now, we have three candles. One here, second here, and then third here. So, you see inside of those three candles. So in the candle that is in the middle, what I'm trying to see is if the high of the first candle does not overlap with the low of the third candle, then that becomes a fair value gap. So from this low to this high, that's going to be a fair value gap. And you can see price comes here and reacted off. Now, same thing, we can see that oh actually this is a big displacement. There's big move in the price action. Most of the time we have a fair value gap. And how do we make sure that we have it? I'm going to look at the first candle [clears throat] low in this case and then the third candle high and we're going to see that they do not overlap. That means we have a fair value gap here and same thing here as well as here between any three candles we can find this pattern and there are some indicators that can help you to identify those. So you can just go to the indicators tab and type fair value gap and you're going to have a lot of options inverse fair value gap. Now the same logic that we took with support and resistance, supply and demand as well as order block and breaker block. The same thing applies here. So we have a fair value gap that is bullish. For example, a candle closure below that fair value gap means that we have disrespect and violation of that fair value gap which is going to equal to what? That fair value gap being inverse now. Which mean for example we had a supply zone disrespected now it becomes a demand zone that's the same logic here. So bullish fair value gap disrespected is going to equal to bearish inverse fair value gap. Bearish fair value gap disrespected is going to make a bullish fair value gap. So you see this one here this bullish fair value gap candle closure below that activate this now as a bearish inverse fair value gap and price will comes back to and then go lower. You see same thing here waking above actually inside of the F value gap and then pushing lower. So the same logic as order block and breaker block applies here. Now the same thing with order block and breakout blocks where it's the opposite of each other. The same thing here when we have a fair value gap the opposite of a fair value gap is an inverse fair value gap when it gets disrespected. So for example if we can zoom in here we can see that we have a fair value gap but what happened is price may be reacting with the fair value gap first but what happened after is price disrespecting that fair value gap. Now this fair value gap was bullish when disrespected it acts as a bearish inverse fair value gap and you can see price came back to it. This fair value gap for example was not closed below here. You see we did not close below it. So it is still valid. However, if we just go here to the right, we can see that price was going lower. We had a fair value gap here. That is bearish. But what happened after is price closed above it. So you see this candle here closed above it. And what happened after is price coming exactly to that inverse bullish fair value gap in this case just right here reacted of it and go higher. Mitigation block. Now let's remember what was happening with the breakup block. It was price sweeping liquidity and then disrespecting the order block. So we had a liquidity sweep or simply a higher high here. In this situation, mitigation block is the same thing as a breaker block. But instead of having a liquidity sweep or a higher high here which price goes up. So we had a higher high. In this case we have a lower high or in other words failure swing. So price failed to take the previous high and then sometime because of an SMT and if you have no idea about what SMT is I do have a lot of videos. So simply price will not take this high and then disrespect this order block. Now this becomes a mitigation block and the same thing disrespect is equal to a candle closure. Now what do we see here in this price action? An example of a mitigation block is this move here. You see price going lower higher taking this low going higher and creating a failure swing here. So you see low higher low. So failure swing then here is an order block that we have. What happened here coming it to once twice and then three times four times. So a lot of touches but still price respecting that mitigation block. Now same thing here also you can see creating this low failure swing here. this mitigation block here holding price higher and the same thing between this low and this it's a failure swing. We have this price comes back to it and then go higher and in this move you see how we were going lower then higher creating higher high and then pushing lower. This is now is a breaker block but when looking at the other one the other move this is to the upside failure swing going lower that means we have a mitigation block here. So that's a breaker block and this is a mitigation block. That's the difference between the two volume imbalance. A very very simple trading concept and a very simple period but really significant and you will see that price a lot of time comes to those volume imbalance because they act as magnet for price. So you will see most of the time price will come back to those zones the volume imbalances and it's going to react and it's going to give you precise entries. But let's discuss what is a volume imbalance. So when we were talking about fair value gaps, it was a three candle patterns and we were dealing with wicks or you know low of the candle and high of the candles. In this case in a volume imbalance, we're looking for a a two candle pattern and instead of wicks, we're dealing with bodies or opening prices and closing prices. So in this case, you see we had this bearish candle closes here. That's the body of the candle and this one opens here. But instead of opening at the same level which is supposed to happen, right? Because we have a candle like this, we have a candle like this, the closing of the first candle should equal to the opening of the next candle. But in this case, we have closing here and opening here. There is a gap between the closing and opening of two candles. That's what a volume imbalance is. And again, price will come here. You could have looked for an entry on the lower time frame to push lower. Same thing here. A bullish volume imbalance. It's the gap between two candles buddy. So you see this buddy here and this body price will come back to after some time in the right time and then it's going to push higher and this happened more in indices more than forex pairs. What we can see here is price closed here for this week and next week open here. There is a gap between the closing price of this candle and the opening of this candle. Zoom in and you can see that price immediately on the next week comes back to this volume imbalance fill it and go higher and same thing we can see here for example there is this volume imbalance from here to here and price comes back to start pushing higher now there is also one that is here you see from this closing price to this opening price there was a big big volume imbalance and what happened is immediately next week price comes back and fill you know big part of it and then pushes higher and then after a few weeks fill it fully and then also react from it here. So see it's a very major level and also price is coming back to it. Now what if I told you that you only need three ICT concepts to become profitable. ICT often comes with an overload of information much of it unnecessary. Now, starting with a quick disclaimer at the beginning that those concepts are very essential and without them, you're most likely won't be profitable if you use those concepts with other confluences that I'll maybe mention some of those at the end. And mastering and practicing those concepts maybe a thousand times is better than knowing a thousand concepts. And that's what the main objective of the video is. So, we're trying to master those concepts, focus on them, especially for beginners. And I do have specific videos about each specific concept of those and you need to master each concept in order to make money. So it's not the basic understanding of those concepts that will make you money on the long term but it's about mastering those. It's about getting the experience of those. Now starting with the first concept and that is liquidity. I mean it's the fuel of the market. It is where price goes to every time it moves from a liquidity to a liquidity and it should be the main focus and the main concepts to master at the beginning. Now if we talk like beginners what does liquidity mean? Now when we look at any kind of price action we can see that we create highs and lows in different you know places and zones. Now any high and any low there are actually a lot of different orders above and below highs [snorts] and lows. Now what does order means and what are the different types of order? Now now an order can be a stop-loss. Imagine that price is actually moving to a resistance level here and price reacted from here going lower. You'll see that a lot of people taking action and entering from somewhere in here or somewhere in here and somewhere in here. Now, think about what the masses think. Think about what most people think. They're going to be focusing on having their stop losses at invalidation points. And one of those, and you know, the most popular one is above a high. So, a lot of people would have their stop losses above the high. That will create a lot of liquidity here. In order for price to move in an expansion way above or below, it needs fuel. And that fuel is the liquidity. and it is the orders here. Now when price for example goes above this high it's going to take the liquidity of the stop- losses that's the first type of liquidity we have. We also have people who are entering or who are trading breakouts. So they're going to have a buy stop here. Buy stop means if price goes above this point then I would enter immediately and they have their stop losses here. And there are people who are also having sell limit here. And why? Because that's a resistance level. And I wanted to enter here, stop loss here. So you see how the liquidity is what is moving the market. You'll see people having liquidity on this side. And that's when price takes that liquidity, it goes higher. And there are also people who are making money here by having a buy stop order to go higher. Now think about this. You'll see a lot of the time where price actually just go and sweep a low. So it just basically kind of a give a fake out below and start going higher. What does that mean? That means anyone who is looking for a breakout is trapped here and then getting stop-loss because the trade that breakout traders looking at is something like this. It's a short stop-loss maybe somewhere in here and then looking for a breakout. What happened is trapping people and then hitting their stop losses here as well as people who were already going long from somewhere in here and having their stop loss here. It's also hit and then price goes up. So master liquidity concepts can actually guide us to know where to enter where to have our takerit and sometime also can helps with where to have our stop loss. Now this liquidity that I'm looking at here is external liquidity which are highs and lows. There is another type of liquidity which is a fair value gap and I do have multiple videos about it but that's going to be the other concept that we're going over. So understanding liquidity we can know where to enter but not any higher low we can enter from. Let's assume that we have something like this where we have a high here we take that high and then we start going lower. Now we have two scenarios either we continue to the lower side or we can actually push to the upside. So, how do I know which direction is most probable and when to pull the trigger? Like when I'm expecting price to just keep going lower and where to enter. Now, the thing is when price takes that liquidity level, I need to see something that is happening here especially in the lower time frame. So, let's assume that this is the 4hour time frame. In the lower time frame, I want to see something that can give me an indication that we are on the right direction. And most likely this is actually a liquidity sweep and not price just breaking above. Now what is that? In the lower time frame we need to see market structure and that is our second concept for the day. One of the most essential concepts in the ICT. Now what is market structure? It can be actually divided into two types. Now let's look at this kind of price action. What do we have here? There is two types here on the market structure. There is the break of structure and there is the market structure shift. What do we see here is that at this point what we had is a break of structure. Now why is this a breakout structure? Because with a trend as we are bullish we had a break of a high. Same thing here. This is a high. We pull back and then we break the high. You see how we are with a trend. Breaking highs in a bullish trend is a breakout structure. Breaking lows in a bearish trend is also a breakout structure. So, same thing here. You see how we are bearish. But before that, what makes this now a bearish trend? Why is this a bearish trend? Because you see how this is a low here followed by a breakout structure. Same thing here. Low followed by a breakout structure. What happened here? Instead of creating another breaker structure to the upside, what happened is breaking that low and closing below that low. At this point here, this is the market structure shift and this is what we need to see when we have a liquidity sweep. So let's say we have something like this liquidity sweep in the 4our time frame for example. What I want to see in order to confirm this is a market section shift on the 15 minutes for example. Okay, so that's what I want to see on the lower time frame. Now we had that market structure shift. Another confirmation is also the other breakout structure. So you can look for an entry here or look for an entry here or maybe also another one here. But most of the time you'll be looking and that's the most rewarding one but the most risky one. But most of people actually look at this entry which is after the market section shift. So this is what happened. We get that market section shift and then how do we confirm first that this is a valid market section shift? We want to have something that is inside of this price action link that can first validate that this is a valid market s shift and give us a refinement and a valid zone to know where to enter from. Otherwise, if we're just looking at this market s shift, we don't know where exactly to look for an entry. So, we need a zone to look for to sell. Right? The zone can be this big, can be this big or it can be here, you know, slightly above or below. What is this zone here? That can take us to the third concept and really one of the most important concepts that you can master in trading and it can tell you the direction. It can be used as liquidity levels. It can be used as entry confirmation and it can be used as targets. All of those things can be there in a PD array. So what is ICT PD array? I do have a full video explaining all PD arrays, all different ones in only about 20 minutes. So you need to watch that video and it's going to be suggested and also in the description. I want to see most of the time a fair value gap. Now we have different types of PD rays, but what we want to focus on is a fair value gap. What is a fair value gap? It's actually a three candle pattern. And let me show you an example of that. I mean if we go to any pair on any time frame you will see that a lot of the time we have something like this where we have first candle second candle where it is actually an expansion and big candle and third candle here. Now the gap between the wick of the first candle to the wick of the third candle. You see how they do not overlap with each other that means we have a fair value gap here. And you see how price comes back to it and then goes lower. Same thing here. See how we have this gap between the first candle and the third candle wicks and that's where price reacted from and you're going to see that price actually respect those zones over and over. That's what a fair value gap is. Now in that price action lick I want to spot a fair value gap somewhere maybe here. This fair value gap now is the one I want to enter from. So, I'm going to have a sell limit around here and then stop loss above that liquidity sweep in the lower time frame and then stop loss goes either around another level of a liquidity or a fixed 3:1 for example. Those are the three steps you need in any strategy. But you need to master this. You need to focus on this. You need to build confidence and build experience. Without experience, you're not going to find the perfect one. You might be looking at just, you know, a pattern by itself with no experience. But you need to involve experience to know which one is valid and which one is not. Right? So, uh based on experience, I can say that oh there is a liquidity sweep. Maybe there's a fair value gap here. This one is valid. And I can sometimes says that this one is not valid and it's going to hit stop loss. How? By experience. Now looking at pound US dollar this is the 4our time frame. If we're using the 4 hour as our higher time frame we can use 15 minute or 5 minute time frame as our lower time frame. Now just to show you how liquidity sweep is very major thing in the chart. You see how this high where there's a lot of orders here and there's a lot of stop- losses. We take that one and maybe we close above it one or two candles and then we push lower. Same thing here. We only sweep this one. We push lower. Same thing here. Same thing here. And it keep happening over and over. I mean you can see it everywhere. Why is that? Because liquidity is the fuel of the market. It is what makes the market move. It's money. Liquidity is money. So if we look at this actually liquidity that is happening right here, we see that we did not close below. If we move immediately to the 15 minutes looking for what? So we discussed that first of all we look for liquidity and this can be external or internal. So we can actually consider also fair value gaps. You see this fair value gap here. We can also look for a market such a shift inside of it. But for now let's focus on the external. I do have all of the videos you need about all of the other concepts. And if you want to take trading to the next level, you need to master this first and then go and watch my other videos. There are a lot of things that will just take you from this beginner level to the advanced level and things you might not even find in premium courses and courses that you'll pay a lot of money for. So you're going to be starting with liquidity and then market structure and then PD arrays. So those three things in this order. Now looking at this liquidity sweep here that we have is this one. We're going to 15 minutes and let's look at what is happening here. what was happening when we sweep this liquidity and remember that you don't actually need market s shift all the time but you as a beginner you need to stick with market s shift and why because it's going to lower the number of losses that you're going to have it's going to only give you kind of the confirmed entry because you can actually take all of those entries with no market s shift and I already explained this but I want you to stick with the market s shift what we can see is that as we are approaching this level of liquidity What we had is this high low and then high this major high and then taking that low. Now we are still in that bearish trend. Now in order to switch from bearish to bullish we need to close above this last high and what is going to happen is something like this. Imagine we're going lower creating this high breaking structure breaking structure and then eventually we go and we do this. Most of the time this is a market s shift a valid one especially when we are in a a higher time frame zone we can now expect a higher prices and a bullish trend. So that's the objective here. Same thing here. Now in order to validate this as a displacement and as a move to trust and as a valid market s shift what we can do is look at this price action link. Do we actually have fair value gaps here? If yes, then that's a much better micro shift. And in this case, we have a lot of fair value gaps. When you have a lot of fair value gaps and you're being confused at which one to take, then take your Fibonacci with only 50% and you can enter at the 50% that's going to give you higher probability of price coming to you. Or you can place it at fair value below the 50%. So either this or this. For now, what I'm going to do is place it at the 50%. Stop loss goes below the low and then what we can target is maybe 2:1, right? And that's going to be our trade playing the price action. Can see that we reacted off the 50% and just going to 1 hour time frame to make it faster. So you see we're going up still far away from our entry and then hitting the yeah kind of hit the takerit. I mean give it some time. There you go. So that's a valid trade and that's a one confirmed after my cases shift again. Price comes back to our entry and then shoots up and you see this could have been 6 to1 maybe if you were staying on this one and you're targeting another liquidity for example right here that's a 5 to1 if we target this liquidity level. Now another example on gold and this is going to be about internal liquidity which is a fair value gap. So you see we are going up coming back to this big fair value gap here we can expect price because this is a bullish fair value gap we can expect maybe a move to the upside after but how do we confirm this we go to the lower time frame in this case let's go to 5m minute time frame now on the 5m minute time frame what do we have is price coming lower going up creating this high and then breaking the low here so that's the last high that we need to see price break above in order to confirm a market such a shift. But you don't need this every time. You actually do not need a market such a shift. You do not need price to close above. Why? Because not every time price will, you know, give the market shift and will come back to you. So another way of confirming that we have a change in the market structure is by creating a displacement with a fair value gap. So a fair value gap that is big. Okay, that confirms that we have now shift the orderflow from bearish to bullish. So, it needs to be a fair value gap created. Now, let's play the price action and see what do we get. So, you see so far there's no fair value gap. So, we have nothing valid. You see how it's all small move. We have no big fair value gap in this case. So, all of this is invalid. I'm not entering off any of this price action. See, we're going lower. And then here we get a strong candle and we create a fair value gap. This fair value gap. Now you see how this move is bigger than most of the moves here and this prov gap is the biggest. We can actually confirm an enter of this fair value gap maybe at the beginning or 50% of it. So let's say here stop loss goes below the low and what you can target is those liquidity levels here. So for example can see that we have all of those relative equal highs or this kind of trend line liquidity. So targeting those levels of liquidity you can see that play the price action we come back to the fair value gap and we start pushing higher maybe playing this on the 15 minute time frame or the 1 hour just to make it faster. We can see that we reacted at that fair value gap and then we pushed higher after and taken all those liquidity levels. We can actually also, you know, extend the takeprofit to another liquidity level if we're looking for continuation. This concept, in my opinion, is one of the most important ICT concepts that you need to master and it will help you with finding daily bias, getting a higher reward to risk trades, getting a higher win rate, knowing where to put your takerit, getting sniper entries, and much much more just based on this concept. Want to know how to look at the market in the right way? Let me show you. The first thing that we got to cover on this lecture is why price move. And I mentioned this a lot of the times before and I always repeat it. Why? Because as much as it's so basic, but it's a real thing, right? If you go to the chart, you're going to see that price will only do one of those two things. That's always the reality. However it takes, but it's going to be only one of those two. Either rebalancing fair value gaps. So simply we have a fair value gap price will come back to it or it's going to seek liquidity. So basically it's going to go and take highs or lows. One of those things is going to happen on the market. That's it. And some people say you know price coming into equilibrium. And that's actually one of those right price coming into equilibrium is going to either seek liquidity or rebalancing value gap. So those are the only two things that price is going to do. And I will show you on any chart on any time frame. If you look at the chart and if you meditate on the chart, you're going to see that only two things that happen. Now looking at this daily chart, right? This is Euro USD the daily chart. What we can see here? So starting from any higher low, any dealing range. Now even if we take a random higher low, you're going to see that price will always do the same. Now this is the current price action on EuroUSD. If we start from here all the way to the left, what we see is we had this fair value gap. I simply filled the fair value gap took this low took this low taken this high right coming lower. We created a fair value gap but we took this low. Now as we're coming lower what happened is we took this high we filled this fair value gap right? We came back to this. We took this high. We came to this fair value gap all the way right here. Right? But we kept going lower. We create another fair value gap and that's where price respected. So simply what happened here is respecting a fair value gap taking a low respecting a fair value gap taking a low. Now coming lower what happened also is taking a low and respecting a fair value gap or you know at least filling a fair value gap going up from here another fair value gap being filled. Going up taking a high uh also uh you know there was a fair value gap here that is also filled. As we're going up, we took this high. We're coming lower. We took this low. We took this high. We're coming up. And what happened here is filling of a fair value gap and taking a high. So you see, we respect this fair value gap. We took a high. Now again, the same thing. We took this high, we came into a fair value gap, we took this high. And it's always the same thing. And even this fair value gap, we came back to it in a while. We took this high again. And then we're coming lower. We also took this high. So even after some time it's going to be the same cycle. Now what happened here is also filling a fair value gap taking a low filling a fair value gap taking a low. That's the move that we're going to learn about in today's lecture. But but as you're seeing here price only does two things right? Filling a fair value gap taking a high. And we're going to discuss the external and internal both moves. And you're going to know that as price is doing two things it's also moving in two directions. And we're going to discuss this on the next slides. And based on this, it's simply price filling a fair value gap, taking a high, filling a fair value gap here, taking a high, filling a fair value gap, and taking a high. That's the cycle of the market. Now into external and internal liquidity. This is the core concept of today's lecture. We're going to know what external is, what internal is, and we already know what a liquidity is. But in any dealing range, we have a dealing range that is, you know, a low that took a liquidity and a high that took liquidity. We have this uh external high and we have this external low. So on any range when we have a high, I mean a high and a low, then that's our external range. That's our external liquidity and external liquidity. anything inside of this range. So, anything in between this high and this low, that's all internal. Now, you ask yourself this question. What do we have inside of the range? What do we have inside of the range? On the same time frame, we have fair value gaps. So, in the same time frame, as I said, we have fair value gaps, but on a lower time frame, we have other highs and lows. We have another liquidity level also or other liquidity levels inside of the range. And what are you going to know? Why are we ignoring those levels of liquidity and only focusing on a fair value gap as our internal liquidity? You're going to know this on the next slide. So, make sure to stay tuned. So, basically, as a general rule, we have this high, this low, that's our external range. Anything in between is internal. Highs and lows are external. Fair value gaps are internal. Now, you also need to know why did we focus on fair value gaps as our internal structure, our internal liquidity. And we forget about all of the small or you know the lower time frame highs and lows only because of one thing that fair value gap is nothing but a liquidity. What does that mean? This is a 4hour chart. If we look at this three candle pattern which it created this fair value gap here that's our fair value gap. This is in the 4 hour. Now if we just look at the 15 minute or any lower time frame that we can see the structure or the fractal uh of this fair value gap would happen inside simply on the 15 minute this low or you know uh first candle second candle third candle. So the in a bullish scenario the low of the third candle of the fair value gap is going to be nothing but a liquidity level. So that's a liquidity level actually. That's why fair value gap works because there are nothing but a liquidity sweep here and then going up. That's all. Now we're looking at the 15 minutes to the right. What we see is this is where the fair value gap was created. But what we see is and you know this is price actually trading into the fair value gap on the 15 minutes. But as price came up created this fair value gap on the 4hour because we we're not able to trade inside of this range on the 4 hour. But what happened is price going up coming lower. We did not trade into the zone. That's the low the same as this one. That's the low of the third candle in a fair value gap. That's actually the low. So it's literally nothing but a liquidity level on a lower time frame. the price will sweep this liquidity level maybe into an order block and then started coming up. That's all what a fair value gap is. That's why fair value gap is working and that's why I say liquidity is everything much more important than fair value gaps. Now at this point we know that price either seek liquidity or uh fill an imbalance or rebalance the fair value gap. But how price move? There are also two ways that price moves and it happens over and over and again in different time frames. Any time frame we can actually see this. Now we got to understand first and we already discussed this before and I give the general rule of external is highs and lows of a dealing range. Internal or fair value gaps. We got to know that price will only move in two different ways. External to internal or internal to external. What does that mean? As we're going up, we were actually going up here. We took a level of liquidity, let's say to the left, and we're starting to come lower. Now, in the blue, this is actually a move of external to internal. So, we see how price was coming from this external liquidity coming lower to where to the internal. So, now we know that that when we take a liquidity level, then we usually retrace into a fair value gap. So the right way or you know the right spot to place your takerit when actually taking a high is placing or you know taking profit at the fair value gap. Now on the other hand and this is on red we're coming from this fair value gap but you know getting respected from the fair value gap and going up. Now if we get an entry here what do we target in this case? We're not going to be targeting a fair value gap. If you want to maximize the profit and capitalize on this concept, then you target the external liquidity level because we're going from internal to external on this move. So it's always like this external to internal, internal to external and then again you see internal to external and it happened over and over. That's why this uptrend for example is nothing but a move of internal to external internal to external. Breaking a high is external retracement into the range again is an internal move from that range or you know from that retracement into the range going up and breaking a high that's a move of internal to external and it happens as I said over and over. Now you don't need to just take all your profit here because sometime we anticipate a breakout structure which is price displacing above a high. So make sure you know what you're doing based on this. You know how to actually differentiate between a liquidity sweep and a breaker structure. But simply that's how price moves internal to external external to internal. Fair value gap is an internal and highs and lows in a dealing range are external liquidity. That's the move of the market. We're going to learn how to find daily bias. We're going to learn how to uh find a high reward trades only using this concept. Now, if you want to find your daily bias. So, a lot of people struggle with daily bias. Daily bias doesn't mean only focusing on the daily time frame. Daily bias is a concept just telling you if you are with a trend or against a trend. So, be sure that you can actually use it on any time frame, not just the daily. But for this time, we're looking at the daily time frame. And I just want you to see how we are able to actually uh determine and find our daily bias on the easiest way. Now we know that price moves external to internal internal to external that's the the move of the market. Now what do we see here is we can see as price coming lower we are looking for a retracement right now in this dealing range from this high to this low. Now, why taking this pair value gap, the extreme one, and not this one? Because this [clears throat] is literally at the low of the range. You don't go long from here. That's why I'll be considering my dealing range from here to here. I'm not going to only look for this one and uh you know this high and this low. It's going to be against the logic. And why? When I have a big range that is created and then I have another small one, usually the small one will be nothing but an induced. Okay. So that's why I was looking for this fair value gap. As price is coming up into the fair value gap getting a respect on the lower time frame and there is a change in delivery on the lower time frame. I would know that most of the time if this fair value gap is being respected and there is a lower time frame market such a shift I would know that I'm now going from internal to external. What is the external range uh or you know the external liquidity? It's basically this one. So now from here from the internal I would be only looking for shorts all the way to where to the external liquidity. So my bias would be going short for all those days. All those days I'll be nothing but going lower. Now as price coming lower we actually broke below the low right and the price decided to actually uh you know go lower and now we are retracing back into what the internal liquidity after you know there is uh changes delivery right here you see we have the one here we're starting to come up now if you took a you know a turtle soup entry from here then I'm not going to be actually targeting this high or this high I'll be only targeting the internal liquidity and this is also an overlapping P area so we have a low inside of a fair value gap that's a good place to actually enter a trade from you see we got respected here changes to delivery now where do I go from this point all the way to this fair value gap my bias was going up at this point we're coming lower all the way toward the external and you see it repeats over and over first coming into the internal coming back into the external My bias was going up here. My bias is going lower here. And as I said, it repeats over and over. It's always the same. It's always the same. So this is external and fair value gap is internal. You see internal coming to external. Internal coming to external. Internal coming to external. It's always the same cycle over and over. So you could actually find your daily bias, find your direction to be with a trend using this method of the external to internal move or the opposite internal to external. How to get a higher win rate and a higher reward risk using uh the concept of external and internal liquidity. Simply instead of targeting just any higher low or targeting any internal liquidity. Now, we know that when we're coming into internal, we're going to be targeting external and we're coming into internal. We have a model here. We're not going to be targeting this low and just be satisfied with two R. What we can do is not even come into this valley gap. We'll be looking for this low. Why? Because now we're having an internal move to the external targeting this low. Ultimately, this low. That's why as of now, what do you expect? simply price to you know if we get uh a lower time frame confirmation here we're going to look for this low to be taken and not just this valley gap to be respected or this one or just this low to be taken no it's going to be ultimately this low and this is what we actually see structure or basically external taken price coming back into internal and on the 5 minutes as price is coming into the sphere valley gap what we saw is simply a market session shift price coming into the point of interest leaving a fair value gap where we could enter from it. Now this is the fair value gap on the higher time frame. This is where we enter and then after that targeting not this fair value gap not this one but ultimately this low and maybe more and you see that's where actually price went. Now understanding this concept the external to internal and internal to external will give you confidence to actually target this low. Now based on the same concept external to internal internal to external another example what we're having is you know we had internal perspected going to external now we have external and another external now we're going to go to internal and we have actually this fair value gap there is another one below but most likely this would be left you understand the breakaway gap concept then we have this fair value gap now what we're expecting is price coming into this internal and going what external that's why we need to look for a lower time frame confirmation right here and that's what we're going to do that's actually our fair value gap on the 1 hour but now we are on the 5 minutes and that's our high the external liquidity on the uh 1 hour so now what we see is we're having this external to internal and now internal to external now looking at this fair value gap and looking for a lower time frame confirmation you could be taking this first fair value gap as your entry or this changes the delivery any of those entries. stop loss below the low but give it some room for price to breathe at least cover the low of the uh first candle or the fair value gap and then entering from there not targeting this high not targeting this high not targeting any fair value gap in here but ultimately this and sometime price will be actually displacing above and this one it could give you the double if you were uh able to spot this breaker structure here instead of just considering at a liquidity sweep. So if you were able to anticipate this breaker structure, you could actually uh be able to get more rewarded risk out of this trade. That's how you can get as I said higher win rate because you would know where to actually look for your trades, what point of interest and then how to get a higher reorder risk by knowing what to target internal or external. Liquidity is all you need in trading and it can literally provide guidance on every aspect of trading. I'll go over eight ways it helps with examples. The final tip could be why you're losing trades. Let's begin now. Starting with the first thing that liquidity indicates price direction or in other words the draw in liquidity. So simply by understanding and mastering the liquidity concepts, you will know where price is heading to every single time because liquidity acts as magnet in the price action and it also acts as fuel or gas stations because liquidity is the fuel of the market. Price needs to go to those liquidity levels in order to grab some fuel and then hit to the other direction which is another liquidity level. We need to understand that liquidity can be external liquidity or internal liquidity. External or highs and lows and internal liquidity is fair value gaps. If you have no idea about those terms, then make sure to watch my other video, especially my PD arrays video. Now, if you go and open any chart, any chart you have, and I'm using the weekly for now because I don't need to look at the details much. I want to see the big picture. You see if we started from any point in this chart. So let's say at this point I'm starting at this point and I want to know where price is heading to. What I'm going to do is look at liquidity levels that we have here. So we can say first of all is this liquidity level and that's where price reach. Another liquidity level is this one. This pullback here. That's one. And another one is this one. So I'm kind of sure because we reacted of this internal liquidity. We're most likely going to external now or another internal. What happened here is price going up taking this liquidity level. Now after taking this liquidity level, where are we heading to? Do we have any other liquidity level to the lower side? Yes, we have this one. Now another time price goes and take the liquidity level that was just created here because price was not ready to go lower. Now you see we're heading from this liquidity level to this liquidity level and from this liquidity level to the other liquidity levels above which is this one. as well as this one. And I'm only focusing now on the external liquidity. When we look at internal liquidity, you see how we have this fair value gap which after taking this external, we're coming back to the internal here. And what happened after testing that internal, we're hitting to the external. And what happened after? From the external, we're actually coming back to the internal, which is those fair value gaps here. And then what happened after is we're heading from this internal to the external here and also to the higher the range here that we just took now. So what do you expect now in the British pound and the US dollar is we are coming back most likely to this for valley gap which is the internal liquidity maybe somewhere in here to equilibrium or 50%. And then we might push higher to the external again if we have enough confirmation. Otherwise we might take this low or this low or another lows in this curve here. So that means liquidity is magnet for price action. Any relative higher low that is relative to the range that we're having now can act as a magnet to the price action and we can actually target that or wait for price to goes to that look for confirmation and then enter of it. Look for confirmation inside fair value gaps targeting the external highs or look for confirmation at the external highs and look for retracement to the internal liquidity which is fair value gaps. What can you also get from liquidity? Liquidity is actually the first step for A+ trades and A+ setup. So if you are focused more on trading high probability setups other than just trading any setup that you have then liquidity needs to be the first tip that you implement and you apply in that setup to make it a plus and I follow that rule that I have no rate or no liquidity sweep then I have no trade. That's the first rule that I have because either it is internal liquidity or external but I need to have liquidity in that setup in order to make it high probability. And why is that? Because if I don't have liquidity sweep, then I might enter and then get that liquidity sweep which hit my stop loss because it can be a trap for me. So the rule is no liquidity sweep that means I have no trade valid. So any setup and any strategy you trade either support resistance either supply and demand you need to always wait for a liquidity sweep that happen on your direction to confirm that this is for now is a strong low. for example or if it sweeps a high here that's a strong high most likely after it breaks structure so I need to apply that and even if we apply the simplest strategy ever which I always you know take an example of which is the engulfing candle remember that if there is no liquidity sweep it's not valid so you see how here we have liquidity sweep we get that engulfing candle in this case it is valid why because we have a liquidity sweep so even if you use engulfing candles by themselves then this is the way you need to align them with liquidity sweeps. Now in other times you will see that they don't actually work when we have no clear liquidity sweep. So for example here you see how we have this high and we don't take the high here and we create an engulfing candle then that one is not going to work and why because we don't take the main and the major liquidity level. Now even if you trade fair value gaps also there are internal liquidity but you want to align them with another higher low being swep. So for example if we have a fair value gap here going to the lower side. If we have no liquidity levels here then most likely the liquidity is going to be that high and it's going to take that high. On the other hand, if we have something like this, other than this, we have high created here and then we start going lower and we have some sort of liquidity here. When coming to that fair value gap, it can be valid. And why? Because we have those liquidity levels here taken. So, we have liquidity taken that means the PD array can be valid. And that's going to be, you know, I'm going to go more on details on this one in the next slide. Liquidity can also show you which PD arrays will be respected. What does that mean? Let me show you. Now, when looking at any fair value gaps, any order blocks, especially order blocks in this case, because they're going to be, you know, very close to the liquidity levels. But let's talk about fair value for now. So, when we have price going up like this and then coming lower, creating a fair value gap here. The first step we need to validate this per valley gap is looking at this high and looking at if we swept a previous high and a very major high not just any high a very major high that we can expect price to reverse from. If we had a sweep then this makes this PDA much higher probability. If we have no liquidity sweep for example we had in the previous price action we had something like this and then we start going lower. You see how here we had no liquidity sweep and we had nothing major here. In this case, what we can expect is price to disrespect this fair value gap. Now this is not the situation every time. But if you apply this and only focus on the fair value gaps that were created after a liquidity sweep, you'll have much higher probability. Now how do we see this on the chart? This is the 4hour gold chart. I mean if you look at an example here see this F value gap created here we look to the left and did we sweep and I don't want to see any displacement uh you know above a high we can see that we actually swep those two highs relative equal highs or failure swings we swept here and immediately we create that fair value gap. So this is now is a valid fair value gap here because we swept. On the other hand, if you see here that we were going up, coming lower and then going up. Did we sweep, you know, for those fair value gaps here? Did we sweep any major low before creating that fair value gap? Not really. There's nothing. That's why those fair value gaps were not respected. And it's also because of this liquidity sweep here. It makes this now less probability. Overall, there's no liquidity sweep here. That means this is a weak one. There is a major liquidity sweep here. That makes this per valley gap much higher probability. Now there is nothing as 100%. You'll see sometime that we might not actually take any liquidity level. For example, here maybe create a fair value gap but still get respected and sometime we will take liquidity levels but don't get respected. But the main thing is we want to be on the side of the higher probabilities. Even though sometime whatever we're following is not going to work but we are on the higher probability side. We prefer to stay with the liquidity sweep fair value gap because it works more on the long term. Now we talked about PD arrays and how to confirm them using liquidity. But how do we actually identifies manipulation PD arrays also by liquidity? It can also do that. How? In order to confirm a high probability PD array that's going to work, we're going to look at liquidity sweep that happen before the creation of the PD array. On the other hand, to identify manipulation PD arrays, we look at liquidity sweep happening after the PD array. Let me show you an example. So let's say that we have price going up and then reaching this point and we had a bullish fair value gap that is created here. Now there is no liquidity sweep here or you know if there is one let's forget about it for now. If price sweeps a liquidity level here that is after the creation of the PD array most likely that's a manipulation per value gap or manipulation PD array in general. Let me show you how because what we do is we looked at the other way in order to confirm a high probability one but we look at the opposite way when we look for a manipulation fair value gap. Remember that what we say is that we need a liquidity sweep in order to confirm this as a valid fair value gap. Something like this because we had a liquidity sweep prior to the creation of the fair value gap. We're going to look at this in the other way. Let me zoom in. Before this liquidity sweep, did we have a PD array? Yes. This is a bullish fair value gap. And then after that, we had a liquidity sweep. This liquidity sweep here invalidate this fair value gap. makes this a manipulation for valley gap. What does that mean? Price might come here, maybe give a small reaction on the lower time frame, but it's going to be disrespected. All of the liquidity here is going to be transformed here to go lower. This fair value gap is only being created in order to push price lower and not higher. It's totally the opposite. Let me show you another example. This fair value gap here, you see how we're going lower and we create this fair value gap. Now, you ask yourself this question. after creating this fair value gap. Did we sweep liquidity level? We sweep this liquidity level and we're coming into this fair value gap here. So that means this most likely will be a manipulation fair value gap. And you see how we gave some reactions from here, some reactions from here and also maybe some here and then we just restricted it. What happened after is we came to it because it it's inverse now. It acts the other side. It's pushing price higher. All of the liquidity here is used to push price higher. A lot of traders are trapped here with their stop- losses maybe above the fair value gap or maybe somewhere in here above a high but all traders going short are trapped here because this is a manipulation fair value gap. And how can you identify one by using liquidity? You see how it acts the other way here pushing price higher. Now one final example let me show you very quick. See how here we swip this liquidity level, creation of a fair value gap before because we did not actually displace much below this and it's a liquidity sweep. That means this is a manipulation fair value gap and you see how we get some reaction of it but then eventually we closed above it. We come back to it. You see the retest here and we just start pushing higher from there. And you can see this everywhere and a lot of people not understanding liquidity and not taking advantage of some of the videos that I posted. they don't use this and they fall into this trap. Tip number five, liquidity can actually help in risk management. And when I'm talking about risk management, I mean mostly stop- losses, but it can also help with taking profits and when to go break even. Let me show you how. So, if you have price going up like this, and I'm going to demonstrate this and maybe talk about it more in the market structure slide. So you see if we have price going up like this um an entry somewhere in here and then price is going up. Now at this point you're not going break even. Maybe your stop loss is below this low. After that if you want to trail your stop loss you see how we're going lower and then going up here and then what happen here is sweeping liquidity and then breaking structure. After sweeping liquidity most of the time the low that sweep liquidity is becoming a strong low. So you can actually take your position if you entered from here and then stop loss below the low. You can transfer your stop loss from this point to this point here. That's going to be your stop loss because you're trailing your stop loss to levels that if it gets broken, then most likely it's not valid no more. Now when it comes to take profit, you also need to be aware you're not targeting those levels where we have a sweep. So let's say we have, you know, we're going long and we have some levels like this on the upside. We have something like this and then we have those levels and we are entering maybe here, right? Going higher. Instead of targeting this one which is a strong high which price will kind of struggle to come here. We're targeting maybe this high or this high instead of the strong high that price will not go there easily. But mostly I want you to focus on the stop-loss placement. Stop loss needs to go below strong lows and above strong highs because that's where if price goes there and break below maybe that's the invalidation and not just any high or low. Liquidity can signal trend completion. So you can predict when the trend is about to end using liquidity and it can also confirm if we're still continuing up also using liquidity. Now one of the most important rules when it comes to trading liquidity and trading in general and that can actually change the way you look at trading when we have a closure above or below a previous candle that means we have a continuation. The moment we have a week and no closure below or above a previous candle high or low that means we are about to reverse. There is a higher probability that we are reversing. What does that mean? Let's assume that this is a bearish candle. This is the week and this is the closure opening price here or the next candle we go lower and you see we failed to close below and we only sweep the liquidity. Most likely we are about to go up in this case. However, if we actually close below and we have something like this closure below and this is the wick here, then most likely we are about to continue lower. That's one of the most important rules in trading. Now, if you go and look at this 4hour chart, you can see the moment we reach a liquidity level and we fail to close above, then most likely we are about to reverse. You see here, fail to close above, we already push lower. Now anytime we fail to close below that means the trend is about to end. And you can see here this bearish trend the moment we're not able to close below this and we wicked below that means the trend is about to end. Now we go up and we have no closure above this level and you see how we actually started going lower. Now the trend was not that big but you see at this point here actually we failed to close below. That means we're about to go up. And here we sweep this only with a wick and we fail to close below. What does that mean? That means we're about to go up. And you always look at the fail to close above or below as a signal for reversals as well as same thing. You see here those candles and all those candles we actually were closing above the previous candle high, previous candle high until we have this one. This candle here we failed to close above and only wick. That means it's getting weaker and weaker. However, when we have something like this where we have this candle high, we closed above and here was not ready to go up. But then we close above again, we close above again, we close above. The moment we fail to close above, we get some weakness. So weakness means either we are consolidating in order to push higher or if it was in a major liquidity level, failing to close above means we're about to have a reversal. That's how we use liquidity to confirm if we are still in the trend or the trend is about to end and we might either have a consolidation or we might have a reversal. Then liquidity can help identify valid market structure. A lot of people think that you know market sector is just looked at higher highs and higher lows or the opposite that's it that's the market structure. When we break structure it means we have a low and etc. It's not the right way to identify market structure. It's not valid. Let me show you the valid way of marking the structure. As I said, a lot of people look at market structure this way. We are breaking a high, then we are in an uptrend. And those are the highs where we looked at price to hold, right? And we don't want to see anytime price is going below this level. However, if we think about this from a liquidity perspective, how we look at this is that this one, this low here, it's not actually a strong low and it's not part of the structure. Maybe sometime it is, but most of the time it's not the highest low here. It's not the strongest low unless we take this liquidity and then push higher. In this case, this now becomes the strong low. That's how we look at strong lows and strong highs. Now how do we deal with strong highs is something like this. So let's say we actually switch the structure something like this. We are pushing lower, right? This might not be the strongest high. In order to confirm a strong high, we might want to see liquidity sweep and then a breakout structure. In this case, this liquidity sweep and this breakout structure in this sequence sweep and break structure that confirms that this now is a strong high. That's the right way to mark your structure, not just this high that took the low. This is actually one of the ways that a lot of ICT and smart money concept traders fail into this trap because they just think that this is pattern, right? We take this low, that means we have this as strong high. Maybe in this case, yeah, because we have liquidity, but not in this case because we just come to maybe a fair value gap here, we push lower, but there is a major fair value gap above. That's going to be the liquidity sweep into that major fair value gap and then we push lower. That's the real break of structure. That's the first thing and that's the real strong high here. That's how we look at market structure eight. And that's one of the mistakes that I was actually making. And I just realized after some time that there are some trades that I take and price flies to the takerit while other times I enter and I see nothing but consolidation and then I'm hoping that it goes to my takerit and eventually it goes to my stop loss. And what is the reason? Because I was actually trading in a high resistance condition. But what liquidity can actually help you with is reveals the low resistance conditions. What does low resistance conditions mean? That means that you're trading in a condition or in an environment that price can go to your takerit much easier than trading in high resistance conditions. Let me show you some examples. So this is gold on the 4hour time frame. Let's start first with the high resistance condition which are the conditions you don't want to be in. You see in this case, let's say that you are looking for the sweep and then you're looking for price to push kind of lower, right? To take all those lows. Does it make sense for price? I mean, think about it for now. Does it make sense for price to go now and take all those lows? Let's say you enter from here. That's your stop loss maybe above here and you're targeting this low. Is this a high resistance conditions or low resistance conditions? What do you think? That's indeed a high resistance conditions. And why? First of all, one type of high resistance condition is strong highs and strong lows. And what does that mean? In other words, liquidity sweep. You see how we had a liquidity sweep here and then we break the structure. That means this is now a strong low. I cannot target this one. And another type is also those fair value gaps here. You see how we have about two or you know one fair value gap here. This one after the liquidity sweep it pushes price higher. So you're entering short here and you're ignoring all those high resistance. There is a lot of resistance here in order to push price higher. Price will not easily go lower. There's a lot of resistance here and there are a lot of confluences that will not let price go lower. So that's a fair value gap and that's a strong low here. You see price push higher and you get after some consolidation you get your stop loss hit. Same thing here. So let's say you enter long from this fair value gap as an example this valley gap and you are entering here. Stop loss goes below the low and you're targeting maybe this high or maybe 2 to1. Okay, so let's say 2 to1 here. Does price get to your 2:1? No. And why? Because in this case we have high resistance liquidity. We have price weeping a high and then breaking structure and we have fair value gap here with a liquidity level. Price eventually respect this one because you're trading in a high resistance condition. I mean sometime price could actually go up and break all those resistance but it's not going to be easy. It might take a lot of time. You need to be on the lower resistance side. Now same thing here. You see high resistance first of all the liquidity sweep and then the breakup structure and what you can see here is that we have one fair value gap two three and four all those fair value gaps here. This gives a lot of resistance here. And you see price was actually consolidating here until it goes lower and maybe hit your stop loss. Eventually, it goes up. But you see how much time it takes to break this resistance here. Actually, a lot of time. You see, you don't want to be sitting here maybe going lower again. And you'll either hit your stop loss or hit your break even. Now, what are some Now, what are some low resistance liquidity conditions? You see here, we have high and a lower high. We have a failure swing and we don't have a lot of fair value gaps here. You see this fair value gap is already filled and we don't have much fair value gaps here to hold price from going higher. And what happened? Let's say you enter I don't know somewhere from this order block or for any reason. Okay, that's not the topics of today. You see how immediately price goes to that take profit like in no time like immediately unlike the other ones where we consolidate for I don't know a month. Now same thing here. This is a low resistance condition. Why? Because we have a high and a lower high. And we have a fair value gap here. Yes. But then there's also another low res liquidity condition here which is high, another lower high, another lower high. Those are the best to target. Price immediately goes up to take those levels and then maybe some resistance from this parallel gap here. But we have some low resistance here. That's why price just gave some reaction from this resistance here and it immediately takes those failure swing and then it goes lower. That's why we need to be on this side of the market and not the high resistance. We should always be with the low resistance conditions. Now most likely when you were introduced to ICT and you started learning about liquidity all what they taught you about and I mean including me when I was talking to beginners and teaching beginners the basics you got to go over the basics which is normal highs and lows equal highs and lows. Uh you want to look for uh reversal at those levels the equal highs and lows for example highs lows as well as trend lines. And I also went over the sessions highs and lows and you know uh timebased liquidity including previous monthly high and low daily weekly and it goes on and on right today it's going to be different. We're not going to be going over those. And what's the reason? It's not that those liquidity don't work but the probability of those levels is less in probability. When just going and taking a look at any higher low it's really less probability to have that reversal. you know that turning point and then go into the other direction. For example, we can see if we're just looking for any high and low. This low here, we just broke below it. There was maybe an indication of a reversal here, but then it keep going lower. Same thing here. It was not that strong move. Even though it works, but it doesn't have that high probability entry that you can get and you cannot trust it. The same as the level of liquidity I'm going to introduce to you today. Now, just a disclaimer that I've talked about this before, but not in this way and not in this much details. What are we going to be covering? And based on my gold trading strategy, we discussed that we always look for a market structure shift or a higher time frame change set delivery in order to know where the market is hitting to and then look for our first mitigation liquidity. That's the liquidity I'm introducing today. You can use it, you know, in any asset, not just on gold. even though it really performs very nicely on gold. What we're going to be looking for is we want price to reach a POI or a liquidity level. Price is going up going up to that POI and then market shift. So let's say we got that market shift here. The moment we we get that that's a confirmation that we might be heading lower now because we got that first of all that mitigation of the higher TP and PY our markets actually shift. What will happen most of the time it's price let's say that we have a fair value gap here created what will happen is price will come to that fair value gap just like this and then reverses from here just like this a lot of people would be entering either at the fair valley gap or at the reaction of the fair value gap having a stop loss above that high right and then targeting any other liquidity level let's say this one here we're going to be targeting that liquidity The truth about this is and just have it as a rule of thumb most of the time if price is still not in a rush to go lower right it still did not reach the drone liquidity the main one or if we're completing a market makers model let's say this is a whole market makers model and this is the external liquidity just right here price will tend to go there right but before going there it's going to have a lot of traps and a lot of inducements this is the most important inducement level we're going to over. So you see this trade that a lot of people enter, price will go lower until here and a lot of people would go break even at this level and then they're going to wait for the liquidity level, the external one to be hit. What's going to happen after is price going back again to the first mitigation and then the remove is going to start from there. So, you see a lot of people, and I don't know if you can relate to this, but have you ever entered a trade, get a reaction, and then you said, "Okay, just because uh it looks like we're going lower from here or higher from here, then I'll put my stop loss to break even." Let's say it's a bearish example. I'm going to put my stop loss at break even. Then eventually price goes up to your entry or to the high that you entered from, not going to your stop loss, but you're out at break even. And then the real move starts after. Have you ever experienced this? So let's say you entered from here, you put your stop loss uh it was somewhere in here. You put it at break even, you get stopped out and break even and then the real move starts. I'm sure that you can relate to this. What's the logic behind this is that early sellers entered here, price goes lower. Early sellers are getting stopped out here or people who go break even are out then the real move starts. So, it's all about identifying where the market section shift is. Or you could use the higher time frame CISD in order to determine a lower time frame market shift. We're going to be looking at the first mitigation and a sweep of that mitigation which is going to be an inducement. Right? So, the entry would be at this level. Sometime uh price could go up again and then give another sweep and go lower. And we're going to see some examples of this. This is the signature in price action that you want to see and you'll realize that this actually happen a lot of the time and this is the liquidity level that will never fail you. I mean in the long term using this you're not going to fail as a trader. Let's go to the chart now. Just a disclaimer that this actually works on any time frame. Like even if we go to one minute time frame we could see it. But let's do a little bit of a higher time frame and see how good this level of liquidity is. Now going back here all what we want to identify is what you know I really prefer to see price going into a POI and then a market session shift which one of those I can see here you see we sweep this liquidity we sweep also this liquidity and we get a market session shift now at this leg of the market session shift here do we have a fair value gap yes we have this one and a lot of people here would think that this fair value gap now is mitigated and they're going to look for higher f valley gaps to enter from but the Reality is still those are early buyers. Most of the time if price still not in a hurry to go higher, it's going to take this again. And what do you see happening is what price sweeping that level again going higher. What happened after? So this was out of kill zone. So there was not much displacement to happen here. But what you see happen after is another sweep into the OB. And this is where the landed kill zone start and then the real push happened. So let's forget about this one because uh the mitigation happened in a kill zone but the inducement or the liquidity sweep after did not happen in kill zone. So automatically it becomes a lower probability one. What do you see after is let's say this one here a break a section to the lower side that's the one here with a fair value gap. So that's a high probability one. We get a fair value gap here. Where do we mitigate the fair value gap for the first time? You see we have two fair value gaps here. I could I could mark them both and we can see that first mitigation is this one. What does this tell us? Now I'm going to also show you something very nice after this. But let's focus on this first. You see first mitigation which is early sellers being participating here right in this valley gap. What happened after is price keep going lower lower but at some point it went up to that same level where there is a lot of orders above this especially stop losses and uh entries and taking it out here a very high probability sweep then pushing lower you see what I'm seeing now here is the real one this now becomes a strong high especially when it breaks structure but regardless of this what do we see we take liquidity and we started going lower with a CISD Now the low between this high and this sweep becomes the high probability liquidity level. So you see what is the lowest low? This one or this one? Actually this one. This one becomes a high probability liquidity level also. See taking that one. We got a a bit of a reversal but we're not planning to enter from here. We're planning to target this low. But what do you see happening here also? We sweep liquidity. We go lower with a displacement and then we had a fair value gap, right? So we got a displacement, fair value gap created here. What is this now? So we got a balanced price range but we get first mitigation. This first mitigation what does it tell you? We got early sellers entering here. Uh if you are someone who enter valley gaps then yeah maybe this one. But if you are someone who trade you know liquidity levels and turtle soup then your entry would be most likely at the sweep of the first mitigation. You see really the snapper into here. Then what do we target the low in between? So we have this high and this high. What is the low in between? It's this one. That's the one we target. Now you see took that one. We push higher now. Now we have no significant fair value gap here. But we have again this one is not fully filled yet. Price if not ready to go lower now. It could grab more liquidity and then pushes for the last time. Most of the time we want to focus on three pushes inside of the fair value gap. So we got the first one here. Second one here. Uh the third one would be really the highest probability one. And you see taking this liquidity here. Now again for the takerit what do we target? The same thing is the lowest low between this high and the sweep. Right? What is the lowest low? It's this one. This now becomes high probability liquidity level to target and price actually reach that level. So this is how we approach the inducement levels or the first mitigation level and this happened over and over. You could see it everywhere. You just try to identify where the market is going to and then go from there. Same thing here. We can see that we inverse this fair value gap and then we had a lot of fair value gaps here but because price was in a hurry to go higher it did not retrace all the way to the extreme for valley gap but into this fair value gap here. So let's consider those all as one fair value gap because in the higher time frame maybe on the 4 hour or the daily this is going to be once again a fair value gap actually the 4 hour what happened here is price mitigate if we want you know uh a very precise one it's going to be this this is the first mitigation right here so this is the first push swept here that's a high probability one pushes higher but in this case uh it was not really the the biggest trade because The highest high between is this one. So it was reached. But then the third push which is most of the time the last one is this one right here. Sweep into a fair value gap. Where is the highest high in between? It's this one and it was taken after. So it's all about this kind of pattern which is going up taking a low and then taking the high. Right? And I've been teaching this for a long time in my mentorship and a lot of people [clears throat] finding success. You see what happened also here. Same thing. Same thing keep happening over and over. Unless the whole fair value gap is filled then the probability becomes lower. But you see what we had here is a breaker structure. But while getting that breaker structure we had fair value gaps too and mostly it was filled mostly but it's it's not there is a small part of that valley gap still not filled. And you see what happened after because this is now a low NFR value gap taken here very nicely and then it keeps going higher. Now because we're dealing this is the same as dealing with market makers model. When dealing with market makers model what do we have? We have price going up. We're getting an external. Whatever happened here is internal. We go and you know into a fair value gap or taking liquidity and then what do we target now? This is all internal. If we are in that clean move of internal to external, it's this high here. It's the highest high in this range, which is this one. And we're going to target that one. So, same thing happening here with this logic. We have sweep. What is the highest high in between the first mitigation and then the second or the second and third? It's actually this one right here. This is the high. Then that becomes high probability liquidity level to target. sniper entry here targeting this one. The moment you realize how good this one works, you'll be asking yourself some question. Uh one of them is why do a lot of ICT teachers for example or YouTubers or some people teaching ICT, they tend to say that when price goes into a valley gap, it's already fully mitigated and that's totally wrong because that mindset now is creating a lot of liquidity around that level. That's the mindset that made this as a high probability liquidity level because it's creating more orders at this level. Now you see still in the 1 hour but just very quickly show you how well this works. You see we had a breaker structure first mitigation sweep targeting this low again. We see first mitigation here right sweep targeting this low as well as this one and then going up again. uh the second mitigation taken here price goes lower and we can see there are some ones don't get the enough momentum for example this one even though it's a first mitigation we take it here goes lower not a lot but still this one can counts as a very good you know trading opportunity when entering on the lower time frame now going over gold in the 4our just to show you that this can work on any time frame you see how we had a change of state delivery here with a fair value gap. But because this fair value gap is now fully filled, there is no business above this high. Mostly price will not go back there unless it wants to take those relative equal highs. So it wants to take this high as a drawing liquidity. But there is no liquidity sweep that will happen from this point. Especially that we already also filled and mitigated this extreme OB. So it's not going to be the highest probability. But what do you see happen here is breaker section and see this one here and what happened is creating this low as first mitigation. What happened after? If you can see sweep going higher very nice snapper entry could have taken this little soup going higher. Now same thing is here we had CG to the lower side first mitigation but it did not give us that um big trade here but a lot of the time it's still going to stick to that rule of the high in between. For example, we can see again we break structure two fair value gaps here or maybe three, right? And then first mitigation here. First mitigation taken what's the highest high in between this one right here. We take it and we take the high. Now again what happened after is let's say even in this leg right this one as well as this one. You see how it happened at the same time we get displacement first mitigation here. We push lower and then taking a here target getting this low as well as the external. Same thing happening here going up. First mitigation sweeping was the highest high in between. It's this one taking that one. You see how it's very very smooth that you cannot unsee it. You see here we actually pushed higher. We came lower. Part of the fair value gap is still unfilled. This is now is an inducement level. taken in here. We push higher level here. Taking in here because we have a very small fair value gap. Price comes here. This is now inducement level going higher. This is the sequence of the market. Price for example giving you a market shift going up giving you that first mitigation sweeping that first mitigation. I would say a deeper retracement into your F value gap and then pushes lower mostly taking this low as well as this low. Right? And then targeting those lows. It's going