TRADING

D A I LY
FO R
I D I OTS
T H I S D O C U M E N T I S A P R E LU D E TO M Y B O O K .
T H I S D O C U M EN T I S I N T EN D E D F O R I D I O T S.
T H O S E W H O ST U B B O R N LY S T R I V E
TO P ER FEC T T H I S C R A F T .

I D I OTS S I M P L I F Y T H I N G S
S M A RTAS S ES C O M P L I CAT E T H I N G S

I am w ri ti ng th i s docum ent because I am sick and

ti red o f th e smartasses who love to m ake the ar t
of trad i ng much m or e com plicated than it can be.
T h i s do cu men t w i ll pr ovide you with a r ough
fra mew ork of h o w to execute in the for eign
exch a n g e markets based on the identification of
hi gh e r ti meframe confluences. I’m an idiot. I r eally
am. Ma n y p e o p l e I am sur r ounded by r egar d m e
as a n e xtremel y i ntelligent individual because of
my ve rbo se a p p roach to linguistic conduct. I am
an i di ot b e ca u se if things sur pass a cer tain level
of d i ffi cu l ty or confusion, just like m any other s,
shi t go e s th rou g h one ear and out the other. In
ma n y w ays, w he n a new skill is pr esented to m e,
i t must b e d o n e i n a sim plified for m at that is
ea si l y co mpreh e n dible. W ith a lot of conventional
tra d i ng a p p roa ch es out ther e, your char t ends up
l o o ki ng l i ke a fu cking chr istm as tr ee and your
tra d i ng b e co mes as efficient as m owing your lawn
i n th e sn o w (sh o utout to Uncle Ted) . The point is,
l e a rn to si mp l i fy things. Boil things down to the
core a n d u n d e rsand why shit happens in the
ma rket. Vi e w thi ngs holistically. Ther e’s no
voo d o o , o r no magical pixie dust the catalyzes
profi tab l e move s. The m ar ket m oves in an
extremel y l o g i cal m anner and ever y m ovem ent
ha s structu re. S o stop being a fucking sm ar tass,
an d b e more o f a n idiot. Sim plify shit, tr ust m e, it
go e s a l on g w ay.
 B EF O R E W E B E G I N
LET U S STA RT O FF W I T H A L I K K L E Q U I Z

G i v en t h e c h a rt a b o v e , wo u l d yo u l o o k f o r
b u y p o s i t i o n s g i v e n t h e m a r k et st ru c t u r e
a n d m o m en t u m t h at i s p r e s en t ? M o r eo v e r
w o u ld yo u b e i n c l i n ed t o ta k e b u ys a f t e r
t h at v ery l ast b EA R ca n d l e ?
 i f yo u a n sw er e d y es ,
t h e n yo u a r e a

A f t e r t h at l as t d a i ly ca n d l e, p r i c e d r o p p ed 9 6 5 p i ps.
T h i s was t h e g b p fl as h c r as h.

d o n't w o r ry g u ys, wa q a r b l ew h i s a c c o u n t a ft er
h e b o u g h t i n a d ow n t r en d as w el l . p r i c e was n 't at
h i s t o r i ca l s u p po rt b u t t h at d i d n 't sto p h i s fm g
b u ys w i t h n o l o g i ca l ex p l a n at i o n .

N o w , a l l o f yo u s m a rtass es a r e p r o ba b ly say i n g "b u t r ag

t h e s t o c h as t i c a n d rs i sa i d p r i c e was ov ers o l d a n d yo u
ca n't p r e d i ct a f las h c r as h." w el l , i b eg to d i ffer .
m a r k e t s t r u ct u r e l eav es c l u es. P r i o r to t h e c r as h, t h e
t r e n d was e v i d e n t ly b ea r i s h a n d m o m en t u m was b ea r i s h
as w e l l , yo u h av e t o b l i n d s i d es by i n d i cato rs a n d l ow e r
t i m e f r a m e m o m e n t u m to b u y d u r i n g a p er i o d l i k e t h i s.
m o r e ov e r , yo u a ls o h a d t h e b ea r i s h s en t i m en t
as s o c i at e d w i t h b r ex i t a n d ot h er fu n da m en ta l
r ev el at i o n s.

