00:00:00
if you are a scalper or a day trader you
00:00:03
definitely must try out these
00:00:05
strategies the failed new high or low of
00:00:08
the day is the first scalping setup that
00:00:11
takes advantage of price action and
00:00:14
Market structure this strategy aims to
00:00:17
catch quick moves when price fails to
00:00:20
sustain a break above the previous day's
00:00:22
high or below the previous day's low so
00:00:26
the core idea is to look for Price
00:00:29
attempts to make new highs or lows
00:00:32
compared to the previous trading day
00:00:34
when these attempts fail it often
00:00:37
signals a potential reversal creating a
00:00:40
scalping opportunity you see previous
00:00:42
day highs and lows are important levels
00:00:46
watched by many big Traders these levels
00:00:49
often act as significant support and
00:00:51
resistance when price approaches these
00:00:54
levels it's testing the balance of
00:00:57
supply and demand when price breaks up
00:01:00
above the previous day's High it implies
00:01:02
demand is overcoming Supply if this
00:01:05
break quickly fails it shows that Supply
00:01:08
is still strong at these levels the
00:01:11
opposite is true for breaks below the
00:01:13
previous day's low this failure often
00:01:16
traps traders who entered on the brake
00:01:20
as these Traders exit their positions it
00:01:23
adds fuel to the reversal move this is
00:01:26
how to trade this setup first identify
00:01:29
the previous previous days high and low
00:01:31
these are your key reference points then
00:01:34
watch price action as it approaches
00:01:37
these levels look for signs of
00:01:39
hesitation or rejection as price nears
00:01:42
the previous day's high or low wait for
00:01:46
the break and failure if price breaks
00:01:48
the level but quickly reverses this is
00:01:51
your potential entry trigger it's best
00:01:54
to look for confirmation this could be
00:01:57
in the form of a reversal Candlestick
00:01:59
pattern turn a shift in momentum or
00:02:02
increased volume on the
00:02:04
reversal once you have confirmation
00:02:07
enter in the direction of the failure
00:02:09
for a failed High you would go short for
00:02:12
a failed low You' go long this scalping
00:02:16
setup works well because it aligns you
00:02:19
with the likely intentions of big
00:02:21
players this key levels are often where
00:02:24
large institutions Place their orders
00:02:27
creating liquidity pools when price
00:02:30
fails to break these levels it often
00:02:32
indicates these big players are
00:02:35
defending their
00:02:36
positions perfect strategy for beginners
00:02:39
as this setup offers a clear mechanical
00:02:42
approach to entering trades in this
00:02:45
example we've marked the previous day
00:02:48
levels as the new trading day begins we
00:02:51
see price trending downwards towards the
00:02:54
previous low as price approaches it you
00:02:58
start paying close attention
00:03:00
there's a quick Spike down breaking
00:03:02
below the previous day's low however the
00:03:06
next candle's immediately reverse
00:03:08
closing back above the previous day low
00:03:12
this is a failed new low we also notice
00:03:15
that the volume on the reversal candles
00:03:17
is higher than the previous candles
00:03:20
implying strong buying interest this is
00:03:23
your confirmation so long trade here
00:03:26
just above the high of the reversal
00:03:28
candle the stop loss goes below the
00:03:31
failed low for your Target you might
00:03:33
look at a previous swing High sometimes
00:03:37
price will even go to test the previous
00:03:39
day's high in this chart we've marked
00:03:43
the previous day's levels as the new day
00:03:46
starts we see price pushing upwards
00:03:49
towards the previous High we see a quick
00:03:52
Spike above it but the next candle
00:03:55
closes back below it this is our failed
00:03:58
new high this this is almost a textbook
00:04:01
setup with a pin bar with a large Wick
00:04:04
above the previous High short trade just
00:04:08
below the low of the pin candle stop
00:04:10
loss goes above the failed High one key
00:04:14
aspect of this scalping method is
00:04:16
