MMXM Mentorship Episode 18: Short Term Perspective

[0:00]in this lesson we're going to be talking about short-term perspective a New York session bread and butter model so we've have that long-term perspective that intermediate term perspective right and now it's time to dive into an actual entry model so shortterm perspective let's think back to the previous lessons right that long-term perspective the why price should go to a specific level we know how to do that right now now then we had that intermediate term perspective right how price will get to that specific level and now we're going to be talking about that short-term perspective which will be our entry for our execution and the trade so obviously we're going to talk about a specific time window which is going to be 800 a.m. EST to 12:00 p.m EST and this is the Kill Zone for this model and we got to do a little shout out to the currency Merchant for the logic behind this time window so thank you the currency Merchant the New York session between 8 and 12 is the bread and butter time window of the daily range it's The Sweet Spot in the daily candles power of three right that open high low close for a bearish candle or the open low high close for a bullish candle between 8 and 12 price only does two things we either have a continuation pattern or a reversal pattern so 8:00 a.m. EST to 12:00 p.m. EST is our Kill Zone now at 9:00 a.m. and 10:30 a.m. EST usually that is The Sweet Spot in the Kill Zone for reversal days for the reversal pattern so we'll outline this in the charts coming up and we'll see how that is formed and then we have 10:00 a.m. to 11:30 a.m. this is when London was a extremely large range or we have a red folder at 10:00 a.m. now continuation days in a New York continuation we want to have seen London go below or above midnight opening price to accumulate for the daily range right so smart money accumulates sell orders Above This New York midnight opening price right to continue down lower during the day and vice versa will accumulate long orders below that New York midnight opening price to go for an expansion higher so at 8:00 a.m. we Del at a vertical line and when we look left for failure swings right remember back into the Core Concepts we've got those lrlr signatures low resistance liquidity runs right failure swings equal highs equal lows trend line and all that kind of stuff the only two options for framing a trade between 8 and 12 are premium or discount array retracements or stop hunts so on reversal days if we are bullish we want to buy below the opening price at midnight night right and if we are bearish we want to sell above the midnight opening price so at 8:00 a.m. we delineate a vertical line and then we look left for those failure swings right those lrlr signatures then we think back about Core Concepts right failure swings engineered liquidity equal highs equal lows trend line Phantom and all that kind of stuff now what are we targeting we're going to be targeting previous daily high or low right the easiest drawn liquidity Asia high or low or l high or low the only two options for framing a trade between 8 and 12 are premium and and or discount array retracements or a stop hunt so now we also need to know when to avoid New York session right so when do you when do we want to avoid New York session when London is an extremely large range and why do we avoid it because most of the time the daily range has expanded already and New York session then tends to consolidate or accumulate or go into a like a shortterm Seek and Destroy profile right there's no juice anymore in the market and targets have been hit already also when we have a red folder later in the afternoon like fomc most of the time that is at 2 p.m EST right and then the day before news events such as NFP or CPI right we've got a crude depiction for our short-term perspective bread and butter model right remember time is very important so we're going to be looking for that setup in New York Kill Zone 8 a.m. to 12:00 p.m. right for that continuation or reversal now over here we've got a continuation pattern and basically what you're looking for is a premium and discount levels so you draw out your range right you're looking if you're looking for shorts you're looking for a premium array obviously so that could be a 1 hour or a 15minute POI and you can see drawn liquidity over here is lower and we wait for our price action to go into that premium array and in that specific time zone that is very important right now looking for liquidity very important we look for those failure swings right we can see those failure swings down here another failure swing down here and then that smart party reversal happening in our POI that's what we wait for and then the setup will form in our sweet spot from 8:00 a.m. to 12:00 p.m. now what is option two in the continuation so we either hit a higher time frame premium or discount array right or we look for that stop hunt and then continuation lower into our draw liquidity so basically we go back to that Swit spot right 8: a.m. to 12: p.m. EST we see structure breaking down again looking for liquidity we see those failure swings right we want to have that low hanging fruit that easy target so when we break down we have a clear draw on liquidity and continue down into those lows right we had that stop hunt on the 1 hour or 15 minute right so we know we think back about order pairing right on the Core Concepts we order pair down up here and then we continue down lower breaking structure and then we have that continuation between that 8:00 a.m. and 12:00 p.m. time window right let's talk about that reversal pattern now this looks like a market maker buy model right we have that original consolidation over here and also we always draw out our New York midnight opening price right because we want to be a buyer below this this timeline right the New York midnight opening price and we want to be a seller above it so with a market