I Always Wait For THIS Before Entering Trades ( Unsharp Candles )

today we're going to be talking about entries this is the biggest secret weapon used by all the top Traders everywhere in the world they are Masters at this and if you want your trades to start performing better all you need to do is Master your entries just think about it how many times have you taken a loss on the trade only to watch that thing move in your favor seconds later just like you originally planned or how many times have you taken a small profit on a trade then you spent the rest of your day

just watching that thing go higher Higher and Higher and you're not even in it anymore or Worse how come the harder you study or the more trading knowledge that you consume you do not find yourself making any real progress you continue to stay stuck in the mud now if this is you your problem is injuries by the way my name is Doug and I've been a professional Trader now for more than 20 years this is my life and today I'd like to show you the easiest and fastest way for you to master your entries with

something we call the FSE method first sign execution also known as the unsharp this is something that I used last month to help me make an excess of $100,000 of trading profits it's also something that I've taught to hundreds of Traders from all over the world and I've helped them transform themselves from being consistently frustrated to consistently being profitable and today I'm going to show this to you in just four simple steps now before we get involved in the steps about the unsharp method let's talk about what it is because there's a good chance you've

not heard about it before it's a way to predict a future pattern a chart pattern long before that pattern has developed and let me show you what I'm talking about right here on the screen you will see your typical chart pattern cheat sheet that you can get anywhere on the Internet it's got all the good stuff on there that you've probably learned the triangles the double triple bottoms the wedges The Head and Shoulders the flags everything that you need to make money but if I open this up and I just focus on a couple of

these patterns I want you to just look at them for a second and I want to highlight the word entry since that's what this video is about do you notice anything that might be a downfall when it comes to traditional chart patterns about these entries in these type of formats with what you're seeing right here that is taught to a lot of Traders out there your entry is so high on a pattern like that so if you're trading on a one minute or a f minute chart for example just a few minutes prior to that

recommended entry that asset was trading down there okay now look what this does to you as a Trader it makes your target prices and your stop losses extremely condensed do you see that how they have these entries stop- loss your target prices see how condensed those are these will work for you I'm not saying that they won't and I'm not saying that they don't have a place because sometimes we have to use these because markets can be unpredictable but in 80% % of the situations what if I was to tell you right now that I

could actually give you an accurate signal to where you can get in down here with a stoploss down underneath of that and the Target price at the same location reducing your risk exposure expanding your Target and doing it with 80% accuracy that's the unsharp method now this brings us to step number one which is how on Earth are we going to figure out this pattern is going to develop long before it develops it's not like we have a time machine or something right the good thing is we don't need one all we need is a

series of three candles and it's that easy starting with something we call the lead candle now I'm going to go over this in detail here in just a minute but for starters the lead candle is something that draws our attention to the setup taking place and I know you've seen a very bold robust strong candle that looks like this in fact it's probably freaked you out and you're going to learn here in a minute that's actually done on purpose but this is what draws our attention to the setup number two is something we call the

confirmation candle now the confirmation candle is exactly as it is spoken it's to confirm the legitimacy of the buyer who stepped in and bought that bold red strong candle we need to know their seriousness and their legitimacy before we put our money on the line and the last part of this which is very important is the execution candle there will be be another candle that will appear letting you know that a pivot is about ready to take place we have to get in this spot as fast as we can this is where our risk versus

reward is at its best our risk is super low our rewards are super high now let me show you what this looks like on a real life chart so let's take a deeper look at this right here on the screen you're going to see an intraday FIV minute chart of the S&P 500 ETF the Spy I want to make it clear again I've already said this I don't care what you're trading don't care what time 1 minute 5 minute 4 Hour 1 hour that's that's irrelevant the only thing that matters at this point is that

you internalize the concept and put it to work for you now this is spanning over a series of two days on this chart and you can see already your ey should be somewhat trained for basic pattern recognition I'm going to show you the difficulty with that you can see you got a series of ups and down like a bunch of check marks Did a video about that once right but over the course of a couple of days it didn't really grow that much in PR just stayed compressed in a Range which is normal for a

lot of assets but what I want to do for this video right here is break down each one of those candles and to tell you why they happen and how this is going to make you some money and to do that and to save time I just want to look at the rallies so let's start with this one and just kind of Mark the very top of this rally it could be up here but let's just go with this one right now if we retrace this back to its origin you'll see that it started right

