16,153$ Winning trade full top down analysis(80% Winrate strategy exposed)

Kai Davis walks through a $16,153 intraday trade from the New York PM session using Fair Value Gaps and liquidity zones. He scans daily and 4-hour charts for bias, then enters on 1 to 5-minute timeframes, managing the trade with partial profits and trailing stops for a 1:6 risk-to-reward ratio.
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This trade right here made me more money than most people do working months and months on end and doing some serious hard work. And all I've done is sat right here in this chair and click a few buttons on a chart because I have understood how liquidity and fair value gaps work. And you can do the exact same. I'm not saying this to brag. This video is going to be a full trade recap with a bonus full live clip of me showing my full executions of me entering into the trade, executing the trade, and exiting the trade, taking my profits. Okay, that will be later in this video. I will literally leave an uncut raw video of me entering, exiting, executing, talking live of what exactly what I'm thinking. Never seen before on this YouTube channel, so make sure you stick to the end. This is going to be a crazy video. But first of all, before you see that, I want you to actually understand what I'm looking for in the markets, and most importantly, why I am looking for what I am looking for in the markets. I livestream myself trading every single day, Monday to Friday. It's not a coincidence that I caught a crazy winning trade exactly like this. And this is actually a bit of a different trade because I caught this in the New York PM trade. Now before we start the actual live trade and the live executions and me explaining the trade recap, there's two times of the day that you can trade, okay? There's two times of the day where you can make a serious amount of money, and you can either trade from 9:30 AM New York time to 11:00 AM, okay? 11:00 AM, 9:30 AM New York time to 11:00 AM New York time or you can trade 2 PM to 4 PM. Okay, this trade that I'm about to show you, I took this from 2 PM to 4 PM New York time. This is the lunchtime macro. Okay, a very, very good session to trade. The second best session to trade, the 9:30 to 11 AM, should be a lot better to trade, but sometimes we can get an amazing PM session. Now let's start with my top-down analysis on what I did when I looked into the charts. Oh, here's a little bonus clip. This is what we were— this right here is the Red Bull news today. So today was Thursday, the August 7th. We had Red Bull news 8:30 AM New York time. Not much that we can really do that late in the day. So let's jump straight into our daily bias. Okay, so this is the 4-hour chart that we're looking at, and this 4-hour chart, this is exactly what we could see on the 4-hour time frame. So what can we see and what what— how am I going to find my daily bias? Because if you're new here, we do not use trends, okay? Trends are pointless. If you want to make money in the market, stop using trends, stop using trend lines, use daily bias. If you can understand daily bias, this is when you'll start making serious gains, okay? What do we have? So what am I looking at? I'm looking for fair value gaps and I'm looking for liquidity. Simple as that. My daily bias is extremely simple. Let's actually start with a daily time frame. Okay, straight away, straight away, the daily time frame is not really telling me much. We're kind of chopping to the left, we've slowly chopped up, we don't really have any fair value gaps here, so there's nothing to really go off. And again, we've not really got any fair value gaps here, we've got a tiny, tiny, tiny one. So the daily time frame to me here is really not that interesting. If anything, I'd be a bit more bullish because we are close to all-time highs. Other than that, there's nothing. Okay, but the 4-hour, the 4-hour tells me quite quite a bit. What does the 4-hour tell me? I'll mark out right here, we're respecting this bullish fair value gap. What else are we doing? We've got this 4-hour bearish fair value gap. What have we done? We have disrespected that. How have we disrespected this? By having a bullish candle close above this bearish fair value gap. Where does that mean? That means that price action is most likely going to go for this unmitigated fair value gap. So right here, this will mean that my bias is a bit more bullish than bearish. We're also clearly above this 4-hour bearish fair value gap as well. So in my opinion right now, because of all those reasons, there's not really a reason to be bearish. We haven't embarrassed a bullish fair value gap. Again, this bullish fair value gap doesn't matter that we've embarrassed because we're respecting these bullish fair value gaps to the left. Okay, whereas as you can see, we've embarrassed this 4-hour bearish fair value gap, but we're not respecting any other 4-hour fair value gaps. Does that make sense? And remember, I'm literally here to teach you guys how to trade so you don't have to watch my videos and you don't have to watch my live streams. This— so if you have any questions whatsoever, leave it in the comments below. Actually, leave a comment right now and I'll give away a funded account to somebody who comments a question or just comment something nice about the video. So boom, let's get into the business. Drop to the lower time frames. What actually was I looking for at 2 PM? So here's the open right now. So as you can see at the open, we are consolidating. Whenever we're consolidating, you don't trade, okay? Simple. Consolidation, don't trade. Whenever we are going sideways, don't trade. For example, right here we've inverses bearish value gap. So many awful traders would look to take a long position here, their take profit at this high. And I don't even know if this works or doesn't work, but I hope it doesn't work because if you're taking trades like this, you're not