Summary:
– Purpose: Quick market review before a live trading stream, focused on practical teaching for new traders (use Micro Nasdaq instead of minis to avoid excessive volatility and overleveraging).
– Market view and targets:
– Micro Nasdaq (MNQ) buy-side engaged; yesterday’s daily high was called live at 26,562.75 (claimed “to the tick”).
– Intraday objective ~26,711 (midpoint/event-horizon between liquidity pools); next larger target ~26,859.
– S&P (MES) smashed all-time highs; Nasdaq weightier but both strong.
– Dow target ~49,439 with potential acceleration intraday toward its all-time high.
– Technical approach and observations:
– Emphasis on price-action reads: opening price, high/low/close, fair-value gaps, opening-range gaps, “consequent encroachment,” discount/premium sensitivity, time-distortion accumulation, and using short timeframes (1-minute) for entries.
– He maps liquidity pools and uses an “event horizon” technique (0.5 midpoint) to project intraday targets.
– Warns Friday can produce odd behavior: moves during electronic hours might push through levels that close differently in regular hours.
– Commentary on market structure and credibility:
– Argues markets are algorithmically driven and “rigged” by market-making algorithms; claims dealers/algorithms drive price and hunt liquidity/stops.
– Defends his prior live calls and criticizes other commentators who deny algorithmic control or claim his results are cherry-picked.
– Practical notes: platform latency affected live order placement; he will call out entry/exit levels verbally when platform order entry is impractical.
Quiz
1. According to ICT, why was he looking at Micro Nasdaq instead of the mini contracts?
A. Because the micro contract has less volatility and is better for brand new students
B. Because the mini contract was unavailable that morning
C. Because the micro contract moves faster than the mini contract
D. Because he was only trading the Dow that day
Answer Key and Evidence
1. A
Evidence: “I’ve been focusing on teaching how brand new students should be watching price action… let’s be practical about this in the beginning… obviously I can trade minis, but for someone that’s brand new, it’s not advised because the volatility… Look at this. This is violent.”
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