All language subtitles for 1) Market Structure

What I wanna do is start off
with the market structure

basics. So when we are
identifying market structure on

a price chart it is a crucial
part to actually knowing what

the pair is doing. So knowing
what phase of the market we're

in and how to know when a
pair's structure is shifting.

To a different direction. So is
a currency pair trending up?

Trending down? So are we
putting in lower lows, lower

highs, higher highs, higher
lows. Are we ranging? So a

range by market where we're
staying within you know two

price points not really moving
up or down. Is price impulsive,

corrective, so we will know
what a pair is doing by

identifying the structure. So
as I just said um what we have

here on the left is an
uptrending market. So in an

uptrending market we will get
higher highs and higher lows.

So as you see we have a higher
here and price pullback. Now as

soon as we get price break
above this higher it it

confirms this to be the higher
low. So all all the time that

price is trading within this
high. So below it we haven't

got a confirmed higher low
until we break above. Okay so

once we break this is the most
recent higher low and that's

the higher higher. We pull back
higher low. We then wait for a

new higher which confirms the
higher low and then higher high

higher low higher high. Now the
same is in a downtrending

market but obviously it's
flipped so it's the opposite.

So we will get a low. A
pullback and this lower high is

not confirmed until price
breaks this low here. Okay so

we get a break below which
confirms the lower high. Lower

low. Pull back. Lower low.
Confirming the lower high.

Lower higher. Lower low.
Confirming the lower high. Okay

so This is, you know, the
basics into trending markets

and you know, the market
structure. So, a higher high is

not confirmed until we get a
break of the most recent high

and then vice versa for a
downtrend. So, let's jump on to

your USD and let's just look at
this on the charts. So, let's

just start off here, okay? So,
price is pulled back and we've

broken So we've made this low
which you could say kept going

lower until here. This is when
we actually got a pullback. So

this low this whole leg down
broke below here. Okay so you

can clearly see it's broken
this low. So we have a lower

low. We then have a lower high.
So we you can see price pulled

back which is tapped into an
order block which would be more

visible on a lower time frame.
So the low that we need to be

broken is clearly here which
you can see price pulled down

to here. This is one, you know,
continuation led to the

downside. Then, price pulls
back but this is not confirmed

as a lower high but you can see
what price done is tried to

come down but we failed to
break below this lower low and

instead we come up um to test
the lower high. We then pull

back but then we eventually we
break it with this move. This

impulsive move R that broke
this lower high. So as the

lower high was broken and we
didn't get a lower low you know

our bias has flipped from a
bearish market to now a bullish

market because you can see the
high was the lower high was

broken. Price then pulled back
and we get higher high. Which

we can classify this as the
highest point. So you can see

this is a new higher higher
because it broke above this

highest point here, okay? We
then pull back and make a

higher high. This is now
confirmed as the most recent

higher low. Now I'm just gonna
zoom over. So we have a high

high, high low. Price then
pulls back. We consolidate for

a you know a good few days
here. We come up to test this

high but we don't break it
until here. So we can where

would we classify the higher
low? Well technically the the

lowest point is here so we can
mark this as a higher low.

Bearing in mind we have errors
here that we can looks to be

getting long from this is the
higher low we then get a higher

which you know the highest
point is surround here. So

that's the most recent high or
low. High high. High or low.

High high. This is confirmed
once we got this impulsive move

up that broke this high. Now we
could say that this we had a

you know an impulsive move up
that made the higher high. We

pulled back and then we made
this higher higher. We come

down to test it. We put pulled
off and then we broke it. So

essentially we had a you know a
little um break of structure

but you know this could be
grabbing liquidity from people

who are in longs on these
higher lows with stop losses.

We didn't quite tap into any
sort of point of interest. We

just sort of pushed up from
here. But you know the lowest

point is here and then we
actually do put in a higher

high and a higher low okay? It.
So this is basically you know

market structure

No

to mark your structure mapping
and the different types of

structure breaks. Now getting
into market structure mapping.

There's a few different
variations of market structure

breaks that I want to cover.
Now it is important that you

choose one of the following as
your market structure break and

as your go to to stick with you
know and be consistent with it.

