Predict The Market Before It Happens Without Using Indicators!

In today's video, I'm going to be showing you how you can get involved in moves that look like this and moves that look like this without using any indicators. If you're new to the channel, welcome. My name is Luke Burton. I've been trading the markets for the last 12 years now. If you want to join our live trading for seven days free, go down into the description. You can start your live trading seven day free trial. If you want to invest in your trading heavily and you want to join our one-to-one program, which will be the best investment that you make in your trading, also go down to the links in the description of this video. And if you want our full content stack, again, down in the description. Just a quick on screen right now is the updated results of all the NJT members. We are tracking our traders is because we're looking towards moving into a hedge fund, right? And becoming a hedge fund. Of course, this is our longer term goal with NJT, but we're training all of our traders to get to that perspective where they are good enough to trade a very large amount of money. So that's on screen right now. And yeah, let's get into today's video. This is going to be a very dense video in terms of information. So take your time of it. This is my exact process on how I trade without using indicators, just understanding raw price action and the processes, really getting and understand the process of how I'm doing things, write it down. And that's where you can really understand this trading system properly. So let's get into it. It's going to be four keys to truly understanding how to do this and how to capture these moves. Number one, we need to understand the market direction that comes from the higher time frame. I'm not talking about the one hour chart or the four hour chart. I am talking about the monthly, the weekly or the daily. I promise you, once you understand the direction of the monthly, weekly or the daily, any of those timeframes, you're going to have direction correct and be able to capture very large moves that happen within the markets on a very consistent basis. Number two, we're going to focus on structure on your entry time frame. Now you can use this on any time frame, the one minute chart, you can use this on the 15 minute chart, the one hour chart, whatever your entry time frame chart is, as long as you follow the same principles, you can find high probability setups. That's going to be continuation structures and reversal structures. And the reason that we're going to look for continuation structures or reversal structures is because we want to align the higher time frame direction with the lower time frame slowdown and the lower time frame continuation structure. That's what's going to give us high probability trades. Two time frames showing the same direction is going to give us that high probability direction within the market. Now the next thing that we're going to look for, as you see the red lines that we have here on the charts, this is timing. We need our setups to align with the timing. Why? Because when we enter the market at the bottom of this candle here, we know at a specific time there's going to be moves happening within the market. When we align the overall structure with the higher time frame direction and our timing, that is stacking confluences in our favor, which is giving us high probability trades. When we see that the market structure is bullish and we have a bearish narrative, we are going to sit out of the market. We are going to wait for our time frames to align before we look to trade. And finally, this is the most important thing to create in a consistently rising equity curve, where your wins are bigger than your losses over a series of trades. That gives you that slowly rising equity curve over time. Now that final thing is risk to rewards. Risking small to make big. We risk 1% to make 5%. 10 pips to make 50 pips. That means that when we go on a series of losses, which we will, every strategy goes on a series of losses, we will lose small. And when we do win and we hit those winning streaks, we will have massive winning streaks and massive profit potential on those winning trades. That is the key. This is the maths of trading. Adding all of this together is perfect. But if you only have a 1 to 1 risk to reward, then when you do have around a 50% strike rate or even a 60% strike rate, you're only going to be at break even. So having a 1 to 5 risk to reward is what makes us consistently profitable with this strategy that we have. So let's break down the first concept. That is understanding the market direction. Alright, so we're up here on the daily chart here on EURUSD. And all we're doing, right, is we're just looking for price to run a low, run a high, and then move in that opposite direction. That signals to us that this is a sideways market, which is where all of the volume is created here within the market. So all we're going to do is draw that across, the highest point to the lowest point before price breaks out there to the downside. I've also shown before that you could use something like a volume profile from the high to the low. You could look at the highest volume areas and then take the lowest point to the highest point before the breakout there to the downside. The breakout is typically going to be low volume here as well. So again, that's just like a little cheat code that you could use. Now, there's another way here, which is when price is inside a sideways range, and we break out here to the upside. So there's two things. We are either going to be contained between a buy range that we see here. Why is this a buy range? Low to high, high to low before the breakout there to the upside. We know this is low volume because it creates imbalance. And then here we see a sideways market, which is a sideways range, followed by initiation to the downside. Again, we see imbalance. We