understanding the concept of liquidity
00:04:19
previous day highs and lows are often
00:04:21
areas with lots of stop- losses and
00:04:24
limit orders big players in the market
00:04:27
may push price into today's area us to
00:04:30
hunt these orders creating the failed
00:04:32
break we're looking to trade so with
00:04:35
this setup you're essentially trying to
00:04:38
align yourself with the smart money for
00:04:41
more advanced Traders you might consider
00:04:43
incorporating additional factors for
00:04:46
example you could look at the overall
00:04:48
Market structure is the market in a
00:04:51
larger uptrend or downtrend failed
00:04:54
breaks that align with the larger Trend
00:04:57
might have a higher probability of
00:04:59
success
00:05:00
you could also consider the time of day
00:05:03
failed breaks that happen during Major
00:05:05
Market opens like London or New York
00:05:09
might be more significant due to the
00:05:11
increased volume in participation of
00:05:14
institutional Traders at these times
00:05:17
[Music]
00:05:25
[Music]
00:05:40
[Music]
00:05:57
in
00:05:59
[Music]
00:06:18
the first major pullback after a market
00:06:20
structure shift is another great
00:06:22
scalping setup that combines price
00:06:25
action and smart money Concepts this
00:06:28
strategy aims to cat catch quick moves
00:06:31
right after a significant change in
00:06:33
Market structure a market structure
00:06:35
shift refers to a clear change in the
00:06:38
overall trend or direction of the market
00:06:41
this usually happens when price breaks a
00:06:44
key level like a previous high or low
00:06:48
when we see this shift we know big
00:06:50
players are likely changing their stance
00:06:52
on the market and after a shift we often
00:06:55
see a pullback this is when price moves
00:06:58
back towards the level just broke smart
00:07:01
money often uses these pullbacks to add
00:07:03
to their positions before the next big
00:07:06
move when price breaks a key level it
00:07:09
shows that demand for an upward break or
00:07:12
supply for a downward break has overcome
00:07:15
the opposite Force at that level but
00:07:18
markets rarely move in straight lines
00:07:21
after the break some Traders take
00:07:24
profits causing a temporary shift in the
00:07:26
supply demand balance this creates the
00:07:30
pullback however if the structure shift
00:07:33
is real and not a false break the supply
00:07:36
demand imbalance that caused the break
00:07:39
still exists so when price pulls back to
00:07:42
the broken level we often see a reaction
00:07:45
as the dominant Force buyers in an
00:07:48
upward break and sellers in a downward
00:07:51
break step in again so this is how to
00:07:55
trade this setup first look for a clear
00:07:58
break of a previous high or low this is
00:08:01
your first clue that smart money might
00:08:04
be changing direction after the break
00:08:07
don't chase the move instead wait
00:08:10
patiently for price to come back to the
00:08:12
broken level this is where you'll look
00:08:15
to enter as price approaches the broken
00:08:18
level watch for signs that the dominant
00:08:20
force is stepping in again this could be
00:08:24
a strong rejection candle a shift in
00:08:26
momentum or a volume Spike if you see
00:08:30
confirmation enter in the direction of
00:08:32
the break your stop loss should go just
00:08:36
beyond the broken level since this is a
00:08:39
scalping strategy look to take profits
00:08:42
quickly this setup works well because it
00:08:44
aligns you with the intentions of big
00:08:47
players you're not trying to catch the
00:08:49
exact bottom or top but rather jumping
00:08:52
on board after smart money has shown its
00:08:55
hand this strategy offers a clear
00:08:58
mechanical approach to entering trades
00:09:01
you are not trying to predict anything
00:09:03
just reacting to what the market is
00:09:05
showing
00:09:06
you in this chart we notice that price
00:09:10
has been in a downtrend then we see a
00:09:13
strong bullish candle that breaks above
00:09:15
the previous swing high this is our
00:09:18
Market structure shift after this break
00:09:21
price starts to pull back we watch as it
