Smart Money Trading: Top Entry Strategies and Supply/Demand Analysis for Profitable Trading

Summary

This video script delves into the Smart Money Concept (SMC) for trading, focusing on advanced entry methods to identify high-probability supply and demand zones. It explains two main entry methods: reversal and continuation, with subcategories including change of character, flip entry, and market structure shifts. The script emphasizes the importance of using these methods within higher timeframe zones to enhance profitability and reduce risk. Practical examples and strategies for both aggressive and conservative entry setups are provided, aiming to give traders the edge in financial markets.

Takeaways

• 📈 The video introduces advanced entry methods for financial market trading, focusing on smart money concepts (SMC) to identify high-probability supply or demand zones and change of character patterns.
• 🔍 It emphasizes the importance of using these methods within higher time frame supply or demand zones to reduce risk and increase the probability of successful trades.
• 🛑 The script differentiates between 'change of character' and 'flip' entry setups, explaining that a valid change of character requires a price reversal from a supply or demand zone and a break below the market structure level.
• 📉 The 'change of character' is further divided into 'minor' and 'major' changes, with the major change being more significant for market structure shifts and providing higher probability trades.
• 🚀 The video provides a 'pro tip' that a change of character is only valid if it occurs after the price has mitigated a supply or demand zone, ensuring a higher probability of a successful trade.
• 📊 It outlines two types of entry methods for trading with change of character patterns: aggressive and conservative, each with its own strategy for setting limit orders, stop losses, and take profits.
• 🤑 The 'flip' entry setup is described as a way to enter trades quickly during market plummets or surges, requiring a rejection from a higher time frame supply zone and a break of the last demand zone.
• 🔄 The script explains the continuation entry method for missed opportunities, suggesting to wait for price action that breaks structures and then enter trades in the direction of the initial move.
• 📝 The video promises to cover patterns and tools for entry confirmation in future episodes, indicating a series of educational content on smart money trading concepts.
• 👍 It encourages viewer engagement by asking for likes, subscriptions, and comments on preferred topics for future videos, showing an interactive approach to content creation.

Q & A

What is the main focus of the video script?

The main focus of the video script is to share insights and techniques on identifying entry and exit points in the financial markets using the Smart Money Concept (SMC).

What are the two major subcategories of SMC entry methods mentioned in the script?

The two major subcategories of SMC entry methods are the reversal entry method and the continuation entry method.

What is a 'change of character' in the context of the Smart Money Concept?

A 'change of character' refers to a situation where the market has changed its trend or order flow over time, indicating a potential shift in market structure.

What are the two types of change of character identified in the script?

The two types of change of character are minor and major change of character.

What is a 'flip entry setup' in the context of the reversal entry method?

A 'flip entry setup' is a situation where the market reacts to a significant zone and then breaks it, indicating a potential reversal in market direction.

Why should entry methods be used only in higher time frame supply or demand zones according to the script?

Entry methods should be used only in higher time frame supply or demand zones because these areas are seen as having a higher probability due to the sponsorship of the higher time frame, and anything outside of these zones increases risk exposure.

What is the importance of a valid change of character for smart money traders?

Identifying a valid change of character is crucial for smart money traders as it provides an absolute must-have insight for successful trading and enduring losses can occur if a valid change is not spotted.

What is the difference between a minor and a major change of character?

A major change of character occurs when the price breaks a structure that has created a balance of supply and demand (BOS), while a minor change of character occurs when the price breaks a structure that couldn't make a BOS, and is not confidently considered a shift in the market structure.

How can traders use the aggressive entry type in the context of a change of character?

Traders can use the aggressive entry type by setting a sell limit order at the lowest point of the supply zone created by the change of character's wave to the downside, placing a stop loss a couple of pips above the supply zone, and targeting the most recent unmitigated demand zone.

What is the conservative entry method and how does it differ from the aggressive entry method?

The conservative entry method uses two separate time frames: a higher time frame for market analysis and a lower time frame for detecting possible entry confirmations and executing trades. It differs from the aggressive entry method by providing more confirmation setups and lower risk exposure with a smaller stop loss and a higher reward-to-risk ratio.