know that's low volume. We just draw that across. Now, let's just get rid of this for now. So we're either going to be stuck between a buy range here, reacting from a buy range, or we get stuck between a sell range here when we're reacting from a sell range. This is fine. This is where we're contained between two ranges. We can sell and we can buy when price gets back into the buy range or the sell range. Now, the other way that the market moves using this concept is, as I showed before, price is sideways here and we break out of that sideways range. Now we only trade that direction up into the next range that we see here or the range that we have sat above. This is then where we slow down and we start to look for a move in the opposite direction. So that is the two ways that we use to understand the RAMC order flow pattern. That is just looking for ranges on the left hand side of the charts that initiates the downside. Again, range initiation or looking for ranges that initiate to the upside. Again, we see here sideways range initiate to the upside. When price pulls back into these ranges here in the future, we only buy or we only sell depending on which direction that we broke out. Now, if we are contained inside a sideways range and we're running lows and running highs, we're not seeing any extensions. What we're going to do is look for the edges, which is the buy low locations inside the or the sell high locations inside the sideways range. And then when we break out of the sideways range, we only trade one direction. So that's quite a lot. So just take it in. Rewatch this part because it's very important to understanding market direction and gives us a narrative to trade. Now, once we are reacting from our higher time frame, sell range, why is this a sell range? Because we broke out to the downside. Then we move on to step two, which is looking at the Now, step two, market structure. In this video, this is going to be a lot of information. So take your time with it, digest it and understand it piece by piece. You're not going to understand everything by watching it once, but once you do understand it, you really will understand how the market moves. So take your time with this video. So this is step number two. So now that we're down on our 15 minute time frame, we are going to be understanding what is the current market structure moving into our buy area. Now, we're going to start here on Friday because this is where we started to see that big move after we actually slowed down into this higher time for mitigation. So what do we look for first? We look for the market structure. As we can see here, we are in bullish continuation structure, higher highs, higher lows, barely any pullbacks. We know that we're in a bullish initiation to the upside. So what do we need to see when prices in a bullish continuation structure that we want to sell? We need to see timeframes aligning. Now, timeframes can align with two different things. First of all, this is bullish continuation structure. We create a previous high. We pull back. We run above that high. We do not extend, meaning we have a strong rejection that then creates a fractal high on this time frame. A high and a higher high is a fractal high that shows a reversal structure. And then we can trade any bearish continuations here to the downside. That's the first way that we can look to trade the market. And that's what we call the slowdown and set up. Slowdown is price running above a high here, not extending, seeing a strong rejection, which is that V formation here. That shows a slowdown. And the setup is what we want to look for in the candlesticks to show us the volume where we can just enter the market on the market open and just look for continuation to the downside. That's the first thing that we look for. The second thing is when we've already seen a slowdown happening within the market. This is a great example that we see right here. Price is in a bullish continuation structure. So what do we need to see if we're in a bullish continuation structure and want to sell? We need to wait for price to slow down, run above a high, no extension. That is the slowdown happening here inside our higher time frame sell range. Now, what do we need to see after the slowdown? Continuation market structure, right? Lower highs and lower lows printed or we get a trending market here. We run above the high. How do we break? No extension. And then we see continuation. This type of structure confuses a lot of people, but just focus on one thing. Did we slow down? Yes. Did we run above the high and see no extension? Yes. Then we can continue trading that direction there to the downside. Now, the third market structure is, funny enough, what we got right here. Initiation, right? So we run above the high, slow down, and then we just initiated shallow pullbacks and continuations. Once you understand those three continuation structures and the slowdown, you can read the market without using any indicators, right? So that is exactly what we look for. Your rules will be when the price is bullish, you wait for a slowdown before then trading to the downside. If the slowdown has happened pre-session, then you'll be looking for continuation market structure and trading alongside that direction here within the market. Very simple rules, but actually very powerful to making sure that you stay on the correct side of the market and don't try to call every single high and end up taking a bunch of losses trying to get the right direction here within the market. So key. Now, number three. This is really important. Timing. Without timing, this strategy becomes irrelevant because you can sit at the markets all day and take every single slowdown that happens here on the way up where we get a strong rejection and take loss after loss after loss after loss. Or you can wait for the correct timing, read the market structure that's happened previously, and execute on the market open with