maker buy model we identified that original consolidation we've got also those equal highs right or failure swings up here so we have a clear draw on liquidity for this one and then we wait for the discount array to happen and that specific time zone so 8:00 a.m. to 12:00 p.m. this is where the reversal can occur so over here we hit that array right the discount array we break structure up inside the Kill Zone and then we're going to be looking for our setup so same structure over here again right only one difference it's the time window is extended to the right a little bit further right because then in late London we hit that discount array instead of that New York Kill Zone time frame now this this is fine because we can still catch an entry because we wait for that specific time window right we know break of structure and the discount array has happened already so that sweet spot should be hit within our Kill Zone and then we still have that market maker buy model which we can complete right so over here we've got a EUR USD 15minute chart now what do we want to do first right we want to delineate our New York midnight line right we've got that on the chart until 12: p.m. EST right the end of the New York Kill Zone so what do we want to do at first we want to draw out our New York opening Price Line right because we want to be sellers above and buyers below that right we've got that line outlined over here so we can see price is starting to accumulate Above This New York midnight opening price and why is it doing that because smart money wants to um accumulate their short orders right to continue down during the day now let's think about what time zone this is happening right we've got London open kill zone right 2 a.m. to 5:00 a.m. and think about London London almost always creates high or low of the day unless we hit a high time frame POI where we can have a reversal right during New York session but accumulating short orders above that New York midnight open price over here and then think about order pairing right in from The Core Concepts we've got that order pairing above those buy stops and then they drive price down lower during London Kill Zone 2 breaking structure lower and then for us we wait for that specific time frame right at 8:00 a.m. to 12:00 pm. EST for that New York Kill Zone so outlining a vertical line from 8:00 a.m. and then from this point on we're going to be looking for low resistance liquidity right and or we're going to wait for that higher time frame or that premium discount array to be hit or we wait for that stop hunt right so two things we hit a premium or discount array and then continue our way down or we're going to wait for that stop hunt now do we have news right we need to see always keep an eye on that economic calendar we've got 10 a.m. consumer sentiment so highly likely what we just talked about right you want to have that 10:00 a.m. to 11:30 a.m. as your sweet spot for looking for a setup if we don't have high impact News at 10 we can do it from 8:00 a.m. already so in our specific time frame over here we wait for either a stop hunt or a premium retracement right so what happens over here we've got that 10 a.m news right price drives up and does a 15 minute stop hunt and after that we can look for our setup right so this time we hit a stop we did a stop hunt instead of a premium retracement and we kind of also went in back into this for Value Gap right that's a premium uh array so from that 15minute chart we dive into that one minute chart right we've got that 15 minute stop H and again think about order pairing right their buy stops are paired up with their sell orders so price drives lower and lower and lower and from this point out we want to see all bullish candles being support for lower prices right we got that bearish order block formed after we ran liquidity and then we're going into a a sell program and we can see that over here it's offering support lower and then every up closed candles set of up Clos candles should be supporting um price lower you can see it here over again right and just keep outlining this on your chart and this is every time you can um pyramid an entry on these types of candles right so we know the cell program is activated we are in the sweet spot right at 8:00 a.m. to 12:00 p.m. ES now high impact news has occurred we already had that stop hunt so if you were to enter on this first order block stop loss will be above this high right this stop hunt and think about think back about that market structure too right we've got that intermediate term High formed which should be protected and not uh get traded back into again so this is a good area where you can place your stop- loss now price comes back into it again turns down lower we have another bearish order block formed over here price goes in it trades down lower we got another bearish order block formed and this will continue on and on and on until we hit our draw on liquidity right outlining a few more bearish order block up here then price drives lower another bearish order block price drives lower another bearish order block and just keep outlining those bullish candles right right we've got a USD dollar Swiss frank five minute chart over here and in the previous example we talked about that stop hunt right and then continuation into our price action now we're going to talk about that discount or premium array that we will hit and then a continuation in our kill zone right so two scenarios we covered that stop H and now we're going to talk about the premium or discount array so as always draw out your vertical line right at 12: a.m. EST until the end of our Kill Zone which is 12:00 p.m. EST we've got our daily opening line right New York midnight over here and again think about it right New York session is our Kill Zone 8 to 12:00 p.m EST but we have one advantage when we trade this time zone right because we already know what the London session has done so London Kill Zone we