t h e p o i n t o f t h i s l i k k l e q u i z was to p r ovo k e s o m e p ers o m n a l t h o u g h ts

f o r w h o e v e r i s r e a d i n g t h i s. b e l o g i ca l . i f n ot h i n g i n d i cat es t h at
p r i c e i s a b u y , w h y t h e f u c k a r e yo u b u y i n g? r em em b er , t h e h i g h er
t i m e f r a m e a lways p r eva i ls.
 w h at i s a ca n d l es t i c k?
A c a n d l e s t i c k i s a p ri ce a cti on m odel that quantifies the m ovem ent of p r i c e
o v e r t h e p eri o d o f ti me th a t th e candle r epr esents. It pr ovides you with a s um -
m a r i z a t i o n of a l l o f th e p ri ce a ction that plays out dur ing that tim e. A candl e
p r o v i d e s y ou w i th i nfo rma ti on on the opening pr ice, the closing pr ice, the hi gh
a n d t h e l o w tha t o ccu rs du ri n g the designated per iod of tim e. For exampl e, a
c a n d l e s t i c k o n th e d a i l y ti me fram e r epr esents 24 hour s of pr ice action. T he
s u m m a r y t ha t a d a i l y ca n d l e p rovides you with can help you deter m ine the
m o m e n t u m , di re cti on a n d tren d that pr ice had been m aintaining on the i ntr a-
d a y l e v e l s . If you g u ys w an t a diagr am on the anatom y of a candle, ple as e
u s e g o o g l e . If yo u a re rea d i ng this docum ent, you should be well awar e of
t h o s e b a s i c co mpo n e n ts. If yo u ar e not, please cr ack open baby pips agai n.

C a n d l e s t i c ks mi ti ga te th e p rocess of identifying m ar ket str uctur e, m om e ntum

a n d t h e t r e n d p ri ce i s fol l o w i n g . Thr ough assessing suppor t and r esista nc es
a n d o t h e r structu ral re ve l ati on s, you can sim plify the pr ocess of identif y i ng
p r o f i t a b l e m o ve men ts.

w h at i s a w i c k ?
A w i c k i s a s tru ctu ral compo n e n t of a candlestick that show you the r etr ac em ent that
o cc u r e d w i t h p ri ce w i th i n th e p e r iod of tim e that a candle r epr esents. Th e degr ee of
t h e r e t r a c e men t g i ves yo u i nfo rmor m ation on m om entum . You can asses s the pl ac e-
me n t o f t h e can d l e i n a d d i ti o n to the wicks to deter m ine wher e pr ice will go nex t.
W i c k s , e s p e ci a l l y o n th e h i gh e r tim efr am e, sim plify the pr ocess of identi fy i ng pr ofi t-
a bl e h i g h p r oba b i l i ty mo ve s th a t m ay be difficult to identify on the sm all er ti m e-
f ra m e s . W i c ks ma ke i t si mpl e to evaluate wher e pr ice can go next and whether pr i c e
is c h a n g i n g i n d i re cti on .

Exa m p l e s a r e o n th e n e xt p a g e ...
 T H E d a i ly T I M E F R A M E
E a c h c a n d l e on th e d a i l y ti me fram e sum m ar izes 24 hour s of pr ice action . J us t
lik e o n t h e we e kl y ti meframe, you can use the infor m ation the daily tim efr am e
p r o v i d e s y o u w i th to si mp l i fy th e pr ocess of pr edicting intr a- day m oves. Si m i l ar
co n c e p t s a pp l y i n resp e cts to wick fills and m om entum based tr ading. W hen
t ra d i n g d u r i ng th e mi d d l e o f th e week, the daily tim efr am e is the m ost s ol i d
so u r c e o f h ig h e r ti meframe co n fluence, especially when you ar e executi ng
a r o u n d a s i a n se ssi on . T he p rob lem with der iving confluence fr om the week l y
t im e f r a m e d u ri n g th e w ee k i s that its still in session and doesnt pr ovide y ou
w i t h c o n f l u ence , i t j u st sh o w s us what dir ection we’ve gone in so far. Th e dai l y
t im e f r a m e i s b e st to g u a g e th e dir ection of pr ice dur ing the week and ca n s i m -
p li f y t h e p r ocess o ff tren d a n d dir ection identification.