to have that move of the internal to external. I want you to think about how we were taught the market structure. So when you learned about market structure as a beginner, everyone was teaching this type of market structure. And then we want to blend this with the liquidity sweep concepts. We have a high and a low and then we break the high. Then what's going to happen after as everyone was showing is price to come into this range go up and we have another break of section and then go up and this is what happened until what until we get a market such as a shift as an example here. So this is what we've been taught all the time. Focus on this but in another way we're going to be taking advantage of how people look at the market structure and then we're going to do the opposite. As you know, if you really want to make money in trading, you should not do what the 99% are doing. You should do the opposite or not totally the opposite, but in a bit of a different way. Okay? You need to be different in order to make money. So, this is how market structure has been to. What is this right here? A lot of people would call this a strong low. And why? Because it breaks structure. So, it took a high either it break above or it just take that high and not displace much above it. This is what a lot of people would consider a strong low. Same thing here. And strong low means that we're not expecting that low to be taken any soon. Maybe after some time. Yes. Or maybe right now we can take it when we switch the structure. But at this time, not any soon, we're expecting this low to be taken. That is the mistake where a lot of people are making. And that is what we want to take advantage of. I want you to focus. We're going to actually go over three main points. One is the main point in the video and then two are extra ones. Maybe another one will come throughout the video. I'm not sure, but we want to focus on this. Now, let's start in another way and look at the order dollar for example right here because I could see a very nice trend going up. I want you to consider what you've learned about market structure and apply it here and see if it works. I mean, sometime it works and sometime not. If we focus on the high probability liquidity sweeps, we need to follow this criteria. So you want to do your own thing. So if you have specific strategy picking the highs and lows, if you follow my other videos, if you watch them and take some secrets from here and there, follow everything. The last criteria, so you want to look at this low here, you want to look at this one, you want to look at this high. The last criteria would be that is the main thing. So take notes now. We only want to focus on lows that took highs and highs that took close. What does that mean? Think about what I've been taught in the market structure. You see how here this low took this major high here. What a lot of people consider now is a breaker structure. This as a strong low. However, this is not the criteria of a strong low. This is just how beginners, you know, look at the market structure. What's going to happen is price may become here give a fake reaction build more liquidity then taking this low that took the main high sweeping here and then going up. This is what we want to see. That is the main thing. So we're going to be focusing on again highs that took lows and lows that took highs and there is more criteria and more refinement to do to focus also more on high probability ones also in this one. So looking at the Yoda dollar and I want you to think with me here. We want to think together and learn together. This is something that I learned by myself. No one taught me this and I decided to give it to you for free. What do we have here? We have this breaker structure here, right? And we have this low right here. Price does not come to that low. All right. But what we see here also is a lot of people would also consider a breaker structure. What happened here is price going up. pullback, right? This is a pullback here. What happened after is this high being taken. So, we have a break of structure here. Where is the low that took this high? It's this one. And what do you notice? Even though a lot of people would consider this as strong low because it broke structure, what happened is a sweep of that low. And you see how we have the highest sweeps. And do you see that this is really high probability liquidity sweep price literally taking the low and then pushing higher. Now do apply the same logic that I just taught you. What do you see here? We have a breakout structure and that is the low that break the structure you see happening here. This is not the highest probability one, but that is a liquidity sweep give you some profits. Most likely maybe a lows, but you also need to apply the other methods that I'm going to be also talking about. So, it's not just any high or low that took highs or low. It's going to be the last criteria that you apply in order to validate the good ones. What do you see here? So, we broke structure, we go up, pull back, and then we break structure again. I want you to consider what everyone is thinking about here. What everyone is thinking about is that this is a strong low not supposed to be taken and we're thinking about respecting this fair value gap. However, this is an inducement because this is a low that took a high and there are some lows that took highs that are not valid for liquidity sweeps and we're going to be talking about that. However, you see this one low took a high. You have a breakout structure here. A lot of people looking for buying from this fair value gap. It's all tra where price is going to is this low right here. You see how that is a very high probability liquidity sweep. Now what do you see here? We have this breaker structure. And where is the low that took this high? It's this one right here. That is a very high probability liquidity sweep. You want to think about the same logic here. You see how this high did not take any low. So that is not where I'm going to be looking. There are some criteria it could work but not based on the one that we're talking about here. You see how this one here it took this low. There is a breakout structure. So if price comes here this would be a very nice liquidity sweep entry. However, what happened here is we have this liquidity sweep. Price goes up this high here broke structure to the downside. That is the breaker structure. It's a high that took a low. That means there is a potential of liquidity sweep. And what do you see here? Now why sometime price just sweep that one with literally like no pips maybe 0.1 pip or 0.2 and sometime it goes few pips above. What is the difference that you see here 15 pips on the other hand here not even a pip. What is the difference? The difference here and that is the second criteria we want to look at. So one is highs at two close and lows at highs. The second criteria would be we want to focus at POI above those highs and lows. So you want to see if you have a point of interest either fairly order block that is not mitigated that is not filled that is not rebalanced above the high or below the low there is still potential for price to go there maybe sweep the high or sweep the low and then go in that direction. What do you see here is that above it what we have is a lot of POIs actually we have this order block actually breaker block and then we have fair value gap here one two two fair value gaps consecutive fair value gaps and if you want to focus on the hidden order block it's going to be over here hidden order block does not get filled but the fair value gaps gets filled and as you know from my other videos two consecutive fair value gaps are nothing at sometime one fair value gap on a higher time frame. So if you go maybe to daily you're going to see this at one fair value gap or 8 hours this is one singular fair value gap. So what happened here is this breaking structure. However it did not go to the POI. Therefore this is where a lot of people even when they go short here and price is breaking structure automatically this is what people do. We go like this right? We're going longer as an example. When we break a high, that is what we used to do, right? Breaking a high, the stop loss here. What happen is when we break another high, we automatically place the stop loss here. We move it here. We trail it. That is the logic behind what I'm teaching here. You see that is what happened here. Now, think about it again. What do we have here? Sweep breaking above. This is the low that took a high. Okay, price has not come here. What happened here is really what I've been teaching you. Price is going up. pullback and it's a valid pullback and then breaking structure. Where is the low that broke the structure is this one. Do we have and that is the second criteria. Now do we have any POI below that is not rebalance? Yes, we have few ones here actually fair small fair value gap here then another one and then another one and then another one. You see here price took that low that took the high into the POI and that is a valid liquidity sweep. You see only three pips below actually four pips and then flying up. Now do apply this to any high or low and you'll realize that in trending markets that's what price will do. Going to create a high it's going to take it. Maybe not here. See this one here. What happened is okay even though we had a sweep but this high did not take a low. I was looking for this low to be taken. So it was not valid. However, this one is valid one. What do we see here? Is this high? You see how we're going lower and then higher pull back. That is a high. Took this low. All right. It's either breakout structure or it's either liquidity sweep. It does not matter much because what is happening in the lower time frame also confirms that this is a breakout structure. So I would suggest for now focusing on breakout structure. Do we have and that is the second criteria. Do we have a fair value gap or POI above? Yes, this one here. Look at what happened. Sweep. But the sweep was not immediately like by few pips. No, it took some time going up. Why? Because we have a POI here that price need to reach a reach here and then a push lower. So in short, what we want to focus on is fair value gap or POI and then we have a breaker structure and then we create a low. We have another breakout structure. But this low here does not come to the fair value gap. Now this breaker structure is not the highest probability one. It's not creating strong low. What is going to happen is taking that loan that took the high and then going higher. That is what we want to look for. And if you notice that is the third criteria. Now what do you notice here is that what we are doing here that is the real creation of a strong low. Strong low is being created by a liquidity sweep followed by a breaker structure and not just break a structure by itself. And same for strong high. Okay? It's totally the opposite. So if you see this pattern where we sweep below and then immediately go higher and then break structure, you don't want to look for liquidity sweep at this low. That does not mean it does not happen. It does. When you have other confluences, you could take it as a risky one. However, it's not going to be the highest probability one. The highest probability one would be this one. Especially when we have a switch between a big range to a small range. So let's imagine that price is literally going up like this with that pullback and then a pullback small here and then create a breakout structure. What do you see here? You see how we have this very huge range and then we have a smaller one here. What is going to happen is that mostly this is going to be a trap where price will go lower to fill the main range and then go higher. And that is why I suggest also watching my video about actually I'm going to put it in the description about applying the fib tool in order to know what is a valid range and what is not a valid range. Now this is applicable either on the daily on the 4our or sometime on the 1 minute. You could scalp on the one minute because that is how a lot of people think. They're looking for the breaker structure breaker structure here but look at where the liquidity sweep is right. This is just randomly looking at the uh criteria by itself. By itself and you see here breakout section where is the high responsible this one here even it's a small one. What happened is a su that high. So this is the question that you might be having. Oh I enter of a fair value gap but then price decided to go to where to the liquidity level. Right? So you see fair value gap here and price gave a reaction started going higher but then what happened? It went to the liquidity level. It sweeps the low. started going up. But in other scenarios, for example, here we can see that price respect that fair value started going up. So you have this question and this is a question that I used to have when I started learning ICT, right? So I have this question but I had nobody answering this question. So I was asking oh how do I know when I enter a PD array or when I wait for a liquidity level and then you know I did not find that answer. So that's why I'm answering this question here today and hopefully it helps some of the people that are starting learning and not finding the answer of this question. So the first thing to consider so I'm going to go over some reasonings over some things to photo then I'll give you that simple protocol. So just a simple step to determine oh are we going for the high or or the low or we going for the fair value gap and then I'm going to give you more reasonings and more confluences to look for. So I'm going to start with this. This is just an overall thing to look for. Then we're going to go over the protocol. So in any market, right, price goes into a consolidation or bullish or bearish orderflow. Now in a bullish orderflow, when price is going up, right, and it's mitigating, you know, bullish uh period rays, what I want to see is this. And this is what's going to happen. So in a bullish what is going to happen is price is going to take lows displaces above highs and then it's going to create lows displaces above highs. So in this case when I have a bullish orderflow I want to be looking at those lows that are not mitigated. So you see we have a fair value gap below here and we have a low here. I want to look for a sweep at that low because we have another fair value gap below here. So in a bullish orderflow price is going to take lows, sweep lows and run highs and displaces above them. You see sweeping a low and closing above a high. So when we are determining the order flow, it's going to help us where to look for the liquidity sweep and where to look for the displacement above highs. So you see, so when talking about highs, we have a displacement above them, high a displacement, lows, we only have sweeps. So that's the thing, but there is more into it. Now let's go to the chart. And this is the current price action in Euro dollar right and I want to show you one thing. So you see sometime what happen is price actually respecting for valley gaps and in other times it's not respecting and what is the thing that's going to determine this. It's a very simple thing. Now let's take a look at this London session price action here and then the New York one. What happened? Price was going up right? So it was reacting I guess from let's say this agent session there was a point that is very strong in the Asian session which is from here to here what is this 50% of the range of the Asian session so you see that's where price reacted from started going higher and we had those two consecutive fair value gaps here so on the higher time frame you remember two fair value gaps on a lower time frame are one fair value gap on a higher time frame so price decided to react from here started going higher. What happened here is we created this fair value gap. We started going higher. So what happened here is we displaces above this high right here as well as this high. So that was the Asian high and we displaces above. When we have a displacement above a point, what we're expecting is that fair value gap to be respected. So you see what happened after is price actually come into that fair value gap started going up. But why those levels here were swiped? The first reason is that those are inducement. So we always look at fair value gaps that has highs above them and did not fill the fair value gap. Those fair value gaps are going to be respected with price sweeping lows inside of it. Right? So you see those lows since we have a fair value gap below it that was unfilled most of the time those are inducement. Anyone who entered here is going to be swept later and then the real move is going to happen after. So that's one of the reasons but then another reason and that's what I wanted to discuss today actually just looking at this without looking at inducement for now we have this fair value gap followed by a displacement I'm expecting this fair value gap to be respected however when taking a look at this let's say we started going higher from here sweeping and then we did not displace above this high right so price started going higher from here was not able to displace above this high and what happened here even if it's a small body closure but still not able to displace a B because this is 15 minute. If we switch to 5 minutes it might not be um you know just a week. It might be a body closure above but it's a small one so it still doesn't count. But what we see here is that we have this fair value gap right here and we have another one above. So there are some people who are going to enter of those valley for example here and then price decided to sweep the low. What is the reason behind this? It's a very very simple thing. Before that let me show you what are we expecting right? So we have prices going up coming lower and then going up just like this coming lower in this price action leg here. If we have one fair value gap and let's say you know two fair value gaps for example and then price is added to come lower to those fair value gaps. What we need to do first is look to the left look for a previous high and see if that high was displaced above or no. You see this here is not a displacement. price decided to sweep that high, started coming lower. When we have a sweep, it's more probable that those fair value gaps are not going to work and price is going to go to the low that caused this high. So you see this high was caused by this low and there was no displacement here. It means that most of the time it's going to go to that low, right? And you could do the same but upside down on a bearish example or actually bullish example. So this is what happened here. This is a bearish example here. Price started going lower. What happened? Now, we asked this question. Did we displace above that high? Not really. But I'm expecting for those fair value gaps not to work. And that's why price decided to hit where to this level of liquidity. Actually, this is the low that caused the high and it was only swep below. Now, we also asked this question. Did we have a sweep or you know the first question is do we have a fair value gap on that dealing range? Yes, we have this one right here. So, we have a fair value gap and you see there was a reaction of that fair value gap. But the question is, did we displace below that low, right? So, you see this low, did we have a displacement below? Not really. Then what I'm expecting for this period gap to be inverse and you see we closed above it, we came back to it. And where do we go now? To the high that caused that low. You see what happened here is we took that high again. But then we displaces above it. So now I'm expecting this F value gap to work now. And that's what happened. So you see one simple step which is determining if we have displacement or not. And there you go. We have displacement here. Price decided to come to the F value gap and respect it. But then the same thing here. So this is on the New York session now. And we have this high and we had no fair value gap here. But if you go to the lower time frame, you could find one. But now let's apply this the same way. Right? So we have no fair value gap. But maybe on the low time frame there is price did not displace above the high. What this means is that we are hitting to the low instead of any PD array in here. So instead of looking for this order block for example, what I'm looking for is the price to take the low and you see price decided to try again to take the high or displace about the high but was not able to only a sweep of liquidity. What I'm expecting now is for this low to be taken as well as this low to be taken and that's what happened. Now you see this is April 19th. We're going to go to 18th. Um but you know 17th has a very nice example. What we see here happening is that we went below the Asian session right and then we had few body closures but below this low we had no displacement at all. So below this low we had no displacement at all. What this tell me is that okay I could enter from here long and what can I target the high that is responsible for this low and which is we go up. It's this one as well as the Asian high and that's where price goes to and reacted from right and then what happened after you know we did not displace above we started going lower came to a fair value gap started going higher and that's your displacement here you see we had a displacement above that high so what is this telling me now is that okay we have a displacement above a high with a fair value gap most likely this fair value gap would be respected and what do we see here that's actually a respective fair value gap started going higher. Now inside of this fair value gap, what do we see? We had this high. We failed to displace above here. Actually creating equal highs. Then we take that high and fail to displace clearly. This is a very clear way that it's not able to displace. Then we ask ourself this question. Where's the fuel in the market? It's actually the low that is responsible for creating this high as well as this one. Both of those because it was creating equal highs here. So you see this high where is the low of the structure? It's this one. Now we see we did not displace below this low. We took it did not displace. We were inside of a fair value gap. What happened after is after some time actually here we did not displace and then we tried again to displace but couldn't. Then price started going higher and again what happened here is sweeping that high. When we sweeping that high what do we have in mind? Okay, the displacement thing. If we did not displace above, it means that we're going to the low that was responsible for that. And where was the low? Actually, there is a fair value gap here that was also inversed. So, you see reaction, but then inversed. But then price decided to go to where to the low. There you go. So, that's a low taken because we were not able to displace below. And now, what is this telling me is that okay, I'll be looking for the high responsible for that low. And where is it? It's this one. So you see this way of determining the fair value gaps and the liquidity levels and which one to go with. It's actually first of all giving me a short-term bias. Second thing it's giving me some scalping setup scalping opportunities and it's telling me where the real breakout is going to be where the real structure is going to be. So you see taking this low I'm targeting this high now and we took that high and we started to displace above. Now with this displacement I'll be looking for those fair value gaps to work. Most of them you see we had this fair value gap here. It worked. We started going higher. We also had this fair value gap with an inducement inside and it gave a nice reaction going up. Right? So this is the way to determine if I'm entering from a fair value gap or I'm waiting for a liquidity sweep. It's all based on what? Displacement. And actually displacement is liquidity. So in short words, I would say it all depends on liquidity. But going in details, it's sort about liquidity and displacement. So a displacement above a liquidity level, it means that we're continuing in that direction. Price being so weak inside of that liquidity level or not able to displace above or below that level, it means that we are reversing and going to the other structure, the low or the high that was responsible for that structure. Right? The same as we're seeing here. And this is happening all the time. All the time. So you see not able to displace above this high. We go to the low. Right? And also the same thing here. We're not able to displace above this high. We go to the low. We sweep the low. And it happens over and over. Over and over. You see not able to displace below the Asian low. What happened is we go and take this high here. Now sometime you're going to see that we're not able to displace. Price started going lower but then displaces after without taking the high. And that's a scenario that happens. But it's not going to be every time. Okay. So, this scenario happens. But the most scenario that we can trust is not taking the high, then we're going to the low. Not taking the low, we're going to the high. Okay? Or not displacing actually below the low, we're going to the high. That's the thing. That's what happened all the time. All the time you're going to notice this. And even with a shortterm move. So, for example, this low not able to displace. We go to the high. There you go. And not able to displace above the high. It means we're going lower. But eventually this fair value gap and we had a sweep at this low coming into a fair value gap. But then price eventually started to respect that fair value gap. And what we see here is that we had a clear displacement above this. That's why this fair value gap worked here, right? And we started going higher and this fair value gap had also an inducement here. So now we're going to be discussing the reasoning behind why this happened. So if you take a look at this chart, right? We have price going up, coming lower, sweeping that liquidity and coming lower. When we have a fair value gap created here and then prior to that fair value gap created, what we had is a liquidity sweep. So we created that fair value gap and then we had a liquidity sweep here. The probability of that fair value gap by itself based on the inverse fair value gap setup that I shared is now very low probability, right? And also if we are reacting off a fair value gap, another one on the higher time frame. So what happened here? Especially if we are against the order flow this is going to be disrespected and when we have a fair value gap that is disrespected but you know based on the protocol that I give we are expecting this even before it happened but then when we inverse that fair value gap either go to another fair value gap and maybe reacting of that or taking the low and most of the time we are taking that low that's one of the reasoning so it's all based on the fair value gaps and the inverse fair value gap and all based on the liquidity so liquidity sweeps determine if we are having a fair value gap or if we're having another sweep. So that's one thing. Now another thing is that there was a fair value gap that is below that low. So if we have you know even if we create another fair value gap that's going to be used as a manipulation. If we have another fair value gap that is below here. So if we have the main fair value gap not filled and we created a high and in this price action league we created another fair value gap. A lot of people just look at the recent price action here to enter of the last fair value gap and they don't look at anything else. And even if we had a small displacement above, what's going to happen is a small reaction from here, manipulation going low or taking that low inside of the main fair value gap, then the real move starts. So when we have a fair value gap that is either unfilled or partially filled and then there is a high above it or low below it, we're going to be looking for that fair value gap to be respected and those lows and any fair value gap inside of that range is to be disrespected. Now another scenario is price going up coming lower going up and either displaces above or not displace above or let's say you know we did not take that high yet but inside of this range we had a big fair value gap. Now remember that what I do is not validate any fair value gap without liquidity sweep and the opposite is also true. So no liquidity sweep is valid unless it's into a fair value gap. So if I have this price action like from here to here and there is no major inducement here then know that the major inducement would be one which is the low in here. So what's going to happen? Because we have no major inducement here. What does that mean? If I had [clears throat] on the other hand something like this so price is going up coming lower going up and as it's going up it created a low and then started going up. Now in this case what could happen even even if we don't displace above we have a major inducement that is right here. So what could happen is that price is not going to take this low but take this low because it's closer to the uh current price action. So it's not going to be good for price to reverse all the way there to go up. Could just go here to the nearest for example gas station because if you have a car you have no fuel you don't need to go all the way there to this gas station. You can go to this one. So what's going to happen is price come into this low which is a major inducement and then go up. On the other hand, if we have no major inducement here, right? So if we have no major inducement here and we're just going up in one price action leg, the nearest inducement now is going to be actually this low, which is this one right here, which is the low of the structure. And that's why sometime we go to the low, that's why sometime we go to the period. One of the reasoning is that the price action lick that we're having it has no major inducement which now the low of the structure is the real inducement especially if there is a fair value gap below it when I think of liquidity I always remember this your edge isn't in seeing all liquidity it's in ignoring 99% of it so what a lot of people mostly the people who claim that they understand liquidity say that liquidity is everywhere and part of it is true Because we can see that there is this liquidity level where it was taken and then the real move starts. However, you don't see this liquidity not this one about you know this one here. Why doesn't come here and why it's not this one? They don't have answers for this because they only see the price action after it happens. And I mean you can see the real picture after it happens. However, you need to have a plan in order to trade this, not just talk about it and just say that this is the, you know, the valid liquidity level and this one does not work and it's all about liquidity when in reality we have a lot of liquidity levels here. Why this one does not work and why it's this one part of this thing we're going to be solving in this video. Now, what is the level of liquidity that I trade? I'm just going to disable some of the indicators here. What is the liquidity level that I still trade as of now? Even though I have another way of trading now, but I still use this liquidity level in my way of trading. Basically, the first thing that we need to focus on is the market structure. When I have something like this, I have a breakout structure here and then I have a valid range from here to here. I would be only looking for liquidity levels on this range to sweep to the upside. So I'm going to look for lows in this case and not highs. So if price goes lower from here as an example. So it goes lower and then we have a high. I'm not going to take this liquidity sweep. But I'm going to be be taking this one here, this low. And we're going to be discussing which one do we take. But I'm going to be ignoring highs, these ones, and I'm going to focus on the lows because our market sector is bullish. That means the direction is bullish. So that's going to be the main focus. This is just an aspiration for you. I want you to do part of it and go to the charts and try to see what I'm trying to explain and then improve it on your way. So going back to the chart, what we can see is that there are a lot of liquidity levels. If we switch to the 15 minute, same thing. Which one do we take? First of all, you need to find your direction. And how is that? The simplest way is finding the current market structure. So as you can see here is that we're moving lower. Now you can see market structure in many different ways. Okay. So you can see bullish here pull back and then a breakout structure. What is this? Now we have a trading range that we can trust from this point to this point because we had a nice breakout structure. Now inside of this range we look for lows and we need to look for lows in a specific way. It's going to be now there are a lot of names. People would name it in different ways in my opinion. Now I don't have a specific name for it but the main premise of it is that it's the first touch. The first touch is most of the time a trap. Why? Because the market isn't that simple. It's not price doing this then coming here and then just going up. It's not that simple. We need to do a lot of manipulation here. We need to take out a lot of people before going higher because if everyone is entering here and then we all make money this simple way the market is not going to be that complex and a truth and a fact that the market is very complex. So what I prefer to see is that inside of this range I want to see a main imbalance in this case we don't see any there are now now there are different ways to trade this but just based on an imbalance there's no imbalance here so I will ignore this however what do you see here this strong move to the upside breaking structure and we have already some manipulation here so we could have entered based on this one but on this video I'm just going to explain the imbalance method Now inside of this range here going up. Where do we have the first pullback? It's this one here. And a lot of people would be entering here. That is the first pullback. Now we could be trading the first, we could be trading the second and sometime the third. So this is the first pullback. Now where do we have an imbalance at this range here? Where are our main imbalances? You see this level here? This is a strong level. And we have an imbalance here too. So that is a level that we can you know uh frame our trade idea around. This is our first touch. We mark our first touch after the breakout section, the first pullback and then we look for an imbalance and probably the best area to look for um you know to enter off in an imbalance is the 50% of it. So if we take the 50% of this take it to the right you see that's where price reacted off exactly we have liquidity level that is the level that I'm talking about in this video it's the first touch in the trading range in the high probability one that is the first touch we need an imbalance below or inside it could be somewhere in here not coming to the not tested the 50% of the imbalance it's still valid so around this level what I can do is enter on a lower time frame confirmation and then you target the you know whatever whatever level you see this is a strong level here you make sure that you don't only target the liquidity level but you make sure that at strong areas you take some partials now price goes lower again so you see we're still in that bullish market structure price is coming lower what you also can do is take your fib from the low to the high and where do we have OT is around the zone and then do we have any inducement or any liquidity level. I would be happy to see price taking this low but price comes here mainly I don't think I'll take this one I'll focus on this level here which is a high probability one just making sure that there is no structure on the opposite side and what you can see is this is all internal structure coming here and then going up but I will focus but the best scenario is this one right here if it was OT that's going to be the best one now we go to the left you see how this trading range going from this low to the high there There is no liquidity level here. The one that we're talking about which is the first touch. There's nothing here. Now from here to here that is a strong move. Price took the structure as well as the structure here. So a strong breaker structure taking our OT. I would be mainly focusing on the OT zone. Okay. So from here to here and then this strong area too. So from here to here where do we have our first touch in this range? It's this one here. That is the first one. Do we have an imbalance above it? Yes, we have this one here. And where do we have the 50% of it? Around here. That is the exact reaction. So, what happened is price taking this. And to be honest, I would prefer if this level here was somewhere in here. Very close to that level. Now, you see as we're coming, we have also another imbalance here. We have two imbalances. This one and this one. We need a first touch here inside of this range. So now I mean the whole range. This is the first touch. But this can be you know the uh OT or the premium side of this range and I want to see a first touch here and then I will take the other one. What happened here? So this is the 50%. Price came really close to it but failed to go lower and there is you know if you focus on the 50% that's not where price goes. And if we just mark the last one, the last imbalance, this is the level here, 50%, price does not come to the 50% here. On the next one, that is going to be a high probability liquidity sweeps. You can enter from here going lower. Now, same thing. What do we have break structure here? So, that is a zone that we can trust here or a range that we can trust. Where do we have the extreme imbalance? It's this one here. So what we do is we wait for a first touch or a first tab into this range. This is our first one. But you know you could also trade based on this imbalance here. That is another way. So based on this imbalance, this is our first touch. I would really prefer if this was into the 50% of this. But then price takes both here. This is not the clearest example. Let me find one. And actually you can go to the 4our and find one. Okay. So if [clears throat] you go to the 4our and let's look at any high probability breakup structure. Okay, that's the first thing. So I don't like the recent price action here. So let's go back in time and then find any. Yeah, for example, this one here. You see we have a strong breaker structure. We have this imbalance here. Now, it does not need to be 50% all the time, but I want to see price coming to another strong area. What do you see here? This is our first pullback. This is now our liquidity level. So, this is our liquidity level. And this is the high probability liquidity sweeps. After this breaker structure, we had a pullback. Where's the first touch? It's this one here. So, if I circle it, it's going to be this one. That is our liquidity level that we're going to be trading. And why? Because people are impatient and they are entering trade here with a stop loss below then go and you know imagining that price will just go up without taking people out multiple times. So same thing here what happened price taken people around this level and then another third one. So even if you entered here and then you take some profits or you get stopped out what you can do is enter again because price is now at the 50%. The best place is to enter at the 50%. However, price is not going to go there all the time. Now, same thing here. What we had is a strong move to the downside. Along the way, what we had is a pullback here. So, this pullback is the first touch into the range. That is our liquidity level that we're going to be trading. It's this one here. And then price goes to where? Probably 50% of the imbalance and then going lower. So, that is our high probability liquidity sweep. Okay, that is our high probability liquidity level that I suggest focusing on. Now, same thing here. We had a strong move pullback. You could have traded the sweep of the pullback here and then the third touch here. A lot of times price is going to if the range is not filled or the imbalance is not filled is going to come three time. So the first tab and then the second sweep and then the third one and going higher. You could trade this one, but the third one is going to be the highest probability one. Now, same thing with the daily time frame. If you go to the daily time frame and randomly anywhere, okay, so let's go somewhere in here. Just randomly, you see, I mean, I just went to the perfect example. What we had is a strong breakup structure. So, marking the imbalance, we have one all the way here. We have another one here and third one. But you see inside of these, what happened? The first pullback or the first touch is this one. Then we had a pullback. The highest probability trade would be the sweep of this level. And you see that is a high probability one. Sometime price will go for the third time. And that is the highest probability one. What you can do is enter here based on a hourly or 15 minute entry. Same thing here strong breakup structure. What we had is this big imbalance. We have first touch, second touch, and then third touch. The second one and third one are the highest probability one. Now also the same thing happening here but price does not go to the liquidity level and you will see that this happen a lot even here the strong move first pullback is this one we go up we come lower we sweep it one more time and then we go higher so that is the liquidity level basically what I want to see is this breakoff structure and then first pullback not in discount in this case and not if we have an imbalance not inside of the imbalance or at least not the 50% of it. Something like this. Going higher, just giving a reaction to, you know, convince people to hold, sweeping that level and then just going higher. Simply taking people out, especially the ones that are just impatient and entering on the first touch and then, you know, having no patience to wait for the valid key level. Go from here. Look for this on your chart and then you will be trading the valid and the highest probability liquidity level. You only see fair value gap as a three candle pattern. But I see it in a whole different way. Why some fair value gaps are not filled. Which fair value gap would be filled immediately? Which fair value gap is the real one? Secrets about fair value gap that you never heard of. and my theory on fair value gaps that will blow your mind. So, starting with this, probably all you know about a fair value gap is that it's a three candle pattern. So, you're looking at this price action, you see a candle, another candle with a displacement, the third one going like this. The gap or the uh area between the first high and the third low, the wicks in between, that's your fair value gap. And the same situation in a bearish scenario. So this fair value gap, you're looking at this and you're blindly looking for setups in this area to enter. So in a bullish scenario, I'd be looking actually for buys from here to go higher and in a bearish scenario, I'll be looking for price to retrace here and go lower. But that's not everything about a fair value gap is. So this video is not for beginners. It's not for people who don't know much about fair value gaps. This is a deep into the details of the fair value gaps inside the fair value gaps. So this zone here in between the wicks, right, the fair value gap, there is a lot more inside to be told. So this area right here, we could actually know which one is the real fair value gap. And that's going to be the last part of the video. And that's my theory on fair value gaps. We also can know which fair value gap will be filled immediately just based on what is happening inside or just based on the fair value gap itself. And we're going to actually go over this and what is an internal analysis. That's all my theory about fair value gaps. So basically those are things that you might not ever heard about and you might actually um need to watch the video twice. So also which fair value gap will not be filled at all. So just based on the fair value gap here and what is happening near that fair value gap and slightly above we can know which one um is not going to be filled at all or at least not immediately. And then maybe on another video I'll give some hints but it's not going to be in details. We're going to be also discuss where will the price react from the fair value gap exactly. So you have this fair value gap from here to here. We're going to know in advance and we're going to have some levels that oh actually price could react at this level exactly. So this level price comes back to it goes from here. So instead of looking for this level or the start of the fair value gap, I'll be looking for a specific level inside. It's not about the only the 50%. It's more uh deeper than this, right? So maybe this is our level and that's where price is going to react from. It could be actually this level here. So it's not something that's going to be um an easy to identify. It needs to have some understanding of what is a fair value gap. So it's all about based on the name of fair value gaps and imbalance, right? So that's what we're going to be discussing today. So fair value gap, it's not only a three candle pattern. There is a lot more insight to understand. There's a lot more discuss all based on fair value gaps. And that's what we're going to be doing in this video. A disclaimer, if you know almost nothing about fair value gaps, you don't need to watch this video because it's going to be a little bit deeper. It's going to uh take some time for you to understand. It might be confuse you if you have no enough information about fair value gaps. So the video today is not about breakaway gaps because sometime we know that breakaway gaps are not meant to be filled. So for example what is a breakaway gap is when the second candle of the fair value gap is closed above with a displacement and we have the potential to actually create another fair value gap here right and it's not going to be filled this one I mean the extreme one. So breakaway gaps give you a hint about which one is going to be filled and which one is not. But also breakaway gaps relies inside of it based on the internal analysis that I'm going to go over and based on the theory that I'm going to go over today. So it's not only about you know breakaway gaps. There are some breakaway gaps that are also meant to be filled because there is a real fair value gap here and the other one is not a real fair value gap. So price needs to retrace to the real imbalance to go higher. So it's not about this but this can give you a hint and you know this is a basic understanding of what I'm going to go over. So a closure above the second candle of the fair value gap with a displacement it gives you a hint that this valley gap is not going to be filled not a closure above and only uh sticking within the range of the second candle. It give you an indication and the probability of the per valley gap to be filled is higher now. But again, it's not all about breakaway gaps, but you you know, it's always good to understand what is happening on the breakaway gaps and understand um the context behind it. Now, we're going to go over three secrets and then we're going to go over my theory, but those secrets are going to actually give you an indication about which fair value gap is going to be filled and why some fair value gaps are left to be unfilled. So, those statements that I'm going to give you are really going to give you a huge understanding of fair value gaps. Now in the discord I see a lot of people in a range. They always look for the extreme fair value gap. So let's say they're looking at 15 minutes time frame. For example, this is a price action dealing range from here to here. And that's your fair value gaps. You have one here, one here, and one. So three fair value gaps. What they always do is look for the extreme fair value gaps. What they don't understand is that this is the thing. Higher time frame fair value gaps will prevent lower time frame fair value gaps from being filled. So let's assume that this price action we had a 15-minut 15-minut 15-minut fair value gaps. But this 15-minute one aligns also with an hourly or 4hour fair value gap. Always the higher time frame fair value gaps in this case the hourly or the 4 hour will prevent those 15 minute fair value gap from being filled. And why? Because it's stronger and there is a lot of inefficiency inside of it. So that's the most important one to be filled. and the price action especially when the market is in hurry to go up it's only going to go to the higher time frame uh because there is a lot of orders here more than those ones. So it's always going to be the higher time frame for valley gap that's going to be filled first of all and then it's going to prevent the other lower time frame for valley gaps from being filled because they're are less significant they're less important. So high probability fair value gap the higher time frame one will prevent lower fair value gaps which are those ones from being filled and only looking at those there is some higher time frame fair for valley value gap above therefore those lower time frame fair value gaps won't be filled and when we look at this this is a hint I'm always going to [clears throat] be giving you some hints because I want you to think this is all based on my experience but I still want you to do some thinking think with yourself go through the chart and try to do the same always learn by yourself. ICT taught you something but it doesn't mean that's all because there are some stuff that ICT or other teachers or other mentors they did not teach in the perfect way or 100%. So it's not all the knowledge given to you. You need to do some research. You need to do some back testing to realize those stuff. So the first hint is that lower for valley value gaps those ones when switching to a lower time frame they can actually be seen as breakaway gaps and this is not every time but sometime okay so go to the chart and you're going to see that those actually are some uh breakaway gaps on the lower time frames. So that's how we approach this. The first one is higher time frame for rally gas will prevent lower time frame for rally gaps from being filled. Going over some examples. So on the 15-minute, you're looking at the 15-minute and what you're seeing is this liquidity sweep here. Price going up and then there is the market session shift. And when you look at this dealing range, you see that price is literally expanding without coming to any fair value gap and then not coming to fair value gaps going up with other fair value gaps. Now how do you know which fair value gap to take? You literally see a lot of fair value gap. So, how do you know which one is the high probability and which ones are meant not to be filled regardless of breakaway gaps or all other concepts? We're going to go actually deep inside and switch between uh time frames to see which one is the valid one. So, you see we have one fair value gap here, another one here, another one here, another one here, another one here, and then on the next dealing range, we also have some uh fair value gaps here. So, how do you know which one? This one was meant to be unfilled. Also, this one meant to be unfilled. Regardless of breakaway gaps, right? It's not always about breakaway gaps. This one also meant to be unfilled. But this one is also a breakaway gap, right? So, all of those are breakaway gaps. But why this one meant to be filled while other breakaway gaps are meant not to be filled. And this question was maybe asked by one of you to other mentors and there was no answer. The answer to this is going from 15 minute to 4 hour. Now higher time frame doesn't mean weekly or monthly. Higher time frame is relative. A 1 minute time frame could be also a higher time frame when we're looking at 15 seconds chart for example. Right? So it's not about oh when I say one minute time frame then you say oh that's not a higher time frame. You could say that's not a high time frame but not higher time frame. Okay? So it's all relative. Now when we're looking at 15 minute time frame as your main time frame when we're looking at a higher time frame is going to be the 4 hour and higher. So daily weekly um monthly all those are higher time frame relative to the 15 minutes. So when we are looking at the 4 hour we see that we had the sweep and we had this market session shift the same those ones right sweep uh MSS. What we see here is that price displace above create actually a breakaway gap but it was filled. What's the reason behind this? There are some breakaway gaps on the lower time frame but there is one that overlaps with what this 4hour fair value gap and there is a lot of 50minut fair value gap in this range here. So at this circle right here a lot of 15 minute fair value gaps. A lot of those 50-minut fair value gaps were in this circle below. Then we have this 4hour fair value gap and that's why this 4hour fair value gap and a 15inut fair value gap inside of it that's a high probability one and that's also the fair value gap that's going to prevent lower fair value gaps from being filled. So you see price decided regardless of breakaway gaps again decided to ignore all of those fair value gaps and only come to this one. Why? Because this one is also a 4-hour fal gap and it prevents all other fal gaps from being filled. Now again another example is let's say this is 90 minute time frame. So this is um you know we have this fair value gap this dealing range fair value gap here another fair value gap here and I always try to look for some 2022 mentorship model. So we had this price action going lower and what do we wait for the internal move to the external we had this fair value gap that's the extreme one and this is a breakaway gap. This one was also a breakaway gap. This one was not a breakaway gap but it's not only about this you see 1 2 3. How do we know that this one is going to remain unfilled? This one remain unfilled and this one is going to be filled when switching to 90minut time frame. We can see that this one actually you see this one is this one. So that's a 90-minut time frame. It's above this daily fair value gap on yellow color. This is a previous day high and that's why price decided to take the previous day high which is a liquidity level into the daily fair value gap and it was this one aligning with the daily fair value gap. So this one is to be unfilled. This one here, it had the possibility of being filled, right? Or uh being reached here. But just because it was a previous day high here, it decided to only sweep that started going lower. It had it did not have the energy to go all the way up here. And you know, it's a waste of energy. If we want to go lower, we're going to go to the nearest inefficiency and then take some liquidity and go to and that's what happened here. Price to go lower. So that's a daily fair value gap. We did not go to this fair value gap all the way up even though it's an extreme one just because of what we have a higher time frame fair value gap that prevents price from reaching those lower time frames. Now the second secret and it's the opposite of what we discussed on the first secret. So in this price action we're looking at the opposite. We're we're looking at you know uh on the first secret that if we have a higher time frame fair value gap here that's going to prevent all fair value gaps that are lower from being filled. But now we have the opposite. So let's assume that we have the same price action from here to here. And what do we have? Lower time frame fair value gap 1 2 3 and then all the way down we have one fair value gap you know at the same time frame but it aligns with a higher time frame fair value gap. That's what makes a difference. So higher time frame fair value gaps will cause lower time frame fair value gaps to get disrespected. So all those lower time frame fair value gaps are going to be disrespected going to the most significant one which is the higher time frame one. So lower time frame fair value gaps will be disrespected because what there was a higher time frame fair value gap below it. Right? All those fair value gaps disrespected only because we have this one. This is more significant high probability extreme fair value gap on the higher time frame respected and all other fair value gaps are used as liquidity or inducement. So you see anytime price comes here you'll see that you actually have a reaction. So a reaction from here then taken it's used as a liquidity as a fuel to go lower to the main one and anytime price comes to this and um a reaction going lower a reaction going lower and it's a fuel to actually go lower to the most significant one. And again as a hint this explains why sometime price reaches extreme fair value gap and sometime not. So again, you have a dealing range, you have a lot of fair value gaps. How do you know if price this time is going to reach the extreme fair value gap or it's going to go and react from the nearest one? How do you know that? It's all based on what the two secrets that I gave you. The higher time frame for valley gaps. Now example on the second secret, we can see on this price action external going to internal. So now we ask ourself which one to go with? How do we pick the right fair value gap? And it's very confusing to people. But always see this. What do we see at those fair value gaps? What did I say when I explained the second secret? I say that from those fair value gaps, you're going to see a reaction. So you see a reaction from here used as an uh liquidity as a fuel to the market. Reaction reaction. So all those fair value gaps, there was actually a reaction either a big one or a small one. And all of those are used to push to that higher time frame for valley gap. So you see one, two, three, four, five. Five fair value gaps. And we have much more below. price decided to ignore all of those 1 hour fair value gaps because there is a daily fair value gap below it. Now when we look at the daily time frame, it's very obvious that we had what you know changes to delivery fair value gap right here and price only decided to go into the daily fair value gap and went up. So all of those hourly for valley gas were invalid were irrelevant were uh not significant. The daily fair value gap is a significant one. This is actually um you see an hourly fair value gap inside an hourly fair value gap inside and that's where price actually reached and started going higher from here and again price is fractal so you could look at this in different time frames but make sure that you're using the right alignment uh the same ones that I'm using uh you know you could be flexible with those but I would suggest uh the same one as I'm using or the same one as I suggested when using market makers models. Second example is we had this price action going up again another external to internal and then internal to external. What do we see here? Fair value gap 1 2 3. This one is a big one and it's a breakaway gap but it was disrespected. So we close above the second candle the fair value gap but then we did not even you know just fill the fair value gap but disrespect the fair value gap. That's also another breakaway gap. disrespected and this one is not a breakaway gap but that's where price came back to. So it's literally the opposite right and what's the reason behind this? It's the understanding of the higher time frame. This is a 4hour chart and you see 1 2 3 F value gaps disrespected disrespected respected here. What's the reason when switching to the higher time frame we had a weekly fair value gap here. So you see a small weekly fair value gap. That's where price decided to go. Disrespected this big fair value gap on the hourly. disrespected this one and go to the fair value gap that is aligning with the weekly fair value gap then shooting up and you see another weekly fair value gap and if price decided to come back to this it's actually going to disrespect all the fair value gaps here on the low time frame coming here and going up okay so that's the logic behind which fair value gap to be disrespected which fair value gap to be respected which fair value gap to be filled how do we know when uh we have price coming to an extreme fair value gap or simply maybe reacting from the 50% or the first fair value gap. All of this relies on what higher time frame fair value gaps. So you see how the understanding is becoming more clear and how we actually able to understand those fair value gaps are irrelevant. Those are not significant and those are used as traps. Now into the third secret and this is something that I mentioned about in one of my videos before but decided to go over it again very quickly just because it's really uh related to what we are discussing today. We got to understand that you know this is a fair value gap. So it's still a three candle pattern. But what we see here is that there was a big wick on the third candle. The third candle again tells us a big story about the fair value gap. On the next slide we're going to discuss the internal analysis on the fair value gap. Something probably you've never heard about and I can assure that you never heard about because it's all based on my experience and it's all my discovery of right. So the third candle's big wick will prevent the fair value gap from getting filled and what's the reason we're going to discuss. But you see this big fair value gap and also it closes above. So that's already what a lower probability to get filled because it's a breakaway gap. But then this big wick is more significant and more important. What is this? It's a big wick and it means that it's a mitigation of another fair value gap on the lower time frame. So switching to a lower time frame, we're going to see that we had a fair value gap here. And that's why price went lower to the fair value gap displaces above. So the displacement already happened on the lower time frame. And it's already a mitigation of another fair value gap. This fair value gap will mostly not be filled. And actually, if we go to the lower time frame, you might see that you might have a fair value gap here and not a fair value gap here. So this might not be a valid fair value gap. That's why on the lower time frame price decided to react from here and mitigate a lower time frame fair value gap because on the lower time frame this is not a fair value gap. When we talk about higher time frame for valley gaps and being significant we actually want also to have a lower time frame for fair value gap inside of it. And that's what we're going to be discussing and go deep into um in the internal analysis on the fair value gaps. Okay. And we're going to know which one is the real fair value gap which one is not. But those third candles or weeks are always going to prevent price from coming to the fair value gap. But there is something that you got to understand about this. It's not going to be unfilled forever. It's just that it's not going to be an immediate fill, right? So it's not going to be price immediately coming lower, filling the fair value gap to go up. It might be filling the fair value gap later but disrespecting it. Right? So we're going to be going up for some time and then come lower and disrespect this fair value gap. or we might go up for some time then come to the fair value gap to go up. So two choices here but just the thing that we are sure about is that this fair value gap will not be filled immediately. It's going to take a lot of time to either be respected or disrespected but at the end it is going to take a lot of time. Now going over some examples on the secret three which is the big third candles wigs. So what we can see here is price actually uh switching and going lower creating multiple for valley gaps. This one is a breakaway gap right. So this one is a breakaway gap. This one is also actually this one not a breakaway gap because we did not close below. But then what is the significance of the third candle of the valley gap? What we see here is a big wick followed by displacement. It's not going to be only about a big wick. It's going to be a big wick with an expansion or a displacement. This is also a big wick but inside of it there was a displacement. Right now this just tells us that the probability of this fair value gap being filled is lower and it's going to take much more time to actually reach those fair value gaps. So it's not a good point to have a limit order or wait for price to come because it's going to take more time. So that's an indication about uh what is going to happen. Now switching in this case from a 4 hour to 1 hour. So lower time frame to see what is happening inside. Right? So this is fair value gap. On the lower time frame that's the one what we see that this is the circle. This is the wick. The wick is on the lower time frame. It's a mitigation of another fair value gap followed by a displacement. So that's how we know that okay price is not going to come to this fair value gap. Why? because there was already a quick and an immediate mitigation of that lower temperament fair value gap and then displacing lower creating another fair value gap. So it's not going to be an immediate um rebalance of that fair value. Now the same thing this is the second fair value gap which is the one here. What do we see at the circle here? We can see that price manipulated up into this lower time frame for a valley gap and then displaces below the wick is a displacement right and then the real displacement started after. So it's telling us that price is not going to come to this fair value gap and you see it did not reach that fair value gap and it keep going lower and lower and then after some time it reached that fair value gap and actually disrespected both of those because already the uh drawn liquidity the main one is already taken. So there's no point of respecting those fair value gaps. They're going to be always a reaction in order to take the liquidity above it and use it as a fuel to go higher. But then uh it doesn't mean that we're going to actually reverse from those levels when the main drawing liquidity is taken. Okay. And another example just to um you know confirm the understanding. You see we were going up on the hourly time frame respected this fair value gap even though this was a breakaway gap but still we came back to that fair value gap because the third candle body it was a displacement yes but then it was it did not have a big wick. So the probability of it being filled you know it's not the highest probability but still it's more than when we have a big week right on the third candle even though this one is not a breakaway gap right because you see the high of the second candle the F value gap was not closed above but still it's not going to be filled and why because when we look at this wick here we can see that this is a big wick where a displacement happened wicks especially big ones it means that there is a displacement inside of that wick right on the lower time frame we can See this is the circle here. This is what happened on the 5 minutes. So we're going deep into the um 1 minute. We can see that price went up came lower created this fair rally gap. What happened is actually price displacing above coming lower only into what this order block here. The order block that is created respecting and then already displacing up coming lower to the order block again and reacting from there. So price decided to actually fill a lower time frame fair for value gap and then also an order block on the lower time frame instead of coming lower here. And that's going to be more obvious when we look at the lower um I mean the higher time frame. We can see this big wig. So it's telling us that okay price is now willing to go to this fair value gap and it's got to be remain unfilled. Even though it's not a breakaway gap but it's still it's got to be remained unfilled. Real fair value gaps. Now you could look at fair value gaps as a three candle pattern and they would look the same. So let's say both are breakaway gaps. But there is one that is real and there is one that is unreal and it's not a real imbalance. That's the problem that a lot of people are you know making as of now. They're considering any three candle pattern where there is a gap in between that's an imbalance. But not every imbalance is a real one. Not every three candle pattern is a real one. That's why I invented this way. And there was a fair value gap right here that is inside of this that I called the Mullhams fair value gap or MFVG. And you know it's your decision to pick whatever name you want. But this is the name that I use for myself, right? I've been using this for a long time now and this is what I'm being calling it because no one ever talked about this type of perval gap before. Okay. How do we determine the mulams pervalab or MFG? Okay. I would call it MAVG from now. It's all based on the internal analysis. And I know this is the first time you've heard about this, but in order to determine the real fair value gap, we're going to be doing some internal analysis on the lower time frame inside of this fair value gap. So we, you know, the fair value gaps could be looking the same. This one looks the same as this one, but inside the fair value gap. And uh when doing the internal analysis, we could see that oh actually this is the real fair value gap. This is not okay. All based on what is happening inside and you cannot know what is happening inside of the fair value gap until what? Until you go to the lower time frame and you see what is happening there. Okay. So internal analysis on the lower time frame. That's what's going to tell you which one is the real fair value gap. So this is how we see stuff in different ways. You see this is a three candle pattern, right? And it's from here to here. That's the one in gray. You see it as a regular three candle pattern for valley gap and you consider the imbalance from here to here but in reality it could be not from here and you know price could come back to this level goes up and then goes lower into the real fair value gap or the mg and then so something like this here market shift coming lower the real market actually shift happen here so it is the real move that is going to happen from the mg and not always from the three uh candle pattern the regular one that you always look at. So, you know, the real F value gap might be one that is inside of your F value gap that you're marking. And that's what we're going to be discussing next. And I need to go to trading view because I'm going to have a freedom there. I'm going to go to the real chart and show you what is happening. Uh instead of showing you a screenshot, okay? Because I don't want to go uh into a specific trade or a specific fair value gap, show you that one and ignore everything else. I'm going to go over multiple fair value gaps in a row and show you how sometime it's not the three candle pattern that is a fair value gap. It's something else that you've never heard about all based on what internal analysis inside of the fair value gap. I'll try to you know deliver everything in the best way but I know that there are some stuff that I need to also explain in the future. That's why I'm pretty sure not going to be able to deliver 100% of my knowledge in this video. So more videos to come in the future about this specifically how to do the internal analysis how to actually identify the real fair value gap. Now the first thing we got to understand about imbalances and the real ones. So let's say in a bullish imbalance for example there was nothing but buys and not every pi position is filled. Price is going up in one direction and price is not retracing to take the orders and go up again. So the real inefficiency is going to be price moving in one direction. A lot of orders in one direction and price cannot fill all of the orders that are here. Okay. Now let's take a look at any imbalance here. So let's say we got this F value gap holding creating another F value gap. Right. So creating another F value gap. We have two F value gaps. One is here and the second one is here. Taking a look at this one. actually taking a look at this one and this one is a breakaway gap. So it was not reached but when we go to the lower time frame performing the internal analysis we're going to know uh what is happening but using the hand side here using the uh replay mode just to deliver the information in the best way but a lot of those informations or or those fair value gaps we discussed in uh the discord when they happen even this trade right here this one we entered on the discord and I think I made a YouTube video about it too a trade recap. So all of those things we discussed but not in this way because I waited to deliver this in the best way. So we have fair value gap here and one here. What we're going to do is go to a lower time frame. So from 1 hour I would go to 5 minutes and I'll show you what we can do there. So inside of the 5 minutes what do you see the first fair value gap? We actually had what after price creating the fair value gap. Now ask yourself this question inside of this imbalance from here to here or inside of the lower time frame through the imbalance. What did we have? Nothing but a sell program happening. Nothing but a sell pressure until price decided to go up and before those uh 1 hour this 1 hour time frame um ending price decided to go up into a lower time frame imbalance and then displacement going lower. That's why this fair value gap was unfilled. So there was not a big wick here. Not really a big wick. But then when going to the lower time frame, what do we see? Another mitigation of a lower time frame, fair value gap going lower. That's why we know that the probability of this fair value gap being filled is now lower. Right? So because we had a mitigation here and then price went lower and created another fair value gap. There was another fair value gap created with a displacement. Meaning what? There is a breakaway gap. So now you know what is happening inside of the breakaway gap. Okay, that's the one here. Now let's take a look at the second fair value gap. The second fair value gap from here to here. We ask ourselves this question. Did we actually have sell pressure here all the time? Because if not then that means this is not a real inefficiency or not a real imbalance. Actually from here price was only going lower lower but then inside of the fair value gap this is the hourly fair value gap right inside on the 5 minutes we can see that even inside of the hourly fair value gap before it uh it is created what we can see is that there was buys then sells. So an efficiency is always sell sells and not mitigating or filling the other orders. But in this case there was actually a chance for the price to actually fill some sell orders from here going lower. So that's not a fair value no more. That's not an imbalance no more. Inside of this 1 hour there was some buys here. Dumb money buys. Smart money sells because there's an imbalance here and it's already uh filled. What does that mean? That means that this 1 hour imbalance or fair value gap is not a real one as a whole. So the whole fair value gap here is not a real one. Where's the real one? The real one is the zone that there was actually no buying pressure but only selling pressure. That's where price was not able to reach to fill the other fair value gaps or the other imbalances. Where is it inside of this? Again, we see that there was a a move to the upside coming lower. So, this zone right here was already mitigated and filled. What is the zone that is unmititigated? It's from this high to the high of the fair value gap. you know, you can extend it up to the high of the uh lower time prefer value, but we're going to stick with this. Why? Because there is another video that I'm I'm going to go over this and how we adjust in this. But for now, stick with this. So, we're going to take it from the wick of this buys where we had a buys and then going lower. That's where this is not a real fair value gap. This is the one that is real. Now, we're going to mark this as MFG. That's the real one on the 1 hour because we're going to go in two different time frames. If we don't see nothing of the five minute, we could go to the one minute and there going to be more details on this. But that's what we see now. This is the MFG and this is the three candle pattern here. Let's see what happened. Now again, what could happen is price come into the regular fair value gap going down give you a market section shift then go again to the MFG and that's where the real move is going to happen from. Okay. So let's play the price action here. You see price came to the hourly fair value gap. But then let's take a look at what is happening here. So what we having here is this internal fair value gap. And we know that price moves in two direction internal to external external to internal. So what we having now is this internal going to what? This external. So we have a clear market makers model. So that's the target for our market makers model from this internal to this external. And we have equal lows here. So that's the one. Now what I'm expecting price to go to this low. So you could have been taking some trades here targeting this low. Not expecting this to be filled first of all because of the wick, because of the mitigation of the low time frame and because it's a breakaway gap. Now let's keep going and see what happened. So there you go. There is a market actually shift here and price started going lower. So there was some profit here, right? And then went lower. It's taking liquidity from here and what you're targeting is this low and we created not a fair value gap here. So the lag of creation of a fair value gap tell you a story that okay still we did not uh fill the real inefficiency here. And now what do we have? We have actually this liquidity level. What is this liquidity level and we have the real MFVG here. And what's going to happen is price actually going up not taking liquidity filling the real fair value gap going to 15 minutes to see the reaction of that fair value gap we see filling that fair value gap not even closing above started going lower and that's where the real move started. Now even if we look at this fair value gap because what this is a fair value gap that is created after filling a fair value gap right now if we mark this again and consider this as a bearish fair value gap it's a very fair value gap there is one also here this fair value gap here we could look at both fair value gaps but this one uh the one above is higher because it aligns with another inverse fair value gap right so it's aligning with an inverse fair value gap and it's a balanced price range but what we can do here is not go to 5 minutes but 1 minute because we are already on the 15 minutes. So what do we see here is that okay this is a real fair value gap and price already mitigated that fair value gap on the lower time frame going lower but then that's the extreme fair value gap and that's the main one inside of this fair value gap right this 15 minute that is aligning with a lot of inverse fair value gaps what do we see here the same logic right so the fair value gap started from here going lower here what do we see we see that price started going lower there was nothing here but a sell pressure So price only delivering one side going lower. Those are some small wicks that you know uh don't pay a lot of attention to it. We need a valid pullbacks and uh clear uh and big wicks. Okay. So price is going lower. There was only one side move