Engineering Liquidity and HPO3

All

right guys, welcome back to class and

this is HP3

Android power of three. for Andrew's

power of three. Like I was trying to let

you guys know in the previous video,

what you will be learning is how to

objectively count multiple of threes

based on where your signal was confirmed

or your liquidity that you want to

target and also based on external

divergences. Okay, this one is very

simple, very straightforward with good

conflences. So let's just get to the

chart and let us see how to exactly

understand

power of theory that is HP3.

All right guys, welcome back to class.

How are you guys doing? What we are

doing today is HP3.

HP3 is simply power three and it is very

straightforward. Now you understand your

divergence. you understand some further

major things that you ought to

understand. So the next thing there is

to learn is how to make conflence. So H3

is like a conflence. It is not why you

take a trade. Everything you have

learned so far

are the wise that you take a trade your

HR as a body and H3 depends on HRFC.

So for H3 there are two major things to

consider. Number one is your

divergence

and number two is your zone.

The zone

where price is going. So your divergence

and your zone in relation that is how

you market. So HD is simply from the

point of divergence or absorption is

simply counting

from conclusive time frames on

conclusive time frames actually that is

if daily in one of the previous videos

this particular example I've not erased

this because I recorded this the same

day. So in the previous videos here

where we have this weekly liquidity from

the point of divergence let's say we

have our divergence happening externally

we have if it is external or if it is

internal so divergence happen let's say

externally for example that is W plus W

minus and all that

which means that makes this particular

high to be available as liquidity

Okay. So the time frame that conclude

this

passive here and of our aggressor

we are to check such time frame for the

counting of each filtering into the

imbalance that will reverse price

towards that low. Okay that is majorly

what that is. So and I will use a

practical example but before that let me

draw a skeleton so that we can have a

schematic rather so that we can have a

better understanding of things. So for

example here yeah say

okay

so for example let's say we have

something like this and we now have um

divergence here that is external

divergence now so we have external

divergence here

and the high standard divergence simply

makes this low here

to be um liquidity.

So simply makes this load to be uh

liquidity.

Okay. Um

so makes this load to be liquidity. So

maybe it is between weekly or monthly

and or that is let's say this is W minus

this is W plus and the daily also

diverge let's say this is D minus from

the address and this is D plus

okay so and sessional diver so full

divergence making this little liquidity

all right that is that so from this

point. Let's now say that externally too

price diverge or not even externally

let's even say that there is another

liquidity here that price targeting

maybe this eye here is liquidity

remember we are on HP3

is the multiple of three counting

counting the multiple of three that is

three candles before reversals six

candles before reversals

nine candles, 21 candles, anything that

three can divide with a remainder of

zero. So it has two functions. The first

thing is that this is the eye that is

liquidity by the divergence here. But

yeah, we're talking about external

divergence that make this low to

liquidity before price come to it. That

is the first case. So this eye here in

this case is not liquidity. Let's say

that high is not liquidity.

Okay, that high is not liquidity. So

this low was liquidity from this low

that is liquidity

that price rated

the time frame that conclude any time

frame that conclude this aggressor

the time frame that conclude this

aggressor let's say is daily that let us

know that this aggressor here is maybe W

plus the aggressor is what radar low

just go straight to that time frame

maybe the highest of them start from

there you would see that this move will

be in multiple of three of that time

frame before the reversal to this

liquidity happen. So let's say it's

daily that confirm this.

Either this will be three or six daily

candles

or nine daily candles depending on how

far. That is why I said another thing H3

depends on is the weird. So let's say

this is the zone which is to reverse

price to this above liquidity. Uh let's

say that above liquidity is um is um

daily in in nature. This is a daily

liquidity and this is a daily imbalance

zone

as confirmed.

So this is where you find your daily

imbalance zone. What is the important of

H3 is to help you get better

risk-to-reward. Now prior has entered

the daily imbalance zone. No more

liquidity for price to read within daily

imbalance zone and the life that

therefore

price is set to reverse.

This guy here that was engineered this

liquidity. This is what truly engineered

liquidity is what you can truly call an

engineer liquidity because it is not all

low just before your POI. At times it

can it might even be formed far before

your POI. It's not all low or high

formed just before your PI that you can

call engineer liquidity. The question is

was that truly liquidity based on what

happened? Because if what happened here

is trend answer for those that have been

following that is wus w minus that lead

to the creation of this then this low is

not liquidity in nature. Yes price still

go down but that is not liquidity and

that's not an engineer liquidity that's

not what was engineered but in this case

this is the engineered liquidity in

quotes. So maybe I will even label this

video engineered liquidity and HP3.

Okay. So this is actually your engineer

true liquidity because of external

divergence opposite participants that

diverge here that makes this low

available in the first place. So cutting

of multiple of three candles into the

next thing is where will price reverse

to the liquidity above it because that

is the more premium liquidity. Watch

also watch my video on premium and

discount from the playlist. Everything

is there everything and price may bear.

