14,042$ Trade Recap (Christmas Trading Week Wins)

What a way to end the year! This is going to be a full trade breakdown from today's price action, an absolutely amazing winning trade. You could have also caught a beautiful short position, so let's jump straight into this trade recap, starting off with market open. Now, before market open, we had 8:30 Redfold News up here. We had Redfold News that got swept at 8:30 AM. We were in a decent pre-market range around 70 points, which is good for pre-market. Now the first thing that I want to say with this price action and specifically the time of the year, because as you can see right now it is the 23rd of December, a lot of traders will tell you don't trade the week of Christmas, don't trade Monday of Christmas, Tuesday of Christmas. Don't listen to those people, okay? Look at the markets. If the market conditions are good enough to trade, then you can enter into trades. It is as simple as that. As long as it is not Christmas Day, you can even go to trading Christmas Eve. Now, I'm personally not trading Christmas Eve, I just spend it with family, of course, but you technically could go in with the same mentality into, into Christmas Eve and see if the market conditions are good and see if you can take a trade or not. But yeah, you should have went into Monday and Tuesday completely open to taking trades as long as the price action, it was good enough. So let's start off with the daily bias today. In my opinion, daily bias was a bit more bullish. We've still got this daily unmitigated above that hasn't been tapped into yet. It's only around 300 points away, which really isn't that far away. If we drop to the 4-hour, as you can see, we tapped into this new week opening gap. We swept south side liquidity perfectly. We've embossed all of these bearish fair value gaps to the left. So for right now the momentum is definitely just looking more bullish. There's not really any reasons to be bearish. We were also respecting some lower time frame bullish 5-hour gaps. For example, these 5-hour gaps to the left here, we're still respecting. We swept sell side liquidity. There's not really any reason to be bearish in my opinion. We're just completely bullish. So with all that in mind, I was just a lot more bullish going into today. Even on the 15-minute, we're expecting this 15-minute LFG we had a very nice draw on liquidity above, being this 15-minute high, which was also Asia high, which was also, I believe, a higher time frame unmitigated— no, just a higher time frame swing high. Sorry. Yeah, we had a higher time frame unmitigated fair value gap being right here, this bearish 4-hour unmitigated fair value gap. So overall, daily bias was looking more bullish. Just keep it simple when you're looking for your daily bias. And yeah, At open, we got this humongous bullish candle. Look at this, one candle, 80 points at open. That's exactly what you want to see. Now there's nothing much you could really do there. We had this potential long position. ES did not inverse this fair value gap. This overall is just a very aggressive play. It's a continuation play. You've probably heard me talk about the continuation plays in the past. It doesn't necessarily have a high win rate, but they definitely can work, especially if it's going towards your bias and the draw on liquidity. So here we had this high, we also had 1-minute equal highs, we had this 15-minute high— sorry, this 15-minute high was the high that I was talking about earlier, not that high up there. So yeah, this 15-minute high, very, very close to being swept, did not get— end up getting swept there. A very, very nice draw on liquidity. So for me, there's just not enough context for this 1-minute play. It's a continuation play, yes, but I'm Ideally, we would like price action to come down and then catch a long position lower. If you entered into this play trying to catch the continuation move, that's completely fine, but for me, I would just rather wait for something more clear. Now, we swept those highs very, very nicely, and then what happened was we came down. With this move down, you actually could have caught quite a nice short position. We have this bullish fair value gap Now this bullish fair value gap is only on the 1-minute time frame, which is very important when you're trading. It's— sorry, well, it is a small tight— is that a 3-minute fair value gap? Yeah, it's a tiny 3-minute fair value gap that doesn't actually get inversed. But we have this very nice 1-minute fair value gap. Now with these 1-minute fair value gaps, when they are getting inversed, you want to see displacement. Now all displacement is, is simply a fast-moving candle in one direction. And as you can see right here, we have this fast bearish moving candle. So the only reason I didn't take short positions in this instance was because my daily bias and my draw on liquidity was this 4-hour unmitigated above, and I was simply just more interested in long positions. All right, excuse me. I know some of my students did take this short position, enter on this candle close, stop loss if they get a candle close above the fair value gap, take profit simply this 9:30 low. Very nice draw on liquidity. But for me, the reason why I stayed out of these— again, my bias was just more bullish. I was looking for longs, and that is exactly what we got right here. So as you know, this is a signature price action move. When price action comes down very, very quickly, it's quite hard to catch long positions straight away. That's just well known. What you want to happen to catch a long position is price to come up come down, create a bearish fair value gap, and then you long from this point in the market using this high as your internal liquidity. So that is the exact signature that we are looking for. It happens literally most days, okay? We play the price action out. What happens? We come up, we create this internal liquidity high, we also create a small bullish SMT right here. We— I believe we also had an SMT on the, on the higher time frame as well. We're respecting this 15-minute LFG, the last fair value gap of the leg, extremely extremely important, respecting that perfectly. Now with this type of play, you want to see speed and displacement. Again, just like the short position, you have this bearish fair value gap. You're looking for this fair value gap to get embossed. Look at that speed. If we go to the 2-minute time frame, look at that candle. I know there's no fair value gap, which actually makes the play even better. When there is only a fair value gap on the 1-minute time frame, being the fair value gap that we are entering from, and not on the 2, 3, 4, or 5. That is the highest quality plays. You're entering on this candle close above the fair value gap. This high right here, this is your stop loss to break even point. The reason being, as soon as we take this high right now, these fair value gaps to the left become valid, and you do not know if we are going to respect these fair value gaps and come down, or inverse these fair value gaps and go for the high. Of course, in hindsight, we can see that these actually get embarrassed and we carry on going up. Now, we had equal highs right here. The reason why this was my target of my take profit was simply because these were equal highs paired with a 5-minute unmitigated fair value gap. When you have a nice draw on liquidity targeted— sorry, combined with an unmitigated fair value gap, it just tends to hit so often. So, and as well as that, it's near 1:3 risk to reward. So that's the entry right there. Your stop loss, only if we get a candle close below this inversion 5-hour gap, stop loss to break even at this internal liquidity. And I don't even mind if you take some— if you take profits at this high because it is of course December, nearly the end of the year. Main take profit right here. Then of course you can leave runners to the highs. And would you look at that, price ends up getting a bit choppy But an important lesson to note as well: whenever price action is choppy after your entry, there is nothing that you can do. Stay in the position, manage your risk correctly, and just let the market do what the market wants to do. First take profit smashed, tapped into that 5-minute unmitigated, leave runners to the highs, and this would have been an amazing trade to end the year off. Amazing price action right here. Of course, I livestream daily in my Discord. Just make sure you do that and join up the live streams. If you want to get one-on-one mentored by me, shoot me a message on Instagram. Just say that you came from this video. And yeah, don't miss out. Get started now, ready for the new year, and let's keep this momentum up. Well done for watching this video.