00:09:25
approaches the level of the previous
00:09:26
High which is now likely to act as
00:09:29
support as price gets close to this
00:09:32
level we see a longtailed pin bar form
00:09:35
showing rejection of lower prices this
00:09:38
is our confirmation we enter a long
00:09:41
trade just above the high of the pin
00:09:44
bar here we notice that price has been
00:09:47
in an uptrend but we suddenly see a
00:09:50
strong bearish candle that breaks below
00:09:53
a significant swing low this is our
00:09:56
Market structure shift to the downside
00:09:59
price then starts to Rally back towards
00:10:01
the broken level as price approaches our
00:10:05
value area we notice volume starting to
00:10:08
increase this indicates that sellers
00:10:10
might be stepping in we also see an
00:10:13
inside bar form just below the broken
00:10:16
level this often indicates hesitation in
00:10:19
the market a short trade can be taken
00:10:22
once price breaks below this inside
00:10:26
bar also be aware that false break outs
00:10:29
can happen sometimes price will break a
00:10:32
level pull back but then continue in the
00:10:35
original Direction This Is Why waiting
00:10:38
for confirmation on the pullback is
00:10:41
crucial for advanced Traders this
00:10:44
strategy can be combined with other
00:10:46
techniques like volume analysis or order
00:10:49
flow to increase its effectiveness
00:10:59
he
00:11:01
[Music]
00:11:49
[Music]
00:11:53
another scalping setup uses the volume
00:11:56
weighted average price as a key
00:11:58
reference point in combination with
00:12:00
engulfing candle basically this strategy
00:12:04
combines price action analysis with the
00:12:06
volume weighted line we'll use this
00:12:09
indicator as a trading Benchmark that
00:12:12
shows the average price a market has
00:12:14
traded at based on both volume and price
00:12:18
the engulfing candle is the second
00:12:20
component a price action pattern where
00:12:23
one candle's body completely engulfes
00:12:25
the body of the previous candle it's
00:12:28
seen as a strong Ral signal especially
00:12:31
when it occurs around the
00:12:32
mainline the perfect signal looks like
00:12:35
this price approaches the volume
00:12:37
weighted line an engulfing candle forms
00:12:40
at or near this area then price bounces
00:12:43
off the main line in the direction
00:12:45
indicated by the engulfing
00:12:48
candle from a supply and demand
00:12:50
perspective here's what's happening the
00:12:53
vwap represents the equilibrium price
00:12:56
for the day when price is above vwap
00:12:59
buyers are in control when price
00:13:02
approaches VW up it's entering a Zone
00:13:04
where supply and demand are roughly
00:13:06
balanced the engulfing candle that forms
00:13:09
here represents a sudden shift in this
00:13:12
balance a bullish engulfing candle shows
00:13:15
demand dominating Supply while a bearish
00:13:18
engulfing candle shows Supply overcoming
00:13:21
demand the bounce of vwap confirms this
00:13:25
shift and implies that a new Supply
00:13:27
demand balance is like likely to persist
00:13:30
at least for a short
00:13:32
while this is how to trade this setup
00:13:36
first monitor the vew up on your chart
00:13:39
as price nears the line start paying
00:13:42
close attention watch for an engulfing
00:13:45
candle to form this is your key signal
00:13:49
after the engulfing candle forms look
00:13:51
for price to move away from vwap in the
00:13:54
direction indicated by the engulfing
00:13:57
candle once you have confir of the
00:13:59
bounce you simply enter in the direction
00:14:02
of the engulfing candle place your stop
00:14:05
just beyond the opposite side of the
00:14:07
engulfing candle you might set your
00:14:10
first Target at the next significant
00:14:12
level this scalping method works well
00:14:16
because it combines multiple high
00:14:18
probability factors vwap is a key level
00:14:21
watched by many Traders especially
00:14:24
institutions engulfing candles are
00:14:27
strong reversal signals the bounce
00:14:29
confirms the reversal and shows that the
00:14:32
new trend has some momentum one key
00:14:35
aspect of this strategy is understanding
