Execution III - The Bigger Picture

Here we want to look at understand how price delivers on the bigger picture, once you begin annotating order flow precisely on your ETF you should be able to filter out the noise easily.

To embed a Youtube video, add the URL to the properties panel.
To embed a Youtube video, add the URL to the properties panel.
To embed a Youtube video, add the URL to the properties panel.

Theory

High level execution is based on the overall setting;


  • How close we are to our targets ; such as an OC or DOL?

  • Has price formed clear imbalances or not; Showing intent?


It's literally just those two...


Entry models such as OTE ; OB and then imbalance are pure there to fight inexperience. It is to show simplicity. This is also why majority of the SMC traders and what not can NOT get their approach to work - Because their whole focus is to do some quick top down analysis then wait for a magic pattern.... this is completely upside down.


Our goal is to know where WE WANT to see price going;


  • - What phase is the price in ( which model are we going to play ) - This will showcase what type of entries we want to use

  • - Using timing as a tool (London versus New York) - Did the protraction happen already, will it happen? etc..


From there it is super simple - We look for a clear area where our PDA's overlap and take the most hot confluence - if not we use OTE indeed to make sure we are in the move.

Trading is like a book;


Where every category, every chapter has 5 subpoints, and every one of those has an additional 5 subpoints.


It can go in depth very easily.


Essentially you want your trading plan to be simple.


It can be one sentence.


"My name is Max and I only trade second level injections in a buy/sell model."


However ; if we were to break that down it would quickly become a 50 page book - especially if we start back tracking everything to the theory we covered in volume 1 and 2 of exodus.


You get me?


You have all the necessary information in your heads to have a clear and simple approach which you can now follow.


My goal is to now put all the important pieces together to get the next level clarity for you.


Let’s go over with an example; I will be discussing how we get to our main setups, trade execution and what I use on a day to day basis in my trading.


The goal is to highlight key areas of liquidity where price needs to trade into. This is also noted with fractality - it can happen on all time-frames.


The main model is obviously on our ETF - M15 and M5, which is where our focus lies on. But these structures happen on all timeframes.


We must understand that if we see a bullish injections, and condition and price is focused on buyside and moving higher.


We have to understand if price goes higher based on our DOL, what level and area is still focusing on. This is called our RANGE OF OPPORTUNITY.

And we have this premium PDA, which could be this orderblock or be a liquidity void which price needs to fill.

It can also be a volume imbalance. We should be getting familiar with that concept. Notice always how nicely price trades into a volume imbalance.

So in this case we know both sides of the story - before it usually happens.


We don't predict, we react to what the market gives us. But we know exactly what we want to see if we have these two things;


  • - Original Consolidation

  • - Premium PDA/Draw on liquidity


We have been covering this since Day one - volume 1 execution.


But it should really now become familiar that we can play both sides - always.


You will notice in my thought process as well, I think in logic tree's. If X happens, then Y, if not Z.


That is always going to be the case with these models. If we break higher on an OC, we can trade up until that PDA, if not go lower after the OC breaks.


The first phases of the move are the tricky part;


In this case it could be a consolidation that breaks out, or the last phase of this bigger bullish trend - noticing that if price rallies into that PDA it could collapse there and become a reversal pattern. Remember fractality.

Project & Resources

Project & Resources

Project & Resources