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Understanding Daily Profiles in Trading: A Comprehensive Guide

Learn about the importance of daily profiles in trading and how to recognize and utilize them effectively. Explore different daily trading profiles and key factors to watch for in your trading decisions.

Video Summary

Reaching a milestone of 10K subscribers on YouTube, the speaker expresses gratitude and delves into the significance of daily profiles in trading. Explaining the concept of daily bias, they highlight how understanding daily profiles can help traders avoid bias errors. The discussion revolves around four main daily profiles, namely the London reversal and New York expansion profile, providing detailed explanations and real-world examples for each. Emphasizing the importance of time frame alignment and order flow in determining daily bias, the speaker also touches upon the incorporation of the Asia session in daily profiles.

In the realm of trading, recognizing different daily trading profiles is crucial. The conversation sheds light on profiles like the London Judas, New York reversal, and London swing to zday. It elucidates on identifying fake highs or lows of the day based on key levels and price action during the London and New York sessions. Furthermore, the text covers the classic power of 3 patterns and manipulation tactics during high impact news events. Traders are cautioned about the London swing to zday profile, which can result in consolidation and choppy price action. Examples are provided to illustrate each daily profile and highlight key factors to watch for.

Exploring further into daily trading profiles, the discussion expands to include the London reversal NY expansion, London Judas NY reversal, classic AMD power of three profile, and London swing to zday profile. Each profile entails specific market behaviors and key levels, such as leveraging a key level in London to trigger New York expansion, utilizing order blocks for sponsorship, and identifying consolidation ranges for potential manipulation. The conversation underscores the importance of recognizing these patterns for daily bias determination and making informed trading decisions.

Click on any timestamp in the keypoints section to jump directly to that moment in the video. Enhance your viewing experience with seamless navigation. Enjoy!

Keypoints

00:00:00

Appreciation for Subscribers

The speaker expresses gratitude to their YouTube subscribers for reaching 10K subscribers, thanking each viewer for their support and encouraging engagement through likes, comments, and subscriptions.

00:00:26

Introduction to Daily Profile Video

The speaker acknowledges the high demand for a daily profile video, highlighting the importance of understanding daily profiles to avoid bias in trading. They promise to cover all daily profiles in the video.

00:01:59

Explanation of Daily Profiles

The speaker introduces four daily profiles that occur regularly, emphasizing the significance of recognizing these patterns to accurately determine daily bias in trading. They mention that understanding daily profiles is crucial for successful trading.

00:02:17

Classic Daily Buy Profile

The speaker explains the characteristics of a classic daily buy profile, known as the London reversal and New York expansion SL continuation daily profile. They detail the opening price, timing, and key levels to watch for a reversal, stressing the importance of a good reaction off key levels for confirmation.

00:03:52

Daily Profile Analysis

When analyzing daily profiles, it is crucial to look for a Change in State Delivery (CISD) on the 1-hour timeframe. A 1-hour CISD indicates a potential smart money reversal or London reversal, typically occurring between 2 to 5 a.m. EST. This change in state delivery is key for confirming a bullish trend, especially when the daily and weekly charts show bullish order flow.

00:05:09

Market Expansion and Continuation

Once a CISD taps into a point of interest, it signals market expansion and continuation, particularly in New York trading hours from 7 to 10 a.m. EST. Correlated assets like NQ, ES, or YM may exhibit a bullish SMT pattern during this period, leading to further market expansion.

00:05:41

Consolidation and Price Movement

Between 12 to 3 or 4 p.m. EST, market consolidation often occurs around the previous day's range equilibrium or draw liquidity levels. This consolidation phase may lead to a 'turtle soup' pattern, followed by an expansion towards the draw liquidity or daily objective. Understanding these price movements is crucial for trading decisions.

00:06:30

London Reversal Strategy

A London reversal strategy involves identifying key levels or areas of interest for potential reversals, typically between 2 to 5 a.m. EST. Confirming a CISD at these levels can signal a move lower, with expectations of New York market expansion from 7 to 10 a.m. and 12 to 3 p.m. EST.

00:07:27

London Judas and New York Reversal Profile

The London Judas and New York reversal profile, also known as a New York open and London close reversal, involves strategic trading based on market behavior during specific timeframes. Incorporating Asia trading hours can further enhance this reversal strategy for traders.

00:07:54

London Judas and Asia Session

London Judas can also be applied to the Asia session, with London Judas events happening more frequently. A London Judas occurs when London makes a temporary high or low of the day without tapping into key levels or PD arrays that could sponsor a move into New York. This leads to a fake high or low of the day, with a potential reversal between 7 to 10 a.m. EST in New York.