until we reach here. What happened is we delivered the buy side then went lower. So there was you know we're looking at this whole fair value gap. There was actually part of the fair value gap that is already filled. There is a part of the inefficiency that doesn't exist no more. There's no inefficiency in the price action there which is this part right here. We already delivered buy side in this case uh in this zone. So that's not part of a fair value gap. So when we look at this the real fair value gap on this case is going to be from this high to the high of the fair value gap. And that's your MVG. That's your real fair value gap right here. That's where you look for uh changes delivery to enter from right from here to here. Now back to 15 minutes for example you want to look at this um you have the spare valley gap big one if price decided to give a market such a shift from here it's not valid not valid until price gets here then it's a valid one because now it's in the real perval gap right so now let me remove this and wait for price to go there you see it took all of the liquidity all this was an inducement going to the mg now we can see it's the same Price is going where? Exactly to the MFVG. And if we go to 1 minute, exactly to that uh real fair value gap back to 15 minutes. What happened? That's where the real move start and then going lower. And now you could do the same. So, so let me remove this just to make it clear. We can see that we have fair value gap creating another fair value gap. So, we could have taken the extreme one here and there is another one that is just below it. So bearish for value gap and it looks like we're creating another one here. Yes. So even that we have breakaway gap and another breakaway gap. So two breakaway gaps. But regardless of this, what we're going to do is perform the internal analysis on this case. So we're going to go to one minute time frame and look at what is happening here. Now remember, it's not only about this, it's also about the experience. So we know that and I've mentioned this a lot of the time. Fair value that are overlapping with other PDAs are higher probability. So let's assume that we have price going up coming lower and then going up here coming lower going up. What do we see here is okay we had a fair value gap here but this fair value gap also aligns with what a breaker block or a mitigation block right so this one now is a higher probability one and this is your uh baseline of defense okay so that's something to use in here what we see here is that as we're coming lower in in this big fair value gap when a lot of people see that this is u a breakaway gap and should not be filled now take a look at this where is the real inefficiency in this case price is going lower delivering buy side here going lower a real displacement real inefficiency delivering buy side and going lower. So in this fair value gap we actually delivered buy side multiple times on the other side in the other fair value gap that is extreme and this one aligns with a breaker block on the lower time frame. So you see we took this liquidity we close below so that's a breaker block on the lower time frame. So we are actually aligning with this breaker block. So the internal analysis is telling us that we have a real inefficiency here and one that is you know it's still a high probability but because it delivers by side twice then it's not as a high probability as this one where we only delivered one side and we did not fill all the orders. Okay and this also align with a breaker block. So now going back to 15 minutes, removing everything here and only focusing on this fair value gap which aligns with this breaker block here potentially creating some liquidity at this fair value gap then taking it into that fair value gap to go lower because that's your real fair value gap. Can we refine this more when we go to 1 minute? Actually price was only delivering one side in here. So there is no refinement. This is as a whole is a real fair value gap, the whole one because we're only delivering one side and we also have the overlapping. So you could refine this uh fair value gap to this line here. So that's where you're expecting the reaction to happen at the overlapping. Right? So we're going to be ignoring the second fair value gap. This one only focusing on this fair value gap because this is the real one. Right? Now playing the price action. What we see happening is building some liquidity. You see we had a reaction building some liquidity taking that liquidity to where to the main fair value gap and then going lower. We also created another fair value gap here. Now if we want to perform the same internal analysis and look for our uh MFG or the real fair value gap or what I call it mullhams per valley gap. Now, this is the three candle pattern that you're having and I believe that this is an example that's going to really deliver the point to you in the easiest way and you're going to have a full understanding of this. There was a lot more to actually uh go over, but for now, that's what we're going to stick with. Okay? There's a lot more stuff that I learned from trading for 5 years because I was not only trading for fun. I was really consistent. I was really willing to learn everything. And most of the things that I learned, they were only from the chart, not from someone specific. Right now 15 minute, we go to 1 minute and want to see what is happening inside. A lot of people will be looking at this and saying, "Oh, we actually have a big fair value gap and we're going to be looking at this and enter from 50%, enter from here." But what you see first of all is this overlapping. So that's the first thing we have overlapping inside of the fair value gap. Now we're going to go to one minute time frame and look at what is happening inside of the Ferv Valley gap. You actually see on the lower time frame price decided to react from the overlapping but still let's take a look at what is happening inside delivering one side on the lower time frame filling and there was some buy side here. So there was already a buy side delivery. Uh a lot of the short orders until this point were uh filled right. So the smart money was able to fill the short orders until here. So the real fair value gap now is from here to here. And also make sure to go your chart and look for similar examples, see where price reacted from and mention me on Twitter and I'll confirm if you're doing this right or wrong. Okay? So I'm giving you some of my time. Uh just willing to really help you um and make you better. Okay? So in this case, what do we see? Price delivering buy side here. A lot of short orders were already filled. This is your real MAFG. So from this high to the high of the fair value gap, that's your MVG. That's where I'm looking for price to react from. So now if we go back to 50-minut time frame, you see we're actually ignoring all of this. So if anything happen here, doesn't really matter. We're going to be using the MVG to enter the trace room from. So I'm really looking for price to react from here. Now playing the price action. Price is going up. You see a reaction from here and definitely that's a changes to delivery on the one minute time frame. It should be. Then we could come here and then the final move is going to be from this uh MFG. So you see that's definitely um a change of delivery. We went to the MFG and we started going lower and then a displacement start. So you see we did not even close above the MABG. Now taking a look at this price action again you have a lot of fair value gaps. This is the 15minut chart and you always have this question. Oh which one do I use? A bearish fair value gap here getting disrespected. The bullish one is giving a small move and then price coming lower actually come into this fair value gap. How do we trade only the fair value gaps that are high probability with only one step? Simply what we going to be doing now? Let me show you this. We are on the 15 minutes. How many fair value gaps you see? I mean if we started from let's say this day, right? We can see per valley gap here. Another one here. There is one that was disrespected here. Another one here. And then a lot of other ones all the way below. There is a bullish one, a bullish one get disrespected. You get overwhelmed by the number of fair value gaps that you're seeing. And you're asking yourself this question. Is there a trick or something that I can do to filter out the bad fair value gaps? And yes, there is a very easy step that we can actually apply here and only focus on the high probability fair value gaps. Those fair value gaps are going to be the one that are going to be followed by expansions. They're the one that are going to give us those displacement moves. So, we're not going to be trading those small fair value gaps, which is for example this one. It's not going to be a fair value gap that give us a pullback or retracement. there's going to be always an expansion. So now what is this? Simply before that I want to show you if we apply the fair value gap indicator here we can see how many fair value gaps we have. So taking a look at this price action for example from here to here this is the number of fair value that we having a lot of fair value gaps and you'll definitely get overwhelmed. Now disabling the indicator. I don't want you to use no indicators even for fair value because again it's going to make you confused by enabling and showing all the fair value available. We know that not every fair value gap is a high probability. We got to focus only on the high probability ones. Now some people would say oh we look for fair value gap that broke structure and that's partially correct but there is something that is more into it in this price action. I would simply do one simple thing. We are on the 15 minutes. The only thing that I will do is go to a higher time frame. A higher time frame is relative. So for any time frame that you're looking for entries and for valley gaps, I would simply switch to a higher one. So for example, in this case, we have 15 minutes. I'm not going to go really to daily and weekly and monthly. No, I'm going to stick relatively higher to the 15 minutes. Let's do 1 hour or 4 hour. Let's start with the 1 hour and see what is going on. And I'll show you how 1 minute switching to another time frame can actually it's going to save you from falling into a lot of the bad fair value gaps and it's going to only make you trade the high probability once and the one that are followed by displacement and expansion. Now this is the hourly chart of the same price action that we're seeing now relatively again this time frame is a higher time frame relative to the 15 minutes. Now take a look at this. Look at the number of fair value gaps that we're having. Much less fair value gap. So for example, marking this fair value gap here. This is one fair value gap. That's the extreme. And I'm going to also give you a hint on which for valley gaps to mark. And this is something that I've talked about before. We have another one here that is also an extreme one. We also have one here that's an extreme. Those are the 1 hour fair value gaps, right? So we have much less number of fair value gaps uh compared to the 15 minutes. On the 15 minutes we had a lot of fair value gaps here because we're trading the 15 minutes. We don't want to stay on the 1 hour, right? So on the 1 hour those are the fair value gaps that we're seeing. And what do you notice actually that's where price get respected. You see this fair value gap respected here. This fair value gap we had a nice move to the upside also here from this hourly fair value gap. We had a respect from this hourly fair value gap. We had a respect. Now what we are going to do is go back to 15 minutes. Now take a look at what's this one minute have done to us. Okay. So it's only 1 minute of extra work going to the 1 hour time frame and look at the difference here. So we had this fair value gap. Now since this fair value gap is not part of a higher time frame fair value gap then that's not a high probability one. You see now because this fair value gap was very close to the 1 hour fair value gap. So if it's not inside of it but really close to it, we can also actually count on this. But there was another fair value gap that is where inside of this which is this fair value gap. This is also a high probability one. And you see that's where price actually reacted for the first time going all the way there. Now again the same logic going where to this fair value gap. You see we had a lot of for value gaps even bullish for valley gaps here on the 15 minutes another bullish for valley gap above it somewhere in here we have some bullish for valley gap inside here all those fair value gaps are low probability why because they're not part of another higher time frame per valley gap but this one you see actually taking a look at this this was an hourly fair value gap now you ask yourself this question oh do we actually have another 50 valley gap inside of it. And yes, now we're basically taking the high probability 15-minute fair value gaps as well as refining those fair value gap. So you see that's our 15-minute fair value gap inside of the hourly fair value gap. That's your high probability one. You see price respected that went lower. Now the same question. You see we had a lot of different bullish fair value gap here. Bearish one. Those ones you could actually trade from after price trading into your midfare valley gap because now what is going to do it's going to confirm your bias price going lower right and then break a structure here you have this fair value gap so you could have traded this one but mainly this is your main fair value gap which is part of the 1 hour fair value gap that's where the expansion is going to happen now take a look at this again on the 15 minutes how many fair value gaps we have now we see we have this fair value gap that was the extreme one Price rebalanced the fair value gap immediately. So it was not an hourly fair value gap. But take a look at this. This is our 1 hour fair value gap. However, on the 15 minutes we have one fair value gap, two fair value gap, three, four, and then keep counting, right? Five, six, a lot of fair value gaps. A lot of people get confused about, oh, which one do I go with? And some people entered from this valley gap. As you can see, there was some selling pressure here, but it did not last. and then price started going higher. Where is the right or the real fair value gap to trade from in this price action leg? It's the hourly fair value gap that price came back to. And you see as price come into this fair value gap. And what you could do is this. Where's the 15 minutes for value gap inside of it? We actually have this one as well as this one also. There is a small one and another small one. However, why this one? because we could actually see the overlapping of this inside of it or also the overlapping of this low very close to it. So you see that was the hourly fair value gap. We have the overlapping inside of it. We could actually count on this. Now price started going lower. Applying the same logic on any chart which is basically going to a higher time frame and it's all relative. So even if you're trading with 1 minute, you could do this with the 15 minute. uh trading with 4 hour. You could do this with the daily and the weekly and then it keeps going on and on. So you could apply the same market makers model um time alignments with this and it's still going to work. But make sure that you go two time frames higher than the one that you're using. So if I'm looking at the 1 minute, I would go check the 5 minutes, 15 minutes, and maybe the hourly. Those are the time frames I'll be checking if there is a fair value gap inside. Now what is the advantage of this? Why is this going to give you high probability setups and high probability fair value gaps? The first reason is basically we're trading off a higher time frame PDA where a lot of people would tell you, oh actually because you're trading in 15 minutes, you got to look at the higher time frame PDAs. But by doing this, you're basically already checking at those uh PDAs already. Now, another advantage of this is that even if you were against the bias, the trade could still work. So the bias become less important in this case. Why? Because it's part of the bias that you're looking for your high time ampedia rays. It's it's already part of the bias. And then another thing is you only participate in the big moves or the expansion moves. You really don't participate in those small moves where there is a pullback and the price go lower. So you're not participating in this. You're actually participating on the big move here. So not this bull move. It's actually this big move because we're looking at the higher time frame. Now, in the first example, we went from 15 minutes to 1 hour. Now, we could do the opposite here and I think it's going to be much simpler in this case. Now, let's say you want to trade with a 4hour fair value gap, right? So, let's say you want to look for a 4hour fair value gap. Trade from the fair value gap and then look for confirmation on 15 minutes for example. So your fair value gap is going to be on your high probability one actually is going to be drawn or identified on the 4our time frame. What we're going to be doing is going to the daily time frame first. So the first step is go with the daily time frame and that's what we're going to be doing. So simply starting from any point near the price action but in this case I'm going to go from here just to show you how we can actually approach this. Now one thing here make sure that you look at the overlapping of per valley gaps with any other PD array. So you see here you have this high overlapping with the per valley gap and those highs are what breaker block or mitigation block on the lower time frame. So they're still significant when it comes to price action and those are levels that I called um months ago in the Discord before they happened. And you see here really a sniper entry from this level. So let's forget about this for now. But make sure to look at those overlapping sometimes because they're really significant. Now we have this fair value gap here on the uh daily time frame. We have also one here daily time frame again as we're going up there is no fair value. So there's this bearish one as well as this bullish one but price you know did not come back to it um in a while. So let's say we take this fair value gap here. That's a clear one after that liquidity sweep. Also look at those. So a fair value gap should have a liquidity sweep in order to be validated or another mitigation of a fair value gap. But let's focus on some fair value gaps that are clear in order to learn or lesson from them. You see fair value gap here. Another one here bearish one. No fair value gaps here. There is this small one here and simply doesn't look like it was respected. So this is a fair value gap here. No fair gap here as we're going higher. There was this one that clearly had to be inversed after this liquidity level taken. We have this fur valley gap here and we also have this one as well as the last one that we're having is right here. So this is the current price action in yo dollar. Now those are your daily fair value gaps. You could have drawn more but I don't want to draw all of the fair value gaps that are unnecessary. I want to make it clear and uh short. So this is your daily fair value gap. Now you're going to go to 4hour which is a time frame that you want to trade off the fair value gaps and this is where you're going to look for fair value gaps on the 4hour that are high probability they're going to be inside of those daily fair value gap okay so simply you're going to be trading off a higher time frame PD array taking a look at this what do we see here simply you ask yourself this question or do we have and always look at the extreme one with the overlapping so on the 4our what do we see this is your daily fair value gap on the 4 hour. We actually have this fair value gap here and we have this main one. We could adjust this to the 4our fair value gap now because we know that we are actually trading off a daily fair value gap. And you ask yourself this question if it's a big fair value gap. Do we have an overlapping here? If the answer is yes, mark the overlapping. In this case, it's this from the body or the high. That's your overlapping. That's where price came to started going higher. So that's your high probability fair for valley gap. Now what's the reason? The first one is that it's in a daily for valley gap which is a higher time frame to the 4 hour. The other reason is that it has this overlapping high which is again a mitigation or breaker block on the lower time frame inside of the main fair value gap. That's where price respected this going higher. Now again the same question here. What do we have here? We have this big fair value gap actually one two two fair value gaps inside of the daily fair value gap actually the main one is this one below because the first reason is that it's the extreme the second one you're going to see it now. So this is your main fair value gap. What is the second reason is that we have some overlapping. The first one is here and then the second one is here. Those are highs again breaker blocks or mitigations blocks inside of the daily and the 4hour F value gap. In this case we refine this to the 4hour which is now the extreme per valley gap. And you see where did price react from the first time is sniper entry here going higher and then where sniper entry again going higher. That's a fair value gap that we could have been trading from. Now take a look at this. This was also a daily fair value gap. You see this was a wick. So it was not part of a fair value gap. There's no fair value gap here. There's only one here. And there is this one that was just way below even before the fair value gap is created. So the main fair value gap is this one actually. So I could have adjusted this just like this and that's our high probability for valley gap. Simply it was not respected here exactly. We broke above it and we came lower. If we had a confirmation, it's going to be a losing trade. If there is no confirmation that then it's not going to be a trade. Now, again, the same thing to this daily fair value gap. We ask ourselves this question. Do we have a 4hour fair value gap here? We have this small fair value gap all the way here, but this one is more significant. Even though this is the extreme fair value gap, but that's not where the real displacement happened. It's this one. So, we're going to adjust this to our 4hour fair value gap. And then ask yourself this question. Do we have an overlapping here? There is one but it's not that obvious which is this pullback this low inside of the fur valley because we broke through it and again where did price react from again those levels here exactly at the low overlapping and the low overlapping again inside of the way 4hour fair value gap inside of the daily. We take a look at this again that's our daily fair value gap. Now take a look at this. We have one fair value gap here. No fair value gap here. One here. Again, you ask yourself this question. Now, this had a displacement. So, it's not the first example where the first candle or the first F value gap had no displacement. This one actually had a displacement. So, we could have went with both. So, the first one would be right here. And then the second one would be the second one. But mainly, I focus more on the extreme. So, I'd be ignoring everything in here. And I'll be looking for this one with overlapping. Where do we have the overlapping? One is here and a second one is here. Those are the overlapping and that's where price actually reacted on the fair value gap. That's a whole process of actually identifying the high probability fair value gaps especially the overlapping and the higher time frame confluence. You see this was our fair value gap on the 4hour part of the daily fair value gap. We keep going. This is a daily fair value gap. But on the 4our where do we see it? We can see that this was the fair value gap on the 4our. Now, this one was not the extreme fair value gap. So, if we had already a liquidity sweep here at the end of the range, then that's not going to be valid. It's simply an inverse fair for value gap. But still, for the sake of the video, I'm going to I want to go over all of those fair value gaps. Now, again, this is a daily fair value gap. The same question is, do we have a 4hour fair value gap inside of it? Yes. So, adjusting this just like this, that's your 4-hour fair value gap. Where do we have the overlapping? We have one here and that's where the first reaction happened going all the way lower and then price started going higher. Do we have another overlapping inside of the fur valley gap? Yes, that's the one. So two times price came back to the fair value gap and both of the times we had a very nice displacement to the lower side. Again another fair value gap here on the daily we adjusted it to the 4our and that's our 4hour fair for valley gap. Price started going inside of the valley gap started going lower. Another one here and that's a daily for valley gap. Now, here's the question. This is a daily fair value gap. Do we have a 4hour inside of it? Yes, we actually have this one. However, this is already fully rebalanced. So, there is no reason to trade this. We're not going to be trading this. We're not going to be trading this daily fair value gap. And you see what happened here? Probably just broke through it. It's like nothing. So, that's how we actually approach fair value gaps, the high probability ones, and we look at the overlapping inside of those. If you just follow this, you're going to be less confused, less overwhelmed from the big number of fair value gaps that that you see in your chart. It's going to actually filter out and refine a lot of the bad fair value gaps. A lot of people claim that they know enough about fair value gaps or they know a lot about fair value gaps. However, in the reality, they almost know nothing but that a fair value gap is a three candle pattern and everyone knows this. So from this candle all the way to this candle from the first to the third we have a gap here where the wicks do not overlap and that's something that is very clear and almost everyone knows about. However, what we're going to be doing today is focusing on the third candle of the fair value gap. A lot of people don't know this but the third candle actually tell you a big story about what's going to happen. It's going to actually answer a lot of question. For example, will price retrace back to the fair value gap? Will the fair value gap hold or how the reaction of the fair value gap will be? All of those questions are going to be answered by one specific candle which is going to be the third candle of the fair value gap. Now starting with this a very significant pattern of a fair value gap. However, it happens not always but I want you to stay away from it. Okay? Because if you trade this specific type of fair value gap, note that the probability of price filling this fair value gap is going to be much lower. So much lower than your normal fair value gap. So what is the first one? It's when we have for example a big candle with a displacement. However, just focusing on the third candle. What do we see here? This was the first candle. Second candle going up and then third candle creating this fair value gap. Now the question is and think about it with me. Why did this fair value gap was not filled? And even when it was happening, I knew that it's not going to be filled only for one reason. You see the third candle, the wick of the third candle. How does it look? Price rejecting to the upside already and price closed above. So there was already a rejection happening and then there was already a lot of buy momentum to the upside and there is no time for price to come lower all the way to the fair value gap to go up again. Price did not have time to do that. The market did not have time to do that. However, if we go to the lower time frame, we're going to have another picture. So going for example to the 1 hour or let's start with 5 minutes right so go into 5 minutes we're going to see one thing here this was the fair value gap here what happened on that week it was actually price coming to those fair value gaps on the lower time frame so price came here already saving liquidity going up that's where the rejection happened so a lot of the time when we have a fair value gap on a specific time frame where the third candle of the fair value gap already rejected with a high momentum to the upside and then closed above in a bullish way then we expect this fair value gap not to be filled most likely. So that's the situation here. Now if you go to 1 hour it's going to be more clear. What happened is we had another fair value gap on the 1 hour that was already filled. So what's the point of filling that 4hour fair value gap? Again the reaction of this or the rejection of the scandal was already a mitigation of a fair value gap and then we started going up. So a lot of the time just simply know that your probability of fair value gap being filled when there is already a projection when there is already a momentum to the upside it's much lower doesn't mean it doesn't happen. So if we switch back to the 4hour we can see that okay this did not get filled right. However we have another one which is for example this one. We had a big sell off here then a big rejection leaving a fair value gap here. It was filled. However what is the difference between this fill of a fair value gap and this one? There is a difference. You see this one took less time for price to come to the fair value gap. This one on the other hand took much time for price to come to the fair value gap. And you're going to notice this when we have that big rejection of the third candle. It's going to take more time for price to come to that fair value gap. Okay, that's a rule of thumb. And also this example right here. So what happened here after this price resting this fair value gap and you see the speed of price come into this fair value gap immediately at the next candle and then another time after three candles. However, this one where we have the big wick where if we go to the lower time frame, we're going to see only one thing. So, if I put this on another color right on green and then go to 15 minutes, what we're going to notice here is that on the red one where the rejection happened, it was really nothing but a lower time frame fair value gap that gets filled already. So, you see this is not going to get filled immediately at least, right? or the probability of this getting filled is lower. We have another fair value gap on the lower time frame and that's where the rejection already happened starting lower lower. Now taking a look at this again on the 4 hour you're going to see that it took so this is the fair value gap almost until price filled the fair value gap here 11 candles 11 candles of the 4 hour that's about 3 days or almost 4 days of price action not coming. However, on the other hand, when this F value gap was created, price only came in after one candle and then again after four candles. So, you see the difference here. So, that's a rule of thumb. When we have a big rejection already, it's going to tell us that there was already a rejection on the lower time frame. There was a mitigation of another fair value gap on the lower time frame. And it's going to also tell us that it's going to take longer for this fair value gap to be filled. So, expect to wait more or it's not going to be filled. Now talking about this fair value gap specifically, you see how it was filled. Taking a look at the left, we're going to see a lot of those examples. So you see we have one fair value gap here on the 4hour that was filled almost immediately immediately after it was created filled here getting respected and this happened a lot of times. A lot of times we have also a fair value gap here where it gets respected immediately after. So price comes here immediately goes up. How do I know which one is going to get filled? How do I know which one is not going to get filled immediately? Now, we know that there is a specific type based on the three candles that really doesn't get filled immediately. Now, take some notes. The smaller the third candle is, the higher probability for the fur valley gap to be filled and the faster it is. On the other hand, the bigger the candle on the opposite side is, the lower probability for the fur valley gap to hold. That's one thing that you need to understand. What does that mean? Now looking at this, considering this as a fair value gap, right? So this is a fair value gap. All the focus again on the third candle, right? So whatever I said before, this is the explanation. When we have a smaller third candle, then the faster we expect this fair value gap to be filled. So we have this fur valley gap here, then we expect this fair value gap to be filled faster. And why? Because now this is a small candle especially if it has also a smaller wick then we might just see a manipulation below in order to go to the main draw liquidity right that's what we think is going to happen now let's imagine that this is on the other hand has again price going up and there is already a rejection that already happened here and this is my fair value gap now what do I think is going to happen now I'm not expecting ing an immediate rebalance of the fair value gap. Take a look at this again. So we discussed the high probability one which is we have a small candle third candle right small one without rejection not a big rejection and then we have a main draw in liquidity here. So we know that okay price needs to go there. Now what is a perfect scenario for price to do? It's to come lower to this valley gap and start going again to the major liquidity. That's what I think is a high probability one. On the other hand, a low probability one. So let's imagine this is a bullish candle, bullish candle and then this one what happened or let's say this is a bullish candle here and then the next candle open here and then started going bearish and then it has a huge momentum to the lower side leaving this valley gap. That's a big mistake you're making if you're still entering from this perval gap. It could work. Yes, everything could work because the probability still plays off. However, this is a very low probability. Why? Because we see already the momentum of this candle is already huge to the lower side. So, we're not trusting this fair value gap no more. It could be just price going lower and just respecting this for valley gap just like this, right? Another bearish candle going to the lower side. So when we have the third candle, even though as a pattern, it's still a fair value gap and you could be still trading it. But after this video, you would know that a candle that looks like this with a huge candle to the upside and then another candle to the lower side almost engulfing it. It did not engulf because if it engulfves then we have no fair value gap. However, almost engulfing this and leaving just a small fair value gap. This doesn't mean that this fair value gap is going to hold. Actually it's the lower probability for this fair value gap to hold. Right? So this is a very low probability fair value gap. On the other hand, if we have something like this and a smaller uh body and a smaller wick, then expecting this to be an immediate fill to go up, right? We're going to have a market makers model and as big as this one is going to be, we're going to have a bigger market makers model. Now let's go again to the Forex chart because what I was discussing is NASDAQ forex chart. This is New Zealand dollar and US dollar and I thought that it's going to be a very nice case study to go over the fair value gaps that were created. Okay, so starting with this one, you see what do we notice here? We not a huge one but a big one, significant one compared to the others uh that happened at a fair value gap. What do we notice here? That price did not fill this fair value gap which is the one above immediately and also it was disrespected later. It took a lot of time for this fair value gap to be actually hit 9 hours. On the other hand, this is only 15-minut time frame. On the other hand, if we take a look at any other fair value gap and what do we focus on? For example, if we go take a look at this, this was a fair value gap created after a liquidity sweep. But what do we notice here? An immediate retest of this fair value gap or an immediate rebalance of this fair value gap. What's the reason? Do you notice how big the wick of this candle is? Very small wick and price already, you know, going bearish into the fair value gap. not a huge momentum leaving a small fair value gap like this where that case doesn't really happen always. So that's going to only happen using a lower time frame. However, on the higher time frame, you're not going to notice that happen a lot because either it's leaving a wick into that fair value gap or it's not creating a fair value gap at all. But just make sure that if you see something like that case, then ignore entering. Now, what do we see here? An immediate reaction of the fair value gap going to the upside. Now, if we go and take a look at any fair value gap that has a third candle that has a small wick, you're going to only notice one thing that price actually filled that fair value gap immediately. Especially if this third candle did not go bullish. So, if the third candle if it's going like this one and then going up two, right? And then the third candle determines if we have a fair value gap or no. However, third candle goes like this. So let's say price goes there and then third candle closes bearish in this case. Now the probability of this fair value gap to be filled is higher and faster unlike if we have just a bullish candle to the upside because the retracement and you know this candle itself tells you that okay we want to go up faster right but if we retrace to the downside it means okay we are planning to retrace get a fair value here to go up. So really this third candle tells you a whole story even if we're going to continue wub or we're going to retrace and how long it's going to take. Now taking a look at this example. Another fair value gap. The third candle on this case in a bullish fair value gap pattern. The third candle is being bearish with a small wick right here. Very small wick. Right. What do I expect now? An immediate rebalance of this fair value gap. And that's what happened here. Immediately price come into that fair value gap. There you go. And then going up. Now take a look at any fair value gap. You see there's this one with a small body. Immediately on the next candle, it's tested. Now, however, when I say this a bullish fair value gap, however, the third candle was bullish unlike this one where it was bearish. What does that tell us? It's an indication that it's either the fair value gap is not going to be filled immediately or it's going to take longer or we might just push up without coming back to that fair value gap especially if we create another fair value gap above it. In this case, price came to that fair value gap but you know not even to the 75% of it only like slightly come in here because we had a very clear draw in liquidity on the higher time frame. So price only came here started going up and also this one it did not fill that fair value gap immediately. It took more time for price to come to that fair value gap. However, here as price was closing bearish on this bullish fair value gap immediate rebalance of that fair value gap and this happened over and over you know over and over the same scenario goes on and on and now here now discussing this bearish fair value gap on the other hand what do we notice the third candle what's the color of it it's bearish and it's you know it was a displacement candle also closing below that's a breakaway gap we expect this fair value gap not this one actually this one but this one had a huge huge candle to the lower side creating also another fair value gap. Now this fair value gap we know that it's really hard for this fair value gap to be filled or it's going to take longer for this fair value gap to be filled. On the other hand price created another fair value gap. Now why even though we had a bullish candle here but why this fair value gap it's not going to be filled immediately only for one reason. And what's the reason? We had this big retracement already. So price already retraced on the lower time frame and started going lower. So there was a bearish momentum going on when we created this fair value gap. So again we're not expecting this fair value gap to be filled. Now this fair value gap we could fill it right because it did not have that big rejection. There is a rejection but it was not too big. If we go deep into this on the lower time frame for example 1 minute we're going to notice that price actually came to a fair value gap. So you see this was the rejection here and it was price coming to this one minute fair value gap and swing this liquidity. So you see it's more clear when you go to the lower time frame just to see what happened here. So price was retracing into a lower time frame fair value gap instead of going to that 15minut per valley gap on the higher time frame. So that's the difference. These are six fair value gap secrets almost no one knows straight from seven years of trading experience and after this you will never see fair value gaps the same again. So what these tech secrets reveal is that which fair value gaps are high probability, which fair value gaps are actually created to fill and where to enter with position inside the fair value gap. So simply how to have a sniper entry, how higher time frame and lower time frame fair value gaps connect and more. Make sure to watch and apply all these six secrets because they all connect to each other. So why do we need to look at these uh specific secrets? Because fair value gaps can actually form everywhere and all the time. So how do we distinguish and only focus on high probability that is the way. So we want to focus only on high probability fair value gaps that will actually uh give us a good entry with the right direction instead of you know trading on fair value gaps that are actually created to just you know fail. That is the main reason they are created. And there are some there are some fair value apps that are created as liquidity. But most people and most beginners do not realize that and again this comes only from experience. No one else will teach you this. The first secret is the internal analysis of fair value gap. So if I ask anyone we have a fair value gap here and then a lot of people are going to set a limit order here. Some people add 50% which is something that we're going to be talking about. some people at the end of the imbalance. But what [clears throat] if I tell you that you can actually minimize this zone here. So instead of entering here when price can actually come here and when you have a lot of possibilities. So price could actually react from here or from here or from here. We can actually perform an analysis that is in the fair value gap. So an internal analysis of the fair value gap that actually can give us a hint of where price can reach inside that FG. So instead of having a lot of scenarios and a lot of possibilities, we can actually minimize that. So the internal analysis is the lower time frame analysis based on liquidity inside of a higher time frame for valley gap. So we are using lower time frame and higher time frame and we need an alignment. Now the alignment is one that I always uh you know go over. So if you're using a 15inut per valley gap you're going to use uh an analysis on the one minute. However, it's better to go over all the time frames because each time frame lower is going to tell you something. So if you have a 4hour imbalance, I would say go to the hourly and go to the 15 minute and then maybe lower to the 5 minute or 1 minute if you want more details. But it's going to lead to more scenarios, more possibilities. This could be the way you have normal fair value gap going from here to here because this is where the um low of this candle and the high of the scandal not overlapping. This is the gap here. Now we have normal fair value gap here and we could have a real fair value gap being here and that's something that we're going to learn. Now real fair value gap could be based on another imbalance or a liquidity level. both of these. Before we continue, I've taken everything I've learned over the past seven years and put it all into one place. It school inside you'll find structured courses including the exact strategy I use every day, the edge model. These are some of the trades that I do share before happening and I did take with my community members. You're welcome to join if you want to make the real change in your trading. Let's continue. So an example of internal analysis of a fair value gap is we can see a lot of fair value gaps here. But how can we predict that price react from here instead of the beginning of the fair value gap. Now these are some of the things we're going to be uh covering on the next slides where we're going to set filters and we're going to know exactly where price is going to react off. But now we're just going to apply the internal analysis. This one you want to actually blend with the other uh concepts and the other confluences we're going to mention today. So make sure to stick until the end. Now we do have this imbalance as an example and it is high probability one because we break the main structure and it is the extreme one. So we always focus on the extreme ones. Uh this one we don't take it. We don't take this one. We focus on extreme ones of the moves. Now this one here how do I know where price can actually react off? why uh it reacts here. Now, we're going to discuss the first touch of the F Valley gap on the next ones. But how do I predict this one in a mechanical way? What I'm going to do is go into lower time frame. So, what I can start with first maybe hourly if you want to. So, on the hourly, what I can see here inside of this 4hour imbalance is imbalance. Another one. So, we have two imbalances. Price could actually go to any of these. Price could come to this one or the extreme one here. Uh now we go to 15 minute and see what do we have inside. Now here is 15 minute is the most important one because it's the one with the time frame alignment. Uh if we have the enough details on the 15 minute we stick with it. If not we go 5 minute. Now take a look at this. From here to here we have imbalances and we have this first touch. That means we focus on liquidity here which is this one. This one is a liquidity level because we have a mitigation of a fair value gap but not fully. So this one becomes a liquidity level. It's a high inside of here. Another one is here. Now when I have two uh liquidity levels these are the levels where the reaction is going to be. Now sometime even this one is going to give a reaction go lower and then price is going to go up find a reaction from here and then going down. So both of these can be used. For example, this is the first one here. And I'm taking a random example here, but I know that based on probabilities and uh statistically it happens a lot. So this is the first level. You notice price respect with a week going lower and then uh you know continuing going lower. Now what happened is after that because this is now the first touch of the imbalance which is going to uh be another secret we're going to be covering later. Now, one thing you can also do and it's one of the secrets to is taking a gown box and looking at 50%. And we're going to focus on liquidity levels above the 50%. Now, this one, this is a quick filter when you have multiple ones. This is the only two levels we have. This one is about the 50%. We're going to mark this and see the reaction. If you notice here only price you know going few candles above going lower and then just pushing to the uh downside aggressively retracement and then price moving lower. Now if you go to the 4our and look at any other fair value gap. Another one is this one. So this is the uh fair value gap. We have the [clears throat] first touch here. We have second touch here and then we started going up. Now uh we have a break structure as well. Now we're going to look at 15 minute of that and we're going to apply the same thing. What do we look for liquidity levels? This is the liquidity level and this one. Now maybe the filter is looking at 50%. Which is here and then marking our level. So first level is here. The next level is here. Now this one it can be you know used but mostly I want to focus on levels and uh you know highs and lows that has fair value gaps above and below. This one could work this one could work but this one is the highest probability one. So this one and this one but since this one is below 50% is the one that we can use. Now if I take this one this is the first one and notice this is the first move that happened after. So price immediately going up. We have another one here. And this is exactly what happened. Snapper entry. And if we use the edge model here, the entry is going to be just like this. And then look at how much reward to risk you can get out of this huge. Now, not necessarily going to hold until there, but even here, that's a huge one. Now, this is simply the internal analysis. Simply, we're looking at a fair value gap. And inside of that fair value gap let's say it's a bullish one but on the lower time frame what we uh had happening there is something like this. Now when price comes down after going down the levels where the reaction is going to be coming off this one is the first one and second one is here. So what's going to happen logically is only when you switch to the lower time frame and you perform the internal analysis. You're going to know that first reaction is going to come from from here. Maybe that's the first touch. Second one is going to be from the second level and maybe that's the final one. Now secret number two opening and closing price overlapping. Now we want to understand what do I mean by opening and closing price. Whenever I mention this either opening and closing or closing and opening it's the same thing uh depending on where you can see it from. Now these two words here opening and closing means we're looking at opposite color candles. Now we want to understand this in order to understand what's coming next. So I want to see the overlapping of these two patterns either this one or this one inside an overlapping with a fair value gap. So what is this uh bearish candle and bullish candle? What do we have here? Opposite color candles. We have this one bullish candle and bearish candle. What do we have here? Opposite color candles too. So either bearish to bullish or bullish to bearish. These are opposite candles. Now the opening and closing prices here. So we have this candle opening here, closing here. So we have a closing and opening which is here. And we can just say uh opening price or closing price either of these. Now here same thing closing and opening. This is the level that we're going to focus on. It's the opening and closing or closing and opening. Now this secret is going to actually refine the fair value gap when we have an imbalance from here to here as an example. And when I see that opening and closing price overlapping with the fair value gap. So when I see something like this where we have a price action leg just like this and then going lower and creating an imbalance here this is going to make us refined the valley gap in a much better way and we can have sniper entries here and much refined entries. How is that? We have a bearish candle here, bullish candle here and then maybe a bullish one after bullish one after and then a bearish one and then we start a price action leg that is bearish to the downside breaking this one. So as we are breaking this one, we are creating a fair value gap here. When we create that, we do have this bearish candle and bullish candle which are opposite color candles. We're going to mark the opening price or the closing price. Mostly you want to focus on the closing price of the first candle of this pattern. And you want to take it to the right and you want to see is it part and overlapping with the fair value gap. If it is, that's where you're going to look for price to go to. Now, sometime you're going to have first reaction coming of the wick of that uh specific pattern. So, sometime it's going to come from the lowest wick. Maybe this one here. And you're going to see first reaction. So, something like this first reaction and then going to the opening and closing and going lower. Each will give you um you know some reward, but mainly you want to focus on the opening and closing price. Price comes here and you can enter here. You can refine more that price is going to come here. Now sometime we're going to have another type of opening and closing price. What is that one? Now here we can [clears throat] see that price is going up and as it's going up what we had is bullish candle then bearish candle and then another bullish candle going up just like this and then going lower breaking this low. Now if this low here where we have um you know to the next of it we have a bearish candle. So we do have an opening and close but this one does not overlap with the fair value gap. So let's say this one here does not overlap with the fair value gap which is this one here. Okay. What we have is another one which is the opposite. We have one you know from the top of that pattern which is bullish candle and a bearish candle. Now we can actually mark this opening price here and the closing price and then refine it to look for uh you know entry from here. So we either have this type of pattern or this one and this one is considered a lot of people consider it as a shoulder and it is a shoulder. This one is just you know uh a support level being broken now becoming a resistance and this is what I teach in school in a much different way though. So these are two patterns that when you can actually uh find and focus on when it comes to F value gaps, they're going to give you much precise entries and you're going to refine your F value gap much more. Now when it comes to opposite color candles, uh we're going to see here as an example this imbalance which is the one we've talked about on the uh first secret example. If we just analyze this. Now if we take the first filter which is the 50% which we're going to be discussing later and we're going to understand that when you watch the whole video if we take 50% and focus on above. Now what is the first opposite color candle that we can see here. Now forget about 50% below it we have this one which is two levels that are almost the same. And if you notice we have up candle down candle and then up candle. So what do we have here is opposite color candles and what do we have is the rejection from here exactly from that level aligning with the F value gap another one is here this one is the most obvious one now sometime I'll take this yes this something that I teach but for you you can actually stick with this one and this is where another reaction comes from so we [clears throat] have this level which is opposite cutter candles we have down candle up candle and we have the opening and closing prices Here this is overlapping with the fair value gap. We can take that one. Even some other examples below here and this is the other type. Same as this one. A big imbalance but only price comes to here. And why? Because we have opening and closing prices here. And this is something else. Again, no one is going to teach you this. We have this one. That's where the reaction happens from. Otherwise, if it goes lower, it's going to react from here. Some examples on gold are these. If you notice, we do have this big imbalance. Uh now you could apply the 50% but without it where could price actually go to? It could be this one. This opening and closing price which price actually didn't go to. But we also have this one here. So these two very close to each other and that is where price actually goes to. Now applying 50% it's going to tell you that these are the levels. So 50% and below this is where you focus on. So simply just like this. Now another one is and this one I actually uh entered a trade based on using the edge model uh with my community member. You see this one here we have closing price opening price opposite color candles. This goes from here to here and you see inside of the fair value gap this is where price goes. Now if we apply the 50% again it's not going to be happening every time but a lot of times when we have this opposite color candles and we have 50% a lot of time bodies are still going to respect this one but it's going to wick all the way to the 50%. And this is what happened here and you will see this happening almost everywhere. So if you notice we have a consecutive fair value gaps one reaction from here and another one from here and this was the final one and same thing here we have an imbalance actually I don't think this one is aligned not really this one is not aligned with the imbalance so yeah simply you want to look for confluences you want to look for the opposite color candles overlapping and aligning with the fair value gap secret number three the 50% fair value gap rule now when you have nothing. You have no other confluence and you have nothing overlapping with the fair value gap. What do you focus on? And even if you do the internal analysis, you're going to see nothing. And regardless of everything, this is the first level that you know, regardless of any other confluence, it's the first level that you're going to mark because it's very simple to um, you know, determine and find. So, you're going to do that. You're going to look at your feral gap and mark the 50% of the fal gap. So you can have a Fibonacci here, a gam box and then look at the 50%. This 50% level is where most respect and reaction happen. So if you just want to take your fair value gap understanding and fair value gap probability to the next level, all you can do actually the least you can do is instead of focusing on anything on the fair value gap. So any level any quarter on the fair value gap, you focus on 50%. And that's going to take your win rate to much higher. So simply instead of looking for price to come here to the beginning of the fair value gap and going up. No, I'm going to only look for confirmation when price goes to the 50% and show reaction of there. Now if it goes lower and respect to 50%, I'm not going to do anything. I'm only sticking to that level. Now what if we have based on this 50% fair value gap rule? What if we have multiple fair value gaps? So we have one here and they are consecutive. So one here, another one here and a third one here. What do we do here? We have three different fal gaps. One, two, three. What we can do is take it from the beginning of the first fair value gap to the end of the third fair value gap. So from here to here and probably if you switch to another high time frame we can see the fair value gap on the higher time frame being very close to the um fair value gap that we draw from the beginning of the fair value gap to the last one. So probably the higher time frame fair value gap is going to be very close to this one. So when we want to apply the 50% fair value gap on consecutive fair value gaps, what we can do is take it from the first one to the last one and then draw the 50% actually look for the 50% of these consecutive fair value gaps and this is going to be the level that you want to focus on and I'm going to show you examples on this. Now 50% [snorts] fair value gap rule. So uh simply you want to use a g box and then these are the settings. So you want to uh just have zero and 0 five and one and you want to take this into any imbalance when you take this. So I'm going to take it to this one here. And what I'm going to do is I'm not going to execute anything. I'm not going to look for an entry a confirmation entry unless 50% of the F value gap is going to be uh triggered. Now will this make sure that you're going to enter every single trade? Not really. But it's going to make you focus on high probability ones. If you notice here, we get the respect of the 50% again of the 50%. However, sometime you're going to mist trade. So for example, this one here only price went to the beginning of the fur valley gap and it started going up. But also here to the beginning of the fur valley gap, but then later it came back to the 50%. So sometime you're going to even avoid losing by looking at the 50%. And same as this one. This is the for value gap that we took most of the examples based on and if you notice if you take anything below the 50% it's going to be yeah it's going to give you profit and then same thing here maybe a bit of profit this one is a major profit however after that when it come to the 50% this is where most of the move happened the real move happened when price goes to the 50%. Now same thing here where do we get the rejection almost 50%. A bit below you know if we define we only go below the 50%. So 50% is the major level that we want to focus on. And same thing here it's a very simple filter in order to you know focus on high probability and have a higher win rate just based on one single level. And if you notice here, if you have taken your trade based on any of these reactions above the 50%, you're going to lose. When price goes to 50%, this is where the real move happen. So, you know, focus always on 50%. Avoid anything that is you know uh below or above depending on the situation. And same thing here this imbalance here just a quick example. You see if you've taken this one not really if you taken this one even it's below the 50% this one goes to 50% and above and then started going lower. Secret number four fair value gap before and after liquidity sweeps actually when we combine liquidity sweeps and fair value gaps and we try to think of the logic of the liquidity sweeps. So it's going to tell us a story and this is what I realized after a lot of time of uh you know trial and error and back testing very simple way to understand it just in regard and relative to liquidity sweep fair value gap before a sweep this one is only created to be disrespected so it's mostly disrespected and inversed a lot of times people will tell you to you know trade inverse for valley gaps and some People actually do have a question of if a fair value gap can be inversed. What do I do here? Which one do I focus on? Do I focus on inverse fair value gaps or normal fair value gaps? The answer is that you need to understand the concept of liquidity sweeps and then the connection to the fair value gap. Fair value gap before a sweep mostly disrespected and inverse. So if we have uh prices going up so we have a liquidity level here prices going up creating fair value gap here after the sweep this one will be disrespected so it's meant to be inverse actually however fair value gap after a sweep so we do have a liquidity level here and then after the sweep we have a fair value gap here this one is a high probability and mostly respected so you see how just before a sweep and after a sweep sweep. We have two different things. Let's look at this one here. U this graph. So in blue we have before sweep for gaps before sweep. In orange after a sweep. So you see we break a section here but then it turns out that it's a liquidity sweep because we did not displace but immediately reversed. We do have an imbalance here. So we have a liquidity sweep. Imbalance created before the sweep. This one is and actually after when price going lower here it created a fair value gap too. Now when we have these two this one goes after the sweep. This one is actually created before the sweep. This one is meant to be inverse and disrespected. This one is one that we do not trade after the sweep. When we have this for valley gap here this one is the high probability one. So after the sweep this one we trade price goes lower. And if you notice here price going up coming lower and as it is going lower we create an imbalance here and we take this liquidity level and we fell to this place below this low. What does that mean? Now imbalance here before the sweep and then as we're going up we create an imbalance after the sweep. Again this one we trade and this one we ignore. This one is only created to make people enter. Only people who do not understand the high probability fair value gaps will fall into this. Now let's look at the fair value gaps before and after the sweep. Now as we said before the sweep they are meant to be disrespected. After the sweep they are high probability and we can actually trade off them. Now if you notice we have this liquidity level actually a high being taken here and price failed to this place above and before this we created this fal gap. Now yes we get an initial respect going up. However here we have another fal gap but there is a difference between the two. This one was created before the sweep. This one was created this one here after the sweep. Which one is higher probability? Definitely the one after this sweep. This one is meant to hold. This one is meant to be disrespected. And if you notice, yes, we get respect first going up and then disrespected and then it acts the other way. Now we have another imbalance with the previous one that is disrespected and price still keep going lower. Now notice these two. We have this one. I also consider this as a liquidity sweep because we only did, you know, uh closed one candle below. Yeah, a few candles and then immediately going up. If you switch to another time frame, you're going to see this especially after the breaker structure here. Now, this one is meant to be disrespected and the ones after this one and these consecutive candles are meant to push higher. Now, even if we take it from here to here, you're going to see exactly 50% being respected of these consecutive candles. And the one after is going to be respected. The one before is meant to be disrespected. And even here another example, we can see sweep for valley gap created before and fair value gap created after. Now there is the uh concept of the overlapping between the two. Uh we can take it just like this. Okay? Because this is actually this one here. Now we have sweep here and then another per valley gap which is after the sweep. This one meant to be respected. This one the one before meant to be disrespected. And also same thing here. Sweep before disrespected but after respected. Secret number five liquidity plus fali gap equals high probability. And this is, you know, a full strategy by itself. You can actually trade this by itself and you'll be profitable. You just need to master it. Same as anything in trading. The moment you master it, even if it's very simple, it's going to work. Just when you master it. Now, for this one, what we're going to be [clears throat] looking for is liquidity and fair value gap. And what does that mean? I want [clears throat] to see liquidity level being aligned and inside of a fal gap. Now mostly I don't want to see price going to 50% in the beginning. So I want to see this for valley gap. And in simple terms the first touch of an imbalance is mostly not the last one. It's not going to be the last one. When price goes to the beginning of the fair value gap and then give a reaction. Just know that it's not going to be the last one. A lot of times it's not going to be the last one. So we want to trade the second or third touch. We have this high now inside of a ferv valley gap. Price goes lower but failed to continue goes up takes that high and this is where you want to enter. You want to take a lot of times the second touch of the ferv valley gap. First one is going to be for people who are just you know trading you know the beginning of the fair value gap and not focusing on either internal analysis or 50% or the other confluence. Now if we have this um opening and close here and it is part of the imbalance and price goes until here I want to still see price come to this level. Maybe the second touch will go to that level and here we have more confluences. So you want to focus on the second touch of the fair value gap and consider the first touch as a liquidity level. That's it. Now you also want to align this with the other secrets and the other confluences we discussed. So this here liquidity sweep a fair value gap before is invalid. Fair valley gap after also with a breaker structure is valid. You want to focus on this one. Maybe you want to take your 50%. And then we have a liquidity level here. You see how we are stacking confluences here and this what makes any fair value gap a high probability one. Now why do we need more confluences? more confluences. It means more factors holding price, not just the fair value gabalone. So, we're not looking at the fair value gabalone and not a random one, but we are stacking confluences making this a much higher probability. Now, imagine two things pushing price higher. we have a moving average and you know um a support level and a fair value gap and a breakup like all of these things instead of just focusing on a fair value gab itself. So as an example, fair value gap plus open and close plus 50% of the fair value gap plus any other confluences. The more confluences you have, the better and the higher probability your setup is going to be. How can we see this real time? Some examples of that is we first want to highlight and you know uh look for a high probability for value. So for example this one which broke structure and we can see that it's the extreme one. So we're going to mark this one and then you want to look for the first touch of that imbalance. Now some people would consider this and yes it could be. So this is the first touch of the imbalance and you want to take that first touch as a liquidity level. That is the main premise of this is that we want to see a fair value gap that price touches for the first time and we want to trade it the second time. We want to trade that sweep. Now for example this one here that is the sweep and that is the trade that we can actually uh take. So you could go to lower time frame and look for the confirmation that you have. Another approach is applying the 50% rule. That is one thing. Maybe looking for other uh opening prices which is this one here. And maybe you could also look for the liquidity. Actually let's look at the liquidity. I mean the internal analysis simply so 50% is here above it we have nothing so this is the first liquidity level and as we said again another one is here this is the second one do we have another one not really so these are the two levels that I'm looking for based on the internal analysis and this is the third one based on the opening and closing prices now back to the 4hour time frame and you see the first touch is here based on that level. First touch is here. So this is the second touch actually and we get huge respect now above it. This is the other level price comes here. Now there was another sweep. Yes. So maybe even if you enter here you'll be out depending on your stop loss size. But you see respect from here and then going lower. Now what do we see here? If we notice we have consecutive F value gaps here. Actually multiple ones here. Let's apply the 50% rule. So 50% rule is this is the 50% and actually this is where the respect happened and we do have also some uh other levels that are not too clear. So and also price did not reach this level but then where's the first touch of this imbalance first touch is I want to consider first touch. So if we have this imbalance price is going lower. It's not going to be part of this. It's going to be when price gave a swing point. This is the first touch here. So I'm not going to consider this as a first touch or this one or this one. No, I'm going to consider this one here because this is a swing point and then we want to trade the sweep of that and this could be your entry here. So you could look for a confirmation entry from here. Now even here if we look at this imbalance even though I don't consider the highest probability one where's the first touch this one. Second touch is here. This is your trade opportunity. Now into the 50% it's going to be your third touch into 50% and that is another trade opportunity too. Now secret number six higher and lower time frame for valley gaps. This is something not a lot of people understand until I made a video specifically about this but I'm going to give you an overview about it here. There is a relationship that is a lot of time hidden between higher time frame and lower time frame fair value gaps. So we need to understand that not all fair value gaps are equal. In short, higher time frame dominates the lower time frame. So the higher time frame is always stronger than the lower time frames. And when we translate this into a fair value gap perspective, it's going to tell us that fair value gap on the higher time frame are actually much stronger than the lower time frame fair value gaps. So you need to understand the relationship between the two the higher time frame and lower time frame in order to know which one is most likely to be filled which one is most likely to be disrespected and all of these things. So 6.1 and that is the first part of the secret is that higher time frame fair value gaps blocks lower time frame fair value gaps from being filled. Now how do we see this in the chart? If you notice again, blue is higher time frame, orange is lower time frame. If we have something like this where we actually have a 4hour fair value gap here and then when we switch to the lower time frame and we're looking at the same price action link from here to here, we can see that we have 15 minute fair value gap, 15 minute and 15 minute. But these fair value gaps here, they are nothing on the higher time frame. We only have one fair value gap here on the higher time frame. When we have this, you're going to know that a lot of time and most of the time higher time frame fair value gap is going to prevent that lower time frame fair gap from being filled. This is what's going to happen. So price is only going to go to the higher time frame fair gap that is very close to the price action unless sometime uh price wants to go deeper. Yes. But a lot of time the higher time frame is going to prevent the lower time frame from being filled. And this is where price is going to go to and then going up. So these lower time frame for valley gaps the more you refine the more you go deeper it's going to give you less probability for price to go there. So yeah, sometime price can go here and it's still high probability but I'm not talking about high probability and low probability about the level working or the F value working but more into if the probability of price going there is actually high or low. So there is a big difference here. Here the probability of price going there is actually lower not the probability of that fair value gap working and being respected. Now 6.2 2 is kind of the opposite or the other way of seeing it when we have higher time frame being lower and the lower time frame being above. So 6.2 says that higher time frame for valley gap will actually make lower time frame for valley gaps being disrespected. So so it's going to disrespect lower time frame for valley gaps or it's going to cause that to happen. How do we see this? We have three fair value gaps here that are on the 50-minut as an example and we have a 4hour fair value gap on the lower side. If we take this single price action leg these fair value gaps because we have a fair value gap that is higher time frame but also lower than them is going to cause any fair value gap on the upside to be disrespected. Now maybe sometime it's going to give a reaction. Yes. But eventually the real respect is going to be coming from the higher time frame for valley gap. So if it is lower than the higher time frame for valley gaps, this is where the respect is going to happen and then we're going to go up. So higher time frame for valley gap is going to make lower time frame for valley gaps being disrespected. Now the connection or the relationship between higher time frame and lower time frame for valley gaps. We discussed that higher time frame is always the most dominant one. It's where um it's going to be respected. The lower time frame is going to be disrespected if there is a higher time frame. So if you consider this based on the hourly or let's start with a 4 hour for example. Okay from here to here. Now if we look at this range, we have a fair value gap here, right? And we do have one here and we have one here and also from this range, we do have an imbalance here and a few others here, one here, another one here and one below. So if we take a look at this, why did price disrespect this one? Why did price disrespect this one? Now, even though it gives a reaction of there, but it's not going to be the ultimate entry where it's going to last for a long time. What's the reason here? Now, based on the hourly, because this is the time frame I want to use here, you're going to see actually a lot more imbalances. So, one here and then uh a few below. Now, if we go to the daily time frame and consider this as our higher time frame, there is nothing. So you know daily can be a higher time frame and lower time frame depending on what are you uh comparing it to. Okay. So if I'm using hourly daily is going to be a higher time frame for me. Now notice this from this range we had a lot of fair value gaps here and you know a lot of fair value gaps to look for but then this is the daily fair value gap. Now we have a lot above. Now sometime yeah we could uh go deeper into other levels and today we only talking about fair value gaps but there are some other levels that we could also have opportunities from. Now as I remember we had a lot of hourly fair value gaps here. It gave a reaction. Yes. But then eventually price decided to go to the daily imbalance. So all of the lower time frame fair value gaps were disrespected and the higher time frame was uh the respected one. Now, same thing from this high to this low. If we go to hourly, you're going to notice that we do have a lot of imbalances. One here, another one here, another one here. But then the one respected, if we go to the daily time frame, where do we have the higher time frame for valley gap? It's this one here. Now, we want to look for maybe lower time frame for valley gaps or refinement based on this based on this. Okay. So we're going to go to hourly now and where do we have we could now do our internal analysis or the other confluences but you see all of the for valley yes we're disrespected only one based on this only the higher time frame one uh yes sometimes slightly above sometime just at the 15% depending on the other confluences but this is where the respect happen now comparing this the same way because we do have a daily um imbalance here. Even if we have a 4hour imbalance here or hourly imbalance, same as this one. This one was also this one here. There are few imbalances here. Even though they have liquidity, price did not go there. And why? Because we do have a daily compared to the hourly. Daily is higher time frame. So fair value gaps here are going to be disrespected. Fair value goes above a lot of times are going to be remained unfilled or price is not going to go there. This approach transforms low reward to risk trades with wide stop losses into precise and sniper entries with tighter stop-loss and much higher reward risk. Some of the questions that I'll answer, how do you get sniper entries using fair value gaps and liquidity? How can you predict how much of a fair value gap would be filled? How do you blend fair value gaps with other PD arrays? What