Romeo turtle soup course 3 of 8

Summary

This course delves into the nuanced world of Bitcoin trading, focusing on the strategic analysis of price and time to create effective trade ideas. It explains the "power of three" concept, which includes open, high, low, and close values and how they are manipulated within different time frames. The discussion also covers the significance of price action, Fibonacci levels, and how traders can utilize these elements to predict Bitcoin's movement, targeting a $32,000 draw liquidity. Key to these strategies is understanding the distinction between bearish and bullish markers within market trends, and how candles are broken down to pinpoint entry and exit points. This knowledge equips traders with advanced methods to frame a trade and anticipate market trajectories.

Highlights

• Exploring how the 'power of three' impacts Bitcoin trading strategies. 🪙
• The use of Fibonacci retracement to gauge market movements. 🌀
• Utilizing high and low price markers for bullish/bearish assessment. 📊
• Defining entries through 'wick' and understanding signal confirmations. ✅
• Timing the market with the accumulation, manipulation, and distribution phases. 🔄

Key Takeaways

• Understanding the 'power of three' in trading can deeply enhance market analysis. 🌟
• Utilizing Fibonacci levels helps predict price movements and retracements. 📈
• Distinguishing between bullish and bearish candles is crucial for strategy formation. 🔍
• Entry decisions should leverage the concept of 'wick' entry for better precision. 🎯
• Timing your trades with the market's natural cycles (accumulation, manipulation, distribution) can improve outcomes. 🕰️

Overview

In this session focused on Bitcoin trading, we explore the 'power of three'—a strategy that analyzes opening, closing, high, and low values in various time frames, notably the monthly range. This approach helps traders predict future price movements by observing these key markers and integrating Fibonacci levels.

The video also delves into the significance of both bearish and bullish indicators within trading frameworks. It's crucial to recognize these candles and understand their potential impact on future price directions, enriching strategy formulation and trading decisions.

Finally, the concept of timing within trading is examined through the lens of market cycles—accumulation, manipulation, and distribution. Traders are urged to anticipate and react to these stages, enhancing their proficiency in setting up trades. With a clear focus on price actions, these strategies become essential tools for any trader's toolkit.

Chapters

• 00:00 - 03:00: Introduction to Monthly Power of Three The chapter introduces the concept of the 'Monthly Power of Three', highlighting that in this method, the 'open' and 'close' prices are considered fixed, while the 'high' and 'low' prices are variable. The speaker encourages further examination of this method.
• 03:00 - 09:00: Bitcoin Analysis and Market Bias The chapter "Bitcoin Analysis and Market Bias" provides an analysis of Bitcoin's recent price movements through a technique called Fibonacci retracement. By examining the 50% retracement level, insights are drawn about possible market bias and future price directions. The chapter covers the decision-making process and analytical framework for traders to interpret Bitcoin market dynamics with a focus on technical analysis.
• 09:00 - 14:00: Trade Framing and Fibonacci Levels The chapter 'Trade Framing and Fibonacci Levels' discusses the crucial interplay between time and price in trading. It references a well-known concept that price levels lack significance without the context of time, and similarly, time is meaningless without price levels. This chapter likely explores strategies for incorporating both elements into trading decisions, possibly with a focus on using Fibonacci levels to optimize trade timing and pricing.
• 14:00 - 17:00: Dissecting Candle Structures The chapter titled 'Dissecting Candle Structures' discusses the significance of price levels in trading and the strategy of blending different techniques to achieve favorable results. The narrative emphasizes focusing on the monthly range where open and close positions are fixed, and the challenge primarily involves capturing these effectively.
• 17:00 - 21:00: Accumulation, Manipulation, and Distribution The chapter discusses strategies for trading Bitcoin, particularly focusing on predicting market lows or highs. The speaker mentions a bullish outlook and anticipates Bitcoin's price to be influenced by larger market trends. They highlight the importance of identifying liquidity draws on higher time frames, such as monthly charts.
• 21:00 - 23:00: Using High and Low Time Frames The chapter titled 'Using High and Low Time Frames' focuses on analyzing market behavior by utilizing both high and low time frames. It highlights how different time frames can provide unique insights, with particular emphasis on Bitcoin's clean patterns during the period discussed. The chapter underscores the importance of recognizing market magnets and key focuses when trading, illustrating these concepts through real-world examples.
• 23:00 - 27:00: Advanced Candle Sectioning The chapter discusses the concept of 'Advanced Candle Sectioning,' focusing on maintaining a consistent market bias. The speaker emphasizes the importance of sticking to a predetermined market expectation (in this case, a target of 32,000) until it becomes invalidated.
• 27:00 - 29:00: Summary and Conclusion In the Summary and Conclusion chapter, the focus is primarily on Bitcoin, emphasizing the significance of the higher time frame. The main point highlighted is the draw liquidity target set at 32,000. The strategy involves buying retracements until this target of 32,000 is reached. This approach is maintained while keeping the higher time frame draw liquidity in consideration. Additionally, it is noted that a new position has been opened with this strategy in mind.
• 29:00 - 31:00: Upcoming Topics and Break The chapter discusses the significance of candle patterns in monthly charts, particularly focusing on situations where a candle engulfs the previous one. It emphasizes the importance of closing prices, especially those below previous lows and above certain levels, as critical indicators for following market movements.