00:09:37

London Judas Reversal

In the event of a London Judas, a reversal typically occurs between 7 to 10 a.m. EST in New York, where there may be a sweep or tap into key levels, often accompanied by an SMT divergence. This reversal aims to take out stops from the London Judas and move towards the daily objective.

00:10:01

London Close and Trend Continuation

London close at 12:00 p.m. EST marks a key time for trend continuation. If the morning session fails to reach the daily objective, the trend may continue from 12:00 to 4:00 p.m. EST after London close. The opening of a new 6-hour candle at London close can provide insights into potential retracements or consolidations before a possible move towards the daily objective.

00:11:01

Daily Profile: Accumulation, Manipulation, Distribution

The next daily profile after a London Judas and New York reversal is the classic power three pattern involving accumulation, manipulation, and distribution. This pattern typically unfolds as Asian and London consolidation leading to New York manipulation and expansion. It often coincides with high-impact news events at 8:30 a.m. or 10:00 a.m. EST.

00:11:56

Manipulation Timing for Trading

Mark suggests a trading strategy involving manipulation timing, where manipulation occurs at 8:30 to 10:00 a.m., followed by a continuation of movement. This strategy aims to reach the daily draw or objective, with similar patterns for both bullish and bearish scenarios.

00:12:29

High Impact News Daily Profile

Mark discusses the 'power of 3' daily profile, which typically occurs with high impact news releases at 8:30 or 10:00 a.m. This profile is not limited to Fridays and involves specific timing for manipulation and movement, providing traders with a recognizable pattern to spot and capitalize on.

00:13:03

London Swing to Zday Profile

Mark introduces the London swing to Zday bullish and bearish profile, highlighting its deceptive nature that often leads to losses for traders. This profile resembles a buy or sell setup initially but transitions into consolidation after 11:00 a.m., causing traders to miss their daily objectives and get caught in choppy price action.

00:15:58

London Reversal NY Continuation Daily Profile

In the first example, the speaker demonstrates the London reversal NY continuation daily profile. They emphasize the importance of tapping into a 1-hour or higher PD SL key level during the 2 to 5 a.m. London session. By using a discounted PD, London taps into a fair value gap within the weekly range, leading to a change in delivery state. This results in NY expanding between 7 to 10 a.m., showcasing London reversal NY continuation.

00:18:10

London Judas NY Reversal Daily Profile

The speaker presents an example of the London Judas NY reversal daily profile. They explain how London forms relative equal highs during the Asia session, leading to New York starting at 9:30 a.m. NY sweeps the London low, taps into a 12-hour OB, and shows an immediate reaction. By utilizing inverse fair value gaps, NY surpasses London high, consolidates, and hits various highs, illustrating the London Judas or Asia Judas NY reversal profile.

00:19:52

PO3 AMD Daily Profile

The speaker introduces the classic AMD power of three (PO3) daily profile. They describe how Asia and London sessions maintain a tight consolidation range upon the daily candle opening. This tight range sets the stage for a classic buy template profile, where price action remains confined within a specific range, indicating a potential setup for trading opportunities.

00:20:22

Market Opening and Daily Candle

The discussion starts with the opening of The Daily candle, followed by a sweep of the previous day's low. The market remains in a tight range until 8:30, with high impact news affecting the London low and other key levels. This manipulation occurs during Asia and London consolidation, leading to a sponsorship to the upside.

00:20:51

Daily Profile and News Drivers

The daily profile often involves consolidation, manipulation at 8:30 or 10:00 a.m. due to high impact news drivers. After tapping a key level or PD on the one-hour chart or higher, there is an expansion and continuation into New York trading hours, with retracements and further upward movement.

00:21:25

London Swing to Zday Profile

A detailed analysis of a London swing to Zday profile on a no news Monday, characterized by a rangy day with little activity. The discussion covers the London high of the day, consolidation around the opening price, and the daily objective of drawing liquidity. This profile resembles a classic buy day but is challenging to trade due to its range-bound nature.

00:23:01

London Judas Fake High of Day

Exploration of a London Judas fake high of day scenario leading to a New York reversal. The discussion includes tapping into a 4-hour order block during early New York hours, highlighting sponsorship and market movements. This pattern involves reversals at specific times during the London to New York transition.

00:24:43

Closing Remarks

The speaker expresses hope that the audience enjoyed the content and bids farewell, mentioning a future meeting. The tone is casual and friendly, emphasizing a desire for the audience's enjoyment.

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