Candlestick Pattern and Potential Rejections PDF

Candlestick Pattern and Potential Rejections A Candlestick pattern is observed, indicating a potential imbalance in the market, with a possible rejection or Continuation of the trend (00:00:16). The pattern is compared to a previous occurrence, suggesting a potential second rejection when the pric...

Candlestick Pattern and Potential Rejections A Candlestick pattern is observed, indicating a potential imbalance in the market, with a possible rejection or Continuation of the trend (00:00:16). The pattern is compared to a previous occurrence, suggesting a potential second rejection when the price returns to the area (00:06:06). The analysis highlights the importance of considering the body of the candle rather than the wick when looking for a reaction (00:07:30). A potential short opportunity is identified, with the possibility of a rejection from the hidden snd Zone (00:07:44). The analysis also considers the possibility of a fractal rejection, with the price potentially coming back down to test the area again (00:10:49). The speaker mentions that they will be doing a top-down analysis in a few minutes, which will provide further insight into the market (00:12:11). Imbalances and Top-Down Analysis A potential imbalance rejection is identified on the 15-minute time frame, with a possible second tap up into the imbalance and a short from it (00:16:56). A minor imbalance is noted on the one-minute time frame, with price potentially tapping into it and finding support (00:18:45). The importance of imbalances over zones is highlighted, with a minor imbalance on the 15-minute time frame potentially leading to a tap and a push back up (00:22:34). A top-down analysis is conducted, with a potential double tap of the imbalance on the 15-minute time frame and a possible short below the 200 area (00:26:48). Multi-Timeframe Analysis and Hidden SNDs A protected high is identified on the daily time frame, with a potential short provided and a long provided back up into a target area (00:28:04). Hidden snds are noted on the 4-hour time frame, with price potentially tapping on the beginning of the wicks and pushing up off of it (00:30:45). An equal high is identified on the hourly time frame, inside an snd above, with a possible short provided (00:31:26). A Candlestick pattern is observed inside a Zone, which is a favorable setup for shorts (00:32:19). Double Bottoms, Structural Breaks, and Repetition There's a possibility of a double bottom within an area on a lower time frame, which could facilitate a break above (00:37:32). A Structural break above an area can tap into an imbalance, forming a pullback, and then facilitate a push out of the area (00:38:59). Repetition is emphasized as the mother of learning, and routine is highlighted as a key factor in sharpening trading skills (00:41:46). Rules apply to equal Highs and lows, and it's not recommended to jump into trades without considering these rules (00:42:10). Head and shoulders patterns are discussed, but it's advised not to trade these patterns unless there's structure involved (00:43:45). Market Analysis and Potential Reversals (US30, Nas, S&P 500) The US30 and Nas could potentially bounce back up into certain areas before continuing down, with the top-down approach being crucial in understanding market movements (00:44:18). The Nasdaq-100 is doing the same as the US30, shorting down, and could be coming down to a specific area, with a potential mitigation down into another area (00:45:57). The S&P 500 correlates heavily with the Nas and US30, and paying attention to it could provide indications on when to get out of certain reversals (00:51:37). Imbalance Explained and Scalping Opportunities The concept of imbalance is explained, referring to an area where price moved too fast to capture the balance of cells coming out of the area with potential buys coming into it (00:55:20). An imbalance is usually identified by a lack of candles or wicks on either side of a specific area, and a tap into the imbalance often occurs within the middle of the imbalance (00:55:52). A scalp can be taken from a specific area, and if the price returns to that area, a bearish flip can be expected, leading to a potential short opportunity (00:57:30). Short Entry Rules and Points of Interest The rules for a short entry include a high being broken and a low being broken, and the entry should be made with a specific Candlestick chart structure (00:59:36). A point of interest (POI) can be used to identify potential trading opportunities, and a scalp can be taken from the POI before a longer move develops (00:59:00). Double Tops and Hidden SND Zones A double