So which means if you are on the fourth

day or the fifth day as when price enter

here just know that price will read that

day that just get formed. You shouldn't

rush price will read this one more time.

I assure you that

price will read it and the sixth day is

your reversal this. So if this is large

that helps you because you you are not

even entering on the fifth day or the

fourth day. You waited for the sixth day

to be the lowest load that was formed

within your imbalance range. No problem

if you do not cash the move from the

sixth day but you surely know the buy

has now begun or the seventh day or

whenever you plan to join and you know

that your stop loss now does not have to

be at the invalidation of the balance

level again but rather below the sixth

day. So this is the usefulness and major

use of HP3 to get more sniper entry

better riskto-reward. So which means if

you had enter on like the port day and

all price will still keep selling and

you would have gotten like lower risk to

reward

but waiting and understand

help you get that. So that is case one.

Case two is now like the case we have

here such that even though they diverge

externally W plus W minus but externally

above to this low is liquidity. This

particular low here this one here is

liquidity.

Remember in this particular one your

candle one is the candle that brings

this liquidity that is candle one or

let's say the daily time frame candle

one then candle two. So let's say it's

three candles. Let's say the candle two

is like this goes all the way down. Then

the third candle is what we expect price

to use to

to give this to form the lowest low. So

on candle three that's our entry

which is a multiple of three. But in

this case this is divergence is

happening happen both externally making

this to liquidity at the same time

divergence happen here making this low

also to be liquidity target which means

the whole of this range is to be cleared

the whole of the range by the time price

eat the imbalance all right or let's

assume price has the imbalance now

weekly imbalance this whole range the

the whole of the range that is the whole

of that candle is to be cleared

So in that case our candle one will be

the candle that formed the lowest low.

Let's say it is on a daily time frame.

Now this is weekly imbalance

this orange and um

we are saying that let's say the seller

started towards this our candle one will

be the candle that formed this low

not the candle that breaks this high. In

that case that will be our candle one.

So which means the whole of this

is expected. So let's say this is the

sixth candle six daily candle. If it is

daily we use to confirm the aggressor

six daily candle.

Therefore the end has come and we do not

expect price to not read that day candle

which means that is in that case even we

do not enter on this day six with other

analysis done and all maybe this eye is

um liquidity and whatever you now know

that if you enter here

if you enter this retest you know that

price should not violate remember

initially the whole other zone is in

validation is let's say this high here.

Look at that. But now because of HPO3,

you will not be able to know that this

eye cannot be violated again because my

HP3 has confl with it. And so see the

risk reward compared to if you still

have to extend your stop loss here. One,

not even up to two hour to where price

is at the moment. But look at putting

stop loss just above this high. This is

almost 6 hour

already. All right. And to the final

target

right there,

this is 27. But if it is here,

8 hour. Not bad. But you should

understand the gist already. So that is

pretty much the work of HP3. So which

means daily

is what confirm our aggressor. So we go

to daily time frame. Okay. And so what

do we check? The candle that formed the

lowest load here because this low is

also reposing

is candle 1 2 3 4

5 exactly candle six started it the cell

on the fur chart and so we can ride all

the way down provided that we arrived

about our imbalance area. So you would

see that as at day three I'm just using

this example and all because it's a good

example that I can easily relate to it.

You see our day three can be one two and

three this all of this range is actually

the imbalance but this eye is liquidity

as

we are trying to look into. So this high

is liquidity. So we expect price to read

it. But even apart from that with H3,

day three did not touch our imbalance at

all yet. So you obviously know it's

cannot be day three. So four based on H3

cannot be day four since daily was able

to conclude the signal of our aggressor

for us. So it means that their footprint

is on daily the aggressors. Therefore we

should have next number of cand we

should have for daily should be six 4 5

and the sixth one

and then price shouldn't read above the

sixth

and ber that is exactly how it would

have been planned.

Okay. So, and that's that for HF3. And

the last video in all of the playlist,

we'll be putting it all together. Every

other video will just be will not be

under the same playlist. Maybe some live

challenge, some live calls I will do in

YouTube in the future. Some whatever it

is our life. And that is that for

today's class. And of course, I will see

you guys on the profitable side. And

that is end this power of today. That

exactly is the end of all major things

that you need to learn when it comes to

HRC. Every other thing is just life

particles, you attending classes and

then you making a lot of money. When I

make say a lot of money, I mean a lot of

money. And one last video that will be

done will just be putting everything you

have learned so far together. This will

be the end of anything you need to learn

about HRC. So, putting it all together

and every other thing will just be live

practical classes. All right? Where I

will be dissecting to you live

everything that you have learned where I

will be showing you how simple it can

get, how easy it is to do analysis and

how accurate you can actually be with

your analysis. So, let's say bye for now

and then I will see you in class to put

it all together.