Video summary

Anomaly - Advanced Course - Lesson 4 - Sessions Killzone

Main summary

Key takeaways

Educational

Main ideas / concepts taught

  • The lesson teaches “if-then” decision logic for forecasting likely next-session behavior—especially London and New York—based on whether earlier sessions (Asia and London) reverse or consolidate.
  • It emphasizes session behavior using a framework of:
    • Reversal vs continuation profiles for the trading session
    • Key levels created by prior session structure (e.g., gaps, order blocks, refined levels)
    • Liquidity draw (“draw on liquidity”) as a purpose for price movement after the profile confirms
    • Wick-size rules to determine whether a candle is tradable (small wick = more likely; large wick = invalidation / poor conditions)
    • 4-hour candle timing (“Killzone”) mapping to trading windows
  • It then breaks down how to trade:
    • Asia continuation and reversal
    • London continuation and reversal
    • New York A.M. continuation and reversal
    • New York P.M. continuation and reversal
  • It also introduces a “universal model” linking daily IRL/ERL (inside-range / equilibrium-style terms) to 4-hour swing formations (e.g., C2/C3 expansion/retracement candles) for confirmation.

Note: Many terms appear to be proprietary jargon (e.g., “C2/C3,” “SMT divergence,” “ERL/IRL,” “key level,” “draw on liquidity”). The instructional logic is broadly consistent, though the subtitles may contain spelling/wording imperfections.

If-then statements (core methodology)

1) Forecasting based on Asia + London “reverse” behavior

  • If Asia consolidates, then:

    • What should we expect London to do?
      • London should reverse (framed as the expected conditional).

  • If London reverses, then:

    • Expect New York to continue (a continuation scenario).
    • New York continuation should originate from:
      • A key level London created (specifically referenced as a gap area).
    • Additional confirmation:
      • Order blocks for continuation may also be present.

2) What if neither Asia nor London reverses?

  • If Asia neither reverses nor produces an established low/high, then:
    • Build a reversal profile for the session you’re trading.
  • If London also doesn’t reverse, then:
    • Expect New York to reverse
    • Reversal is guided by:
      • Reversing off London’s low (speaker notes London prints the “current low of day”).

Profile selection rule (important)

  • If previous sessions did NOT reverse: expect a reversal profile
  • If previous sessions DID reverse and hit a key level: expect a continuation profile

Session kill zone timing (as a checklist)

London session kill zone (framed with 4-hour candle logic)

  • Primary 4-hour candle(s): one London trading 4-hour block
  • Main candles emphasized (London early):
    • 2:00 a.m.
    • 3:00 a.m.
    • 4:00 a.m.
  • Not as relevant:
    • The 5:00–6:00 a.m. run (described as less relevant)
  • 30-minute framing within the 4-hour:
    • Focus on the first six out of eight 30-min candles that make up the 4-hour block.

6:00 a.m. 4-hour candle internal timing

  • Relevant time: 8:00 a.m. to 9:00 a.m.
    • Reason: described “drivers” exist (references include 8:30 news and 9:30 equities open)
  • Not relevant: periods with no volatility

10:00 a.m. 4-hour candle internal timing

  • Ideal timing for setups: 10:00 a.m. to 11:00 a.m.
    • Especially early in that 4-hour candle when trading reversal candles
  • 30-minute detail:
    • Focus about half of that time span.

New York A.M. cutoff

  • For New York A.M. traders, cut off around 12:00.

How the lesson simplifies sessions into 4-hour blocks

  • A 4-hour candle is treated as a session, and there are multiple 4-hour candles per day.
  • Asia session:
    • Made of two 4-hour candles
    • If trading Asia expansion, trade the relevant 4-hour expansion candle
    • Example mapping: Asia expansion/reversal/continuation associated with the 18:00 / 22:00 expansion candle (as named by the speaker)

Detailed trading logic by session (with conditions)

A) Asia session: Continuation vs Reversal

Asia continuation (two common paths)

  • Either:

    • 14:00 reverses and 18:00 continues, OR
    • 18:00 reverses and 22:00 continues

  • 4-hour framing includes watching for patterns such as:

    • C2 printed after hitting a relevant level
    • SMT divergence
    • Expansion expectations from the next 4-hour candle

Asia continuation setup refinement (key level + execution)

  • Look for a refined key level within the previous 4-hour candle range
  • Special case:
    • Sometimes an hourly gap can be used as the refined key level
  • Example logic:
    • The low of day can be confirmed by a C2 on the 4-hour
    • Then 18:00 expands and 22:00 continues if conditions align

Asia reversals (what NOT to trade + how to trade)

  • Avoid early Asia reversal when:

    • If 18:00 forms a low of day but the candle has a large wick:
      • don’t trade reversal; instead trade 2200 continuation
    • If 18:00 doesn’t form a low of day, but 22:00 does and has a large wick:
      • don’t trade Asia reversal; instead trade London continuation

  • How to trade Asia reversal (positive conditions):

    • Asia reversal is tradable when:
      • Price hits a key level and
      • It reverses with a small wick, or
      • It doesn’t reverse but still respects the 1800 low logic
    • Key requirement noted:
      • If the day opens near a refined key level, Asia can reverse
      • (Examples include daily open proximity to a refined level like a gap)

B) London session: Continuation vs Reversal

London continuation (4-hour window: 2:00 a.m. to 6:00 a.m.)