trade lower creating low of the day over here starting to break structure upwards and we've got that LR LR signatures above here right so we see clear targets for London Kill Zone to go up and hence we create low of the day so we already have this information London open creating low of the day now we look for our sweet spot right 8:00 a.m. to 12:00 p.m. EST continuation pattern right so earlier we talked about a stop hunt but we cannot see a stop on right over here but we can use discount arrays right so first of all where is our liquidity we need to know our draw on liquidity before we find our entry setup right so we we see this LR LR signature up here right those failure swings up here and this is what we want to see if we are bullish right we want to see low resistance liquidity so we want a high resistance liquidity run uh opposed to our buyers right so over here where do we have a discount array we've got this low until this high right this is our dealing range why is this the low of our dealing range right this low takes out this low over here that's a high resistance liquidity run right and then this High takes out this high so that's how you define your dealing range right discount into premium and then we have that failure swings above there now we're looking for a discount fair value Gap or a discount order block we got one over here and in the process that we move up from this discount for Value Gap we can form a what a bullish order block also over here right so outline your PD arrays so we got that bullish order block over here supporting price to go higher and there's still an opportunity to get in next right because we still form a breaker up here and that is a second opportunity it is still inside our kill zone right so important if it's still in our Kill Zone we can still look for setups unless we already cleared our drawn liquidity and in this case we still looked for higher prices so an entry was still possible so we just talked about those continuation patterns right first of all we have a stop hunt second of all we can look for a discount array now let's talk about reversal patterns right so we have continuation pattern and now we're going to talk about that reversal pattern so again two things you can have you have that stop hunt right and then we have a discount or premium array where we can take base our trade idea from so over here we've got our discount and premium levels right from this high down to this low again we take out this low right so this is the low from our dealing range and then we take out this High over here and then we have our whole dealing range now we drop down back into discount of this whole range and notice what happens down here we've got that one hour stop hunt in discount of this hourly range right so this makes sense scenario number one again stop hunt and now we'll dive in to a lower time frame to see if we can frame our setups in our specific time frame right at 8:00 a.m. to 1200 PM EST time frame right so if here five minute time frame right as always we see where have we had a stop hunt on the 1 hour we had one down here right so we know order pairing happened over here and it's likely to reverse draw out your daily opening Price Line right New York midnight as always we want to be a buyer below this line and a seller above that line so with London session slowly trading lower and lower still accumulating and notice where the liquidity is resting right we've got it equal highs up here we got this equal High highs up here so we have a nice draw on liquidity to go for a bullish reversal now after that stop on what are we looking for our specific time frame right 8:00 a.m. to 12:00 p.m. EST outlining those buy side liquidity once again over here London highs and Asian highs right we target either previous daily high or previous daily low or we're going to do those London highs or London lows or Asia highs or Asia lows vertical line on our 8:00 a.m. to 12 pm time zone right that sweet spot for the bread and butter setup now again hourly stop hunt down here right and then we continue up higher now think about we talked about time earlier right what is the sweet spot for a reversal that 9:00 a.m. to 10:30 a.m. is the sweet spot for those reversal days and you can clearly see over here also we start that reversal with that stop on it's right on the dot on 9:00 a.m. and then in this time frame 9:00 a.m. to 10:30 a.m. we can spot our entry model draw out your discount arrays over here right so we've got this nice bullish order block formed after that stop on so an high probability order block has been formed over here we're inside the switch spot we display up higher so we're leaving behind a fair value Gap that's entry number one right then another displacement another value Gap and in the process we're creating an order block here too so we can see this highs over here are relative equal right is is is a failure swing so a low resistance liquidity run up here right so with this bullish order block being formed there was still an opportunity to get in because we did not take out this High nor did we take out this high right and then eventually our longer Target was up here so this bullish order block was another opportunity to get in and in the process of taking out this High We form another bullish order block and that is actually the third entry you can find to continue up higher into the Asian session highs so small little recap right 1 hour stop hunt we went to the 1 hour chart and then we look for that specific time frame then we wait for a break of structure and those bearish aray to get disrespected and the bullish aray to get respected and we can clearly see that over here that bullish order block bullish order block bullish order block and we keep continuing up until we liquidate all those session highs right lond session high and Asian session high so over here we've got a Euro USD 5 minute chart right it's naked right we're going to add some