ICT Core Content Notes - Month 2 @arjoio 1 Growing Small Accounts Gi Framing Low Risk Trade Setups How Traders Make 10% Per Month 1 No Fear Of Losing Gi How To Mitigate Losing Trades Effectively Gi The Secrets To Selecting High Reward Setups Market Maker Trap False Flag Gi Market Maker Trap False Breakouts ¥ PDF notes ‘Agjo | Twitter, Instagram | Linktree Linktree. Make your link do more 9 tp: contest UL JavaScript is not available. \W hitps:ititer com/anoioGrowing Small Accounts ‘A. what you need to avoid 1) Do not try to rush to make massive gains either pips or % returns 2) Do not open yourself to large risk in hopes of equally large returns or profits 3) Do not assume taking small risk trades will not grow your account 4) Do not sacrifice trading equity for poor planning or lack thereof B. What you need to aim for 1) Determine how to realistically anticipate a favorable reward to risk model 2) Leam to respect the risk side of the trade setups more over the reward 3) Identify trade setups that permit three reward multiples to one risk or higher 4) Frame good reward to risk setups that have little impact if unprofitable The Reality Of Reward To Risk Ratios Minimum Ratio 03:1 ont What Will You Need To See In cI Performance For Profitability? 18:1 24 3 You need time to let compound interest do its magic It doesnt take many trades to make 50% in a month but it does take highly selective trades Pay the most attention to the drawdown, thats the most important. We want to avoid drawdown. Focus on 6% of your equity per month Where Do 6% Per Month Setups Form? Seer hh alt wy U = ecole olnstutonat We my \ aaa Wl", omelet :Know where to take profits before youre getting in Banks trade off of daily levels Agjo | Twitter, Instagram | Linktree Linktree, Make your tink do more, 9 tps con nme UL JavaScript is not available. W hitps:witer com/arioieFraming Low Risk Trade Setups ‘A. What makes the setup worth taking? 1) Selecting trade setups on higher time frame charts is ideal 2) Large institutions and banks analyze markets on Daily Weekly and Monthly basis 3) Locating price levels that align with institutional order flow is Key 4) Higher time frame setups form slow & provide ample time to plan accordingly B. What can we do to lower the risk in the trade? 1) The higher time frame has more influence on price so we focus there 2) The conditions that lend to a trade setup on a HTF can be refined to LTF 3) Transpose the higher time frame levels to lower time frame charts 4) Refining HTF levels to LTF charts allows smaller stop loss placement and risk Just because were going below old lows is not the reason we expeect a reversal, we need a HTF premise behind it ‘Agjo | Twitter, Instagram | Linktree inktree. Make your link do more 2 mp conseJavaScript is not available. Y [Link]FB Add cover @ Add comment How Traders Make 10% Per Month Its having small risk that makes the money Trade from levels that should see institutional sponsorships, daily weekly monthly levels Pay yourself when its available Ajo | Twitter, Instagram | Linktree Linktree. Make your link do more 96 tps it co/HhmeTNATUL JavaScript is not available. 1 hitps:titer comarioioNo Fear Of Losing Why Losing On Trades Won't Affect Your Profitability ' What Trading With Fear Of Taking Losses Actually Does To Your Trading: 4) Staying concerned about taking a loss promotes Fear Based Decision Making. ® Equity that is managed by Traders that can not take a loss — can't profit long term. ») Losing is inevitable — Fear Based Decision Making keeps focus on the adverse. ») Fear Based Decision Making fosters Trader Paralysis or inability to execute efficiently. ©. Why Profits Are Achievable Despite Taking Reasonable Losses: 4) The Professional Equity Manager understands "Losses are costs of doing business.” 2) Using sound Equity Management & High Probability Setups yield handsome % returns. ®) Trading scenarios that encourage potential 3:1 Reward Ratios, provide initial foundation ») Defining Trade Setups that frame 5:1 Reward to Risk or more - efficiently cover losses. Note the open to high on the orderblock, thats the fair value gap, the highest probability support Mean Threshold & Hypothetical Long Entry On Secondary Bullish Orderblock ICT Monthy Mentorship - October 2016 ICT Teaching 4 of 8 We dont want to see the mean treshold of orderblocks get violated with bodies 1% risk makes millionaires 2% tisk is the industry standardConsider The Numbers... wins] Toxe:] Account Size: $6000.00 50% i 50% Accuracy Rate: 50% SWinsinoTades | Stosesiniotiades ~— Rewarrd To Risk: 6:1 Ratio Aver Poft=§25000 | Aver Low $000 : ‘Sub Total = $1250.00 ‘Sub Total = $250.00 Risk Per Trade: 1% Average Win: $250.00 Average Loss: $50.00 Net Profit = $1 20% Return Your accuracy will increase with experience Arjo | Twitter, Instagram | Linktree Linktree. Make your tink do more 98 tps covHhmeTIN ATUL JavaScript is not available. | hntps:twiter comfaioioHow To Mitigate Losing Trades Effectively About orderblocks Ifyou lose on the initial trade, then take 50% off the risk the next trade in the same trade idea As a beginner, if you took a loss, just try to go back to BE and take it off. Especially if its the end of the week, take it off and regroup and end the week at BE or atleast trail the stop loss Arjo | Twitter, Instagram | Linktree Linktree. Make your link do more. 96 tps .co/HhmeTNATUL JavaScript is not available. W hitps:iter comarioioThe Secrets To Selecting High Reward Setups This teaching will be a micro of the trading plan development series ICT doesnt look at all the things in the trading plan development series The ICT mindset is a collective whole, processed thinking Where are we building on? Are we going to buy or sell or stay on the sidelines? What is the process? Experience will define when not to trade narrative has to be binary, very defined. If you dont have a plan then this will