GxT | Trade Recap | +4R

Welcome back. Going to be doing a walk

through of Friday's PA as I think it's

just a good lesson overall, just the

weekly PA in general. So, let's go ahead

and get into it. So, starting off like

we do every week, we look at the

previous week's close. So, let's kind of

analyze the past couple weeks here. What

did price do? So, we started off with an

expansion, right? And then we got a um

inside bar. Well, a new phase of price

essentially where you do have an S&P

here, right? But if you look at these

two candles, right? What are they really

used for? Just a retracement, right? You

see the weakest asset here is having a

very just all assets are having this

really weak closure. So you see how this

really weak closure, very small bodied

candle. It's inside barring between this

previous week here. So this is how you

typically know that it's just a

retracement. If there's no true reversal

signature, it's just a retracement,

right? What can we retrace into a gap,

right? Or this gap. So you see like ES

traed into this gap, this more closer

proximity gap where YM the weakest asset

traed into this gap here which creates a

SMT fill which is just a fancy word for

gap SMT.

We're seeing that ENQ did not create a

gap, right? Um so you have a two-stage

SMT essentially here, right? because we

did not take out the previous week's low

simply on ENQ and we did not reach into

this gap. So you're seeing that ENQ has

that two-stage SMT which is showing

strength. This is why you see these the

strongest close here right closing above

the previous high. This one barely does

or like equal highs and you clearly see

that YM is the reversal candle. So this

would be an A and B reversal. And notice

how this asset over here, the leading

asset failed to manipulate this high,

which and even in this weakest asset has

a candle 2 closure. So these are all

really strong signatures for

bullishness, right? So with that

previous week's closure, what would we

expect? Internal to external, we have

the SMT, we have the candle closure. I

mean, what else do we need? Right? So

now we want to see an expansion candle

away from that S&T or away from that

candle 2 closure on the weekly time

frame on YM. Now for NQS since they more

so closed a bullish expansion candle, we

would simply want it to respect the

upper half of this previous bullish

expansion candle, right? Um so really to

put it simply, this is all we really

want is we're looking around this

opening price. We obviously want a small

wick. So therefore, you need to have a

key level around the opening price. You

need to form a reversal around that

opening price to basically create that

small wick. So this key level can be

within the previous candle's range or

maybe we can reverse if this is the

weekly candle. Maybe we can reverse off

of, you know, a previous day's low. So

maybe Monday, Tuesday's low or something

like that, right? Um where we're

actually using it as a reversal point.

So dropping lower to the daily chart.

What do we have here? So if you see

here, this is the preix range. Here is

ES. We are expanding, right? And notice

how we're failing to manipulate this

swing point on both assets here. So

you're seeing that

um the previous week, what do we

actually form a gap right below the

weekly open. So you see how this would

be the perfect area for price to form

the low of the week. Now whether that's

Monday opens low into it first or we

trade into it later on, it doesn't

really matter. Um now ideally we want

you know a candles to open low first and

expand higher. Yeah that's for every

candle but since this open high is

formed on Monday we can obviously expand

if we form reversal Tuesday we can have

enough time to expand of course right

have that smoke as well. So we see that

um we have this key level position below

the weekly open. This is it has to

reverse here or continue from here. If

it doesn't then obviously our bullish

bias would be invalidated. But there's

some really key things to to look at

here. So you see that Monday expands

higher first which creates an SMT with

Friday's high

as you see. So this would tell us that

now we're going to retrace back in the

range, right? So price just moves from

SMT to SMT, right? So boom, you have

this this SMT here. Now, why would this

be a valid SMT? Well, a couple reasons.

Well, for one, you have this asset

closing a very weak closure and there is

a two-stage SMT within this candle

close, right? So, if the previous day

formed at an SMT and a two-stage SMT,

then what can the next day do? It should

reverse right into this key level. Now,

uh you can trade this reversal day too

because it's at this relevant level,

right? So, you could trade this as

basically and I don't remember if I did.

I can't even remember to be honest. Um,

I'd have to look at the PA. I literally

don't even remember what I had for

breakfast. So, anyways, um, with this

candle closure on Tuesday, it becomes

very, very, very obvious that what

should happen, right? Because notice how

this asset over here, uh, which is YM,

these highs got taken out a long time

ago on ENQ and ES and look, they got

they failed to manipulate them, right?

Um, what do you notice about Tuesday's

close though? Look at INQ. Tuesday's

close, bearish expansion candle. And

then Tuesday over here on YM, it's a

bullish reversal candle. So now that is

a strength switch so that YM can

essentially catch up and take out all

these highs, right? And I also marked

out this high here because we more so

failed to manipulate the high, right?

Because obviously this inside candle

here, even the weakest asset right prior

that created the SMT right here had a

very uh bullish signature, right? That

V-shaped signature, that zero reversal

signature. And then you have price

really just returning back of the range

and then we're just consolidating.

Right? This is an inside bar. So when

price manipulates that inside bar low

with SMT obviously and we form that

cracking correlation via candle close

that gives us the insight that this is a

potential low of the week. Right? Look

at that small wick, right? That

deviation from the low. This is kind of

like that protraction profile where

maybe that day or that week kind of

opens high first if you're, you know,

bullish and then it comes lower to

create the wick. That's also fine as

long as it creates that, you know, that

um I guess opposing run kind of kind of

the way we don't really want it ideally.

Um if it is that early on candle, it's

still fine, right? And then this is the

real opposing run. It's the actual

creation, the protraction of the candle.

um if it forms the low and the reversal

low um early on in that candle it can

still expand obviously right and has

that small wick as well so um we have

that reversal candle obviously on ES so

we can gauge which assets kind of the

strongest here it's YM and ES you know

to get expansion towards these highs so

we clearly see with Wednesday's close we

failed to manipulate this high very

clearly right we expand right through it

um so that was a really good day right

so look At Wednesday, we trade into all

these highs where over here on INQ, it

creates SMT here, but we don't care

about the SMT because we know it's going

to be just a retracement. So, you're

going to see this next day. If I zoom in

here, actually creates equal highs here,

damn near as you see, which creates an

SMT here, which this is a two-stage SMT,

which I did short this day. Um now with

this close though and just with this

weekly candle what is this weekly

candle? What is it already? What can it

not be? This week we candle has already