W I C K R A N G E S O N T H E DA I LY
RU L ES F O R WIC K R A N GE S

1 . E n s u r e t h a t p ri ce i s no t a p p roaching higher tim efr am e S/R or that the body

h a s c l o s e d ab o ve /b roke n th e S /R

2 . W i c k s t h at are sh o rter tha n the body of a candle have a higher pr obabi l i ty

of being filles

3 . E n s u r e t h a t i ntrad a y market str uctur e com plim ents m om entum on the dai l y
(if y o u j u s t ha d a b u l l i sh cl ose on the daily, pr ice is in the m iddle of a pr ofi t-
a b l e r a n g e an d a w i ck th a t i s smaller than the body has for m ed at the top of
t h e c a n d l e , en su re th a t th e i ntraday levels ar e for m ing HH and HL)

BEFORE After
W ic k r ang e o n a
daily gold c h a r t
( 40 pips )

Bullis h eng u l f i n g
body. Body c l o s e d
abov e r es is t a n c e .

W hy this wick ran ge will f ill A s y o u c a n s e e a b o v e , t h e w i c k r a n g e w a s fi l l e d . Th e

1. Price is formin g HH and HL on t he int r aday le v e l s
2. We ha d a bu llish engulf ing body
3. Wick was sma ller t han t he body
4. The bo dy clo se d abov e r es is t anc e and t her ef o r e
tapp ed into a n ew S/ R r ange.
bull move that occured on the intraday levels was
e a s i l y a n t i c i p a t e d t h r o u g h d e r i v i n g c o n f l u e n ce fr o m th e
daily timeframe.
 BEFORE
Consolidation

Price closed befow support.

Bearish engulfing
b o d y. S h o w s t h a t
Wi c k r a n g e h a s b e e n f o r m e d . momentum has
shifted to the
USDJPY DAI LY downside

Why this wic k r ange will f ill

1. Price b r ok e down af t er c ons olidat ing a n d t h e b o d y o f t h e d a i l y c a n d l e c l o s e d b e l o w s u p p o r t .
2. Th e b ody of t he c andle is a bear is h e n g u l f i n g , h e n c e s o l i d i f y i n g b e a r i s h m o m e n t u m .
3. Th e wick is s m aller t han t he body.
4. Price h as t apped int o a new S/ R r ang e

after

Surp rise , s ur pr is e. The wic k f uc k ing f ille d . Wa s t h a t h a r d t o a n t i c i p a t e ? N o t r e a l l y, h o w e v e r, i f y o u

prima rily foc us on t he s m aller t im ef r am e s y o u m a y m i s s s o m e v e r y s t r a i g h t f o r w a r d m o v e s t h a t c a n b e
an ticip ate d bas ed off daily c om f luenc e.

Why do trader s s t r uggle wit h ident if y ing p r o f i t a b l e a n d h i g h p r o b a b i l i t y s e t u p s ? I b e l i e v e t h a t m a n y