The more back testing you do
and the data that you collect

you'll you'll come to find
which one works for you. And

the one that you wanna use. So
once you find it it's important

to be consistent with it and
use that as your go to. So the

first type is going to be on
the left here and it's where

price break structure so if we
look at this we have a low and

price pull back then we broke
the low okay this type is gonna

be where we classify our
breaker structure with a candle

body closing below the bodies
of the candles so the load

we're looking at now we're not
taking into consideration the

wicks we're just looking at the
bodies of the candles and a

candle body closing below them
bodies, okay? So, break type

two is gonna be where it's the
same as type one but we're

looking for a break below the
wicks. A candle body closing

below the wicks. Now, this is
the one that I personally use

and it is the most popular,
definitely, because I think it

is the most reliable. Um so,
it's definitely the one I

recommend for you to use but
again, it comes down to your

own preference and you know,
what you find the best

consistency with. So type three
this is the final type. It is a

candle wick closing below the
candle wicks of the low. So

wick to wick. Now in my own
years of experience this type

is the least reliable out of
the three. Hundred percent. As

it does not really show us any
true break. So you need to

think of it as you know price
has come down and it's tried to

break and close you know down
here. So price got to this area

here but it's wicked and buyers
have come into the market and

closed it back up here. Above
the actual low. So if when I

see something like this where
we get a wick and it closes

above it could be just grabbing
the liquidity you know faking

out people into the market by
enticing them in before

reversing So, it's definitely
not one that I would ever be

using. Um type two is what I
want you to focus on. Or or

type one they're both you know
reliable but type three is not

reliable in my opinion. So type
one and type two do your own um

back testing and data and see
what works best for you. So

looking at some examples of
structure breaks. What we can

see here on Euro USD hourly
time frame. We had a breaking

here so if I just zoom in you
can see we had this higher we

had a little bit of a range and
then this candle broke

structure and we got a wick but
we did close above and then you

can see price pulled back into
a bullish order block which is

here before we see some huge
momentum to the upside. Now as

we broke above and closed above
the structure this would be for

me a valid um sort of trade to
be looking at as we come back

into this hourly order block
which we can refine on a lower

time frame. But if I look at
some of these examples here you

can see we had this bit of a
consolidation range. We pushed

down ranged. We had a low.
Price come down looking like it

was gonna break this low. We
wicked it and closed above. And

then you can see price then
reversed to the upside. So for

me this is just grabbing some
sell side liquidity from these

equal lows. Before you know
they reverse price up to you

know these highs here. As you
can see we also get a wick

above this high. Which is
taking some more by side

liquidity. Price then reverses.
We put in a new low. And then

we pull back and then we have a
huge wick. So we at one point

price was down here. And then
we actually closed bullish. So

we pushed down below this low
and then closed above it. And

if we look left we can also see
that this wick tapped into a

bullish order block. You know
perfectly mitigating before

continuing. So this is why this
is definitely not a valid

breaker structure for me
because this is just you know

it's generating liquidity.
Rebalancing this impulsive move

here tapping into an a bullish
order block that has yet to be

mitigated before you know
reversing price to the to the

upside. So that's why it's
important to understand your

breaks and structure and er how
it's breaking. So is it

breaking you know showing you
that it actually wants to break

and go in that direction? Or is
it breaking with X um

mitigating something to the
left before then continuing to

the other side. Now the last
example on EU again I'm gonna

go through quickly. So if we
look at what price was

currently doing we was you know
clearly putting in lower lows

and lower highs all the way
down here. Not if I just zoom

in a bit more. So fully zoomed
in. You can see at this point

here we had price put in this
lower low and a lower high.

Because you can see this is the
lower low that broke this low

here. So then we can see that
price impulsively broke the

structure. Now for me this
would be a valid breaking

structure because you can see
we had a candle body that

closed above the widths of this
lower high. Okay so once we've

got this we can see we left
imbalance as well. We have a

nice momentous move showing us
a change in market structure.

We can then take the the last
down candle as our order block

which we can then obviously
refine down to this candle here

because the momentum came in on
the next candle which broke

structure. So you can see after
that we did get a good day or

so of you know a range by
market. We we did broke

structure again. So we've did
break structure here. Price did

come down quite impulsively
into that level. We did range.

You know this is building some
liquidity which is more seen on

a lower time frame. We have
equal lows. Price come in

tapped into our order block.
You know which we can obviously

refine on a lower time frame
but this you know this is what

we can be looking at. And then
you can see price um reacted

from this order block.
Rebalance bit of price and then

we can see the impulsive move
to the upside from here. Okay

so move on, I wanna get into
looking at how does price break

structure. So, when we are
looking at structure breaks,

it's very important to note how
it breaks that particular piece

of structure. So, what I mean
by this is, I'll be breaking

structure and truly switching
from a bullish to bearish

market or vice versa bearish to
bullish or I'll be breaking a

structural low high, grabbing
liquidity, tapping into an

unmitigated area of interest to
then see price continue with

the overall trend whether that
be bullish or bearish. This is

why it's important that we take
note of how price breaks.