is fair value gap internal analysis and much more questions. Make sure to watch the video till the end as I'll also share a complete trading plan based on today's concept that you can follow easily and start getting high reward trades just like me and my students. Let's begin. So that is what we're going to be discussing today. Let's imagine that this is a fair value gap which is a three candle pattern where the low of this candle does not overlap with the high of the candle. All right. So that is the fair value gap. But I'm putting it here imagining that this is the wick here and this is the wick. So that is the fair value gap. What a lot of people and most people actually they're going to look at this for value gap maybe take a quarters or measurement tool here with a quarters and focus on 50% focus on a 25% retracement 75 and sometime fully how I see a lot of people doing it also is just entering at the beginning the fair value gap and then either cover the high of the fair value gap or cover the swing high that caused this fair value gap. Now with this method just entering randomly from here you're basically sacrificing a lot of reward that you know you could take which is entering from 50% or from here but this is not enough also because sometime you could enter from 50% where price can go here. Now how you could predict this and instead of just entering from the beginning or 50% and then sometime price will hit your stop loss if you put it slightly above then this method here will allow you to know where exactly price can go into the fair value gap. So you see this 50% but I've done this a lot and people ask me how you do it. This is the answer. I predicted that this fair value gap would be filled until here. Now, I do not get it right all the time and you will not be able to do that because there is nothing that has a 100% win rate. However, you could get it a lot of times and you could, you know, take more rewards than before when doing it the traditional way. All right? So, I'll teach you how to know exactly where price will go into a fair value gap. So, the question will answer for example, we have this fair value gap. So the question will go with why did price retrace all the way to here and all the way to here and why did price react from here first then from here second and then here and then here. So these are the questions that I'll answer in this video. First of all we need to understand what are we going to rely on on this method. We're going to be relying on internal analysis. And this is something that I taught before, but I believe not a lot of people paid attention to it and I called something like this where we have normal gap and then I called it MFVG. That's just my naming for it. That is the MFVG here which is the one that you're going to get the sniper entry from. That is what I thought and today's video we're going to take another approach and different scenarios that we can rely on. So now if we look at this FA gap also this one why did price retrace only to here and not here same thing why only here and that is going to answer a lot of question also this one why did price go all the way to here and not just stop here or here or 50%. Let's imagine this as a fair value gap that is bearish right now. This is a 4-hour fair value gap that we can see just like this following a time frame alignment of 4 hour to 15 minute. You could also go to the 1 hour, 30 minute and the 5 minute including the 15-inut also. Um the more you go lower the more details you can see and the more noise also you can see. So inside of this fair value gap what we can see where it was created you could see something like this right now this is and this is where the fair value gap was created. You could see something like this in the 4 hour you see nothing on the 15 minute you see this this is where the creation of the fair value gap was happening on the 15 minute and this is what we're going to be taking advantage of. This is what we're going to be focusing on. So this is a 4hour fair value gap what a lot of people would do and this allows you following this method you could scalp based on fair value gap. So you could take small scalps based on reactions of levels not always just you know spotting the highest one but you could spot any reaction of the f valley gap. So this is a 4hour f valley gap. Now the time frame alignment that we're going to be following for the 4 hour is 15 minute. That is the main time frame. However, you could also look at the 1 hour, the 5 minute, and then the 30 minute. Okay? So, you could take a look at those, but the main one is going to be the 4 hour for the daily, the 1 hour. Also, for the 15 minute is going to be the 1 minute. All right? And I always talk about those uh time frame alignment. So looking at this fair value gap here on the 4 hour before looking at the fair value gap we want to agree on something that this tip that I'm you know explaining in this video is going to be the last tip that you look for in a fair value gap before everything you should look for all of the confluences all of the things that makes a fair value gap high probability and I cannot cover everything in this video that's why in the description I'll leave different videos just talking about how to find the highest probability fair value gaps and I really advise you to watch all the videos and then do this at the end and you have a perfect trading plan. So looking at this 4hour fair value gap. We're going to first take a look at the 1 hour. This is what's happening on the 1 hour time frame. All right. Now there are few things that we need to focus on and I'm going to put them in this order. First of all we want to focus on inducements. All right. which are liquidity levels and mostly on this situation we want to focus on liquidity levels that has POIs above in this case because we are in a bare scenario we want to focus on highs that has POIs above all right that's the first thing second is order blocks and then third we want to look for overlapping these are the three things that we want to focus on all right now on the 1 hour time frame you can see that we have this big fair value gap here this is all rebalanced. So mostly now this is the first step. Mostly we can see that there's no real fair value gap here. Here is the fair value gap. All of this is already rebalanced. Now we want to focus on this zone more. That does not mean that we will not have reactions from here. But this is where the real reaction is going to be at. All right. So that is the first step. Now looking at the 15-inut actually I'm going to make another rectangle here and then go to the 15 minute. And we want to think all together what do you see here? What do you think is happening here on the 15-minut time frame? The first thing that I can see is that this is the 1 hour fair value gap inside of the 4hour F value gap. This is all rebalance and this is the real fair value gap. So the reaction would be from somewhere in here. The least that you can do is instead of entering here or entering from the 50% you could have your limit here. That's the easiest thing. Okay. Okay. Now we can refine it more but that's the easiest thing which is entry here instead of here. So let's say that we find an entry here and then targeting the lowest low here. The body of the lowest low taking this entry is a 4 to1. If we take the beginning of the fair value gap that is 2 to1. So that's you're losing basically half the reward that you can actually achieve easily by just following one step. So that is the first thing we have. What another fair value gap that is not filled that is fully not filled and not rebalanced on the 15 minute what do we have and that is the main time frame basically we have this inducement here inducement high that has a fair value gap above that is the first thing what do we also have we can have we can see that we have this high and this high so equal highs or relative equal highs that are almost at the beginning of the valley gap so marking that one as I said we're looking for what liquidity and also inducements. And then looking at order blocks, um I do not see any order block here. If there was an order block here, you know, one single bullish candle followed by, you know, consecutive bearish candles, we could look for that one. What do you also see here? What I can see is that we have this one. Actually, this overlapping is very close to the inducement. So, I'll take the inducement. And do we have any other overlapping? Actually, this one, but it's out of the Fair Valley gap. It's not part of the Fer Valley gap. Now five minute time frame we have also this inducement. So I could you know 5 minute is less significant. This is the 5m minute here. Um I could focus on this also but not really uh not as much as the 15minut. Now back to the 1 hour because I saw something I guess which is this overlapping. You have this overlapping and that is another level because we said we also focus on overlapping. This is an overlapping that we can trust. And when you have multiple entries or multiple uh you know areas or lines or POI whatever you call it, you either can scalp all these levels. That's the first thing. Another thing is you could focus only on the extreme two. What does that mean? We have one, two. This is actually not I'm going to put it just like this because it's not the highest probability. is on the 5m minute where we have all of these on the hourly and 15inut. So these are all higher probability but this one I'm just putting it here in case if I see a confirmation from there. So we have 1 2 3 4 where are the top two? This one and this one. So you take those two. Okay, that is the second one. The second method especially if you are entering off limit orders. Now, if you want the best entry, you could take the extreme one, right? And then, you know, stop loss slightly above the fair value gap and then targeting whatever you want. Um, you could take also you could you could put a trade here, another one below on the second level and then same stop. So, in case price does not go here, you're entering off this one and then I don't know, [clears throat] take profit anywhere. But you see the difference. This is 4:1. This is 7:1. So three more% if you're risking 1% that you're losing here. However, you could also scalp off those levels. So if you go back to 15 minute time frame and we want to see how does price react to these levels. So playing the price action and see first one price comes here and then bearish candle. So it's more reaction and then it goes up again. Actually it's respecting the other level that we mark on the five minute time frame. And then you see pushing lower. So the 5m minute was actually a refinement of the 15-minut and price is actually respecting both. So in this candle it's respecting the 15-minute and the 5m minute. That is what a huge scalping opportunity. You could look for changes to delivery and maybe enter here or you could look at the 5m minute here or the 1 minute whatever you want. We are not talking about you know scalping techniques here. We're talking about POIs because that's the most important thing. Even when it comes to scalping, you want a POI to trade off. That is your POI. So that is the first reaction of the first level. Now playing the price action, you see how price is going to go to a zone and then push lower. Go to another zone and maybe push lower. And it's going to continuing like this. So let's see the next one. We're pushing higher. Coming again to the zone given a reaction, but we already use it. However, another reaction and price came very close to this one. However, we don't get the limit order activated here. All right, but we are creating maybe equal highs in this case and then price continue going higher. I don't know if price I don't actually remember if price is going to go up there. Okay, it went to the second one. Now, if you're having a limit order, it's activated here. The second one, price goes to the second one. And that is your sniper entry. You could also scalp from this level. You could it could hit your stop-loss. Another level here price goes lower from and then very nice orderflow sweeping a high going lower and then pushing lower if you can see. So you get this entry that is a sniper entry literally no draw down and then pushing lower. Now I'm just going to go to the 1 hour time frame to make it faster. You see price goes back there and then okay a little bit deeper. I don't know if price reacted off another level there. uh nothing that I can see. Um our first target that is 5 to one instead of if you enter from here that is going to be what 2:1 you see that's the order we're going to be looking for. The most important one for me is inducements and then order blocks and then overlapping. I would say overlapping and order blocks are the same for me. They're in the same level. Inducements are the most important ones. They actually, you know, give you these snapper entries. Now, switching to the 4our time frame, you can see nothing here. Like, how can you convince someone that you're looking only to trade this area here instead of the whole area here? This is your real fair value gap. This is your MAFG. And then this one, I'm not trading. So, anything below here, I'm not trading. I'm only focusing on this, I would say, upper half. It does not need to be the upper half but this one specifically here this zone. Why? Because this is the MVG. This is where I'll be interested in entering. How can you refine it more? By entering here. You see that is a sniper entry and going lower after. That is how you can predict where fair value gap is going to be filled. Now for any valid fair value gap you could do the same thing here. You could do for example for this one and sometime you're not going to have any clues. So you have two consecutive fair value gaps here, right? The one and two. If we go back in time and see what do we have in here. First of all, starting with the 15 minute because that is the right time frame or actually let's look at the 1 hour first. First of all, we can see this clear inducement. So instead of entering from here, I would limit it to this one. And we can actually see that the whole fair value gap here is not filled. That is something that we need to keep an eye at actually price can go all the way up there all the way on the 15-minut time frame. Anything that we can see is all right. We have this order block here. That is another thing. We always look at the bodies for the order blocks. That is another one. And I'm genuinely not sure what is going to happen here. Let's look at the hourly again. I'm just thinking same as you. We have this overlapping. I'm not really I don't think that price is going to go all the way up here. That is the actually I'm going to put a line here in case price wants to go there. So these are the areas that I'm interested in. I think maybe we have a scalping opportunity from here and then here maybe finally price is going to go go up here and then react. Let's look at the other time frames also. If if we see something new 30 minute time frame that is a very nice order block. You see hit him in a time frame. So that is an area that we can look for at least a scalping opportunity. Overlappings are not clear. Actually have this one here also, but it aligns with the order block. In this case, the upper two, this one and this one. You could have limit orders, but they are very far away. So if you're taking this one, you don't need to put your um stop loss all the way up here. Just put it here, maybe up here. And then if price disrespect this one, enter again from here with a stop slightly above. That is what we're going to be doing. Now let's see how price reacts of these levels. Actually the first one you don't need to have you should not have a limit order here. Only use it as a scalping opportunity. All right. You see uh it react to that level but not much and then it goes higher. Okay. You see you might think that you missed the trade. Maybe yeah, maybe not. Price actually went to the fair value gap here. You see? Yeah, this fair value gap actually this overlapping here. This is where price but I always look at the bodies in this case when we have a fair value gap. So this is something that we need to understand also when we have a big fair value gap and then there is an overlapping with a wick. I usually focus on the body but there is nobody here. there is no uh candle body aligning with the fair value gap. So you could take the wick. Uh for me honestly I would prefer the order block. However, you could take the wick and that is another sniper entry. However, I'll be focusing more on the order block. We're looking at the 1 hour time frame here. Sniper entry which honestly I'm not going to be taking. And then price just start going lower. And this is where we discuss our first trade. So in this case, I don't think that I'm going to be getting um a trade here. However, some people could code it because it's at the end an overlapping inside of a fair value gap. So that is also a valid one. However, it's not going to be the perfect one for me would be the order block. Now this is 1 hour time frame on Euro dollar and I'll show you how when you have this fair value gap looking for continuation to the lower side because we have this liquidity level here and then we've been bearish overall and if you're not familiar about this fair value gap you need to watch the other videos that I'll recommend. I'll leave them in the description. This method only works when we are familiar with high probability fair value gaps. So we have this fair value gap. How did I know that price will only go there and not no more like not any other level? I'm expecting price to go from here and then push lower instead of entering from here and then a stop loss maybe above the fair value gap until till here till here that is a 2.6. However, this one is a 13. So you're missing about how much? 11% if you're risking 1%. How did we do that? Let's go back in time here and see what do we have. What do we have? happening here. So removing this, removing this and let's start all together from the creation of the F value gap. This is the hourly time frame for the hourly. What other time frame we use? We go with 5m minute time frame. So that is the main time frame. However, take a look also at the 30 minute. Okay, so 30 minute we have nothing. You see how there is a potential for price to go here and here because all of this is not rebalance. Okay, let's look at the 15-minut time frame. And all of these time frames are not necessary for you. You could immediately go to the 5m minute and because 15-minut had nothing, 30 minute had nothing. Let's look at the 5 minute. You see how nothing is rebalanced here. We have this fair value gap. Now take a look at this. We have this fair value gap mitigated here and then price pushing lower. Another fair value gap here mitigated pushing lower. Now what do we have here? Do we have any types of inducements? Not really. We have nothing. No inducements. However, what do we have? The only thing we have also no clear overlapping to the left. The only clear thing that we see are these two order blocks. We have this order block and it's not mitigated. Also, we have this one and it's not mitigated. Okay. When you have two uh order blocks that are just above each other, so this one is above this one and they are very close to each other, you got to take the extreme one because most of the time the one lower is going to be a liquidity. So that is liquidity. All right. And this is the order block. Order block at the body and this is where you enter. Now this is 1 hour for valley gap. This is going to be your entry here. So, limit order and then stop. I'm not really expecting price to go higher because we have this fair value gap here which is mitigated. I'm going to maybe put it somewhere in here. Now, you can put it all the way up. No problem with that. However, it depends on your risk. I'm taking this as a risky one as I'm thinking that this is where price is going to. Now, what does this one align with on the 15-minut time frame for example? I can't see nothing. 30 minute time frame. What do we have? So 30 minute time frame, it actually aligns with a hidden order block. Hidden order block here uh inside because because we have one fair value gap, another two consecutive fair value gaps with a displacement. This is a hidden order block. Refinement on the 5 minute inside of this hidden order block. It's this one here. So that is another thing. Now limit order here. Maybe targeting the low after that is a perfect trade that you can take. So you see playing this on the 5m minute time frame. I mean, if you let anyone see this on the 1 hour time frame and you tell them that you're entering from this specific line, they're going to have no idea about what is happening and why you're entering from there. However, now you could impress anyone with this method. And believe me, no one ever will teach you about this. No one ever. So, you see entry from there from this big fair value gap. This is your entry. No draw down at all. And then pushing lower, pushing lower, pushing lower. You see that's how you get it and then going lower. Now we have different fab gaps here. Why did price reacted from here specifically? You could also switch to the lower time frame and see what is happening. I'm not going to be repeating all of this. Also see inducements here, first reaction from here, second reaction all the way from here. Uh because we're using the 5m minute, we got to use the one minute. There is no other um method here. What do we have? Why did price you see this is the fair value gap. There is nothing here. Only this order block and this order block. And you could look at this order block as a whole. So this order block or the refinement here. And we have two order blocks above each other on top of each other, right? Which one we use? And this just proves to you that this work all the time. Not all the time, but when you have the highest probability, it's going to work. And there's nothing that that is a 100% win rate as I said again. So this is your order block because we have order block. Another order block. This is going to be liquidity which is the other order block. This is going to be the one. You see taking this to the right. Could you ever have a better entry than this? And I promise you that this one I've never seen it before. I just said okay let's apply this and somehow it works. You see sniper entry here and then pushing lower. So if we enter this same thing and then maybe cover the F value gap that is how much I mean I'm not going to say I'm going to take all of this but look at the potential of this trade. Look at the potential if you target the same one scaling in you see 16 to1 that is a huge one. look at some more examples that we can see here and then from that we go to the trading plan put it all together and I'm just mentioning these a few more examples just to fully understand the idea to deliver today all right and explain today you see how we have this for valley gap and this one breaker structure so that is kind of a valid fair value gap marking this for valley gap and I want to see where can price react from so basically the First thing that I can see is this overlapping like on the 1 hour time frame by itself. So that is a valid area by itself. This is an area on the same time frame that we can expect price to go there. Now can we refine them more uh around this area around this wick and it could also take um the wick itself from here to here. However, this line here I want to see a 5 minute because I'm on the 1 hour. I want to see do we have anything on the 5m minute aligning with this overlapping. Actually what we can see is you see bearish bullish bearish and then engulfing of that last bearish. So one bearish candle and then engulfing. That is what an order block. This is our order block here. That's where we can enter. Now there is another zone that price can go to which is this inducement and this fal gap. So these are two zones that I'll be interested in buying. Play the playing the price action. So playing the price action, we can see that what happened is and we have two zones here. So you could have a limit order here and here and then a stop below both price going there week not much uh displacement below. Actually no displacement at all. And then what happened after is price pushing higher after that. See the timing was not perfect. However, it still work. Now, another favalica that I was seeing also on the 1 hour time frame and in the same zone here. It's actually this one. And what do you see happening is price reacting once from here and then twice from here. Now, I really want you to see the position of this. How precise this method is. And again, no one ever talk about this. This is my own method. So I hope that if you use it, you can mention me on uh Twitter, Instagram, anywhere. So you see one zone here, one reaction here and one reaction here. We go to the 5m minute time frame and we see what do we have here. First of all, when the fair value gap was created, this is the first touch. Where does it come from? We have this inducement and this fair value gap above it. So we take the fair value gap because we have inducement fair value gap above. We take the fair value gap. So you see first scoping opportunity from here pushing lower. Now what do we have here? We have this order block. All right, that is another one that we can also trust. But what do we have above the order block? We have an inducement. So we have fair value gap here. Hidden order block. There is this hidden order block which is around here. And then we have fair value gap above also. So that is an inducement. Now what you could have taken is this for scalping and then this one and this one as limits and then um you know the stop loss is above both the stop maybe this is the fair value gap. Let's see what we have. This is another fair value gap here. So maybe above here the overlapping also we have this overlapping. So we could lower it here at the other overlapping. That's your first entry. Second entry is at the inducement. Now tell me can you have a better entry with the inducement? Now sometime I would only take this because inducements are stronger than order blocks and that's why I say that's why I put inducements number one and then two order blocks. So if I have inducement I'll take it first. I'll ignore the order block. If I have nothing but order blocks I'll take the order block. In this case I would take this one. Now let's just imagine that we taking both and then maybe take profit here. Take a look at the procession here. Wick and then pushing lower. Let's look at the 1 hour time frame. Now, how can you uh convince anyone that you're going to be entering from here instead of anywhere in there? Right? So, you see taking that one and then just pushing lower from there. Sniper entry. Now, starting with the most important point and probably this is how you mark your structure. You're basically looking at highs and lows and you're looking for strong highs and strong lows. Now, what does a strong low mean? A strong low is a low that needs to be protected, right? So, let's say this low, it broke structure. Now, it needs to be protected. So, we're looking for this low not to be broken and we're trusting this new range from here to here. And this time, okay, it worked. Now, again, we broke structure here. Then that's a strong low. Okay, it was working here. However, when looking at this and this is the low probability market structure, this is what probably you're doing as of now and it's really bad. Maybe it's going to work sometimes, but then at specific times, especially where the market is going to be ranging, you're going to fall into this where there are a lot of breaker structure and then it gets broken. Breaker structure gets broken. So, you're going to be in a miss of price action and in a miss of a market shift. It's going to be, you know, you're going to go long, it's going to go in the other direction. You're going to go short. It's going to go into the other direction. So, it's going to be a miss for sure. Now, taking a look at this low. This low is actually a strong low also. Why? Because it broke structure. Now, you're trusting this range. As we see the pullback happening here from this high to this low, that's your range. Now, let's say you take a fair value gap here and you enter from it. Then price takes that low where you think that it's going to be protected because it's a strong low, right? This is a low that caused another high that caused a break of structure. In your opinion, that's a strong low that needs not to be taken. And if it's taken, then that's a market such as a ship. So, we're going to be aiming into the other direction if it was taken. Now, it gets taken here. What happened after? Now, you have another range. So, this is a market such as a shift. You have another range from this high where this high now is a strong high and we have this weak low that needs to be taken. Okay, you got it here. Price started coming lower. Now we have what? This high again that caused the breaker structure and then that's a strong high. This is a weak low that gets taken. We have a new range. And then we take this again. And you see that's a strong high. And again we can see that it's taken again. So two reasons here why this is a low probability market. Again it could be working sometimes but it's not going to be working all the times. And there is a much better way to actually um mark your structure. Okay. So not this way. Now take a look at this. We moved from this big range to this small range where a lot of people will be considering this again as a strong high but it's nothing but an internal structure breaker section here price goes lower takes that high again. Now sometime it moves into this market structure but not every time. A lot of the time you see the strong low that causes break structure is going to be taken in order to go higher. The real market structure is going to be like this. Price going up, coming lower, going up, breaking structure, taking that low again, going up, making a low, taking it, going up. That's going to be the real market structure. So now, why is this a low probability market structure? First of all, it doesn't take liquidity into account. We know that liquidity is actually the fuel of the market. In my opinion, it's the most important concepts to understand in the market. If you don't understand liquidity, reconsider what you're doing because liquidity is the most important thing to understand. Liquidity is going to actually tell you how to mark your structure. It's going to tell you where price is going to. It's going to tell you where to enter from. It's going to tell you the bias. All of those things are what liquidity is telling you. Another thing, it's not taking into account how big the structure is or or how big the range is. So, we're going to solve all of those problems into my way of marking the structure. And I'm not telling you here that oh, you need to use my own way. Take a look at both. go to the live chart, compare both of those ways of market structure and see which one is more reliable, which one is working the best and then you can take your decision. So this way is really a low probability way to mark your structure. It doesn't take into account the most important thing in the market which price literally does every day and every second. Now again, why is it low probability? Because it doesn't take liquidity into account. You see price going up. We have this breaker section, but then the low is taken. You're saying, "Okay, we have a breaker section here." You're trusting this range and you're entering from a fair value gap here. You get stopped out here. Now, you said, "Okay, actually that's a market shift. We have a new range from this high to this low. This high needs to be protected. But then because there is a liquidity above, there are a lot of people who are actually following this way regardless of the liquidity. And they're actually creating liquidity above this high." And then what happened after? We have this market s shift whatever you call it. We have this range from here to here. You enter from here, you get stopped out again. And the cycle repeats over and over. So you lost here, you lost here. Without understanding the liquidity, you're going to be falling into this losing tree. And now again, you see we have this breaker structure here. You say, "Oh, that's my range." Then we take the high again and you say, "Okay, actually we have a market shift testing this range. The low is taken again." So you don't understand what a strong high or low is. It's, you know, you're understanding incorrectly. Totally incorrectly. Strong highs and lows are not just highs and lows that cause break a section. There's more into it and that's what we're going to cover on the next slide. Now before covering my way of the market structure, there's actually another way of the market structure which is the ICT advanced market structure. I have a full video on this. This is still a valid way to mark your structure, but the problem with this is it's a little bit subjective. So, it's not fully mechanical. It's subjective and it's harder than the others. So, I see the advanced market section really working very nicely and it's reliable. However, you need more time to understand this and sometime you're going to actually mark those incorrectly. So, still reliable, but it's harder to understand. My way of market structure is much easier. Now ICT again I have a full video on this. We have long-term highs and lows. We have intermediate term highs and lows. And we have the short-term highs and lows. This is what ICT advanced market structure is. Now into my way of marking the market structure. So that's the Mham trading way. If you want to follow it, if you guys trust me, then follow this and you're going to see a big difference in marking your structure. It's not going to be, you know, just a breaker structure. This is a strong loan. No, because again liquidity is the main thing of the market and we need to take that into account. How do we go with this? Let's start from here as we're going up. What happened here? We have this range from this low wherever it is the low to this high. Everything inside is an internal range. Now what happened here? We had a liquidity sweep. Now we have a breaker structure here. But now you ask yourself before that breaker structure was there a liquidity sweep? If the answer is yes, then that's your valid strong low, right? So a strong low needs to have a liquidity sweep and then after that we needs to have a bigger structure. So that's actually now your strong low and then price goes up. We have this high. That's nothing but a buy side liquidity, right? So this is just a liquidity level. Price retraces lower, started to go up. Now your question is, is this actually a strong low? No. And what's the reason? Even though price retraces back into the range, started going up and then broke structure. Now in the other way of the market structure, they consider this as a strong low. But in reality, it's not even close to a strong low. Why? Because we're having this range from here to here, right? And there is no liquidity taken still. So I cannot consider this as a strong low. And why? Because it's actually a liquidity level. You guys know that my favorite liquidity level is when I have price going up, coming lower, going up, taking that low, going up, right? So, I cannot consider that low, which is the same as this one as a strong low because I know that is going to be taken. However, the traditional way of marking the structure, that's what they do. If you follow this, then they're going to be liquidity for you, right? So, this low, what a lot of people consider a strong low, it's actually a liquidity level for you in order to mark your structure. Now again break a structure here it doesn't really matter as long as we did not take liquidity we didn't consider this as a strong low price going up coming lower going up coming lower and now we are going below this low now what a lot of people will consider is this as a strong high because we have a breaker section below but what you see is really different we have this strong low so still we are in a bullish market we are in a bullish market structure price coming low we're taking this liquidity and then now what do we look for again a breaker structure or a market section shift. In this case, it's a breaker section because we are going into the same direction of the strong low. There you go. That's a high taken. That's a breakout structure and that's a liquidity swipe making this what a strong low. That's the right way of marking your structure. Now, price is going up, right? We took also this liquidity level. We are not bearish until we broke below this point. Now we could have an internal range or an internal market structure but the main trend is still bullish until this one gets taken. Now take a look at this. What happened here is price retracing lower into this range and going up again taking the high. So you already entered your trade and you got some profits. Now take a look at this. What happened here is price taking this liquidity level and then followed with what a market s shift. That's your change in the direction. That's where actually this is an internal change or it's an early indication that the change in the direction is happening. The change of the trend is actually starting. But the main one would be closing below this strong low, the previous one. That's your main one. And a lot of the time if there is an internal change in direction here, this is going to be your liquidity level, right? This is going to be your main one. And combining this with market makers model, this could be your original consolidation sometime. But you know, you have all of those liquidity levels to target first. Now take a look at this. What happened here is a market shift. Now what do we have? The strong high and then all of those weak lows here and price comes back to a fair value gap started coming lower. We have another breaker section to the lower side. But still that's not a strong high. This is not a strong high at all. Why? Because it did not take liquidity. So that's our strong high. price continue lower. We have another mitigation here. And what happened here? As long as we still did not close below, we are still in an uptrend in overall, but then internally we're going lower. However, as soon as we create two strong highs, then it means that okay, we're going lower. Now, take a look at this. We have this first strong high started coming lower, going up. No liquidity sweep here, but then we have a liquidity sweep here, followed by a breaker structure. Now it's confirming that actually we're going lower and also we have a closure below this. So there's already a violation of our strong low that we had before. So that's already the main change in state of delivery or the main market sip. Now take a look at this. We have this one and we have a creation of two strong highs. That's where we know that okay we are changing the direction for real and then price create this strong high followed by this breaker structure targeting this low and all of those lows. So that's your way of marking the structure. What you need to do is look for a liquidity sweep followed by a breaker structure or a market section shift and then you consider that as either a strong high or a strong low and from there you actually mark your range. you know what your range is. You go from there and you take any type of entry from those either imbalances or order blocks or simply a turtle soup entry here because what is a turtle soup? It's a creation of a strong high or a strong low. You're taking a low changes the delivery. So that's a strong low right. So strong lows are made when there is a clear turtle soup. So this way of marking your structure, it takes into account the main thing in you know or the most important thing in trading which is liquidity. You're not going to be falling in that trap where okay, we make a strong low and then suddenly it's taken. We make another strong high and then at the same time it's taken. So this is the best way to mark your structure. And I'll show you guys how to actually capitalize on this, how to take trades, how to make money off of this. This is what I do every day. This is what I look for whenever I have a strong high created then especially at the right time then I would know what my bias is because this is a manipulation right as soon as you know your manipulation as soon as you see your Judah swing then you know what the direction is Judah swing happening here I know we're pushing lower juda swing happening here I know we're pushing higher because what is juda swing it's the AMD it's the manipulation after the accumulation so accumul ipulation manipulation what come after distribution so I know that you know that's the direction the direction is always opposite to the manipulation so I'll show you guys how to capitalize on this but please if you don't understand this re-watch the video again re-watch especially this part because I really want you to understand we don't consider a strong high or low unless we have a sweep and then a breaker structure a sweep and a breaker structure and then a market such a shift and Internal one would be the first one, a creation of a strong high here followed by a breaker section. That's an internal one. And the main one is a closing below the previous strong low, right? And then also another way of looking at it, as soon as we make two strong highs, that means we're switching the direction. Now, going over the rules again, just to make it clear, a strong high is a high that sweeps liquidity and breaks the structure. A strong low also the same. It's a low that sweeps liquidity and breaks the structure. So, they're always the same. We're going to be looking at strong highs in a bearish market. So, in a bearish market, we're going to be creating strong highs. In a bullish market, we're going to be uh creating strong lows. Now, a weak high on the other hand is a short-term high that occurs within a range and does not break structures. So in a structure for example as we're going uh lower for example we can see that this low did not break any structure it was taken after that. So in a bullish structure for example as we're going up we created this low we did not break structure that low is a short-term low right and the same thing so short-term high is one within a range and does not break a structure. The same thing with the weak low it's a short-term low that occurs within a range and does not break structure. Now where do we consider again a market session shift? A main market session shift it's a closing below or above a strong low or a high with a displacement. We have our main range. We have our strong highs and lows. Whenever we close above a strong high or a strong low with a displacement that's a market s shift. Now an internal market s shift is going to actually give us an indication of where the market might be actually switching the direction. So, it's again an early indication. It's a creation of a strong high or maybe two in a bullish market or a creation of a strong low or two in a bearish market. If you don't understand this part, then make sure to watch the previous part of the video because I explained that those are the rules. Follow those and we're going to know how to actually capitalize on this and how to enter trades based on this. Now this is a full trading plan a full strategy using the market structure just purely the market structure and any PD array that you're using. So again within a range what do we have our PD array metrics right 50% here above it we have arrays and below it we have arrays. So what are the types of arrays that we having? We could have you know uh an order block a breaker block fair value gap inversion fair value gap mitigation block and a breaker block right? So all of those things we could actually execute or look for those inside of our range. The first thing that we're going to be doing identify that's going to be the first thing because no liquidity sweep no trade. That's our rule and no liquidity sweep, no strong high or low. There's no market structure without a liquidity sweep. That's what other people are missing. So we identify our liquidity sweep and then follow it by a market section shift or a break structure creating what? A strong higher low. So now you can see price is going up came lower going up here creating this short-term low liquidity sweep here followed by a breaker section. What does this create? A strong high. That's the first step of our trading plan. It's the identification of a strong higher low. You see we created that strong high here. Now we know where our ranges after the mic shift. Our range is from here until we see a significant pullback or retracement. So we see price coming up here. Now we could take this from here to here. That's our range. So the second step is identifying the range from this high to this low where the retracement happened and then enter either based on a liquidity sweep. So you could be looking for a liquidity sweep here or just a PD. So let's say you have a fair value gap that is above the 50% in this case because we're looking for a short uh opportunity. Then it needs to be above the 50% of the range. When you see that fair value gap, you could enter from it targeting what? This low first and that's going to be your internal market makers model where the smart money reversal happened here or this one or your main market makers [clears throat] model where price is going to actually because the strong high would be your smart money reversal in this case. That's your low. That's going to be your original consolidation and that's your completion of market makers model. If you're not sure and you have no enough knowledge about market makers model, they're really game changer. Make sure to watch my full course about them. I have a full course. Uh take a look at the playlist. Now price coming lower entering of the spare value gap going lower. Now another one because now we know the direction is going lower. We have we already have the strong high. We are within this big range. You could again enter of this liquidity sweep here. And now what do we have here? Another creation of a strong high. So you could also wait for price to retrace here going lower because now we have this range. We're trusting this range. If price pulls up a little bit, we have this range. We enter from this valley gap. Why trusting this? Because now we already have this as a strong high. Strong highs are supposed not to be broken. It doesn't mean that is they're not going to be broken because the market is not 100% perfect. However, we really trust those highs, right? Those strong highs, they should be respected in our way. Another entry could be if price doesn't take the main liquidity goes up here coming lower to take this liquidity. So we always look for what the first step is the identification of a strong higher low then identification of our range. Then we look for our PDAs within that range or any trading opportunity. We enter from there and we target our short-term highs and lows or the previous range higher low or an original consolidation if we are clearly in a market makers model. So if all of this is nothing but you know a period array we have a period array here on the higher time frame and it's nothing but like this we have period array here we target this low and it's going to be mainly this low. So that's how we actually capitalize on the market structure. That's how we use it to make money. That's the real way to mark your market structure and that's the real way to trade off that market structure. Now we go over the examples. I'll switch to trading view. So, we can actually take a look at all the opportunities and go over different pairs. Let's go. So, I thought the first example could be going over the price action of EU on the 15 minutes for the past week. So, that's, you know, I'm not going to go and pick a specific price action that happened at a specific time. We could go one week prior to today and see what's happening. So now when it comes to marking the market structure what we could do is we could start from any point any significant point and then follow because a lot of the time people would say oh mam where do we start because every point is important right but as as soon as you see the last structure you're going to understand what is happening you don't want to start here and then determine that okay price is actually uh in a bullish market structure for example for example I could start from a significant point that I see price was coming lower. I could start from here because this was Monday. We started going up. So, I could start from here because it looks like we were in a bullish market here and then switch bearish, right? But without marking our structure, it's going to be this is just in hand side. We're seeing it like this. But now, let's start let's say from Monday. What we see here is did we have a liquidity sweep? No, it was a failure swing here. We did not take the liquidity level. So we had simply it could be this liquidity level taken here but we had no major uh market structure. So we still not identifying anything here. But then what do we have here is this liquidity sweep and then was it followed by a uh a market section shift or a breakout structure? Yes, we have a breaker section here. So now this is our first strong low to consider here. So we are actually pushing higher. Now as we get a pullback so let's say we got a pullback here we're considering all those point of interest here all those fair value gaps considering them and you see price came actually here but let's put our market structure not every time price will offer a fair value price did not retrace back into and if you guys want to know why price was not able to retrace here then make sure to watch my video about the fair value gaps and the third candle it's going to be suggested now so now taking a look at here we had no pullback back. Price started coming lower. We had a pullback. We break suction. A lot of people would consider this now as a strong low. This is totally wrong. Now, taking a look at this. What happened here? No sweep actually equal low. So, I cannot consider this as anything. We're still pushing higher, right? But we have a big range from this low. And we're not finding any other strong low. Now, you could actually go long from any of those. Any opportunity right now, you could go long because we're clearly in a bullish market section. Now what happened after is we did not take this liquidity not taken here but then what happened after is price actually retracing lower right here into a fair value gap did we take a major liquidity level actually no so we're not considering this and even there was no break so not considering this as a strong low right but then what happened after is price taking that low there you go and also taking this major low what happened after a break of struure So that's now is our strong low and now we have another push to the upside. Now I could actually take an entry because we have this creation of a strong low right after this bullish breaker structure. I could enter from this pair valley gap for example where price actually retrace to you see a sniper entry here. And why? Because we really have that bullish strong low here that was created after the big structure. That's when you know you could use your OT here. So OTE I think price came to OTE here. Let's see if it does. So from this low all the way to the high that's exactly where price reacted from OT. So OT will be offered when we have this actually a creation of a strong low followed by a breaker structure. That's when it's going to happen. Now let's forget about this and see we have the strong low. We're still continuing up. Now what a lot of people would do is looking at this breaker structure and considering what? Considering this as a strong low. However, it's not. Why? Because it did not take a major liquidity. It was only a retracement into a fair value gap. Now, I know guys saying that, "Oh, Mohamm, you say that fair value gaps are liquidity levels." And yes, but now when we mark our market structure, we're focusing only on one time frame otherwise we'll be confused. So, only focusing on this. This is our strong low. It's not this one. Price keep going up. Now, you could take trades from anywhere in here. You could take this fair value gap here. As we're coming up, what happened after? So now we are clearly in a bullish market structure. Price started coming lower. Now this is our strong low. What happened after is we actually closed below this strong low. So what is this? A clear market section shift. This strong low was supposed to be respected in order go to go higher, but now it's disrespected. So now this actually tells us that we are pushing lower. Now we're switching the direction. So now we know that this is your real market section shift. And where are we going now? Lower. So now we're switching from bullish to bearish. Now we are in a bearish market section. That's your range where you could actually look for trades. Just curious to see what happened uh what's happening on the uh market section. Right? You see price coming lower started going up. No major liquidity sweep and no major breakout section. Price coming lower here. We took this low. Was there a breaker section? No. However, what we see here is taking this high. So that was a liquidity sweep here followed by what we can see a clear displacement to the lower side. Price retracing higher still with this move. The strong high is not confirmed until what we close below this low or below this. This is an internal breaker structure. But the main one is here. This is a clear breaker structure telling us that what now we have this new range of this strong high. So we switch from just being or you know having the strong low and then strong high the strong high because if we actually consider this also I just saw it this as a liquidity sweep manipulation here and then a breaker structure to the lower side. So this is now also a strong high. This was our first one. A second one would be this one that was created now. So now our range would be going from this whole range which is from here to here to having this high. This high as our protected high this high should not be violated at all. Right? So as we're coming lower so you see we're coming lower and now we have this range to trade at. We have this order block. We have those fair value gaps and we can trade of them. You see a trading opportunity would be taking a trade from this fair value gap. Very nice entry here going lower. Now let's take a look at this. Do we have another strong high formation that we can actually trust. What do you guys see here? There was no liquidity or actually liquidity sweep here but not followed by a breaker section. But then what do we have here? Liquidity sweep. This is our range. So price came here entered here. Now you could refine your trade more when you see another creation of a swing high or you know a strong high actually. So what happened here? liquidity sweep followed by what? A breaker structure here. A minor one and then main one here. So there is clearly a liquidity sweep followed by what? A breaker structure confirming what? A strong high, a new one. So this high should be protected very nicely. You see as long as we are in a bearish market, you see this high was not taken. This high was not taken and this high was not taken. Otherwise, if you were just going with this as we're taking, you know, breakout section and taking the low in between, this could be taken and going up and then you are going to be confused about your market section. You're going to be saying, "Oh, is it going bullish or bearish?" Because you have a sweep here, thinking that this is a breakout section. You have a breakout section here, which is which is actually a sweep and then you're getting confused. So, this way of marking the market structure is the real way to go with. Now, take a look at this. we started coming lower. This was our range until this low as we get a significant retracement. What is a an entry point? Could be this order block, right? Or this big fair value gap. But we want to refine it. We're not going to blindly enter of those. Now take a look at this. We had what this liquidity sweep, but it was not followed by a market shift or a a breaker structure. What happened after? Do we have a creation of a new strong high? Actually, we have this liquidity sweep followed by what? A breaker structure, which does what? A new strong high. There you go. That's our new one. And you see price started coming lower creating nothing but this range that we could use to trade off. So, you could be looking at this fair value gap trade of it which aligns with this breaker block. Right? So, that's your entry here. Now, take a look at this again. Take a look at this. What a lot of people would consider here is that okay we actually created this low we created this high we created this low and this low took this high which means what oh we actually have a strong low here that needs not to be taken but that's totally wrong we are still based on my structure based on the moan trading market structure we are still going lower pushing up only retracing to our bearish market structure to appear a rate to go lower. Now, take a look at this. Do we have a new formation of a strong high? Take a look at this. We have a sweep followed by what? A breaker structure. That's literally after this breaker structure here, that's a confirmation that we have a new strong high. When you have a strong high, what do we have? A new range to trust. So, I'm trusting this high to hold. And any range in between, I'm trusting it. And you see a clear per valley gap holding price lower. Price not even closing above the per valley gap started coming lower. Now take a look at this again. We have this as we are into this range. We have another fair value gap here that price again came to started pushing lower. This was our main now we have this main strong high. Right? On the other hand what happened here is this low was taken. So we're still bearish right with the strong high. When we have this strong high taken, that means we have a main market section shift. That's when we know, okay, the real trend is changing. However, what we see here is liquidity sweep taken and then followed by a displacement here. So that's what that's an internal market structure. So we have an internal market structure but still we could go up but we could be going up to where to this range and react from it going lower because that's our main range. That's an internal one until we actually uh make another major low. We're still not in a bullish market but the main market structure is still bearish. Now take a look at this. What happened here is price breaking structure and then coming to this fair value gap and then going up. Now price is actually taking this liquidity level and failing to close above this. So there was no other low that is created here. But still even if we create another low as long as we are within this big range we are still bearish. But even with this internal market section we could have had a trade here from the spare valley gap going higher. We are still within this big branch of going lower. Another example on gold and this is on the daily time frame. So this is a confirmation that we can actually use this on any time frame. Now the same thing, the same question. Where do we start from? You could start from any point. I could start from here and then look at my market structure. I could start from here and look at it. But let's say that we're going to start we could start from here. But I see a clear structure happening here. So we could actually start from here. Now what is our rule for the strong highs and strong lows? It's basically looking at a sweep followed by a break of structure creating a swing high in this case. So we have this swing high I mean a strong high right where we broke structure. Now any range after we have a retracement we could look at it. So you see price started to come lower pull back but we did not come to this fair value gap. After that we pull back lower but there was no strong high no not a new one. We started going higher no liquidity sweep and then again lower. So there was no entry of this point. If you took another type of entry then yeah you would be able to now there is no new strong high until we do what? We take a liquidity and we break structure. You see what happened here? Taking this high and then breaking structure. So a new creation we we had this range from here to here. That's that was our range right where where we could look for shorts. Now we have a new range where we actually pulled up. We had a retracement started to come lower. But in this retracement we took liquidity clearly and then we broke structure here. So you see we started going lower. Now we had this point of interest here entered form or any point of interest other than this one. But simply what we had here is a creation of a strong high as we're coming lower. You see we took this low. But then the question is in order to validate this as a minor or internal market section shift as well as considering this as a strong low. We need to have a breaker structure. There was no breaker structure. It should have been above this point. We had nothing. So we are still even though there was a pullback here retracement but this is not a market structure shift. Let's ask this question. Did we take a liquidity and then a reverse? Yes. Taking a look at this, we had this liquidity level taken here and then no real breaker structure here. But then also taking a look at this, you could consider this and you see price came to this fair value gap started going lower. Now again you see a liquidity sweep and then what a breaker structure. Considering this as what? We could consider this as a strong high as well as this one. Both are strong highs. Why? Because this one also sweep liquidity and then Brook structure. This one also the same. It's sweep liquidity, brok structure. But we, you know, we're going to focus on this one. The last one. This is a strong high here. So in this dealing range, we could have looked for shorts. However, what happened after is price come to this extreme POI. We don't know what's what's happening here. But basically liquidity sweep here. It took some time. But now if you switch to the high time frame, you're going to see this as a you know very clear liquidity sweep. But you see price came lower and went back to the range. So that's a liquidity sweep. But it would validate this as a strong low and then a market section shift until we get a breaker structure. And you see a breaker structure above this point which is what a strong high which does what? That's a market section shift. Now we created this strong low and now we are bullish simply this dealing range here that's where we look for long positions. So you see we disrespected violated the last strong high. Now this is a market structure shift. We also created this strong low. Now we are bullish. Now take a look at this. This was left open. There is another fair value gap here that align with what? A breaker block. So we could have entered from this one. This breaker block aligning with the fair value gap. That's where price comes to started going up. Now what do you see here? If we zoom in, we see that when price mitigating this fair value gap here, we had a liquidity sweep and price came back to the range. So that's a valid liquidity sweep. Was it followed by a breaker structure? Yes. Then what do we consider this? Now we're going to ignore this whole range and we're going to focus on the new range that we're having. So our strong low is this one. This is our new strong low. And now we're going up. So you see now this dealing range if I take my fib and I could do the same every time from here when the breakout actually happened now this is a strong low right so I'm expecting this range to actually hold and we created this high and you see where did price react from came to this order block and the OT zone so 79 to 61 this was the OT zone and price started going higher from here that's how we trade based on the micro section confirm confirming a string low by a liquidity swe from it. You see a very small fair value gap here and order block here. We take an entry from there. Now the same thing now we had this strong low right we asked this question did we have a valid liquidity sweep and then followed by a breaker structure. You could look at this if you wanted as a liquidity sweep. This liquidity sweep and then a breaker structure here. So if you wanted that's going to be actually another strong low because we had a liquidity sweep very clearly here and then uh breaken structure. So that's our new low right strong. So we're ignoring this for now we are going into another range. Now again the same thing we broke structure right here. Now take a look at this. Taking my fib from the low to the high. So price went here did not retrace to uh discount. Started going higher. Now take a look at this. Where did price react from? The first time is this one here. Now let me drag this a little bit to the left. And take a look at this. This is how we actually identify our structure in the right way. We have a fair value gap here on discount at 70 and 79. This fair value gap here. When I mark it, there you go. We can see that price came back to this fair value gap here. Now there was a liquidity sweep which is this one. Price started going higher. Did we break structure? Not really. So we are not considering this as a strong low. Now we move on to this one. We had another sweep here with this low swept here. Did we break structure? Not really. So again that's still not a break a structure. So that's not a strong low. Now another time we can see that we actually swep this again and that was the final move. And if you guys know what a three drive pattern is, I've talked about it before. Three life pattern is when we have a fair value gap and price comes to it three times before flying. Okay, you see that was the last sweep before price really going up and then break a structure here. So what do we consider now? All of this was an internal range and the real strong low after price actually come into this OT going up. You could have capitalized on this one entered here started going up. You could have entered here too, small move, but this one was followed by an expansion. Now, what do we have here? Sweep of a low followed by a breaker structure, which is the main one here because price did not retrace. So, that's the real breakout structure and that's where we actually now consider this as our new strong low and that's as our new range. So, we have a new range going up here. Now, take a look at this. We had a new range going up but no fair value gaps were filled. Price was just flying up. Now take a look at this again. We have nothing but weak highs here. All of those weak highs are taken. Now take a look. Price came to this fair value gap started going higher. But then we have this liquidity sweep. So now we are actually because this is a big range. We have a new small range. And then did we break structure? Yes. So now we are having this as our new strong low. However, in the future, if price decided to come again into the structure, I'm going to consider a minor or an internal market section shift because we still have this big major range here. So this one, if we close below, I'm going to consider this again as an internal. And the only reason is that we actually moved from a big range to a small range. So that's something that I don't like unless we start flying up from here and then we create new ranges, right? So that's what I'm looking at here. We have this low taken Brook structure. I'm going to be looking at this new range here. So as we go up, I'm going to be looking for discounts below 50% in order to go higher. That's the one. So that's how we apply the market structure the right way. And this works on any time frame. So even if I go to the weekly, the monthly, it's going to be always the same. But then remember that the higher you go, the more accurate the structure is. The lower you go, you're going to see a lot of internal structure. So if you go bearish example here, this push to the upside where we create another strong high is going to be actually it's going to have an internal bullish structure here, right? And then internal bearish structure here, you know, going to be always it's always about the fractal of the market. Market is fractal. We can see a lot of things when we are in a higher time frame. We only see this. However, on the lower time frame is going to be a lot of fractals here going on, right? So even a change instead of delivery or max shift is going to be accuring here. Even though on the higher time frame, it's nothing but a pullback. So this is always going to be happening. That's why I want you to focus on one time frame here. And do not forget to also apply your higher time frame analysis. uh make sure that your market section analysis is also aligning with your drawing liquidity and with your external to internal moves and the higher time frame moves. this when it comes to ranges they're very important because in my opinion trading is all about one thing and that is whenever I look at the chart whenever I start my week I'm only looking for one thing which is a high probability range because trading is all about that positioning yourself inside that high probability range and when I say range the first thing is range is just swing point to another swing point so this becomes a range now we could have a lot of range ranges, price is going up and we have a lot of ranges. Now we need to focus on high probability range in order to have a clear invalidation. So this is the importance of having a high probability range. So from here to here we have a clear invalidation. If this was bullish this is my invalidation point. If price goes below this because it is a high probability range that means I want to see price respecting the range. So respecting the low if it is bullish and respecting the high if it is bearish. So in a bullish scenario invalidation here targets if price goes lower I can target at least this high or inside you know maybe a bit below that high and then when I have that high probability range I will also have a key level to enter and that key level will be in between these swing points from here to here. maybe a key level here and we're going to be discussing a lot of other things and we need to also apply what we learned on the previous confluence in the previous episode which is about price positioning. So in this range I'm not going to be looking to buy here and I'm not going to be looking to buy here maybe here and we need to have a good price position that also align with the high probability range. So again, trading is all about finding a high probability range and positioning yourself inside of it. Then you will have a clear invalidation. You will have a defined target, a clear one, two, you know, target and then a key level inside of that high probability range to enter from. This actually is one of the concepts that if you understand, you'll have few steps you know ahead in order to become a profitable trader. And this is one of the things you need to understand that's your job as a trader is to define a high probability range and then position yourself enter inside of or in between the swing points. That's all. Now when it comes to ranges and structure, we have two types. We either have a continuation structure or we have a reversal structure or in other words two main types of trades depending on the range depending on the structure. Now we have a continuation that means you are being with a trend a reversal is being against a trend and logically now even though some people would only focus on reversal other people will focus on continuation for me I would say even though reversal work and I do take a lot of reversals but I do admit that they are risky sometime I'll take a reversal trade it hits my stop loss then goes above and then I'll take another one maybe this one will work so sometime I will take I would say unnecessary losses or losses that are just part of the game because I'm taking a reversal trade. Reversal trades usually are risky because they are kind of in the middle of nowhere. But forget about this for now. When it comes to continuation, this is the highest probability setup that you can take. Now continuation means we have a breakout structure. What is a breaker structure? Is price going in one side or one direction? Breaking above the high, going lower, breaking above the high. So you see we are in a trend breaking highs and respecting lows. This is a continuation trade or or breaker structure. Why? Because we are breaking highs going up. Now when we have this range, this becomes your range that cause the breaker structure. You look for another breakout structure after entry. So break structure. Before we continue, I've taken everything I've learned over the past seven years and put it into one place. It's cool. Inside, you will get the full blueprint to finally make it in trading, including the exact strategy I use every day, the edge model. These are some of the trades I've taken with my members. You're welcome to join if you are ready to make the real change in your trading. Let's continue. We also have market such a shift and this can be happening before. So that a vessel trade can happen before the market shift and after that means as price is going up and then I just take a short here based on a key level that is a reversal. Now [clears throat] what could also happen is a market session shift and then also consider it as a reversal which mean that price is going up going up going up and then we have a market session shift. Now when this happen this is still a reversal trade because the market session shift can be only internal. Now anyway, how do we define both of these? How which one do we focus on and what are the features and characteristics of each? Now when it comes to continuation, it's much safer. It has a cleaner and sometime a big reward risk as well. And it has a clean reward risk. Why? Because you know what to target exactly. And the game of reward risk becomes much cleaner and much easier. And it works with a trend. So if you know and identify your trend and you can see that it's not about to end, you can always you know ride the wave and you'll get a lot of trades when it comes to continuation and more reliable setups. For me when it comes to reversal they only valid at higher time frame key levels. So if you know how to identify the key levels that are against your trend, you can catch because if you notice price moves like this, it's going up. If you know how to catch these key levels and then catch this reversal sometime is going to last longer then this is what you need actually. So you need to focus on higher time frame key levels that are on the other side of the market. And then it's much safer to target nearby key levels. So do not be too optimistic here and you'll think that you'll get you know the trend will change just because you're catching a reversal trade. You only want to target a nearby key level. Sometime only 50% retracement of the range. So you need to you know differentiate between these two because they all have different types of targets. So different sometime I'll go with 5 to one and sometime I'll go with 3:1. Sometime I'll try the 50% of the range and sometime I will look for the higher low to be taken. These are the different when you understand these you evaluate your trade in a much better way. So for continuation I'm looking to maybe target the high but for reversal a lot of times I'll be targeting so for something like this I'll be targeting 50% of the range as an example because this could hold or it could go lower but in order to be on the safe side I'll target that 50% retracement and then we need to also understand that sometime a strong higher time frame level it could cause a possible mark micro shift that means as price is going up sometime if It's going up for some time. Reaching a key level. This could cause a huge market s shift and change in the direction. Now, as we said earlier, trading is all about positioning inside a high probability range. But the question is, how can we find and identify that high probability range? We have three steps that we need to find in every range in order to consider it as a high probability because as I said price could create a lot of ranges. A lot some ranges are low probability. That means the high and the low are going to be taken. And some ranges they're going to be respected. So a range from here to here respected and going up. This is the range I want to be being involved with. Now three steps or three checklist here. We're going to be going one over the other. Now the first one is the level of the range. The beginning of the range needs to be anchored. That means the base of the range needs to be held by another key level or structure. That means if price is going up and then price started going lower and they started going up. If I can see that this level here was held by nothing, was respecting nothing. It was reacted out of nowhere. I can see no key level that price or you know that base of the range reacted off then that means that that level is not anchored that means it's not strong on the other hand if I can see that price is going up and then here is an imbalance respected the imbalance and started going up then this becomes a high probability range and why now this is only one tick list one box ticked now why is that because it's anchored it's respected you know it's respecting another level which is the imbalance. Now another thing is for example going up breaking structure this is this base here is respecting another level just like this that means that level is anchored it's held by another key level it's respecting another key level and that makes it partially a high probability range the base of it now what's the second thing we need to see displacement that means I want to see a strong move at highs or lows that means displacement strength above highs and as an example if I'm going up like this and then price started going lower if I found it hard to displace above this and then reverse this range here becomes low probability immediately why because we failed at highs now same thing at lows if we are going lower and you see breaker structure breaker structure and now we have a new range but this is what happened failing to close and this place below a low this range here becomes low prob probability because we fail to displace below the low. We find weakness at there. That means we have no displacement and probably the range will be low probability. On the other hand, going up like this, you see displacement, we actually displace above the high, we close strongly and then we continue also on that same side. That means we have a displacement. And then the last thing and this is the very important thing that a lot of people just forget about which is the range fill. That means you know I want to see a significant retracement that happen on that range maybe 50% of the range or to the optimal trading entry. If I see it going to the 618 this is my favorite one also the 705. So 70.5. This is also a level that I do love to see price and the range retracing to what does that mean range fell that means if price is going up and this is only what happened and then breaking section now we have displacement we have maybe a key level here but what do we have missing here is that there is no range fill that means the the whole range here was only filled just to this level maybe we have we have the base anchored we have also a displacement but the whole range here was not filled that means you're going to wait for price to fill the range and then you continue to look for longs. So in short if you have no range fill that is a low probability range because at some point price will reverse and then even if it continues like this uh with no retracement at some point it's going to reverse and f you know fill the range. So you want to stay out of any range that has filled nothing. So you have a new range just like this. Avoid taking longs here because at some point even if it continues sometimes it's going to reverse and you don't exactly know when it's going to reverse. Maybe you can't catch the reversal in this case. Why? Because price has been overextended without retracement. So you take shorts here in order to fill the range. That is also another possible scenario. But only take this when you know what higher time frame key level you can take it from and then you know how to trade reversals. So the moment you see these three things in a range and this is something not a lot of people teach maybe no one teach because everyone has his own way of uh identifying the ranges. These are my three ways. You're not going to find them anywhere because this is only comes from my seven years of experience. So the moment I see these three things in a range, I'll consider that a high probability range. I'll go and look for a key level inside that range and I'll take a position from there. So you see we're starting from a price position which is the macro picture. Where are we in the big picture? And then looking at the ranges, these are some of the details in the small picture. So in the big picture we have this and and then in the the micro picture we focus on the range itself not the big picture. Okay. So we might have something like this and then we have a range here. I'll be identifying this range. This is a micro picture the whole picture and the big picture is the macro picture which we discussed on the previous lecture. Now you probably already understand and have an idea about what a low probability range is because it's totally the opposite of the high probability range. Now low probability just going over it very quick. It's not anchored. That means it's floating in the middle of nowhere. It has no clear level uh that is being respected. And then uh this is number two. There's number three. Uh it's a weak move. So it's choppy. No real displacement. And then we have a lot of weakness at highs and lows. That means we fail to close above highs, below lows. This means that we have a choppy move. We have no clear displacement and it's a low probability range. And then finally, it's unfilled. So it's there is a lot of gap below or above leaves gaps or ignores 50% retracement. That means this is a low probability. You see minimal retracement. It cannot be involved with this. Why? because it's a low probability range and initially it's not in a good price position. So if you notice it's all connecting to each other. This is what a low probability range. You want to avoid this and focus on the high probability ranges. Now another thing that we also want to and need to understand is macro versus micro picture. External versus internal. Now why do we need this? So in order to also be you know aware [clears throat] of what are we involving with are we you know trading the macro or the micro are we trading the external or the internal. Now macro structure is identified by swing you know the external swing highs and lows. So something like this this becomes our external range and it is the big picture trend direction. It's defined by external highs and lows. So, if you notice as we're going up like this, this is our macro structure. Now, this sits main bias and long-term target. So, if you want to look for the best scenario target or the best case scenario, the highest target that you can reach and maybe uh if you're trading based on the macro picture, that is your target. You want to avoid all the noise, all of the details and you want to focus on the main target, that is the macro picture. When it comes to micro that is the internal structure it's a short-term moves inside the macro league. So you notice this macro leg here from here to here. What's inside is the micro structure. It's the internal. So again external here inside of it is the internal. We could have different biases and different directions inside of it. As long as it stays in between the external, it's an internal and it can be in different direction. So it's defined by internal swings and shifts. It could shift a lot of times and then it refineses the entries. So if you want to have a defined entry and precise entry on the macro structure, you still want to use the micro structure because it's going to be inside. It's going to have more details. And then if you're taking short-term trades, it's going to also give you an idea about the short-term targets. So you need to understand the external and internal in order to understand what can you target actually and can you have long-term targets or just short-term targets. It's like catching big moves or small moves. Catching correction versus expansions. So a quick example of external versus internal. You can start from anywhere in the chart. The first one, the big one, when you zoom out, that's going to be your uh external. So, as an example, swing point to swing point breaker structure. This stays your um external structure. Inside of it, we have a lot of moves. Now, you could look at this from one time frame or you could look at it in you know different time frames. In this example, consider this as a 4hour time frame for example. So inside of it we have a lot of small moves going inside and sometime we have breaker structures we have shift you can still trade this but be aware that the trend can change anytime because we are bearish here but this is all internal compared to this and then you can look for longs here when you have a good price position. Now understand when you are involving in the external structure this becomes your target or maybe somewhere in here just below it in case this is a good uh key level. Now you see price is going lower when you are trading the internal you are maybe taking a trade here and then targeting a close target. But when you take it with the external this is your external key level here your target becomes way too far. Now this is the external. This becomes the external range. This become the internal range because we're still staying inside. Sometime you'll have structure shift as well. But this still stays the internal because we have not broken below this level and then we go up and we have another external. Now you could be subjective here. Some people will consider this as an external here by itself. Some people will consider the whole move here external until we take the low. So it's a bit subjective but this is the main premise here is that internal is when price stays inside of the swing points. External is the main move or the expansion move that a lot of times the internal stays inside. And this slide summarizes what we need to look for when it comes to thinking about the structure. All right. So that's a summary. We identify if structure is internal or external to set expectations and then we define whether it's continuation or reversal and same thing to set expectation. We mark out our high probability range and then we trade from it. That's all. Now we're going to go over examples explain everything in more details and then we see how can we apply this on the real chart and on the real market. All right. So this is daughter Frank here and what we want to do and focus on for the examples is to be able to identify high probability ranges because that is our job as traders. Now here's the checklist. We want the level to be anchored. We want to have a displacement. Now displacement can be a breaker structure. But a breaker structure is not just a closure below with one candle. That is not a breaker structure. break structure is being able to show that we are disrespecting that level with multiple candles and price going for some distance below that level. All right? So, it's not only one candle thing. Now, let's take a look at this. We can start from anywhere. Now, as an example of external and internal, I can start from here. Consider this as my external. All right? Because I can see that we had a valid range respected here. Now where goes your external here. And as you can see we started to go lower then we had the retracement all the way up. Now this becomes our you know we had swing high swing low and then we had a high probability range here respecting and causing a break of structure. Now we started to go up. This is where we got respect. This goes as a high. Now mainly the external structure will be here the breaker structure that the external one is going to be here. Now does that mean you cannot trade the internal? You can definitely do so and you can also consider that we might have another external also inside. So if you start from here you could consider this as an external and this is all internal. So different ways to trade. Now forget about this one. What you need to apply from this is that just identify your price position. Are we having a good price position? If I ask you here, is this a good price position to buy? Not really. Is it good for sales? Yes. If you're not sure, then make sure to understand the previous episode and lecture. Now, let's look at some of the ranges we have. So, if we go over here, if you notice now, some of the things here I'll teach, they're only taught on a school. when it comes to the key levels, when it comes to the entries that we take, the strategy that I teach, it's only exclusive to the uh people that I teach on my mentorship. Now, what do we notice here? That price has been getting a lot of respect here and then okay, so a lot of respect here. Price starting going lower. So, when it comes to being a level being anchored, is it anchored? Actually, yes. Why is it anchored? because we do have this ski level which is from here right to here a lot of levels have been already filled. So this level have has been respected. Now these are levels that teach again in 8 school uh you can use any level that you want to use. So you can use imbalances you can use order blocks whatever. Now finally this level two levels here have been respected and then we had a breakure. So most of the things here are filled already. That means it is anchored and the range has been filled kind of filled here. So a lot of respect and then we had a displacement. So we have anchored we have displacement. I started to go lower and then goes up. So we have uh range. So the range has been filled here and we have displacement. Now we think about price position. So price did the you know displacement here and now we have a retracement. We are filling part of the range. So you we can have entry probably the nearest key level is this one. So price comes here started to go to work. Now what you can trade here is you can trade based on here. Now when it comes to the key levels we have a breakout structure of the external. Is this anchored? Yes. Because it has been respected by this level. So this level is anchored here. Now in the future when price so we have a break structure right now we had a retracement that took a long a long time the structure that we have now is the swing point already anchored already the range has filled price started to go lower we have another high that is now the high of the range and the low of the range is here. Now when price goes up again, what we can do here in order to confirm that we have a range flow is taking a fib from the high to the low and we can see that it goes to OT 7975, 705 and 618. Now we're going to take the same fib and then we're going to mark our key levels. So the same fib goes here. You see it's still not filled. 