what's going on traders in this video I'll be breaking down how to take confirmation trades
on day trading time frames just like this trade right here I'll be breaking that down in the
future so hopefully you guys enjoy this video and if you do make sure you hit that subscribe button
if you want to see more videos so the first things first for day trading uh confirmation entries the
first thing you need to do is decide which time frame you want to enter on there are two time
frames in my opinion that are day trading time frames the first one being the one minute time
frame the second one being the five minute time frame and it's very important with supply and
demand that you use a higher time frame along with the time frame that you enter on so for example if
you want to day trade the one minute time frame you will be using the 50 minute time frame as
your higher time frame and for five minute entries your higher time frame will be the one hour time
frame now the system does not change depending on what time frame you're using so for all the
examples I will be showing you we'll be using the one minute time frame with the 15 minute
higher time frame so hopefully I'll make sense if you have any questions at all about time frames
please leave a comment down below so the next thing we need to do is decide which session will
we be trading I don't really personally day trade but if I was based on my schedule and where I'm
located in the world in Canada I would most likely be day trading the New York session which is from
8 AM to about 3 P.M eastern time and if you are from Europe you could probably be day trading the
London session and as well as the New York session there are people who live in certain parts of the
world where you could be day trading both the New York and the London session which is definitely
beneficial for a lot of Traders now I know that these times are a little bit different the reason
that I say the New York session only goes till 3 P.M is because after 4 pm you start to see these
spreads start to increase and at that point it's a little bit risky to get involved in the trade
because let's say you bought down here but then it's close to 5 p.m when the spreads start to get
larger then at that point you could be stopped out of your trade as it's starting to work out
based on just the spread increasing so that's why I only really recommend entering at least
until 3 P.M and then after that I would just stay away so now that we have our time frames
and our session will be trading now it's time to look at the charts and the first example
I will be showing you guys is on USD CHF the Swiss franc let me just reset this chart here
so if you come over here you can clearly see let me go to a 15 minute chart first
15 minute so like I said in the beginning of the video we have our higher time frame and then our
entry time frame so for this we will be entering on a one minute time frame so the first thing you
need to do if you want to enter on a one minute time frame is we need to find a 15 minute higher
time frame Supply zones or demand zones so in this example here I found this 15 minute Supply
zone now this is all done after the fact I'm just showing you guys an example so the first thing you
need to do if you want to trade the one minute time frame find your 50 minute higher time frame
supplier demand zones and if you need help finding these higher time frame demand zones feel free to
check out the tier one patreon YouTube membership where for only five dollars cap per month you can
get all of my higher time frame zones like this where you can use to trade them to potentially
get in uh some decent looking trades so hopefully that makes sense and links in the description down
below to that so with that being said we look at our 50-minute time frame Zone and what you would
do is we simply wait for this Zone to be hit so let's say price was trending up prices down here
we Mark out our 50-minute supply zone right here or you obviously just use the one that I have on
my chart for the members and we wait for this to be hit you can set an alert before the zone
to alert yourself when that zone is being hit the next step is what we do is we go down to a
one minute time frame because that is our entry time frame and what you do is you you can either
go down on this time frame and wait for the zone to be hit or you could just wait for it to be hit
and then go down on the time frame later so in this example here we have what I like to call a
perfect situation setup where we have an upward trend line pulling into our higher time frame
Supply Zone we have an upper trend line and we have demand zones along the way for confirmation
what we need to see the best confirmation is for this trend line to be removed and for this demand
Zone to be removed which has left us with this Supply zone now for confirmation trading there
are two types of confirmation the first one is let's say price let's say this is our higher
time frame demand Zone price is trending down into here and then we start to look on a lower
time frame for confirmation to the upside so we can catch a trade to the upside like that
what we need to see we need to see opposing Supply zones be removed so pretend that these
pink zones are Supply zones what we need to wait for is for these zones to be removed
looking like this so once we have a Zone removed like that or this zoner move like that any demand
Zone that's down below that would be the Zone we look to get involved in that is your confirmation
that is one way of looking for confirmation for Supply zones or opposing zones to be removed on
your entry time frame the second one is like this let's say price is trending down into our higher
time frame and then we have what I like to call a downward trend line like this with price and then
let's say price starts to push up we break the trend line and opposing Supply zones like this
well whatever demand zone is responsible for removing the downward trend line and the opposing
Supply Zone that would be your confirmation Zone and you would simply enter like that so that's not
now that we I explained that to you let's look at a few examples in this example here is the perfect
situation where we had both where we had like I just mentioned an upward trend line like this and
a opposing demand Zone to be removed now in this situation we were left with this beautiful looking
uh one minute confirmation Supply zone now in this example uh price never really pulled back to it
um we never got the pullback and that's just I just wanted to show you guys that that this is the
reality of confirmation trading is sometimes we get a perfect situation where price reacted off of
our higher time frame we removed an upward trend line and and opposing demand but we could never
really get that pullback for the trade to work out I just wanted to show you guys that where this is
the reality of confirmation training sometimes it doesn't work out where we don't get the pullback
but this is a great example this would have been a fantastic area to potentially take a short trade
with confirmation coming off of our higher time frame Supply zone so hopefully that makes sense
with this example this is my this is personally my favorite type of confirmation where we have
both a trend line and opposing demand zones being removed now that is the USD Swiss franc now if we
go over to the Aussie yen give me one second we can find another example and this is for demand