What is the significance of a flip pattern in the context of the SMC's reversal entries?

A flip pattern is significant as it represents a quick setup opportunity in the market when there is a significant price movement. It involves the price getting rejected from a higher time frame supply zone, testing the last demand zone, and then breaking through it, indicating a potential change in market direction.

How can traders identify a continuation trade opportunity in the SMC?

Traders can identify a continuation trade opportunity by waiting for the price to create a break of structures after a change of character or a flip pattern. They can then place their orders in the order block zones that the BOS or flip has created and target the next unmitigated supply or demand zone.

Outlines

00:00

📈 Introduction to Smart Money Concepts for Trading

The video script introduces the concept of Smart Money Concepts (SMC) for trading in financial markets. It emphasizes the importance of understanding advanced entry methods to identify high-probability supply or demand zones and change of character patterns. The aim is to provide viewers with insights to enhance profitability and reduce risk in trading. The script outlines the structure of the video, which includes a discussion on entry and exit strategies, and encourages viewers to engage with the content by liking and subscribing.

05:01

🔄 Reversing Market Trends: Change of Character in SMC

This paragraph delves into the reversal entry methods of the Smart Money Concept, specifically focusing on the 'change of character' or market structure shift. It explains the difference between minor and major changes of character and how they can be identified in both bullish and bearish markets. The importance of these patterns is highlighted as they indicate a potential shift in market direction. The script also provides a 'pro tip' about the conditions under which a change of character is considered valid for trading purposes.

10:02

📊 Chart Analysis: Applying Change of Character in Trading

The script provides a practical guide to applying the change of character concept in real trading scenarios. It discusses how to identify valid changes of character on charts and the importance of these patterns in relation to supply and demand zones. The paragraph also introduces the idea of aggressive and conservative entry types for trading, with examples provided on how to set up trades based on these patterns in the market.

15:02

🤑 Conservative Entry Strategy and Trade Execution

This section of the script introduces a conservative entry strategy for executing trades using two separate time frames: one for market analysis and another for detecting entry confirmations. The strategy involves identifying major changes of character and waiting for price confirmations before placing sell limit orders. The advantages of this approach are highlighted, including lower risk exposure and a higher reward-to-risk ratio, with a real-world example provided to illustrate the process.

20:03

🔄 Flip Entry Setup: Capitalizing on Quick Market Movements

The script explains the flip entry setup, which is a part of SMC's reversal entries. It describes how to identify a flip pattern in the market, which involves price rejection from a higher time frame supply or demand zone, testing the last demand or supply zone, and breaking through it. The paragraph outlines the steps for setting up trades using both aggressive and conservative entry types in flip zones, with a focus on the importance of reacting to significant zones and breaking them for quick market movements.

🛑 Continuation Trades: Opportunities After Missed Entries

The final paragraph discusses continuation trades as an alternative for entering the market when initial entry opportunities are missed or when traders wish to open additional positions. It explains how to identify continuation entry points after a change of character or a flip pattern has occurred. The script advises on the conditions under which new positions can be opened and the importance of targeting the next unmitigated supply or demand zone. The video concludes with an invitation for viewers to subscribe and engage with the content for more educational videos on trading strategies.

Keywords

💡Smart Money Concept (SMC)

The Smart Money Concept (SMC) refers to a trading methodology that focuses on identifying and following the movements of large, institutional investors in the financial markets. In the context of the video, SMC is used to explain strategies for entering and exiting trades with the aim of enhancing profitability and reducing risk. The video discusses various entry methods under SMC, such as reversal and continuation entries, which are crucial for traders looking to align their trades with the perceived 'smart money' in the market.

💡Entry Methods

Entry methods are strategies used by traders to determine the optimal points to enter a trade. The video outlines two main types of SMC entry methods: reversal and continuation. Reversal entry methods are used when the market is expected to change direction, while continuation methods are employed when the market is expected to continue in the same direction. These methods are essential for traders to time their entries effectively and are illustrated with examples such as change of character and flip entry setups.

