Transcription
If you want to become a profitable trader, yet you are tired of how everyone overcomplicates any sort of strategy on YouTube, this video is for you. This strategy requires no indicators and only one time frame in order for you to become profitable. This has been the strategy that has made me tens of thousands of dollars from the market. And just last week, it made me $16,000. So, let's go on to the charts and let me show you how simple trading NQ can be.
So, this strategy is so simple that it only requires a few things from you. And that is that you mark out key levels, wait for the market open, wait on the five-minute time frame for the key levels to get hit. See how we react and trade accordingly. Now, all of the key levels that you are going to mark out will also be done on the five-minute because the five-minute can tell you everything you might need. And that's why this strategy is so simple yet so effective at the same time.
Because the reality is, when we are trading NQ, the only thing that we are going to be trading is the market open, which is at 9:30 a.m. Eastern Standard Time. And within one hour, you should be able to get a trade or else you just move on with your day. That is the beauty of trading NASDAQ. So, all you have to do is to mark out the key levels. And stick around because I will tell you exactly all of the key levels that you want to mark out on your chart.
So, you mark out a key high and a key low. And then what you want to do is you want to wait for the market to open, go towards a key level, and then you want to see if the market continues moving to the downside. This is one of the options, or it reverses and moves to the upside by giving us the one single candle reaction, which you will see that will be the perfect sign for us to enter in the long with the stop loss below the low, and we target the next area of liquidity. Everything has been levels that we've marked out before. Then we enter, and then the market goes towards our target, right?
But this is the truth. Everyone can draw on the charts. Let's see some real-life examples. So, we are still on the five-minute chart. And as you can see from the get-go, there are very clear levels that you can see, and that is the high and the swing low. Those are two very key levels that you can see from this move to the upside.
Now, what you also want to ask yourself is, where is Asia high and where is Asia low? And Asia high is from 6:00 p.m. until midnight Eastern Standard Time. So, this is Asia, right? You can mark it out with a box to make it easier. So, you can mark out Asia low and you can mark out Asia high. Here's a quick hint that is going to help you tremendously, which is if a previous high or low from a specific session has been targeted, then don't bother with it anymore and you can delete it off of the charts.
Next, let's look at London session. And London session goes from 3:00 a.m. Eastern Standard Time. So, we have 3:00 a.m. right here until 7:00 a.m. Eastern Standard Time. So, this is our London session. So, we mark out the low and we mark out the high. So, as said, we have Asia low, London low, London high, and previous day high.
And this is one of the concepts that a lot of people don't understand, and that is one of the key levels is a V-shaped reversal low. This was one of the most powerful findings that I had in my trading. Session highs and session lows, just like we have London and we have Asia, are extremely important because they mark out, as it says, the high and the low of a specific session. So, most of the time, a lot of the traders that traded on this session will have their stops resting below or above these highs, and those are very strong areas of liquidity. Also, previous day highs and previous day lows are very important because anyone that traded the day before will have their stop losses above or below these levels.
Now, V-shape reversal highs and lows are incredibly important for one single reason. And that is the only person that can cause such a big swing. It's not retail traders like us. It's institutional traders that have a lot of money behind them. And so, these levels will always give us strong reactions and they will be great catalysts for liquidity after the market develops.
And so, let's see how we react out of this. So, the only thing you have to do is you have to wait for 9:00 a.m. Eastern Standard Time, which is 30 minutes before the market open. And then make your analysis again. Okay, London high. We don't need it again because we have already swept it, right? And what you can see right here is that our direction is bullish. So, what is important for us to see is how we are going to react from the previous day high. Are we going to impulse up, or are we going to sweep the previous day high? And why would that be an idea that you would have? Because look at all of these juicy lows that the market might want to target.
And so, what you would do is you wait for the previous day high or previous day low to get swept. So, we go for the previous day high in this case. And now, this is why this is extremely important. So, this is the market open. You want to wait for the market open and afterwards, you want to see a nice solid area of liquidity being targeted, and afterwards, you want to see either a reversal or you want to see a continuation. What that means is, after this high swept, we either move lower and then reverse, and this would be your entry catalyst, right? You would enter on the long. But in this case, what you can see is that the market struggles at the high. And so, as you can see on the next candle, we have a very strong reversal. And that is exactly where you execute on a short right here because the high has failed. The high has failed to displace above. The longs are not strong enough after this previous day high. And so, you execute once the candle closes.
And this is why I say that this strategy is so simple. Notice how no daily bias is required. It's only understanding the key levels and where the market is going to go from one level to the other. And now you are going to target the London lows, the Asia lows, and eventually the V-shaped reversal low. What I would say is, always when you have two levels close to each other, always target the level above.
Now, notice how we don't have a 1 to 2 towards that low. I would reduce the stop loss to the body of the candle, and that would give me a 1 to 2.4R. So, I would enter in a sell. Stop loss would go above the high, and then the take profit would go to Asia low. And as we can see, the market quickly reacts from the London low. So, you can see how these stop losses are being targeted. We come back to the fair value gap into the inverted fair value gap right there, and then eventually, we go towards the Asia low and also the V-shaped reversal low. So, can you see how these levels gave us beautiful reactions?