here so if you had a time machine and this chart in front of you that's where you would enter at the very tippy tippy bottom it's tippy tippy bottom of word you'd be right there at the bottom of that thing and you'd be in that trade so let's go back and tell me what do you see before those candles because as Traders we can't figure out it's a long over here we're late we have to figure that out here now here's how it's done take a look at the activity the price action before this move

happens you have what you have a series of lead candles there's a flush move now here's what I want to talk about I want to try to make this as easy as I can because this is all you need to know this my friends it's engineered it is there on purpose this is why you see it so many times like if I back this chart out you're going to see this everywhere there's tons and tons of flushes and abrupt shifts of sentiment this is what stops the rookie and the new Trader out now I can

go into this for hours don't want to do that I know you've heard terminology in the market such as liquidity that's a good one people use a lot Market structure stop trap stop running all of that stuff has a place but this is an engineered move to create that liquidity it's excess inventory it it starts a move to allow some larger party to get into the trade that's all I want you to think that's the basic element there's a little bit more to it but let's stay with that and here's how you know because take

a look at what happens let's open this up so we all can see it because it's really important this is the lead Candles now they don't look as aggressive because the charts really spread out but take a look right here notice what happens I've gone through this hundreds of times on this channel the John Wick candle some sort of Wick some sort of engulfing candle something that shows buying is actually taking place and if you look real close you'll see at the tail of this candle and this candle are matching that means over a 10-

minute span there were several attempts to try to press that that cell off lower but guess what it didn't happen the reason it's not happening is because that big buyer is taking little nibbles nibble nibble nibble nibble like it's on an algo and they just chipping away chipping away chipping away chipping away now that could be a fake let's let's let's let's face it we all get faked out every once in a while and it just blows through and it does this again but right here you're going to see the confirmation candle it does so

after 15 minutes of just jocking around and slamming people all over the place chewing them up it does not go any lower that's how you know the lead candle creates the panic and fear to get their rookies to sell the big houses come in and nibble away at those positions it stabilizes over 10 to 15 minutes and then all of a sudden there's this candle beautiful right that that is the entry right there we want to be in let me clean that up we want to be in right right there at the tip of that

entry now you could have got another one right there on that little pull with the stop loss right here and take a look what happens right now let me show you something like your typical flag pattern right which would be this you come up you pull back you would take it here right that would probably be your entry I'm just saying probably stop would be right there but look that trade fatigued out real quick again you would have made some scalping money and I do want to make it clear I'm not dogging that saying that

that has no place in the market because maybe it does maybe you were busy you had schedule problems you couldn't be there and catch the big move look you have to make adjustments this I know but look it fades out you missed a big move but the move was there earlier now let's just do this again if I come over here and we look at the secondary rally this pivot here let's mark it the very top of this to this right now if we open that up you're going to see the exact same thing what

happens before this rally right there guys right there you have your lead candle almost The Identical print and there is the execution or the confirmation candle there's the execution candle hopefully I'm making that clear let me back it up try to take a deep breath here right the if you look at these let me just try this and make it a lot easier this and this if you look at that they are almost identical in their formation so think of this the market gave you that trade in the morning then about an hour later it

handed it to you again that's how simple this is but you'll see it all begins with the trickery to sell now this brings us to step number two which is really important like how do you trust this move because as a new Trader I'm sure that red bar probably freaked you out you've seen tons of these on your charts and they've probably already freaked you out and you know what they're supposed to do that that's why they happen in the first place right but the key is this how do you develop the strength the Courage

the konus to jump in there when everyone else in the world just can't do it and that's simple it's called levels what if I told you right now that there was a very predictable spot on every chart every day where it is most likely to produce the exact candles that you're looking for because there is let's move to the Chart again and let me show you now let's go back to that first level the very first rally and I want to lay just a nice line on here it doesn't have to be perfectly straight but