00:14:38
the significance of vwap institutional
00:14:41
Traders often use vwap as a benchmark
00:14:44
for their trades if they're buying they
00:14:47
want to buy below the line if they're
00:14:49
selling they want to sell above it this
00:14:52
is why vwap often acts as a dynamic
00:14:55
support and resistance
00:14:57
level in this example example we see
00:15:00
price approach the line from below this
00:15:03
suggests that sellers have been in
00:15:05
control but price is now entering the
00:15:08
equilibrium Zone as price touches the
00:15:11
main line we see a large bearish candle
00:15:14
form this candle completely engulfs the
00:15:17
body of the previous candle this is our
00:15:21
signal the next candle continues to move
00:15:24
downward this confirms the bounce we
00:15:27
enter a short trade at the low of the
00:15:30
signal candle stop loss goes just below
00:15:33
the high of the engulfing candle for the
00:15:36
first Target you might look at the
00:15:38
previous swing
00:15:40
lows another signal again we have our
00:15:44
vwap clearly visible we see price
00:15:47
approach the line from Above This
00:15:50
implies that buyers have been in control
00:15:53
but price is now entering the
00:15:55
equilibrium Zone as price touches the
00:15:57
line with see a large bullish candle
00:16:00
form the candle completely engulfes the
00:16:03
body of the previous one the next candle
00:16:06
continues to move upward this confirms
00:16:09
our bounce we enter a Buy trade as the
00:16:13
high of the engulfing candle is taken
00:16:16
out very important market conditions can
00:16:20
affect the effectiveness of your
00:16:22
scalping results in very choppy markets
00:16:25
price might cross vwap frequently making
00:16:28
making it less reliable as a support or
00:16:31
resistance level you don't want to see
00:16:34
the line being tested in recent
00:16:37
candles for more advanced Traders you
00:16:40
might consider incorporating additional
00:16:43
factors for example volume analysis
00:16:47
engulfing candles that form on higher
00:16:49
volume might be more
00:16:51
significant Market structure also
00:16:54
matters is this vwap bounce happening at
00:16:57
a significant swing high or low also
00:17:01
vwap tends to be more significant during
00:17:04
the middle of the trading session early
00:17:07
in the day it's still establishing
00:17:09
itself and late in the day other factors
00:17:12
might become more
00:17:14
important another factor to consider is
00:17:17
the distance of price from vwap the
00:17:20
further price moves from the line the
00:17:23
more likely it is to eventually return
00:17:25
to it this can help you anticipate
00:17:28
potential setup
00:17:30
also please note that this scalping
00:17:32
setup doesn't always require an exact
00:17:34
bounce of the line sometimes price might
00:17:38
hover around the line and won't touch it
00:17:41
before the engulfing candle forms
00:17:46
[Music]
00:18:03
[Music]
00:18:20
[Music]
00:18:45
next scalping setup involves a fair
00:18:47
value Gap fill after a breakout this
00:18:50
strategy takes advantage of markeet
00:18:53
inefficiencies and price action
00:18:55
Dynamics fair value gaps are created
00:18:58
with within a three candle sequence they
00:19:01
are typically seen on charts as a large
00:19:03
candle whose neighboring candles upper
00:19:06
and lower weeks don't fully overlap the
00:19:08
large candle here's how it works price
00:19:12
breaks out of a significant level
00:19:14
support or resistance during this
00:19:16
breakout a fair value Gap forms due to
00:19:20
the rapid price movement after the
00:19:22
breakout price often retraces to fill
00:19:25
the Gap this retracement provides a
00:19:28
potential entry point for a trade in the
00:19:31
direction of the original
00:19:32
breakout from a supply and demand
00:19:35
perspective here's what's happening the
00:19:38
breakout represents a significant shift
00:19:40
in the balance of supply and demand the
00:19:43
fair value Gap forms because the price
00:19:46
movement is so Swift that normal price
00:19:49
Discovery doesn't occur in that area
00:19:51
this creates an inefficiency in the
00:19:54