💡Reversal Entry Method

A reversal entry method is a trading strategy used when a trader anticipates a change in the market's direction. The video explains two subcategories within reversal entries: change of character and flip entry setup. These methods are particularly important for identifying high-probability areas for potential trend reversals, which can be critical for successful trading. The video emphasizes that these should be used within higher timeframe supply or demand zones to minimize risk.

💡Change of Character

Change of character is a term used to describe a shift in the market's trend or order flow. It is a key concept within the reversal entry method and signifies that the market has changed its primary direction. The video provides detailed criteria for identifying a valid change of character, such as the need for a price to break and close a candle below the previous market structure level. This concept is crucial for traders to spot potential trend reversals and align their trades accordingly.

💡Supply and Demand Zones

Supply and demand zones are areas on a price chart where the price is likely to encounter resistance or support due to previous trading activity. These zones are identified by the concentration of supply (where sellers are likely to sell) and demand (where buyers are likely to buy). In the video, these zones are highlighted as high-probability areas for entry and exit points, and they play a critical role in both reversal and continuation trading strategies under the SMC.

💡Continuation Entry Method

The continuation entry method is used when a trader expects the market to continue in its current trend. The video explains that after a change of character or a flip pattern, traders can look for opportunities to enter in the direction of the new trend. This method is about capitalizing on the momentum of an existing trend, rather than predicting a reversal, and it is illustrated with examples of how to enter trades after a market has shown a clear direction.

💡Flip Entry Setup

The flip entry setup is a specific type of reversal entry method where the market reverses direction after testing a significant supply or demand zone. The video describes how to identify a flip pattern, which involves a price being rejected from a higher timeframe supply zone, testing the last demand zone, and then breaking through it. This setup is used by traders to enter trades quickly when the market is moving rapidly in a new direction.

💡Aggressive Entry

An aggressive entry is a trading approach where a trader enters a position as soon as a pattern or signal is identified, without waiting for additional confirmation. The video discusses how to use aggressive entry in the context of both change of character and flip patterns, where traders set their orders at specific points within the supply or demand zones to capitalize on the immediate momentum of the market.

💡Conservative Entry

A conservative entry is a more cautious trading approach where a trader waits for additional confirmation before entering a trade. The video explains how conservative entries are executed using two separate timeframes: a higher timeframe for market analysis and a lower timeframe for entry confirmations. This method aims to reduce risk by ensuring that the trade setup is validated by additional price action before entering.

💡Break of Structures

Break of structures refers to a price action where the market price breaks through a previously established level of support or resistance. In the context of continuation trades discussed in the video, this can signal a continuation of the current trend. Traders look for these breaks as potential entry points, aiming to join the trend as it continues to develop.

Highlights

Understanding advanced entry methods of the smart money concept can provide an edge in financial markets.

The video shares insights on identifying the best entry and exit points in financial markets.

Introduction of supply and demand zones and change of character patterns for market analysis.

Entry methods should only be used in higher time frame supply or demand zones to reduce risk.

Explanation of change of character in market structure for both minor and major changes.

The importance of identifying valid change of character for smart money traders to avoid losses.

How to spot a valid change of character with candlestick patterns and market structure levels.

The concept of supply and demand zones in relation to change of character for trading decisions.

The difference between minor and major change of character and their impact on market structure.

The significance of supply or demand zones in validating change of character for trading.

Backtest procedure for major and minor change of characters using Trader Edge software.

Real chart examples demonstrating the application of change of character in trading.

Introduction to aggressive and conservative entry types for using change of character patterns.

Detailed explanation of aggressive entry setup using supply zones and stop loss strategies.

Conservative entry model using separate time frames for analysis and entry confirmations.

The advantages of conservative entry for lower risk and higher reward to risk ratio.

Continuation entry models for missed opportunities or additional positions in the market.

Upcoming episodes will cover patterns and tools for entry confirmation in smart money concept.