618 705 79 is here. And then you're going to look at your key level. So uh sorry what key levels can we look at here? What do we have is key level here key level here is actually this one is not this is a key level and then we also have this one here and what happened is price come into this key level and showing respect. Now this is all external and we could have found an entry here depending if you could find or not. Now what happened is we have another internal. Now there is a big difference that I want to explain here is that sometime you'll have your external and your internal is going to go against the trend and then you have an internal that is with the external. When you have this now this one you can trade but the highest probability one is when the external align with the internal that means we have this external range from here to here and it's a valid range and then internal align with it. You don't need to wait for breakout structure in order to trade this. Not really. You can trust this because now the internal is aligning with the external and trade based on the internal range. If you can identify if this is a valid range, you can enter from it. Now this what happened here. We filled the external range. We started to go lower. Is this level anchored? Yes. Does it have a displacement? Yes. Did it fill a range? Yes. That means even this internal range I can now trade to the lower side. And this is actually a trade I've taken with my members on each school together. So if you notice what are some key levels that we have? We have these key levels here. And that's what happened. Price comes lower based on the edge model. Now you could find your entry here. The entry is here. And if you notice sniper entry uh put it just below for the spread uh stop loss here. Now there is sometime price is going to go up to your extreme key level. Yes, but that is now what do you target here? Yes, it took a lot of time. But because you're trading the external here, the external is this is the Yeah, because we don't have a valid key level here. It's going to be taken. So that is your trade. Now same thing if you traded from here maybe entry here stop loss above your target is the external now here your target you're the external as well now you'll have a lot of other entries here so you see this one here uh where we entered price started to go lower do we have anchored is the level anchored yes because it respected this key level here so it's held by another key level. Do we have displacement? Yes, we do have displacement because we broke below this, this, this. So, three levels here, key levels, we broke below. Did we fill a range? Yes, we filled the range. So, it's not only anchored, but we filled a range. Why? Because if we take the fib for this internal range, price reacted exactly from the 705. So from OT reaction from there if you notice why we did not consider this a high probability range the reason is there is no clear displacement that is one thing uh did it fill the range yes so it fill the range there's no displacement is it anchored not really so some people would consider it as you know a fair value gap here yes for me it's not because we do have some key levels here clear ones that were not filled or not disten That means it has a rangefill but it has no displacement and it's not anchored. That means this is a low probability. This one becomes high probability. So even if you take an entry here targeting the external. What you can do now is based on this internal because it's aligning with the external from here to here this becomes our range. What we can do is same thing take the fib from the high to the low and then where do we have some key levels here. Now the thing is there's no clear key levels here. Um yeah the the thing is we have this key level and we also take another trade here about 7 to1 based on this. Then after that price started to go up. Now even this one I would consider a high probability range. The only thing that because it fell the 618 but then price started to go to the 705 and then break a section. Now we have now yes I was looking at this as also a high probability range. It gives about 7 to1 8 to1 it fails and it's something that's totally okay. We created another key level or another range here from here to here. The problem with this is that it was not anchored exactly. Now if you go to another higher time frame you're going to see that this is only a wick. Now from here to here it has a range fill. It has a displacement. The anchor criteria here was not too clear for me. But then take a look at after that what happened is if we take the fib again from this range because this range is aligning with the external and then price comes to the 705 started to go lower. Uh we don't have a clear displacement here. We have some closures. Yes, price started to go up again into this is an edge model that is too clear. So you could have taken a short here stop loss just above this and then again you target your external and then another one here when price started to go lower but this one has no range filled I I don't think price went to the OT here okay so was very close to it and then started to go lower and this is how you understand you need to balance out between first of all the external and internal you need to have a good price position and you You need to apply the three criteria here by me. This is something that even on paid courses you're not going to find with the simplicity. Whenever you apply these three things to a range that has a good price position and when you understand if it's external or internal, when you align the external with the internal as well, that's when you will have success on your trading. And that's when you can actually focus only on high probability trades. Now a lot of people look at this specific pattern and they think that you know when price takes the high takes the low breaks below it this is a signature that banks leaves and then this is where banks are involved and changing the direction of the market and this is all illogical. This is something that does not make sense because when you think about banks, when you think about you know this is a pattern in price action that sometime can signal reversal but it's too misunderstood and it's too simplified and it's you know looked at in many different contexts that instead of signaling reversals it actually keeps you losing. So, it might sound funny, maybe shocking for you, but this specific thing, if you think about what's going to happen next, probably price going up and breaking the high instead of continuing lower. Why? We're going to be explaining all of this. And instead of calling this a market structure shift pattern, I'm going to call it a market structure shift trap because it's a trap. It's like telling you that we are about to reverse when in reality it's a continuation. So the market structure shift trap why does it fail? The reason is the first one is that it's a pattern only. The problem is a lot of people look at this as a pattern. Oh when I have this go short immediately when in reality it's going to continue up and whenever price is going lower whenever we break above the last high that is a signature and that is where smart money being involved. That does not make sense. It's only a pattern that you are looking at without context. And whenever you look at something with no context, anything an imbalance, okay, a liquidity sweep, no context mean that it's most likely going to fail. And then why also it fails? Because you're taking it against a trend. So price has been moving up for a long time. And you think because of this, it's going to change the whole thing here. That does not make sense. So when taken against a trend, it's most likely going to fail. And then no higher time frame alignment. So price has been moving up, moving up, moving up, and then you see this. If you don't align it with something here, probably it's not going to work. And then if you look at this on the 15 minute and you see this happening and then you saw this and this is the only thing you're looking at this specific pattern, it's going to fail. Why? because there's no alignment with the higher time frame. That means you are not relying on a higher time frame level in order to validate the pattern. When you don't do that, it's not going to work and it's mostly going to keep you losing instead. And then one of the issues also is just focusing on the last low or high. Now the thing is not the high or low, it's about the last. So a lot of people are going to be ignoring everything and whenever we create a high they're going to say this is the last high you now look for longs and they forget about everything that happened on the trend on the price action range on the uh that high probability range probably they're going to focus on only the last one and forget about everything that is significant. These are four points. The main one is that the pattern itself is not a true reversal when it's just marketed as it's uh where the reversal happened when in reality it's not. It's a pattern that a lot of time it's more of a continuation pattern and that's what it's going to be shocking for you. If you look at this and you look for longs here, it's better than looking for shorts. Imagine that. go to the chart, try to back test it, and you'll know you'll notice that it's even better when we you think that the market section shift is happening. You better look for longs instead of shorts. And you're going to see that most of the time it's going to work more because it does not represent a true reversal. And we're going to see that on the chart. Now, I'm not just going over this and showing you the bad side of it. No, I'm going to show you the real side of it, too. That sometime it works. But how can we make it work? What are the things that needs to be applied, needs to be found to only focus on the high probability ones and avoid the trap because that's the main goal of the video and we're going to be doing that together. Before we continue, I've taken everything I've learned over the past seven years and put it into one place. It's cool. Inside, you will get the full blueprint to finally make it in trading, including the exact strategy I use every day, the edge model. These are some of the trades I've taken with my members. You're welcome to join if you are ready to make the real change in your trading. Let's continue. Now, as I said before, 7 years of experience taught me this. You're going to find the market social shift pattern and it's going to appear to you anywhere on the chart and a lot of traders including maybe you, including me previously. We're going to think that this is a reversal. Now, this is where bank are being involved in this smart money. In reality, it's a trap and price is going to continue in same direction. Take a look at this. Price is going lower, lower, lower and then breaking this, it's going to happen is continuation. Now, the most important rule to apply in order to avoid the market session shift trap is to always look for it at higher time frame key levels and never in the middle of nowhere. How is that? because that's going to give you another confluence that's going to give you another level that could push price for example in a bullish scenario. It's going to push the price higher. So it's another confluence. It's something that going to make everything from going like 50% win rate to maybe 70 just by applying this rule. And if you ask me about one of the most important rules when it comes to trading, it's the higher time frame alignment, the higher time frame key levels. anything on the higher time frame relative to the lower time frame. That is what time frame alignment is and that is the most probably the most important rule when it comes to uh being profitable in trading. Now take a look at this price goes up break structure break a structure and then where is the last low here? This is your last low. Oh we go lower and we displace below that low. What happened? Continuation to the upside. Some people get trapped here. Some people get trapped here. Continuations to the upside and then we don't break the last low. We go up. We don't break the last low. We break structure. And what happened after? People are getting trapped here. People are entering here and then price continue to the upside. Where does the market sit shift most of the time happen? When does it become valid? Most of the time here. When we reach a key level that is bearish. So this is the higher time frame bearish point of interest price has started to go lower and then we have the market sit but we also have a lot of other things here which we're going to be discussing later and then break structure retracement that's when you enter and follow the trend so that's the real market session shift all these are actually continuation now I want you to look at this price has been going up we create a low we go up we take that low sometime Um we displace below. All right. In this case, not really. We did not. But you see here we place below the low. That is a continuation. Now if you consider this one here, even if you consider we were going bearish here and then we take the low, we go above the high. That is a bullish one. In reality, it goes lower. And then the whole thing here when price is going up, the last low is here. We displace below. A lot of people thinking that it's now time to short. What happened is keep going higher. Now we create this low here. There is one low here and we break below it. This one I would say it's uh less significant but then price goes up. This is a low where we close below it. Price continue higher. This is a low now that caused this breaker structure. What happened? Goes [clears throat] below it start going higher. Also this low here this internal one goes below it and then continue higher. And where do we have it too? So here kind of but here we break structure this uh retracement going up. Now we have this low and this low and what happened is going below them instead [clears throat] of finding reversal here instead of continuing to the uh downside. What happened is continuation to the upside. Now same thing here closure below continuing to the upside and then we go lower this low here because we are bullish. The last low does not matter here. It's about where the valid key level is. And you see here, same thing. Same thing. And this keeps happening over and over. It's not the uh reversal is not as simple as this. It's not this pattern. It's the context. It's the alignment. It's the significance of the level itself. Now the question is, and probably that's what you are waiting for. How to identify high probability breakout structure and market session shift. Now break a structure is being with a trend. Market session shift is being against a trend. Two main rules before we go over the methods. We need to apply the price position. We need to apply the ranges and valid market structure. So whatever we learned in the previous lectures and episodes, we need to apply it here too. But we're going to be going over two methods. The first one is the two breaker structure method. Now the other one is the IT school method. Now this one is only taught uh in my mentorship in IT school. However, I will give it for you for free for several reasons. One of them is that a lot of people, you know, it's important to apply this in order to understand what level exactly to look for when we have when we need to see a market shift as an example. So what levels do we consider a valid and significant one? So we're going to go over these. However, you still need to apply everything we've learned on the previous lectures. As we said earlier, we have two methods in order to identify high probability breakout structures. The first one is the two breaker structure method. And this one from the name itself, it's about finding instead of one breakout structure which is usually a trap. So something like this where a lot of people look for this last low. And why is this a trap? Now this is an additional thing because a lot of times it's about this range from here which got extended to here because this one did no valid retracement. A lot of times there is a key level here and it just by the market dynamics itself by the market nature it wants to retrace to key levels in order to push to the other direction. So corrections, pullbacks. Now price will come here and the key level itself is below this below this low. So this one is not a valid market because price is only retracing to this key level in order to go higher after. So instead of doing this, instead of looking for the last low, what we want to see is the break below two lows. And it's better to even look for significant lows. That mean when I say significant it either respected a level before or it created a breakout structure now it's not just a low that is internal something like this maybe something like this where we break one low and another run here not like this what I want to see is a break again of two lows so as price is going up and this all of these methods they need to be aligned with a higher time frame key level so as price is going up let's say this is a 4hour our level here and this one is 15-inut structure as price is going up and if you notice we have this low that broke structure and we have this low that also broke structure. Now when price goes to this level so we have something like this. What I want to see is I want to see a breaker structure below this because if we only broke below this low here and then we started going up after that is only what a retracement a pullback in order to continue higher. However, if we also broke below this low aggressively that kind kind of confirms now other times it's going to fail too. So if your sometime price is going to go below this if there is another key level below however just by adding one more break structure it increases your probability of only looking for and identifying high probability breakout structure. So now what could happen is price going up and then retracing and then continuing lower and it can all always apply this. So you notice we have a low here another low breaking below both. Now we look for retracement in order to continue lower. Now if we go to Euro dollar here you notice whenever we have so we have this high and then this low broke structure what happened is even though we went below this level which is this last low that also has some other key levels below. So if you notice price only went back to a key level which is this one here and then continue going higher. So this break here meant nothing. Now when we go and look for valid highs and lows and we want to find a structure that is actually that has a valid structure or a valid lows. So if you notice here this low here broke this high. So it's a low that took a high or broke a high. This one as well broke above this high. So we have two breaker structure. That means we have two lows. Now this one is internal because it did not break anything. When we went below this, I also want to confirm by breaking below this. And when I have a break below this level here and it displaces below, this confirms that we might have a valid break structure because we broke below two significant lows. And then what happened after? We take our fib and we look for the range that we created. We look for OT in order to look for entry. You might find an entry here depending on what key level you're looking at. Now, if you're looking for age model here on uh the the strategy that I teach online school, we have it here. You find an entry here, just right here. Stop loss goes above the key level and then you can target the external uh range or you can also look for some other key levels below. Now this one very easy method. However, it actually takes your win rate from way lower to much higher just by adding one more break structure. Now one type of market structure trap is that whenever we have prices you know after this huge breakout structure to the upside we created a low another low and another low and all of these actually broke structure. So this one a breakout structure and this one another breakout structure. However, the size of the breakout structure compared to this main one, it still remains insignificant. And if you notice, where is the nearest key level inside of this range? The whole range here is unfilled. Where is the nearest key level? It's this one here. And that's where price actually fakes out below and then started going higher. So, in this case, you want to still follow this external range because this one does not matter. We only went below the last low before the key level. So here even now this is regardless of the key level here but when you add that two you have a much higher probability. Now here when we have all of these internal lows and then we have the one that has the nearest key level you also want to avoid this. Even if we break below two lows if this one has a key level below it's still invalid. Now one example that we can see here. So this is the current market structure on Euro dollar and in this period I remember an example a good one happening here and when looking back I remember we've taken some trades here on its go with my members. Now what happened here if we go and analyze what happened exactly is that here we had a high we broke above we retrace lower and then we started going up. Now, what do you notice here is that this is the last high before the break. And I'm going to show you my high probability how how it looks is something like this where we broke above a high. We respect the key level here and then we broke below that low that respected this. When I have this, this is the valid breakout structure. Now, if it has multiple touches, it's even better. So, where do we look for the micro session shift? below this low. Now I'm going to give you 5 seconds or you can pause the video here and try to find this in here. Where can you see it? Now we can see it here. If you notice we broke above this high. All right, we break structure. We did not respect this high and then we broke another time where we have now this high and what happened is a respect of that high. If you notice, this is a high broken above a key level. Respected here and we started going up. So now we have a respect of that level. So as we're going up and then we started going lower, we respect that level. That means now this low is actually a bad level that we can look for short from. And then we broke below it. Now, I was a bit confused about this low here because the break, you know, price immediately started going up, but it's still a valid closure below. I would really prefer another candle to close below, but it's still a valid example. Now, we broke below this if you notice the same level that we marked here where it was respected here now broken below. That is what a high probability breakout structure is. And if you notice after the break below what happened is a retracement up and even if you were not sure about this closure another closure here that is very strong and then it went lower. What happened after is retracement to the same level that we talked about. Another retracement to the same level. Now an edge model that can be taken here is this one. And then stop loss goes above and you see snapper entry. Exactly. So you had almost no draw down. Actually, no at all. It just gets you in and then start going lower. So if you notice, this is a good example of a valid breakout structure. Now another one. So we have this level. Now I'd really prefer for price to come here to the low. So if this week was a bit here and then if you notice, we respect that level. We started going up and then we were staying here and then we close below. So another respect and then we close below. This is also another valid one. And if you notice what is this after this huge move to the downside retracement. So this one was a huge one and there was no retracement here. However, if you notice this level has been respected uh multiple times. Now what is another example? I'm going to go and find one with you. All right. All right. So another example that I just saw here. You see failing to displace about this and then going lower. Now this might not be the clearest one. However, it still initiate um a reversal. Now if you notice here as price is going up, we have this high that price retrace back to and respect. So that is one level that can be actually also a valid level to look for market shift. All right. But then after that there's also another level where we started going up and we broke above this high and then we also have another respect here. So another level is also here. And if you notice a high respected by a low and then broken below the low and if you notice where does price retrace back to the same area going lower and also same level here. Now I really prefer to always enter when we have the market s shift happening. That means if I have something like this and then we broke below before price continue going lower. I'd really prefer to be involved immediately before price going lower. Now, this becomes a bit lower probability because the move could be already done. All right. So, yeah, this is the edge school method. It's something that you know I always apply which is an example here. As price is going [clears throat] up, we have a high this high. If you take it to the week, respect here and then broke below. What do we do now? This now becomes a valid. It's not just the last low. It's a low that is significant. And that's what happened after it's coming back here and then pushing lower. And daily bias is one of the most complicated ICT concepts. But you will see how easy it is in reality. So starting with daily bias. What is daily bias and what are the mistakes that people are doing when it comes to daily bias? thinking that daily bias is what's stopping you them from being profitable but the reality is maybe sometime following the daily bias is what is stopping them okay and it's not following the daily bias or the proper daily bias it's thinking that this is daily bias what they're doing is daily bias when in reality it's not and I'll explain how that can affect you now first of all daily bias is the process of anticipating the direction of in parenthesis daily candle. You're going to understand why having this in parenthesis. It's expecting where the daily candle is going to. So we have a daily candle. We're expecting this candle either to be bullish or bearish and in you know what direction to where what is the uh target you know if we're moving internal external external internal we're moving to a specific high a specific low you know we're looking for now why we have daily candle in parenthesis because this is one of the mistakes that people are doing and I bet that this is one of the reasons that you are being unprofitable. How is that? Imagine you trade 15 seconds or you trade one minute time frame. Do you actually need to know where the daily candle is going to? Not really. Maybe it's going to be a plus for you, but it's not needed. And sometime even if daily candle is going up, right, it's a bullish candle. You could take longs and still lose. And you could take shorts but win. Why is that? Because daily bias is not what you need. You need a 15 bias in that case. So, it's all about the time frame alignment, the proper one, the valid one. That's why we could also look at monthly bias. We could look at weekly bias, daily bias, hourly bias, 15-minute bias. So, it's not daily bias. What do you need? You might be needing a 15-minute bias. Maybe you're lacking a bias [clears throat] of the weekly, for example. So, if you're looking for swing trades, for example, which, you know, uh you're looking for the expansion of the weekly candle, do you actually need a daily bias? Not really. You might look for weekly bias instead. Now, the other mistake beside the time frame alignment is that you should follow the bias all the time. So, let's imagine that we have a bullish bias. I'm only looking for bullish trades or long trades. Now, that's not the reality. The reality is that we could actually look for trades against the bias. Sometime it's going to be an expansion market where you cannot take longs, right? because there are not enough retracement. How can we deal with that? It's by looking for counter trend or against a bias trade and sometime I do take those trades and be more profitable than following the bias. So how is that going to be? We have when we are following the bias it's going to be big part of the X candle. X candle could be daily candle, could be weekly candle. So let's say if we're following daily bias then there's going to be a big part of the daily candle which is going to result in higher reward to risk and higher win rate. That's the advantage of following the daily bias. Now sometime you could also look for trades against the bias if they are high probability. If you're confident about them, you could also take them. And that's going to be catching a small part of the X candle, in this case, daily candle. But that's going to be lower reward to risk and lower win rate because in reality, the probability of your trade working out is much much lower when you are against a trend. Unless this is your trading plan, unless this is your system and you know you know the percentage of the win rate of it, then yeah, that's not going to be applicable. But most of the time with a trend, the probability of your trade working out is better than against the trend. But this is the mistake that a lot of people doing is just thinking that you should follow the bias all the time. Now that's a mistake that I was referring to which is understanding with the bias and against the bias moves. So when we are against the bias and it still work you know I do take such trades all the time but you can always expect less reward. Now shortterm moves this is what I call it short-term move which is a correction or retracement that's going to be against the bias. What does that mean? You see how we are going up and this might be one daily candle but inside of it this is what you see. Okay. And we have a major drawn liquidity right here. Now we know that price is going to be reaching that drone liquidity but how it's going to reach it is not like this. It's not how we see it on the daily candle because daily candle doesn't show the details on what happened on the 5 minutes on the 15 minutes or maybe 1 hour. Okay. But when we go into the lower time frame, what do we see is price going up, coming lower, going up, coming lower, going up, coming lower, and then reaching the drawing liquidity. Now you see those moves, we have expansion moves, we have correction or retracement. We have expansion or impulsive moves and we have correction. The moment we break section or we take liquidity, we retrace lower. If you know that, okay, it's time. If you see divergence, if you see price going into a POI, then you could take those moves against the buyers. But you see the reward to risk ratio here from here to here is lower than from here to here. You see, so that's what you need to expect. You could also take against the bias, but you need to understand that they're lower in reward to risk. Now long-term move and this is with a bias. Those are going to be impulsive move and expansion moves. Whatever you call it the same thing. Now what does that mean? We are with a bias. We see impulsive move. This is your you know with a bias move. Then we get the retracement. This is against the bias. You could still take it if you're confident. If you see, you know, uh enough confirmation here. Price is going lower. And then again we get the impulsive or the expansion. Those expansion moves are with a bias. Those retracement moves are against the bias. So you should always you know before taking any trade determine is it a long-term move or is it a short-term move. Why? Because that can give you an expectation and a hint about the reward to risk. Now bias is nothing but a top down analysis. That what you need to understand. So following the valid and the proper top down analysis can lead to having the proper bias. Okay. Now I mention this a lot of the time. It's the top down analysis that we need to follow. It's the right time frame alignment that we need to follow. So let's say I'm taking an entry on the one minute time frame. Do I need to be aligned with the monthly time frame? Not really. If I'm trading the five minute, do I go to look at the trend on the monthly? Not really. And that's what actually some of the people on YouTube goes over monthly time frame sees that, oh, we are bullish here. And if the trade that they're doing on 15 minute, for example, it was bullish, they're going to go to the monthly. And you know, it's all about the discretion. They're going to say, "Oh, it's bullish on the monthly." if the trade was bearish instead, they're going to go to the monthly and they're going to find a reason to tell you that it's bearish on the monthly also. But that doesn't matter at all. You don't need to watch the monthly time frame when you're trading in the one minute time frame or 15 minute or even 1 hour. Okay, that's the reality of it. So, we need to follow the right alignment of the time frame. So when we move from higher time frame to intermediate time frame or when we move from intermediate time frame to lower time frame we skip one time frame here. So for our time frame if you want to have this as our intermediate time frame or you know uh if you're only dealing with two time frames. So we're only looking for higher time frame and the lower time frame. There is no need for intermediate time time frame. What do we also do is skip one time frame. So we could look at 4 hour then skip one time frame. So no 1 hour 15 minute what we have now is what 4 hour and 15 minute and those are the time frame or the valid and the proper time frame alignment or to the top down analysis. It's 4 hour higher time frame 15 minute lower time frame. So if I'm trading the 15 minute time frame what I need mostly is the 4our bias. Okay, that's the uh the reality of it. Now, we could take the daily here, no problem. Weekly, it's a plus. Uh but the minimum is the 4 hour and that's what mostly I want to focus on. Okay. Now, if you're dealing with three time frames, you could go with one here, skip one, skip one, and you got 1 hour. So, monthly, daily, 1 hour. This is here. You see it? Monthly, daily 1 hour or weekly, 4 hour, 15 minute or 4 hour, 15 minute, 1 minute. Now, you need more information about this, how to apply those time frames in order to translate it to a trading plan, I have a full video for you that's going to be suggested. Now, it's a full trading plan based on top down analysis. But this is the one we need for now. If I'm trading the one minute time frame, I need 15-minute bias. Okay, that's the minimum understanding of it. So, actually top down analysis leads to a bias. Some people would actually go and say okay this is how you get your or this is how you perform your tip analysis and this is how you get your bias. In reality is the same. When you have, you know, uh, monthly lining with daily, that means you are with a bias, right? That's it. When you have 15 minutes, you're saying, "Oh, 15 minute is bullish." Then you go to one minute time frame and you're looking for a long position. That's with the bias because that's the bias that you need. It's the 15 minute, not the weekly. We're not trying to catch a trade on the one minute time frame and trying to catch the weekly expansion. That's not going to work. Maybe it's going to work sometime if you're lucky. Maybe it's going to be once a time thing, but it's not going to be all the time. It's not going to be consistent. Trading is all about consistency. Now, in order to understand bias, we need to understand two things that the market does all the time, 24/7. And you [clears throat] could go to any chart, any time frame, and you will see that anything that happens on the market, it's going to be one of those. Okay? Now either the banks do this or it doesn't do but you can see it on the chart at least for us that we can recognize those things happening. Now I don't care if anyone says that this is what banks do. This is what smart money is. I don't really care. You got to go look to the chart and see that actually what is happening. Those two things rebalancing fair value gaps you'll see that there are gaps between three candle. So there is one candle one and one there is a gap here which is a fair value gap where the imbalance you'll see that a lot of the time price comes back to those and started going lower or same thing here comes to a fair value gap started going higher. So one of the things that market does is rebalance fair value gaps and there might be some tiny and micro things that the market does but you will see that in reality and when looking at the higher picture it's going to be only one of those. Now this is one two is looking for liquidity and let's forget about liquidity. Let's just call it old highs and old lows. Okay, price will tend to go to those levels. High taken, low taken. That's what the market does. Okay, so it's either rebalancing fair value gap or seeking liquidity. That's what the market does. When we have an understanding of this, we can actually establish a bias based on this because if we are in a fair value gap, what are we expecting now? the market to take the liquidity. And the same thing if we have a clear fair value gap that is unfilled, what are we expecting now? For that fair value gap to be filled and that establishes a bias because now if we have a fair value gap here and we are up here, our bias is going to be for this fair value gap to be filled. Now yes, with a proper confirmation here, but those two things and the understanding of them will lead to a valid bias. Now we could get a hint of the daily bias or any bias based on PD arrays and the orderflow because orderflow is generated and understood from PD arrays. Orderflow and PD arrays it means nothing but the respect and disrespect of PD arrays. Most of the methods that we're going to go over later are based on those things. Now bullish bias with the use of PD arrays is going to be price retraces into bullish PD arrays and respect them going higher going to be also price violating bearish PD arrays. Price retraces down to engineer liquidity. So price is going to come lower and price is going to sweep those short-term lows. So going to come lower and then sweep them and then reject higher. Also price creating clear breaker structure with displacement. You'll see price is going lower sweeping liquidity breaking structure with a displacement to the upside. So the moment we see those things happening in the market on the price action we can simply confirm that we are in a bullish bias. Now the opposite is with a bearish bias is going to be price retracing into bearish PD arrays and respect them. It's the respect of PD arrays and it's also it's the sweep of the highs in order to go lower and it's [clears throat] also the breaker structure to the downside with the displacement. It's price going higher sweeping those liquidity level and going lower. Actually, it's not short-term lows here. It's short-term highs. So, this is how we get a hint of the order flow which is nothing but a bias using what? using PD arrays and any method that we're going to go over, you got to use PD arrays in order to understand the bias because PD array tells you where price is going to, where price is reacting from, and where price is heading to. This is what PD arrays tell you and this is what actually biases. Now, method one and with the right time frame alignment, it's nothing but and it's actually the easiest one ever. So whenever you see this, you know what your bias is and you'll be sure that this is your bias. What is it? So it's a rejection or liquidity sweeps or turtle soups. Three names for the same thing. How does that look? So we see we're going higher here. So let's say we're going higher here, creating this high, going lower, creating this low. So we have a range of a high and a low. Now we started going up. What happened here is we did not close above this high. So you see the swing high here. We actually rejected with a bearish candle and we were going lower from here. So we rejected from the previous high. We did not close above it. What is this? A rejection, right? So that's a rejection closer below. That means we are bearish now. So you see we're bearish until what? We took this low. the same thing that's right here is a rejection not closing below which establishes a bias to the upside. Now what is the opposite of rejection? It's a closure above or closure below. You see what happened here instead is we going lower going up coming lower again. This is a retracement a valid high in this case a valid pullback. We actually closed above it. Closure on the other hand establishes a continuation. So rejection equals reversals, right? And closures equals continuation. Okay, that's how we look at it. So we close above, that's a continuation. And you see here, even though it's a bullish candle in this case, we did not close above this previous old high. And what does that establish now? It establishes a bearish bias. You see, we're going to the lower side. Now, if this happened, we close below this old low, most likely we're going lower. If we sweep and started going higher, then that's a bullish bias. Either coming to an internal or taking the high. So, that's going to be the bias. Maybe here going lower or going higher, taking that high and started going lower. So, this is the first method and I put it as the first one because it's the easiest one. It's really the easiest one. uh it's one that you can see it clearly with the right term alignment and I'm going to show you examples now on how to apply this and get a bias based on it. So now into the examples of finding daily bias using the rejection method. Now one thing is it's not going to be maybe sometime it's it's every high and low but in order to have really the best buyers and the valid ones you're going to look for you're going to use your experience in order to know looking for inducements instead of just any higher low looking for ranges highs and lows looking for timebased highs and lows. So, a lot of things here. So, some other things you're going to use discretion with it, but you could also just apply a fractal indicator that's going to mark uh some valid highs and lows for you. Okay? And I did give all of the settings in my indicator video. So, make sure to also watch that. Now, just simply by looking at the 4 hour and when we're looking at 4 hour, what are the time frame used for entry? Simply it's the 15 minute, right? That's the that's the thing that we already discussed. Okay, 15 minutes. Now 4 hour 15 minutes which means that it's you know the uh which means that the bias that we're going to establish here in the 4 hour we're going to go to 15 minutes in order to enter. Now let's take a look at this. We got uh this low here as an inducement. It's whipped here right and we did not have a closure below which means that we are bullish in bias. You see here we close above this high which means that we're still bullish. I prefer to see retracement first. I don't want to enter immediately on the breakout. Okay, you can see that okay we did not take this low. This low not taken. This low right here is taken and we only rejected with a wick. Now let's see this one. It's a small wick. Yes. So this one establishes a bias. This right here we actually closed above this one right here. Let's see. We got this one. We did not close above it. Oh yeah, this one. So this one, this low here, which is a valid low. We did not close below it, which means that we are bullish in bias. Now, if we just go lower in time frame here to 15 minutes and show you the ranges that you were able to trade based on this method. So 4 hour, we go lower time frame. Actually, this one here, we got a rejection. So we are bearish. But you always want to look for the valid one. So for example, we want to look for high taken with the overlapping, right? And also you could look for overlapping rejection from here. But this is an advanced level. We could look for price rejecting from those levels, which means that we have a already a bias. Those are the same levels that we marked in the 4 hour, but this is on the 15 minutes. Let's look at how price behaves after, you know, given that sweep. So you see we got the sweep, we already got the rejection here. This was Asian session. So not really a big fan of trading in the agent session. But you see after the other sweep, we just started going higher and that's your bias. The probability here of taking a long position is much higher than taking short. So you see price respecting Pays. You see a very clear orderflow of a bullish one, right? A bullish orderflow here. So you could look for long positions here. And you see we started going higher until what happened? We got this one. So here we got a rejection of a level 4hour one. We started going lower. We got a retracement into that period gap and we push lower until when we got another rejection of a 4hour level and we close about that establishes what? A bullish bias. Now we were going bullish until this point. The more recent the sweep is, the better for you. So when I have a sweep here and it's already rejected, it's better to enter here than wait somewhere in here because the move maybe it's about to end. Okay, so it started going lower and same thing here. We sweep and rejected this one. We're not going to be able to participate in because it was news and you got no time here to participate. What happened here is price sweep being a low on the 4 hour already rejected. You could even look for what an OTE here. So from this point to this point uh we got 4 right here and you see almost 61% and the uh five price pushes higher and you see it's a bullish order flow simply and we started pushing higher from that point going higher maybe until sweeping another one. So that was a closure above on the 4 hour. What do you see? price went above and then immediately came back to the range. So if you're experienced enough and you know that price is coming to the specific point even if there is a closure above but then you see immediately price rejected you could still count this as a sweep. Why? Because if we have a closure above a level and then price coming lower in a 4hour time frame for example when we look at daily time frame or even you know 8 hour time frame this is going to be what candle with a rejection of that level. This is how it's going to be. So the closure of a body of a candle does not mean always that it's a breakout section. Sometime it's a sweep on the higher time frame but that's an advanced level right only when you're in a higher time frame level. See when price comes here even if it was a closure a closure a closure and then CISD then this is still a sweep on a higher time frame. Okay. So this is how you get your bias. You should always follow the right time frame alignment. Simply a rejection candle means a reversal bias. A closure candle means a continuation bias. That's how we look at it. Simply by looking at one candle that establishes a bias. On a higher time frame, we go to lower time frame in order to find an entry and execute. That is the first method. Method two is external and internal liquidity or in other words market makers model. Okay, either buy model or sell model. X refers to either B or S. Buy or sell. Now this is one of the most accurate and high probability methods that you could use. Best one that I use in my opinion. This is how the market moves because a market makers model is nothing but what? coming into an internal which is a fair value gap and taking an external which is an old high. That's all the market does in one market makers model. Market makers model price coming into an internal going to an external. That's what it is. Okay. And the market as a whole does only two things which is sweeping liquidity and coming and rebalancing fair value. All what we're doing is watch looking for this signature in price action which is price expanding with an displacement leaving a fair value gap retracement into that fair value gap which what we see here. The moment we see we look for confirmation inside of this fair value gap targeting the high of the range. Why is that? Because when we are on a 15-minut time frame for example the moment we are in a bullish fair value gap on the 4hour time frame that's a buys by itself. Now imagine you are looking at 4hour time frame right and you are inside of a weekly fair value gap bullish weekly fair value gap. What does that give you? It gives you a bullish bias. It's like it feels like oh I'm about to be bullish right that's the psychology behind it. So we are in a bullish fair value gap on a higher time frame. Simply that's a bias by itself. Now the moment we are sweeping a high that's also a bias of maybe going lower. The same thing as the first method. So simply we're looking at internal range liquidity which in this case a fair value gap. So fair value gap is internal liquidity. We're waiting for price to come into that internal and we are looking for a confirmation here and then targeting to the external. Right? That's how the markets move external to internal, internal to external. You see from here to here that's the external to internal and that's the internal to external. So simply I really prefer actually on the first method it was trading external to internal. In this method right here it's trading the impulsive move and not the correction. Okay. So this is you know just being inside of this fair value gap on a lower time frame inside of this higher time fair value gap it just give you that bias. Okay, we're going to be looking at examples here, but I have a whole video about this, about the internal and external liquidity and how you can actually be profitable using this. And I know a lot of friends, a lot of profitable traders only looking for the signature in price action, which is price coming into internal trading off to an external. So this is your daughter on a daily time frame. You could apply this on any time frame. It's just that the confirmation you look for should be in a valid and proper time frame alignment. So simply looking at what is happening here. What we had is what price going higher coming lower with the displacement. What does that leave? What do we see here? Per gap just right here. That's an internal liquidity. And the external liquidity we have at the moment is this one. What happened is price going into the internal going to the external. You see you could have looked for a low time frame confirmation here from the fair value gap. This is the signature. The same thing happening here. We had this internal. Now we go and look for the external. This is our external. And that's what happened. Price going from internal. So price being inside of this internal it just automatically a bullish bias going higher. Same thing happening here. We get this overlapping. We got this fair value gap which is our internal. What is our external? It's this high and that's where price goes to price comes lower internal. This is our external. That's what happened. And that's the cycle all the time. You see we're going lower, we push higher. We got this p value gap with the overlapping of the uh the body of the candle here. That's the one where we got the external. It's this one. That's where price goes to. Now, same thing going over. Sometime it's going to be against the buy. So, sometime you are actually looking at this, right? Looking at this move here. Sometimes it's going to fail. Yes. Because now we might be in a monthly buy. So, maybe this is an internal in a monthly and we're going to be disrespecting this one in order to reach the monthly target. for example, or the weekly. So, it's not going to be every F value gap working. You got to look for the valid one and I already talked everything about this in one of my videos and it's going to be suggested now. So, we got price coming lower. We got this here value gap and we got external here or this one and it was respected. The same thing happening over and over. See internal liquidity taking the external here. Same thing happening over and over. It happens all the time and that's how you find bias. Okay. Now we could look for weekly for example the weekly time frame and see do we actually have market as a model or in other words a move of internal to external. Let's see. We got this big move right from here to here and we got this extreme period gap here that is partially filled. We took this one liquidity into the fair value gap. Our external of this move is this one. So that's our target. But then we have some other targets which is this low here which was taken. Yeah, I think this one was a valid target and then extended it to this one. But this is a weekly time frame. Not going to be waiting for this to be taken all the time. Maybe in the future but not as of now. Okay. So same thing happening even in the weekly. Let's see the monthly time frame. Now, how is that or how are we going to, you know, utilize this in order to find a bias? We're simply when we are coming into a fair value gap, that's a bias by itself. So, let's see. For example, here we got this move, we got this low here and this high of the range. Any fair valid gap inside of this range? Yes, the extreme one is around this level. Simply price coming into this level. It's a short bias. We go lower time frame. Look for confirmation targeting what I really prefer to see. First of all, we're going to look for the internal here. So, I really want to see price coming into this internal and then following by price taking the external. And that's what happened. Price going to the external. Now one minute time frame. Do we have this on the one minute time frame? Let's see. I'm going to go back in time for example this London or you know just randomly going over any day. So let's say this one right here. Okay. Now zooming in going to see that what happened is what price coming lower with a uh you know a lot of displacement extreme fair gap is this one. That's where price came to. What is the external? It's this low. That's where price actually took that low. Then we started going lower. Same thing. We got for example this one bearish move price coming into fair value gap started going lower. But this one we don't have a big range to the downside. I really prefer to see something like this. Price coming lower going up you know a big retracement. So it leaves more space for us to target this low which is the external. I could have looked at the external of this range here because now what we have is what another market makers model which is from here to here and price is coming into another per array to take the external again. So that's how we establish a bias. Now the same time frame alignment is what we're going to be following. Right? So I'm going to be looking for a market makers model on the 15 minute and looking for an entry on the one minute time frame. Let's see an example. What we have here is this one for example. Yeah, we got this one. So you see we got the creation of fair value gap here. Back to one minute time frame. What I want to see is what price come into this fair value gap is what's going to happen now. The moment we get there we are bullish. So you see the moment we get there is we're bullish. I really prefer again to see a target around this one because you see we were not able to enter here as well as the target is very close. But if you are entering on this maybe targeting this high instead or this Asian high that also could work. So that's the method that's the first method. Now this happen again all the time. This is how the market moves and I do have a full video about this. So, I have two videos on market makers models and one video on external and internal. You can watch all of those and they're going to be suggested on the video or in the description to the third method and that's one that I have again a full video about it where I went on details, the types of it, how we use it, a full trading plan around only three candles. Three candles is really or maybe sometimes two candles is all you need in order to establish a bias in order to have a trading entry as well as a POI to enter from. So three candle pattern also known as CISD. Now just three candle pattern to simplify it to people. What are we looking for is what bearish candle maybe going into another liquidity level. So we only validate this either this one, this one or this one. Different types of three candle pattern. Again sometime it could be two candle. We only validate this pattern when price is inside of a POI. So for example we got fair value gap, order block, breaker block or you know an old high or odd low also liquidity sweep. Yeah, this is the one that I meant with old higher order low as well as an SMT. So when we have a SMT and we can see it within this three candle pattern with another correlated asset then we can validate this pattern. So what is it all about? When we have price coming into higher time frame level and what we see is price first of all first candle is bearish then a bullish candle and then the third bullish candle is closing above this one and this one. That's a three candle pattern. It's a Vshape on a line chart, right? So, when we have a line, it's going to be Vshape and it just looks like, oh, price is coming lower and then going higher immediately. Also, it could be in two candles, which is just simply an engulfing candle. So, a bearish candle and then an engulfing candle. Really prefer to see price sweeping the low. It's the same thing as here, sweeping the low. Now, it could be bearish candle, bullish candle within the bearish candle, not sweeping it. So it's an inside candle and then the third candle comes and sweep two of the lows right which is now in a low time frame equal lows and then closing above both this one and this one. So closing above that's what another three candle pattern that is valid in order to validate a bias. Okay. Now what is this looks like? Why is this actually a valid pattern even though it's just an engulfing candle? When we look at those CISD or engulfing candles within a higher time frame level, that indicates a market section shift in a lower time frame. So you see, you see this one here. If we look at lower time frame, it might be something like this. Price is coming lower going. See this closure here? That could be the move to the downside. Could be the bearish move. And the move to the upside is the bullish move or the bullish candle. Closing above here. You see it's something like this. This is bearish. This is bullish. Closing above indicates what? A lower time frame market section shift. And we have a valid one. That's why CISD is really significant because it's nothing but what? A lower time frame market shift. If you want a mechanical way to you know confirm a market section shift, you could look for this one using the time frame using the valid time frame alignment. You could actually just look for market s shift using higher time frame CISD and that's going to be a very mechanical way. So simply we're going to be looking at those patterns in order to establish a bias and then look for lower time frame to enter. So we got 4hour Euro dollar here and simply all we're looking for is the three candle pattern. You see here what was happening is you know if you go back in time we can see that we're going up. The first thing we see is three candle pattern or actually two in here but it's still valid. This establishes a bias to the upside. We're coming lower. We could also mark the fair value gaps here that we have two consecutive fair value gaps or a hidden order block. And if you're not familiar with hidden order blocks, then you should watch my video about hidden order blocks. So we have a hidden order block here. We have no three candle pattern. You see we got a bullish candle but not closing above the previous one. And you see here we have one candle, second sweeping, third displacement. That's a three candle pattern establishing a bias. So from here I know that I'm bullish in this case again bearish candle bullish and uh you know sweeping and displacing that's a low. Usually those levels the three candle patterns gives especially when aligned with the higher time frame give you actually an indication of a strong high and a strong low. So this one now is a strong low. Strong low. That's why it was not taking strong low and we started going higher. And you see we're going higher. There was no three candle pattern here. We're going up. We got a three candle pattern. Why? We got high. Second candle within third candle market shift. This is now is a high that is you know part of the three candle pattern which establishes a bias. Now, this one is also one that I could count as a bias. But then we are already we're reacting of another high time frame level. So, we're looking for this retracement. This is more higher probability than this one. Okay? Could have taken this one. And you're going to know when you apply this in the future that those are high probability ones with a bias. Okay? Because that's the the whole video about daily bias, short-term moves and long-term moves. So this one from here to here is a short-term move. This from here to here is long-term move. Now you see we were choppy here. I really prefer to uh trade the 1:00 a.m. 5:00 a.m. and you know those candles 9:00 a.m. because those are higher in probability. I really avoid the candles inside of Asian session. You see again we have this one three candle pattern establishes a bias. Uh this one after sweeping liquidity we got a three candle establishing a bias. I really prefer ones that are reacting of level. So you see we also sweep this level but no three kind of pattern. So not valid. But then when we sweep this level see we got sweep of this level. No three candle pattern. Nothing nothing. And then we got one here. So that's a bias. Now we only look for ones that are valid. I don't want to go in details this time but this is a valid one. We started going higher. Price coming again into it. Again, if you haven't watched my hidden order block video, this is a hidden order block. Price comes here and three candle pattern. That's a bias here. I know that we are pushing higher and until we reach this level where we come into an order block and sweeping this liquidity, we got a three candle pattern that's establishing a bias in this case. That's most likely a strong high. And then we went lower. Same thing you see here. Three candle pattern within a hidden order block and a fair value gap with an overlapping. Right? So fair value gap with an overlapping three candle pattern happening at a key level that's a bias to the lower side and this keeps going. So the moment you understand the three candle pattern where to look for it and what are the um you know the high probability levels to look for it using your experience your discretion in order to filter out the good and the bad ones you'll master daily bias just by looking at two to three candles. That's it. So, now into method four, and this is going to be a little bit different than the others method, the three methods that I've went over uh previously. This one, you're not going to be able to trade the Asian session as the other ones where you could actually trade any time frame and any time of the day. This one is a little bit different. It's going to be more about, you know, a little bit of a 4 hour time frame and less, right? Mostly 15 minutes time frame. But using this you could actually catch the expansion of the 4 hour but I would say mostly 15 minute that's your bias for the 15 minute for every day trading what London kill zone and New York kill zone it's the Asian range sweep because Asian session by itself and what happened after especially on the London kill zone is going to determine the bias for the day. You see here the Asian range sweep will help determine the bias for London and New York or New York. So both either it could be only for London or it could be for London and New York or it could be only for New York and you can understand which situation is appropriate for that day depending on those three videos. So if you want more information and really enough information about how to use the Asian range as a strategy and as a bias then those are the videos for you. All of the videos are going to be in the description. So Asian low sweep first of all market section shift and a displacement. So let's say we have Asian range here sweep to the lower side displacement to the upside that establishes a bullish bias. the opposite Asia high sweep market section shift. So you have Asia high taken displacement to the lower side that establishes a bearish bias. Now simply by looking at those especially when we have the sweep into a higher time frame PD array in the 4hour time frame that's going to be really a high probability bias to look for throughout the day. You need to highlight your Asian session and then what happen after which is the London and New York. You see a lot of the time what we see is when we have price go below the Asian low in the London kill zone right so below the Asian low into maybe a higher time period rate on the 4 hour. That's what I prefer to see and then break it above with a displacement that establishes a bias for the whole day. You see for the whole day for both London mostly for London and also for New York sometime we keep going up. You see the same thing happening here. Actually there was a problem with the indicator but this is your Asian session. This is Asian high. What happened here is price sweeping up coming lower and there was the market sit here. Then we keep going lower for the whole day. Now this is also happening maybe sometime it's not going to hold specially and that's why you need to watch the other videos because there are scenarios and conditions for example if Asian is already reacting of another PD array then it's already going up price is only coming back into the Asian session to keep going higher based on the you know mitigation of the higher time frame per array on Asian same thing happening here especially when price is going again 4hour level and I'm going to cover this. We're going to go to 4hour level. We're going to go over 4hour time frame later. You see sweep above coming lower market shift as a continuation to the lower side as well as continuation also on New York. So still going lower. You see again same thing happening here. What happened is price sweeping, breaking structure and then continuation or you know this is the bias for London and again another until it was ranging here. Now where we on right here maybe we go to 4hour and see. So if you can see what was happening here is only price coming into this order block right into this order block Asian session sweeping here and then keep going lower. So that's a PUI. Even though I was expecting price to come lower, but that's also another POI. So price could go lower up again and come lower. Right? Another example is this one using a period on the 1 hour. We can see that this is our Asian session sweeping the low here as well as this low into a 1 hour fali gap. And that's your bias. You see we had price coming here and then CISD or actually a market shift and a displacement on the lower side. You see displacement to the upside here closing above continuing higher for the London. This day was not the cleanest but it's still working. And the same thing happening here. We got Asian session from here to here and price came to this fair value gap most likely. Also again this is a fair value gap on the hourly chart also let's see see this one here this day you see we got Asian session from here to here we swept into this 1 hour fair value gap and that's your bias for the day you see that's also an hourly bias we're going up lower and continuing higher on the near a kill zone so that's how we use the Asian session and the Asian sweep to establish a bias again same thing happening here 1 Our fair value gap above the Asian session price did not go exactly there but what happened is sweeping liquidity from