market that often gets filled later when
00:19:57
price returns to fill Gap it's testing
00:20:00
the new Supply demand Balance
00:20:02
established by the breakout this retest
00:20:05
often provides a high probability entry
00:20:08
in the breakout
00:20:09
Direction This is how to trade this
00:20:12
setup first you identify important
00:20:15
levels on your chart these are potential
00:20:18
breakout points then watch for breakouts
00:20:21
when price breaks a key level with
00:20:24
strong momentum pay attention this is
00:20:27
the first part of our setup
00:20:29
next identify the Gap look for the three
00:20:32
candle pattern during the breakout move
00:20:35
after the breakout and GAP formation
00:20:38
price will often retrace to fill the Gap
00:20:41
as price approaches the fair value Gap
00:20:44
get ready for a potential trade entry
00:20:46
look for signs that price is likely to
00:20:49
continue in the breakout Direction after
00:20:51
filling the Gap this could be a reversal
00:20:54
Candlestick pattern or a bounce off the
00:20:57
broken level once you have confirmation
00:21:00
enter in the direction of the original
00:21:02
breakout this strategy offers a clear
00:21:05
systematic approach breakouts often lead
00:21:08
to strong trending moves gaps tend to
00:21:11
get filled due to the Market's nature to
00:21:14
seek fair value and retests of broken
00:21:17
levels often provide good entry
00:21:20
points in this example we've identified
00:21:23
a key resistance level that price has
00:21:26
been respecting for the past few few
00:21:28
days we see a break above it with a
00:21:31
strong candle this three candle sequence
00:21:34
has created Our Fair Value Gap after
00:21:38
this sequence we see price start to
00:21:40
retrace pulling back towards the Gap
00:21:43
giving us our potential entry
00:21:45
opportunity as price enters the Gap area
00:21:48
we see a bullish pin bar form this is
00:21:51
the confirmation signal a long trade is
00:21:54
the play here just above the pin Bar's
00:21:57
High the stop loss is placed just below
00:22:01
the original breakout
00:22:03
level here's a cell setup we've
00:22:05
identified a key support level that
00:22:08
price has been bouncing off for the past
00:22:11
few hours we see price approach this
00:22:14
level and then break below it with a
00:22:16
strong candle this three candle sequence
00:22:20
has created Our Fair Value Gap as price
00:22:23
retraces to fill the Gap we have our
00:22:26
potential entry opportunity a bearish
00:22:29
engulfing candle this is our
00:22:32
confirmation
00:22:33
signal the key aspect of this scalping
00:22:36
setup is understanding the concept of
00:22:39
Market
00:22:39
inefficiencies Fair Value gaps are areas
00:22:43
where normal price Discovery didn't
00:22:45
occur creating a sort of vacuum in the
00:22:48
market prices often return to these
00:22:51
areas to fill this vacuum which is what
00:22:54
creates our trading
00:22:56
opportunity for more advanced Trad ERS
00:22:59
you might consider adding additional
00:23:01
factors one of them is Market structure
00:23:04
a breakout that changes the market
00:23:06
structure from bearish to bullish or
00:23:09
vice versa might be more significant
00:23:12
time of day also matters gaps that form
00:23:16
during Major Market opens like London or
00:23:19
New York might be more significant due
00:23:22
to the increased volume another factor
00:23:24
to consider the size of the Gap larger
00:23:27
gaps might might be more significant and
00:23:30
have a higher probability of being
00:23:32
filled
00:23:35
[Music]
00:23:59
[Music]
00:24:20
[Music]
00:24:31
[Music]
00:24:34
another powerful method combines Market
00:24:36
structure analysis with Fibonacci
00:24:39
retracements this approach aims to catch
00:24:42
quick moves by entering trades at Key
00:24:44
Fibonacci levels after a significant
00:24:47
break of structure a break of structure
00:24:50
occurs when price breaks above a
00:24:52
previous high in an uptrend or below a
00:24:55
previous low in a downtrend it signals a
00:24:58
shift in market dynamics and often
00:25:01
precedes a strong move in the New
00:25:04
Direction once you found a major break