So, let's recap quickly the levels that we are looking at: previous day high and low, session high and low, V-shaped reversals, highs and lows, and also swing highs and swing lows. And I will explain to you how we can use swing highs and swing lows to our advantage because there are times where the market is going to move a lot, and you want to know how to execute with that in mind.
But before we move on, I want to give you one last final tip that you would have missed if you were skipping this video. And that is that when the market is moving very, very aggressively, one of the best things you can do is, instead of having your take profit, you manage your stop loss by putting it behind the high or the low of the candle that has just closed. So, for example, once this candle closed, you put your stop loss above this high. Then, as this candle closes, you put your stop loss below this high. So, instead of just having a 1 to 2.4, before you would now be locking in 2.9, which allows you to take advantage of those very impulsive moves where the market never reverses.
So, now let's go onto the next day and I will show you this all again. Okay, so right now we are back at 9:00 a.m. Eastern Standard Time, which is the time in which it's giving you enough room for you to prepare for the market. So, you would mark out the previous day high, but as you can see, that high has already been swept. So, this is actually, if you check, this is Asia high. We can also mark out Asia low, but Asia low has already been swept, so no need. Now, we have previous day low right here.
Now, let's look for London levels. So, from 3:00 a.m. Eastern Standard Time all the way to 7:00 a.m. Eastern Standard Time, you mark out these levels. So, we have London session low that has just been swept at 9:00 a.m., so no need. And we have London high. Can you already start to understand what our bias for this specific day is going to be? We have very, very clear liquidity bullish. But one of the important things is, we also have the previous day low just waiting and lurking. And one last thing that is important is, notice how there's this very clear swing low that has not been targeted yet. And we can all see this on the five-minute chart. So, we would expect this swing low also to matter.
So, let's see what we have. So, now what I would like to see is either the market moving up to the Asia high and London high and then moving lower, and then I would target previous day low and the swing low, or the market moving lower to the previous day low and the swing low and then moving higher, and then we target the Asia high and the London highs. So, let's see what happens.
So, we have market open and notice how we had the breakout and we sustained the breakout, right? So, at this point, you're thinking, okay, that is me for the day. There's no need to enter in any single trades. There are going to be days where this happens. But I want to show you a couple of days in a row so you see how I apply this in the live market.
So, here we are once again, 9:00 a.m. Eastern Standard Time. Now, what are we going to mark out? We still have now this previous low is what we call a swing low. This has also not been targeted yet. We have swing low. Now, let's mark out London and Asia session highs and lows. So, from 6:00 p.m. to midnight, the high has been targeted and the low has been targeted, right? So, let's go into London session. 3:00 a.m. Eastern Standard Time into 7:00 a.m. Eastern Standard Time. We mark out the high. We mark out the low. The low has been targeted. So, we don't mark out the low. So, the only thing that we have missing is previous day high, which is this high. So, we have previous day high.
Now, what we want is pretty clear. Now that we are so close to the swing low, the swing lows, we want the market to move lower and then give us the reversal that we wanted. And so, let's see what we have. The market goes for the swing low. Let's see how it reacts from here. Still moving lower. Now, we have the engulfing of this move to the downside. You would execute on this long and you would target the London high. So, that is a 1 to 3.48R. So, you enter with a buy, stop loss is below the low, take profit is at the London high, and the market a little bit after goes towards the London high. It goes to the previous day high.
So, once again, you could have trailed your stop, but overall, I don't want to overcomplicate the take profit. Just put the stop loss at a session high or session low where you have a good enough risk-to-reward. This will allow you to have a mechanical way of entering. So, as you can see, we had one day where it was pretty clear. We went to previous day high. So, we went to a key level and we fully reversed after hitting that key level. That is our short. And then all of this was on the five-minute time frame. Understand the simplicity. We don't have to overcomplicate ICT concepts. We don't have to overcomplicate trading.
Now, on the next day, we didn't have any sweeps that would allow us to take the trade. And then on the next day, these were all three days in a row. We have the swing lows that were hit, and then the market fully reverses. We enter, and we have a beautiful 1 to 3.48R and a 2.91R.
If you have any questions about the strategy, don't hesitate to leave it in the comments. But I believe that it's pretty clear that we mark out the key levels that we want to see the market reacting from, and then we stay on the five-minute to simplify our trading. So, this is how simple we can keep trading.
If you want daily guidance in the markets, guidance that has allowed traders to get funded on a daily basis, basically on command, then join Funded Trading Blueprint. It's going to be the second link in the description. This is the edge that you've been looking for if you want to get funded this year or if you want to get funded and actually finally take payouts. So, I hope you enjoyed. Share with me all of your results with this strategy on Instagram and keep your trading simple. If you want to check out Trade Blocker, the link is going to be right here. And if you want to see my full strategy on getting funded this year, then check this video right here.