Asian session breaking section continuation on New York going lower method five and that's the last method for me and this is my hample opinion it's not the high probability method to follow to find the daily bias however it's the easiest it's the uh you know the most mechanical one it's not subjective at all. So, it's based on two indicators that ICT suggested and I already had a video about this. You can watch it in the description. It's all based on EMAs or exponential moving averages. We're going to be installing and setting up two EMAs, 9 and 18, and we're going to have them on daily time frame. That's what I prefer to see. But if you are trading on a lower time frame, you could look for the bias based on the uh valid time frame alignment. Okay, so for example, if you're trading 1 minute, then maybe switch to 15 minute to look for the EMAs or maybe 1 hour. Okay, you could be flexible with that. Now, how do we go with this? First of all, I want to see price above both 9 and 18 if I want to be bullish. So, a bullish bias would be price above both 9 and 18 AMA. Now the opposite for a bearish bias I want to see price below both 9 and 18 EMA. If price is ranging around and hanging around both 9 and 18 EMA then that means there is no clear bias. It's the same as saying that okay price is now ranging instead of expansion. So when you have this condition, it means that the market is ranging, chopping around and there is no clear direction other than having a displacement and expansion. It's not like this. So when you have this maybe stop trading but when you have price below both 9 and 8 EMA then that's a bearish. The opposite is bullish. Very easy to photo. I suggest if you are a beginner and you have no idea of you know uh PD arrays external internal internal external all those methods that I've went over then you could use this one because it's very mechanical it's beginners friendly and you cannot go wrong with it right even ICT suggested use this one and we're going to go now and look at the examples and look how we can actually approach this one now we're going to go to your daughter for this example. I mean, you could use any asset for this one. You're going to go to indicator and install this one called multi EMA. You're going to go to input and have 9 and 18 EMA style. You're going to apply those two with the colors that you want. Okay, enable it here. And what do we see on the daily time frame, right? So for example we have uh if we start from this point we can see that price swift liquidity what is that now? So streaming liquidity rejection means change and bias. So if we're bullish then we are bearish here based on the one of the methods that I already talked about. Now we have one hint here. The other hint is that price is below both EMAs, which means that we are now bearish. So all those days we are being bearish. Now we're getting closer to the EMA, but we are inside of a bearish valley gap. We're still bearish until we started going up and we're chopping around here. Then that, you know, uh not really confident about this until we have a clear move. And at this point we are above both 9 and 18 with a bullish fair value gap but I'll trade it from this one going higher. Now we have another bullish fair value gap and we are above both then we're still bullish. Price comes to the EMA. It's you know around the EMA. Not really confident at this time. Then we close below aggressively. We are below both EMAs. We could have shorted here. Coming lower below both EMAs here again. and until we closed above have a fair value gap here and we are above both EMA. So this fair value gap here could hold price going higher. We are bullish for now based on this method. But when you use this in combination with PD raise fair gaps then you could actually you know take advantage of this and have a higher probability instead of just following the EMAs blindly. you could actually have much higher win rate combining with other ICT concepts. So let's consider this as for example 15 minute time frame chart. Okay. And we have highs and we have lows. Now if we look at this from a liquidity perspective. So let's say you focus on liquidity sweeps. This is the liquidity sweep, right? There is this one. Now there is this one and there is this one. So which one you take? There's also this one here and this one. Which one do you take? If we look at this from an order block perspective, maybe there was an order block here, it failed. There is this one here, it failed. But maybe this one worked. So, which one do we focus on? Now, focus on your liquidity. I can take this one and I can take this one. This one might give me maybe if I take this one maybe one to one. Okay, if I enter here with a stop loss here, maybe one to one. But this one gave me actually much more. So from here all the way to the highest high here, this is the maximum reward to risk. This one is a huge trade. So how do I focus on this other than this one? How do I focus on trading this liquidity sweep or this one other than this one or this one? The answer is going to be in today's lecture. We're going to focus on high probability conditions and we're going to be focusing on high reward to risk conditions rather than just catching these small moves for one to one or you know sometime even negative reward to risk. Now what's the issue here? What's the issue on that chart that I showed you earlier? The problem is that you are trading the noise. So you could have actually a much more clear picture of the chart. You could see the chart in a different way, more clear and focusing on high probability zones rather than focusing on every opportunity and focusing on quantity because we [clears throat] were talking about quantity. What is the difference here between this and this? So to the left what we have is more trades. To the right we have less trades. Not only that, but here we have a trade. Even just focusing on one to one, we got stopped out and then price goes up. Here maybe we get one to one. Yes. But then uh another trade and here you can see the difference. Here we focus on one side of price action. So here we're focusing on shorts and here on shorts we don't try to catch every high and low but here this approach is catching one to one to the lower side then going long and then going short then going long. Then it's this cycle of catching actually trying to catch every high and low because you cannot catch every high and low. Now the difference here is here we focus on quantity and here we focus on quality. And if you have been trading for some time you would know that the more trades you take without following your plan it actually gives you less money. So at the end if you focus on uh being a profitable trader you need to be very picky about your trades and focus on quality other than quantity. So this is the wrong approach. This is the right approach. Adding that piece that we're going to be talking about today and on the next slide takes you from trading like this to trading like this. This video is going to take you from focusing on a lot of trades, catching every single high and low to catching huge trades, focusing on one side of the direction, either long or shorts and then holding more with a tight stop loss. That is going to be the difference. The missing key is alignment. As simple as this. Imagine just having an alignment in your trading solves a lot of the issue. In my opinion, based on the people that I mentored, most of them not looking at alignment is the reason they're still unprofitable. They just look at one time frame and looking at a specific setup such as this one. So if I focus on sweep and then break a structure or if I focus on let's say an order block or supply and demand just focusing on that or just an SNR zone something like this I want to trade of it. If you don't have alignment probably is not going to work. Now alignment is using different time frames in one approach and we're going to be discussing the approaches higher time frame to lower time frame. direction is using the higher time frame and then for the entry we're going to be looking at the lower time frame. That is simply what alignment is. But I'm going to show you how to apply it to your strategy. And even if you understand the concepts of time frame alignment or the concepts of top down analysis, still stay in the video because you might actually not understand it correctly or probably you might have the wrong view of top down analysis maybe based on some other teaching teaching the wrong way of it. Now before we continue, I've taken everything I learned over the past seven years and put it all in one place. It's cool. This is my community. Inside you'll find structured courses including the exact strategy I use every day. The edge model. These are some of the trades that I've taken with my members in it school using the edge model. You are welcome to join if you want to make the real change in your trading. Now let's continue. So the ring way of doing it and this is where most people actually on YouTube if you go to any top down analysis video they're going to go this way. They're going to tell you that, oh, you need to start from the monthly and then go to the weekly. Make sure these time frames are aligned. And then if you are executing your trade on the 15 minute, you want to see monthly, weekly, daily, 4 hour, maybe hourly, and then you want all these to be bullish in order to take your long trade on the 15 minute. This is the most wrong thing I've ever seen. Why? because this will not happen 99% of the time. Now go to your chart and try to align these time frames. You're going to see maybe 1% of the time they can be aligned also because they don't understand the difference between higher time frame and then high time frame. I mean it all start with edge but one is higher ends with ER and one ends with an H high. The difference here is one is relative to something, one is not. Higher is relative to something. Now if we take a look at 4our here a lot of people would say that 4our is a high time frame which is could be true but it's not higher time frame because sometime if we have the alignment of weekly to 4our in this case 4 hour will be your lower time frame because it is relative to the weekly and when we compare to the weekly it is lower okay that is the way to understand it and it's not we're not going to be using something called high or low. We're going to be using higher and lower because now it is relative. As I said, the right way is using higher time frame to lower time frame. That is one approach and that is the approach that I do recommend most people especially beginner to go with. There is another approach which is using three time frames and this is one I also um you know explained before higher time frame, two intermediate time frame. So this is added here in between and the lower time frame. This is already explained on one of my videos and I'm going to be recommended to you. We're going to be discussing the first approach here which is higher time frame to lower time frame. That means we're going to be using two time frames here. The alignment happens when we have this higher time frame key level. This could be anything. This could be supply and demand. This could be uh support and resistance. This could be a faliga or imbalance. This could be an order block, you know, whatever anything. So let's say that this is a key level. Key level means any of the uh previous things that I mentioned. Okay, higher time frame key level. when price comes to that level when I see this bullish key level showing a reaction on the lower time frame and now the price action on the lower time frame is showing a bullish signature you know it could be whatever now it could be a break or structure if I'm looking you know and this is something that you're going to decide yourself when and you know what makes the alignment there what validates the alignment this is going to be an answer from from you depending on the strategy that you're using. Whenever we have that alignment, it could be here, it could be here. Based on your trading strategy, it could be here. At that moment, we're going to be looking for longs because now we have the alignment between the higher time frame, which is going up, you know, uh, initially, and then the lower time frame is going up too. So now we have the alignment and we can pull the trigger and execute. These are the time frames that we're going to be using for the time frame alignment. higher time frame here and lower time frame here. So if you use your u higher time frame as weekly mostly for people who like swing trading and holding trades for days and weeks then you're going to use your 4 hour as your lower time frame daily to 1 hour 4 hour to 15 minute. This is my main one here and this is the one that we focus the most on each school and using the edge model even though each model works on any of these time frames. And then you could also scalp based on the 15-inut and 1 minute. Other people use a different time frame alignment which is as an example daily and 4our and there is nothing wrong with that but I do prefer to catch a huge part of that you know higher time frame move. So when I'm using the weekly level yes 4hour could be a bit more risky than the daily. However, if I catch that trade and if I get experience with it, I can go from, as an example, three reward to risk to maybe seven. That is the difference. It could give you double the reward to risk just following this time frame alignment. Yes, it is a bit harder uh more risky, but it gives you more reward too. Now, when we talk about alignment, why is it the missing piece in your trading strategy? What does it add to your trading strategy and to your trading plan? It adds automatic direction. And that means just by having a key level and then you are trading at that key level. So let's say this is a key level and price is coming in here in the lower time frame. When price goes to that key level, you already have an automatic direction. When price is in a bullish higher time frame level, your direction is automatically being bullish. You have a bullish bias. So automatically it gives you a direction. You don't need that idea of oh I need to find the direction. I need to find the daily bias. All of these things following the time frame alignment is already you know an automatic direction. It can also give you a higher reward risk. If I can trade from a key level to another on the lower time frame and I'll be taking the swing point to maybe this one. So trading from a swing point to a swing point using the low time frame but following and focusing on the key levels on the higher time frame. This is the secret that gives you higher reward to risk. It also give you higher win rate because now you are trading with a trend and even if you're against the direction. So even if we have a bearish key level and you are bullish still this key level is going to give you a reaction and based on the lower time frame you can actually take 3:1 or 4:1 even if you are against the trend if that key level is valid. We also focus on quality over quantity. That means we're going to be focusing on specific trades that has a potential of high reward to risk and potential of you know giving a huge move instead of focusing on moves that gives you one to one another one to one another one that could also end up in a lose. So we are here focusing more on the quality other than the quantity and this is what alignment adds. When you add these here, it makes your strategy uh having higher win rate, higher reward to risk, give you direction already, and then you become more picky because now you're focused on specific levels. Then you execute your strategy. Now, how do we apply this? How do we add this missing point? We're going to go now to Trading View and show you everything and show you some trades that I've also taken on it school with my members using the same concept. So let's start with dollar yen here. And I want to focus on this specific price action because in my community we almost scored every possible high and low here and here and we're trying to catch this one. But all these are really high reward risk. And if we switch to the 15 minute, you're going to notice something that instead of catching this or catching this or this one here, the short or this long, we were focused more. So, if we just go blindly on the 15-minute, you're going to notice that I did not execute anything here except this, this, and we try to take this one, but then no enough retracement and this one. So, why not this? And why not this? And why not this? Why not go along here? This is the answer. Time frame alignment is the answer to this. So if I were just to go to the 15-minut time frame here, how can you know? And the answer is very simple. How can you trade this instead of all these minor moves? How can I catch this all the way to to the low and then maybe go long here? The answer is time frame alignment. And why? Because now, so this is the price action on 15 minute. If I just switch to the 4 hour, this is going to be my higher time frame. 15 minute is going to be my lower time frame. I'm going to ignore anything. So as price is going up here, I don't have any key level. So I'm not interested in anything. Nothing is interesting to me. But then I do have a creation of a key level. What can I do here is now switch to the 15 minute. And now you go short based on that 4hour structure but then trading as if you're just trading the 15inut. A lot of people will just focus on for example uh liquidity sweep or session sweep all of these things or just in imbalance but an imbalance can happen anytime anywhere. How do I pick the one that is really significant? This is one here. What happened after is instead of just focusing again on the uh structure of the uh 15 minute no I'm going to wait for and this this trade here this one this one I all take all of these live in a school now yes um I did not enter all of these but I did call all of these even before they happen now as an example this one here going 15 minutes how do I know this is the right time because I could go short Maybe here, maybe just before. How did we, you know, focus on this one? Because now this one is a part of a 4hour level. We enter best on this. We enter best on this. And instead of just going over 15 minutes, now we have a lot of noise. Now, let's say that your strategy is just a fair value gap. You focus on fair value. What you can do is first focus on what you're going to do on the higher time frame and what you going to do on the lower time frame. You decide. So if I want to do fair value gap for everything, I just want to focus on fair value gap. What I can do here is higher time frame and lower time frame both as a fair value gap. This is an example. You can actually look at fair, you know, higher time frame as fair value gap and lower time frame as a breakout structure for example. So you want to see this thing here. Now if we take higher time frame and lower time frame as per valley gap how can this be now an example of an imbalance uh trading plan as an example we do have this one where is 50% of that imbalance here it is the extreme one when price goes to that imbalance so let's see so price goes there probably yeah exactly there exactly to the 50% of the imbalance what I want to see is price coming out of that imbalance which is probably. Let's see this one here. This wick that's a huge wick. Probably I'm not going to trade that one. Okay, maybe let's see another example now. Yes, it pushed lower after that huge move to the downside. But I want to focus on one that you know gives the uh entry which is into the higher time frame for valley gap creating a lower time frame for valley gap. This is one example. Now, not only that, but if you are trading, as an example, you're trading SNR levels. Now, you focus on this on the higher time frame and maybe you want to look for the same thing on the low time frame or you just want to look for a breakout structure. Now, this when you have the alignment between as simple as it looks, but when you have this alignment, this is a trading plan. This gives you higher reward to risk. This gives you um you know higher win rate because now you have an automatic. Think about just having you know going to the daily time frame and looking for a key level as an example. This is a key level here. Now notice even though the trend is against me still price gave a reaction of that key level to the upside and then started going lower and there we have an imbalance. price respect 50% because we have daily now we go to hourly let's see what happen okay even if I'm against the trend and I will be executing based on this level maybe we enter you know randomly anywhere maybe to in this imbalance or um anything stop loss goes below even if I'm against the trend still I was able to get four to one reward risk and that is huge now this 50% imbalance or this one. Okay, I think this one here is the daily price respected respect here. Again, I don't like uh the wigs, but maybe let's focus on this one where we have an imbalance. After that, if we were to execute based on this imbalance, that's a huge one. Instead of just catching a small move randomly from here, we are focused more on this price action leg and then a huge move to the downside. So even we are against the trend still this level push to the upside and give you four reward risk. Same thing this is against the trend we are going to the downside but you notice this key level even though we are against the trend if we switch to the hourly you notice from here all the way up. So depending on your entry stop-loss here and then we switch back to the daily where do we have another daily key level as an example you can see one here maybe price reaching this level and then you notice price given almost 5 to1 after all of this. So this is how we blend higher time frame to lower time frame and you can adjust this to your trading plan as simple as this. Now in short without alignment most of the strategies that you will see on YouTube or your strategy either fail or underperform. So you can either make it work or you can even make it better. We start with in this free course is what is MMXM is an abbreviation of market makers models and then the X could be either a sell or a buy. So we could be having a market makers sell model or a market makers buy model. In a market makers sell model we are being bearish and then we enter short positions. The opposite for the market makers buy model. That's what you need to know as of now. What is this abbreviation then we can go in details and much deeper into the details of this model. how you can actually utilize and capitalize on this specific setup which is one of the one of my favorite ICT setups as well as most of ICT's himself favorite setups. Now, one note before we go into the video is that I'm only going to be explaining and going over the graphs of a biodal. We're going to be discussing a biodal, but if you wanted to understand the cell model, then just do the opposite. just flip it upside down and then you have a a sell model, but we're going to be focusing on a buy model. Not to waste any more time. So, MMX in this case, market makers buy model because we're buying here and we're going up from here. We're being bullish. Market makers buy model consist of two curves. So, we have the sell side curve and the buy side curve. And each curve has different stages. And each market makers model also consists of some phases. One of those is the original consolidation. So simply the first thing that we we need to identify in a market makers model is the original consolidation. We want to see a range first to be established to be used later as a liquidity. Now we're going to be going in details on how to identify this, how to trade it. But before that I want to give you uh an introduction or just how the market makers looks like. Okay. Now we first start with the original consolidation. We have a push to the lower side and then you know it's like a range and then we push lower. We have a range because we know that price could be either consolidating or trending. Right? So we move from a trend to a range and then a trend or simply an expansion to a range and then we go lower. Now this is the side of the curve. In this case we have the original consolidation distribution and then redistribution. We could be having different numbers of stages when it come to distribution. So it doesn't need to be two, it doesn't need to be three, any number of stages. And then we come lower. But then when we reach a point of interest, so let's say a fair value gap, breaker block, order block, and then we have a liquidity sweep into that higher time frame period array, then we can anticipate price maybe going to the upside. Now before that we before we go into here and this is called the smart money reversal. This is the zone where we can actually anticipate a change in the sale delivery. So instead of having the sell side of the curve after this March money reversal happening then we can anticipate price before we go into the buy side curve. What is the importance or significance of the sell side curve? What does it do in this case on a market makers buy model? What it does is it engineers liquidity. Now as we're coming lower what do we have liquidity created here? So equal highs, we're coming lower. And as we're going lower, what do we created here? Another high, another high. All those highs are created for the future to be taken. So in the future, we're going to be using those liquidity levels to be taken and mainly the original consolidation. That's where the market makers buy motor started. We can enter from here and that's where it ends after price hitting the original consolidation. So one significance or importance of the sellside curve in this case is to engineer liquidity. Another one it's simply approaching a point of interest. So a PD array on the higher time frame and a liquidity level. After that we look for the smart money reversal and we're going to be going deeply into the original consolidation. what are the different types of original consolidation and also how to identify and some confluences in order to look for the best smart money reversal in order to spot it uh accurately. So what do we see here is liquidity sweep into a higher time frame point of interest right we have the liquidity sweep and the PD array here and we can see that we're actually going lower until we have the changes set delivery and the market section shift at this point at this point market section shift liquidity sweep here and also a creation of fair value gap now when we create a fair value gap here this just tells you a story and why because as we're coming lower you see we're coming lower coming lower we have fair value gap Here we have fair value gaps here but we are not being aligned with the higher time frame. So maybe there is a higher time frame fair value gap here and then price trade into a fair value gap here. So the alignment is to the lower side. The time we get alignment is this higher time frame point just going up or it's actually pushing price higher and then a bullish fair value gap on the lower time frame. So now we have two things aligning with each other and that's where we should trade from. So basically point of interest going up another fair value gap created going up after structure that's what we call a lowrisk buy. So a lowrisk buy could be right here when we have a creation of fair value gap immediately after the smart money reversal. You could also enter on a change instead delivery. So somewhere in here you could have actually entered here on a lower time frame. And as we're going up we have another accumulation phase where we can actually also enter from. So this is the first type of entry which is the lowrisk buy. We're going up. We have another breaker structure going up. This is another liquidity level and also this is another liquidity level. And you see before reaching this level what happen is we come lower. We might have a fair value gap here. And what we see happening is a sweep into a fair value gap or any type of entry. Maybe just a fair value gap by itself but there is an entry here we can actually enter. So the first type of entry could be here. Second one could be here. And then the reaccumulation entry again breaker structure to the upside. We're coming lower and we have sell side taken here. Maybe into a fair value gap or an order block or an old high which is the overlapping of high and maybe a fair value gap here. This is ICT's favorite entry. We always talk about the reaccumulation or the redistribution phase on a market makers buy or sell motor. Okay. So sweep here and then we stop entering when the original consolidation is hit. What is the significance of the buy side curve in this case? Basically it's creating rebalancing fair value gaps and then sweeping liquidity. What we see here is fair value gap maybe a fair value gap here and a sweep of liquidity again fair value gap sweep of liquidity and going up and it's also approaching the original consolidation. So you see we have this type of a curve. The sell side is actually engineered liquidity and approaching the PD array and the buy side is rebalancing sweeping liquidity and also approaching what the original consolidation. So now we know that we're going up. Now a lot of the time you'll be actually trading this and maybe sometime you trade this but you notice sometime that when you enter your trades sometime you can actually target for example if you enter here on the lowrisk buy sometime you will notice that you're actually being able to target five 6 7 10 reward risk and sometime you can only target two R and then it goes to break even what is something that you can actually look at or you know learn in order to always take that 10 reward to risk trade it's actually market maker model. So if you are able to identify and spot market makers model, you'll be able to only trade the high reward to risk entries and also the high probability which is going to give you a higher win rate. So if you focus on market makers model and be able to identify them, you'll always take trades somewhere from here for example. So a trade here and not targeting this, not targeting this but have a clear target that you know most of the time and there is a high probability price reaching it and this could be you know 7 to one 10 to1 so that's a big trade that you can actually use or you know capitalize on in order to pass a funed account for example that's what you're going to be able to do after finishing this. Now we talked about the original consolidation already right it's the first phase that we need to identify and look for but there are different types of original consolidation right so it could be in different shapes the first one could be this one so we have a range now simply the original consolidation needs to be ranging but it could be in different types and different shapes the first one is as price is ranging before price coming lower because we're having what in this case a market makers buy model. So we're going to be looking for the smart money reversal all the way down. But before price coming lower, it needed liquidity in order to go lower. So sometime it's not going to go just low like this, right? What's going to do is sweep liquidity in this case a buy side liquidity and then start coming lower. That's the first type. Second type could be price creating highs and lows, highs and lows, highs and lows. and before breaking out to the lower side is going to go to equilibrium of the range. So this is zero, this is one and this is uh 0.5. So the equilibrium of the range there is an order block or a fair value gap mostly an order block and price is going to react from it going lower. This is a high probability this is a high probability but a higher probability one is this one. So what is the difference between this one and this one? simply high resistance liquidity run low resistance liquidity. This one created highs, highs and then instead of breaking out to the uh upside simply we created relative equal highs in this case and we started going lower in the future when we see this like smart reversal here that's going to be a very nice target because now we have liquidity here and we have what more liquidity here so low resistance liquidity and that's what we need to actually target. We need to target low resistance liquidity because that's where most of liquidity is. Okay. So this could work. This also could work, but this one is the best one. Now going over the smart money reversal. And this is where a lot of people would be struggling to spot. And if you were able to spot this and then give the low-risk buy, then you would be on a safe hand. But why? Because now price is only going to go up if you are spotting the right smart money reversal. But a lot of people struggle to identify the smart money reversal. That's why I give you this full guide. This is all of the confluences that you need in order to spot the real smart money reversal. So this is your full guide here. All of the confluences. This is the first confirmation of a start of a market makers models. Okay. In a market makers buy model, what smart money reversal is? It's going from a sell program to a buy program. In a market maker sale model, we're going to be going from a buy program to a sell program. Now, how to spot the smartman reversal? Right? So we now have this blue area and this is our higher time frame point of enter. So the first thing that we're going to be looking at is the higher time frame period array. Price needs to go and trade into a higher time frame period array and we're going to be talking about what is higher because higher is relative, right? So so we're going to be talking about the time frame alignment later. That's the first thing we need to be in a higher time frame period rate and I really prefer fair value gaps. The second thing is a liquidity sweep. So remember this rule and this is a rule that I want you to take note of. Simply you'll be getting a higher win rate using this. We don't validate a higher time frame PD array unless there is a liquidity sweep. We also don't validate a liquidity sweep unless it's into a higher time frame PD array. Those two things two and three those two things needs to be always with each other always aligning with each other. So liquidity sweep higher time frame PD array both happening at the same time. This is our liquidity sweep and this is our PD array the whole thing. Now one more thing is the SMT divergence. So what is SMT divergence? You should know but if you don't we have two correlated pairs. So let's say EU and GU. So for example Euro dollar and then pound dollar. Those two pairs should be correlated right with each other directly correlated. So when one is going up the other should be going up. In sometimes let's consider this as Euro USD right we can see that this low was taken here but in pound dollar we could be see something like this and now going up from here. So not taking this low that's an SMT divergence. So we could be also using the SMT divergence and it's a very very powerful tool in order to spot the smart money reversal. So that's one of the things that we need to use and it's number one here. So for example, we had this uh SM divergence here. Now the fourth thing is a market section shift. So you see how we are coming lower going up coming lower but then somehow closing above the last high. You see we have a like this and then closing above then that's a market s shift and it also confirms especially in the higher time frame it confirms a start of a market makers model or at least it confirms the smart money reversal. Fifth thing is a change in state of delivery. So we can see that we've been creating bearish candle, bearish candle, bearish candle, bearish candle and all of the highs of the bearish candles are predicted. So we have no closure about the high of the bearish candles until we get into the point of interest, the higher time frame one and the liquidity sweep. And somehow what we had is a bearish candle and then an engulfing candle that it closed above. Right, we have a closure above the last bearish candle. This is a sign of a smart money reversal. This is a sign that okay, now we're starting to go up and this is an early indication of a market session shift. So if we have this then it looks like in the future we're going to be having a market s shift. When I have those two things as well as the SMT divergence, then I would know that okay mostly now we have the smart money reversal. The last thing that we got to take a look at and do not underestimate this because we know that fair value gap is most of the time displacement right fair value gap equal displacement most of the time. So in order to validate this as a displacement and as a smart money move then we need to have a fair value gap. So a creation of a fair value gap again tell a story. There is a story behind any fair value gap that is created. When we have a fair value gap here, that tells us that now both time frames, the higher time frame one, this one, and the lower time frame one, which is this one, are aligning in the same direction. That's the hint that I get from the creation of fair value gap. I would always need to focus on this creation of fair value gap. When I have those six things or you know maybe five of them, I would know that most of the time this is going to be a real smart money reversal and from here I can expect an expansion to the upside. You can always take the lowrisk buy from the spare valley gap going up and take the other entries on the reaccumulation you know the accumulation and the reaccumulation. Now market makers model secrets market maker model is over complicated. So here is the mullham trading simplified version. You guys know me that I like to simplify stuff. I like to give you something that was not told before was not told the same way. This is my intention. So let me simplify it to you. Now one question that you have on your mind is okay why trade market makers model why why do I need it actually the reason is market makers model is created to convince you to sell in a bullish market when price is going up and buy in a bearish market price is going down. So if we consider this price action right here right we can see that we had a range and we had a breakout to the lower side have another range and we have a breakout to the lower side. A lot of people will be trading ranges and then creating up a new low, creating up a new low and they're going to be looking for this fair value gap to hold and then again another fair value gap, another fair value gap to hold. So basically people would say, "Oh, that's a clear bearish market structure. That's a clear bearish daily bias, right? That's what they're going to say." But when you understand the market makers model, you would know that you're actually able to buy in this bearish market. And if we have a market makers sale model for example even if price is going up going up going up I know that it's convincing to go sell from here right even though price is going up but still are also considered right so that's one of the advantages of understanding the market makers model everyone was everyone is going to tell you oh my god you are against a trend but you're going to tell them oh I do understand the market makers model and I do understand the importance of it and I know that smart money reversal is close to happen. So I can actually sell from here or take the lowrisk buy when you have the original consolidation very clear to you. And when you have the SMT you would know that okay price is starting to go from for example in this case from a sell program to a buy program and you're basically buying against the whole trend and you will know that this trend is going to be taken this high is going to be taken. That's how you can actually trade against a trend just by understanding the market makers model. Now if I ask you here what do you see here in this case you see that price is coming lower and then what going up and what is the relationship between this one and also this one or this graph right here with this one. What is this? Isn't this a balanced price range where price deliver the sell side very quickly and then immediately [clears throat] deliver the buy side and usually it leaves an overlapping fair value gap here. That's one of the ways to look at it, right? But if you go and look at this on the higher time frame going to be seeing this simply bearish candle, bullish candle, both sides are delivered in two candles, right? On the higher time frame. So what is this a balanced price range? Now if you connect this to this, this could be actually only a higher time frame of this. So market makers model is nothing but a buy side and sell side curves which is equal to what? A balance price range BPR on the higher time frame. And market makers model is nothing again nothing but a move from a PD array to another. So we have PD array here and a PD array. So move from two PD arrays and this could be you know a PD array of a higher low or a PD array of order block and fair value gap. Usually we're going to be moving from a higher low into a fair value gap or from a fair value gap to a higher low. That's always the case and you guys know if you don't know then make sure to watch my other videos. Fair value gap is nothing but a liquidity. Again that's another thing that you should be aware of. So market makers model is actually a move of premium to discount and then discount to premium. That's the real market makers model. You see we're moving from what? Premium to discount discount again to what to premium. That's the move a balanced price range. Something like this on the higher time frame. Something like this. That's simply what a market makers model is. How do we identify market makers model? Now we understand that this is the market makers motor, right? But actually this is nothing but how it looks on the lower time frame. That's how it looks. We have a point of interest, the smart money reversal happening here, the liquidity sweep, the sell side of the curve, the buy side of the curve, and then we go up on the higher time frame. And that's how we identify market makers model. We're not going to be identifying this on the lower time frame. We're not going to be looking at something like this because it's going to be so hard to identify something like what we're going to be looking for is go to the higher time frame and you need to understand how the market moves. If not, make sure to watch the recommended video all the way to the top right. Price moves from where to where price only moves from internal to external or external to internal. What is external? Highs and lows. What is internal? Fair value gaps. So internal liquidity is a fair value gap in a dealing range. So a dealing range for example from this low to this high in between we have what per value gaps the high and the low are external liquidity levels. Now again price moves from where to where external to internal which in this case price moving from this high to this fair value gap right and then the internal to external is price moving from this fair value gap going up. So if you're able to actually identify this type of move which is the external to internal or internal to external and usually I'd really prefer to look at the internal external that's your biodal simply this is how it looks on the higher time frame this is the balance price range that we're having right so we have this move to the lower side which is the sell side of the curve we have the smart money reversal happening here which is right here this is the higher time frame point of interest that we're going to be focused on which is which is actually this one the internal fair value gap right and we could have had liquidity sweep here and we have the smart money reversal here the lowrisk buy here and everything happening here like this see this is how it looks on the lower time frame but simply we only identify a higher low and a fair value gap and we see what is happening there what is the type of the move that is happening as of now we have a external to internal internal to external and we go from there. That's how you actually identify your market makers model simply by looking at the higher time frame. And then when you zoom into the lower time frame, you're going to see all of those phases. You're going to see your original consolidation. In this case, it's right here. On the higher time frame, this is the one original consolidation is going to be right here. And that's the liquidity. I mean, it makes sense, right? On the higher time frame, when the target external, which is on the lower time frame, is going to be your original consolidation. And then you're going to see all of the distribution phases, the accumulation phases, all seen on the lower time frame. But again, in order to identify a market makers model, you really need to focus on the higher time frame. And again, we're going to be talking about the time frame alignment later. Now, again going over this very quickly. So external and internal. There is a relationship between external and internal and market makers model. So the relationship is between external internal and original consolidation and smart money reversal. We know that price moved from external to internal or internal to internal. So when we have a fair value gap we have an internal to external move. Then we know that the original consolidation is going to be at the external and the smart money reversal is going to happen at the internal and then the market makers bimal in this case going to be completed when the high is taken. Now again we can see that we have what now? A move of external to internal. Now we're going to be having another market makers model here on the lower time frame. But on the higher time frame again we're going to be having our original consolidation at the high and we're going to be having what again? Internal smart money reversal going to the upside. That's the relation between external internal and original consolidation and smart money reversal. Okay, that's a relation. So with the understanding of this and the higher time frame, we're going to be easily able to actually spot the original consolidation and also the smart money reversal because it's going to be definitely inside of this fair value gap internally. Now the time frame alignment that's where everything is going to be easy. So market makers model is nothing but going from again the higher time frame where we have the PD array to the lower time frame where the market makers model is going to be seen clearly. Okay. So higher time frame to lower time frame that's actually an arrow but I don't know why it's uh it's written like this. Anyway, let's consider this as an arrow to the right side. So if we're looking at the monthly PD array then we're going to be having a market makers model on the daily. The same thing for the weekly, the same for the daily. So for the daily if we have let's say daily fair value gap right then we're going to be having a 1 hour market makers model. The same thing goes here 4hour PD array we're going to be having a 50-minute market maker model 1 hour PD array 5m minute market makers model and we can go all the way to what 15 minute PD array and 1 minute market makers model. We're going to be looking at examples in different time frames and we're going to try to engage with all those time frames and I'll show you how we can go from a time frame to another. So now again a market makers model is nothing but a move from a PDA to another moving from a premium to discount or the opposite and then to identify this we go from a PDA on the higher time frame to a market makers model on the lower time frame. How do we trade the market makers model? That's the part that you really need to understand and that's the part maybe that you're waiting for. So from here we start going deeply into the market makers model and how we can actually execute trades using this. Now I have some steps here five steps. If you follow those you know uh you got this that's it. The first thing is we identify a higher time frame level or higher time frame PD array. For example we can see that price is going up and we have a higher time frame PD array here on the higher time frame and then we identify the move. So we want to understand is the move an external to internal or it's actually an internal to external in this case what is this simply this is looks like external taken here coming back to internal right so now we know that the smart money reversal is going to be happening on the internal on a fair value gap and the original consolidation is going to be at the external that's what step three is so we identify the original consolidation and the stages of the accumulation on the lower time frame. That's the one. So, original consolidation here and we're going to be looking at the distribution phases here. Distribution and then fourth one is look for the smart money reversal using the confluences that mentioned before. So, I give you six confluences. Make sure to use all of those. So for example, liquidity sweep, SMT divergence, market section shift again, uh changes to delivery inside of the lower time frame and then the creation of fair value. You have all those confirms to you that this is a smart met reversal. So this is the fourth tip that we're going to go over and then the last tip which involve the entry. So we use either the fair value gap mitigation or a stop hunt to enter. So we have two types. We either wait for the you know the fair value gap mitigation. So you have fair value gap here. We wait for the mitigation or simply we look for tetra soup entries or liquidity sweep. Those are the two types you focus on and then we target the original consolidation either entering on the lowrisk buy stage or the accumulation or the reaccumulation. Any of those stages you can actually execute a trade from. And that's the whole plan. That's what we do. And we're going to go over examples applying all those tips one by one and show you how we can approach this. So you see again very easy. We have the original consolidation coming lower when we split the smart money reversal entering from here or looking for entry at the accumulation or the reaccumulation again using either liquidity sweep or mitigation of fair value gap and then we go targeting what the external of the range on the higher time frame or the original consolidation on the lower time frame which is actually the same thing. I'm pretty sure and pretty confident that those tips are very clear and you can actually even without giving you any examples I'm pretty sure that you can now go and apply this. The last thing that needs to be covered that I decided to mention here also because it's going to give you a very nice framework before going into the examples. This is the market makers models swing rating. So, so in the swing or the dealing range of the market makers model in this case from actually the original consolidation two where we expect the smart money reversal to happen or when we confirm it by a market shift then we take a fib with those values one 0.75 0.5 0.25 25 and zero. All those values we drag our fib from the high to the low or the opposite. So near the 25% from the 25 slightly above it and slightly below it. That's the area where we actually look for the lowrisk buy or sell. In this case, the lowrisk buy. This is where most of the time it's going to present itself. Right? So the low risk buy, you want it to happen near the 25% of the dealing range. Now at the 50% of the dealing range as price is going up and we already have the smart money reversal we have the lowrisk buy usually so price would make a displacement here creating u different types of gaps we could create actually a breakaway gap where it's unfilled stay unfilled or we create different fair value gaps or we could actually create order blocks that are respected we look for those order blocks to be respected now as I said again price could go back to the order block or it could actually create a breakaway gap and not fill it. We go up from there. They could actually look for a trade around the 50% of the dealing range. And then at 75% what we look for because now we are very close to the original consolidation. We and we have a lot of low resistance liquidity here. So what is mostly going to happen is a displacement. And when does displacement happen? When there was a low resistance liquidity run. So at this phase right here, if we could find an entry at the second stage of um accumulation in this case or reaccumulation, then we're going to be actually entering here and wait for the displacement to happen because most of the time the displacement would happen around the 75% taking all of the low resistance liquidity here and going into the original consolidation. So the displacement at this stage is going to be very clear and you're going to see that price is actually running all of those low resistance liquidity those failure swings and at the one this is where your market makers in this case buy model is actually completed. Starting with the examples this is example one on the weekly this is where things is going to start clicking and this is where the full understanding is going to come. And now we are more into the uh the chart. Okay. Now looking at this, this is the weekly. We can see that what was happening here is price going up coming lower. And now we're having something very clear. High and a low. This high was taken or you know this high took this high and this low took this low and this low. So what does that mean? We have a dealing range from this high to this low. Now in this range we broke structure to the downside and now we have this move of external to internal. Now we ask ourself this question above the 50%. So this dealing range above the 50% which is almost here. Any fair value gap that we can actually take a look at there is no fair value gap that we can see except this one fair value gap from here to here with a high inside of it. So simply a buy side liquidity inside of a big fair value gap. So this fair value gap with this liquidity here it could be the move of this external the internal and now we're having if price comes here we have what the internal to the external. And in this case, it's a little bit tricky because we could have the internal move from here to here, but we also have another external, which is right here. Not the extreme external, but an inside one. This is still an external on the lower time frame. We're going to have a move from here to here. And it's going to be a huge move already on the lower time frame, which is going to be the 4hour based on the time alignment. So, we could have a move from here to here or a move from here again to here. So both are going lower. Now what we do is simply go to the lower time frame and look for our entry type there. Now go into the lower time frame the 4 hour and we look for the the change to delivery or the market shift or any type of entry that you prefer. So what we could see is this. This was the low that we marked on the weekly time frame. This is where price started to go up. And when we notice from this original consolidation that it has this low and then higher low and then higher low and higher low. So simply lower resistance of liquidity and as I said this is the best type of original consolidation that we can actually target and look for. Now price started going up coming lower first stage here going up. Now what do we have at this point of interest inside of the fair value gap? We can see that as price was approaching this fair value gap on the lower time frame. Bullish candle, bullish candle, bullish candle, bullish candle, and a continued bullish. Here's a bearish candle, but it's still an inside candle. And then we have this big candle with a displacement. And this is where your change in state delivery is. Change of state delivery happened here. Price was starting to come lower. Now could have taken an entry here based on the change of state delivery with a stop loss above the high. That's one approach. Another one would be waiting for the market session to shift except maybe this one. This was a valid pullback. But if you look at the last major swing low before this price before the sweep of liquidity and price coming into the point of interest, it's going to be this one where we have the closure below. After the closure below, did we have a fair value gap? Yes, there was this fair value gap. There was also this high in a fair value gap where we get the stop hunt. can actually take an entry based on the soap hunt. And by the way, I called this drone liquidity level which was the fair value gap about I don't know a few months ago on the YouTube channel and on discord and it was going there and it reacted from there. So it was a very accurate level to call. Now we have the stop hunt here. One way of entering is basically price coming into the fair value gap the stop loss above the high. Another way of entering is waiting for the stop hunt to happen and then entering from there. the stop loss again above the fair value gap. That's another entry. We can see that stop hunt here. Another looks like there is a stop hunt here or maybe equal. I guess there was a stop hunt here and then price started coming lower. If you don't get this entry on the lowrisk sale in this case, then price continued lower and then offered you another fair value gap here. Two consecutive fair value gaps with another liquidity sweep here or this one. Different types of entries. You take the entry here, come lower, another sweep of the high. And this is the second stage of distribution. And what you can see here, there is nothing but a liquidity run as we discussed on the uh on the grading. There is nothing here but displacement and low resistance liquidity run. You see low resistance liquidity run. And here on the second stage almost at you know if we take fib from the high to the low going to be on the last quarter of the price. And what we see here is nothing but liquidity sweep and then displacement running all of those low ress as liquidity. That's an example of going from the weekly to the 4our. So simply look for a move of external to internal, internal to external and look for the lower time frame whatever type of entry that I prefer either price you know just entering uh solely on the change of state delivery or waiting for the market to shift or the lower cell here or the first stage or the second stage where the displacement is very huge and uh sharp. So it's your choice at the end. Second example is on the 4 hour and then we're going to go to the 15 minutes again based on the time frame alignment. So what do we see here on this time frame? What do we see is simply price going lower creating this range from this low again to uh this high actually this high above. So we have a dealing range and a fair value gap on the premium here is this fair value gap the extreme one. Now you can trade those fair value gaps, right? But I always focus on the extreme ones because those have the highest probability of working. So from this high and again a new low created here, we go up and we have this liquidity level. Now simply what are we having here is a move of again internal to external. Right? So this is how it looks. Price is approaching that fair value gap and taking liquidity level which is this liquidity level. Now prices into the or inside of the per valley gap based on this time frame the 4 hour. What do we see here? We can see an original consolidation being here on the lower time frame. A smartman reversal being here in those stages here going all the way with the displacement at the last quarter of the dealing range right from here to here. That's how I see it. Now we can go to the low time frame and see it more clearly. Okay, going to the lower time frame which is going to be the 15 minutes. What we see is price literally going to that I mean there's the liquidity sweep here. That's the first thing that was the liquidity sweep going into the fair value gap. Now change state delivery immediately we getting a fair value gap. That's your lowrisk sale here after the stop hunt. That's the first one. And then we get another entry which is price making this uh market such a shift with a fair value gap and price came to that fair value gap again with a stop hunt. Remember that when we have a fair value gap but also there is a stop hunt or a liquidity sweep into that fair value gap that's how we find the highest probability trades. Okay. So fair value gap liquidity sweep here going lower another fair value gap here and that's where the displacement starts. So you see immediately after price come into this per value gap and what do we have here on this original consolidation nothing but a low resistance liquidity again. So low resistance liquidity what happen is price filling this per value gap and immediately with a displacement going lower and another entry is again a stop hunt here going lower but most likely you're going to get your profits already here. So that's another way of entering again changes to delivery market such as a shift and then look for your point of interest either fair value gaps or just simply turtle soup or a mitigation of the fair value gap. So you know that's your choice at the end 15 minutes USD JPY. So you see how we're going from the weekly 4hour and now we're going to the 15 minutes. I just want you to see that this actually works on all time frames. But you got to understand how we go and how we can identify the highest probability trades using the external to internal and internal to external. Simply what do we see here is this dealing range from this high to this low because we took a liquidity level here. After this liquidity sweep, what do we expect? We expect price to go to the internal because we're having what? This move of external to internal. So now this is the internal that we're having and there is another one here which is the extreme. Now at this case because this is already uh almost at the equilibrium of the range from here to here then if I see a confirmation I would enter. If not then that's the one. As I said, if you are a beginner, then I would suggest sticking to the extreme ones. But if you are advanced and you know how to identify the, you know, the good ones, then make sure to also trade the ones that are at the equilibrium of the range. But make sure that they're always on the premium or at least, you know, at the equilibrium, but not somewhere in here. Like this fair value gap here doesn't really make sense. It's always going to be inversed. Yeah, you see inverse here, retesting going up and we have this external here. So that's where we expect our original consolidation to be smart money reversal here and then we go lower going to the lower time frame and it's going to be the one minute in this case. So what we see is again original consolidation and that's I guess it was the first type that I explained which is price sweeping going up. So that's an original consolidation. It's not the highest probability one but it's also you know it can work and you see price respecting this fair value gap going up almost at an equilibrium of the range going up going up we had this liquidity level that is swept but we had no market s shift and then we come lower we go up we have price going inside of this fair value gap you know slightly on the first quarter of the fair value gap we have the market s shift and now see how every fair value gap is going to push price lower and every fair value gap on the other side which is going to be a bullish fair value gap is going to be disrespected that's how it goes and also every order block here so every up close candle is going to act as a resistance for the price every candle so this is for example u a bullish candle pushes price lower bullish candle pushes price lower and again bullish candle pushes price lower and here again So this is how you know that you are on the right direction. Bearish fair value gas being respected. Bearish order blocks being respected. Bullish fair value gaps and order blocks being disrespected. And what do we see here is this order block entry here. This sphere valley gap entry here. The sphere valley gap entry here. Those shows you the stages of distribution in this case. Coming lower we have the stop hunt. And this is where you have the uh the second stage of distribution where we have the liquidity sweep into a fair value gap and order block and then what happened displacement immediately to where to the original consolidation. There you go. So that's a very high probability entry when you look at you know you have the time frame alignment it's very simple right? So it's nothing but going from the higher time frame to the lower time frame. On the higher time frame, what we do is look for simply the internal to external external to internal basically a point of interest because we know that as of as of now we know that because as of now you know we are almost at the third example because we know as of now the third example we know in general MXM or market makers model is nothing but a move from a PD array to another simply from a fair value gap to a liquidity or the opposite. literally nothing. It's very simple. When you have someone that is simplifying stuff to you, you would know that, oh, it's been just complicated. I when I started learning market makers model, everyone was, you know, just drawing something like this, going out, going out and I was like, how do I identify this? How do I see it in the chart? Like, if I see price going up like this, I might not be able to identify this. But now since we know that we just go from a high time frame to another and now I know that this low which is the external low is nothing but an original consolidation on the lower time frame divergence. What is SMT? Why it happens? Types of SMT and this is a secret no one talks about the importance of SMT. The strength and weakness of pairs. How to find the reversal points using SMT. How to master delta soup using SMT. examples to intro master SMT. So in order to understand SMT the right way, we need to understand correlation. There are specific pairs that actually tends to move in the same way. It's not exactly the same, especially when looking at the lower time frame. But then when looking at the higher time frame, it's going to be more obvious. So if we're looking at pair one and pair two and they're correlated, and that's what we're going to actually discuss on the next slide. But if pair one is actually making a breaker section here, then pair two is going to make another breaker section here if it's a real one. So that's how correlation works. There are specific pairs that tends to move the same. Now in a bullish scenario, when we are making a low here and a higher low, then the other pair usually will do the same. A low and a higher low and then a breaker section here, a breaker section here. That's if the correlation is there and that's if the order flow is correct here. If this is a valid breaker structure, it's going to happen in both pairs. Now, there are sometimes where this is not going to be there. The correlation is not going to be there. And here we're only talking about the positive correlation. So, two pairs moving the same. It could be the opposite. It could be one pair making a low and a higher low. The other one is making highs on the other hand. And we're going to discover all of this and discuss it in details in the next slide. Now, when talking about the correlation between pairs, we have the big three indices. They are positively correlated. NASDAQ, S&P 500, and the Dow Jones. Those three big ones usually tend to move in the same structure. So, especially on the higher time frame if ENQ is making a lower high, then S&P 500 is going to tend to do the same unless we have an SMT. And that's what we're going to discuss in the future or in the next slides. Now we have positive correlation and we have inverse correlation. But let's talk about the forex pairs. So you can have a lot of correlation between different pairs. But the most two famous ones and the ones that I tend to actually trade the most. We have EU and DU. So the Euro dollar and the pound dollar. They're actually positively correlated with each other but inversely correlated with the dollar index which is the DXY. When looking at this, for example, EU and DXY, we have EU making a high and then a higher high, while DXY is doing the opposite. It's making a low and a higher low. So that's an inverse correlation. But then you could actually look at it in this way in a opposite point of view or you could inverse your DXY chart and you're going to see the same. Now when it comes to crypto, we have Bitcoin and Ethereum. They're actually positively correlated with each other. So if Bitcoin is making a lower high then Ethereum going to do the same. If we have a a clear breaker structure on Ethereum is going to be the same on Bitcoin. So we have two types of correlation. We have inverse correlation and we have a positive correlation. The positive one is the one that when we have two pairs moving the same. The inverse one is when we have the two pairs actually doing the opposite of each other. Now what is SMT divergence? So SMT is short for smart money technique. So we have smart money technique divergence. Now what is the SMT? We talked a lot about the correlation, right? SMT is nothing but a crack in correlation. You know the correlation is not there no more. There is something that is happening that is unusual, right? Especially again when taking a look at the higher time frame and that's what we're going to discuss in the examples. Now an SMT could be bearish or it could be bullish. Taking a look at this one, we have pair one and pair two. So let's say, you know, for instance, we have EU and also GU here, right? So we have EU and GU, a high and a higher here. Now GU or pair 2 should do the same, right? Most of the time, but then in GU, we have a high and a lower high. So it's nothing. There is no correlation in this case. What is this? That's an SMT. We're going to know why it's crucial. We're going to know how to use it. We're going to know where it happens and where it is that important and when it doesn't really matter. Now in a bullish scenario we have EU for example sweeping liquidity while GU not sweeping liquidity and actually respecting the speedy array if there is one here or you know it just making a failure swing. It's making a clear trend while this one is taking liquidity. There is high resistance liquidity run here while there is a low resistance liquidity run that's going to be in the future here. SMT is nothing but a confluence. So it's not a strategy by itself. It's not a trading plan. It's a confluence. It's something that you look for at the end. Right? So let's say you have everything a point of interest and price is coming there and you see price going up. Then you look for an SMT in order to confirm or in order to have another confluence or in order to make this an A plus setup, right? So it's a confluence and we're going to know when to look for it. Now when you look at EU and GIO for example, you're going to see a lot of SMTS. It happens everywhere, but it's not crucial every time. So you could see a lot of SMTs happening everywhere because especially when we're looking at the lower time frame, right? So there is rules that we need to apply and there are some spots or some zones that we need to actually look for that SMT in that specific zone, right? And that's what I say. SMT is a confirmation. SMT is a confluence. Now, where to look for the SMT? We only look for SMT in POI. Whenever we have a fair value gap, whenever you have an order block, whenever we have a liquidity sweep, we look for the SMT because it's a confirmation, right? But know that SMD can happen anywhere. There's could be an SMT here, could be an SMT here. For example, here you see we have a high taken in this first pair, right? And we have this high not taken here. That's an SMT. If you take this SMT, you're not going to get in profits and it's going to hit your stop loss eventually. But if you focus on this POI here and you look for this SMT low taken, low not taken, that's a bullish SMT. You could have taken this one. You could have also taken this one because this is after price coming into this POI and most likely there is a fair value gap here after a breaker section. Then you could look for this. But this one is not valid. This one right here. So we only take the SMT at valid point of interest. So not even any fair value gap but a valid fair value gap. How do you know which fair value gap is valid? I have a bunch of videos about this topic. Now you see a lot of people in YouTube talk about SMT divergence and they say oh it's very important. You got to look for it. What is it? It's a Kraken correlation but they're not going to actually explain why is it important. They cannot because they don't have the full understanding of SMT. But after all those years now I do understand why is it crucial. So, I'm not here telling you what everyone is telling you. I'm here to give you gems that no one ever tells you about. So, we have SMT. Why is it crucial? Now, considering we have pair one right here and pair two right here, we have price taking this low and price not taking this low here. What does that mean? So, taking a low and we have some displacement below it. It's not a big one, but we see that oh, we have, for example, on the one minute time frame, we have two big candles going lower and closing. There is a closure below this level. A lot of people see this as what? A breaker structure. But then here we have no breaker structure on the other pair. What does that mean? That means that this breaker structure is not real. And that's the importance of S&T divergence. So SMT divergence in short the importance and the significance of it is that it tells me which breaker structure is valid and which breaker structure is real and which one is not valid. It also tells me which market section shift is valid and which one is not. So for example, if we're looking at a market section shift and we want to validate that one. So let's say price is taking that low breaking above this high. But then on the other pair we have something like this. We did not take that high. That's an SMT and it's also telling you that this market section shift is not valid. That's the importance of SMT. It's not just, you know, going over the definition and telling people, oh, it's a crack and correlation and you got to use it. No, we got to understand why it happens. What is the importance of it? Because if we have three correlated pairs, right, and we're looking at the 4our time frame, in order to validate a breaker structure, we need to see all three pairs because if if they are correlated, they all should closing below that level. And we should see a breakout structure in both or three pairs. But if we see two pairs actually not taking that low and we have only on one pair, it's taking that low. What does it tell me? that usually this is a reversal point and it's not a real breaker structure and this one is just going to go up and that's going to be a you know instead of a breaker seure it's going to be only a liquidity sweep. So in short SMT gives you an indication that a breaker section market section shift is not valid but it's nothing but a liquidity sweep. SMT happens at reversal points. So you see where we had this fake breaker section that's a reversal point in the future and it's going to go like this. SMT also happens at the start and end of market makers models and also all trends. So we have this swing high, the swing low. When taking a look at this on the lower time frame, there's an SMT here and an SMT here most of the time. And also in market makers model, if you watch my full course about market makers model, we discuss how to find that smart money reversal. And one of the confluences we look for is what? S&T. So when we have that POI, we got to look for that SMT in order to validate that as a smart money reversal. And finally, as we discussed, SMT tells you which breaker structure is real and which breaker structure is false. So that's the importance of SMT divergence. If you see all pairs taking that low and displacing below, then most likely it's a real breakout. If you see one pair is taking the low, the other one is not, then most likely this is a liquidity sweep. Now, it could follow, right? This one could take this low, then maybe go up a little bit and go lower. And this one would be doing this, taking the load later. That's not an SMT no more. And that's what we're going to discuss later in order how to validate the SMT. Is it really at that time when it's happening? So let's say we have this low taken while this low not taken at this specific time then does that mean this is an SMT. It could be but it could be not. Could be this swing taking the low again here and we could move lower here. So that's what we're going to discuss later. Now there is a big relationship between SMT and TA soup. So if you really want to master tar soups then you're going to look at SMTs and that's how you actually make it and master t soup. So why is it related to each other? Because if we actually have a breaker structure in one pair and then no breaker structure in another pair, what does it tell you? It tells you that there is a turtle soup. Most likely it tells me that there is an SMT which lead to a turtle soup. So breaker structure in one pair and no break structure on a correlated pair. It's telling me that one pair is sweeping liquidity and another creating a failure swing. So that's not a a breaker structure, a real one, but it's actually a liquidity sweep. The other one did not take that low and create a failure swings. It tells me that there's no real breaker structure which leads to what a high probability turtle soup on the pair that took the low. That's how you find high probability ta soup and how to find high probability reversal points. So if you want to master turtle soups then you got to understand SMT the way that I explained. So when looking at SMT we could look at it in two different ways. And that's my understanding of SMT. So I've never seen someone explain SMTs. So I've never seen someone explain SMT in this way because this is my understanding of SMT. We could look at SMT in two different ways. External and internal. And that's the same thing or the same point of view that we look at liquidity. We look at liquidity as external and as internal. Right? So when it comes to SMT the external way we have price coming lower lower and we have a higher time frame period base. So let's say we have a low on the higher time frame here. We have a POI below it or a fair value gap. Price takes that low in one pair and it doesn't take on another pair. That for me is an external SMT. It's price taken an external liquidity usually a level on the higher time frame. So if you look at two time frames here, higher time frame one and then a lower time frame one. This is going to be your higher time frame sweeps. And then we could, you know, look at the lower time frame and we're going to have an SMT here which is going to be what the internal SMT. So internal SMT is after price takes the external liquidity, it takes an internal liquidity and usually that's a level on the low time frame. So now we have the external liquidity and that could be a motor by itself, right? So you could trade this if you have understanding of period braids. You pick one, you look for two SMTs, one external and one internal. That's a valid and that's actually a high probability trading model. Right? The internal here would be what? Price is going lower. This is the first pair which is taking this low into this per valley gap while the other one creating those failure swings inside of the fair value gap. That's what that's an SMT. And again, we got to look for the SMT in point of interest. You see SMT and a POI and SMT and a POI. We don't