lead to impulsive emotional trading. A trading plan is unique to everybody, dont share it with others Entries are not what you need to know right now, you need to develop a process orientated thinking first. You need total understanding The people that are struggling are reactionary and impulsive of what they want to do right now, beginners want to immdeiately get in and start trading. You dont know what defines the trade setups yet, it comes by experience and by seeing ideas ‘Stop looking to do something right now, professional traders are not in a rush, they sit back and wait for a scenario that makes sense All decisions ICT makes before a trade he will share, he has experience and uses processed thinking‘The Secrets To High Reward Trading Setups: ig Pichute Perspective: erent erst Rae arty 2 eer nya Senora orcs Inlermeciate Perspective: Yep Down Aras ‘Shor! Term Perspective: 1 Comet Arye 2 Tepe a Poe Toay 5 POR- rant Pros Dovey Agere Primarily focus on 2 that have to come to agreement, not all 4 have to agree. Inflationary and deflationary markets have big impacts on stocks and commodities as well Caring change market, 2 markets interest rates When your big picture, intermediate and short term perspective are all in agreement then thats What makes a high reward trading setup Again 2 have to be in agreement Intraday charts have no effects on price Daily weekly and monthly are what move price Top down analysis we need 2 in agreementICT does saturday studies, to see where price wants to go The least of significance is market sentiment For short term we need 3 to be in agreement Every 3 months, theres a new price shift. If the market has been going higher youll probably see the market go in consolidation, not the entire 3 months. Preferably 1 from each Executing trades will be tiny of your time, the most time youll spend is finding out wether you want to be a buyer or seller This is the context of where are area of interest will be and what well be leaming Big perspective and intermediate perspective is going to be set on the weekend prior to the next trading week Short term perspective can switch daily When ICT calls out a move, theyre mostly derived from his big and intermediate perspective As a day trader short term trader and one shot kill, ICT uses mostly the short term perspective page The big picture and intermediate perspective is where less losses come from In total 7 things have to be in agreement, thats high reward setups. This will give you olarity Entry signals are the least of your concem This is the routine you go trough ‘Agjo | Twitter, Instagram | Linktree Linktree. Make your tink do mo 9 tp: conte UL JavaScript is not available. Y [Link]Market Maker Trap False Flag Market Maker Trap: False Flags ’. False Bull Flags In Price Action: 4) Not al sudden Price Rallies that move into short term consolidations are Bull Flags. 2) In mature Bull Trends or in HTF Distribution Levels ~ Price will post false Bull Flags. ) Retail Traders will see a Classic “continuation buy pattern” but it wil result in a Reversal. ) Understanding Higher Timeframe Charts & Premium Markets will assist in identifying, ©. False Bear Flags In Price Action: +) Not ll sudden Price Declines that move into short term consolidations are Bear Flags, 2) Inmature Bear Trends or in HTF Accumulation Levels — Price will post false Bear Flags. ) Retail Traders will see a Classic “continuation sell pattern” but it will result in a Reversal *) Understanding Higher Timeframe Charts & Discount Markets will assist in identifying. When price is still destined to continue, this pattern is pretty consistent. But when youre not aware when the trend is starting to end, these patterns will form at the end of a trend ICTMenthy Mentorship - October 2016-ICT Teaching 7 of 8 Mean treshold is from body high/low to body low/high, not the wicks He refines a daily orderblock to a 5m unmitigated orderblockHe ignores big news wicks, only looks at the bodies Its a sentiment play in addition to institutional orderflow on a HTF Look at price action and look what other traders would see, how would retail see the price action ‘Ajo | Twitter, Instagram | Linktree 2 mp conse JavaScript is not available. W hitps:twiter com/arioieMarket Maker Trap Ise Breakouts Market Maker Trap: False Breakouts ”. False Breakouts Above Price Consolidations: +), This condition generally manifests in Primary Bearish Markets. 2) Atsome measure of Equilibrium in Price, the market will move into a trading range. ©) Neophyte Traders or Breakout Traders will bracket the trading range in price with orders. 4) Market Makers will typically send price above the range to neutralize Buy Stops. ©. False Breakout Below Price Consolidations: 4) This condition generally manifests in Primary Bullish Markets. 2) Atsome measure of Equilibrium in Price, the market will move into a trading range. 5) Neophyte Traders or Breakout Traders will bracket the trading range in price with orders. 4) Market Makers will typically send price below the range to neutralize Sell Stops. Primarily the volume is in the bodies of the candle, so the liquidity is below/above the bodies of the candles Theyre providing liquidity The market will always seek liquidityWhere is the most recent area of liquidity that has been untapped with the least resistance to it? Thats your bias Think like @ market maker Do they want to trick sellers or buyers? ‘Study when they go in consolidation and what side are they reaching for and where is the market going after it happens ‘So when were bullish and market goes into consolidation expect every move below the consolidation to be a break out and see if were getting a willingness to go higher afterwards This is the easiest way to see if were in a bullish profile Ajo te. Istagram | Lites P Linktree. Make your tink do more 98 eps [Link]/HhmeTINATU JavaScript is not available. | hipster comfaiio