all right folks welcome back so lord willing after the holiday weekend i'll be back next tuesday so here we have the e-mini s p daily chart and you can see we have a nice delivery to the upside and this will draw what's inside this area in here up into the bearish order block now notice that we traded up into this up close candle with today's range didn't quite take out this high i think that's the next area to look for but in here when we're looking at a candle that we're using for like an older
block the low the open in the middle of the range those are the three sensitive areas that you're watching for if the market trades up into the middle point of that candle this is what i call the mean threshold mean threshold was taken today and that to me bodes well for a continuation to take out this short-term high so if you take your fib and you run it across this candle to 50 level all right here's the 50 minute time frame here's yesterday's trading turned up into that small little area down here into that low
i mentioned that was going to be a likely candidate for upside relative equal highs as well we traded back down into a fair value gap optimal trade entry rallies up takes out buy sell equity above the short term high back here which i don't unfortunately have in my chart but you can see that on your own 15 minute timeframe and then we consolidated ahead of today and then during the crossover into new york midnight a small little judah swing where it drops down increase the low of the day rallies leaves relative equal highs in here
and this high intact it drops down rallies once more small little retracement and then it does a shallow run above 4 000 on this pass through here in this small little area on a lower time frame i used this little retracement to highlight a run to 4 000 because i gave you guys 4 000 was my objective it hit it and then we press deeper into the order block on the daily chart which creates this whole run here now i'm going to go into the details about that here but for now just know that we
were trading up to this level failed to go to that same level consolidated right below that daily bearish order block that's the low of the candle that creates that daily bearish order block and then the opening when that counts a little bit higher i think it's four thousand two but don't pull me to it look at your own chart so we have a small little pass above four thousand retraces back down in we'll look at the lower time frames in all of this price action now into the five minute candle this run here to here
this price leg is part of this price like okay notice how this candle is high to this candle's low that range okay that range right there has one single pass whereas this one has one two notice that low high small door retracement and then a second level running because i had two stages to this delivery i want to use this most recent one and this is my dealing range the short-term low the short-term high i ran a fib on that and i showed this in the short little vignette i posted on my twitter by the
way the twitter handle is i am the ict okay so it's at symbol capital i underscore a m underscore t-h-e underscore i-c-t okay it's a lot of people over there pretending to be me and maybe they're just you know i don't know if it's fanfare or what it is but uh some of them have been asking for money i'm not asking you for money and i'm never gonna ask you to dm me i'm never gonna dm you okay so if it ain't being posted publicly on twitter it isn't me all right so this dealing range
here i measured the low to the high 50 is equilibrium i want to see it drop down into discount this small little area down here value gap we want to look at that on the lower time frame so from this run here to here i know some of you are going to ask some of them we're bringing it up today on twitter what about the times you said for the model um teaching you something that is outside the model as the reasons why you're not going to anticipate or see that typical setup that's the whole
point of why i did it today plus i have a lot of personal things that take care of and administrative work in my private group so with that said the market rallies in here drops down in the fair value gap there once more above the 4000 level and then going into here's 8 30 by the way this is 8 30 candle and you can watch when it trades right into that very value got it rallies again it drops back down in and then at 9 30 this candle here explodes to the upside takes off and
starts digging deeper into that alright so it traded up into almost the 4074 level looks like almost so we'll be looking for a continuation of the upside 4095. 4100 is next consideration i want to take you into the price action down in here and give you more details as to why i was willing to take something a little bit earlier today okay if you plot the nasdaq june contract for 2022 and on the compare chart on trading view if you go up into your trading view platform you'll see like a little plus symbol up here
if you click on that it'll give you an opportunity to add another instrument and you add this symbol here nqm2022 and then it'll plot a line chart but it's usually going to be applied on the close it's like a default you want to change that in the settings by just right clicking over here or highlight over top of it it'll give you like a little gear or something click on that and change the settings to and just change it to plotting on the low because you're comparing lows as you can see the nasdaq went lower
here whereas the s p failed to go lower that's an smt divergence okay smt smart money technique it's accumulating in here whereas the nasdaq is taking liquidity out so there's a cracking correlation between the two usually they move in tandem but at certain times what times 8 30 9 30 at news events being released okay they'll create this divergence and if you have a bias it's helpful but if you don't know where it's going you're going to many times encounter what would look like smt divergence and then it disappears as they start moving in concert
with one another so you have to be careful with that that's why i'm teaching that's why i always teach know what it's reaching for okay the bias has been bullish and for my framework for my setup because i gave you 4 000 and i had very little time to work with anything this morning i just hurried up and saw the chart i missed the actual ideal entry i just used a close proximity entry with an owner block and there you go so if you look at the relationship of that fair value gap dropping back down