look for SMT anywhere in here or here or here. only invalid POIs. So again, understanding external, internal, and the two different types of SMTs can lead you to creating a very high probability moto. I could make a video about this, you know, an SMT based moto, right? We look at video rates, liquidity levels, and we look for two double SMTs, external and internal, and we go up from there. A question that you might have, which pair to trade when I have SMT? because I could see EU for example is not taking the liquidity. GU is taking the liquidity. Which one can I trade? The short answer is both. If you're into trading liquidity sweeps, then you can trade the weaker pair, the one that takes the low, the one that does not respect the PD raise. If you are into trading OT or fair value gaps, then you got to look at the pair that was respecting the PD rays. You got to trade this one. In general, you could trade both, but the one that going to be faster and the one that's going to have that explosive moves and the one that's going to be cleanest is usually the one that is stronger. That's a fact. Go to the chart, compare two pairs, for example, EU and GU. Look for an SMT. And that's your homework. Look for an SMT, right? Spot it. Look for which one is stronger, which one is weaker. And you're going to see that the weaker actually doesn't move as much as the stronger one. It's not as explosive as the stronger one. And you're going to see that the stronger one is going to be much cleaner. Price respecting a fair value gap, respecting the order flow here. And it just keeps going up. While this one might be choppy here, but then there is an advantage of trading this one because even though it's not that safe, but you know where to put your stop loss. It's below this low. Now here you could have a very tight stop loss if you trade delta soups. On the other hand, if you're looking at EU in this example, you don't know where to put your stop loss. It could be somewhere in here or below the low if you're entering on here. Now price could do another sweep and that's going to be the internal one, right? But it's going to be more obvious in the weaker pair where to put your stop loss while it's going to be hotter here and it's not going to be as tight as this one. But this one is going to be much cleaner in the future and it's going to have those explosive moves because it's much stronger than the other one which is the weaker one. Now we're going to go over examples. We're going to put it all together and we're going to discuss everything from internal external SMTS. We're going to go and look for trade ideas using SMTS and how to execute based on those. We're going to look for the weaker and the stronger pair. We're going to discuss all of this in the examples. So that's where everything is going to be clear to you. Now looking at the current price action of your daughter. So both of those are positively correlated and we're going to go over just how to spot SMTs and how they actually create those reversal points very precise. Okay. So now we're looking at EU and DU. Right? So just starting from here we can see that okay price was going up here. There was CPI yesterday. It was going up. We started going lower. We're going up. But before that there is a trade that I was able to execute here. And what we have is because I do trade sessions highs and lows a lot based on turtle soup. So we have the yellow one is the London kill zone. The red one is the New York and the blue one is the Asian session. Now taking a look at this. We have this London low right? If we zoom in here, what we can see is that we have this London low taken on the Euro dollar and you know regardless of the weaker and the stronger in this case because I do trade the weaker one because I do trade to soup mostly. What we had is price on New York taking the London low but on GU we were not taking that one and I want you to see how from that point and when this happened you could look at it on the lower time frame right and it's going to be more clear because I was looking at it on the 15 minutes but just because I want to show you how to spot those SMTs right at those very key levels which are sessions highs and lows. Now we have this London low right the same time when we do an SMT when we're looking for SMTs it's going to be a low that is happening at the same time on the other correlated pair but what happened here is what we have price not taking this low but actually reacting of a fair value gap here then that's a much cleaner on GU that's a you know a very clean S&T and price respecting this bullish PD array which is the fair value gap going up you We have this one. We have this one. And when looking at how much the move was, take a look at this. From this point when GU started going up, right from here all the way up, that's almost 97 pips. On EU, it's only 72. So the cleanest one or the stronger one is going to have those big moves much more. So you see, for example, this candle, you see how big the GU candle is compared to the EU. And it happens a lot, right? So this is one SMT that we spotted yesterday. We traded based on. Now it happens a lot especially in these sessions highs and lows. So when looking at this example here, what do we see is this Asian high which is right here. It was taken on DU while actually not taken on EU. And that's one of the reasons that there's some liquidity levels that when you're looking at you were waiting for those liquidity levels to be taken, but then price just leaves without you. What's the reason? SMT. So you see EU moved all the way there. GU also moved here, but GU moved much more with more aggressiveness even though it was the weaker pair. So it's not always the situation here. But what happened after? Price started going lower. So that was a reversal point, right? We started going lower. What happened after is this we had this low which is the London low not taken on GU. So here we have GU being the stronger while in EU we have London low taken by this move on the New York low. So we have already an SMT here and that's what a reversal point and this is in a higher time frame period already. Price took that low started going higher. Now when I see this when I see price actually going below this point while not going below this and price respecting the rejection block and that's one of the reasons that also rejection blocks are respected. Now when I see this I would know that actually this is not a real breaker structure because the other correlated pairs did not go below this low and did not displace did not even take that low. So that's an indication that this is not a real breaker structure and we're actually pushing higher. That's an SMT. That's what happened here. Now just taking a look at those sessions highs and lows, right? We're not looking at anything else. What happened on this day for example? So we had this London high not taken on GU but then on EU we have this London high taken here. So when I see this the moment that I see this let me zoom in. The moment that I see this price taking London high in one pair and not taking it on the other pair. You see not taking it. then I would know that actually we could have yeah we could have looked at this one also it's the same now when I see this I would know that most likely price is going to go lower and that's what happened here you see price moving very aggressively here and price respecting this rejection block here mostly in the higher time frame it's going to be more obvious but then we started going lower there is no SMT here but we could look at it in another way so this low also taken here taken here in both we could also look at it in another Right. So, for example, the 15 minutes, that's going to be a valid low, which is this one or this one. And I see it was not even taken on GU, but all of those lows were actually taken on EU. So, you have this one or this one. Now, we're looking at the bullish SMT. If we have one, you see this low on GU on the 15 minutes, that's going to be a valid swing low, right? And you see it's not taken on GU while actually it's taken on EU. What does this tell me? It's telling me that there is an SMT that's not have added break a section. That's a liquidity sweep mostly in the low time frame and we're going up and that's what happened. This happen all the time. All the time you're going to see this and that's how you spot those reversal points. Now one example about the double SMT or the external and internal SMT at the same time. that's going to be such a you know a very high probability model what we can see on the 1 hour and we discussed that we want to look at an SMT on the higher time frame which is going to be most likely the external one and then a lower time frame one which is going to be the internal one. So what we see here is that we're taking a high here, Asian high being taken by New York. And on EU, we did take that high. On G on the other hand, that's the high. We did not take it. So we're just going inside of this OB that was created on the Asian session. What we're going to do is go to 15 minutes or 5 minutes, whatever the cleaner it is, and we're going to look for an internal one. with that internal one. We're going to confirm that we actually have a valid setup because we already have the first sign of reversal which is the external one in order to enter. On the other hand, we're going to use the internal one inside of here and we're going to look for an entry. Now, on the 5 minutes, this is what we see. Asian high being taken on New York, not taken on GU. We're going to zoom in to the price action here. And what we see is that on GU, we started going lower. We created a fair value gap. That's the first thing to notice. We did not create a fair value gap on EU. So you see the cleaner one or the actually the stronger one here is GU because it's respecting the PD arrays. And you see it's much cleaner on the lower time frame. That's the difference between the weaker and the stronger. The stronger here is much cleaner. You could have actually taken this trade here because this is the one that was respecting the PDAs. A trade here, another one here. That's without looking at SMT. just knowing that you have an SMT that is external. Right now, we're talking about the internal one. We see no fair value gaps here, nothing. And then we created a fair value gap on EU. What happened here? This is the entry that I could be looking for. And this is the valid SMT. So, you see, we created a swing high here on GU and at this swing high, we actually have this high right here. So when comparing this high on GU is a landing with this high on EU. The high was taken here. The high was not taken here. A landing with this one. So there was a [clears throat] clear SMT that is happening between the two here. What happened is GU respected this FG here while EU decided to take the high again. So what do we have is externally EU is weaker and also internally EU is also weaker and GU is externally and internally stronger. So it's much better to trade GU unless you look for sweeps, right? So if you look for a sweep here, enter based on the sweep that's going to be a valid entry, right? Something like this and then going lower. But on the other hand, if you look for DU on this case and you look for this, you know, mitigation first, waited for the other one entered based on this mitigation in this rejection candle to close above, you know, this candle high, then that's going to be much cleaner. It's going to be much cleaner to actually look for GU. Look how GU is respecting everything and it was going lower faster than EU. Why? Because it's the stronger pair. It's the one that is cleanest. It's the one that was respecting PD arrays from the beginning. Now, another example that I also took an entry based on and again it's about internal and external SMTS. So, what we had here is this London low at 2 a.m. London kill zone being taken on EU while on GU. This is the London low, the same one. It was not taken here, right? At the same swings. So this tells me that okay we have an external SMT in this case where EU did take the low and GU did not. GU obviously is the strongest pair. EU is the weakest. Let's see on the lower time frame on the 5 minutes what do we see here or in the 15 minutes if it was cleaner. So on the 5 minutes because it was cleaner than the 15 minutes in this case because we had news we had a lot of you know uh high impact here. Now this is let's say this is the lowest point on GU aligns with this one. We're going to take it from here to here because we're going to refine it more. This is the lowest point on EU which align with this one. So that's the SMT that we had refined on the 5 minutes. Now take a look. We had the SMT we started going up pushing up here. We did not execute this one. That just the first confirmation, right? Unless you're only trading on one time frame then yeah you could do that. This is the first confirmation we started going up. What happened here is creating of two fair value gaps. One breakaway gap and the other one here was filled fully on EU. You see filled here while also this fair value gap was filled fully in here. So it was not fully filled here but after yeah but at this point it was fully filled on DU while not fully filled on EU. What happened after is this is you see if you look at this on EU right now we had this low did not fill the whole fair value gap and was swept later there was a sweep and we actually closed above with a rejection what happened on the other hand on GU we did not sweep that low so that's an internal SMT confirming the external SMT that we had and confirming an entry at this point we close above now internally and externally GU is much cleaner here so you could have created the GU here after this rejection and after respecting and after looking at this and seeing the rejection on GU put it just below the F valley gap that's a breakaway gap and taken an entry based on this 3 to1 easily achieved and you see we're going up aggressively after when looking at EU you could have taken a risky entry here at this candle the rejection or you could have waited for this one but you know after this one it's like the train has already left you alone, right? So, you could have not traded based on this. You should have traded or took a risky entry based on this. You see, even when it comes to the trading opportunities, the stronger one will be most likely the cleaner one. Okay? You see a very clean trade here going up. It happens over and over. This is a whole trading model that we might actually back test one day, right? If you want it then drop a comment say okay Moheham do a back testing about this instead of go look for an external SMT and then followed by an internal SMT and trade from there. So I think we had enough examples of SMTs but I just want to show you the importance of SMT in order to spot a reversal. You see at those points we had SMT and you see that's the reversal. when we had an SMT. That's a reversal point. And I just took about two minutes in order to go over EU and GU, both of those. And I did not even look at DXY, right? Because we could have an SMT with DXY also. But this is only taking a look at between EU and GU. That's an SMT. That's what a reversal point right here. The same thing going where exactly right here. That's a reversal point where it could have, you know, taken advantage of this and executed a trade. Also here as a very important point to take advantage of we're going to be discussing is the open high low close and the open low high close. So looking at any candle right what do we see is this type of candle we see high and a low. However if we focus on this candle what is inside of it right? So what we have is for example this is let's say a bearish candle. It opens here and then it created a wick and then it closes here. But before that it created this low. Right? So inside of this what we see is okay we opened here. We started going this way and then we created a high of that candle. We started going lower and then we created this low of the candle. We went up and we close here and that was the closing price. So that's what's going on inside of this big candle. That's the lower time frame. That's the higher time frame. So let's say if this is the daily candle then what that's what we're going to be seeing on the lower time frame. So or the 1 hour the 15 minute the 5 minutes and the 1 minute whatever. Now knowing this that if price wants to go bearish then it needs to go above the opening price to manipulate to get a better price before going lower. Right? So that's something that we know before price going lower. If it wants to go lower then it's going to create the high first and based on that understanding the best time or the best price to sell in this case is going to be above the opening price. Now exactly the same thing when we have a bullish scenario. If we're having a bullish scenario and let's say it's totally the opposite and let's just consider that okay we do this we start here and we want to go up before that what's going to happen is price manipulating price lower. So we have the manipulation here below the opening price then price is going to shoot up and then it's going to close like this creating the wick or the high of the candle the low of the candle. So where do we buy below this opening range? Right? This is where we buy. This is the range that the best opportunity to buy is. Now combining this with the candle continuity theory, right? So taking a look at any time frame, any asset and any time of the market, right? When the market is open, take a look at this and I want you to think with me now. What is this theory? It's just something that I came up with based on the understanding of the market and it's really something that's going to simplify the way that you look at the price action and it's actually going to prevent you from taking some stupid trades and you're going to know why. So taking a look at any candle right any candle and I'm going to specify later on the video where to focus most on this. Now taking a look at this starting from here for example we had this bearish candle right so this was a bearish candle we closed bearish. Now try to answer this question with me. This is a bearish candle, right? So it was a red candle. It closed lower. What are we expecting the next candle to be in a logical way? Oh, if we have a bearish candle, then what is the probability or the higher probability of the next candle to be? Is it bullish or bearish? Actually, it's bearish because we want the same candle to continue on the same direction. So a bearish candle then most likely is going to be followed by what? a bearish candle. You know, go take a look at any chart, you'll see that this is actually what's going to happen. The higher the probability for the next candle to follow the same bias of the previous candle. The next candle closing bearish again. Since this closed bearish and also with a displacement, what is the next candle? Closes bearish. Now, what is the next candle? Closing bearish again. And it continue like this because if you try to find any even if you are in a point of interest if you try to find any bullish trade here you're going to be failing and why you're going to be losing. What's the reason is that you're not following how the candle prints candle is bearish. The higher probability for the next candle to be bearish and again this is a bearish candle closing bearish again because this candle closes bearish then expecting the next candle to be bearish again. And you see it continued like this until we close bullish here. You see bullish candle. What does it tell us that okay the next candle now the probability is changing because we have a bullish candle. It means that the next candle would be bullish. And let me confirm this to you. This is going to work again on all assets. It's going to work on all time frames. So I'm using the 15-inut here. But if you switch to any time frame, then the probability of each candle following the previous one is still still working. And let me also tell you this what we're going to be going over the video. It's going to be more deeper than this. So we're going to know when to use this when it's going to be the higher probability for this theory to work. And we're going to also go over a full trading plan based on this. But now take a look at this. What happened here? Price actually started going up all the way up until here. And when did it stop going bullish? So it was bullish here. It was bullish again here. We're just going up up up until we created this bearish candle. So what are we expecting now? Another bearish candle. And we're going to discuss those uh inside candles. You know, do not really pay a lot of attention to them and I'll explain in details what to do about them. But you see bearish candle started here. What are we expecting the next one? Bearish and then bearish. Bearish. Bearish until we close bullish. We had an inside but we went up then it closed bearish inside bearish bearish bearish inside bearish bearish. So you see it continued going lower and this is simply the candle continuity theory. Okay. So simply price continuing on the same direction of the previous candle. When this candle closes bearish based on the open high low close and the open low high close where do we think is a good price to actually enter based on this? Right. So, we have a bearish candle. What are we expecting the next one to be? A bearish candle. What is the best price in here to go short? What is the best one or what is the best range? It's actually the closing price of this candle, which is the bearish one, which is our candle, the first one, and then the opening of the next one. So, this was the opening level. Closing of the first candle is the opening of the next candle. Where do we look for shorts in this case? And let me show you exactly above the opening. You see really sniper entry you got here on the lower time frame. So you're going to go to the lower time frame and look for an entry here. The same thing goes here. So this candle closes here. It's also the opening of the next candle. Where do we look for these cells? Above the opening price of the new candle or above the closing price of the previous candle, right? So this is the one exactly right here. Now again closing price here started this time uh maybe because of the broker data or just because price was in a hurry to go lower it did not create a wick the same thing here but then again this was the closing price literally just wicked above and then started going lower and again here so here there was actually no wick but then again let's see the bullish scenario so right here we close bullish what are we expecting the next candle to be to be bullish right so where do we look for the longs actually closing price of this bullish candle which is the first one and then the following one the opening price of it we buy below there you go that's a very nice entry below the opening price that go up what did we close bullish right that's the closing price of the first candle opening price of the second candle where do we buy below the opening price there you go following the same logic bullish then we're expecting prices to go below the opening price to find longs. And there you go. It continued the same. So you see perfect entry below. Then we close bearish. Where do we look for sells you see just right here. There you go. That's your sells. And then price going lower. And it continued the same and the same. So let's just have this rule very clear on the theory. In order to buy, we need to buy below the opening price of the next candle. If you want to sell, then it's going to be above the opening price of the next candle. and know that closing price of the first candle is the opening of the next candle. They're equal to each other. So that's the buy and sell. So you see, for example, if you go to the lower time frame, I'm marking those levels. And let's go in this case from 15 minute to 1 minute. Now take a look at this on the lower time frame. This is opening price, right? And price was only coming to an order block to fill that order block to go up again. Opening price here. Price was retracing lower to go where to a fair value gap in this case or an order block. Again the same thing now going up. Price was coming lower here. It just wicked below to you know uh come to this fair value gap which was potentially going to be a fair value gap. But also watch my video about fair value gap which is going to be suggested now to know that okay this fair value gap is not going to be filled based on the third candle of the fair value gap. Now going again you see price was retracing lower to come to this order block. Now again this is a bearish scenario and what happened here price was actually coming to this fair value gap when it was retracing opening price here was going up to this fair value gap starting over lower and it happens over and over so we're going to be discussing this on details do not worry but now I just want to focus on the candle continuity theory and make sure that you guys understand the relationship between the candle continuity theory and the opening price. Now going over when does the candle continuity theory work the best. So there are specific areas or specific times where this really works the best and price is really going to give you those good entries. And the first one is when we are in a point of interest or also in a market makers mode and also followed by a liquidity sweep simply. You see after this liquidity sweep had a bearish candle and then it continued lower. Now why did price gave a really nice entry here and then the CCT was given good entries also here because we are in this fair value gap. The price reacted from this fair value gap, right? And then immediately a very nice bullish candle followed by another bullish candle followed by another bullish candle and the opening price was giving you some good nice entries, right? And then when does this end? When we are in another point of interest and this one actually was part of a market makers motor. So this was the buy side of the curve and this was the sell side of the curve. So when you also in a market makers model it's going to give you some nice entries and you see from here all the way to here very nice uh CCT right so price was really respecting and following the previous candle uh bias. There you go. So this is the first one. The second one is when we have a momentum candle or in other words an engulfing candle. So anytime you have a momentum candle and not a weak candle. So we always think about the respect and disrespect the continuation and the reversal candle. So you see an engulfing of this candle. Even though this the first one is an inside candle, you can enter based on this on the next candle which is a momentum candle and engulfing candle. You could also avoid this if you wanted because this one did not close below the previous one, but the next one did. So you could also actually just focus on this candle which is the momentum candle which is the one that closed an angle of the previous candle after a liquidity sweep then an engulfing candle. That's your one that's your momentum candle. So always focus on those ones and do not focus on this one. For example, this one was a reversal candle after a liquidity sweep. So, we're not actually expecting another um you know price just coming below the opening price in order to continue up. No, because the reversal already happened after this liquidity sweep. There's no continuation after that. However, the continuation is going to happen to the lower side. That's what I'm looking for. So, a bearish candle here, that's what I prefer more than a bullish candle to the upside because we already swoop this liquidity level. So, that's one of the ways to look at it, right? And also you see this one what we had is price coming into a point of interest. We could break above it. Yes. But then we had another bearish candle and then followed by another bearish candle. We have a bearish candle followed by another one. So now I'll be trusting the CCT more than anything here. Why? Because we're already in a point of interest and the uh there was a reversal here. So this candle had a wick going lower and this candle followed the previous one. Now we're starting to go lower and then you see one two inside candle. So there was no price going up followed by an engulfing candle. So so you can trust this more than the other candles and then it continued lower. So the momentum candles for example this one you can really trust the CCT to work here. Now the third condition when the CCT really works is the clear draw in liquidity. So we can see that when price was coming to this per valley gap and if you watch my market makers full course then you would know that okay the smart money reversal happened here and now we have a very clear draw in liquidity which is this low right here right because that's the external liquidity. So when you have a clear draw in liquidity and also a low resistance liquidity which means displacement then the candle continuity theory is going to work the best. Why? because now we have displacement. We have a clear direction that we're going into and all candles with respect to previous ones when it comes to the bias. And lastly is the kill zones or times where we actually have a lot of volatility and we have a lot of volume because if we don't follow this the last one which is the kill zones and the high volatility conditions then we're going to fall into this. You see this range here? You see that we have a bullish candle. Okay, it was followed by another bullish candle. However, then it was just a mess that we could have a bearish candle, a bullish one, a bearish a bullish bearish bullish. So there is no clear direction when we have low volume. And if we consider this time, what is this time? 20 until go to the landed kill zone where the volume the real volume starts. So you see trading on the Asian session, it's not really beneficial that much. Sometime it's going to work, but not every time. So we really want to focus on the New York kill zone, London kill zone and days of high volatility. So even Monday sometime is not going to work because it's lower in volatility. The other days are going to work perfectly. So you see for example those times this was the PM session and then it works sometime but not as good as those ones. You see the start of the lendic kill zone at 2:00 a.m. We have a clear direction going lower here after taking this liquidity level closing below. So there was no displacement here. Closing below, opening price, sell above, opening price, sell above, opening price, sell above, and then opening price here, still above. This was an inside candle. It was not a, you know, a reversal, big momentum candle. We kept going lower. Sell above, still above, and then until we get this candle. And here after the London kill zone ended at 5:00 a.m., then the volatility went lower. So only focus on the landing kill zone and your kill zone to have a better results on the candle continuity theory. Okay. Now since we know when it works the best then we can do the opposite to predict when it's not going to really work. Now when it's not going to work when we have no volume low volatility day ranging session for example Asian session and then when there is a disrespect candle or reversal candle. So when we see that okay we are having a liquidity sweep and then price not closing above and reversing already this is a disrespect candle then it means we are you know looking for a lower prices so I'm not going to be trusting this bullish and I'm not going to follow the candle continuity theory here because it doesn't really make any sense we already you know based on the rules of the CCT we're having a reversal here not a momentum candle so not following this uh candle bias we could go to the opposite Now into the part that a lot of you are guys waiting for which is a full trading plan or a strategy based on the candle continuity theory. So let me be clear here. You guys have the freedom to go with whatever you want. So you could create your own trading plan. Be creative with it. You could execute this on a market makers model. You could execute this after an invasion fair value gap. You could execute this on a scalping setup. Whatever you want. But what I'm going to be giving you today is a mechanical way for this approach. It's going to be a mechanical setup that happen all the time on different time frames. So you could use the same time frame alignment that I give on the market makers model video. So make sure to watch that video if you want a time frame alignment. So for example, a 15 minute would be a one minute lower time frame. A higher time frame of a 4 hour would be a 15-minute lower time frame. And it goes on and on on. So, so the focus of the setup would be on point of interest. That's the first thing we need to identify. So, you're going to go to your time frame. Uh, for example, if I'm considering the 15 minute for my higher time frame, I'm either looking for a fair value gap. I'm looking for an order block or I'm looking for two things at a time, right? I'm looking for a sweep into a fair value gap. This could also work. Now, what is happening here is okay, we have this fair value gap. We also have this fair value here, right? So, how do I know which one to execute? Because price reached both of those. So, why not entering from here? You might ask. And why entering here? The thing that we're going to be following is a creation of a swing high or a swing low inside of a point of interest. So, the first thing is we need to find a swing high, a formation of a swing high or a swing low in that point of interest. And what is a swing low? So you see candle here closing. We have another candle closing lower for example, right? This is still not a swing low. Now another candle going lower. This is still not a swing low, right? What is a swing low? When we have a candle going up like this, what are we creating here? A low that has a higher lows on both sides. So to the right and to the left, we have higher lows. So when we go and create a higher low other than this one then this is a swing high formation. So you see when we're coming here we had no swing low formation. No swing low formation. No swing low formation because this one if it closes above this line or you know if if the low of it was above then that's going to be a swing low. However, we don't have a swing low until when this candle closes. Right? So what happened is this low lower low and higher low. We're going to be waiting for this formation or this pattern to happen before executing any trade. So it means that this per value gap was disrespected. We're going to forget about this one and we're going to only focus on this swing low formation. Now let me show you the other one. So you see we had this perval gap as well as this one and then we have one below it, right? We also have this one and then one here. Most likely this we're expecting this not to hold because it's not the extreme one. It could hold but you know we did not also have the swing high formation add it. You see here we did not have a swing high. We close above it at this fair value gap and this one we did not come to. So we're going to remove this and this one dispersed. We're going to remove this. What do we see here? What happened here is a swing high formation. This is a high. So you see this high? It created a high here but this one was a higher high. So it did not create the swing high formation between those three. However, from this high to this higher high and then a lower high here. So that's a swing high formation. So at this per valley gap, we created a swing high formation. Now looking at another one, we have this per value gap. Did we create a swing high formation? Yes. Where did we you see higher high and a lower high? So that's a swing high formation. Now looking at those three examples here where we have a fair value gap and we have what a swing high or swing low formation on it. What we're going to do is we're going to participate on the trade on the fourth candle. So we have the three candle formation which is the swing low. Our participation is going to be on the fourth candle. And how we're going to approach this the closure level of the third candle of the swing which is going to be the opening price of the next candle. And we're going to execute on this. So looking at this for example that's our closing level of the third candle and the opening of the fourth candle. We're going to go to 1 minute which we see here. This is the opening price. Now after the fit candle closes, we have our opening price. We want to look for any tab of entry on this time frame. So what do we see? You see how price opened here started going lower to this fair value gap. That's an entry for you, right? So you don't need to have limit orders here or you know follow whatever you want because this is just simply an entry type based on the candle continuity theory. So feel free to follow any setup. But you see price come into this fair value gap. the reaction of that fair value gap and then we have an engulf in closing above the last bearish candle which is now this is a change of state say delivery. So you could enter from here after the changes say delivery stop loss below here below this low that price came to the spare valley gap and then targeting what you could target whatever you want right now let me make this clear in this swing low formation if we have something like this and now let's consider that third candle had this wick so you had a wick that was this big now this is the opening price of the next candle so we're looking for a setup below this level Right now, if price comes here, we have a fair value gap on the lower time frame and we enter here. The first and the easiest draw in liquidity is going to be this high a week here. That's going to be the easiest draw liquidity and that's your first target and then you can extend it more to the upside. Now, if you go to 15 minute again and look at that same example where we had this, we could look for, you know, this per value gap to be filled. That's your first target. then look for some reactions of those fair value gaps. Now following the same framework, we have this swing high formation inside of this point of interest. It was confirmed here. Where is the closing price of the third candle and the opening of the next candle? It's right here. Now, if we go back in time and let me make this clear, right? We have this opening price of the next candle. We're going to go to 1 minute. Now, using the replay here, just to make it clear, we have this opening price. So this was the swing high, right? This is the second candle. This is the third candle. Now we're participating on the fourth candle of the swing high formation. Right after the swing high, the fourth candle, simply looking for any type of entry above here. So few scenarios that I'm expecting is for this high to be taken, sweep above coming lower or this order block to be respected because we already reacted from a fair value gap here. So feel free to follow your uh setup here. Price is going up. There's no fair value gap. Nothing clear here. Price is coming to this order block. And then we have okay, we have a change of state delivery. You could participate it on this change say delivery or you could waited for this inverse fair for value gap to be activated. Whatever you feel stop loss is going to be um you know a safe way is going to be all the way above the swing high. You know I don't want to sacrifice a lot of the reward to risk. So I'm going to put it here because I feel like the last line of defense is going to be this high. closing above it is going to be the last line of defense and then I'm going to go all the way to let's say this fair value gap or I'm going to go to 15 minutes simply and look at what I have. If I know that I'm part of a market makers model here and you're good at spotting those market makers model then your target is not going to be only a fair value gap here. It's going to be this external and then we keep going lower. Now again we have what another point of interest left here and if you can confirm that you are in a market makers model you know that you're going lower. We're going to wait for a swing high formation inside of that fair value gap and we can confirm that happen here high higher high and lower high. So that's a confirmation that okay we had our swing high formation inside of this point of interest. Now what is the way of entry? This is the closing price and it's the opening price of the next candle. We could simply go to the one minute and look for any type of entry. Simply we see that we have this liquidity level and a fair value gap above it or we have this fair value gap. Whatever I see a change of state say delivery from I'm going to be entering. So there is so this high but no change of state say delivery and now we have a change of state say delivery. I could enter here again or wait for this high to be taken. But even, you know, I'm just going to go like this stop loss above this high, right? Or above this fair value gap and then targeting the same level, right? And this is a 2.7 to1. You could actually go with a at a bit tighter stop loss. And that's a 3:1. And then you see price started coming lower. Goes to that level that I was actually anticipating to enter from, but we already had a change of state delivery here. So I don't want to miss the trade. Now keeping price going lower and lower and lower. You see price is approaching that level and taking the external liquidity. Now even taking a look at those candles even on the one minute time frame the candle continuity theory works actually. So you see we closed bearish here. Another bearish. And where did we sell? Above the opening price again. Where did we sell above the opening price? We started going lower. Where did we sell here? Above the opening price. and again here and it keeps happening and happening over time. So you see when you are really on a point of interest it happens easily. Now looking at the daily time frame for example on Euro USD just to prove that this actually work on all time frames but with the right time alignment we can see that okay we had this perval gap for example when did this perval gap held the price to go up when we had a creation of a swing low. So you see this is not a swing low here but then the formation of this low this lower low and this higher low is the swing low formation. So after that if you just put your stop loss a little bit below this depending on your entry then that's going to work. Now looking at this fair value gap here the other one. So this is you know just going over any point of interest you know randomly and looking for a swing low formation on a bullish scenario. So you see what we had here is this low this lower low and this higher low. buying below the opening price would also work. Now looking at this fair value gap here this bullish one again price came to that created a swing low formation and then started going up before coming lower again. Now taking a look at this for example this sweep here we had a sweep with a swing low formation. This is your opening price level right opening price buy below to go up a little bit. Now another one into this order block. So if we look at this order block again, price came back with a sweep creation of what? A swing low. There you go. One, two, three. So we participate on the fourth candle. There you go. That's your opening price. Buy below here. This is your buying range, right? This is where you buy and then price started going up. Now exactly the same thing. We have this bearish per valley gap, right? And when did we have a swing high formation? So this one no because this is a high higher high and then a higher one. So at this point this one this one and this we had a swing high formation to go lower. So that's your opening price started going lower. You could benefit from this but the real benefit would be from the next one where you had a sweep into that fair value gap right and then what happened after? There you go. We can see that a high higher high and a lower high. That's a real swing high formation. Again, we have this opening price. There you go. Buy above. This is your buying range. You buy here and then price that are going lower. And again, you could do the same thing here and benefit from those levels, right? It's really simple, really works if you know where your market section is, where your drawing liquidity is. What if I tell you that a rectangle and a line is all you need in trading to make money? Now, when we talk about rectangle, that represent a fair value gap. And if you're not familiar with fair value gap, then I think you have a long way to go. You're not going to be a master of those concepts from this video only. You have a lot of videos to watch and you have a lot of time to spend on those concepts. Now fair value gap is that three candle pattern. We always look at this gap between the first candle and the third candle. And to be precise, the high of the first candle does not overlap with the low of the third candle. And that's going to equal to um a bullish fair gap. On the other hand, a bearish fair value gap. And again, it's a three candle pattern. So we need one, two, and then three. Three candles. We're going to be looking at the low of the first candle and then the high of the third candle. If they do not overlap, then that means we have the fair value gap or we have the imbalance and people call it imbalance. Now when we have this that means this is now our fair value gap. Low of the first to the high of the third. This is the fair value gap. And this is what I mark almost every day when I trade. This is the thing that I trade based on the most but actually equal to the other thing which is lines and we're going to cover what the line represent in the next slide. But if you need more information about fair value gaps you have my channel. I do have a lot of premium free content on fair value gaps and how I trade them. But I'll also give you some examples at the end to understand how do I make money off of fair value gaps. Now when it comes to lines we can see lines or actually lines represent two things and two different things actually it can either be liquidity. So on the left side here what we can see is that we are we're having this structure going lower creating this range high and this range low. This is now a liquidity level. This is a liquidity level as well as this one is this one is this one. Any higher low is a liquidity level, but not any higher low we can expect a reversal or at least a pullback from. That's the difference. And that is another lesson to you know go over and I do have some videos. I think I'll put them in the description so you can actually differentiate between the highs where we actually expect a reversal from and a high where we expect maybe a break from. Now lines represent liquidity. So I'll be marking those levels of liquidity at the beginning of the day where I have some trend line liquidity where I have relative equal highs and where I have extreme lows of the range all of those things. Now we can also use the lines to identify the structure. This is one of the use of the lines. We can actually look at our breaker structures and our market section shift. If we consider this diagram here, what we can see is that whenever we close above a high that is with a trend, this is a breakout structure, a breakout section, break a section, it can help me identify what the bias is and what are the ranges that I'm interested in. So for example, as we close above this high here and we go up, this is now the range that we're interested in from this high to this low and then price comes here. Now we go up again. We get another breaker structure here. Come back to the range. We go up until we get a market section shift. Then I'll be interested more on the lower side. This is what my bias will be to the lower side. You see uh respecting the new range to the lower side. So in short the uses of lines, the first one is to identify the liquidity. The other one is to identify the structure breaker structures and market shift. The ones with a trend and the ones against the trend identifying a shift in the structure. Now the question comes why why am I only focusing on the rectangles and lines because that's how the market operates or at least that's how I see it you know most of the time we can actually see that price moves in two directions and two ways. The first one is from an internal liquidity which is a fair value gap and then moves to fair value gap to external liquidity highs and lows and the cycle goes on like this. So it's it never stops. Okay. So it goes from internal liquidity to external liquidity external liquidity to internal liquidity and that's how I trade based on how the market operates. So this way of trading it will never stops working and then it works and it is a universal thing. So you could look at this in gold in NASDAQ and in uh you know the currency pairs you will see that it works in all of the assets. Sometime it can be different that's why I do you know videos about gold trading sometimes about the euro dollar because there are some specific characteristics that we can see in specific assets but in general you will see this working all the time. This is how the market operates. External liquidity highs and lows. You'll see price taking a high then retracing lower to a fair value gap. And then of that fair value gap we can see price reacting higher to an external high. So let's imagine this as a fair value gap. As we come inside then we push higher taking a previous high. And then when we come to this high we go lower to a previous fair value gap. That is how the market operates. it moves in those two different ways. But remember that this is not going to happen all the time. It won't be as easy as I'm showing you to identify. Why is that? I'm showing you the textbook. I'm showing you how it happens in a perfect scenario. However, it's not going to be a perfect scenario all the time. Now, sometime it's not going to be all the time happening like this. What do I mean by that? What's going to happen is sometimes instead of going from internal to external or external to internal sometime when we have you know a lot of volatility and it's not the perfect time to trade you're going to notice that what we do is we move from an internal to another internal which is this example you see we go to this per valley gap here and this is just a small pullback so I'm not going to be considering this as our external okay And even like let's say we enter here we go to another major internal. Now another scenario what's going to happen is we take this external and then we don't move to an internal I mean it was part of it maybe there was an internal here but we go immediately without giving any respect to the internal we go to the external and that's what happened. We we take the external here. We move to the other external immediately without showing any respect to the internal. And same thing here, showing no respect to the external high. So, make sure to take a note of that. Now, how do I make money? Here is a two-step strategy to make money of the market using only lines and rectangles. So, the first step is going to be on the higher time frame. That's going to be the framework and bias. What does a framework mean? It means that the reason why you're looking for a trade in the first place. So what is the reason or what am I seeing here in order to take a trade and I'll give you some examples on that and then we're going to be moving to the lower time frame confirmation. That's it. Going to be higher time frame to lower time frame and then you know framework and bias to finding a confirmation. That's all you need. Now we're not going to be able to identify higher time frame and lower time frame. Some people would just tell you, "Oh, you're going to go to the lower time frame." But you don't know exactly what the definition of the lower time frame is. However, this is the time frame alignment you need to use. So, when we're talking about higher time frame, it's going to be the one to the left. Lower time frame, the one to the right. If we start from 1 hour on the higher time frame, finding the framework and bias, you're going to look at the five minute to find your confirmation. Same thing here, 15 minute, 1 minute, and then 4 hour, 15 minutes. So this is the valid time frame alignment you need to stick with. Sometime you can be flexible but this is my suggestion here and this is the thing that I use. So here it is one of the simplest strategies you'll ever see but it's not easy. Remember the difference between easy and simple. That's why I keep reminding. So let's start with the framework. Again the framework is a reason why you're entering in the trade in the first place. I mean a lot of people talk about uh some you know entry patterns but they don't talk about the framework because that entry pattern should be used as a lower time frame confirmation lower time frame entry but we need something in the higher time frame to give us a higher probability for that lower time frame entry to work. That's the logic of using the framework. So my best two frameworks and you can have your own framework. However, my best two we have the internal to external move. In other words, all I want to see is, you know, I want to be able to identify a valid trend. So, I want to see an uptrend, for example. I want to see breaker structures to the upside. I want to see bullish PD rays being respected to the upside. I want to see maybe, and this is what I'm going to be covering here. I want to see lows being taken and then rejecting off. So that's what I want to see in order to identify a bullish order flow. But in this case, I just want to see a breaker structure here, a previous one and then maybe this low here being respected in another period array or sweeping another liquidity. So I want it to be a strong low and then break and structure coming back to the range. I just want to see a fair value gap here which is an internal range liquidity and then lower time frame confirmation here to go to the upside at least to the high here or maybe another internal. That's the first framework I want you to focus on and those are the ones that I'm going to be focusing on also in the examples. The second one is the continuation liquidity sweep or in other words the fake market structure shift. Now a lot of people you'll see people um you know taking or you know identifying some market structure shift but then the reality of it and then what they realize after is that this is a fake one. Now how do we identify a fake one? This is the way we look for breaker structure. We look for a POI that is either an extreme or you know just a POI that we know or we expect price to fill it. Then you can see a creation of a low here. As we push higher we get this fake market. So you see we get this fake market shift. Why? Because we took a high and then we take the low again into a POI. However, take a note of this breaker structure which is the previous one. The structure here also need to be bullish. This is going to be a fake market section shift. Price will take this low into a POI and then go higher. A lot of the time we can use the 61% rule. So if price does not come to the 61.8% then that means most of the time it's an inducement and we can look for another sweep to the lower side before going higher. one and two. Those are the frameworks that I want you to focus on in order at least if you are in a losing streak to make your first winner. Now when it comes to the confirmation, we have three types here and again feel free to you know follow your own way. However, the two steps need to be there framework and the confirmation. Confirmation you can be flexible with that. Three examples of a confirmation entry market section shift which we can see here. Considering this as a higher time frame POI that is bullish. You can see that we have a low. We go higher. We take that low and then we break above the last high the last pullback with a displacement. This is a market such a shift. We can look for a PD right here. Any PD array and that is one confirmation entry. Another one that can be actually the simplest among the ones that we have here is the fair value gap creation. So I just want to see a fatal gap being created here with the orderflow. So align with the higher time frame POI. This is a bullish one. I'm not looking for bearish ones. I'm looking for the first bullish one. And that's one you can take. Another one is change in state delivery. This one is when we get you know consecutive bearish candles and then we get one big bullish candle that engulf the previous one. And you can also consider, you know, breaking above the consecutive bearish candles. I mean, it depends on how risky you want to go. This one here is a change delivery. And then you can look for a continuation. If you're fan of this, I do have a video about order blocks, a full strategy for advanced traders using only order blocks. Just look up Mahham trading ultimate order block strategy and you're going to see the ones that you'll be a fan of. I went on details everything you might need about that strategy. So if you want a more information about this then you can watch that video. So those are the three confirmations. Again feel free to use your own way of you know uh identifying the confirmation. Those are only examples but they are valid. In order to ensure the understanding I'm going to go over trading view now show you some examples and if you have any questions leave them in the comment. I'll try to get back to you. But if someone else also know the answer then I know a lot of people would help you. Let's go to trading view now. So a quick recap on what we want to see in the market. Either breakout structure to the upside and then retracing to the range into a valley gap and going higher. Let me change this. That's one scenario which is a breaker structure coming back to valley gap internal liquidity then pushing higher. Another one can be for example market section shift or break structure and then we want to see a fake market structure shift. So like this this high. Now a lot of people looking for this as a market structure shift going to be a fake one. And why? Because we already get this market structure shift and then we're pushing lower. Okay you see we have a downtrend. Now this is a high that we can look for continuation to the lower side from this is what we're going to be looking for going to be given an example on a 4 hour 15 minute and then maybe 15 minute 1 minute. So an example of what I want to show you here is for example this 4hour market makers model. We can see that we are pushing higher here. We get this major break structure to the upside and we have this whole range here. So we have this low here that broke the high and then we retrace lower extreme fair value gap here that can push price higher. If we get a confirmation from here then what we can target is the external high and you see taking that high very nicely and then continuing higher. We don't know exactly how far we can continue lower before the pullback but this is going to be the first target here. Now sometime you should keep an eye at the internal fair value gap here. If we disrespect it then most likely we're hitting to the high here. So 15 minute confirmation here and maybe sometime 5 minutes you can enter from here. Another example is this one here. So this is the major structure. We can see that as we're going up here we create bearish fair value gap also. Then we retrace higher back to the F valley gap. This is another market makers model to the lower side. This is I would say against the main structure. Okay. Do you see come to this F value gap then we take the low of the market makers model here. This time here we also have one. We don't go to the external but we keep going higher. And I'll show you why. I'll show you there was something that happened here that I know price is going higher. Another example and we can see a lot of times we have the same an example here is this. You see this breaker structure to the downside. This is the one here and then we get this F valley gap. We keep pushing lower until we go back to the F valley gap. Go back to the F valley gap. We get few retest into that F valley gap until we take the low again and it happens again. So this is a breaker structure to the downside. This is the strong high. We have a F valley gap here. You see go to the F value gap and then we push lower. Now this is an example of a lower time frame entry. We have different types of entries and sometime you're not going to get an entry even though you have the frameworks. Sometime it's not going to be you know a clear entry and you can see it in hand side. Sometime you're going to enter it and then make money. So you know uh different scenarios here. In this case what we can see is that we get to that fair value gap on the 4 hour which is right here. And we can see that we get kind of a nice reaction. This reaction actually and this is a fair value gap that also broke structure. So this is a market shift and then we have a fair value gap here. What we can do is enter on this fair value gap either 50% or beginning of fair value gap and then stop loss below the low. That is one example here. What I will target is maybe filling this big fair value gap here. And what you can see happening is price actually like immediately touched that fair value gap and started going higher. This is on the 5 minutes and then there's also the continuation after actually there is no fair value gap here and then we get this order block creation after two candles. So we have if you're not familiar with order block they're nothing but a pullback in the right structure. Okay. So this is a valid you know bullish structure get a pullback here and then going higher creating this as an order block and you can see we get a very nice touch to that order block or you can actually also look for a continuation and then pushing higher again same thing. So this is how you make money off two things and you can see that what are we using here? Are we using anything other than a line and a rectangle? Maybe some people would say a long position and a short position sometime. I mean, yeah, you're technically right, but to enter the trade, we're only using a line and rectangle. So, you can see we push higher from here and the target can be sometime much higher than what you're expecting. Sometime you catch the low of the day, the low of the week and sometime the low of the month. But we don't know where exactly to hold. That's why we're taking some partials here. And sometime we can take the external. Okay. So this one is going to be a huge one 11 to1 if we get the right market makers model. Okay. So on the 4 hour back to the 4 hour you can see that after we enter here we push higher. This is the target. We can see it takes some time few days and then we hit the target. Now you could do the same here. You could do the same here. Same thing here. Now on other assets it's going to be the same but I want to show you something also that we talked about and this is the other framework that we're talking about. If you can see here what happened is we are we got this market section shift we started going bullish right. So this range here is very big and it has a lot of and it has a lot of displacement that it actually broke this whole structure here since July to August. So a structure of a whole month is broken above that is a very strong movement that can identify a shift in the structure. So market such a shift here now we are bullish. What you can see is and we have different types of continuation liquidity sweep. One can be an inducement sweep. Another one can be a structural liquidity sweep. In this case, what we can see is as we are pushing higher, we get this fair value gap here and there was another fair value gap here and we have this low here. Now think about the bias and the structure. Are we bullish or bearish? If we are bullish, you could take lows that are major in the structure that has POIs below. In this case, you can take them to look for continuation. One example is this one. So you see this low here that has this value gap below. What happened is price sweeping that low into the POI and then pushing higher to where to the external again. That is a very high probability trade which is the continuation liquidity. Same thing here. You can notice we push lower. We get this fair value gap. This is now an inducement. Why? Because we have still filled part of the fair value gap and then we are still bearish. This now is where a lot of people actually looking for a market such a shift. This is a fake one. And you see we take that low again. We push lower. Could have made some money here. And then finally price actually does not take that one. So this would be a very nice winning trade for you. maybe entering somewhere in here, stop loss above the high, right? And targeting the low. If you're entering your lower time frame, it's going to be somewhere in here, maybe. But that's a valid one. Always remember that a lot of people would tell you that market structure goes like this. But the reality is going to be like this. Going up from a lower, going up sometime. Taking the low here. Going up. Creating a low. Taking that low. Going higher. Maybe. Then taking this low again. And then going up. Taking the low. Going up. You see, we sweep lows. Maybe taking this low. Also, we sweep lows. We sweep lows. We sweep lows. And then we push higher. Instead of respecting all the lows in a market structure that [clears throat] is pushing to the upside, we're going to be taking the lows as liquidity in order to push higher. Now, this is how that example of the liquidity sweep looks on the 50inut. So, for our level here, for our faval gap using only rectangles and lines, this is what we have. Now, we can see we take the low. We take the low but then we keep going lower to go to the POI to the fair value gap. We push higher. No fair value gap here. Only like a small volume imbalance. Uh I don't really rely on those uh on the FX market. Can see a creation of a fair value gap here. This one we could take entry here. Stop loss can be in this case. I'm not going to put it below the low all the way. maybe at the body of the low and then targeting the external as an example but definitely I'll take some partials at those highs on the way but ultimately this is my target and playing the price action so you see we get filled here snapper entry and then maybe go to the 1 hour time frame see if we can make it faster here the price action okay we move higher so it's consolidating for some time and then what happened is a liquidity sweep before going higher and that is another continuation purge. Same thing I mean if you consider this market section here what we can see is we push higher we at a low I mean let me use the other one. So we push higher here after uh sweeping a level on the 4our. The structure here we become bullish here because we swept a 4hour low with the 4our structure which is the major bias. Yeah. Or the major structure. We push higher here. We create a low. We take that low before pushing higher. So we take the low then we push higher. What happened here is we create this low also and then we sweep it before pushing higher. We create this low here. We sweep it. We push higher. And then where's the last low here? So there is this one here. There is this one. But it was taken by this one. I could also see this one. If you could find a lower time confirmation here, you could take also this one as a continuation to go to this high. I know sometime it can be tricky but it's going to be much easier when you practice and sometime experience will tell you when to look for. So you see here we are pushing lower we create this high go lower continuation per would be taking this high it fails here but then again taking the high again and then go lower. So you see the sweep here going lower. This is gold on the 1 hour time frame. If you look at the structure here we can see clearly that we are bullish. I want you to notice what is happening in this uh price action leg here. What is happening is very very nice textbook example. What is happening is this fal gap being filled pushing to the external breaker structure to the upside filling the internal range liquidity going higher. But I want you to also notice what is happening here at this fali gap. What is happening is filling that feral rally gap the first time then taking the low again as a continuation purge breaking structure to the upside. So that is your first opportunity to enter here. I mean you could have entered from this one could have gone up and this is the next one. We take the high now where is the [clears throat] low that took the high here. This is the low responsible and that means we could look for also another continuation purge taking this high again after taking this low. This is the continuation per here to push higher. Now what do you notice after is you see this high here we break structure to the upside. Where is the low that was responsible for taking this high? It's actually this low here. What happened after? If you can notice is we have this POI which is the wick here as a POI. I already explained this on my gold secrets. You can see that we take that low again into the POI as a continuation per pushing higher. And you can see also here what happened is we also take break we break structure here fair gap here and then we have a low that did not go to the fair value gap. What do we notice here? Continuation period to the upside taking the high. It happens over and over. Now what to expect from the strategy is that one rectangle is going to equal to everything for us. So we can simply have the entry the confirmation and everything using only one box and one rectangle which is going to be here in a bearish scenario. That's a rectangle and in a bullish scenario the rectangle is going to be here and we can find an entry here. So simply the whole trading plan and the strategy is going to be depended on one thing which is the rectangle. Now, we're going to be having an entry inside the rectangle. That means in a bearish scenario, we're going to have it here in a bullish scenario here. And we're going to be using confirmation. Stop loss is going to be above or below the rectangle. Uh if it's bullish or bearish, take profit is going to be way too far from the rectangle. So, it's going to be away from the rectangle, and we're going to be looking for a high reward to risk. The question here, what is the rectangle? And that's what we're going to be answering later in the video. Now the goal of the strategy is going to be catching and focusing on highly waterous trades. So not the typical one one or 2:1 or even 3:1. We're going to be looking for much more. Actually I'll say the minimum is 3:1 and you can go to 5 to 1, 10:1 and more. We're going to be focusing on less trades which is going to equal to more money. And there is a big misconception when it comes to traders. They focus more on the quantity other than the quality. So, we're going to be focusing less trades that mean higher probability setups, which is going to equal the end to less losers and more money. We're going to be looking for strategy and we can keep it repeatable and simple. It also works on oil pairs. So, if you trade forex, crypto, futures, etc. It's going to work on everything. And then finally, it works any time of the day. So, you can find an entry any time of the day when the setup is valid. Now, to make your life easier and give you a resource to study the strategy from, you can have access to a free book that has all the foundation, the steps, and a checklist for this strategy. The link is in the description. Make sure to take advantage of that. When you finish the video, you'll be able to take trades like this with high reward risk as well as trades like this. Now, one note before we continue is that I built this strategy from 7 years of trading experience by myself from scratch, and I'll teach it to you for free today. Before we start, we need to understand these four concepts because the strategy is going to be dependent on these. And when it comes to the box or the rectangle, it's going to be here, the strength and weakness. Now, we're going to be discussing market structure, direction, and then reversals versus continuation setup. And that is something a lot of traders actually misunderstand. And then finally, we're going to go over strength and weakness. Now, the first thing we need to understand is the direction. We want to be on the right side of the market to enter the setup or the trade. Now, we're going to be using simply a moving average, exponential moving average. We're going to be using 50 or the 200. You can play with it. You can try both and see which one fits your trading style more. This one is is going to change uh more than the 200. The 200 is going to give you the overall trend, okay? And it's going to last more. And even if price sometime move up when it's going lower move up uh and then have significant moves it's going to continue to the downside in the 50 it might change to the upside while price is going up and then reverse again. Now before we continue, just a quick thing. Everything I've learned over the last seven years, the frameworks, the system, the way I read the market, it's all inside my community, Edge School. That includes the edge model, the same strategy I use to find those 5 to1, 10 to1, sometime even 20 to1 reward trades. And I take those trades live with the community. If you want to learn the full system that I use and trade like me, there is a link in the description with all the details. If you're not ready yet, no worries. Let's continue today's lesson. So, what we're going to be doing is opening Trading View and then go into the indicator section. Look for and search EMA. That's exponential moving average. And you're going to see in the options that you have this moving average exponential. You're going to click on that. Go to the settings and have either 50 or 200, whatever you prefer. And then lastly, you're going to see it uh available in your chart. And then you can also adjust the thickness of the line and the color of the line. So now you already have the direction using the moving average. Now the simple rule of direction using the moving average is that when we are above the moving average, we're going to be looking for longs because that's where the continuation is going to be. And then when we are below the moving average, we're going to be looking for shorts. Want to make sure that we're having valid structure above and below. And we're not being just around the moving average and just going up and going lower. No, we want valid structure above or below. Now there are other times we're going to be looking for you know when we're below we could look for longs is that when we are way extended from the moving average we could look for reversal to the upside only when we're overextended. So even when we're above but you know we're not near the moving average but we are way overextended we can look for shorts here in order to rebalance and go to the uh mean of the price action. Now using the moving average is the easiest, most basic and most mechanical way to identify the direction. However, you can use your own method. If you have another method to identify the direction, you can go with that. But this is the most basic one and the most mechanical one. So we're going to be going with that for the rest of the video. The other thing we need to understand is reversal versus continuation and what is the difference between them. In simple terms, reversal mean a setup that is against a trend. So if price is going up for example okay a reversal would be going short and a continuation is a setup with a trend. So as price is going up we could be looking for continuation. So reversal for [clears throat] example is going to be when price is going up I would be selling here. When a continuation is maybe buying here with a trend. Now for today's specific strategy we're going to be focusing on continuation and we're going to be focusing on highs and lows. In an uptrend, we focus on the lows. And in a downtrend, we focus on the highs. So, as price is going up, we're going to be looking at these lows. In an uptrend, and in a downtrend, when price is going lower, we have some highs. We're going to be focusing on these highs here. Now, using the moving average, we can see that moving average is going up. And we are above the moving average. In this case, for the continuation, we're going to be looking at the lows. This is a low. Maybe it has a key level below. That is a low that has a key level below and we want to also blend this with structure. So a high that broke structure is a valid high if there is a key level below to be taken and then continuing to the upside. So low with a trend and then when we go lower below the 50 or the 200 moving average we have a high. We've taken the high that is where continuation is going to be. Reversal is going to be longing here or longing here. Same thing going long here or going shorts here. But we're going to be focusing on continuation in this case. So if we zoom into a specific example, it's going to look like this where we have moving averages going up. We have valid structure above. We have a breakout structure here. Another breakout structure and maybe we have a key level here. Maybe an imbalance. And then we've taken this low here. We failed to displace. We can go long here. And that is the continuation setup. Even if you don't understand nothing as of now, this is just the basic and we're going to be going over examples how to identify everything step by step and the whole strategy it's going to be based on three steps and that's what we're going to be doing next. Now strength and weakness the difference between them. Now we're going to be focusing on one aspect of that which is there are a lot of aspects when it comes to strength and weakness and it can be in different shapes but we're going to be focusing on candles in this case. Strength means when we are able to displace below a low and we close below and then we continue below. So strength is a continuation. That means we are disrespecting this level and we're looking for continuation from there. So strength is closing below. Weakness on the other hand is when we have a low and then we go lower. We have a rejection of that low. So we never close below the low and we close above. That means we could have actually in this case we have weakness and we could have a reversal to the upside from there. If you want to focus even on more higher probability highs and lows, you want to look for highs and lows that are inside of imbalances inside of fair value gaps. So we have a fair value gap here. We have already a high that is inside. Want to look for a sweep of that with the trend with the direction as well as sessions highs and lows. So you want to look for Asia high and low, London high and low, and then New York high and low. The moment you apply what we mentioned earlier, that's going to get you from quantity to quality because quality matters more than quantity. And that's how you raise your one weight more and more. Now the main goal is using the three steps. It's going to be catching 15inut high probability liquidity sweeps or fake outs using the one minute chart. And we're going to be entering on the one minute, but we're going to be using 50 minutes highs and lows. And that's how we can actually get higher reward risk. The first step is marking 50 minute high or low. That is first of all with a trend that means we're going to be noticing and focusing on the moving average for above inside an imbalance. I really prefer to see this and part of a clean structure. So if I can see that we already have a break of structure and we