This short transcript discusses trading entry setups focused on high-volume daily closes (EP setup and delayed high-volume close). The speaker explains waiting for price to break the high volume close before entering, using examples like Palantir, and prefers sizing at the low day rather than using the low of the high-volume close candle.
One of the characteristics of an EP setup is the very large volume, right? So when you get this, here's your daily candlestick, and it might even still have that little upper wick. So this is how it closes on the daily. And you've got this large volume that came in. Another setup that we like to talk about delayed high volume close. Got a high volume close. Here's your close your hvc. And you're not entering this stock until it breaks the H vac. And you would say good above the high volume close. Because if institutions just came in and it's really good earnings and sales, they love this stock potentially to build a position in over the next quarter or two or three, ideally, even if the next candlestick came in, and Palantir will be another great example for this, sometimes the very next day could put in an inside bar. And so you're still not involved in the thing. And on day two, had you kind of chased this thing, then in the morning, it kind of gaps down a little bit and then just ramps back up. You could have maybe shaken yourself out. Then the following day, right? It'll give you an entry where it breaks that high volume close. And again, you've got two options. Either you can use the low, which I don't really love. That might be too far away. What I would prefer to do is always use the low day. That always is where you take how much sizing you can take.