top forming within an imbalance area can be a sign of a potential short opportunity (01:02:18). A hidden snd Zone can be identified by a tap from a specific area, and a scalp can be taken from this zone (01:07:01). Learning and Initiative in Trading The importance of initiative and learning is emphasized, and viewers are encouraged to take notes and consume the content in a way that will help them become profitable traders (01:08:51). The discussion revolves around trading and market analysis, with a focus on identifying imbalances and patterns in the market (01:09:21). A double bottom pattern is identified, and the potential for a scalp trade or a longer trade is discussed, with the possibility of a second rejection out of an imbalance (01:10:11). The importance of utilizing rules and patterns in trading is emphasized, and the potential for a double top or a retracement back down is discussed (01:11:21). Drake Album Analogy and Imbalance Trading The Drake (musician) album is mentioned as an example of how people may not understand or appreciate something that is outside of their usual expectations (01:15:21). An imbalance is identified above, and the potential for a short trade or a retracement back down is discussed, with the possibility of a spring off the imbalance or an unmitigated area (01:17:22). A Candlestick pattern is identified, and the potential for a trade based on this pattern is discussed, with the possibility of a push back up or a rejection (01:18:03). Real-time Pattern Recognition and Pip Potential The importance of spotting patterns and imbalances in real-time is emphasized, and the potential for a ton of Pips to be made is discussed (01:19:21). A trade is discussed that resulted in 392 Pips in an hour and a half, with the potential for more Pips to be made based on the identified imbalances and patterns (01:19:54). Trade Examples and Pip Gains Prices moved out of the 4898.28 area, with the first tap being a scalp at 4905.04 and the second tap being a longer move at 4909.0 (01:21:38) A 144 pip scalp up was identified from an imbalance, which is a significant move for some traders (01:24:50) The market may continue to go up or come back down to a previous low, with possibilities of a double bottom or a shorting opportunity (01:25:11) Account Growth and Charity Donation Plan A plan to take a small account to a larger account live and donate to charity was mentioned, with a goal of growing a $600 account to $20,000 in one week (01:35:37) A trade example was given, showing a potential profit of $2,400 in one hour using a $600 account and a one lot size (01:37:02) A trade was made with a potential loss of only 5 Pips, demonstrating the importance of precision in trading (01:37:43). Imbalances and Double Tops in Trading The concept of imbalances in trading is discussed, with an example of a double top within an imbalance leading to a short trade (01:38:14). OT Trader and Leverage The OT Trader on YouTube is mentioned, who uses the term "OT" and marks out specific areas on charts, potentially indicating accumulation (01:44:09). The importance of leverage in trading is discussed, with a broker offering 1:1000 leverage being considered ideal (01:41:06). Imbalance Trading Strategy and Time Zones A trading strategy involving identifying imbalances and using them to inform trades is discussed, with an example of a double bottom on an imbalance leading to a potential short trade (01:47:18). The concept of recreating zones on the one-minute chart is mentioned, and the importance of understanding time zones in trading is highlighted (01:49:14). Trade Example and Pip Gains A trade is discussed where a high is taken and the price taps into an area above, resulting in a 30-40 Pip gain (01:49:46). ICT's Live Trading and Algorithm Information and communications technology, the founder of Smart Money, is planning to start live trading to prove his skills and weed out unqualified traders in the industry (01:52:37). The goal is to trade an algorithm in Price action trading live, but this approach is not necessary for everyone, as some traders prefer to focus on teaching and sharing their knowledge (01:53:01). Imbalance Trading Strategy and Market Application A trading strategy involves identifying areas of imbalance and using them to make trades, with the possibility of multiple entries in the same area (01:55:41). The strategy can be applied to different markets, including gold, and involves finding a setup and being prepared to make a trade (01:57:53). Price Action and S&D Zones Price action trading can involve rejecting from the same S&D zone, with price moving up and down between S&Ds until a breakout occurs (01:58:55).