I Simplified ICT's Turtle Soup Strategy

Summary

In this informative video, the presenter demystifies the 'Turtle Soup' trading strategy, a powerful intraday model based on internal to external range liquidity. With real trading examples, including a recent successful trade, the video offers a no-fluff breakdown of the concept, highlighting key elements like recognizing market models, identifying resting buy and sell sides, and using fair value gaps for entry points. The presenter emphasizes the importance of backtesting, journaling, and continuous learning to improve trading skills, also mentioning a mentorship program for further guidance.

Takeaways

• 🐢 Turtle Soup is a trading strategy based on internal to external range liquidity.
• 📈 It involves selling above old highs and buying below old lows, aligning with the overall market bias.
• 💰 The strategy is powerful when applied correctly, offering a high-quality entry model with good risk-reward ratios.
• 🔍 Key levels in the market, such as fair value gaps, can provide additional conviction for trades.
• 📊 Turtle Soup entries are identified by observing the market's reaction to resting buy and sell side liquidity.
• 📈 In a bullish scenario, the strategy involves buying sell stops and targeting an expansion towards external liquidity.
• 📉 Conversely, in a bearish scenario, the strategy involves selling above old highs and targeting new lows.
• 📚 Recognizing market models, such as the market maker model, is crucial for identifying Turtle Soup opportunities.
• 📈 The script provides a real-life example of a Turtle Soup trade taken by the speaker, demonstrating the strategy's application.
• 📚 Reflecting on trades and journaling is recommended for improving trading skills and understanding market dynamics.
• 💡 The speaker offers mentorship and educational resources for traders looking to enhance their skills and understanding of trading strategies.

Q & A

What is the main topic of the video script?

The main topic of the video script is explaining and demonstrating the 'Turtle Soup' trading strategy, which is a powerful intraday trading concept based on internal to external range liquidity.

Why might people find 'Turtle Soup' difficult to understand?

People might find 'Turtle Soup' difficult to understand due to its unusual name and the overly complicated explanations found in some YouTube videos.

What is the basic definition of 'Turtle Soup' in trading?

The basic definition of 'Turtle Soup' is selling above old highs and buying below old lows, but it involves more nuances such as aligning with the overall market bias and considering intraday models.

What does 'dumb money' refer to in the context of the script?

'Dumb money' refers to traders who are getting chopped up in the middle of a trading range, constantly fighting back and forth without a clear strategy or understanding of the market.

What is meant by 'resting buy side' and 'resting sell side' in the script?

'Resting buy side' and 'resting sell side' refer to the areas of the market where smart money is looking to buy or sell, respectively, typically outside the range where 'dumb money' is actively trading.

How does the 'Turtle Soup' strategy utilize the concept of 'internal range liquidity' and 'external range liquidity'?

The 'Turtle Soup' strategy uses 'internal range liquidity' to identify potential entry points by selling above old highs or buying below old lows. It then looks to target 'external range liquidity' as the exit point, aligning with the overall market bias.

What is the significance of 'fair value gaps' in the 'Turtle Soup' strategy?

'Fair value gaps' provide additional conviction for trades in the 'Turtle Soup' strategy. They are key levels where the market is expected to bounce, offering potential entry or exit points that can enhance the risk-reward profile of a trade.

What role does the 'SMT' play in enhancing the 'Turtle Soup' strategy?

The 'SMT' (Supply and Demand Time) adds conviction to the 'Turtle Soup' strategy by indicating a favorable external draw, confirming the market's direction and increasing the likelihood of a successful trade.

Why is the risk-reward ratio of 'Turtle Soup' entries considered favorable?

The risk-reward ratio of 'Turtle Soup' entries is favorable because traders are buying below sell stops or selling above buy stops, which often results in a significantly reduced risk while targeting larger potential profits.

What advice does the script provide for traders who are new to the 'Turtle Soup' strategy?

The script advises new traders to start backtesting, look for 'Turtle Soup' patterns in historical charts, keep a trading journal, and constantly reflect on their thoughts and decisions to improve their understanding and application of the strategy.

What additional resource is mentioned for traders looking for more help with their trading?

The script mentions a mentorship program where traders can join a community for live trading sessions, educational content, and support from the mentor, which can be found through a link provided in the description.