Because it will give us a
really solid idea of what price

is actually doing and where
it's likely to be heading. So

this first example I've drawn
some diagrams here. So this is

gonna be our hourly time frame.
Okay so you can see we've put

it in higher highs higher lows
all the way up. Now this moved

down broke the higher low. Okay
so we've got breaking

structure. So what we're gonna
be assuming on this example is

this move here is a calm and
corrective break of structure.

Meaning you know there's not
much momentum behind it it's

just a breaking structure with
corrective and low momentum

candles okay so when when we
get this um so we're gonna view

this as a common corrective
breaking structure meaning it's

very likely that price is
coming down to sweep liquidity

and tap into an unmitigated
demand zone that was previously

created because once we was
making these high highs and

higher lows you know we're
breaking structures to the

upside which is creating demand
levels and order blocks. Um we

may see something that's left
behind and untested unmitigated

you know imbalance left behind
as well. So this breaking

structure could be you know
grabbing liquidity from anyone

who's in the bias and trading
stop losses at the lows.

Because we know that there's
liquidity at every low and high

in the market. So this could be
a breaking structure taking

liquidity tapping into an order
block which is unmitigated

before continuing with the
overall bias which is you know

bullish. Okay so this would be
our hourly demand. The price

tapped in. Now what we can see
from this on a lower time

frame. So this is the hourly.
If we look to the right here

this is our 1 minute
perspective. So this is gonna

be our 1 minute time frame and
this is our hourly demand. So

this um box here, okay? Which
is shown here. So this move

coming down that broke
structure will look like this

on a lower time frame so we
would be seeing lower lows and

lower highs. As price taps in
to the hourly demand we can

look for you know where is the
lower low and the lower high.

Well we have a lower low here
and this is the most recent

lower high. We can look for
price to break structure that

will create a bullish order
block which we can look to get

long from. Now with targets we
can look for you know previous

hourly highs. Because the
anticipation for us is to still

see bullish order flow. We've
swept liquidity so we wanna see

price put in new higher highs.
So let's now look at the same

but a change in how um price
break structure. So in this

example this is the same but
we're gonna be looking at this

breaking structure as an
aggressive break um rather than

a corrective break. So we have
the same thing higher highs and

higher lows. This is now gonna
be an impulsive break of this

structure. So let's just go for
it. So an aggressive breaking

structure meaning we would see
some large momentum candles

which would ultimately leave
behind price imbalance. So on

this move here. So once price
broke structure we can classify

this as the market shifting
from bullish to bearish because

we've seen you know large
momentum. So the BOS median

breaker structure. Once we get
that we form a supply zone and

order block which can we we can
look to get short from as we

can anticipate a pullback into
that zone and for future lower

lows and lower highs to take
place. Bearish order flow. So

once we get an impulsive
breaker structure this will be

our supply zone you know
somewhere up here. We we may

have areas below it which we
can refine on a lower time

frame. Um but for this example
we're gonna be saying this is

where we wanna get short from.
So again we can look at the 1

minute time frame perspective.
This is what we we could look

to see as we tap into the
hourly supply. So prices

forming higher highs and higher
lows coming into it. We wanna

see a nice breaking structure
below the most recent higher

low. Which will give us an
order block which we can look

to short from and the same goes
for targets. At a minimum as

we've switched our bias from
bullish to bearish. We wanna be

looking for price to put in
hourly lower lows and lower

highers so this would be the
most recent low. We wanna see

price take out this low. So
this is a good place to target

for you know a first a very
first target at a minimum.

Understanding the buy to sell
approach. So we shouldn't be

afraid of buying before the
longer term sell. So what I

mean by this is let's say price
broke structure to the downside

as we can see here. Whether
that was a calm or aggressive

move that broke the structure.
We can still look to take longs

er from you know an area if
there is an area there to to

long from. So if we have a
demand level which was untested

then dependent on how the lower
time frame confirmation um what

is showing us on a lower time
frame as we come into this

level we can take longs from
here where we can target a

supply zone which was you know
recently created from this

broken structure. So we buy
from here and target up here

before a longer term sell which
we can then expect for price to

make new lows and then lower
lows, lower highs from there.

Um Now this move from here as
we can use the low time frames

to our advantage. We can
obviously get in with a very

tight stop loss and this move
from here to here could be

could be thirty pips, twenty,
sixty, whatever. Um we can

still make some nice percentage
in this move here. Before we

look to sell. So we can buy to
sell. Now, the reason why this

is also higher probability is
because once price comes into

this level, we're essentially
mitigating this move, taking

liquidity from anyone who's in
buyers or even trading some

form of breakout on this
structure break, whatever,

whatever the case may be.
Liquidity is being taken. So,

people are getting stocked out
to to then see price come in to

a supply zone. So basically the
it clears the way for you know

liquidity and price can tap
into a supply zone and then we

can shorten from here. So this
move now has been mitigated.

