Inner Circle Trader's Pro Traders Club 2012 - 2013 Series

Hmmm, not always true that, sometimes you get the OTEs outside of killzones and a retest of it during the killzone, other times it breaks out of a killzone with no OTE whatsoever.


Iā€™m scouting a sell now.


There a divergence between GBP and EUR right now. If eurusd closes the gap from sundays open then it will hit OTE with an SMT divergence. I believe 4H structure broke downwards last week so Iā€™m expecting resistances to hold so and OTE on the 1H move down + SMT is something iā€™m willing to bet will possibly hold.

On a smaller time scale market maker profile (5m) Iā€™ll be aiming to enter on the break of the grey box downwards at that OTE level. If I miss it iā€™ll be looking to get in on the first red box area if price broke downwards with and OTE. Unless of course the break reaches down below the days low today because then the market profile would no longer be valid.

Edit: Chart is pretty low resolution. Iā€™ve just marked some key resistance areas and market structure. The blue line horizontal on the bottom is the OTE areas beginning itā€™s also labelled SMT because price bellow that OTEā€™s move is diverging from GBP. That where iā€™m looking now on my entry chart and can see a few small scale reasons such as mid pivot to support the area for a possible reaction.

In this case limit order can help you bit and strictly maintain your stop loss and figure out the profit target. Do your analysis first, as we always trade in high probability.

in relation to the chart, someone told me about this pattern and called it a double Adam, i suppose for those two spikes at equal level. when a chart shows it, a reversal could follow

Iā€™m giving the breakout order a try for this reason. At the end of the fractal video where ICT goes on about entering on the break of the five minute consolidation where your HTF premise is telling you to expect a reversal.

Iā€™m considering the possibility its a better entry that a straight forward OTE. Just because as price breaks downwards it may or may not retrace to form the OTE on 5 min to get in. If it does not your in and if it does your in too. If it breaks and the retraces up and stops you out then the OTE would be stopped out too. Itā€™s going to be fun testing it anyway.

Is this a Dollar/Euro Index divergence?


Euro Index top, Dollar Index bottom. 5 min charts for both.

u-kay, lets cheer for the fiber to do the catching up!

Well that was an entry too good to missed, Solid Support on EURX, Asian low providing resistance on USDX, Kill Zone, EURUSD, MS bullish on STF, there is also some divergence.

This stuff really is AMAZING when you put it all together.

All my analysis was done on HTF, 5m was just for entry, Iā€™ll be looking to leave this on now until Wednesday, unless something telling me different turns up.

Long at 2906 :smiley:

Nice entry PPFX!
'm in there too, re-entry after the gap darn it :slight_smile:

Went long in London Kill Zone at 1.2899 :smiley:

Had too much of a good weekend for that :wink:

The Cable is far outperforming the Fiber, despite the Cable dropping into AR ie SMT Div neg against Fiber.
Still trying to get my head around what SMT Div really means

Good work guys! :slight_smile: Almost identical to what happened last Monday.

ICT made a very good point about divergence in his last video, basically says, forget about it until itā€™s at key S/R, otherwise I think your analysing nothing and going around in circles.

Good video again, itā€™s funny, at one point I was getting bored with them after a few weeks, I was thinking it was just more of the same, but you kind of get to get into it, but also thatā€™s exactly what we want to do, do the right thing and do it over and over again.

All we need now is that million dollarsā€¦ ICT? :smiley: :smiley: :smiley:

I normally start looking for SMT/USDX divergence around Tuesday/Wednesday when the high or low should be forming for the week. Especially if weā€™ve made it up to an OTE zone or the like.

We got that last week before the big slide in the Fiber.

There were some clues in the price action after open and before LO this morning - fiber had a gap, price corrected more than 79 percent of the last swing on Friday, and gap was actually not closed during the asian range. Cable didnā€™t have a gap, high of asian range was at level with last high before close last week, correction was less then .79 of its swing and occurred on spike (Judas) during killzone.

iā€™ve just been taken out of this trade, and it is the first one that feels like a true ICT trade. watched (patience), stalked (ā€¦patience), shot, killzone, calculate extension, and (biggie!!!) patience for take profit :59:
ICTā€¦ is DA MAN!


found this in my old notes

"Smart Money Tool
I noticed that some of you have difficulties interpreting the SMT. It is quite simple. If one pair is making lower lows but the other is failing to make lower lowsā€¦look for higher prices (in both pairs). What happens is that the pair that is not making lower lows is accumulating (more buyers are entering the market). The reverse for distribution: if one is making higher highs but the other is failing to make higher highs look for lower prices (on both pairs).Th one that fails to make higher highs is under distribution (more sellers are entering the market). Of course you shouldnā€™t trade on this indication alone, look for strong support/resistance levels where the divergence is acknowledged. Larry Williams also explains this in his book: The secret of selecting stocks for immediate and substantial gains

Read more: 301 Moved Permanently"

Additionally I remember ICT using m15 SMT Div Cable/Fiber leading into the AS

There was very clear divergence AS today. The point that I was making was that the Fiber is under-performing the Cable despite the Cable being the weaker on Divergence. Iā€™ve noted this previously when deciding upon which of the two to trade. Seems inverse to what it ā€œshouldā€ be ie Fiber being (relative to Cable) accumulated into AS

That looks like a judas swing above the Asian High to me creating a new pocket of sell stops which is in close range now to Fridays low.

Reversal profile in progress???

Stochastic showing trend continuation.

Still anticipating a raid on Fridays Low.

If no fill at Fridays Low, letting it go, waiting for T/W High.


also the massive smt divergences with cable and the dollar index. so divergences all over the place and 1h ote. iā€™m short since 1 1/2 hours ago. not much action yet though

Okay more discipline neededā€¦ my trades so far today have been too erraticā€¦ All profitable but glad the long premise paid.
Time for more rulesā€¦