Session Trading Methodology
"Session trading. So it's not dependent on daily bias. It's not dependent on weekly bias. It's not dependent on anything except for what's available in the marketplace right now based on time and price."
London Session Opening Range
Time Window: 1:30 AM to 2:00 AM Eastern Time
"If you're trading London, one of the things you want to do is develop an understanding of the opening range. And the opening range for that is 1:30 in the morning, Eastern time to 2:00 in the morning."
30 Minutes - Not 15 Minutes
"When we're using opening ranges, which are defined by 30 minutes, not 15 minutes, not 5 minutes, [laughter] it's 30 minutes."
"Stop listening to these people focusing on a 15inute time window. That is garbage. It's trash. It's absolutely limiting your perspective. It's the first 30 minutes. It's the first 30 minutes."
First Presented Fair Value Gap Logic
Definition & Application
"The first presented fair value gap here during that 1:30 a.m. to 2 o'clock in the morning is my gift to the the community because algorithmically this is what price is looking at."
"If you're trying to trade London session, if you wanted to trade London open kill zone, whether you're trading forex, whether you're trading indices, commodities, currencies, whatever, if it's trading during this time, it's going to use this logic."
Differentiating First Presented FVG in Opening Ranges
"Differentiating first presented fair value gap when we're using opening ranges, not the silver bullet. silver bull. It's like the first one that forms after 10:00 inside that 10:00 to 11:00 in the morning hour. When I taught that, that's very generic. But we're when we're using opening ranges, which are defined by 30 minutes, not 15 minutes, not 5 minutes, [laughter] it's 30 minutes, you want to look at displacement."
Displacement Concept
Core Definition
"Displacement is the division from what everybody thinks they know about and writes books about my content on Amazon, which is not correct."
How Displacement Identifies the First Presented FVG
Why Not the First Gap?"Why wouldn't I look at that gap right there and call that the first presented fair gap? Because if you take a look at that swing low right there after we taken buyside as we're entering the opening range. We took buyside and then it displaces. So that fair value gap here hasn't even taken out that low. But this gap engages that low."
Shift in Market Structure Requirement
"It's laying inside of the proximity of that low liquidity. So it changes market structure bearish and now we can use this inefficiency to inefficiency which is what suspension block."
"It's the distinction between the displacement drawing the the importance to that individual imbalance. It's not just simply, well, there's one right here, so why didn't he use that? He's cherrypicking. No, the logic is simply what I'm teaching you here. There has to be some kind of basis as to why that imbalance should be used. And it's because we have shifted market structure lower after buy side taken."
Inversion Fair Value Gap - 90% Rule
The First Candle in Opening Range
"This imbalance here, it's the first candle in the opening range. If it's bearish and it's a buy side balance, sell sign efficiency. This will act as 90% of the time and listen to that rate. Okay? 90% of the time that's going to be an inversion fair value gap. That's bearish. Why? Buy side's been taken. It starts the opening range of 30 minutes. It's an imbalance and price rolls back over top of it. It should stop at the consequent encouragement level and not leave any bodies on the upside of it."
Inversion Fair Value Gap Requirements (90% Rate)
- "It's the first candle in the opening range"
- "If it's bearish and it's a buy side balance, sell sign efficiency"
- "Buy side's been taken"
- "It starts the opening range of 30 minutes"
- "It's an imbalance and price rolls back over top of it"
- "It should stop at the consequent encouragement level and not leave any bodies on the upside of it"
Proper Terminology
"It's inversion by the way. It's not inverse fair value gap. Please correct yourselves, gentlemen."
New York Open Kill Zone
Time Window: 7:00 AM to 7:30 AM
"Now we're entering another time window. It's the what? The New York open kill zone. So the New York open kill zone is what? 7:00 in the morning to 9:00 in the morning or 10:00 in the morning if you're trading forex."
Why 7:00 AM (Not 6:30 AM)
"Here's the caveat for New York. Okay? Why am I showing you 7:00 to 7:30 and not 6:30 to 7? Because I'm comp I'm encompassing both forex. I'm encompassing metals. I'm encompassing oil, energies, all of the assets. Okay? And to make that streamline, you use 7:00 because that's when all the algorithms fire up."
"There's not one algorithm that runs everything with the same tentacles and everything at the same time. But every instrument is ran algorithmically and it's ran by a price engine that is completely and utterly controlling price. And the illusion is you think buying and selling pressure causes these fluctuations to move price higher and lower. It's not. But they all begin they come online basically at 7:00 in the morning."
6:30 AM Reference Point
"In at 7:00 in the morning, I use the information I get from 6:30. If you remember back when I was doing paid mentorship for those that were part of that, um, in the lectures, I would always refer to how I would get up in the morning, um, the questions would come by way of what's my routine in the morning, what, you know, if I was when I was trading forex, I would get up in the morning, if I didn't trade London, I'd get up at least by 6:30 and get a feel for what the market was done. What does that look like and what do I mean by that? Well, just be mindful that this is the low with sell side and we had this retracement here. What just took place buy side, buy side with this run up in here."
NY Kill Zone - The Only Different Opening Range"This is the way you can do it where it's it's a general approach to doing it. It's the only kill zone that you apply it this way. Everything else is 30 minutes before."
Equity Opening Range
9:30 AM to 10:00 AM
"The same application is done with 9:00 I'm sorry 9:30 to 10 o'clock in the morning. The same approach is being used there."
"I taught you how to use the opening range for 9:30 to 10:00 in the morning when you're trading indices."
Low Resistance Liquidity Runs
Opposing Run Requirement
"The run for the buy side. When you're looking for directional runs that are high probability, low resistance, low resistance liquidity runs, not high resistance liquidity runs. Low resistance liquidity runs always have an opposing run in direction before it happens. Meaning, if you're bearish, there has to be some measure of buy side taken before you enter the trade. You have to have that."
Study & Review
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