This demand zone we've seen a
push off so we can now classify

this as a completed sort of
move. We've pushed off once

price comes down. There's not
much real reason why this

demand zone will hold again
because it's been mitigated

already from this move here. So
we can see you know price come

down and take out these lows
here. An example of a buyer to

sell or in this example is
gonna be a sell to buy. Um

we're gonna talk about you know
when we break structure we can

sell and then we can look for a
longer term buyer from an

untested er area. So this is
also a trade that I took. Um

this will so the week just
gone. So I think it's a good

example for me to use. So let's
get into it. So if we look at

price we had this high and
price come up we see a bit of a

range. We did form equal highs.
And this is the high that took

some byside liquidity. So once
we had this high we had a

higher low here. So range this
is the move that broke to a new

higher high. This is the higher
low. We can then see price

after sweeping by side
liquidity we came down to break

structure. Now on this candle
here we actually wicked it but

if we did drag it along to this
candle we did close below. So

this is a valid breaking
structure. And it's also seen

on a lower time frame. The
fifteen or five where we did

actually close below. But this
for me would be a on the hourly

it's a calm breaking structure.
As we have closed below we can

still look to sell from this
supply zone before a longer

term buyer from these areas
down here. So once we broke

structure as you already know
we have the last up move.

Before the down move that broke
structure we can then also

refine it from this last up
move to this candle here

because we can see this candle
has not engulfed the order

block. So this is our supply
zone and order block which we

can look to get short from. So
As we came down, we did get

some wicks which for me is just
taking liquidity from this um

higher low prior to this one.
So, you can see we had this

wick that come down. So, anyone
who's in buys um you know,

who's holding from this uptrend
would likely have stop losses

at this low. So, you can see
price come down to take that

liquidity reversed and then
reversed again. So, you know,

this happens every single day.
You'll see it on every time

frame. So, I'm not I'm not
gonna get into my entry on this

trade. Um Abo zeigt

Ähm Also ich als euer Mensch in

if we have any uh demand levels
that have been unmitigated and

left you know for a later date.
So let's have a look. So we had

this high higher and a higher
low. Price come up to form

these equal highs and then we
see some huge momentum that

essentially broke this high
here. So we can mark it on

breaking structure. We wicked
it but you know we can see this

is a range and then we expand
it out quite momentously

leaving behind imbalance. So
for this example I'm gonna put

on this demand level. We do
have an order block. So this is

the order block but let's just
mark on the actual range. From

the high end to the low. Should
be the Okay so as price come in

we we can we can note that
we've seen some heavy momentum

coming into this level. So
price has taken out this low.

Rebalance this move that was
made you know previously. But

price is impulsive. So what we
could do on a lower time frame

is we can wait for price to
slow down. Show us they

actually want us to respect
this area and actually go long

from here to potentially back
up to these highs. But if we

get another candle you know
something like this that just

completely destroys this demand
level. Then you know it hasn't

holded so we can just classify
it or we can just deny it and

just move on and look for you
know bearish sort of structure

and look to get short but the
next candle, I'm not gonna go

down into a lower time frame
and look at the entries but you

can see we did close below it.
You know, sorry, we we wicked

below it but we closed back up.
Now, for me, this is not

invalidating the demand zone
because it's about how it

breaks. Is it breaking
momentously or is it breaking

um correctively with wicks and
we can see it is breaking with

wicks. So, on a lower time
frame, firstly, when we get

wicks, if we get a wick on an
hourly time frame, it will be

an order block on a lower time
frame. So, wicks just show us

order blocks basically on lower
time frames. So, there is

entries here on a lower time
frame like the five or the 1

minute which I won't go into
but you can see what happens

next. We do respect the demand
zone and we do correct but then

you can see we come up to
rebalance this candle here from

wick to wick we then break
above it and

you can see we then do come up
to previous highs and back up

to test this wick here which we
know as an order block on a

lower time frame. And that's
where price then reverses

again. So you can see how let
me just mark it on. So this

week here we know as an order
block on a lower time frame.

Look how price respects it. Now
we do wick above it. Which is

you know it's likely because we
want us price wants to generate

liquidity before reversing. But
ultimately it respects it and

then we break structure back
down to the low. So this is

where price currently is. Um
but this is just the the

concepts of you know buying to
sell, selling to buy. Now as

we've already tapped into this
demand zone it's likely we

could now see lower prices um
and we can look for sales. But

you know price will tell as we
go into next week. But I hope

that was um valuable and if you
have any questions let me know

in this word.