Rekt Proof [PDF]

Zitiervorschau

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Trading Manual I genuinely believe that if willing you can learn on your own if you grind. RektProof

www.twitter.com/RektProof

© all content by @RektProof pdf by @paulbri

2019

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2021

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Price action Accumulation, distribution The power of 3 Market structure vs Cycle of the market Time frames Market session Alt Example Three tap Reversal pattern Range strategy Setup 01 RP breaker p04

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1/4 #PriceAction Just wanted to comment on current price action and what I personally think price is doing. Price goes from ranging to trending, accumulation to distribution and vice versa. Simple price action delivery. 1. Previous PA 2. Current PA 3. Conclusion

BTC/USD,6H

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1. Price action

6 2/4 1. Previous Price Action Price trends and untapped buy side liquidity engineers.

Price enters a range which we can mark up as distribution. Rather than make new highs/lows it distributes. MSB failure to shift new highs. Price trends down with price re- distribution.

BTC/USD,6H

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1. Price action

3/4 2. Current Price Action Price trends up and untapped buy side liquidity is engineered. Price continues to show strength marking higher lows. Price has not entered a range into significant resistance and no signs of market structure breaks or distribution for period of time. Enjoy

BTC/USD,240

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1. Price action

4/4 3. Conclusion Price trends, price exhaustion and price reversal. We go from trending to ranging environments. This is not a fractal in price but rather price delivery. Rather than trying to guess every top just wait for price and time to reflect it. Enjoy!

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1. Price action

1/8 #PriceAction Here is a write up on trapping market participants to my understanding: Using current price action as an example: 1. Accumulation:Postions Build up 2. Distribution into breakout traders. 3. Re Distribtion into liquidity pockets Enjoy! #btc

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2. Accumulation, distribution and re distribtion

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BTC/USD,240

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2. Accumulation, distribution and re distribtion

3/8 1. Accumulation:Postions Build up Postions build up, market participants chopped within a short term accumulation. Notes on the chart:

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2. Accumulation, distribution and re distribtion

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2. Accumulation, distribution and re distribtion

5/8 2. Distribution into breakout traders

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Breakout traders expecting another leg up are lured into filling the remaining shorts Market Makers might have. Market participants provide liquidity to the market. Notes on the chart:

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2. Accumulation, distribution and re distribtion

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2. Accumulation, distribution and re distribtion

7/8 3. Re Distribtion into liquidity pockets Market Makers close a portion or full Postions that were built through the compressed range and supply. Postions are usually closed at swing points since they are liquidity pockets in the market. Notes on the chart:

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2. Accumulation, distribution and re distribtion

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2. Accumulation, distribution and re distribtion

1/2 #Educational Decided to do a small write up on the power of 3 with market cycles with current price action. 1. Accumulation : Positions Build Up 2. Manipulation: Engineer Liquidity 3. Distribution: Positions Exit Notes on the chart. Hope it helps!

BTC/USD,30

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3. The power of 3

2/2 $BTC

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Had a pretty good example on the power of 3 yesterday. Accumulate at day open, manipulate price down shortly after to engineer liquidity then push price up and looking to distribute.

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3. The power of 3

1/4 #PriceAction

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Market structure vs Market structure breaks Decided to do a write up on what I consider to be a valid market structure shift The views are subjective to my own trading knowledge as it’s different for everyone Orderflow: Trend-Range (accumulate-Distriubte)

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4. Market structure vs Market structure breaks

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3/4 Valid Market Strucutre Continuation Market structure that follows orderflow with unbroken lows as price exhausts and enters re accumulation. Notes on the charts:

BTC/USD,1D

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4. Market structure vs Market structure breaks

4/4 Valid Market Strucrure Break Reversal Market structure break of key lows as price trends. Price goes range bound into distribution. Notes on the chart:

BTC/USD,1D

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4. Market structure vs Market structure breaks

1/6 #Educational Price Action Delivery 1. 2. 3. 4.

Retracement Reversal Consolidation Expansion

It’s important to identify what cycle the market is producing before entering a trade. Went ahead and a made small brief explanation for each.

BTC/USD,60

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5. Cycle of the market

2/6 1. Retracement

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The market pulls back to an area of liquidity. It can either deviate and or run a significant low to trend the market.

BTC/USD,60

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5. Cycle of the market

3/6 2. Reversal

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The market reverses after engineering liquidity. Market Structure is broken and the trend is shifted whether it’s short, mid or long term.