have a key level here and price did not go to that going to be marking this. And if we have another low, I'm going to be also marking most of the lows. We're going to be focusing on the higher probability ones though. That's going to equal to less rates but actually much better one rate. Now step two is wait for price to close below the high or above the low. In this case, which is a bullish scenario, we want to see price closing above the low in this case. So, above the low. Whenever we have this, we could be having a a potential setup. So, now we could enter or it could just continue to the downside, but without the trigger, we're not going to be entering. And this here is your wick rejection. Now, the third step is to draw the rectangle and then watch the next 15minute candle open. So, you want the candle to fully close. Whenever it closes like this, you're going to go and draw the rectangle. Now the one minute is going to decide everything. You either give the entry or you don't. So you could enter and then it goes up. You could enter it goes down or press could actually go lower without giving you an entry. Now this is the rectangle here. What is the rectangle? Now drawing the rectangle is very simple and that's where we're going to be looking for entry. So let's say this is the rectangle. In a bullish scenario like this, we're going to be marking it from the closing price of this candle to the low of the candle. This is the rectangle. And whenever we, you know, we have some valid structure here, you can actually take a risky entry. But whenever we close above, so whenever the next candle on the one minute time frame close above it, that is an entry. That is already a valid entry because that is where the you know the first step of the flip happening. So simply the [clears throat] first step is marking the low and then the second step is waiting for the candle to close and then the third step is drawing the rectangle and noticing the one minute and what's going to happen around the rectangle and that's going to be you know I'm going to explain everything on the examples that I'm going to show you next. So I'm going to put it together for you and you're going to understand how to find the perfect snapper entry of this rectangle here. So into the first example and I do promise you after going into the first example you will have full understanding of the strategy. Now this is your dollar on the 50-minut time frame and this is the main time frame we're going to be using. Now you want to see when price is below the 200 moving average or the 50. In this case we're using the 200 moving average. When price goes below what you will be looking for and I do really uh prefer to see for you know to take trades on Asia, London or New York. We can see that price is below the moving average in this case and we have huge structure to the downside. So we have a breakout structure. Now we know that we're bearish and we have an alignment between market structure and the moving average. Let's look at some examples on dollar here. Now what do we want to see is something specific which is when we are below the moving average we want to be looking for shorts. When we are above we want to look for longs. Now in this case we can see valid structure to the downside creating of a high going lower and what happened here now we don't want to trade here after New York maybe at the start of Asia we'll be trading as well as London and New York and maybe a few hours after that's going to work but not you know when we have a new candle opening or when the spread is high. Now for this example the first step is that we are identifying the direction it's bearish in this case. Now we look for highs. Do we have a high that is you know cause the break of structure and it is with the market structure and we have an imbalance maybe above. This is an imbalance where price filled huge part of it but it's not fully filled. Okay. Now what do we notice happening? This is the high and for continuation we want to look for something like this where price create a high and then takes the high again and continue lower. And that's what we see here. If you notice this is a high and that's the start of Asia. So we want to focus more on this timing. Now we do have maybe this high as well taken here. Probably no entry. But notice this one here where we have the high taken and we never close above. So if you notice we had candle closure here and this is the second step. We have candle closure and it closes below. That means we have weakness now and it's not strength. So strength would be something like this where we have this low and we have um you know candle closing below that is strength. In this case we have weakness. Now what we do the third step is drawing the rectangle from the closing price of this candle when it closes to the high and then drag it to the right. And what we're going to be noticing here and focusing on is this next candle. So I'm going to be using the replay here and we go back to this opening of the candle. So this is where the candle closes. We're going to be uh drawing the rectangle here and then going to the one minute time frame. And the trigger entry, the main one is going to be price closing below this on the one minute time frame. If so, if I see a candle closing below this and I also do prefer to see closing below the last low. Okay, if I see price closing below, that's an entry I can enter here. Another entry would be maybe this is the trigger either the entry or telling you that the flip is happening. So you can have a limit order at the beginning of the rectangle. You can have at any other key level that is inside of here based on the structure. Now we're going to be using the basic form of entry to play the price action. This is the candle that gives you you know the trigger here. So if you notice we closes below the rectangle. So outside of the rectangle and that is an entry stop loss is going to be above the high. So slightly you know I always prefer to put it slightly above the high and what you can target is any target you want. So you could target maybe the 200 moving average. You could also do you know 3:1 2 to1 or you could simply go to the 50-minut time frame and look for the next key level that is you know price could go to and we could see some reaction. So I can see that this is a strong level that we had multiple rejections and I can also see this level here. If I see weakness here, I might look for longs. So this is one target. Another one is here. And maybe sometime you're going to be lucky enough to catch trades like this. Now let's do the one minute time frame. I don't I don't really prefer to only focus on the 15 minute after the entry to ignore all the noise on the one minute time frame. So you have your entry. Now this is a high reward to risk trade. You want to play the price action and if you notice this is our first target here. If you notice price is going to this level that is already 5 to1 happening in 30 minutes. So 50 minute and 50 minute. In 30 minute you're making around 5:1 and now it goes to a maximum of 6:1 and then after that it hits the other takerit here. So this one is 10 to1. Now the thing is when price reached this level it actually closes below and then started going up. So in this case there is some strength here but then it continue in the other direction. Now what is another higher low that we can trade based on. Let's see now we are still below the moving average. Where do we have an imbalance? Now this is an imbalance that is fully filled. Um there is no high in in this price action and even taking longs from here would be against the trend even though we're overextended. You could take some but it's going to be against the rules of today's strategy. I'm going to show you examples of actually going you know against the direction pay the price action. So if you notice this is a huge trade and even the stop loss was not hit. Now there's sometimes where even without an imbalance you can take setups. So for example this one here if we go back to this one if you notice price is pushing lower going up and this high here started going lower and failed to you know we had some rejection from here but then price started going up. You already know that your direction is going shorts and this candle here failed to close above this. This is already weakness. You want to draw your box. Now we really prefer everyone to you know focus on once with imbalances but this is still valid. Now you want to draw your box from here to here and then go to the one minute time frame. The moment we close below that is your trigger or you can even have another entry. So if you notice price goes up. Now you can sometime have an aggressive entry. For example, if price goes here respect the key level you can actually enter here with this rejection and then just take it like this. Okay. But then you want to also wait if you wanted to take the you know the most safe entry is valid closure below the rectangle. So if you notice nothing here this is a valid closure below. So you want to take this one maybe also into this imbalance. If price retraces stop loss goes above and what you can target is you know maybe this level here that we marked earlier. So price sometime is going to go below straight to the takerit without going to the limit. So it's a wise choice if you think you can actually accept the stop loss is to take it from here. So the moment the trigger candle closes you can actually look for an entry and even this one is a 3 to1. So it's still u good reward to risk and you can take it like this. Now you go back to the 15 minute and you can look for another target. Now, as I noticed here also is that we push lower. Another break of structure here, a strong one. And we are below the 200 moving average. So, we're mainly bearish here. And if you notice, we have an imbalance here. And now we have this high that filled the imbalance partially, but it's not fully filled. And then price comes to this high. And we have weakness. Whenever we have weakness, now this is, you know, a few hours after, maybe an hour after New York, we can still take that one. It all depends on your preference here. So this is a valid setup. If you notice weakness, we draw the rectangle and then go to the one minute time frame and all we need to see is a closure below the rectangle. Now let's see next candle actually goes up. Okay, we have no closure and then it takes the high. As long as we don't displace above, it's still valid. Now let's see if we go lower. Actually, this is even better than not going above. So if you notice here, we're still not closing below. And here we close below. Now you can take a trade here. Suplos goes above the high and what we can target is maybe the other low. Okay. And this is 4 to1. So let's see. Now sometime if you want to take another trade, you can have it at a key level that is still not filled. Maybe here. Okay. With the same stop loss only if price actually retrace to that level. Now playing the price action. You see price started going lower and then okay a bit of ranging here. So it gives 3:1 and then 5:1. So now it hits the takerit perfectly. So it going up. Now I want to see how much lower does it go. Does it actually go lower? So it hits the takerit. It goes up again and then it's ranging for some time until London opens. And that was another huge move to the downside. Now do we have another setup that is valid? Now we have a a new breaker structure. Okay, we want to notice what happened here. Maybe this high if we fail to display this place above there are some losers. So maybe so yeah this is a different example because here we takes the high but we are already closing bearish. So part of the move is already happening. In this case we're not going to be entering. Now I do teach in my uh eight school community. I do teach a model u it's more on the swing trading based on this pattern but not the same as I'm teaching today. Now playing the price action we're going to see what happen also same thing here this is not valid because we actually closed bearish already we want to see a sweep with a bullish candle instead of bearish candle so if you notice here this is already a bullish candle that means the move did not start yet. Okay, that's what we're going to be focusing on. Now, another example that I saw here also is this. We have an imbalance. So, the structure is going lower. We have another break structure. Okay. And then if you notice, we did not take a high here. No high. And we did not take a high. Actually, we always displace above. But here we have something interesting. If you notice, this is a high and then we have an imbalance here. What happened is price going taking the high and not close above and filled the imbalance and then we started going lower. Now we don't know what's going to happen after. All we see is this. We're going to be drawing our box or the rectangle from here to here going to the right. We're going to be going to the one minute time frame. Now the moment we close below this is our entry. We did not close here and then we close here. Now you can enter immediately from here. Stop loss goes above the high slightly above because of spread and what can we target is I don't know any key level that is near our price action. So if you notice here we had some strength to the upside what we can target is maybe this level first 3:1 and then this key level here 46 to1 going to be playing the price action price immediately go there and have some reaction of this level. And this is where a lot of time I enter. In this case, we're only focusing on shorts because we are below the opening price. How can you look for longs in this case? The moment you see that you are overextended of the moving average, you can look for longs. For example, here I think there is a valid example. It's just the timing that was not good actually. Yeah, kind of. And this going to be most likely a winning trade to the upside. Maybe here. This is probably a loser or only maybe one to one. I always prefer to you know look for two things the direction using the moving average and then valid structure. So I want to be trading part of the structure. If you notice we have valid break structure retracement and then maybe another break structure retracement another break structure that is aligned with the moving average. So to summarize the strategy all we want to see is first of all identify the direction using the moving average and the structure. So if you notice moving averages going lower here and then the structure we had a move to the upside and then break below. So this is you know it was a strong low strong key level that is broken and what happened is the same key level here being respected here. Now what happened is after that we're going to be looking for highs in this case because below the moving average we're going to be looking for highs. That's where the continuation is going to be happening. Now if you notice at this zone here we created a swing high and then above the swing high there is this imbalance and this imbalance is not fully filled. Now this is a valid high. The high taken should be taken by a bullish candle. That's when the setup is valid. Now after this candle closes we're going to be drawing the box and whenever one minute candle closes below the box that's our entry maybe somewhere in here. So close goes above the box and then what you can target is the other key level that you can see on the other side that we might have a reaction of. And that's it. Now starting with the timing of this setup, it happened from 1:30 to 3:00 a.m. Eastern time. That's one thing. So always come at the chart at 1:30, slightly before 1:30. You know, be prepared. Do your analysis. Mark your point of interest. So, we're going to come to the chart 30 minutes before 1:30. So, 1:00 a.m. EST, and we're going to be looking at the Asian session. So, the Asian range from 20 until midnight. This is all EST times. All of the times that I mentioned on this video, they're all New York time. So, basically, I'll be looking at the Asian range. First of all, I want to see the Asian range being a range and not trending because this is what it should be. we should be seeing or we should be having the Asian session as a range and we don't want to be trending. We want to see this trending so we can actually anticipate a fake out of the range after. So it's very important to only trade a ranging Asian session, okay? Not a trending one because the probability goes much lower when we have a trending one. It could be any pips. I don't really care about the pips, but I I really look for how it looks, right? I want to see a range, highs and lows, and then we're going to be looking for the manipulation here. Now, another thing is I want to be marking the point of interest. So, now we know that this is the high of the Asian range, low of the Asian range. Now, I want to go above and below and look for point of interest. Look for either fair value gaps, look for order blocks, look for breaker blocks. So it doesn't really matter what type of point of interest. For me, you know, it's a fair value gap. It's the goat of the PD rays. Now, we'll be looking for a point of interest. If you watch my videos about the daily bias, then sometime we'll be ignoring some point of interest and we'll be looking for some specific ones if we know where the direction is. So, if I know the daily bias for this day is to go short, then we're going to be waiting for the day to open and then we're going to wait for price to go up, then come lower. Right? So, my direction would be going up into this point of interest. If we had a point of interest below here all the way down, I'm not going to take this one. I'm going to be taking this one. And why? Because my daily bias is bearish. That's why I want to see price going up into a point of interest and coming lower. you could be actually doing much better if you watch my daily bias videos. And then we're going to be looking for the Asian range to have low resistance liquidity. Now, what is the difference between high resistance liquidity and low resistance liquidity? When we are having simply price going up, taking a high and then coming lower. This level when taken is a high resistive liquidity. So, we had a liquidity above. For example, right here, you know this we had a liquidity above it took that liquidity. Then that's the high resistance liquidity area now because we have a high and a higher high. On the other hand, if we only uh if we had this high all the way here, then we're going to be having a failure swing and we're going to be having a liquidity and more liquidity. The same thing here. What we're having is the Asian range was actually building liquidity here. So we had a liquidity then we had a failure swing basically a low and a higher low. This means we had liquidity and more liquidity here. So we'd be looking for those liquidity be to be engineered in the age of session. So I want to see a low resistant liquidity here. That's going to give me another confluence that okay price is going to go to this point of interest and then the ultimate target would be taking this trend line liquidity or this low resistance liquidity. That's the second thing. Now at midnight this is midnight here at the time the candle that opens at midnight I'll be marking this level and I'm going to be taking shorts above this level and longs below this level. Not every time, but when my bias is being, for example, uh bearish, then I want to see price going above the midnight in order to go short, right? Because it's going to be the best price to short from and it's going to be basically the general rule, you know, buying low and selling high. So, you always buy below the midnight open and sell above the midnight open. So, in this case, I'll be marking the midnight open. And if I want to go short, then I'll be looking for price to go into this higher time frame point of interest that is above the midnight and I'll be entering from here. So that's another confluence that we're going to be taking a look at, right? The midnight open. We want to make sure that we are above the midnight open in order to go short. Now, another thing and that's one of the most important things that I added to refine the setup. I mean with the midnight open and with the point of interest. The last thing is the manipulation period. So based on the quarterly theory, we know that even the day has four quarters. The first one is being accumulation. The second one is being the manipulation. Now the second quarter of the day is the London kill zone or the I mean the London session. But the second quarter of the London session itself is this one from 1:30 a.m. to 3. That's the 90 minute cycle. We have two cycles in here. That's where most of the time where the manipulation happens. That's where we're going to be focusing in order to catch the manipulation here. A lot of time and you're going to see from the chart that the manipulation happens at this time. So if there is any sweep of a high or low and even if the high of the Asian session was swept before 130, that's not going to be valid. We're only going to be looking for the sweep to happen when at 1:30 or after 1:30 and before 3:00 a.m. That's where most of the time, especially if you are on Tuesday, that's when the high of the week or the low of the week would be forming. Let's forget about the, you know, the weekly higher low. This could be also the daily higher low. So, we could be forming the high of the day on this time period on this manipulation, which is the quarter 2. And then we're going to simply look for a lower time frame entry. We're going to go from the higher time frame to the lower time frame and look for any type of entry here. Now, you could be either looking for the liquidity sweep and entering on a turtle soup entry or you could wait for the mitigation of another PD array created after price mitigating the high type and point of printer. So we could basically enter on the manipulation immediately here with a risky entry or wait for pair value gap here and enter from it with a mitigation. Those two types of entries those are the main ones. Now lower time frame entries it could be a market section shift. Basically we had this type of entry break you know taking a high and also closing below the low. That's a market session shift. We could be looking for the change in state delivery which is price delivering the buy program here and then suddenly after price reaching a point of interest we had an you know an engulfing of this candle. Now we have a creation of an order block here. We could be looking for this order block to hold and this could be an entry or simply when price reach this point of interest we just wait for a creation of a fair value gap. So the first spare value gap that is being created from this point of interest, you could be actually entering from that one. So different types of entries, go with the one that fits you and you could be entering as I said from the mitigation. I mean usually the mitigation would be the market session shift. You enter from the mitigation of fair value gap changes to delivery would be the turtle soup one. So no wait for the fair value gap. You don't wait. You enter immediately after this candle closure or the first fair value gap. Uh this could be also a mitigation entry. Now what do we target? Simply we could be looking for any reaction from the midnight. We could take actually some partials here if it's worth it and then extend all the way to where low resistance liquidity and uh simply the Asian low could be targeting the Asian low and then we could actually continue to target the previous day low and then any other point of interest. Depends on the daily bias. You don't want to, you know, be overconfident on this. I don't want you to take trades with, you know, 10, 15 hour. Stick with a good reward risk. I would say 3, four, 5 to one. Those are very good. Uh, but make sure to take some partials on the way. And I think I forgot to mention that we always look for the uh lower time frame entry after taking the high into a higher time frame point of interest. That's the main thing. We don't take any liquidity sweep. We take ones that are into a higher time frame point of interest or it could be the 15 minutes. So you know we are looking for this strategy on the 15 minutes and you know I'll be going over the lower time frame too but 15 minute we could be looking for the point of interest on the 15 minute or on the 1 hour or on the 4 hour. You know it could be the same time frame or a higher time frame. Everything would be so clear when we go over the chart going over the example. But make sure that until this point you took notes of all of the checklist and maybe write it in the comments and I'll tell you if you're doing good. We're going to go over the examples now. Now starting with the first example and this example happened about 2 days ago, right? 2 days ago and I think I did execute this on the discord with everyone. So basically as we said we're starting with the first thing looking at the Asian session. Is it really that trending like oh we're going up uh in expansion? Not really. It's mostly ranging and if we consider here you know this is the logic behind the age session and how to look at it. What do we see here? We can see that there is a high a higher high and a higher high. Now again we had liquidity here but it's taken. We had a new liquidity here and it's also taken. Now looking at the other side so we we we looked at the tops now at the bottoms. What do we see here? Even from here, right? This low before the Asian session. But then the Asian session, this is the first low. We had liquidity, right? And then we had the second low. And is this a lower low or a higher low? This is a higher low, which means that we have more liquidity here, which means that it's going to be a very nice takeprofit to place. you know, we could be actually placing our takerit at those lows as there will be uh a low resistance liquidity run going over now. So now we know that we have this liquidity level and those failure swings, right? This is the ultimate one and we have those failure swings here. But we can actually extend it to where to this one cuz this is happen on the Asian session but not the ICT ones, right? So we could be actually targeting this one also. Now asking ourself what is better now is it to go short or to go long we don't know yet but you know mainly looking for shorts to target those right but we're going to be marking all of the POIs that we have on both side now for the longs we have this point of interest right this fair value gap and this order block could be marking this one and on the upside what we're having is nothing here see we have nothing uh maybe this order block but we have unfilled part of a fair value gap. You see we had this fair value gap. We filled this part of the fair value gap all the way here and now we have this unfilled part as well as this order block. You know a candle that created a fair value gap is an order block. We be looking for this fair value gap and this order block. Right? So we had a point of interest above the agent range, a point of interest below the agent range. Now based on what we see right we can see that we're looking for the bearish side more. So which means that I want to see price going up manipulation and coming lower. Why? Because we see those failure swings. The liquidity is telling us what to take on the 15 minutes. We are on the 15 minutes. The lower time frame that we're going to be executing the trade could be the 1 minute, 2 minute, 3 minutes, 5 minutes. Those are the time frames. Now you know 1 minute would be too aggressive. 3 minutes would be ideal. 5 minutes would be a little bit too much. Okay. Now, what time do we look for the trades or we look for the manipulation? Basically, 1:30 to 3:30. Now, what I want to see is a manipulation happening in this point of interest because this is the only one that we see. This liquidity sweep here or this one would not be valid. And why? What's the reason? Because it's basically before the quarter two. It's before the second quarter that we look for the manipulation. Now, we're going to wait for price to take for example this high or this high into the point of interest, right? But basically, it needs to take this high in order to reach the point of interest. So, playing the price action can see that price is going up. Anyone who entered or you know look for a sweep here on a lower time frame or you know whatever some people would be forcing it, right? People would think that oh now this is the high now we're coming lower but it's not really on the you know the right timing. The right timing is 1:30 to 3:30. That's the time where the high or the low of the day would mostly occur as well as the manipulation. Now we can see that price is going up. We had a sweep of this high. Now we could simply look for a lower time frame entry on the 2 minutes, 3 minutes, 1 minute. In this case, you know, we're going to be looking at the 3 minutes. Hopefully on the next example we're going to be looking for the 1 minute. So you know I'll try to give you all types of time frames and entries. Now if I want to see a market shift it's going to be this low unless we create something like this a sweep here. Now we have this low but mainly for now as of now we are looking for this low for market section shift a change of set delivery. I'll tell you when. Now play in the price action. And remember that if we had a market section shift here, right? So let's say something like this. And we had a fair value gap here and then price continued lower and then started going up from here. Are you going to still enter from this fair value gap? Not really. Why? Because we already took the liquidity level. So it's not going to be worth it and it's going to be much lower probability. Now let's see what we have. So playing the price action here and of course with the help of hindsight let's see and there you go we got the change instead delivery simply and why because you see we're delivering by program and you see price is getting weaker and it gets the weakest here and then simply breaking below creating this order block. Now price could come here and this would be our order block. Now looking at this you could simply enter from here that's your changes to delivery entry stop loss I'd say above the point of interest I'll put it above and then targeting the low resistance liquidity that's your first entry now no market structure shift but then we have another thing here we have the third type of entry which is the creation of a fair value gap so we created a fair value gap here could be actually entering from the 50% of the fair value gap that's another type of entry stop loss above the point of interest and then targeting the same as you see this one gave us almost 5:1 this is a 3:1 so that's a a big difference and okay price actually go to the 50% of the fair value gap started coming lower and we are still inside of this fair value gap so this fair value gap when we actually break below you could be entering based on the inverse fair value gap You see how we having different types of entries here. You use the one that fits you. But mainly the framework that we need to follow is the same. It's the agent session point of interest low resisted liquidity midnight actually midnight open right here. You see how we are above the midnight. This is midnight right? We open here. This is our midnight open. This is the level. You know if we are above then we go short. And you see we are above the midnight we go short. We don't go long here above the midnight. It It's not going to make any sense to go long above the midnight. Now we're coming lower and we actually break below the fair valley gap here. So another type of entry is going below you know uh entering here and might we might have a limit order here also. Now we see playing the price action. We went again into the entry and then we're starting to come lower all the way and you know disrespecting the midnight open and then taking the liquidity level. You see we literally went here into the point of interest above the midnight open. We had this clear low resistance liquidity and we started coming lower from there. Simply we took the low resistance liquidity. Now looking at the price action after the end of the day, the day ends here. The daily candle closes here. What we can see is simply you actually caught the high of the day. This was the high of the day because the day started right here, right? And we started going up called the high of the day price started coming lower. You took some profit here, but you could have also targeted the previous day low. As I said on the framework, it's going to give you about 10 to one almost 10 to1 and that's going to be a huge trade but you always need to take some partials here. So when you take some partials it's going to go lower than 10 to1. That's the first example. It happened 2 days. That means this setup is happening a lot even recently like I said 2 days ago it's happening with no problem. Now another example that happened about a month ago, right? And it looked very nice. And why? Because simply what we had is, and you know, if we look on the uh big picture, we're actually going lower, lower, lower, lower. And now we're going up. We're coming into a point of interest. So we could basically either push up or come lower. And we might be only pushing up here to come lower, right? So, we're not really sure about what's going to happen here, but we're going to follow the plan. Now, on the 15 minutes, what do we have? Simply, we're having this low and we're having equal lows here. Actually, almost equal lows. And the upside, we're having high resistance liquidity run. So, that's another thing to keep an eye. We're having this big fair value gap that's partially filled and we could fill the other part of it on the upside. I mean there is nothing here unless we look at the left side. We can actually see that we having this fair value gap. So there is a fair value gap that is slightly above the Asian session high. Now we're going to be looking also a look at the 1 hour. This is our fair value gap on the 1 hour. And here on the 1 hour we can see that we're having actually a 1 hour fair value gap here too. So we could refine this. This is the 15-minute fair value gap. We can actually include the 1 hour fair for valley gap too. So we're having a 1 hour fair for valley gap here. 1 hour for valley gap and we're having this is Wednesday low. This is uh Wednesday and we're coming into Thursday now. Now coming back into the 15 minutes. What time do we look for the manipulation or you know simply first of all is the midnight. So midnight open is right here. This is our midnight open. This is the midnight candle and this is where the open price because it went lower. This is the midnight open here. Now playing the price action. Where do we expect the manipulation? Simply at 1:30 to 3:30. There you go. That's the time where we actually expect or anticipate the manipulation in the market to happen. If it happened before, then it's a lower probability one. We always look for the high probability one going up and oh my god price actually went up taking the Asian high but it's before our timing. So we come here at 130. This is the time where we look for the manipulation. So this liquidity sweep is not valid right. We're going to keep playing the price action. We can see that okay 130 is here. We had a reaction from the uh point of interest but the manipulation itself did not happen on the timing. So we had no manipulation here. That's why we look for the manipulation now. So now do we have a high or low into a point of interest? Yes, we have this high that is created before the manipulation and we're having this point of interest. So if we actually adjust the point of interest, it's going to be right here. Right now going back to the 1 minute in this case because uh we took an example on the 3 minutes. This time we're going to take it on the 1 minute and we can see that we're looking for this level to be taken this one into the per valley gap uh the hourly and the 15 minute. Now playing the price action you see this change in state delivery it's not valid. Why? Because it happened before the manipulation phase. You know there was a manipulation here but not in the second quarter. That's why this change in state say delivery is not valid. Now playing the price action. I'm going to be waiting for price to take this high and then giving us a change in state delivery or market shift. So you can see okay there you go. That's our manipulation. That's our liquidity sweep and it happened at what time? 154. And then there is no changes to delivery as of now. See, we did not close below. Nothing as of now. And I think Oh, it's actually this candle that closed below. So, you see this candle, this candle low was closed below with this candle. So, that's where we actually enter with the closure or this candle to close above the high. And actually, and this time, we're not going to be able to put it above the uh point of interest because it's too big. So, we're going to have just a room for price to breathe. And then what we're going to target is the Asian low in this case. And you see those equal lows. I mean, it was a a small sweep, but it doesn't take all of the uh I say all of the positions, all of the stop losses. So, that's the tab of the trade that we're having a 6 to1 a huge one. Now, if you're looking for the market session shift, it's going to be right here. This is too dangerous. Sometime price will go up, take you out and then come lower. So you could actually look for uh the uh I would say the market shift entry. So let's put this on the side and let's see if we having Okay, there you go. That's a market shift entry and we're going to play the price action. There you go. So we could be actually entering from this fair value gap. This fair value gap could actually enter from it. It aligns with the breakup block too. So just right here. to close above the high right and then target are getting the Asian low now okay price goes and even if you wanted to enter on the 50% of the fair value gap also it could also work and then price a little bit going up doesn't sweep the high again and then coming lower creating another fair value gap you could actually have an entry from there and it's also an inverse fair value gap and a breaker block too and then started coming lower, lower, lower lower all the way to where to the Asian low and sweeping that Asian low uh again and giving you the profit. Two types of entries both worked very fine and and I think this one was the high of the day I think. I think so. So 15 minutes let's see we actually took that high right this is where the day started right here. right here and we started going up. The same thing as what the last example it's always like this we open we had the manipulation now we're coming lower to have the uh you know manipulation distribution and a lot of time we have a continuation on the new kill zone. So if we have the manipulation here in the land kill zone start coming lower maybe create a fair value gap here on the land kill zone when the newer kill zone start it goes up comes again here with another manipulation mitigation of the uh fair valley gap of the land kill zone and started coming lower and that's how we create the high of the day. So let's see if this happened here. So we started coming lower uh 7 a.m. is right here. This is the start of the Linda kill zone. I mean um the new year kill zone actually. So we come lower and we create this fair value gap. Actually there was another entry here and then coming lower. So actually this was a continuation of the New York. You see the New York went up to uh Philair Valley gap on the Linda kill zone started coming lower and it did not take the previous day low. In this case, it did not, but uh maybe in the future. I mean, it doesn't really matter because you already took your partials here. This was a 6:1. The changes to delivery entry was 6:1. A huge one. And if we actually extend this, it actually made much more. You see, I mean, those are big numbers, but when you're experienced and when you can manage your risk, you'll be able to get something like this. Okay guys, into the last example. And I really hope that I'm doing a great job explaining this to you and I was actually able to deliver it in the easiest way. As I said, I've talked about this a lot of the times already, but this time a lot of details. This is actually Wednesday, Tuesday here. Now, we're coming into Wednesday. Midnight open is right here. This is where midnight open is. There you go. So, if we go below, then we're going to go long. If we go above, we're going to be going short. But we need to be either above or below the midnight on the 15 minutes or you know let's go to the 1 hour first. If we see anything here any point of interest actually there's nothing at this low this high. We are inside of a range. We might be actually breaking out above this point or breaking out below this point. We don't know as of now but we have this high this low those are liquidity levels we might be working above and it looks like there was some news here. Now on the 15 minutes it looks a little bit more clear. Why? Because we can see that we're having this fair value gap here that is partially filled as well as this order block. We might be having this point of interest and we adjust it here. We have this liquidity level also liquidity level that we might be looking for a sweep at the top. There is really nothing but we can see that we're having actually those low resistance liquidity levels. Do you see liquidity here? Much more liquidity, more liquidity, and more liquidity. Simply a trend line liquidity. So, you might be actually looking for those highs to be taken because it looks like we're having a lot of liquidity here. Also, here there is some liquidity here. It depends on where it's taken. You see, we have more liquidity here and we have point of interest here. So, I might be having something like this sweep here. But the problem is there's no point of interest all the way here. But we might have also taken those low resist liquidity into the point of interest and going up to taking uh all those levels. So we might see how it goes. What time do we look for the trade? 1:30 which is right here all the way to 3:30 which is right here. So this is the time period or time window that we look for the manipulation. Change the price action a little bit. We're going up, coming lower. Right there we go. Coming lower here, taking this liquidity level. So, it looks like we're actually, you know, you see we are below the minute open. We're coming lower. And let me put this on another color. We're below the minute open and we're coming into a point of interest. So, this looks like a very nice or perfect setup actually. So, going to the let's say this time we go to 3 minutes. Okay, we done one on the 1 minute. So now we're going to the 3 minutes. Now market action shift all the way here or all the way here. So you could be actually looking for those and we're going to be taking all type of entries here. The price action looks like we have the change in state delivery. So change state delivery entry would be here to close all the way below the low right and then targeting the agent session. Not the agent session in this case because it's too low but we have all of those failure swings, right? So we could be actually targeting this level of liquidity all the way there. Now that's the first type of entry. Second type of entry could be okay there we go the fair value gap. This fair value gap we might actually fill this fair value gap on the future. So that's another type of entry. We might look for this fair value gap to be filled right before taking the liquidity stop loss below the lower and the same target is going to be in this case 4 to1 almost double this one. And we can see that price is actually okay. It filled the fair value gap. Started going up. Is it going to take the you see no problem breaking above the uh midnight open and come and retest it here. So it might actually push up from now. And there you go. Taking the liquidity level. Now this is a perfect example. You see sniper take profit here. So it might be actually we might reverse. Not really not reversing from here and we're coming lower and then then there is the reverse here. Now just wondering what happened after go to the 15 minutes and see what happened after. It looks like price is uh is going to push. It looks like this uh point of interest is going to hold and taking in what all of those low resistance here. So we had a very big trend line here. We might actually go up and take all of those liquidity. Uh there we go. So, so we actually swip the stop loss there and then pushing up. Pushing up. Looks like Okay, we go down again and then as I said, taking all those low resist liquidity. So, two lines equal everything. What does that mean? First of all, we're going to be having the same two lines happening at the same time every day. And these are going to be used in order to find our setup. And we're going to focus on the same entry window every day also. So we're going to be focusing on a specific time of the day to draw the two lines and also a specific time of the day in order to find our entry. So we're going to be looking at specific hours only on the chart. And the main goal is to make it a repeatable and 100% mechanical that's going to kind of work on all the pairs. We're going to be focusing on this later. And it's going to consist of three simple steps. So for the pairs, it's going to be mostly working on all of the forex pairs, especially anything that is against the US dollar. So again, Euro dollar, pound dollar, Aussie dollar, and all of the other pairs. We're going to be only focusing on one time frame, that is going to be the 15-minut time frame. Now, let me know if on another video you want me to include the one minute time frame here in order to have even better entries and higher reward to risk, but that's going to be for another video. And by the way, I have a full book that has all the steps and all the checklist as well as more details. You can have free access to it. The link is in the description. Now, just a note before we continue is that I was able to spot this specific pattern after 7 years of trading and after a lot of back testing and I will teach it to you for free today. So, let's start with few concepts that we actually need to understand in order to apply the setup. The first one and the first concept is one that I've talked about a lot. It is the strength and weakness. It's actually something that we can find on the chart all the time. And the core idea is that strength is a sign of continuations or signs of continuation and it's telling me that price wants to move in the same direction. However, on the other hand, weakness is signs of reversals and it's telling me that price actually wants to change the direction. And for today's setup, we're going to be focusing on weakness. So we're looking for kind of when prices want to change the direction we want to trade the reversal but we're also going to be focusing on safe reversals other than risky ones. Now strength and weakness can be happening in different forms. So for example strength can be a candle closure can be an imbalance creation at a specific level an engulfing candle for example. So it could be happening in different forms also weakness. Weakness could be one candle closing and then reversing. It could be a wick and it could be candles not closing above each other. Our candles only a candle closing with a wick to the previous one. So it can be happening in a lot of forms. We're going to be focusing on one specific form of it. Now what we see here is that price was actually going lower, made a pullback and then continued going lower. However, on the continuation here we have this low. Now you could consider any key level but for now this is the low here and what happened is price closing aggressively below it and this is the form of the strength. On the other hand what we have here is the same price action sequence. So price going lower going higher but now as it's going lower it actually failed to close below the low and it only rejected with a wick. So there was a wick here and price closed like this. This could be any time frame. The strength and weakness concept can be applied to any time frame. What we have here is this rejection. This is actually the weakness and that's going to be our focus plus the two specific lines that we're going to be using. So in short, that means a body closure would be our strength and a weak rejection would be our weakness. We're going to be focusing on the weakness. Now we go into the second concept that we need to understand is the two lines. So two lines we're going to be focusing on and they're going to be time based lines. That mean we're going to draw them not based on price actually time and price at the same time. So the first one is the 17 and that is an open of a new candle. That's the time where a new candle actually opens on the ESD time. All the timings we're going to be using are EST, so New York time zone. And then the midnight timing. Now, there is a third one, an extra line that I'm going to be going [clears throat] over later. It's an optional one, but you know, it could help you a lot. So, feel free to apply that one, too. But for now, we're going to be focusing on these two, the 17 and the Midnight. Now, how to use them. A quick note before we continue. Everything I've learned over the last seven years, the framework, the system, and how to read the market is taught inside my community, Edge School. That includes the edge model, the same strategy I use to find those 5:1, 10:1, and even 20 to1 reward trades live with the community. If you want to learn my full system, the link is in the description. Let's keep going. So, let's understand the two lines. How do you actually draw them? Now, we have the 17 candle. So, this is the midnight candle for example. Now, when it is bearish, that means this is the time of the 17. We want to focus on two things at the same time. The time and the price. Whenever we have these two things, we're going to be drawing the line. So 17, that means this is the 17 candle. We're going to be looking at the opening price of this candle. Where does this candle open? Because it's a bearish one. That means it opened here and then start going lower and it closed here. It closed lower. That's why it's a bearish candle. So we're going to be drawing the line here. This our first line. The second line, and this is another example when it's bullish, for example, and this applies to both candles. Now when it is bullish here, this is the midnight. That means price opens here and then close here. So the opening price of the midnight is right here. We're going to be drawing these two lines until the next day. So we're going to be drawing these two until the 17. And if you understand this for now, and it's actually very simple. That's why I'm always trying to simplify these strategies for you. You already understand a big part of the strategy for today. Now, here's the fun part. just based on these two lines. We're going to be having the bias or the direction. So, you don't actually need to be, you know, to be subjective about the direction. It's actually very mechanical and we're going to be having specific rules for that. So, here we have the stable, that's the price placement relative to the 17 and the midnight open. So, these are the two levels that we draw and then the bias when price is above both levels. So price has been going up and here we have the first level and the second level exactly here price is above both lines and that means we can sell. So the bias is to sell. Now when price is below both so we have level one and level two and price went all the way down started to go higher. So when price is below both that means we're going to be buying but we're not going to be buying randomly and blindly. No, we have a specific framework to follow in order to catch that specific price. When price is overextended, when price about to reverse, we're going to be looking for that thing, a specific setup and pattern. Now, when price is in between the levels, that means we have level one and level two and price is just in between here doing nothing. We're not going to take any trade. So, based on the framework of today, we're not going to take any trade. However, you can actually take trades, but that's going to be for another video. For today's video, we're not going to take no trade. Now, we could have a lot of setups. You could have five setups, two setups, three setups, or just one setup or no trade for the day. However, there are two high probability potential trades that can happen at a specific time of the day. But before that, let's understand the sessions that we have. Now, the first session is the Asia. That's going to be from 20 to midnight. And then the Linda session is going to be from 2 to 5 and then the New York is going to be 7 to 10. Now what types of setups we have or my personal favorite of setups for the day trade one and it's going to be when London sweeps the Asia higher low that means Asia ranging first. So something like this then London goes above Asia and then we can sell here or below Asia and we can buy there. So this is trade one. Now trade two is when we have this happening. So London sweeping Asia higher low then we have a breakout structure on the other side and then we can have a new year continuation. So that means we already have the direction. Now we're going to blend these specific frameworks with our setup of the day and that's how we can actually have high probability trades and focusing on quality other than quantity. Now you could take trades even without this framework. But if you want to focus on higher probability trades then you would do this. Now the second setup here is going to be something like this. We have Asia ranging London taking the high breaking structure on the other side. New York comes here within the same diabetation here and we sell here. So that's how it should look. We have Asia here and we already talked about the timing. Trade one is when price goes above the Asia on London takes the London high. Now we can sell here immediately but knowing that the timing of this and the profile. So what could happen in relative to the previous session whenever we know this we can actually have even higher probability trades. So price on London goes above Asia started to go lower. We can actually already sell here. Okay. So we're going to be selling here. I'll show you how we go lower. Now whenever on New York we have a break of structure. Price goes lower. We're going to be continuing in the same direction. Now we're going to be spotting weakness here in order to sell more. So these are two high probability trades for the day in specific timings. However, you can actually apply the same framework any time of the day inside of these sessions here. But you could take more than two trades. So you could have three trades here or you know one trade here or no trade here and three trades here. So it depend on the market volatility. Now let's go over the steps. We have only three steps. Very simple. First of all, we mark the 17 and the midnight open prices. That's the first one. and we drag them to the right or something like this. Now, we wait for weakness above or below both levels. So, make sure to focus on both levels. So, when price is in between the levels, we're doing nothing. But when price is above both or below both, that means we have an overextension. We have an opportunity. Price is away from the mean price. That means we could buy or we could sell depending if it's above or below. And then we enter with confirmation. And we're going to be talking about confirmation. Okay. So for confirmation what we need is we're going to be using only one time frame which is the 15minut bullish weakness candle. That means price is going up and we're closing bullish. So this is a bullish candle but we close with weakness. Whenever we have this what we need for our confirmation is something very simple which is waiting for a bearish candle to close. So we have weakness and then this is a bullish candle. I just need another bearish candle here and that's going to be our confirmation. If it's a bearish weakness candle, that means price is going lower, but we close with a wick here. I just need another bullish candle to close. That is my confirmation. So bearish weakness candle, we want to see a bullish candle close. So that's how it looks. Price, we have a high here, which is a key level. This is candle one, which is the weakness candle. It closed bullish and we have weakness. Now because this is a bullish candle and with a weakness the confirmation would be a bearish candle or an opposite color candle. So in this case it's a bearish but if here it's bearish so price took a low and it closes bearish that means I want to see a bullish candle as my confirmation. So candle one is the weakness candle two is the confirmation. Now when another scenario what's going to happen is that we could have the confirmation just based on one candle. And when does this happen? When price shows weakness and then flips and closes on the opposite side in just one single candle. How does this look? Something like this. We have a high a weakness candle. A bullish one could be number one and the number two. I want a bearish candle. But this candle here did two things at the same time. So it actually take a high. There was a weakness here. But exactly at the same candle, it flipped bearish. So now we have weakness and opposite closure on the same candle. And this candle here can be also a confirmation by itself. So one candle can be a confirmation as well. Now let's go over some examples and I'll show you the full process and the full system. However, be sure to watch the video until the end because I'll give you three tips for even higher probability trades. How to even have higher run rate using the system. So let's go over the examples. All right. So this is the dollar here and we're going to be looking at a full week of price action. So this is the previous week and this is the current week here. So we're here now when it comes to the price action. So I wanted to do the previous week and we go over it together step by step looking at all the potential setups. Now stay tuned for the third level because this is something that I'll go over after the examples because it's an optional one but it's going to help you a lot especially if you focus on trading the New York. Now if you trade only London then you don't need it. Now, we're going to be going over this using the replay. First of all, I want to show you how to draw the lines. I'm going to go at 17. So, here this is 17. I'm going to draw a line just to separate the days. So, I know this is a new day here and this is 17. We always using the New York time zone. So, these are the daily separators and this is the end of the week. Now, I do have this indicator that shows me the sessions. So, this is Asia and this is London and this is New York. I already have a video explaining all my indicators. I'll have that on the description. Now, playing the price action. We want the Asia to finish. Now, sometime there is a problem with the indicator. This is Asia here and this is midnight. The first one is I'm going to go to the 17 candle. So, the 70 candle was a bearish candle. It opened here the next day. So, I'm going to take it all the way to here somewhere in here. Now, I'm going to go also to the midnight candle. So, this is the midnight candle. This is where it open. And I'm going to drag it to the right. I'll play the price action and I'll be looking for when price is below both taking a low. So, for example, this is a low, right? If it fails to displace below. Now, make sure to watch the video until the end because I'll go over the tips and I'll be using some of these. They come from experience when it comes to identifying which higher low is valid, which one is high probability. Now, we take this low with weakness and then with confirmation, I would be looking to buy for example. So, let's wait and always love to enter on London. So at 2:00 a.m. I'd be looking to enter for longs. So price does it take? Not really. And then let's wait. Now we go slightly above. We do nothing there. Okay. Um I would be looking for this high. Sometime Asia high is very important. So Asia high is from here to here. This is the highest one. Sometime there is a problem with the indicator as I say. So this is Asia high. If we go above it, we're going to be having the first high probability trade. So above Asia and then we have weakness. We can trade that one. If after that we break structure to the downside and then we can look for continuation also to the downside. So something like this playing the price action we can see that price went below both lines. Now I'm going to remove this to make the lines visible. So we have the midnight and the 17. Okay. So price goes above. Actually this could be a valid one. So you could have taken this one. Now one thing I did not talk about the confirmation. The confirmation is whenever we close bearish here. What I want to do is have a limit order at the 50% of the confirmation candle. So this is the confirmation candle here, right? I'm going to look at the 50% of it. So it's right here. I'm going to have a limit order because when the candle is very strong, it's going to take a lot of the reward. So the entry is going to be something like this. Stop loss above the high entry here at the 50%. And we need to see that retracement within two to three candles. So and we don't want to see weakness happening after. So whenever we have weakness here also below both lines that means this is not valid. So within two to three candles or one to three candles I want to see the retracement. In this case we have a valid high being taken with weakness closing lower but we did not get the retracement and then we had weakness on the other side. Now let's take a look at this one. We have what? Weakness. So, we took a low that is below both lines. That means we're bullish here and we're close bullish and that means the confirmation is already there. What I'm going to do is take a gam box or fib from the low to the high and we're going to be focusing on 50%. We're going to have a limit order at the 50%, and the stop loss goes below the low, the low of the weakness candle, not just the confirmation. And then what you can do is either target the next high or target a 3 to one fix 3 to one or the more you get experience you would know what levels or what highs and lows to focus on and to target. So this could be one target this could be another target. So we do 3:1 FX 3 to one for this video. Now playing the price action we notice that we get in there exactly. So sniper entry going higher and then a bit of a retracement and then we hit the target. So within I would say 1 hour you hit a target of 3 to1. Now sometime what I'll do is I'll always focus on these sessions. So London and New York but sometime when price is just about 15 minute or 30 minute before the session or if it's a very high probability high or low being taken I'll still take it slightly before or in between the sessions. Now price is above both lines. That means we could be selling here only when we take a high with a weakness. So for now there's nothing and we go lower and going still higher. Okay. So now what do we have? I'm going to actually go back here because what do we have is taking a high going lower and then this is a weakness and a confirmation candle at the same time. So I'm going to take a gam box here and then we'll look at an entry at the 50%. And I want the entry to be, you see this one? It happened with a one candle. And that's the best one. However, if it takes two candles, but we are still in here without having going below both lines, then it's still valid. So, let's see. Okay, go higher and then it gets me in here. I'll be targeting 3:1, which is around here. Playing the price action getting there also within 30 minute only 30 minute to hit that one. Now, what do we have here? We have price below both lines again below both taken a low and then closing higher. So we have what? So these are two trades for the day here that we've taken and it hits take profit here. Now we have a low being taken and this is the land and low. So now this becomes a bit high probability. So what we'll do after is taking a gam box here. Now sometime if I take two trades and they're you know winners I'll stop for the day. But this is also another high probability one. I'll be looking to enter here at the 50% of the confirmation candle and then targeting 3 to one. Let's see. Okay. So this was a loser. So for the day you've gotten 3:1 and 3:1 that is 6 R minus one that is 5 R for the day. Now price goes lower and yeah we have weakness here but we did not close with a confirmation and then continued lower. So after that we're done for the day. After New York I would not trade. Now go into the next day and I'll go faster now. This is going to take a lot of time. All right. So for this day here, so what do we have is midnight open here. This is the opening candle and then the 17 which is around here. So now price is above both lines already. So I'll be only looking for sells here and I'll be looking for buys here if it's valid. And whenever price is in between, I'll do nothing. So then the session starts, we going higher and we have nothing here. So, we did not take a high with weakness. Okay. And then we're in between here. So, we're doing nothing. Price goes lower. Now, we're getting below both levels. It's not going to be this is not going to be the highest probability one because we've already taken a high. And the best scenario is to have a continuation to the downside from here based on the profiles that I taught you. But let's see what we have. So, zooming in, let's see is going lower. Still the New York session did not start. So, okay, we go below a low. We did actually take this low, but we're still not inside of um New York session. So, New York session starts here and we're below both. So, we're still in between now. All right. So, for now, what we have is something a bit interesting. So, we have price taking a low, weakness, and then strength. So, this is the confirmation candle. I'm going to take my gam box from the low to the high. That is my confirmation candle. and I'll have a limit order at the 50%. All right, so 50% is here and the stop loss below the weakness candle. So in this case, I think price could actually go above this. It's going to take this and maybe reverse. So 3 to one is around here playing the price action. I want to see price coming back. So okay, it did not go above both lines. I think this is still valid here. Let's see. So it goes immediately there exactly at the 50% sniper entry in say one and then getting to the target. So how long does this one take about only 30 minute and then it reacts from the midnight open. So okay so now we're above both lines. Let's see if we have any weakness. Okay we have also this high but we're already outside the session. So we're not trading anymore. Now I'm going to skip to the next day. So for this day we have one trade that is valid. Now let's mark our levels very quickly. We have opening price actually 17 is here. That's where it open and then open is around here. Okay. London session starting. We're in between that means we don't trade. Now the best scenario is to sell above the Asia high. Okay. So we did actually have weakness around Asia high. And now we wait for the confirmation. confirmation is closing lower. But notice the difference here. If we have an entry here without following my suggestion about having a retracement to the 50% 3 to1 is going to be around here. But let's see the difference. I'm going to take my gamot from here to 50% of the confirmation candle and the entry is going to be here. Stop loss is the same. And notice where 3 to one is. So this is a big difference here. Now let's see. I'm going to remove this and we'll have this one. This is the correct position. Price gets in there within about one, two, three candles. So, three candles, snapper entry. Let's see what happened after. And then go into the takerit. I would say it took about 1 hour. Now, we're below both lines. But whenever we have this the reversal again, this time it happened because we're a bit far away from the levels. In this case, yes, if we have a valid one here, I might take it, but only to look for continuation here to the downside. So this is going to be trade one. Trade two possibly could happen around here. So New York starts going higher. Okay, we did not have weakness, but here we actually have weakness and a strong one. So this is a weakness candle as well as a confirmation at the same time. So two things happening at the same time. We're going to take a fib from here to here selling at the 50% stop loss above and then targeting 3:1. 3:1 is around here. Now we're doing fixed rewards here just to eliminate the emotions and having a mechanical setup. So I want the entry to happen within one to three candles. So one candle. Okay, we get there. Exactly. And this is another sniper. So let's see. Okay, a bit of a draw down going lower. Almost hitting this the takerit. Another retracement and then take profit here. Another huge trade. Now we're done for this day. How many days we have? We have two more days. We're going to go over them quickly just to show you all the possible setups that we have. Okay, so we have Asia here and let's see until midnight. So midnight is here. I'm going to mark in the open. So remember bearish candle at the opening price here. It's going to be higher and here we have the 17 opening price is going to be around here. So we have two lines now. Now, most likely we're going to be having a bullish scenario because we're overextended from the 17 and midnight here. So, when we're below both, we're going to be buying. And if we started to go higher, we're going to be selling here. London session starting here going higher. We're in between. All right. So, now actually, I'm going to go back here. What do we have is something interesting. So, we have Asia high, which is the highest probability one. London closes below confirmation candle. So weakness candle and confirmation candle. Actually the weakness candle did not take the edge of high. So I would consider this one as the one candle confirmation. It did the weakness as well as the confirmation selling at the 50%. This is a concept that you probably did not know about and did not hear about because again this is something I came up with. I've been trading this Asia high fake out for years now and I was able to spot this specific pattern. So 50% and then 3:1 is around here. Now notice how every time we get actually more than 3:1. So this one gave 6 to1 actually 7:1. This one gave a maximum of 8 to one. Now this one give okay about so this one was a loser. Okay. So going back to this one let's see if we get the entry within one to three candles. So within one candle is the best one and we get there. Snip your entry. Let's see. And then immediately going lower. So huge trades. And this one took about 45 minute. So this is another one. Now we could sell here. But again the best one would be selling here to look for the continuation because we do have the sweep and the breakup structure. So let's see what happened. We have no weakness. We're in between now and there is nothing yet. And then price reverses. Okay. So we're above both. If we have a valid setup here, we could take it. But if okay so mostly New York is ending and there is nothing there. So for the rest of the day we're doing nothing and there was a potential one but it's out out of these sessions that we trade. Now going into the last day the 17 open is here and the midnight open is here. So there was a weakness and confirmation just before land. So about 15 minute before this could be actually I've added one. I'll take it. I could still take it. Now you don't need to take it. Okay, 50% because I think this is still a high probability one just happening 50 minute before. Now I'm going to be selling at the 50% of this and then around 3 to1. Let's see what happened. So we don't get the retracement to the 50%. So this was a mist trade and add here we just cancel the limit order. So this was a missed trade. We did not take it. Now we're in between. We're doing nothing until we're above or below both. We still see nothing here. So, this could be a potential loser trade. This could be a loser one because what do we have? We have weakness and we have a closure below. Now, maybe I'm not going to take this one and I'll show you why at the end of the video on the tips, but you could have sold this one and it's going to be a loser. Okay, so this is a loser. Now, playing the price action. Let's see. We're in between and then we start going higher. We're above and then Linda Hashem ends. So this is a full week of examples. So simply having two lines and having specific windows to trade and looking for weakness followed by confirmation. We enter from the 50% and we go from there. So let's talk about the extra line which is the one that's going to be on New York. Now we have the two lines. These are the major ones. However, if you want to have more opportunities or I'll say more refinement when it comes to the New York session, you can use this. Now these are the examples here. The timing is going to be for New York. Now for example here we have minute open. Okay this is one that we did not go over and then we have the 17. So 17 is around here. That's the daily candle open. Now when new year starts and specifically at 7:30 we have a new line. The 730 is here. That's the open. So the new line is a 730. Now we have three lines. I would say if price is above all or below all that means we have potential setup but if price is below both we could also have another setup but it's less probability you know it could give you more opportunities. So 7:30 here and then midnight here below both we could have opportunities to buy and above we could have opportunities to sell. So if we add that one for example here 730 is around here the 730 this is the open now notice how price was below both here so this becomes higher probability on New York so you'll be taking longs here 7:30 is also here and now price on New York is above the 730 and we sell here so it actually gives you more refinement when it comes to New York session and also here 730 is here. So when price is above, we're going to be selling on New York. Now, not every time we're going to have opportunities. Yes, for this day, for example, we're 7:30. 7:30 is here. If we go below and have an opportunity, I'd be selling. Now, even if the 17 is far away, and we have 7:30 is here, for example, actually here. And we have midnight, it is here. If price started to go lower below both lines and the 17 is far away, I would still buy from here going higher. So it is just an extra line, but you could stick to these two. The third one is just another refinement. So let's now go over the three tips for even higher probability trades. Now the first one is trade in the direction of the daily candle. Now what that means is that looking at the higher time frame candle because this is a bearish one. Now, when it comes to, for example, this day here, if this is a bearish candle, I would really prefer to look for a retracement above the opening price, which is here, the 17, and I'd be selling here in order to have another expansion on this daily candle here. So, I'd be trying to sell now. Yes, there are some opportunities when we have a reversal, okay? But I would really and that's you know that's what I'm talking about is having an entry here which actually one that we've caught in the direction of the previous daily candle above the opening price catching the expansion now sometime based on CCT or the candle continuity theory which I've actually have a full course on it school we're going to be so for example also here if you look at this one here notice how this candle was bearish then we have another bullish candle now if we take the previous candle high or previous candle low, we could actually look for now because this is a bullish candle, I'd be more preferred to look for longs. But if we take the high and fail to display above, I'd be then looking for sells. So playing the price action, notice what happened. Okay, we're going lower. So for now, I'd prefer to look for longs here because we're having a retracement to the downside and then looking for price to go higher. Okay, but if that fails, it's all good. Now, we go higher, okay? And we're failing to continue higher. So, it's it's all good. But in perfect scenario, because this is a bullish candle, we're going to be opening here, going lower as a retracement, and then trading the expansion. That's what's going to happen a lot of times. But this is a confluence. If it aligns with what what you're seeing when it comes to the weakness and the confirmation, then that's even higher probability. Now, number two is focus on weakness into a key level. Now what that means is that if I want to spot a weakness so for example this weakness here it's a valid one it's weakness and then confirmation and we give that retracement is this happening inside of a key level I would really love to see the weakness inside this imbalance as well I would like to see this weakness for example here inside an imbalance or inside a key level for example this key level a valid one okay and I want to spot the weakness there if you're using supply and demand You mark your supply and demand and you want to spot the weakness into that supply and demand. Now one of the easiest way is simply to use an imbalance as an example here. This is a high. This is an imbalance and then we have what? Weakness inside imbalance. That's a valid one. What is another one? We have for example see we have this one here and then imbalance below. So what happened here is the weakness. Now in this case we don't have a weakness but let's consider it's a weakness. I want to see the weakness happening inside an imbalance and then reversing because at this point we're going to have two things. Price having the weakness from the level and then having the strength from the key level, the other key level. So weakness at a higher low and then strength of the key level. Tip three is focus on weakness with this structure. Now what that means is that if I have price going higher something like this where do I want to spot this the weakness I want to spot the weakness within the structure that means because we are bullish here I'll be focusing on lows to find the weakness something like this and then I would be buying here but if I'm having a better structure for example so we have now something like this where I want to find the weakness I want to find it within the structure. So now I'll be looking for this weakness in order to continue lower because now I'm bearish here within this structure from here to here and I'm looking for because now we have high and a low. I'm looking for a lower high and then going lower. So for example, if I have a structure that is bearish, for example, I'll be looking to sell the high and if in this structure I'm bullish, I'll be looking to sell I mean buy the lows here and then having also weakness within the structure. So here now this is not a weakness. This is just a key level. But I want to see both at the same time. Now for example let's see what I have is I have weakness and a breaker structure that means this is a high probability range where can we sell I would be sitting at this high because this high being taken with the structure the structure is bearish and I'm taking highs highs where the continuation will be to the downside. So here you can sell going lower and that's the best way to trade.