The ONLY Entry Strategy You Will Ever Need

Summary

In this video, the trader shares three powerful entry techniques to help traders make more precise market entries. By understanding the concept of draw and liquidity, traders can anticipate price movement rather than react to it. The video covers a confirmation entry method using changes in delivery, advanced entries based on key levels and Fibonacci retracement, and personal strategies for trading reversals. Emphasis is placed on using range context, rejection blocks, and fair value gaps to time entries effectively. The trader also offers mentorship opportunities for those seeking to learn more.

Takeaways

• 😀 Knowing the market's draw and liquidity is crucial for predicting price movement and planning trades.
• 😀 Traders should focus on the market's range, identifying high and low points to understand where price wants to go.
• 😀 A 'change in the state of delivery' is a key entry technique where a price reversal is confirmed by a change in candle structure.
• 😀 Confirmation entries are made after a market shows a clear intention to move in a certain direction, such as when price closes above down-close candles.
• 😀 Using the hourly time frame to identify fair value gaps helps align with market context and spot high-probability trades on lower time frames.
• 😀 Fibonacci levels (50%, 0.75%, and 0.25%) help traders identify key retracement levels for potential entry points.
• 😀 On the lower time frame (like M5), traders look for price to reject at key levels, such as a fair value gap, to confirm entry.
• 😀 Rejection blocks are essential tools, where price bounces off specific levels, indicating potential reversals or continuations.
• 😀 Advanced traders can combine rejection blocks and key levels to enter trades with high probability, using time-based strategies like the 3:00 a.m. New York session.
• 😀 The concept of trading ranges (highs and lows) helps determine the most likely direction of price after liquidity is taken out on one side of the range.
• 😀 Traders should avoid buying when price is already rising or selling when price is falling, instead entering when price pulls back to favorable levels.

Q & A

What is the key concept for successful trading entry discussed in the video?

The key concept is understanding the draw and liquidity within the market. Once you know where the price wants to go, entering the market becomes simple, as you are anticipating price movement rather than reacting to it.

What is the first type of entry technique mentioned in the script?

The first type of entry is a confirmation entry, where you wait for a change in the state of delivery, such as the price taking out the sell side liquidity and then pushing higher. This is confirmed when the price closes above down-close candles.

How do you determine where to enter in a bullish market?

In a bullish market, you look for price to drop to a low within a defined range and then take out the low of the range. Once the market shows signs of a reversal, such as closing above down-close candles, you can enter long with high probability.

What is the role of Fibonacci in entry techniques?

Fibonacci levels are used to identify potential entry points within a trend. When price pushes into levels like 50%, 0.75%, or 0.25% of a fair value gap, these levels act as potential areas to enter long positions.

How does the rejection block method work in the context of trading entries?

A rejection block occurs when price pushes into a level (such as 50% of a wick) and then rejects away from it. Traders use this to identify reversal points or key areas where price is likely to change direction. This is particularly useful when identifying potential entry points in both bullish and bearish markets.

What is the importance of understanding the market's range for successful trading?

Understanding the market's range provides context for price movement. By knowing where the high and low points are within a range, you can anticipate where price is likely to go once it breaks out of the range and take advantage of that movement.

What is the second type of entry technique discussed in the video?

The second type of entry involves using higher timeframes, like the hourly chart, to identify key levels such as fair value gaps. Once price reaches these levels, you move to a lower timeframe, like the M5, to look for confirmation entries and potential continuation patterns.

How do you use the M5 timeframe in trading entries?

The M5 timeframe is used for precise entry. After identifying key levels and trends on higher timeframes (like the hourly chart), you wait for the price to reach these levels on the M5 and look for signs of rejection or confirmation, such as price respecting certain levels like 50% of a wick.

What is the third entry method mentioned, and why is it favored by the speaker?

The third entry method involves buying when price is pushing lower in a bullish market or selling when price is pushing higher in a bearish market. This method focuses on entering after price has rejected from key levels, providing a higher probability of successful trades.

How do rejection blocks and wick 50% levels influence trade decisions?

Rejection blocks and 50% of wick levels are used to determine where price is likely to reverse or continue its movement. By drawing these levels, traders can identify optimal entry points for either buying or selling, depending on the direction of the market and the rejection patterns observed.