lipstick later but always we start off with that New York midnight opening line just keep repeating that over and over again always draw that out and then end of our New York session kill zone right 12:00 p.m. EST draw out your New York midnight opening price 12:00 a.m. East you can see London slowly slowly accumulates below market price over here right below that daily opening line and then we continue up higher taking out those relative equal Highs at the start of the true day open where the algor algorithm starts its day right and then we're talking about reversal patterns today right so at 8:00 a.m. to 12:00 p.m. um Sweet Spot our Kill Zone and we're going to be talking about what happens over here so what do we want to be targeting right we're always looking for those failure swings those engineered lows those engineered liquidity highs and in this occasion we're looking for a bearish reversal dur during New York session so we're going to be looking for failure swings on the low side and we can clearly see we've got some failure swings down here we've got some failure swings down here and eventually we target again previous daily highs or low London session highs or lows or Asia session highs or lows so we're going to be targeting that London session lows and then we have more liquidity inside this range too so it's setting up to be quite a nice reversal now outline that 8:00 a.m. to 12:00 p.m. right our Kill Zone and a reversal should happen inside this skill Zone and time is very very important we're not going to look for a setup before 8m 8 a.m. and we're not going to look for a setup after 12:00 p.m. again remember the sweet spot for reversal days right 9:00 a.m. to 10:30 a.m. unless there is a high impact news event right that if there's a news event at 10:00 a.m. we don't look for this reversal at 9 or 10:30 we wait for news to pass and then we look for that setup at 10:00 a.m. to 12 p.m. but right now we have no high impact news and we're looking for a premium array right so we discussed a stop hunt earlier and now we're going to discuss this premium array trading lower so we can see a break of structure above daily opening right we are above daily opening price we are in the Kill Zone 9:00 a.m. sweet spot for that reversal day and then we can see break of structure down here we see in the process of breaking down we see this bearish order block being formed and a little fair value gap down here also being utilized as support for price to go lower and then in the process here we form another bearish order block and price are very willing to trade lower and you can see this displacement is um pretty significant right and we go straight for these lows down here which we identified earlier right and eventually we take out those those London session lows which is the draw on liquidity and this is just a perfect setup for that 9:00 a.m. to 10:30 a.m reversal day so we're going to be talking about how to trade high impact news releases right so trading the news events and knowing when to get in Prior or post the news even is crucial so the understanding of news and the volatility injection is derived from understanding order pairing and we went over order pairing in The Core Concepts right so in a bullish scenario if we are bullish and the market has taken significant sell stops prior to that news session then the news will immediately move in One Direction higher to pair the orders with the existing buy side liquidity those buy stops right engineered prior to the session and if we are bullish and the market is yet to take significant sell stops prior to that news event then the news event will have a fake move then they call that a Judah swing R to run those sell stops in the marketplace in the form of external range liquidity low or external or internal range low accumulating the necessary sell stops to then reverse the market taking it higher to pair those orders with existing buy side liquidity those buy stops resting at the marketplace at that time now in a bearish scenario if we are bearish inversed right and the market has taken a significant buy stops prior to those news session then the news will immediately move in One Direction lower to pair the orders with exit existing sells side liquidity those sell stops engineered prior to the session if we are bearish and the market is yet to take significant buy stops prior to the news event then the news event will have a fake move right that Judah swing once again to run those buy stops in the marketplace in the form of an external Range High or an internal Range High and then accumulating the necessary sell stops to then reverse the market taking it lower to pair those orders with existing sell site liquidity those sell stock again resting in the marketplace at that time so order pairing at a news event there are three scenarios we can look at we have that continuation we have that Judas and then continuation or we have a complete reversal so we have a Judas reversal so over here we've got a schematic of that um continuation scenario right we've got our premium and discount levels going over here looking where the liquidity is resting right we've got this engineered liquidity over here failure swings more failure swings and we're forming a market maker buy model in this scenario right so sell stops have been liquidated over here and down there smart money reversal down here and then let's look when is that news event right we've got that 8:30 or 10:00 a.m. news folder and then we look for did sell stops get raed prior to the news if yes then it's highly likely the news will just go One Direction and shoot up right and we can see that over here we already ran significant sell stops before that news release and we have engineered liquidity above market price right so it's highly likely price will just continue up and take those buy stops and not go down once again so this is a continuation scenario so with that news event coming up at 8:30 or 10:00 