so if we go to the 15 minute chart first obviously if we are entering we are looking for 50-minute
demand zones and look at that we have one right here so we would have marked this demand Zone uh
right around there and this demand Zone actually removed a flip Zone over here because it's very
important that the band zones that we trade have they must remove opposing zones on all time frames
so hopefully that makes sense so first of all we find our 15 minute higher time frame demand Zone
and then we wait for price to come and hit it and then one price contacts that 50 minute demand Zone
that is when we hop down to our one minute time frame so now that we are on our one minute time
frame here's what we are waiting for so as you can see we had a one minute demand zone right
here which was removed by this Supply Zone and if we come over to we zoom in on the charts here you
can clearly see we didn't really have a downward trend line there is a downward momentum line here
but I'm just not really a fan of that so for this example what I'm showing you is just the example
of when a supply zone is removed so here we are waiting for confirmation we had confirmation that
price is hitting our 50 minute higher time frame demand zone so now we're on the one minute chart
looking for Longs and what we need to see for Longs is this Supply Zone being removed and what
I love about this uh specific potential trade set up here is that not only do we have a supply Zone
here as we reacted off the supply Zone and we reacted off of it perfectly and which shows to
me that there is Supply in this area most likely created by the large Banks or institutions it's
pretty hard to tell but in my opinion this was a perfect Supply Zone to be removed I love to see
Supply zones removed for confirmation especially when we get a reaction off of it like that
and so we have to ask ourselves which zone was responsible for removing this Zone and to me it's
this one right here and as you can see we reacted perfectly off of it like that so I know that this
is all after the fact but I just wanted to show you guys this example so what we did what we would
do is we wait for this supplies one to be removed we could set an alert above here and then let's
say we come to the charts we say okay perfect we got the confirmation on the one minute chart then
we simply find the zone that was responsible for removing it and we would enter a little bit before
the Zone with a stop loss a little bit below the zone and then you know with your take profits at
least at the high or two to one or three to one uh take profit away that part you will have to
back test yourself but at least two to one is what I would be personally looking for so this
is a perfect example where price pulled back it tested the Zone a bit maybe a few more times and
then price eventually ended up shooting off so hopefully all this is starting to make sense
where we are simply waiting for a higher time frame demand to be hit which is this green box
waiting for or opposing zones to be removed and then waiting for the pull back to the zone that
was responsible for removing the opposing zone now in this example it's not as good as if there was a
downward you know trend line removed as well where we have both Supply zones and the downward Trend
liner move but this there's nothing wrong with this trade setup as well I just simply prefer the
example where the higher where opposing zones and a trend line is removed as well now a few
things to to note here is first of all there's odds enhancers in my opinion and the number one
odds enhancer for just higher quality trades is for when your higher time frame is trending so
in this example here that is not the case where price is clearly sideways right now for Trend we
are looking for Clear uptrends like that very very clear and obvious uptrends and we don't really
have that what we have here at this point is a very clear downtrend so any trades along with that
downtrend will be higher odds but for this example here we do not have that so this wouldn't be a
super super high odd situation but I just wanted to show you guys that the a great odds enhancer
for your trades is for when your higher time frame is trending now the second odds enhancer for this
type of setup is when price is inside a higher time frame plus one zone so in this example for
the 15 minute chart is as your higher time frame the higher time frame for the 50 minute chart
equals the four hour chart so that is what your higher time frame I know my drawing isn't great
plus one is so for a 50 minute chart your higher time frame plus one would be the four hour chart
and then for your five minute entries where the one hour is your higher time frame the higher time
frame plus one would be the daily chart so what I'm trying to get at here is this let's say um let
me just get out my tool let's say this 15 minute demand Zone was inside a four hour demand Zone
this would be a perfect situation where we are getting a higher odd situation because not only is
price pulling into a your higher time frame demand Zone on the 50 minute chart like this but it's
also inside of a four hour demand zone so that would be an example of a higher odd situation now
for the one minute uh sorry for the five minute entries let's say this was a one hour time frame
right here where this is your one hour demand Zone and then price pulls into the one hour demand and
you're looking on the five minute chart for Longs well let's pretend that this one hour demand zone
is also inside of a daily demand Zone that is an example of a higher odd situation now obviously if
price is trending up and it's inside your higher time frame and your higher time frame plus one
demand Zone then it's an even higher odd situation so just hopefully that makes sense if you have any
questions about that at all please feel free to comment down below and I will definitely help you
out with some answers so one more thing these are only two ways to look for confirmation where we
have the opposing demand zones being removed like this waiting for pullbacks to the zones
that remove that zone or the downward trend line being removed or both now there are a few other
types of way to trade confirmation another way is basically just entering as a supply zone is being
removed with a stop loss below but that is in more detail in the tier two level two YouTube patreon
membership where I have full videos breaking down exactly that way of trading confirmation
so unfortunately I can't talk about this in this free video but hopefully you guys can check that
out be happy to see you guys join the team there's a lot of other things involved with level two
as well as well as private Discord group custom analysis private live streams every Sunday as well
as those confirmation trading videos so in this free video just wanted to show you guys the most
common ways to trade confirmation and remember it's always best to have a downward trend line
and opposing Supply zones removed first before we take the confirmation trade but there's nothing
wrong with just waiting for supplies ones to be taken out and as I said I have more videos about
confirmation in the tier 2 level 2 patreon YouTube membership so that pretty much sums it up for this
video I don't think I'm really missing anything else if I am don't hesitate to ask or leave a
comment and hopefully you guys enjoyed this video and I'll see you guys in the next one cheers