I want to put the line at the very bottom portion of that pattern now if I back this out you're going to see that this wasn't a secret in the pre-market did this video once about pre-market activity there there was or this actually postmarket this was being challenged at a specific area and if we back it up it's probably going to end up matching another area in the past where there was a cluster of activity so let's look at how this is going to help us with the trades that we have so for example when

something like this begins to move down we focus on that lead candle that draws our attention to the trade as it comes down in here about at this point your eyes should already be focused on these other levels over here that's where you should be looking for the confirmation candle because the speed in which these take place sometimes it's just too fast especially in a high volume volatile situation so you'll see it comes right into there and that's where that move takes place now if you look back here the same move was a little bit

of a higher low but it was very close to that same area so what made that move special in terms of the level is it gave you an extra piece of verification that that very large buyer has now returned to the market and that that's going to be hard to break that cycle lower for that day so take a look it happened right there now if I move over to the other day and just kind of pan it out you're going to see the same thing all of these moves are taking place place at predictable

levels right now they don't have to be to the penny I've always said technical analysis is not literal but you can see right there they're all coming in to a zone or a range right this would be something like a breakout retest coming back to visit the the breakout but look what happens it actually di dips deeper right this is not a bearish chart actually until you break a deep level which is all the way down here you haven't lost the big buyer now let me show you something you might not see when it comes

to levels notice that in the pre-market you get this right again I mentioned I I've gone over this before sometime before like an hour before the market came up it was already trying to get frisky to the downside like there was that lead candle like this press and somebody sneaks in there and puts some high volume Buys in there now that can always disappear at the open but what I'm trying to highlight here so everyone stays on the same page this move these candles cannot appear anywhere else so for example you can't buy that candle

right that candle has no support to it the nearest support is here the nearest recognition of a large buyer is there any sort of entries that you're doing here on that dive bad idea bad idea right same thing here entering here bad idea you need to get that level tested that's how bad things happen if you enter up here and then it drops and then it drops again and then it drops again and just keeps going I'm sure you've been in that situation before now step number three will tie everything together and you need this

in order to maximize the quality of just not this strategy but everything you ever touch from here on out and I'm surprised more Traders these days are not aware of it and that is time just like l the time in which these moves happen is like clockwork they're routine they're every single day and when you combine that time along with the level along with the move now you have context you have something that is powerful and meaningful and puts you into driver's seats to profits now let me show you again what I'm talking about right

here on the chart now again sticking with that same chart here that I already have up if you take a look at all of these moves it's a real simple concept is element of time now the numbers I have down at the bottom here this is Pacific Standard Time on the west I'm on the west coast of the United States add three hours to that for the New York session but look when this happens it's between 6:30 and 7:30 right and then you have another move that happens rough just about 10 right after the lunch

session and if you come back and of course there's another pivot up here if we want to add this which is pretty much every where I'm trying to go with this is every 30 minute interval you're getting some type of pivot see the timing so you're you're getting that pivot early within the first 30 minutes of trading you're going to get a rally that may last an hour followed by another pivot that may last an hour followed by another pivot that may last an hour you move to the next day you'll see about the same

thing you're moving lower right there's actually a move right there after the Market opens at that 7 o'cl spot you rally for good 30 40 minutes you pull back for a good 30 40 minutes you go back up for 34 minutes 40 minutes for an hour and so on now that's not always 100% guarantee when we talk about time when the Market opens for any strategy you have the highest form of activity takes place in those first 30 minutes that's where all the games get played that's where all of the premium levels get set for

the day and then after that the markets tend to develop a rhythm they get settled into a rhythm and the moves become a lot cleaner after that so now we move on to step number four which is the final step and I'm sure for most of you this is the one you've been waiting for the most definitely I have because all of this stuff up to this point sounds pretty good I mean you got the candlesticks down that's easy you got the levels down you got the time down I mean all of that stuff is

just general basic stuff but the question that you're left with now is how do I use this like how do I put this into a real life Market well don't worry because I'm going to do that right now for you I am going to take a live trade using the exact same formula that I laid out for you now what I want you to do before I get involved in that I want you to look at each step independently I first want you to see the lead candle itself how our awareness has been raised towards

this idea the next we want to start planning out those levels we're going to look to the left side of that chart for Clues details to where that big buyer is going to step in and help us back us up like our guardian angel in this trade and then I want you to pay very close attention to my execution now I'll go through this step by step when I'm making the trade but I want you for yourself to look at each one of those and how it's done and of course the final piece of that

puzzle is trying to put together a very high quality trade that yields us more than two or three cents like we really want to make a lot of money on these trades so let's take a look at what a live trade would look like in a real market and then we'll go from there so the trade I want to talk about here today was one that was taken yesterday right there on your screen you will see the brokerage statement of the trade and the gains and I want to use this one because it highlights not

just the power of the unsharp but how it works in the most extreme situations because yesterday we had CPI and if it can work in that it can work in anything it's just the process so on the screen I'm going to use the trading view playback feature it's so much easier for me to explain it to you and it'll make a lot more sense so if we take a look at this right here you'll see as the CPI came out you get that lead candle now the news is what generated that candle but it doesn't