trad ers lack v er s at ilit y and f ail t o v iew t h e m a r k e t f r o m a h o l i s t i c p e r s p e c t i v e . N o m a t t e r w h a t t h e
market e nd ur es , one t hing will alway s r e m a i n t r u e i n m y e x p e r i e n c e ; t h e h i g h e r t i m e f r a m e a l w a y s
pre va ils. I c annot s t r es s t his enough. I s e e t o o m a n y i n d i v i d u a l s a t t e m p t i n g t o f i n d a c o o k i e c u t t e r
ap pro ach for t heir t r ades . Ev er y oppor t u n i t y a n d s e t u p w i l l p o s s e s s a d i ff e r e n t s t r u c t u r e . T h e r e i s n o
se t of ru les t hat will enable y ou t o f ind a p r o f i t a b l e s c e n a r i o w i t h o u t a p p l y i n g y o u r p e r s o n a l u n d e r -
sta nfin g o f t he m ar k et . J us t open up a c h a r t a n d s t a r e ; n o m a t t e r w h a t t h e t i m e f r a m e i s , t h e r e a r e n o
two p rice ac t ion s equenc es t hat look ex a c t l y a l i k e . Yo u h a v e t o v i e w t h e m a r k e t h o l i s t i c a l l y a n d b r e ak
it. It’s ea sy t o look at t he daily t im ef r am e a n d s a y t h a t a w i c k w i l l f i l l b u t y o u n e e d t o a s s e s s t h e
intra da y le v els t o ens ur e t hat it is a high p r o b a b i l i t y o c c u r e n c e a n d t h a t y o u a r e e n t e r i n g l o g i c a l l y.
Don ’t be a f uc k ing s m ar t as s . I n t he nex t f e w p a g e s I w i l l d i s c u s s h o w t o e n t e r t r a d e s i n a l o g i c a l w ay.
It’s rea lly q uit e s im ple.
 EX E C U T I O N , EX E C U T I O N , E X E C U T I O N
I d e n ti f y i n g t r e nd ca n b e a s si mp l i stic as pulling up the 4 hour tim efr am e and ob-
se rv i n g i f p r i c e i s movi ng u p o r do wn. Identifying m om entum /dir ection can be as
simp l i s t i c a s p ul l i ng u p th e d a i l y o r weekly and obser ing whether the candl e i s
b u llis h o r b e a r i sh a n d i f i t i s at S /R. However, what m ost tr ader s str uggle w i th i s
e xe c u t i o n . O n ce a g a i n, th e re i s no r ight or wr ong way to tr ade, but ther e is a r i ght
o r w r o n g d i r e c ti o n . P ri ce i s ei the r m oving up, down or sideways. if pr ice is m ov i ng
sid e w a y s , i t s d o i ng so to a ccu mul ate or der s to go up or down.

HO W TO EX E C U T E A D A ILY WIC K FILL TRADE

1 . I d e n t i f y t h e w i ck ra n g e o n th e d aily tim efr am e as well as the dir ection pr i c e i s
heading in.

2 . Con d u c t a t op d o w n a n a l ysi s a n d ensur e m ultiple tim efr am e indicate tha t pr i c e i s

h e a d i n g i n y o ur di re cti on .

3 . Hon e i n o n y ou r tri gg e r ti mefram e ( for m e this is the m 15) . Keeping high er ti m e-

f ra m e c o n f l u e nce s a n d th e w i ck fi l l in m ind, assess how pr ice is m oving. Is pr i c e
t re n d i n g o r c o nso l i d a ti ng ? If p ri ce is tr ending in your dir ection, look to buy on s up-
p o rt a n d / o r s e ll on resi stan ce . If p r ice is not tr ending in your dir ection, you c an
p la ce p e n d i n g o rde rs ab o ve o r be l ow logical S/R. If pr ice is consolidating, l ook for
p rice t o b r e a k con so l i d a ti on i n yo ur desir ed dir ection.

4 . Th e w i c k f i l l i s n o t n e ce ssa ri l y y our take pr ofit, it is a str uctur al com pon ent of

p rice a c t i o n t h at w i l l e n a b l e yo u to anticipate wher e pr ice will tr avel.

B e c a u s e t h e d a i l y ti me frame p rovi des you with a sim plified sum m ar y of how pr i c e

i s m o v i n g o n t h e i n trad a y l eve l s, you also have to be awar e of how pr ice is for m i ng
i n t e rn a l l y. T h e hi gh e r ti meframe a l ways pr evails, but the sm aller tim efr am es ar e
th e p u z z l e p i e c es th a t co n tri b u te to the bigger pictur e and pr ovide you with i nfor -
m a t io n o n w h a t p a th w ay p ri ce w i l l be taking to fulfill higher tim efr am e pr ice ac ti on
c y c le s .

W HE N I S I T BE S T TO T R A D E D A ILY W ICKS

A s I a l w a y s s a y, o n l y cl o se d ca n d l es ar e a sour ce of confluence. Candles th at ar e

s t ill o pe n o n l y s h o w you w ha t d i re ction pr ice has gone in so far within the per i od of
time th e c a n d l e rep rese n ts. T ha t b eing said, Daily candles close at 5PM EST. T he
s e s s io n t h a t f o l l o w s a d a i l y ca n d l e close is the asian session. That being sa i d, the
l iq u id i t y p u s h t h a t co mes i n a t A si a n open, usually r esults in a continuation of dai l y
m o me n t u m . I f y ou d o n ’ t be l i e ve me, backtest this on a sim ulator. I’m not goi ng to
give y o u a l l t h e maj or keys, i ’ m go i ng to for ce you to do wor k so that you de v el op a
po s it iv e w o r k e thi c. S o w hi p o u t yo ur sim ulator, and test this. This also depends on
th e p a i r y o u ’ r e tra d i ng , h o w eve r the best tim e to der ive confluence fr om the dai l y
time f r a m e i s d u r i n g th e cl ose st l og i c al session that pr ovides liquidity after the
c a n d le h a s c l o s ed .
 EX A M P L E S , EXA M P LE S , E XA M P LE S