a.m. right that red folder they want to pair up their sell stops with the buy stops from willing buyers above market price and we you can see that over here over here because those were the fill your swings right over here also those fill your swings and remember all those sell stops have been liquidated already right so price has no business to go down anymore and we're going to look for those buy stops to pair up the sell stops now this is a 10: a.m. scenario right let's say at 8:30 a.m. we did not ran significant sell stops yet what will happen first right we get that Judas and then continuation scenario so first of all we talked about that continuation scenario right does significant sell stop have been taken yet if yes then we have a one-sided Direction with the news release but at 8:30 and there are still sell stops to be have then we can look for those cell stops so will be a fake move coming up with a news release and we call that the Judah swing right so with 8:30 having a Judah swing taking out sell stops and then it's ready to continue up for those buy stops same over here only inverse right a sell scenario we've got this continuation pattern over here and then we see our discount level here or premium level up here and then we're going to spot liquidity first right where are the failure swings where are the equal highs or lows where are the trend line Phantoms and we can see those are formed here so we have a basket or a liquidity pool of sell stops down here for order pairing and then we have those buy stops rated over here and over here and then we reverse reversing before news event so we already liquidated those buy stops before that news event right so highly likely we're going to see a continuation lower one-sided so this is again scenario one continuation because we already have liquidity taken prior to that news event now for that bearish scenario let's say 8:30 a.m. is high impact news and we did not rate some significant buy stops right so what is most likely to happen we can get a Judas and then a continue ination right so we have over here a Judas swing with the 830 news event and then we get a reversal so we have a Judas reversal over here right so we're going down we're going up from this 8:30 news event reversing down taking all the buy stops and then we're continuing our way down into the real area where we want to go which is that liquidity pool of sell stops down here right over here we've got a e mini NASDAQ hun the Futures chart right and think about the Core Concepts again right we're dipping into a internal range liquidity pool over here which is a daily fair value Gap so after internal range liquidity has been tched where do we want to go right we want to go to external range so we're looking from internal to external so that's step number one now we're thinking about time frame alignment too right we're looking for a daily external range so we went into a daily internal range now we want to go to a daily external range and what do we use with our time frame alignment daily structure and then we go into a 1H hour time frame right so over here we've got that 1H hour time frame right outline below down here we've got that daily fair value Gap right that internal range liquidity next up we're going to spot our engineered liquidity or failure swings right we've got a bunch of failure swings up here so there's a lot of liquidity here right for the buy site we've got sell stops down here we've got cell stops down here and here and here and these cell stops all got rated prior to that news release right because we're going to zoom in a little bit more later um but this all happens before that news release has happened and we hit that higher time frame POI right so let's go to the next one which is a f minute chart so again time frame alignment right we go from a daily PD array into a 1 hour structure and then we can zoom in from a 1 hour into a 5 minute and then we have an even more clear picture to get in on a trade right so prior to that news release we've got this CPI over here right high high impact news but what happens before that news impact right we already took out sell stops here those sell stops down here and then those sell stops down here and then more importantly we hit that discount array right internal range on The Daily now we want to look for that external range on The Daily and with all these buy stops being engineered prior to that news release it's highly highly likely we have onesided continuation with news release right so so like this you can uh anticipate price action to go one-sided or that we have a Judah swing before that news release happens now I do not advise trading CPI because you can get slipped very hard so this is just an example and again I don't advise trading CPI we've got those buy stops up here for order pairing which makes sense sense right there's no order pairing anymore down here because we already took out those sell stops prior to that news event and all that engineered liquidity has been taken out with that news release right over here we've got a crude depiction of Market structure right so what does our eye go to first right we're looking for low resistance liquidity and we're going to look for old highs or lows which are being ran before the news release right so let's see where is the liquidity we've got this very clean trend line and your eye should immediately go there right this is all the low resistance liquidity being formed prior to that news release now after this has been formed what did we do after right buy stops have been liquidated right so now we're going to see at what time is the news release was this news release before we took out these buy stops or after right if we have news release after we take out those buy stops it's highly likely again to be a continuation right one-sided Direction with news release because order pairing already happened up here so their price has no business to go down and we have massive