Today I'm going to a price action pattern that is an
answer to a question that has come in fairly frequently recently and it's
really a good question so I want to let you guys know I appreciate your
questions and here it is the question is when we get a very aggressive move up
how can we find opportunities to enter so in this case for example we get a
move down from here to up to here and it is very a very sharp angle right more
than a 45 degree angle and it's a very aggressive move and it is fast and
furious one of the ways to see these kind of moves so you don't find them as
to draw rectangles from the bottom to the top and with that time and if you've
got more other words higher than it is wide other words it's higher here than
it is wide there then that means it's a very very aggressive move because it's
going up it's covering more price over a short period of time basic XY access
analysis right so by the way very very important so many people look at the
time access of core well no very few people look at the time access I should
say but everybody looks at the price access in other words if we was looking
at price pattern support resistance levels indicators that calculate things
based on price and that's all great you should you absolutely have to absolutely
however the problem is I find that very few people focus on time the x-axis
where they've just never really been taught it in boy that is a huge mistake
if you haven't dealt into that yet please do because that's half of the
chart right a chart is two dimensional object you get price and time that's it
so if you ignore the time aspect of the chart the watry the x axis in this case
and you're literally leaving out 50% of the information on the two-dimensional
object how can you therefore establish a probability scenario if you were leaving
out 50% so hey dive into that actually I've got a tool for that my free cycle
indicator and yeah I'll be happy to share that with your for free if you're
interested just send an email to berry at top dog training comm and request it
via email and we'll send you the information over about that absolutely
free with this tutorial and no obligation okay so but anyway this is
one lesson on time and price here that I'm giving you right at this moment
so it's spending a short amount of time covering a large amount of price so
that's a pretty aggressive move very aggressive move and we don't get any
real retraces here so people who like to buy retrace as an uptrend
well dang where you know where the retrace is there's really no retrace is
coming in here to to buy again but there are there are and we just have to go to
a different time frame in order to identify them now in this particular
example you can see that I'm looking at the Nasdaq futures in this here happens
to be a six-minute chart but don't get caught up on that this is a universal
approach and principle that can be applied to any market you trade whether
it's stocks Forex futures whatever and you can play it too tight different
timeframes but the key is what we do is we drill down to a shorter timeframe
alright so again this is a six minute so now we're gonna look at a two minute
chart during the same period of time and just for your reference note that
well actually you can't see the timestamps on their way and maybe I can
move this up so you can oh there we go I just figured out how to do it okay so
let me just show you the timeframe here so basically yeah from 9 to about eleven
about two hours it goes up if you wanted to start back here you could that'd be
about eight o'clock okay but anyway that's our time reference so yeah it
actually does start about eight o'clock here alright now let me bring up the two
minutes
so here we have the 2 minute chart and as you can see
so here's 9 o'clock there is 11 o'clock just to mark those general times and now
as you can see during the same period of time we get we get swings in the last
one we had no waves no swing high swing lows here we get up moved down one two
three four five failed seven goes down to 6 full 7 8 in 9 so this is how when
you see a very extreme very steep angled move very aggressive move and you don't
see any retraces how you can then look at a different time frame from a
different perspective and you can actually get entries just drill down to
a shorter time frame in now I would recommend last thing that I'll say about
this is the ratio of the two time frames I prefer the 1 to 3 time ratio so that's
why I used a 2 minute in a 6 minute chart here 1 2 3 ratio when 2 4 is also
ok so if I was seeing is a 2 minute I could also use a 8 minute if we're gonna
do 1 2 4 now if we wanted to go 1 2 5 would go to minute - 10 minute I don't
find that works very well so when to 5 ratio to me if there's too
much disparity in other words the 10 minute is just too darn slow compared to
the 2 minute so to 1 to 5 ratio mmm no not so good not so bueno and I know a
lot of people will do that they'll use like a 1 hour chart in a daily chart ok
I think that's kind of ridiculous personally because the daily charts just
gonna move so slow that's really not providing a timely signal timely
confirmation in the - there's gonna be too much movement within the shorter
term timeframe to give you accuracy and precision of the entries for the longer
term timeframe so for me 1 2 3 is the optimal ratio 1 to 4 is okay
beyond the I wouldn't do it personally and I've
tried it regardless of the time intervals it's just the purely the ratio
you want them to synchronize enough be tightly correlated in other words and
not for the longer one to be so much slower alright so if now we're gonna do
a part two on this video as well by the way so you can look forward to part two
in part two we will talk about the opposite so this one was how to use two
timeframes to get in to an aggressive move now part two will be about alright
after let's say we're doing it the opposite then we're looking at a
short-term time frame like this how would we determine that the markets not
really going to keep going up any further than that and then we look to
the long term chart that our time is up for this video so we'll look at that on
the next video on YouTube here alright so if you like this video please let me
know give me a nice comment let me know keep me encouraged that allows me to
stay motivated to continue to provide free video tutorials stumbling over my
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guess a free course is free that's very redundant but anyway good thing you
don't have to be a good speaker to be a good trader otherwise you'd be in big
trouble today but I love doing these things for
you and I have a great course for YouTube and it's about how professionals
treat differently than amateurs and that's what it focuses on it's got five
videos in it and in those five videos I also gave you one of my favorite trade
strategy so it's not just theories or ideas but I'm actually going to give you
a trade set up that you can actually start trading
it's called my banned trade and you can get the rubberband trade by clicking on
the icon dude in the top right hand corner of this
video and you'll be sent to a page there where you can log into the course and
again no charge for that that's my gift to you
you