a one to five risk reward and capture the move with only 30 minutes of trading per day. This all sounds perfect in hindsight. As you can imagine, in every single live session, I show you this exact process that I use. I show you exactly what's going to come next, because once you can read the market, you know what's coming next. And I show you exactly how to enter this market using this exact process. So I don't think I'm just sitting here showing you something in hindsight. Listen to the process that I'm using, going from a higher time frame, the process, going to the entry time frame, the process, understanding when price is bullish. What's the process? Write down the process, because once you understand the process, you know what you're looking for in the live markets. If you still can't understand that, join the live sessions for seven days free, and you can watch me doing this consistently. Repetition is how your mind and your subconscious mind is going to pick up the process. If you then don't understand, you can ask me in the live sessions, and I will tell you the process, and we will see it in live time together. You will understand the entries in live time with me, and you can follow along this exact process, because every single video I put out on YouTube is the same thing. All I'm doing is describing the higher time frame direction, how I trade that direction on the lower time frame, the timing, and the entry, and the high risk rewards. I promise you, this is all I do on YouTube, is show exactly the same process. This is the same process that I've showed for years and years, because it works. When you want to understand if someone's process works, see how much they deviate from their process. That's always a really good way to understand if someone really believes in what they do. Now, once you've got that process right, and you can understand the slowdowns, every slowdown after every slowdown within the market, we get a change of direction. Now, if this happens, and we look to the left, and it happens from a range that we see here, a sideways market, followed by initiation there to the upside, this only really matters seeing a slowdown from a buy range. As you can see, the slowdowns that have happened here within the market, where prices run below the lows and not extended, has come from buy ranges, which is why we care then about looking for buying setups within the market. It's no good looking for a buying setup all the way up here, where we've seen a slowdown, because this is not happening inside a buy range, where price could move to the upside. So, all of these moves, where we see where price has a strong rejection, here, anytime price runs below that low, these are losses that you'll be staying out of, following this one rule here within the market. I'm really giving you all the source here, like, if you can really put the the process together and understand this, like, you're really going to understand how to trade the market, and understand direction in the market, and how to make profit in the market. Now, the last thing that we're going to go through, which is the key to the all of this being successful, is high risk rewards. So much now, we see on Instagram, we see all those people, I don't even watch people on Instagram anymore, but we see these people on Instagram, and they've got these one-to-one risk to rewards, where they're entering the market so late, with a stupid stop-loss size, like, entering the market way up here, with a stop-loss way down here, and they're looking for this one-to-one risk to reward in the market, and it's just like, okay, it might work, you might increase your win rate, but overall, you're not going to have a perfectly rising equity curve, unless you're winning over 70% of the time. Now, if you've got a one-to-five risk reward, and you focus on timing and precision, when these moves are happening here, it doesn't, you can have a one-to-five, you can have a one-to-eight, you can have a one-to-six risk reward, because when the market does move at specific times, we see it moves a lot of pips during very specific timing windows. So, if you put yourself on the right side of these timing windows, as you see very consistently at the start of these sessions, if you buy and you sell at the right times, you will make profit in the market. So, if you put yourself on the right side of timing, you don't need to sit at the charts all day, in order to make one-to-ones. You can come to the markets as we do, 30 minutes a day, focus on flawless execution, and focus on one-to-five risk rewards, and make profit while you come to the charts. So, this is my slow down and setup strategy. These are the components, these are the processes behind the success of my slow down and setup strategy. This is years of work. I've been doing this for the last five years. I've been refining this process for the last five years. So now, where we come to the market, so 15 to 20 minutes at the top of the hour, and there's either a trade there, or there's no trade. If you want to get involved for a seven-day free trial and trade live with me, this exact process that I'm talking about right here, go down into the description of this video. If you want to join our one-to-one program, I promise you that is one of the best investments that you will ever make in your trading, because we'll be making you profitable in less than eight weeks. Then go down to the one-to-one section. If you want all the content, you don't want to learn from me, you just want to get the content, like the one-minute strategy, slow down and setup strategy, the 15-minute, the price action course, all of the live recording webinars, so you can just watch them in your own time. Then get the full content stack, which is the link right at the bottom, and you have lifetime supply of live trading sessions there. Make sure you leave us a like and comment if you guys enjoyed this video, and we'll catch you on the next one.