Romeo turtle soup course 3 of 8 Transcription

• 00:00 - 00:30 all right folks now talking about the monthly power of three we've mentioned before the open and the close are fixed values right and the high and the low are the moving values right monthly power three we look at it
• 00:30 - 01:00 through the 4our time frame lens now so this is this is Bitcoin a recent move i' called we pull a fib we look at the 50% and this is going
• 01:00 - 01:30 to be a blend of time and price all right because as we know the famous picture which is quite true uh the picture which says uh uh price levels are useless until time is considered and time is of no use unless
• 01:30 - 02:00 price is at a key level right when you blend The Two Of course then you got a pretty good result so now let's focus on on the uh the monthly of catching the monthly range open is fixed close is fixed right and we're trying to catch a
• 02:00 - 02:30 uh we're trying to catch either the low or the high so right now on bitcoin we were bullish we were expecting uh we're expecting it to be drawn to the higher time frame and before I continue let me just Mark the draw on liquidity on the higher time frame which is this monthly
• 02:30 - 03:00 fvg all right so the magnet for us is up here right and the reason I've been more focused on bitcoin if if you've noticed is it was offering pretty clean it had a
• 03:00 - 03:30 pretty clean bias ever since down here I've been calling for 32,000 right so over here a 32 over here I said 32 over here I said 32 and here as well I'd kind of slipped semi slipped a bit uh calling it here instead of here but over here I had demonstrated an important thing which is sticking to your bias until it is invalidated right which I'll
• 03:30 - 04:00 speak about too um but the point is the reason I'm focusing on bitcoin so much is because the higher time frame is pretty obvious the draw liquidity is 32,000 we are looking to buy retracements until we reach 32,000 right so keeping the higher time frame draw liquidity in mind we have opened a new
• 04:00 - 04:30 Candle on the monthly right and the previous month's candle has engulfed the month before it candle right but it never closed below the low you've seen me emphasize if you follow if you've been following me for a while on the closes below lows and above
• 04:30 - 05:00 highs right so this monthly candle uh this monthly candle closed as an engulfing candle repl I'm clearly not used to this device part replay
• 05:00 - 05:30 I usually watch the data live so this month closed right so pretty bearish now you would think but no the bias is up here we're expecting this to be the the magnet if you will it did not close below this low if it had closed below the low then you could you you could start considering bearishness but it refused to close
• 05:30 - 06:00 below the candle and it is bumping into a higher time frame key level the fvg and the inverted fvg as well right so there was no reason to be bearish now of course then you pull your fibs you look at the premium discount
• 06:00 - 06:30 and this is where I delve into how to frame a trade idea on reading price not trading because this is not Financial advice this is only uh price action reading for fun all right so again there's refusal to close below this low as well the swing
• 06:30 - 07:00 low uh that broke the high those are important key levels I've mentioned before which is the lows that break the high or the highs that break the lows those are super important key levels when when closed above or below or falsely closed above or falsely closed below and back test that rewind what I said just now rewind it listen to it once twice three times and back test it
• 07:00 - 07:30 so we have this important low we have this key level the ivg we have the old high as well a classic Sr flip price action and this is where I called right over here I'd call for Bitcoin to go to 32,000 first for first Target is over here
• 07:30 - 08:00 and second target is up here now what happened we dug a bit deeper before eventually uh rallying to the Target the targets which was one and then eventually two coming soon all right how would you frame a trade idea you want to First have an eye on
• 08:00 - 08:30 the Target right so my eye was up here so the first thing you want is a draw on liquidity this is how you frame the bias I'd given out a a tweet in written form but I think a video form is a lot more useful so number one is where is Price what what's the magnet where do you think price is going to be drawn to
• 08:30 - 09:00 either up or down right second of all what potential entry points do you see right third of all what is the opposing
• 09:00 - 09:30 end or what is the other side of the draw on liquidity which you are considering in your assessment highly unlikely to be reached before the draw liquidity let me say that again what's the point in price which is highly unlikely to be reached before the draw liquidity is
• 09:30 - 10:00 reached right that is your invalidation level so right over here right over here we had number one which is where is Price likely to be going to 32,000 that's the I
• 10:00 - 10:30 what is a potential entry um over here was considered over here was considered these are the two entries given right what is a place you deem unlikely to be tapped before before uh the target this liquidity pool highly unlikely to be tapped
• 10:30 - 11:00 before uh the draw liquidity especially given that it is a 0.618 fib and we are in an uptrending Market tapping into the 50% Fibonacci level all right so this was a reasonable stop loss for the idea to frame the bias that we are going to be rising up up
• 11:00 - 11:30 there so this is one where is the draw liquidity number two what is the entry 50% below this low at the 50% the old high the monthly remember the monthly fvg the monthly ifg week two of the
• 11:30 - 12:00 month right which I'll be getting into right now and number three is which which which point in price is unlikely to be reached before the draw liquidity invalidation right and that is how a birth that is how a uh a trade idea is birthed right it's funny using the RR tool but
