over the past year I have made over $750,000 using this simple scalping strategy that I'm going to teach you right now just look at my trade log showing every single trade that I've taken over the past year in this video I'm going to break down this strategy completely this strategy has helped me successfully trade the markets for years and I want to share it with you so that you can implement it in your own trading account to see a ton of success to actually succeed in the markets you need one key element data driven decision-making I want you to sit down and honestly think to yourself do you think that the best traders in the world EX without data driven decisions when hedge fund billionaires sit down at their desk do you think they look at the charts and go oh well today I'm just going to trade some support and resistance no of course they don't they make data driven decisions which allows them to execute flawlessly without guessing if you don't operate from this same mental model you're just asking to lose money enough talking let's get on the charts so that I can show you exactly what I mean the first thing that I want you to do is go over to the indicators Tab and find the fxn Asian session range indicator this indicator is called fxn Asian session range by Rob minty once you have this indicator installed you able to see the highs lows and opens of the previous sessions this indicator is not going to tell us where to buy and where to sell but it will give us the important levels that will then tell us where to buy and where to sell I'm going to scroll through my settings for this indicator real quick so you can just copy exactly how I have it set up keep in mind I am in Eastern Standard Time feel free to take a screenshot once you have this indicator set up you're going to Mark out the opens highs and lows of the New York London and Asia trading session just like this keep in mind if a higher low has already been broken through I don't mark it out because that shows the level is no longer strong it doesn't matter which time frame you use to Mark out the highs and lows but to Mark out the New York open I Mark out the first candle at 8:00 a. m. on the 15-minute time frame every day I trade from 8:30 a.
m. to about 11:00 a. m.
eastern standard time the reason I do this is because this is when the US Stock Market opens so this gives me enough volume to have confidence that my setups will actually play out this also helps me stay disciplined and consistent because I follow this every single day and I know exactly when I am done trading after you have your levels marked out you are then going to understand the three types of reactions that I like to look for we are looking for bounces rejections and breaking retest setups as these will provide us with high probability trading opportunities you might be asking why do these setups provide us these opportunities the truth is that these are prices in the market where big players such as Banks or hedge funds enter and exit trade we know these areas are going to be places where price can move quickly with strong momentum which gives us high risk reward setups that we can use to trade profitably now I'm going to show you some examples of all of these setups on the chart so you know exactly how to enter and exit the market based off of these trading setups the first setup that I like to trade is a break and retest setup right here I have the New York open marked out right here at 8:00 a. m. and a break and retest simply means that we are waiting for price to break above the New York open like so and then retest test just means touch the New York open again which is where we enter and I have my stops a little bit below this Zone and then we target the move up right so we want to break retest and then a move in the same direction that broke to which in this case was the upside this was a great setup this was almost a 1 to four risk reward ratio I made a about $3,000 on this setup this setup works because it focuses on what actually moves the market orders by Traders And the emotions of Traders every single Trader who shorted at this level was in a loss the second that price made its move up when price comes back down to this level they are now at break even which causes them to emotionally buy back into the market to minimize their losses this buying pressure fuels this big move up this is one of my favorite setups for shorts because of how simple it is and it often gives me really really low risk but High reward trades right here the price failed to break Above This High which is where I enter the trade this trade gave me a risk reward of 1 to four meaning with my position sizing I put in $11,000 and I made $4,000 back on this one trade this setup plays out because every single person who bought at this high right here has been in a loss for the past few days so the second that price comes back up to this level they are exiting their trades at break even fueling even more selling pressure the final setup I look for is a bounce off of a low this is one of the most simple setups to trade all we are doing is looking for price to bounce off of a recent low most often this will be a bounce off of a previous New York low Asian low or London low when I am trading the setup I wait for price to touch this low and I enter right off of this low targeting about 20 to 30 points with my stop loss at about 5 to 10 points depending on the trade this was a trade that I took off of a bounce of a previous New York low and I caught a 1 to6 risk reward ratio on this trade which made me about $7,000 only risking $11,000 now that you actually understand the strategy we're going to look at some more examples so that you know exactly how to execute on this setup in real time let's take a look at some trades that I took last week on ES I trade es Futures es Futures is the Futures Contract of the S&P 500 right now we're using the bar replay tool on trading view which will show you exactly what the setup looked like in real time so the first thing I did was I marked out the New York open which is the first 15-minute candle at 8: a.
m. like we talked about at the beginning of the video so once I do this I wait for one of my three setups to play out right so in this case we had a break and retest setup we broke through right there I had my entry right here at the bottom of this Zone I was targeting this low right here with my stock right above this zone for about five six points and this trade made me about $4,000 and my risk reward on this trade was just beautiful as you guys can see remember I am scalping so my goal is to catch a small piece of this larger move so in this case I caught a small piece of this downtrend I was not trying to catch this whole move I like to make my money early in the morning and then go enjoy my day let's look at another setup so as always I Mark out the 8: a. m.