Transcripts

are you tired of feeling like you're

always one step behind the financial

Market understanding the advanced entry

methods of the smart money concept can

give you the edge you need to make

successful trades in this video we'll be

sharing valuable insights and techniques

that can help you identify the best

entry and exit points in the financial

markets and also we're going to show you

the patterns and methods of smart money

Concepts that you need to identify high

probability Supply or demand zones and

change of character patterns that will

give you the edge and insight you need

to stay ahead of the market this episode

will be a complete guide to how you will

enter and exit trades in the market in a

manner that enhances profitability and

reduces risk exposure so Traders if

that's something you're interested in

please give this video a thumbs up to

show your support and subscribe to our

Channel if you are new see you after the

intro

[Music]

Traders so let's get started what are

the entry methods that we can use in the

smart money concept so SMC entry methods

are divided into two major subcategories

the first is the reversal entry method

and the second is the continuation entry

method

also the reversal entry method has two

subcategories change of character or

Market structure shift and number two is

the flip entry setup so before we get

into the detail of these setups I want

to make this clear these entry methods

should only be used in the higher time

frame Supply or demand zones because

these areas are seen as having high

probability due to the sponsorship of

the higher time frame and anything

outside of these zones increases risk

exposure so guys let's start with the

change of character or Market structure

from the reversal methods what is the

meaning of the change of character or

Market structure shift

change of character means that market

has changed its Trend or order flow over

time and already consists of two types

minor and major change of character

identifying a valid change of character

is an absolute must-have for the smart

Money traders

you will endure some losses if you fail

to spot a valid charge so let's see how

we should identify a valid change of

character

suppose we have a bullish Market that

price makes a series of higher highs and

higher lows in this case each high and

low is the market structure level the

most recent higher high and higher low

is the one we monitor

breaking the most recent higher low to

the downward shows that price tends to

go the downside and wants to change its

primary Direction which we consider a

change of character the key point is for

having a valid change of character we

need price to break and close a candle

below the previous Market structure

level if price breaks the most recent

structure with a shadow and closes into

the most recent structures range then

our change of character is invalid the

same concept applies to the bearish

scenario

but there is a pro tip that you always

need to remember

a change of character is valid only

under one condition that price reversed

and came from a supply or demand Zone

before breaking the recent structure and

creating the change of character

if price without mitigating a supply or

a demand Zone creates a change of

character even with a valid Candlestick

pattern we cannot consider it a valid

change of character

for example we have this bullish Market

where price makes these series of higher

highs and higher lows as you can see

here price created this change of

character after it mitigated the higher

time frame Supply Zone

so the next thing to look for is whether

price closed below this higher Low by

the body of a bearish candle

if our Candlestick pattern is valid then

we can assume that price wants to change

its direction and the change of

character is safe to trade

however if price did not mitigate the

upper Supply Zone we would have a

structure like this

in this case if price moves to the

downside it will be rejected when it

reaches the unmitigated order block

and will start a fresh impulsive wave to

the upside instead of changing its

initial Direction

as we have mentioned before the change

of character would occur in two ways

minor and major

so let's see what are the minor and

major change of character

imagine we have structures like these in

the right corner we have the major chalk

schematic figure and in the left corner

we have the figure of the minor change

of character so guys what is the

difference between them

the major change of character occurs

when price breaks the structure which

has created a BOS for example as you can

see here the price has broken out this

structure which already created a BOS on

the other hand as you can see the price

has broken out this structure which

couldn't make a BOS so here we have a

minor change of character that we cannot

confidently consider as a shift in the

market structure so here if price breaks

this structure to the downside then we

can confidently consider a shift in the

market structure

I've seen so many novice SMC traders

that they consider a minor change of

character as a valid change of character

instead of waiting for the price to

create a major change of character which

provides a higher probability in the SMC

trading setup compared to the minor one

and they mostly ended up with some

losses

I have already started a back test

procedure with Trader Edge software for

testing the major and minor change of