engineered liquidity down here so it's highly likely news will push price down and then liquidate all that low resistance liquidity now if we have 830 news before that buy stops have been liquidated right then it's highly likely we're going to get a fake move first and then a continuation after so think about it right is liquidity being liquid ated or are buy stops or sell stops being liquidated after or be before that news release and then we can think about is it more likely we have a continuation or is it more likely we're going to get a fake move first and then a continuation so how does that look like on a British pound US dollar chart right we've got that daily chart over here and again external range liquidity right over here so what is more likely to happen after we take exter internal we want to go to internal right we have have some internal range liquidity down here pushing price lower and lower and lower we've got now a failure swing right and then the displacement happened down here so we've got internal range liquidity on on The Daily and now let's zoom in a little bit more right we got that one hour chart right now we're in a higher time frame POI right so this daily fair value Gap is our area where it's highly likely that price will move down further right continue ation now let's look at where is a news event we have that 9:45 a.m. red folder up here and then we have to decide where has liquidity been taken already and what is more likely to happen are we going to have a continuation lower with news or are we going to run buy stops first so if your eye went to this High over here that is very nice because then we have an external range liquidity rate right so we have a fake move first taking out those buy stops because those buy stops have not been taken out prior to that news release we can see that fake move up and then a continuation down lower completing that market maker sell model eventually down here um and think about we're coming from a higher time frame daily fair value Gap right and if you think about the daily time frame again we already had those buy stops ran on external range and then displacing down lower so this is the highest probable PD aray to go down from so those buy stops have been liquidated and then if we dive into the one minute time frame we can see even a more clear picture right so think about that high that got liquidated on the one hour right it's also still inside a 1 hour fair value Gap we can see price action goes up above it and then we breaking structure down here and you can see this first premium array is being respected right we have this breaker and then this fair value Gap here price breaks down even further and then starts to accumulate before that news release so we've got PMI high right at 945 you can see this little for Value Gap here offering resistance for price and again we already ran those buy stops right so order pairing happened already above market price now we're going to look for order pairing below market price which are these sell stops for order pairing into buy stops and then where is the liquidity right we've got these failure swings right so engineered liquidity trend line Phantom so it's highly likely price action will go just continue down with the news release because we're already ran buy stops before the news right so over here we've got an execution picture right those execution there's a lot more execution but we're going to focus on this piece over here right we just looked at the one hour chart and we got that high over here which is this High which get ran right so those buy stops got run and you can actually see a sell execution just prior to the news release over here has been activated and then going for those sell stops right so this is a perfect scenario where you are aware that buy stops have already been ran and it is highly likely this high impact news release will just drop price and you can clearly see here that sell execution into those sell stops for order pairing and closed down here so perfect trade so over here we've got a New Zealand dollar US dollar daily chart right as always we're going to look at the PD arrays where are we in premium or discount and what is more likely to happen are we going to trade lower or higher so we are spotting some failure swing down here right and it looks like we're going want to go bearish because we're respecting that daily fair value Gap up here and we're respecting this new daily order block right so zooming in again time frame alignment right we go from a daily PD into a 1H hour structure so we're looking at this one hour structure over here price goes into the daily order block respects it pushes down lower leaving equal lows down here right and then we see see this little swing High over here so when we're talking about two news events right let's say you have a high impact news event at 8:30 a.m. and then you have another high impact news at 10:00 a.m. and you see that 8:30 a.m. news event runs buy stops and then continues to decline uh you can anticipate that next news event to continue its way down because we already remember took out those buy stops right so the first news event we took out buy stops and the second news event it's highly likely we're going to have a continuation so you can actually position yourself after that first news event into the second one and I will show you some executions later so over here we've got that 8:30 news right bu stops have been run you wait for that news release to for Price action to show its hand what it wants to do do we run significant buy stops yes we do right we took out these buy stops and then start to decline with displacement and then 10:00 a.m. we've got that news event down here so it's highly likely this fair value Gap prior to the news event will stay respected and then continue down and it looks something like this right bearish order block being respected think about all those up close candles right they should