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5. Cycle of the market

4/6 3. Consolidation

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One of the cycles that tends to chop and cause directional flip in bias multiple times. The market trades in a tight range before deciding its next directional trend. Not the best cycle to plant setups.

BTC/USD,60

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5. Cycle of the market

5/6 4. Expansion After a tight consolidation coming off a healthy reversal point the market decides the trend into the next area of liquidity pocket whether it’s a swing point and or a SR level (supply).

BTC/USD,60

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5. Cycle of the market

6/6 Conclusion

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Market structure is key. Identifying what cycle the market is painting in Market Structure will allow you to know which trades to avoid and which have the highest hit rate. Under and know your market.

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5. Cycle of the market

1/6 #PriceAction Write up on how you can set yourself up between different time frames and have a filtered bias and game plan as the market moves Using current PA: 1. 2. 3. 4. 5.

Importance of Multi Bias Setups HTF Resistance Setups Mid TF directional bias LTF scalps Conclusion

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6. Time frames

2/6 1. Importance of Multi Bias Setups As the market moves you’re fortunate enough to play either direction. Rather than be stuck on a one sided bias have a game plan for each time frame.

BTC/USD,240

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6. Time frames

3/6 2. HTF Resistance Setups

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As the market trends it’s important to focus on potential reversal areas. Triggers I use are Weekly SR with formed daily/H12 Supply levels Look for developing PA in these areas along with distribution as we tend to range for a long period of time.

BTC/USD,1D

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6. Time frames

4/6 3. Mid TF directional bias Directional bias means pick a trade in which the market trends. Triggers I use are Daily demand levels with re defined H12-H4 entries Ideally you want a trade that offers a market structure break retest and continuation of the trend.

BTC/USD,240

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6. Time frames

5/6 4. LTF scalps Multi bias. Triggers I use for scalps are key levels along with ltf ranges that form and sweeps. Market exhausts and consolidates. You want to look for swing points that form and scalp either direction.

BTC/USD,15

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6. Time frames

6/6 5. Conclusion

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The market moves both ways and offers different opportunities. Being stuck and focused on one directional bias mindset eliminates the opportunities that come from trading different market directions. Have a plan for each time frame and trade the plan.

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6. Time frames

1/2 Some of my best setups have been during the apex of Asia Session into LO Open/Pre Session

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The market tends to sell off/rally before printing a reversal at formed supply/demand levels during liquidity injection Useful tool for session hours. Enjoy! https://tradinghours.com/countdown

BTC/USD,30

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7. Market session

2/2 Another example from last night. Sell off on Asia session and the apex into LO as price reached formed demand we managed to reverse. Knowing when to trade is also important as how to trade. Managed to catch this.

BTC/USD,30

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7. Market session

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Most Alts are printing the same structure. Break of a swing low followed by a shift above and retest of any formed demand/breaker. Dips are for buying this week on Alts.

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8. ALT

70 1/3 This is how Alts have played out the last few weeks to my perspective and currently.

1. Initial drive up (get people bullish) 2. Sell off into HTF Demand (Sentiment flips bearish) 3. Price gets back above with trapped funds in lock. Examples attached. Enjoy!

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8. ALT

2/3 When you see price move up early in the week and sentiment favoring a certain side its good to zoom out and mark out your untested HTF Demands as we might be engineering liquidity. (Notes on chart)

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8. ALT

3/3 Conclusion

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. ALT

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Mark out your HTF Demands Don’t chase price but rather wait for certain elements to present themselves before entering. Requires patience and discipline but the clarity in the move is much clear. Block out the noise and trade your system Trade Safe

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1/8 $BTC / $USD M5 range redefined inside the M30 range and H1 range. Market is completely range bound but respecting set levels. Will prob resolute around weekly close or traditional markets open. #bitcoin

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9. Example

2/8 $BTC / $USD LTF MSB and shift to the downside following a run of range high. H1 breaker formed mid range. Anything above grey and we get another move to the high. For now we should trend down to range low.

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9. Example

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BTC/USD,60

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9. Example

4/8 $BTC / $USD Range low ran and formed H1 bullish breaker. If you’re looking to short best place would be a move into EQ/supply. For now this is showing some strength. Closely watching for a setup

BTC/USD,15

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9. Example

5/8 $BTC / $USD

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H1 breaker doing its thing as mentioned Currently trading above EQ after running Monday’s high and tapping weekly open. Will let price action develop a bit Just a reminder if your htf levels didn’t play as support on the way down they prob won’t act as resistance

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9. Example

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BTC/USD,60

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9. Example

7/8 $BTC / $USD TP hit for 2.74R A lot of sweeps to the downside without being able to shift structure. Flipped weekly open and mid range into support for a nice mark up to range high. Thread Closed..//

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9. Example

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BTC/USD,30

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9. Example

1/3 #PriceAction

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Three Tap Setup One of the easier setups to spot and play after identifying your range. This setup is tailored around trapping breakout traders and forming a base to retest at a later date 1. Swing Point forms 2. Swing Point Swept/Deviate 3. Retest Enjoy!