necessarily have to be news they will happen in a lot of cases so so there it is so when you see that and you start to see that candle rather than panicking the first thing we need to do is start looking to the left right and if I kind of back this out there is a significant reason why this thing chose to bounce at that 215 area if I make this chart small you see there are several I'll scoot it up just a bit there are several buys zones right there okay so there's a good

chance that somewhere between this 215 and 214 someone is going to try to pick it up now here's the clue to that that's a pretty wide range and you're going to get wide ranges in drops this is where the lead candle gives us the clues let's take a look at the very first candle right here you'll see there was in fact a pickup now there wasn't a huge buy but there was a hand showed that somewhere around this 21560 there was effective buying like a good flow of buying now the next candle does make a

low and this is why when we do trade in general we don't put stop losses right under the low they may trade under there and and make some prints on price but they look it does get picked back up now these Clues are very very subtle but they're happening at the right spot now if that happened right here you'd have to be super cautious but it didn't it came all the way down to that level now if I kind of move this forward just a little bit right I want to show you a couple of

more candles right here so take a look right here after about 10 15 minutes you got a couple of things working for you you have the element of time which is this Market refused to go lower now it didn't really gain any traction and start to push higher but you'll see it didn't go lower why is that because the market is doing what we said earlier it's nibbling on those buys down into that zone now at this point with this chart it could still break the low might be just kind of gearing up for another

low move so we need that confirmation and the more candles that we get we get that confirmation so if I kind of just speed the play back up and we move forward a little bit I want to stop right there this right here as subtle and slow as it is this is the execution candle now most Traders would not do it right there but let me show you why I hope at this point you see it look at these three Wicks at the base of this chart they all held up right at that spot those

three Wicks the easiest way to do this is confirming that buyer so if I buy this right now which I did this was close to my entry if I buy it right there I have everything to gain and practically nothing to lose now some people go well how do you know you don't always know but trading isn't about winning as much as it is probabilities I've got enough data here telling me that's probably going to be the low so if I just kind of Trail a stop down there right I'm giving up just a little

bit but look the target can be this thing has the power and the potential to go so much higher and when you have such great risk versus reward you're ultimately going to win so if I kind of put that long calculator here take a look at what we have we have like a 3.3 risk versus reward those are the kind of Trades where you have everything to gain now I'll just play this back forward and you'll take a look it just continued to grind its way up all the way to towards those highs now here's

what I want to talk about on this one I I sold up in here but another reason for doing this is because when you have this much room and a and a stock or an asset moves in your favor it allows you to to grab a big gain because if I'm buying up in this level most likely I got stopped I can't handle pullbacks okay and if we just continue to play it through you'll see it eventually Works its way back up there not without a few you know pullbacks along the way but you can't

survive those pullbacks if you're chasing those rallies that's the unsharp method the power is it's getting you in where you really don't have to worry about your risk it's so low and that's that's how you should be trading you should be risk first reward second now this might not have made it all the way up there and that's great but it's easier for me to figure that out if I if I had bought it here right and it took me out fine it's better than buying it here and then having it take you out that's

too much money to give up and that's the key most Traders and most technical analysis strategies if you go by that law that they're written the getting you in too late and that's why you're not making profits so hopefully that all makes sense to you and you can see how you can start using this so anyway that's going to conclude today's video and I do want to take a moment right now to thank you for joining me today and I hope whatever I discuss with you today helps you become a better well-rounded Trader that's my

goal now whether you use the unsharp method or the check mark or some other method or strategy that you're using I always encourage every Trader to always focus on levels and time really take a look at these charts without any indicators on them and just get a feel for that price action if you really pay attention you can find those big buyers and big sellers you can find the proper are areas to position yourself where risk and reward is very favorable so I just kind of wanted to say that for a second now as always

if you have any questions or there's anything that I left out go ahead and put that down in the comment section I'll do my very best to get back to everyone and make sure they understand because I want to see you grow as a Trader as well don't forget that if you do want to have some great trading ideas delivered to your inbox every week absolutely free every week we put together my wife and I a gains guide it covers everything about the markets the best assets to trade give specific buy sell and exit points

everything that you need to have some great quality ideas to begin your week with so on that note let me say thank you very much take care trade well I'll see you soon cheers