support price lower once it is in a sell program so that happens over here bearish Order block price rejects it another bearish order plock price rejects it another bearish order plock and then is prior to that news event right we displayed lower and then you have that fair value G down there and this is what it looks like with execution right we see this buy stops have been ran over here price drops lower lower lower lower this is prior to the news event so if you have that knowledge is there already buop R and is it more likely to we have a continuation with news or a reversal or a Judah swing and in this occasion we know buy stops have been r R already right and then this is not even risky this is just logical thinking and we can see this drop down here executing taking a partial and then eventually closing down at this low perfect trade once again right we've got a British pound US dollar monthly chart right so we're looking for that monthly draw on liquidity which was that internal range liquidity here right we're going to be talking about that news reversal right now so now earlier we talked about that uh continuation and that Judah swing into continuation right and now we're going to talk about that news release and now we're going to talk about that news release that will be a full-blown reversal right so monthly draw liquidity that fair value Gap let's go into a lower time frame we've got that daily chart right now and what is price action doing we're supporting over here right and then NFP release is on this day so our draw liquidity is that monthly fair value Gap remember let's go back one more slide we are aiming for this monthly fair value Gap there is a daily order block supporting price prior to that NFP release right that high impact news release and then we zoom in into the 50-minute time frame so over here so where is the market at prior to that NFP news release right it is in a premiums when we are bullish so it's likely to reverse right then there are failure swings below us too right we've got these failure swings down here right and then it failed to R run significant sell stops prior to that news release right so it's highly likely we can see a reversal from that news release so Market will seek discount and sell stops at the release before reversing and pairing those sell stops up with the engineered buy stops above Marketplace our NFP news candle is over here right and we can see it drops straight back down taking out all those failure swings right and then a full-blown reversal will happen because we hit that higher time frame POI and then finally we take out those sell stops right CU remember if we didn't take out any significant sell stops it's highly likely it will reverse afterwards and take those sell stops so at NFP release the market is in a premium when we are bullish so what is more likely that it will do so if it's in premium it's more likely to drop back into discount with the news release right but there has to be failure swings below us which is the case in the previous chart right and then it failed to run those significant sell stops prior to that news release so the market will seek discount and sell stops at the release before reversing and then pairing those sell stops up with those engineered buy stops above Marketplace over here we have some more lipstick on the chart right we've got that discount into premium range right before the news release where is market price at right we in this discount levels right because the news release is over here and we are still in this pre premium area so it's more likely to draw lower are there any significant sell stops being taken yet no there are not right because we've got all these failure swings down here failure swing here so it's highly likely NFP will continue down into those sell stops before reversing so now we accumulated those significant sell stops right we have order pairing below it after that NFP release dropping down into the daily discount order block and then over here we can see order pairing happening and then continuation up so how does that look like on a lower time frame and can we even trade this and is there an opportunity to get in to go for those um to go for that monthly drawn liquidity right that monthly fair value Gap yes we can do we have some buy stops over here right for order pairing so there are engineered buy stops up here and engineered buy stops up here and eventually above here right that monthly fair value gap which is the draw liquidity dropping into the 5 minute time frame we see those buy stops for order pairing are present we hit that discount array the daily order block right after the NFP release and remember we took all those significant sell stops right so over here we're starting to break structure upwards and then from there on out you want to see all those discount arrays being respected again right so we have that fair value Gap over here the bodies of the candles are respecting this fair value Gap and you can actually see it pushes up further and further and further and then leaving this mitigation block up here and then price finds Support over here on that mitigation block continuing up higher and if you can spot it we've got that new PD array right that redelivered rebalanced candle here so this area over here doesn't go into this fair value Gap anymore right we know now why is this a breakaway Gap right because there's a Balan price range over here already and we can see price continues up higher and higher and higher and then dipping one more time in the two for Value Gap to continue up taking out all those buy stops for order pairing outlining that order block over here right where price action can go up from further we've got that breaker block or actually a mitigation block over here where price finds support another mitigation block up here right with a value Gap so we have coupled up these PD Rays with each other highly likely to reject and then continue its way up