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10. Three Tap Setup

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Examples + Rant: When price reaches a formed swing point in a range its common to get “bearish at demand” and “bullish at supply” Those expecting a break will enter a breakout trade ultimately getting trapped as we return to the level the trap started at a later date. ,12H

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10. Three Tap Setup

3/3 Conclusion:

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The market revolves around liquidity moving from low to high and vice versa running stops on both ends. Its good to enter the market at the extremes: The area buyers stepped in and the area sellers stepped in.

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10. Three Tap Setup

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Reversal Pattern Quick write up/examples on a commonly used reversal setup that I tend to look for. Criteria is as such: -Low forms -Price Deviates/Sweep below the low -MS Shift -Test of formed Breaker/Demand Examples attached. Hope it helps!

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11. Reversal pattern

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TVC/GOLD 1M

BTC/USD, 240

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11. Reversal pattern

3/4 DAILY BREAKER EXAMPLES ON ALTS

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Here is some sauce for you guys based off of this post: Reversal Breaker setups on a few alts. Note: I usually include the opening into the bottom of the wick for a bullish breaker and the close into the top wick for a bearish breaker: , 1D

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11. Reversal pattern

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11. Reversal pattern

108 1/1 #PriceAction #Bitcoin Price action compared to one of my lessons.

Not something I caught but good to see the blueprint followed along. Range forms MSB (Market Structure Break) Test of S/D-Breaker Levels

BTC/USD,1D

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12. Range strategy 00

1/6 #PriceAction Range strategy Quick write up on a commonly used setup I tend to look for when price ranges. Criteria is as such: -

Range Forms Price sweep/deviation of range point MSB (Market structure break) Test of formed SD TP

Enjoy!

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12. Range strategy

2/6 Range forms Price outlines two swing points in the market. Price sweep/deviation Following the identified swing points- price proceeds to sweep/deviate before closing back inside range

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12. Range strategy

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BTC/USD, 1D

BTC/USD, 1D

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12. Range strategy

4/6 MSB Following the price sweep/deviation; price breaks structure and shifts a new low. Test of formed SD Formed supply following sweep + MSB

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12. Range strategy

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BTC/USD, 1D

BTC/USD, 1D

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12. Range strategy

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Following test of formed SD price proceeds to the untapped low.

BTC/USD, 1D

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12. Range strategy

1/5 #PriceAction Regarding my recent post this is a really common setup I take that needs to line up. 1-2. Range forms 3. Price deviation 4. Market structure shift 5. Test of supply/demand

BTC/USD, 60

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13. Setup 01

2/5 Example #PriceAction Quick write up on a setup I had took last week. 1. 2. 3. 4.

Price deviation Supply formed following MSB/ MS shift Price comes to supply Entry/Target triggers

1. Price deviation Deviation confirms once price breaks back inside range and MS shifts. 2. Supply forms Untested supply forms following the market structure break and shift indicating change of ltf trend.

BTC/USD, 30

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13. Setup 01

3/5 3. Price comes into supply Price sweep into M30 supply with failure to shift in a new high. Further confirmation price wants to trend for downside liquidity

BTC/USD, 30

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13. Setup 01

4/5 4. Entry/targets

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Entry identified following the sweep with stop placement above the swept high. If price indication is downwards then we shouldn’t revisit the same high twice. Target would be range low

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13. Setup 01

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13. Setup 01

1/3 RP Breaker Setup

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Here is a current review on some current price action on a short setup using the breaker setup. High forms Price breaks the high/deviates above and prints a market structure break, Formed Demand in grey. Ideally you want this demand to hold to confirm a valid shift.

BTC/USD,120

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14. RP Breaker Setup

2/3 Demand fails to hold and you have a MSB to the downside. Price retests the newly formed breaker.

BTC/USD,120

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14. RP Breaker Setup

3/3 Price proceeds to the next area of liquidity (Equal Lows) before reversing.

BTC/USD,120

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14. RP Breaker Setup