in higher low than that of e30 versus the lower low made in nasdaq this is a stop out this is accumulation of longs this is going to be the telltale sign that it's going to go higher if you look at what we did on 830 it already snapped down into this gap and it's not likely to go lower than that there's no need to okay so it's being compressed basically like a spring or a like a more like a bomb really i hate to say it you know so crude but that's what it is it's
like waiting and then all of a sudden it explodes it's waiting just below that daily bear shoulder block and it's digging up into that thing at range on that up close candle on the daily chart so it's climbing up up up up and we watch to see if it gets to the main threshold which is half of that fair shoulder block or up close can on the daily chart i was making rappers to be in the video all right so again we can see zoomed in price breaks back down into the fair vega after trading
through the order block here this is a 15 minute time frame motor block by the way and then it rallies inside this little area in here there's one small little pull back into a fear making a one minute chart i'll leave that for you to go into and study and here is the hourly chart i want to kind of give you like a market structure perspective here's where it's likely to be drawn to next all of this movement down here we completely rebalanced all that here is the fair value gap i had drawn on the
lower time frame chart just a moment ago before we move back up to an hour chart we have consolidated here ahead of running all the way up into this area here so notice what was happening we had to low retrace down into this low to high discount very value gap rallies dealing range low dealing range high retraces down into discount rallies dealing range low dealing range high discount fair value gap order block rally consolidate we rally come back down into the smaller time frame if you're vega snt diversions and rallies and keeps pressing higher heart
higher so my question to you is how many of you first didn't listen to me when i said don't trade two did you try to sell short why the bias has been bullish it's likely to do what keep digging higher we try not to pick tops and look what this has done we've had a low a lower low a sudden dramatic low that we came back up had a shift in market structure here then we retreated back down to this imbalance so we're seeing the market do what keep going higher keep going higher picking up
discount levels each time the algorithm is picking up more accumulated longs to press deeper into all of this range and likely trade into the buy side liquidity here so you have to know what you're looking for narrative and bias also what in this area or over here would constitute a short because we have all this range in here that it's not likely to go up to go straight all the way through all this stuff that's a high resistance liquidity run not that it can't happen but it's likely to not form or pan out because we
had so many supporting ideas in here down closed candles are supporting price it's just finding underlying order flow that is bullish so it's likely to go up just to keep going higher not go up to go down because to go up to go down we have all of these ranges that we would have to pierce and break and that requires a lot of well intent not selling pressure okay and the intent is to send this thing higher on the daily chart which is why i took your attention to that initial gap on the daily chart
so if you found this one insightful and hopefully you learned why today the range expansion took place why was it not as short we've been bullish we've been looking for prices to go higher and just for clarity let me go back up 4000 was my objective only because i mentioned 4000 during the commentaries this week so when i was talking to you in lectures i called this level so i wanted to give you a point of entry and then target hitting it and that was the whole point of me showing you a little vignette on
twitter today showing you that i love what i was looking for how to frame a trade how to set it up and you engage it because it was setting up this trade here okay just for your notes because it gave nice run here earlier before seven o'clock in the morning that means we're probably going to have a deep retracement and look for an ideal scenario like we outlined with the smt divergence so smt usually will occur around a 9 30 time period when there has already been a nice early run before seven o'clock or at
seven o'clock so we got real close to seven o'clock here but i'm not and i'm not limited to this model i know some of you were questioning you know with kind of like pointed remarks on uh twitter you know what are we doing here why are we not using the time frame that's used for the model i'm showing you again just proof that these things deliver as i teach them now i have not only taught what i've revealed on youtube i have lots of students i have students in my paid group i have casual people
that come through and you know watch one video or two videos and i want them to see things that's being taught from my library of concepts so if i can see this setup early in the day before the seven o'clock in the morning to me it gives me insight it gives me an expectation around what the 9 30 opening is going to be like so if i get an early run like this my first thought is i need to go to smt later on at 9 30 because it's probably going to require some kind of
a cracking correlation to set up the next lake if it's going to have one okay it's thursday tomorrow's friday we're going to go into a holiday weekend i will not be trading tomorrow i will not be trading on monday i'm going to be doing one video for my private group tomorrow and it's probably going to be an early video not so much a commentary for price action because you know it's a weekend and memorial day is on monday so the volume is probably going to be light on friday so if you're going to be trading
you study in the morning session lead the afternoon to in the gamblers volume just probably won't be on your side in the afternoon everybody's going to be going away for a long weekend and don't trade on monday take the day off enjoy it have hot dogs hamburgers relax do what you got to do to be a family person i'm going to be doing the theme and until i talk to you lord willing next tuesday enjoy your weekend and your holiday be safe
