88

Hello everyone. I hope that you guys had a wonderful weekend and I hope that you have been enjoying everything that you have been learning thus far.

So today we will be doing a review of the market of course, right? Which begins with what you already know, right? Us looking at for its factory. Also, I have been seeing, you know, some of you guys tagging me under some stuff on Twitter and, you know, as you guys know, right? I, you know, don't care for drama or clout or anything like that. If you guys even realize, I really even post on Twitter. Like, I believe that they haven't seen charge from me in quite some time, which is, you know, something that I promised that I would do, you know, going into this year, which I did promise from last year, right?

Anyways, with that being said, looking here, you can see that we had no news today and tomorrow we have no news as well, right? So, this is CPI's CPI week. We do have CPI or, you know, high impact news event on Wednesday, Thursday the same. So, you know, you know, with that being said and since there is no news on Friday, right? I am expecting to see higher to low the high of the week around Wednesday or Thursday of this week, right? What does that mean when I, you know, whenever I see things like that? Means that there is a high probability, right? My opinion, you know, that, you know, it might happen. It's not that it will happen. It's not that, you know, it's sure to happen. Of course, it's more than likely going to happen, but, right? There's nothing that is sure, you know, in the realm of trading, right? There's nothing that's 100%. Right? There could be something that's 90. There could be something that's 80%. But there's nothing that is 100%. Right? So yes, we're expecting movement on Wednesday and Thursday during the New York session will be the times that will have the setups if you're looking for one.

Here on the screen, you guys can see that we have the index futures triad right here as usual. The S&P 500 here, the NASDAQ, right? In Okay, this I was using that for something else. And here the Dow, right? So you guys can see that, you know, as we draw closer and this is something that usually happens, right? As we draw closer to the end of this contract, what happens? We see a lot of, you know, back and forth, a lot of range price action, right? And this is, you know, completely normal, right? This is what usually happens, you know, in the, you know, the month prior to or the two months that are, you know, prior to the expiry of the contract, right? So, you know, here looking at these three assets, these highs are something that, you know, are of importance to me, right? I'd like to see price, you know, rally above these highs.

Looking at the Dow now, which is something that I don't do a lot, right? So now we will look into, you know, more details. So here you can see that we traded above this inverse revel, right? And all of this happened when? Monday, right? Monday's price action. We traded above this gap, end of the day here. We traded above this gap, end of the day here. We traded above this gap, right? Way above this gap, ended the day here. In my opinion, the next draw on liquidity would be, you know, where I have labeled here. It's buy side liquidity, buy side liquidity, buy side liquidity, right? And, you know, if you see, you know, these highs right here, you guys already know that, you know, who I am when it comes to, you know, equal highs, right? I can't stand seeing them, right? So we'd like to see, you know, some form of cracking correlation occur here, right? And then, you know, have price being drawn, you know, to these highs. But first, you know, to this high into this F value gap. Looking at the NASDAQ futures from the Dow, you know, this high and this high right here, which means what? That, you know, you might see stocks going higher, right? If this is in fact correct, right? Due to the fact that, you know, stocks will follow, you know, whatever the futures contracts or the index futures contracts do, right? Whenever you see, right, price expand on Monday like this, right? It's, it's usually a precursor to, you know, the direction in which the most or most of the weekly range will be formed. Right? So, for example, here you see price expand on Monday and it, it the same thing for, you know, if this occurs during the Asian session, if it occurs during the first week of the month, right? So here we have price expand here. Now we're just focused on this, you know, cycle, right? We're just focused on the weekly cycle. We don't care about the monthly, the circle right now. Eventually, you know, we will, you know, mesh the two together, but now we're just talking about Monday, right? This is what happened today. Due to the fact that, you know, this happened, what could you look for, right? Since most of the range here was formed here, right? We could expect price to, you know, fall below the true weak open and just continue high here, right? Whenever you see moves like, you know, university, for example, I'll just talk about it, right? Whenever you see the week, the weekly range, you know, the previous weekly range do something like this, then you have Monday do something like this, which is, you know, go higher while the previous weekly range was just, you know, going lower. What does that mean? It's showing you a Right. Okay. What does that mean? We're going higher to go lower, right? That's the sequence. Higher sequence is saying lower, but here we're saying higher. So that just means what? Pullback. It's a pullback, right?

