Short instructional segment explaining optimal entry timing during an uptrend: price makes higher highs and higher lows, and the most favorable entry points are at the higher lows rather than at arbitrary points that risk larger drawdowns. The speaker says the presented framework/strategy will help identify likely areas where higher lows occur.
Let's assume for this example, that we are in an uptrend price is making a low to a high to another low to another high. So it's consistently making higher highs and higher lows. So if you're a trader and you want to get in on this trend, what's the most optimal time to actually enter the trade? You could enter the trade here, theoretically. And if you're willing to hold all this drawdown and you survive this drawdown, you might end up making money when it trades back here. But in reality, the most optimal area to get into the trade is at those higher lows. And so what this framework and this strategy. Strategy is going to help you do, it's going to help you find the most likely areas for these higher lows to occur.