characters in 100 possible trades for

each in euro dollar pair to see that

which one has more win rate and provide

high probability when we execute trades

based on these patterns and I'm going to

share with you the exact results and

outcomes of trades in the next episodes

so Traders stay tuned for that now let's

jump into the real chart and see more

examples

so here we have the 15 minute time frame

of euro dollar on our chart

as you can see price created a series of

bosses to the downside until it reached

this unmitigated demand Zone which is

created in the higher time frame and

then reversed to the upside

as you can see the price has broken out

this structure to the upside with an

engulfing candle so we spot a choch but

before taking action we need to ask

ourselves a question can we consider

this change of character as a sign of a

valid Market structure shift

the answer is no because price has

broken out a structure that couldn't

create a BOS

so guys in this case by appearing this

minor change of character we cannot be

sure that a market structure shift is

going to happen so we should wait for

price to make a major change of

character

for having a major change of character

price must break and close Above This

Market structure which has created a

bearish BOS

so Traders as you can see we have a

major chalk here that indicates the

downtrend is over and a market structure

shift is going to happen

so there is a crucial point that I want

you to pay attention to as you can see

here price has changed its direction to

the opposite after creating a change of

character

but did price respect the minor chaka's

demand zone or is it respected major

Chalk's demand Zone it is obvious that

price did not respect the minor change

of character's demand Zone and if you

had a buy order in that area you would

miss out on such a perfect trading

opportunity because price always has

more tendency to respect the major

change of characters instead of the

minor chalk let's move on to the next

example

so here we have a pretty strong

downtrend that price created a series of

bos's so we see right here that price

has touched the higher time frames

demand Zone reacted to it and went to

the upside

in the following price has broken out

this Market structure and created this

minor change of character because this

lower high couldn't make a BOS to the

downside most SMC Traders consider this

movement as a market structure shift

they expect price to change its

direction to the upside so they would

Place their buy orders at the highest

point of the area which is created by

the chalk

but as you can see Market structure

shift has not happened price did not

respect the minor change of character's

demand area and stop loss of the traders

who have entered into the market with

long as hit by the price and they ended

up with some losses so Traders this

change of character analysis helps me

have a higher chance of getting

successful trades over just taking any

trades without confirmation

so traders in the following topic

I'm going to show you how to use the

change of character to set up a trade

for using a change of character pattern

to take trades we can already use two

different types of Entry one aggressive

entry type and the second is

conservative entry type so let's discuss

both of them in detail so I'm going to

start with the aggressive entry model

imagine prices created this bullish

structure to the upside after reaching

the higher time frame Supply Zone price

is rejected downward and forms a major

change of character by breaking and

closing below this structure which has

created a bullish POS

So based on this type of entry in the

next step we should set a cell limit

order at the lowest point of the supply

Zone which is created by the change of

character's wave to the downside and

also we should put our stop loss a

couple of pip above the supply Zone and

Target the most recent unmitigated

demand so this is the general schematic

of Chuck's aggressive entry let's go

ahead and see a real example

so here on our price chart we have the

euro dollar 15 minute time frame

as you can see price created a series of

bullish bos's until it reached the

higher time frames Supply Zone

price hit and reversed from this Zone

also created minor and major chalks

so the next step in our aggressive entry

setup is setting a sell limit order at

the lowest of the bearish order block

created by the change of character with

a stop-loss couple of pip above the

highest point of our Zone

and we should Target the most recent

unmitigated demand Zone as our take

profit

as you can see this zone is the closest

unmitigated Zone to the current price so

we put our take profit at this Zone

now all we have to do is wait for the

price to activate our cell limit order

so our take profit is hit by the price

so let's move on to the details of the

next topic the conservative entry we use

two separate time frames to execute our

trades in this entry Model A Higher

timer frame for doing market analysis

and a lower time frame for detecting

possible entry confirmations and

executing buy or sell orders

I prefer to use the 15-minute time frame

for doing my market analysis and then I

zoom into the one minute time frame for

executing my trades

but you can already use the one hour

time frame as your higher time frame and

the five minute time frame is your entry

time frame or you can use the four hour

time frame and 15 minute time frame it

is totally up to your personal taste but