Here, right, we have, you know, more details. So here this red shaded area right here on for the S&P 500 is a daily fair value gap, right? So we had price fall within the daily fair value gap, right? Below this low, trade higher and stop within this gap right here. This fair value gap right here. This is, do I think this is bearish? No. I do not think that this is bearish. I remember as I said, I believe that this is the John liquidity and this is there's another reason why I believe that it's John liquidity, right? Why? Because we have this high and this high forming within a new week opening gap, right? So, you know, as it's something that many of you may know, right? Price moves from new new week opening gap to new opening gap, right? And that is the case, you know, even when you're comparing assets. So, for example, here you have price reacting to a new week opening gap here for the for the NASDAQ, right? What else do you see here? There we do we do not have any opening gap here that price is reacting to, but here we do have one. But yeah, here we don't have a higher time frame gap, but we do have a new week opening gap. Do you understand? So here we have a, you know, correlation between gaps, but the gaps are not the same, right? So this is actually, you know, high probability that, you know, this gap will hold and this new week opening gap will hold, right? It's, you know, as if you were, you know, combining them and just, for example, when you're looking at the NASDAQ, you know, picture that this exact fair value gap is here. And when you're looking at the S&P 500, just picture that this exact fair value gap is right here. So, we have them overlapping, you know, through, you know, correlation. So we had price move higher whenever they overlapped with each other. Price move aggressively away from, you know, this week's, you know, new week opening gap, which is shaded in orange. And usually whenever you have price expand from the new week opening gap like this, then, you know, you can expect a, you know, big week, a large range week. Whenever price, you know, gravitates around a new opening gap, you know, just consolidates, then that's the time when you expect price to, you know, remain in a rangebound condition, right? And someone said, didn't you just say you expect equal highs to get taken? Yes, I did. I don't know what you heard. I did not say anything about not expecting that to happen. So yes, here we have this new week opening gap. We have these equal highs, right? You know, forming within the new opening gap, which makes it, you know, a probable highly probable draw on liquidity, right? And then here we have this high here and this high right here, which I would consider to be a draw on liquidity, you know, after we see a crack in correlation.

So what will usually happen as we get closer to, you know, times whereas, you know, we should be expecting, you know, the contracts to expire for, you know, a particular asset class or, you know, whatever you're looking at, you know, we're going to see price action that is, you know, pretty choppy. That usually happens. But, you know, usually the first two weeks or so after, you know, the contract, the new contract begins, then we will begin begin to see, you know, clearer price action again. Like right here, you see this type of price action. We have this small candle just open like this. There's no retracements within the gap. It's just right, just going higher and higher and higher, right? Here we have these, you know, whip saw kind of price action right here. There was no sequence empty which would, you know, allow us to, you know, expect higher prices, right? But there will be times of course, right, when sequential SMT price will, you know, rally, but it will not be something that's, you know, quote unquote permanent, right? Well, no rally is permanent, but it will be short-lived. That's what I'm trying to say, right? And this is usually, you know, what I'm talking about as whenever you have a low form within a gap and, you know, meshed in with a new opening gap, right? Or you have a high formed within a new week opening gap like here, here, here. Price usually gravitates to those. And then here you see we have this very thin new opening gap right here, right? Which this with this dull gray color that's a new week opening gap. It's very thin, but is a new opening gap, right? Usually price will gravitate to these levels, right? So there's a lot of liquid liquidity in between this high and this new opening gap right here.

