Summary of ICT 2024 Mentorship \ September 12, 2024

Main Ideas and Concepts

• Market Opening and Range Gaps:

  The speaker discusses the importance of understanding the Opening Range Gap, which is the price range established during the first 30 minutes of trading (from 9:30 AM to 10:00 AM). A gap is identified as the difference between the previous day's settlement price and the current day's opening price.

• Trading Strategy:

  Focus on filling half of the gap within the first 30 minutes. Be cautious of trading immediately after a large range day, as the market can be volatile and unpredictable. Look for inefficiencies in the market, which are areas where price movements are not balanced.

• Market Behavior:

  The speaker emphasizes that the first 30 minutes of trading after a large range day can often lead to choppy or unclear Price Action, suggesting traders should be patient and avoid impulsive decisions. Recognize that many traders may be influenced by previous bullish or bearish trends, leading to potential traps for those entering the market too quickly.

• Risk Management:

  New traders are advised to avoid trading in the morning session after a large range day to minimize risk. The importance of journaling trades and reflecting on Market Behavior is highlighted to improve future decision-making.

• Afternoon Trading Session:

  The speaker suggests that the best trading opportunities often occur in the afternoon session (after 1:30 PM), where price movements tend to be clearer and more predictable. Traders should focus on identifying key price levels (highs and lows) established during the morning session to guide their trading decisions in the afternoon.

Methodology and Instructions

• Opening Range Gap Protocol:
  • Identify the Opening Range Gap during the first 30 minutes of trading.
  • Look for half of the gap to fill within this time frame.
• Risk Management:
  • Avoid trading in the morning session after a large range day unless experienced.
  • Use a journal to log trades and reflect on Market Behavior.
• Afternoon Session Strategy:
  • After the morning session, observe where the highest high and lowest low of the day are.
  • Use these levels to identify potential trading opportunities in the afternoon session.
• Monitoring Price Action:
  • Use multiple time frames to analyze price movements and identify potential entry points.
  • Look for inefficiencies and liquidity areas to guide trades.

Featured Speakers or Sources

• The speaker is identified as "ICT," who appears to be a mentor or educator in trading strategies, particularly in understanding market inefficiencies and Price Action.

Notable Quotes

— 03:02 — « Dog treats are the greatest invention ever. »

— 11:12 — « Don't think that every bet should be heavy; you should be more inclined to lower your leverage. »

— 22:22 — « You have permission to sit still; you have permission not to trade the morning session. »

— 60:58 — « Does a lion look down on its prey before it kills it and eats it? Does it apologize? No, look what it does; it's swift about it. »

— 85:00 — « The richest traders are the ones that have planned stillness. »

Category

Educational

Video