Short

$GBPUSD - Repeat of yesterday - Seek and Destroy Model SMT

Updated

*SMT = Smart Money Theory aka Institutional Trading = everything you think that is not retail related to trading. First, SMT does not believe that triangles, wedges , trendlines , channels, harmonics, etc. has any effect on how price reacts. The second is to recognize that the price is not random, it is set by an algorithm controlled by those that control the asset. The Third thing to remember is price will move toward Liquidity and Balance. That's the basics. The rest is very unique in the vocabulary you need to have and the concepts that wrap around these ideas.

I keep seeing Ideas to buy GBPUSD and I keep wondering why? It's giobing us no indication it want's go higher. And powell to speak again tomorrow at 10 EST, same As today.

I have measured out the standard deviations of the Asian range. 2 standard deviations above is the most recent high. Overnight, we should see the price lower then raise back up. Becasue if you look at thje DXY it is going to be going undewrneath the consequential encroachment of a break possibly touching the bottom of the boxed area then rising as soon as that happens it may take a while for it to get there which is why I am anticipating GBPUSD to fo the opposite slowly swoop down into an hourly fair value gap the raise the prices to the median bearish order block up if it wants to stay below the high. But I have a feeling it will take out the liquidity resting at the highs in the form of buy stops and pull back down very quickly taking out the stop losses. After that it would be heading toward the liquidity resting under the areas marked below the 4th standard deviation of the Asian Range.

Here's what I think will happen with the DXY. Raise Above the current equal highs then pull back to the Bullish Breaker. It should be at that time powell is about to speak and we'll see anothjer sharo rise in prices in the dollar. Why? Because everyone is thinking the opposite. Andf if you're thinking the opposite, Smart money is thinking opposite of you.

So that's why I think the GBPUSD will do something simlar but opposite, of course. Any my mentor said to try and idea, I'm not putting money on it as my mentoring has been great and I've learned more in Smart Money theory unlike retail where all I did was set my money on fire beliving the herd mentality. Instead I've learned to use many tools such as the asian range, weekly profiles, liquidity areas to form my ideas. It is the first of the month. So there is a definite possibility that the monthly candle could be the opposite. But it will go agains this "Trendline support theory" that I see from many people. Trendlines aren't support. But they do tell you where the liquidity is lying because so many people will trade off a trend line. Smart Money likes to go against those that would trade long off a trend line and force the price short. So I'm sticking with this idea.

Anyway, good luck and good trading :)

The only thing I think that would be slightly different is that it reachea

Note

well the DXY hit the mark a lot earlier than i thought. but that just accelerates my idea, possibly?

Trade active

Trading has commenced at antrance 1.334

Note

While the DXY Diverged in price at first, it seems to be lineing up now.

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I didn't realize price had hit the exact point in my fair value gap on the way down then reversed at the same exact price point and time I predicted until I moved the Path itself, that first low is your fitst take profit level. Take 50% and move your stop loss to even at that point (if we get there)

Note

Institutional number of 1.33500 hit, that was my second entrance as well so now I have two entrances to this couple and I have a third entrace at 1.33800 as that is another institutional level.

Trade closed manually

So the trade may have not went thew full capacity of length we thoought it would. As it is nearing the end of the London Session. I would advise on closing a large portion of your trade now. As the next event coming up is the BNeige book and likely won't have a huge effect on price action. As I did collect 47 pips on the opening position and 57 pips on the second position. 94 PIP DAY! With the right amount of leverage and risk applied. This is all you would need for a weeks work. Because I'm not trading the rest of the week as it is non farm payroll week in which I the algorithm is heavily manipulated. Leave a small portion on your position as a trailer and set you stop loss to break even to see what happens. But I'm taking 80% off one and 90% off the other and callling it a week as I got the pips I wanted and needed!
(GBPUSD)

(DXY)

Note

Also if it wants to turn bullish now is the time the chart would do so as you can see that I placed a fib on the low of the London Session and the High during the NY Session and it has retraced 80%. It could continue to retrace even further. and that's why I would leave a trailer on and not close the whole thing. But it is getting about that time where the sessions are starting to wind down. But who knows at 2 p.m. EST we could See a whiplash!

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And my math was wrong. We had a 104 pip Day not a 94 pip day... So far.

Note

Alright closing out round number two at 1.328, 5 % from the 1.335 entrance and 10% from the 1.334. Which gives me a small portion for nearly 60 pips on entrance one and 70 pips on entrance 2.

This leaves me a 5% trailer on the 1.335 entrance and a 10% trailer at the 1.334 entrance. Placing both at breakeven

BodiesXWix

You're either trading with Smart Money Theory or your just burning your money money. Believe me, I've been there.

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