Continuation conditions described as two cases:

  1. Asia puts in the low of the day, then:
    • If 18:00 puts the low of day → 22:00 expands
  2. If 18:00 does not put the low of day, but:
    • 22:00 does → trade C3 continuation on the 4-hour

London continuation execution notes

  • Speaker describes gaps created from the closure of the 22:00 candle
  • London opening near that gap supports:
    • reversal into expansion
    • then continuation toward liquidity

London reversal

  • Condition logic:
    • When previous sessions do not reverse, London’s candle should reverse.
  • Wick rule:
    • Large wick suggests invalidation for that reversal profile
    • Prefer setups that form reversal into an expansion candle
  • Refinement method:
    • Mark the previous candle’s range (from the relevant timeframe/candle, e.g., a C2 on daily)
    • Find a refined key level in the lower half of that range
    • Use lower timeframes (e.g., hourly) to locate the key level the market tags

Avoiding a specific London reversal window

  • The speaker notes cases where you cannot engage within:
    • the 4-hour time window, specifically the 2:00 a.m. 4-hour candle
  • Reason:
    • If the key level is taken and price runs far away from the opening price, it creates a very large wick, treated as not tradable
  • Alternative:
    • Trade the 6:00 a.m. continuation instead

C) New York A.M. session

New York continuation (A.M. structure)

  • Focus first on the 6:00 a.m. 4-hour candle
  • Ideal sequence:
    • Day opens low
    • 2:00 reverses into C2
    • then trade 6:00 a.m. continuation as C3

New York reversal (A.M.)

  • Same wick logic:
    • If prior sessions didn’t reverse:
      • the 6:00 a.m. candle must reverse
    • Large wick: don’t trade
    • Small wick: can engage with a reversal profile

Second half: 10:00 a.m. 4-hour candle

  • Ideal case:
    • 6:00 a.m. hits a key level and reverses but has a large wick
    • In that case:
      • don’t participate
      • wait for 10:00 a.m. open, where expansion is expected

Reversal rule summary

  • Large wick → invalidation
  • Small wick → reversal profile tradable

D) New York P.M. session (14:00 4-hour candle)

New York P.M. continuation (high emphasis rule: “open draw”)

  • For continuation at New York PM, there must be an open draw (open liquidity).
  • Reason:
    • Late-day conditions often cap the day after a large expansion candle
    • Continuation is more credible when liquidity is still “available”
  • Setup logic:
    • If 10:00 a.m. reverses, then 14:00 opens with open draw near the 14:00 open, enabling continuation

New York P.M. reversal

Two reversal scenarios:

  1. Reversal after a large expansion away from daily open

    • Large wick candles cannot expand well beyond the opening price
    • New York often reverses back into the range

  2. Daily profile hitting a key level late

    • If price hits a key level late-day, expect it to:
      • close back within the range
      • form a reaction like a C2 (closing back inside after the wick)

How to trade a 14:00 New York reversal (method)

  • Use a delayed retraction profile (compared to 10:00 a.m. logic)
  • Candle characterization:
    • Daily opens low first
    • Price makes a significant move away → creates a large wick
    • Continuation is unlikely; instead:
      • expect a move back into the range (countertrend logic)
  • Targets:
    • EQ or a gap in the previous 4-hour candle
  • Most ideal condition:
    • The day expands into a relevant level late, then:
      • 14:00 comes back into the daily range to close inside (or create the wick the next day uses)
  • Best confirmation pattern:
    • When all three sessions prior expand the same direction, PM session typically caps and returns into the range
  • Bonus rule:
    • Can also work if 10:00 reverses off a daily key level and then you trade 14:00 continuation back into the range

Universal model framework (integration rules)

Reversal day using IRL → ERL

  • Requirement:
    • A key level is necessary on the daily timeframe (IRL is the key level)
  • Confirmation:
    • Confirm reversal day low using a 4-hour swing
  • Execution:
    • After engaging the 4-hour key level and seeing it does not reverse:
      • expect reversal off the previous candle’s low
    • Then trade the reversal candle (any session) if it has a small wick (and/or if draw liquidity exists for continuation expectations)

Continuation day using IRL → ERL

  • Steps described:
    • Mark the equilibrium of the previous day’s range
    • Find a refined key level in the upper half (speaker references a “fair value gap”)
    • If price engages that level and shows a small wick, trade it

Manipulation range method

  • Reversal day (manipulation ranges):

    • Daily engages a range low
    • Low of day printed from a 4-hour C2
    • Trade back to the daily open (opening target; price may struggle to trade beyond it)

  • Continuation day (manipulation ranges):

    • Previous day reverses at a refined key level in the upper half
    • A relevant swing acts as manipulation range
    • 4-hour reversal candle confirms low of day
    • Trade continuation into opposing range high / further objectives

ERL ↔ IRL reversal/continuation logic

  • ERL to IRL reversal
    • Treated as countertrend off a higher low
    • Target fair value gap / previous low as IRL
  • When IRL is inside the previous day range
    • Identify 4-hour gaps within that prior range
    • Wait for reversal and target back to IRL
  • Variant:
    • If ERL is the daily reaction point, IRL can be within the current day range
  • Fading a higher-timeframe expansion candle:
    • Assume it will close back into its own range
    • Look for a C2 in the 4-hour to signal reversal/close-out
    • Then target IRL back into the daily range

Speakers / sources featured

  • Single speaker/instructor (unnamed): The subtitles present one continuous teaching voice introducing and explaining concepts. No other speakers or identifiable sources are referenced by name.

Original video