• 12:00 - 12:30 this is all called in real time right if you had picked this the low of the fpg then sure it would be shitti your risk reward but you would still be correct right now this alone is enough however there is an important aspect which is the divisions of each
• 12:30 - 13:00 candle each candle is divided into three or you can say divide into four as well uh I like to use three on The Daily candle and the weekly and and I like to use
• 13:00 - 13:30 four on the uh the monthly candle in fact you can use this dissection of any higher time frame candle as a three candle process so you don't need any more than three candles to trade right you can trade this candle you can choose one C at a key level one candle at a key
• 13:30 - 14:00 level one 2 three one two that's your that's your whole trade right and things are getting getting uh getting close to be interesting very soon so keeping that in mind we have the
• 14:00 - 14:30 monthly candles power of three the monthly open high low and close the monthly candle has closed as a bearish candle in a bullish Market in a clearly obviously bullish Market disrespecting bearish PD Rays respecting bullish PD rays in a bullish Market a bearish candle is going to be engulfed in the next candle in a bearish market a bullish candle is anticipated to be
• 14:30 - 15:00 engulfed in the next few candles right retracement protraction expansion expansion protraction expansion right so this bearish candle we're expecting a higher time frame remember so this alone is a trade
• 15:00 - 15:30 keeping in mind the order flow The Narrative the whole context of the move you're trading one two three candle number one candle number two and candle number three right from the lens of power of three
• 15:30 - 16:00 you go to June you go to the open you want to buy again what was the what were the rules the rul rules were
• 16:00 - 16:30 buying below the opening price when bullish and above the opening price went bearish into a higher time frame key level blend that with what I said just now of how to frame a trade idea and you get a pretty accurate read on price right so below below below we're forming a range we're forming a range below the opening
• 16:30 - 17:00 price we're breaking out of the range this is all a wick entry what does that mean what do what does wick mean we always say entry with a wick right what is the meaning of entering in the wick it is simply entering below the opening price when uh bullish entering below the the above the opening price when bearish all the order blocks all the breakers all
• 17:00 - 17:30 the uh otes everything is happening over here and you're writing it back into the opening price and potentially a flip of the opening price and a continuation lower right this is how you get the wick entry same over here open decline into key level this is all happening below the opening price
• 17:30 - 18:00 right you're waiting for the the order block the range the breaker the OT to form below the opening price at the certain time required and you write it up and you entered from the wick of the candle right
• 18:00 - 18:30 not to stray too much but in summary opening price fixed closing price uh opening time excuse me fixed and closing time is fixed right the previous candle was a bearish candle in an uptrend bearish candles and uptrends are to be engulfed we've reached a key level right so we are at a key level The
• 18:30 - 19:00 Narrative the context everything is in Aid of a push higher blending that with the opening price we're bullish right what do we say candle opens we dump we create a range below the opening price
• 19:00 - 19:30 we then break the range below the opening price and we rally that's cool but here's a question how do you make sure that you weren't tricked into this being the bottom right you you could have well and easily uh done that you could have you could have bought here turtle soup right and then you could have been suckered in and stop to before the
• 19:30 - 20:00 move that is possible that can be avoided by two ways number one always wait for the confirmation of the high being broken right whether it's the opening price being flipped or it's the high that broke the low being flipped all right or you can simply wait for the uh uh the
• 20:00 - 20:30 sections of the candle to play out as they're supposed to be as I mentioned before you got 1 two 3 accumulation wait for the wait for week one to accumulate week two to manipulate and then week three you're looking for buys all right accumulation manipulation distribu let's see what that looks
• 20:30 - 21:00 like week one is done week two accumulation manipulation distribution right so again you're noticing I'm I'm switching back and forth to through or two time frames and that is super important the higher time frame to give
• 21:00 - 21:30 me a draw liquidity a magnet and the lower time frame to find the entry patterns quote unquote right now the time has come the time has come for me to uh show an even
• 21:30 - 22:00 deeper understanding of this accumulation manipulation distribution which I just mentioned uh the higher time frame candle being divided into sections right and you can use any three of them accumulation manipulation distribution you can go back to the the video the previous uh not this one the one before it right not another one before this one the one before the one before this one right where I talked
• 22:00 - 22:30 about the two ways this can play out but the basic premise is an accumulation an accumulation candle a manipulation candle and then candle number three you want to ride the wave of the candle back to the high of the candle that was Turtle souped let's take a break and we will get
• 22:30 - 23:00 into uh a Nuance a detail which uh I haven't really mentioned before but let's uh let's mention it now let me just take a break couple of minutes and I'll be back
• 23:00 - 23:30 so I'm going to stop the recording right now and leave you on suspense mode