going to be profitable. And there you go, see, perfect example. Do not take these awful trades, okay? Wait for the higher quality setup trades. So right here, obviously I'm just looking at the charts, nothing very interesting. I'm relaxing, I'm probably just on my phone, you know, talking to the stream, just being patient. We're slowly coming down here. Now we start to get this move up, so this is where I'm paying a bit more attention. I'm looking for, okay, my daily bias is bullish, ideally I want a long position. Let's look for some potential longs. We got this bearish 5-eye up to the left. Is there any trades to be taken? Not really. Yes, we've been busting the 1-minute. There's not a whole lot of context because a tip that you should know, whenever we come down so much like this— so for example, we've dropped so much right here. This is not really the best example because there's not a crazy amount of displacement, but normally when we come down with like a quite fast will create lots of bearish fair value gaps on higher time frames. So if we went to the— okay, we actually did here. So yeah, you see, we go to the 4-minute as a fair value gap, we go to a 5-minute, we're in a fair value gap. You go to the 2-minute, we've got a fair value gap. Um, do we have fair value up on 2-minute? We've got one on the 3-minute. Okay, you get my point. There's normally multiple fair value gaps on the higher time frames. So what you need price action to do is you need price action to come up If you're looking for longs, then you need to come down, ideally respecting a fair value gap to the left, creating a bearish fair value gap, getting that inverse, and then taking it up to the highs. Okay, that is best case scenario. And sadly, this is not what has happened, um, yet. But guess what? It does happen, and that's what we keep trying to win and trade. So boom, you might be wondering, damn, that's exactly what just happened. We come down, respect the bearish fair value gap, get a 1-minute inverse And yes, this trade could work. We, um, should inverse it. Do we inverse it? If we inverse this, we should go for this high. I can't actually remember if we do or not. Okay, yeah, we do. Boom, we did inverse this. You might be wondering why wouldn't I take a trade here? Just look at this trade. You would have to enter here. Your stop loss to break even— your stop loss to break even would have to be literally right at this point in the market. The reason being, as soon as we take this high we're then going to be tapped into other 5-minute gaps that I just described. So it's just not a very high-quality trade. If we don't go to this high right here, I'll give away 10,000 funded accounts. Okay, yeah, obviously we went to the high, but yeah, you just can't take a trade there. Um, and then this is where I actually catch my trade, I believe. So yeah, here exactly is— we come down, we kind of get that exact same move, we tap back into this bullish 5-minute gap, This is, this is technically an LFVG as well, the last 5-hour gap of the leg. We just create this brand new fresh LFVG. If you don't know what an LFVG is, it is simply the last 5-hour gap of the leg. A very, very strong confluence when trading. Now this, in my opinion, this trade that I'm about to show you, and you'll see in my live executions later in the video, um, again, my live executions, my live thoughts, exactly what I was thinking when I'd taken this trade. This trade could have been a lot, lot better than it actually was. The reason being As you can see, we get this singular bearish fair value gap here. It's only on the— sorry, it's a 1-minute and a 2-minute. Is it 3-minute? Yeah, sorry, 1-minute and a 2-minute. Um, so yeah, we get this— oops— we get this 1-minute and this 2-minute bearish fair value gap, the one that we have marked out there. But as you can see, we sadly do not take this sell side liquidity. So ideally, best case scenario, we come down either take the sell side liquidity or either take a bullish SMT. A bullish SMT is simply when we take the high on NASDAQ and not on ES. But sadly, we even create equal lows here on ES. So I'm thinking, okay, this would be an okay trade right now if we get the inverse. Um, I could have easily seen us chopping around right here, so I wasn't super, super interested in the trade up until we got this next candle. So then here I was like, okay, there's quite a nice reaction out of this fair value gap. Again, you'll see this later in the video. I said if we come up and inverse this fair value gap, the 1-minute and the 2-minute will both inverse at the exact same time, which is extremely good. If we do inverse the next 2-minute as well, that will be some extremely strong displacement. Displacement is stupidly, stupidly, stupidly, stupidly nice when you're looking to enter into a trade. We have this high right here, which is our internal liquidity, and as you can see we get a very strong candle close. Now you'll see it later in the video, I said I will only enter this trade if we inverse it on this candle. The reason being it's a 2-minute. As well as it closing on the 2-minute— I believe it closed on the 2-minute here. Yeah, it did. As well as even if it didn't close on the 2-minute, I probably— I would have still taken this, um, because simply the displacement. But let's say that we didn't inverse it on this candle and then we created another small candle and then another small candle then I would not have been interested in the longs like I was interested in it. Because we've got the string displacement, my entry was right there, stop loss is there, my breakeven point is at this point of the market. I took my first partials right here. You might be wondering, why did you take partials right there? It's a 1:1 risk to reward, we've tapped into an unmitigated fair value gap. I didn't take any wins earlier in the day, I didn't want to over— I didn't want to over-risk, I wanted to secure some profit. So as you can see