BEFORE

W ick Range ( 15 pips)

T h e N ext D ai l y R esi stance

2 consecut ive
bullish daily
candles

LE T S E VA LU AT E T H E IN T ER N A L S OF P R IC E R IGH T A FTE R TH E LA S T D A ILY C A N D LE C LO SED

G O LD O N 1 5 M AT 5 P M ES T P ri ce R eaches M15 S uppor t

W ick F ill Be a r ish M o m e n tum

a t M a r ke t Clo se

NEXT SUPPORT ON M 1 5

T h i s i s w h e n t h e co m m o d ity m a r ke t clo se d fo r a n As w e anti ci pated, w e saw a conti nuati on of

h o u r. A s y o u c a n se e m o m e n tu m o n m 1 5 is beari sh momentum to our support. N o w that pri c e
c u r r e n t l y b e a r i s h , b u t th e d a ily in d ica te s cle a r i s at support, w e need to w ai t for confirmati on that
u p s i d e . T h a t m e a n s p r ice will co n tin u e r e tr a cin g i t i s bei ng rej ected. There i s no rul ebook to
m o r e t h a n l i k e l y, a n d th e n e w d a ily ca n d le will anal yze rej ecti ons, be l ogi cal and ev al uate
f o r m a l i q u d i t y wick, wh ich is ju st a co n tin u e d mul ti pl e ti meframes.
r e tr a ce m e n t.
 P r ic e R e j e c ts Su p p o rt
P r i c e p r i n t s a b u llish e n g u lfin g m 1 5 ca n d le . So m e
t r a d e r s m a y v i e w th is a s e n o u g h co n fir m a tio n th at
w e a r e r e j e c t i n g th is su p p o r t. Co m b in e th is with
d a i l y c o n f l u e n c e a n d yo u m a y b e a b le to m a ke th e
b u y c o n f i d e n t l y. F o llo w yo u r p la n . Yo u d o n ’t n e e d
t o e n t e r a f t e r ju st o n e ca n d le . Yo u ca n wa it fo r
p r i c e t o f o r m a n d e ve n b r e a k m in o r r e sista n ce
b e f o r e y o u h a v e th e co n fir m a tio n . Co n fir m a tio n is
s u b j e c t i v e . I n r e g a r d s to r isk m a n a g e m e n t, yo u
c a n p l a c e y o u r sto p lo ss b e lo w th e su p p o r t a n d
t a k e p r o f i t e i t h e r a t th e wick fill o r a t th e d a ily
r e s ista n ce we id e n tifie d .
after
W i ck Gets Fi l l ed
Supri se, surpri se. The dai l y w i ck w as fi l l ed, and
pri ce pushed to our dai l y resi stance. Was that
hard to i denti fy? H el l fucki ng no. Easi e s t pi ps y ou
can catch. You had tw o consecuti ve bul l i s h dai l y
candl es and trend w as evi dentl y bul l i sH . A l l y ou
had to do w as l ogi cal l y assess w hat w a s happen-
i ng on the smal l er ti meframe and determi ne that
pri ce w as si mpl y retraci ng to support. Onc e
support w as rej ecti be and l i qui di ty came i n, pri c e
push up and compl i ed w i th dai l y confl uenc e.
Why di d the w i ck fi l l ?
1. D ai l y momentum w as evi dentl y bul l i s h
2. The w i ck range w as smal l er tha n the body.
3. Intraday market structure w as b ul l i s h
4. P ri ce w as i n momentum after rej ec ti ng
m15 support and formi ng the dai l y l i qui di ty
w i ck.
Thi s l i qui di ty w i ck w as pri ce
pushi ng to m15 support.
 L E T’ S B E R E A L. ..