00:25:06
of structure you add the Fibonacci
00:25:09
retracement on it this tool is used to
00:25:12
identify hidden support and resistance
00:25:14
levels we are interested in the golden
00:25:17
Zone the area between the 61 and 78%
00:25:22
levels when a break of structure occurs
00:25:25
it shows that either Supply in a
00:25:27
downtrend or demand in an uptrend has
00:25:30
been overwhelmed the subsequent pullback
00:25:33
to the Fibonacci golden zone is a period
00:25:36
where the market is Seeking a new
00:25:39
equilibrium you are betting that the
00:25:41
original imbalance will reassert itself
00:25:43
at these key Fibonacci
00:25:46
levels this is how to trade this setup
00:25:49
first you identify the break of
00:25:51
structure watch for price to break above
00:25:54
a significant previous high for an
00:25:56
uptrend or below a significant previous
00:25:59
low for a downtrend once you've
00:26:02
identified the break Mark the swing that
00:26:05
includes the break of structure from the
00:26:07
low to the high in an uptrend or from
00:26:10
the high to the low in a
00:26:12
downtrend then simply draw the Fibonacci
00:26:16
retracement after the break of structure
00:26:18
price will often pull back in the golden
00:26:21
Zone look for signs that price is ready
00:26:24
to resume the trend this could be
00:26:26
Candlestick patterns a volume shift or
00:26:29
simply price action showing rejection
00:26:31
from The
00:26:32
Zone once you have your confirmation
00:26:35
enter the trade in the direction of the
00:26:37
original break place your stop just
00:26:40
beyond the opposite side of the golden
00:26:42
Zone as for take profits you might set
00:26:45
your target at the next key levels in
00:26:48
the market
00:26:49
structure this scalping method works
00:26:52
well because it combines multiple high
00:26:54
probability factors the break of
00:26:57
structure shows a clear shift in market
00:26:59
dynamics Fibonacci levels are widely
00:27:02
watched by Traders and often act as
00:27:05
support and resistance and the golden
00:27:07
zone is considered a high probability
00:27:10
reversal area this strategy offers a
00:27:13
structured approach to entering trades
00:27:16
you are looking for a clear break of
00:27:18
structure then waiting for a pullback to
00:27:21
a specific Zone before
00:27:23
entering in this chart we see price
00:27:26
break above a significant previous High
00:27:30
signaling a break of structure to the
00:27:32
upside we marked the swing from the
00:27:34
recent low to the high of the break of
00:27:37
structure candle we then draw our
00:27:40
Fibonacci retracement on this swing then
00:27:43
price pulls back and we see it enter the
00:27:46
golden zone now we start looking for
00:27:49
entry signals here we see a strong
00:27:52
bullish engulfing candle this is our
00:27:54
entry
00:27:56
signal now we see price braks below a
00:27:59
significant previous low signaling a
00:28:02
break of structure to the downside we
00:28:04
Mark the swing from the recent High to
00:28:07
the low of the breakoff structure candle
00:28:10
we then draw our Fibonacci retracement
00:28:13
on this swing price pulls back and we
00:28:16
see it enter the golden zone so we start
00:28:19
looking for entry signals this time a
00:28:22
candle with a long Wick is rejecting The
00:28:25
Zone the length of the break of
00:28:28
structure can affect the effectiveness
00:28:30
of this strategy you want to see price
00:28:32
breaking a previous swing with
00:28:35
conviction in very choppy markets false
00:28:38
breakouts are more common which can lead
00:28:41
to failed setups so keep in mind this
00:28:43
aspect before taking any
00:28:46
trade for more advanced Traders you
00:28:49
might consider add a momentum indicator
00:28:51
to find divergences at the value area if
00:28:55
the golden Zone aligns with other ke
00:28:58
levels it can also increase the
00:29:00
probability of a reversal
00:29:05
[Music]
00:29:22
[Music]
00:29:29
[Music]
00:29:38
[Music]
00:30:02
[Music]
00:30:04
now if you want to learn other scalping
00:30:06
and day trading tactics you need to
00:30:08
watch one of these videos next
00:30:16
[Music]