We end up, um, chopping around for a few seconds. We don't shoot straight up, we actually come down. I'm in a bit of drawdown right now. My stop loss is only if we get a candle close below this point. I'm pretty sure I do set a maximum stop loss. And we get a nice reaction out of here. We take this breakeven point to take my first take profit point. My stop loss is now breakeven, so I'm risk-free. I've taken 50% of my partials. And yeah, just look at the trade run. Ends up coming up very nice. At this point, I trail my stop loss, which you'll see. And ultimately, just a very, very clean trade. I ended up getting tagged out around here for a 1:3 risk to reward. A very, very clean trade. A nice PM trade. Displacement, clean liquidity point, daily bias, respecting a bullish fair value gap. Could have been a lot better, don't get me wrong. Don't get me wrong, I didn't enter this full position size. But in my opinion, if I'm taking trades consistently like this this type of trade will not have an 80% win rate because we didn't sweep the low, but it definitely has a stupidly high win rate with that displacement. So keep that in mind. And here is my live executions. Before I show you this, remember, I livestream daily every single day. I have a private mentorship. All of the links are in my bio. Watch me trade live, watch me do this live every single day. It's not a coincidence I've been seeing so many people and so many of my members start getting some some crazy, crazy payouts. So well done to everybody. Let me actually just show some of you guys before I show you the trade recap. Where is it? Let's— premium results. Look at this. Casper, first ever payout. He's been on the course for 1 year, he's stuck in the grind. Frostman, he's been, been doing crazy. I'm pretty sure he withdrawn 3 payouts. So well done, Frostman. David doing well. Ration also got another withdrawal yesterday. Ben got a withdrawal. Leo got another withdrawal. Keegan got a withdrawal a few days ago. People are absolutely smashing it in the Discord. Comment below, here's some of my live executions. Enjoy. So this is a very interesting trade. We've got a nice reaction out of this gap right here. It would have been a lot, lot nicer if we swept the lows here, but if we do get this inversion, I will enter into a long position only from this candle because of the displacement. If we don't inverse it on this candle, then I won't enter, obviously targeting the highs right here. Yeah, that reaction. Okay, yeah, there's my entry. So I've entered because we've embarrassed this, this, um, fair value gap right here with very strong displacement. It would have been a lot nicer if we taken this low down here like I just previously said, simply because it would have created an SMT. And we also do have equal lows on RDS. But for me personally, with this displacement, a very nice breakeven point. My daily bias is bullish. Um, yeah, I do think that we should come up. My first— my breakeven point would be here, then my take profit would be higher. Ideally, my first take profit point would be right here at this highs. Let's see if this plays out. So that's the reaction that we're looking for now. Hopefully this displacement will take us up to our breakeven point right here. So there's our breakeven point. This isn't our take profit point, so hopefully we can keep displacing up out of here. Um, stop loss is now at breakeven, and yeah, hopefully we go for our first take profit point above with strong displacement. We got, we got a nice unmitigated fair value up right here. I'm actually going to take off a tiny bit of partials right here. Perfect. I'm going to take up 50% of the position at this partial point. Let me turn on the executions. So now I'm going to hold a runner for the rest, and hopefully we go to this swing high in the market right here, which is a very nice strong liquidity. This was a more riskier trade, I must note. That's why, as you can see, I went in quite lighter, and why I'm targeting this high right here for an amazing 1:5 risk to reward, close to 1:6 risk to reward. Um, the reason why it's a bit riskier in my opinion It's just because we did not actually invest that value gap on the ES. But the reason why I took this trade was because of the displacement candle, the bullish bias, and the higher time frame reaction. Lovely reaction up right here. So what I'm actually going to do here— this is a bit more of an advanced play— move my stop loss to this point in the market, which was where I actually taken my first partials. Reason being, I don't want to see price action come below this point and tap into this unmitigated bullish fair value gap because this is actually what we call a breakaway gap right now. So, and that's simply just an unmitigated fair value gap. And in my opinion, if we come back down and tap into this fair value gap, I think we'll most likely want to come back down into that range. So hopefully we'll just go up and take my take profit. I'm actually going to trail my stop loss up even more here. Again, this is a very, very nice risk to reward, a 1:3 risk to reward at where my stop loss is. This is a win-win situation. I either get a 1:3 risk to reward here or I want to Oh, we're close to a 1:6. Why do I keep doing that? So it is really, it really, really is a win-win situation right now. Um, this one has a very high chance coming out and stopping me, but again, we filled all the unmitigated fair value gaps. If we go to this high, bonus. If we take, if you stop me out here, a 1:3 risk to reward. Let's go! There we go, stops out. A nice 1:3 risk reward. Amazing risk management. Yes, I could have held this high for a 1:5. I don't want to get greedy. I'm more than happy with that profit. Again, a 1:3 risk to reward. That is amazing. Um, I didn't take a trade earlier in the day, so I'm more than happy with this. Let's go! I hope you enjoyed this video, and yeah.
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