2022 Mentorship Flashcards
What is an Order Block?
- Order-block is a change in price delivery.
- Every time a OB is broken and structure shifts, the delivery changes from selling to looking for buy side liquidity and vice versa.
What do we wait for at the NY Equity Open?
- 30m waiting time window.
- A short-term high or low to get taken out. Run on liquidity previous to 08:30.
- A shift or break in market structure.
- Wait for price to trade back into FVG (PD Array).
- In Premium-Discount.
What is a 3 Indian Pattern (3 swing pattern)?
- Institutions are positioning themselves.
- There won’t be a liquidity run.
- Wait for the protraction, FVG and then enter.
What do you wait for in the PM Session?
- You have to look for the first short term swing point right after Lunchtime, before 13:30.
- Look for a liquidity run on that short term swing point.
What do you have to focus on the charts? Left or Right side?
- You have to trade on the right side of the market and not on the left.
- Basing your trading on the left site of the chart gives you a false sense of security and analysis paralysis.
What is Power of 3?
- Accumulation,
- Manipulation,
- ## Distribution.
- When it’s bearish, we expect a run higher on the open.
- When it’s bullish, we expect a run lower on the open.
When to avoid the AM session?
- When London delivered a nice move.
- When a target, SSL or BSL has been taken before the Equity Open.
- When 08:30 has a High Impact News Release and delivers a run into our target.
What is the Opening Range?
- First 30m of the Session Open.
- It’s the OPEN minus the Manipulation move.
- Duplicate the manipulation move = Execution Zone.
What is a ITH-ITL (Inter-Mediate-Low/High)?
- Every single time price balances an imbalance, we label it as a ITH or ITL.
- A ITH/L is when it’s between 2 STH/L.
- When the ITL breaks, we have a BOS.
What are the criteria for an OB?
- FVG,
- Narrative that it is going to run liquidity.
What does the Algo Enigma do?
The markets are moving from discount to premium. The algo seeks discount to premium, premium to discount within that logic the market is reaching for liquidity in the form of buy stops and sell stops and or imbalances or the creation of an imbalance, fair value gaps or returning back to a FVG. That’s all the algo’s do and they do it on the basis of time… then price.
What does Smart Money do when they purge liquidity?
- Smart Money purged liquidity and offset those orders to pair up with their orders.
- They have to sell/buy to willing buyers/sellers at liquidity pool.
What if we don’t print a Liquidity Run during the Opening Range?
The Market is heavy, strong, and may rally or drop.
Where do Setups form?
- At Old high-low.
- At Relative Equal Highs.
- PD Arrays.
A. Then price needs to take out a short term high-low (Breaker) with displacement.
- Once we’ve got that, we are going to look for the FVG.
What do we expect in a bearish biased market? And how interacts Smart Money in Bearish Conditions?
To move into a premium for:
1. Run an old high or highs, to take out Liquidity so that Smart Money can counterparty those orders with their positions. They are going to sell to those buy stops.
2. Then seeking to buy cheaper sell side liquidity, that would be their pool of liquidity to offset, distribute their short below the low- SSL.
3. Seek a discount to buy back to willing sellers.