Here you can see that Here we have a old monthly low that I've marked out, which is at 99.099099 right here for the US dollar index, right? You can look at your chart, look at the monthly time frame, right? To see which low this is. Here we have this old monthly high here for the Euro USD, right? And here we have price trading above this old monthly high for the Great British Pound, right? So here, yes, we have a cracking correlation here, higher time frame cracking correlation, which is indicating what? That we should see a stoppage of price from, you know, going, you know, higher or just a pause, right? So it doesn't matter, right? Here sells will be found easier due to the fact that the higher time frame is suggesting that, right? However, here you can see that this is symmetrical. So this is not a cracking correlation, right? Price did not run above this high here. Price did not run above this high here. And price did not run below this low right here. Also, we have no precision swing points right here, right? We have a crafting correlation right here, whereas we have price running below this low here. Price failed to run below this low here. Price failed to run above this high. Whenever you see right, you have a higher time frame correlation, then you have a lower time frame cutting correlation, this becomes low probability. Okay. This lower time frame correlation is low probability, right? The higher time frame immediate higher time frame since it is, you know, saying that, you know, we can expect more downside for the pound or the euro, more upside for the dollar, right? This is a low probability. Hence here, this is just consolidation. What does that mean? Wait for, you know, something to, you know, or wait for this to be two stage, right? But when you're looking at, you know, price running above all the monthly high, right? You want to see the, you know, same occur for price to change direction, right? So here we have buy side liquidity here, so liquidity here. This is not something that I would consider to be high probability, right? If we have A high impact news event push price below this low, then we have a cracking correlation here, right? We could expect just a retracement. But, you know, the rules which we all know is right, the basic rules do not buy in discount. Here, this is discount for the US dollar. Here we're in premium for the euro. Here we're in premium for the British pound, right? So the clearest assets right now, which which ones are they? I'd say that even Bitcoin, you know, is more clear than the forex market. And this usually changes, right? You have clarity in the index futures. It will shift to crypto for a short time. Then it shifts to forex, right? But it's a rare occurrence. It does happen when you have clarity among, you know, all assets, right? Because how it works is that and you will see this that whenever you have, for example, the US dollar staying within a time range, right? At those times, you the S&P 500, the NASDAQ, they move, right? And at times whenever you see the NASDAQ and the S&P 500 within a time range, what happens? The US dollar moves, moves aggressively. The euro moves aggressively and the British pound moves aggressively.

Here for Bitcoin, you can see that I have here, right? Buy sell liquidity here. Ultimately, you know, am I, you know, expecting 100k or anything like that? No, right? This is just the short-term, you know, my perspective price, right? We could expect a, you know, short squeeze above this high, right? Is it the previous price action? No. Is price trading within a gap? No. First of all, price have not been respecting any gaps, right? You know, since, you know, since around March or so, right? Here price traded above this gap. There was a gap here. Price traded right through. There's a gap here. Price traded right through it. Right here, we had a gap. Price reacted, went here and just left these equal highs. And this is the reason why I believe that price, you know, will more than likely be drawn to that for the short term. And if, you know, this is correct, then it would give, you know, the stock market a reason to, you know, rally a bit since we have we have had that sell off, you know, over the past week.

I hope that you guys found this useful. We'll be back Wednesday at the same time, right? And, you know, I believe some people have been, you know, asking me when we're going to have Saturday lives back, right? Hopefully the first week of next month, right? So, currently I'm wrapping up everything, contracts with the business, the company that I, you know, work for, right? It's too tedious, right? Barely get any sleep. So, I'm just going to cut that off completely and just have all of my focus here, right? So, that's the goal. And, you know, just moving right now, building my trading office over, right? And stuff like that. Shipped off a bunch of stuff. And yeah, everything is going according to plans. Will be delaying the next, you know, intake and it might be my last, to be honest, right? And the reason why I, you know, I mean, I believe that I should do that or the next intake is the fact that I already promised everyone. So yeah, I more than likely right soon it will just be us, you know, here and no one else.

Anyways, I hope that you found this useful. And we'll be back, as I said, Wednesday at 6:00 p.m. Eastern Standard Time.