the key rule you should always obey is

that your higher time frame which you

would use for market analysis must be

larger at least two times frame

suppose price has created these series

of boss's to the upside and after

touching a higher time frame strong

Supply rejected and created this major

change of character by breaking this

structure to the downside

so what we're going to do in the next

step is draw the supply Zone which is

created by Chalk's wave then we will

zoom into the lower time frame wait for

price to return to the zone and show us

a major change of character

after creating a valid change of

character

we should highlight the order block

created by Chalk's wave on the lower

time frame in the following we should

place our sell limit order at the lowest

point of the Zone with a stop loss a

couple of pip above the Zone's highest

point and for the take profit we should

Target the most recent unmitigated

demand

compared to the aggressive entry type

the advantages of this type of Entry are

that this model has more confirmation

setups and provides lower risk exposure

by providing a minor stop loss and a

higher reward to risk ratio let's go

ahead and see a real example

so we have the 15-minute euro dollar

time frame on our chart as you can see

price has created this series of bos's

to the upside and after touching the

higher time frame Supply Zone It

reversed to the downside and created

this major change of character by

breaking the structure to the downside

next we should draw the supply Zone

created by chalkswave so we have our

confirmation on the higher time frame so

in the next step we should zoom into the

one minute time frame and wait for price

to reach the order block Zone and create

a valid change of character again

as you can see prices reached the zone

and in the following price has broken

out the structure to the downside

and left an incredible inefficiency

behind

so we have got the confirmation we were

looking for in the next step we will

highlight the supply Zone created by

Chuck's wave now we detected our point

of Interest so next we should place our

sell limit order here adjust our stop

loss a couple of pip above the highest

point of the zone and Target the recent

unmitigated demand Zone on the current

time frame or on the higher time frame

as our take profit level

now we have executed our sell limit

let's see what happens

as you can see our sell limit order has

been activated and we have entered the

market

there's a key point you always need to

remember when trying to use the change

of characters in your Trading

chalks are the most effective when they

break through two or more Supply or

demand Zone when they form after a

higher time frame mitigation

when price impulsively breaks through

the zones with few large candles

so let's dive into the details of the

flip entry setup which is the second

part of the smc's reversal entries

the flip entries are one the best ways

to hop in quick setup while the market

plummets or sores and flip is all about

reacting to a significant Zone and then

breaking it now let's see how we can

identify a flip

imagine we have a bullish Market that

price has created a series of higher

highs and higher lows to have a valid

flip pattern first price must get

rejected from a higher time frame Supply

Zone next it should test the last demand

Zone and must be pushed to the upside

and shows a rejection but price should

not create a new higher high and must

break through the last demand Zone which

is tested once and leaves a supply Zone

behind which we call it as the flip Zone

price will test the flip Zone once more

so we should keep an eye on it and put a

limit order there the same concept

applies to the bearish scenario

there is a key point that you need to

remember if price had not reacted on the

last demand or Supply Zone there would

not have been a flip

as you can see the flip pattern is very

similar to the change of characters

pattern but you need to note that in

this particular case every flip is a

change of character but not every change

of character is a flip setting up a

trade with the flip pattern is very

similar to the change of character and

we can use the same trading setups for

both of them

hence we can use aggressive and

conservative entry types to execute

trades in flip zones

but before getting into the details of

each I would like to show you a quick

candle breakdown of the flip pattern

this pattern is most effective when the

price aggressively pushes away from

demand and Supply zones rapidly breaks

through the last demand Zone and leaves

inefficiency behind

if demand was strong it should have

reacted with more momentum and should

have broken out the freshly created

Supply level instead the last demand

couldn't give enough rejection to push

the price to new highs so it turned out

weak which caused it to break this means

that the new Supply zone is back in

control so we're trading the supply side

of the market so next I'm going to show

you how to use aggressive and

conservative entries to place trades

with the flip setup

so I'm going to start with the

aggressive entry

as you can see we have a valid flip

pattern that price rejected from a

higher time frame Supply and couldn't

make a new high and after testing the

most recent demand Zone breaks it

downward

based on the aggressive entry after

identifying the correct flip pattern

first we should highlight the flip Zone

created by the wave which flipped the

