Transcription
Yes, my people. Hope you are all doing well.
So, we're going to break down a trade breakdown. We break down a trade from the higher time frame to the lower time frame. Basically, a full trading setup and how we use context to enter trade sometimes, cuz people get confused. What do I do in different situations? And you have to see trading isn't fully mechanical, right? It's as mechanical as you can make it, but you have to apply situations to the context or context of the situation because no two situations are really the same, right? The market gives you different sort of opportunities every day. But if you understand the concepts and you can apply that to different situations.
So let's just get straight into it. So on this higher time frame, for example, this is the hourly, but it can be the 5 minute, it can be the 1 minute, it can be the daily. Just pick a higher time frame. On this higher time frame, I can clearly see price is pushing higher. So if you're looking for a sells, you're just a straight donut and you got a lot to learn. But I'm looking for buys. So we break structure here and we have a protected low here. So this becomes my overall zone. This becomes my area in which I want to look for a buy. Now we can refine areas within here to get more accurate trades.
Now what area of demand do I have within here? Well, I have this origin here and I have this SNDR here. Now what do I notice? This origin is mitigated. So if price comes and breaks this and comes back into the origin, we're not going to respect it. We're more likely going to break it. So that makes me remove this origin. These orders have been filled and I'm left with this SNDR. So according to price, we should come bounce into here. So it caused a break structure. We're in an uptrend. We're getting somewhere. We're framing something now. I need liquidity within here where I can see we left the zone. We came back. We pushed higher. So this here becomes my liquidity. I have a higher time frame uptrend bias. I have a higher time frame liquidity. I have a higher time frame demand zone. It's clicking now.
Before I do anything, I need this liquidity to be swept. If price goes without me, I don't cry about it. It is what it is. So let's see if we're going to sweep this. Look, I'm dying. There we are. We have swept this liquidity. So now we have swept this liquidity and we've come into mitigate this area of demand, especially 50%. If you know, you know. We know that this is a great area to now start looking for buys. Doesn't mean I'm going to randomly enter a buy. I'm going to go down to my lower time frame. I'm going to I'm going to see what we're working with.
So let's go for the five minute time frame. Now right now structurally we don't really have any pullbacks to look for a shift structure. So we have to work with what we have. What do we have? We have multiple fair value gaps. So right now these are being respected. I don't want to touch a bot yet. I want to play brass out a bit more. Okay, let's see. Now if this is accelerated and went out throughout me, I'd missed the trade. But I'd rather take less trades and get a higher win rate than more trades and a slightly less win rate. So why force it? Why not just wait for the A+?
I can see now price is talking to me a bit more. I can see we are respecting this area of supply and we are looking to do what? We are looking to put in a new low. So let's see what price now does. Okay, the first thing I'm seeing is price is failing to put in a new low. Every high so far has put in a new low. This high put in a new low. This high put in a new low. This high put in a new low. This high is struggling to put in a new low. Doesn't mean I'm getting bye-bye bye bye. It means I'm getting a sign. Demand is potentially stepping in here. Buyers are potentially, you know, getting excited. This high. So, it's struggling to make a new low. What about this high? Well, this high now is also struggling to make a new low. So, we're starting to form higher highs. Ideally, now I want to also see. Sorry, we're starting to form higher lows, right? Higher low, higher low, higher low. Where else have we done that? We haven't. So, do you know what I mean? Especially after sweeping liquidity and 50% of our entry. It has to happen where we're expecting it to happen now.
Okay, we're getting higher lows. I want to see a higher high be put in. Let's see if we can get that. I want a candle close. Okay, candle close. Now, let's look about what we done. So, we tapped in. A higher time frame, we're in an uptrend as we established this 1 hour zone. We've swept liquidity. We've come to 50% of this demand zone, right? We had a high that failed to put in a new low. We had another high that failed to put in a new low. Then we made a higher high. Okay? As you can see, we had this area of supply here. You see, it was holding down price. Keep it simple. You can see it was acting as resistance. Acting as resistance. This area of supply was holding that price. Boom. We broke this area of supply and we broke this high. Now I'm convinced buyers are back in control. I can start looking for a long. So all I can do is enter my longs, right? Stop loss below this low and I can target that new hourly high, that new higher time frame high. This is where I'm expecting price to go now. And as you can see, it smashes TP.
If we go back to the hourly, that is how you catch the higher low. It gives a higher high. You draw the trend, you draw a point of interest, you wait for liquidity sweep, and then you drop down to the lower time frame and you look for some sort of confirmation.
So, I hope this helped. Right? Simple, to the point. Don't waste your time with straight value is what I aim to provide. So, if you did like this video, please subscribe, please leave a like, please drop a comment on how you found it. Anything else you want me to do in a quick shout out to myself. So, I do have a premium Discord where I live stream my trading every day and basically drop market breakdowns like this every single day. So, you can really learn the strategy and learn as to why we take trades. So, if you do want access to that, comes with a 7-day free trial. Link is in my description. Apart from that, thank you for your time. Appreciate as always. Catch you on the next.