17. Master Class [9] - Scalping V-Shapes and Vectors Flashcards
What timeframe to use in order to establish momentum?
5m
What timeframe to use in order to make all your decisions?
1m
What moment are we trying to step into and scalp?
The moment that the market maker starts to manipulate price
What are the setups and results of uncertainty?
The traps set up by market makers and the subsequent human behaviour that follows
What, coupled with the 1m timeframe, shows clear reverse of direction?
Liquidations in ExoCharts
What is the first thing to do, and to look for, using this scalping method?
Time some time and look for stop hunt development (don’t just jump straight in)
When establishing momentum on the 5m timeframe, what other piece of context is important to realise?
Where you are in terms of session. Which session it is (Asia, NY, etc.) and how that session is playing out
Our reaction to big red vector candles should be to say what to ourselves?
“Yes! They’re setting things up!”
When we see big red (or green) vector candles, what confluence to look for in order to scalp the retrace?
Price moving outside the volatility bands on TDI
After big red candles on the 1m, how do we know when they will return price to the 50 EMA?
Also, where would we enter and where would be place a stop loss?
By checking the 5m timeframe and seeing the end of the red vector there. If there is a pin to the low, the next candle will also likely pin to the low to commit the retail trader to stay in the trade.
Our entry would be at the end of the next candle on the 1m (green vector confirming a push back up)
Our stop loss would be below the lowest pin to the low.
(Lowest red lines in image are the stop loss and entry points)
What is the advanced strategy we can use to add more into the trade, to take advantage and catch the absolute bottom of a move?
After realising a good reason to believe the price will slump and return back up, continually add long positions into all the red vector candles on the way down, just like the market maker does.
How can you use the TDI to understand more about the underlying trend using both the 1m and 5m timeframe?
Draw boxes on the 1m where price is outside the volatity bands and then switch to the 5m view and compare price at these points, also noting any obvious momentum
The middle-point of the 5m TDI is based on what?
The 1-hour RSI
When green vectors appear in a zone where you think they are building longs below a key level, why are they there?
To keep retail traders interested and keep price in that zone - if they are not interested in dropping price then there will likely be a move higher soon
How could you have gone long from the bottom of the second leg in this situation?
(see image)
By noticing the divergence on TDI