recent demand Zone then we set our cell

limit order at the lowest point of the

flip Zone and we will wait for price to

activate our order also we should place

our stop loss a couple of pip above the

flip Zone and we should Target the next

unmitigated demand Zone as our take

profit let's apply these steps to the

real price chart

so here we have euro dollar 15 minute

time frame

as you can see we have a bullish Market

that price has created bullish bos's

mitigated the higher time frame Supply

Zone and reversed to the downside and in

the following price reached the recent

demand Zone and created a tiny reaction

to the upside with these white candles

and then price was pushed to the

downside and has broken out the Zone

with inefficiency so we have a perfect

flip pattern next we should highlight

the flip Zone created by the wave which

flipped the recent demand Zone next I'm

going to place sell limit order at the

lowest point of the flip Zone with the

stop loss a couple of pip above the flip

Zone and I'm going to Target the one

hour time frames unmitigated demand zone

now that we have placed our cell limit

let's see what will happen

as you can see our sell limit order has

been activated and we've entered the

market

so let's move on to the details of the

next topic the conservative entry

imagine we have a perfect flip pattern

in the 15 minute time frame that price

after mitigating the higher time frame

Supply couldn't make a new high and

finally flip the recent demand Zone

after showing us a pullback

so first we should highlight the flip

Zone created by the wave which flipped

the recent demand Zone then we should

zoom into the lower time frame

wait for price to return to the flip

Zone and show us a major change of

character

after creating a valid change of

character next we should highlight the

order block created by Chalk's wave on

the lower time frame in the following we

should place our sell limit order at the

lowest point of the Zone with a stop

loss a couple of pip above the Zone's

highest point and for the take profit we

can Target the higher time frames

unmitigated demand or we can Target the

swing low of the current time frame

let's see an example

so we have Euro Yen 15 minute time frame

on the chart as you can see price

mitigated the higher time frame Supply

Zone It reversed to the downside and in

the following price reached the recent

demand Zone and created a tiny pullback

to the upside with these two white

candles and then price push to the

downside and broke out of the zone and

has left inefficiency behind here we

have a perfect flip pattern

next we should highlight the flip Zone

created by the wave which flipped the

recent demand zone now we have spotted

the flip Zone and next we should zoom

into the one minute time frame and wait

for price to reach the flip Zone and

show us a valid change of character

as you can see price has reached the

flip Zone has broken out this structure

to the downside and left an incredible

inefficiency behind so we've got the

confirmation we were looking for

next we are going to highlight the

supply Zone created by Chalk's wave now

we have detected the point of Interest

so next we should place our sell limit

order here and put the stop loss a

couple of pip above the highest point of

the zone and Target the recent

unmitigated demand

now we have executed our sell limit

let's see what happens now our sell

limit order has been activated and we

have entered the market as you can see

price after triggering our sell limit

went down and finally hit our take

profit and provided a trade with an

eight reward to risk ratio

so guys we already have discussed

reversal entry methods of smart money

trading setup in detail so let's have a

brief explanation of smc's continuation

entry models

if you miss the change of character flip

patterns or Price action didn't give you

an opportunity to enter the market then

taking a continuation trade is the

easiest way to execute trades imagine we

have a bearish market that price after

mitigating the higher time frame's

demand Zone has made a change of

character

Now by emerging a chalk we know that

sellers have lost control and we must

look for a long opportunity so suppose

somehow you miss the change of

character's entry opportunity or you

just want to open another long position

so how would you manage to enter the

market

in this scenario for executing long

positions you should wait for price to

create a break of structures then you

can place your order in the order block

zones that the BOS has created and you

may Target the next unmitigated Supply

Zone but there is a key point that you

need to consider you are only allowed to

open new long positions until price has

not reached the unmitigated Supply Zone

let's see another continuation entry

scenario

if price reaches the higher time frame

Supply or demand Zone creates a tiny

pullback and after that breaks the Zone

then you are allowed to enter into the

market in the initial direction of the

price

you are allowed to set a buy or sell

Order In the Zone created by the wave

which flipped the recent demand or

Supply zone so Traders we have discussed

entry methods of the smart money Concept

in detail

in the following episodes we will cover

another crucial topic of the SMC the

patterns and tools which you can use as

confirmation for your entries so stay

tuned for that I hope this video was

helpful to you

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