I ’m n o t g o i n g t o s i t he re a n d g o th rough ever y single daily wick r ange in existenc e and

ev e ry s i n g l e p r i c e a cti on cycl e th a t l ed to it being filled. This docum ent is a t eas er to m y
boo k (if i t i s n ’ t a l rea d y i n yo u r vau l t, it will be ther e m om entar ily) . This document i s de-
si g n e d t o p r o v i d e i d i ots a n d smartasses with a fr am ewor k on how to sim plify the pr oc es s
of id e n ti f y i n g h i g h p rob a i l i ty tra d e s. Rem em er, take ever ything I say with a gr ai n of s al t
and d o y o u r o w n e xp e ri men ta ti on . What wor ks for m e, won’t wor k for you. Tr ader s fai l to
realiz e j u s t h o w i ndi vi d u a l i sti c of a p r ocess tr ading is and the vast am ount of per s onal
ch a rt t im e t h a t i s req u i re d to su cce e d. If you want m or e infor m ation on how t o tr ade dai l y
wic k f ill s , b a c k t e st you r pa i r(s) o n a sim ulator and do your own r esear ch. Tak e the i nfor -
ma t io n i ’ v e p r o v i ded a n d b u i l d o n i t i n a per sonal way. Evaluate things based on y our
perc e p t i o n o f t h e market, n o t my pe rc eption. Get your ass in fr ont of a char t, and ex per i -
me n t , o b t a i n e x p eri e n ce , a n d i ntrosp ectively evaluate why shit happens. Tr us t m e, fi r s t
han d e x p e r i e n c e i s the ke y to su cce ss. Her e is a little anecdote I am m aking up on the
sp o t . G r o w i n g u p , my be st fri e n d w as Usain Bolt; thr ough him I also m et m an y other
O ly mp ic r u n n e r s . My l arge st g o a l i n l ife was to win an Olym pic gold m edal for s pr i nti ng
or ru n n i n g o r w h ate ve r you ca l l i t. H owever, I failed m iser ably. I r ead ever y s i ngl e book
on ru n n i n g , s p r i n ti ng , marath o n i ng a nd winning the olym pics in existence. I read the
bio g ra p h i e s o f o l ympi c go l d med a l i sts, and even got m y boy Usain to m entor m e one on
one . i t a l k e d t o a mul ti tu d e o f g o l d medalists and athletes and sought advice fr om the top
at h le t ic t r a i n e r s i n the w orl d . H ow ever, consum e infor m ation was all I did. I was a fat
laz y f u c k a n d a l l I di d w as e a t MacD onald’s on m y couch and watch tv, and Netfl i x and
ch ill w ith m y r i g h t ha n d . I h a d a cce ss to the top athletes and tr ainer s in the wor l d and I
had o b t a i n e d a l l th e i nfo rma ti on I n e eded to r un beside m y boy Usain and kic k hi s as s i n
t he O lym p i c s . H o w e ve r, I N E V E R F U CKING GOT OFF M Y ASS AND ACTUALLY
TR AI N E D . I N E V E R A P P L IE D MY S E LF. ALL I DID WAS HOARD INFORM ATION AN D
TAL K TO PE O P L E. I T R IE D TO MIMIC M Y BOY USAIN AND NEVER REALLY D EC ID ED
TO G E T U P A N D R U N . I un d e rstoo d ever ything I needed to do to succeed, bu t I w as
im p a t ien t a n d l a z y a n d d i dn ’ t do j ack shit to r each m y goals. Long stor y short, m y boy
Usa in w e n t d o w n i n h i story an d I e n d ed up r ealizing the pitfalls of m y wor k ethi c . I fi x ed
my s e lf , e v a l u a t e d w ha t I n e e d e d to d o to succeed in life and cam e accr oss a beauti ful
ma n n a m e d Te d Sa fran ko o n In sta g ram . I r ealized for ex was m y calling and ti r el es s l y
app lie d m y s e l f t o succe e d .

The p o i n t i s , b e s e l f dri ve n a n d se l f s ufficient. This docum ent is a fr am ewor k, not a bi bl e.

Ta k e in fo r m a t i o n , an d a p p l y i t. E xp e rim nent and develop fir st hand exper ienc e.
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T EW
AT H
IA