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AM Frameworks RY_Trades

Trading The AM Swing

2024
Table Of Contents
Section 1 - The Fundamentals
Economic Calendar Page 3

News Events Importance Page 4

Key Rules To Follow Page 5

Section 2 - The AM Framework


Importance of The AM Framework Page 6

Liquidity Sweep Rally Page 7

Liquidity Sweep Decline Page 8

Failure Swing Rally Page 9

Failure Swing Decline Page 10

Consolidation Raid Rally Page 11

Consolidation Raid Decline Page 12

News Raid AM Expansion Page 13

News Raid AM Decline Page 14

AM Bullish Engagement Swing Page 15

AM Bearish Engagement Swing Page 16


The Economic Calendar
Diving into the first section of this document, We will be talking about the
Economic Calendar. The Economic Calendar should be a tool In every
trader’s arsenal or trading plan. The Economic Calendar frames a trading
week indicating when volatility could be introduced into the marketplace.
Using this information, we can navigate the markets thoroughly and separate
high-probability days from low-probability days.

Usually, Monday is often times a low probability day lacking high-impact news
and is therefore mostly ranging price action. Using this AM framework may
still work on Mondays, but I do not recommend trading Monday’s price action.

High Impact News High Volatility

Medium Impact News Medium Volatility

Low Impact News Low Volatility

The High or Low of the week does not always form as a result of high-impact
news. As for daily frameworks as well, high-impact news does not always
form the high or low of the day.

High-impact news events inject volatility and therefore create scenarios of


Low Resistance Liquidity runs which we want to be a part of. Avoid High
Resistance Liquidity Runs, Trade Low Resistance Liquidity Runs That’s the
aim of trading the AM Session.
News Events Importance
Another Important Factor in using the economic calendar is knowing the
importance of news events and how certain news events can affect the
market more than others. High Impact News Drivers such As FOMC, NFP,
and CPI tend to Inject more volatility In the market than other news drivers.

The Key to trading these events is: Identifying, Anticipating, Executing.

Identifying: During this Phase, we Identify potential areas of Interest that the
market could want to trade into. High Impact News does not Disregard PD
Arrays, The Volatility just allows price to trade to these levels of Interest with
more speed. We are Not Interested in Entering any Positions During this
Phase.

Anticipating: This is the Phase where we Wait. We already Identified Areas of


Interest, Which could be PDL, PDH, FVG, OB etc. During this phase, we wait.
We don’t want to be trading during News Events. We Anticipate what is likely
to happen with this news event release and we wait through the news release
to see the outcome. Again We are not interested in entering any positions
During this phase.

Executing: Now we are down to the Executing phase. During this Phase,
Based on the News Release We can Look for Valid Areas to Enter the market
looking to trade the Low Resistance Liquidity Run that occurred as a result of
the News. For Example, If We were bullish on the Day and Price took PDL
which was our area of interest on the News Release, We would be looking for
entries on the long side as a result.
Key Rules To Follow

- Manipulation Is Important When Trading the AM Framework

- If a market lacks Manipulation That Is a sign of a low probability condition.

- If pre-market open already manipulated then we can expect 9:30 or AM


open to distribute

- We use Swing Points formed to determine what conditions are high


probability trading conditions vs low probability trading conditions.

- A Failure Swing must be confirmed by SMT divergence for it to be high


probability.

- When a Liquidity Sweep Is confirmed by SMT, It can be said with a higher


level of confidence that the low/high is a run on stops and we will not
continue lower/higher.

- When Identifying Premium and Discount In the AM Session, we need to


Understand the Dealing Range High And Low.

- A dealing range is not a dealing range unless it takes both sides of


liquidity.
Importance of AM Framework
The AM Frameworks are important Because Understanding the Possible
Scenarios that could unfold will allow you to make more Informed Decisions.
The Most Volatile Time of the day Is The AM Session therefore it is the best
time to trade. The price action in the morning session oftentimes will set the
tone for the rest of the trading day. Strong movements and trends established
in the AM session can influence market sentiment and direction for the
remainder of the day.

Using these Frameworks we can Navigate the AM Session with more


precision. The aim of trading the AM session is that we are looking to capture
the lion’s portion of the daily Range. The High or the Low of the Day Has a
High Probability of Forming in the AM Session. On a Classic Expansion day,
we could see the High or Low form Between 8:30 and 10:30 AM New York
Time.

AM Swing Points Frame a Daily Candle. If the AM Session Low Hit 4H or


Daily Discount Array, That Low is protected so PM may just run lunch hour
Lows and be a continuation of AM and not reach for Intra day or AM Session
Low.
AM Liquidity Sweep Rally
AM Liquidity Sweep Decline
AM Failure Swing Rally
AM Failure Swing Decline
AM Consolidation Raid Rally
AM Consolidation Raid Decline
News Raid AM Expansion
News Raid AM Decline
AM Bullish Engagement Swing

A+ Liquidity Sweep Low Probability Liquidity Sweep

A+ Failure Swing Low Probability Failure Swing


AM Bearish Engagement Swing

A+ Liquidity Sweep Low Probability Liquidity Sweep

A+ Failure Swing Low Probability Failure Swing


Thank You For Reading
“To Acquire Knowledge, One must study, But to Acquire wisdom, one must
observe.”

If You have enjoyed this content, Give my Socials a Visit for more trading
Insights and More knowledge on the concepts covered here.

Link Link

Two Most Important Swing Points ICT Blocks Cheatsheet Volume 1


The Trader’s Ring to Profitability ICT Blocks Cheatsheet Volume 2
The ICT Unicorn Model Timeframe Alignment

The Inner Circle Trader

RYTrades

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