Ep. 20 ( Hours 67 - 73 ) Topic: 2022 ICT Mentorship Episode 3 #1000Hours
Channel: level unknown
Date: 06/06/2023

Today I look at Episode 3 of the 2022 ICT Mentorship playlist by The Inner Circle Trader. Please watch the original video linked below if you haven't seen it already.

The Inner Circle Trader
https://www.youtube.com/@InnerCircleTrader

Original Video
https://youtu.be/nQfHZ2DEJ8c

My Twitter
@lvlunknownTOKYO

Internal Range Liquidity and Market Structure Shift

---------------------------------------

[Image_01]

15 Minute Timeframe

Establish buyside and sellside liquidity

- Old lows and old highs
- The appearance of equal highs supersedes a previous local high especially if price rises above the level of the previous local high

When do we begin to look for a Market Structure Shift?

We see price "run through" or "clear" a liquidity level. A Market Structure Shift may appear (or it may not).

A Market Structure Shift will give us a tradeable price leg.

2 Minute Timeframe

Swing

[1] Look for price to enter a buyside or sellside liquidity area.

i.e. It is trading under or above the retail notion of support or resistance.

[2] Look for the previous Short Term Swing High/Low

[3] Look for a candle that takes out the Short Term High/Low.

[4] A Fair Value Gap is created

[5] Trade Entry on return to Fair Value Gap

[6] Profit Targets are the liquidity above/below swings

---------------------------------------

[Image_02]

Order Block Entry

A series of continues down (or up) closed candles that penetrates the liquidity zone.

In this case it is a Sellside Liquidity zone.

Short-term high is violated

High frequency algorithms executing a large number of buy orders

This order volume is NOT what causes the market to go higher

The Algorithm that offers price begins to raise the price and offer it higher

---------------------------------------

What is an Order Block

An Order Block is a change in the state of delivery from buyside to sellside or vice versa.

The idea is to identify points of sensitivity by identifying where the changes in the state of delivery occur.

At the open of the first candle in [Q] the market begins delivering price lower - sellside.

Once price trades above that open at Point [R], there is a change in the state of delivery from sellside to buyside. 

From Bearish Market Structure to Bullish Market Structure.

The Level of Point [R] is "remembered" by the market as a point of sensitivity.

This is repeated in reverse with the open of the candle in [S] and the break of that open at point [T]

When the Algorithm is offering buyside liquidity it is drawn to Buystops. When the Algorithm is offering sellside liquidity it is drawn to Sellstops.


-----------------------------------------

London session

02:00 AM EST
05:00 AM EST

New York session

07:00 AM EST
10:00 AM EST

Asia session

07:00 PM EST
09:00 PM EST

Look for highs and lows for liquidity levels

Morning Trend

08:30 EST - 11:00 EST

No Trades at New York Lunch

12:00 PM EST - 01:30 PM EST

Afternoon Trend

01:30 PM EST - 04:00 PM EST
*02:00 PM - 03:00 PM is a good window to find a setup