Good morning everybody! Welcome back to the channel. Appreciate you guys tuning in. We're gonna get into the market. First thing we're going to do is we're going to look at the uh, the spine.

So pretty much we've been going back and forth in consolidation. Okay, so for those of you that follow the channel, you guys know because I've told you this many times when you get two back-to-back opposing crosses within a short period of time, see how the moving average goes up. cross, moving down across. When that happens, two back to back opposing crosses, Very short period of time like a day time.

like. From this day to the next day, we get two opposing crosses. Good chance you could be seeing consolidation. Okay, since those two back-to-back crosses happen, we went up, topped, cross down bottom.

Then we've just channeled. So the cross, if you're following it bullish or bearish, the one to trust the most or put the most emphasis on, will be the cross that leads to the break of this high or that low. For these lows, that makes sense. So a breakout or a breakdown, right? So while you're in this consolidation range, you will get crosses that don't last long or don't have much follow through.

Okay, when that's happening, it can be a tough Market to trade. All right. So now let's talk about um, these two days here. All right, So pretty much I'm going to take you back past couple trading days.

Now we're going to kind of look at some stuff. So pretty much over the past, um, day or two, this was the support level. I Was looking at this yellow and green line. that's where I was looking for pretty much long trades.

Okay, so in short, here we go. You can see yesterday's trading action. We're going to the day before so not yesterday the day before. Right here.

this is your not or 10. SMA. All right, you see how we break the 10 SMA right there. So what is the Tennessee The 10 SMA is a moving average and when the price gets over the 10 SMA it is an uptrend.

The 10 SMA is a 10-day moving average. That means it only has 10 days worth of data. 10 days worth of data is not a ton of data. Therefore Your 10-day moving average is a short-term Trend moving average.

rewind a bit when the price goes over the 10 SMA It's an uptrend when the price goes below the 10. SMA It's a downtrend. You can see we go above and the market goes up. You can see here it went below and the market moved down.

The psychological problem and or application problem with trading the 10 SMA is it can be challenging in the sense that if you were waiting for the 10 SMA to break here, we got below it. and if you didn't get in here then the next day it gaps down and then you had this candle down, these two candles down and this one so arguably could be challenging to make a profit based on the time and blah blah blah blah blah blah blah. That is the most common thing you will hear about the 10 SMA or a moving average is that many times if you wait for it across or the movement and then there's not much to get. and yeah, yeah right.

So pretty much what I'm gonna help you guys track here. If you don't already know how to do that is the volume weighted average price of this uptrend move. Okay, so not yesterday, but the day before price breaks a 10 SMA So what I'm going to do is now show you using trading View What? The volume weighted average price of that 10 SMA break Looks like another way of saying that is these two lines wherever they went I don't even know why that happened. That's so odd.

Okay, well for whatever reason, they disappeared so let's put them back on. So I'm gonna go and put a horizontal line here right about there. That is pretty much where the 10 SMA broke two days ago. Take the volume weighted anchor the V-wap volume weighted uh, price anchored view app.

We're going to tag it right there and that is going to be my volume weighted average price for the 10 SMA break. So right here this is where the 10 SMA broke up. This is a short term uptrend as defined by the meaning of 10 SMA slash applicable. Use All right.

So once we get the 10s I made a break. This is a short-term uptrend as defined by the rules of simple moving averages and its applicable Use: Now that we know it's in an uptrend, when should we buy into that uptrend? Now we know it's a short-term uptrend, so it could last for a long time. Sometimes could last for a short time sometimes. But bottom line is in the scope of short-term momentum movement.

The tennisame is a short-term uptrend and this yellow and green line are. well. the yellow is the volume weighted average price. the green is the lower distribution of the valuated average price.

If we were to include bands, so pretty much the way that I see, this is. this is where a short-term uptrend starts. and this is the volume weighted average price of that short-term uptrend. Which means this would be the lowest risk area to long into for the continuation of that short-term uptrend.

So in a nutshell, this is where you should have been buying long yesterday. Also, you should have been buying long here I can teach you that one too. So this is a One play long there and another play long hair. Okay, now that we have that cover, let's continue.

We're going to bring back this one. Okay, so the 10 SMA broke here. We've covered that. That is this volume weighted average price trend.

Okay, let's delete this. Well I don't need to delete it yet. Now let's look at where's the 50 SMA The 50 SMA is here at the price of 380 58. So in the price of the 50 SMA breaks, we can also anchor a V-wap to that level.

So what? I say 380 58? Let's see 380 58. Yeah, so we're going to go up to 380 58, which is like right, pretty much there 380.50 when we first break it here, and then that's the slam down below 380 58 and then back up 380 58. So it would be the right about here. Somewhere, like right there in the retest.

Close enough. Okay, um yeah. I mean that's pretty much good enough. All right.

So looking at this now, this volume weighted average price trend is anchored specifically to the point at which the 50 SMA breaks and then gets retested in the after hours and then gaps up. So I'm not really doing the volume weight average price of the Gap even though it's close. Ideally, what I'm looking for is the price at which the market broke over the 50 SMA and then held with a pullback and moved higher off of from there. That would be my volume weighted average price trend for this specific moving average break.

So we break over the 50. 50 SMA view app is the yellow, the lower distribution of that is the green line. So you'll see here's your breaker: 50 your whole next day we Gap up the market, they pull it back where they dip by it off of pretty much the yellow pretty close. not not exact.

All right. and this is at 380. Yeah, basically 380 60 right in the air. 380 50.

okay, into the open. where do they pull it back to the yellow and then they rip it up? Okay, that gets met with selling and then they crash it down. What happens? you break the 50 smav and the green which ultimately brings you where back down to your lowest risk possible. Long entry for the tennisame break right there.

Okay, now remember I'm not picking these points at random to make the chart look better than it is or to find a support that wasn't really true, right to make things work. These levels that I put on like this yellow and green line you see right now. that's all that was done yesterday. So yesterday I was already looking at 380 380 50s 3150s expecting this to be an area of interest for a long move.

Okay, now prior to looking for a long move here, I would first look for a long move off the 50 smav which is pretty much where is it at. Now that's a little inaccurate because it actually arguably not. But yeah, I like this. something like that.

Okay, so first I would be watching long off the 50 Smav web, so there's a gap up. There's basically an opportunity here. There's your next opportunity, there's your next opportunity. and then you break it.

Okay, once you break that, you know that the 50 SMA V web long is pretty much off. Okay, then you'd be looking for your tennis maybe webs which would be down there. Okay, now the reason that you see the green line is because I've added the green line as a almost like a stop loss measure. um, or the wiggle room rule tool.

Yeah, so what I mean by that is if I were to go like this and we take off the green one which is the lower band. Okay, and the reason I'm not, you know and I'll tell you why I'm not using it doesn't matter. just I'm not even going to just lower band right? So lower band off. Okay, so this yellow line is the volume weighted average price of the 10.

Simple, moving, average break. So let's just say everyone wants to get long hair. So you start getting along and then it keeps selling. Not keep saying like oh oh, I'm wrong, right? and then you close.

So the reason I've added the green man. In this case, the lower band is because we're going up right so we're looking for a dip, buys off support going up. So the lower band for me is sort of the expected margin of error if the market does not instantly reverse off the V-west So if we saw it come down to the yellow, we're like this is a good low risk. Long we start buying long even though there is no like confirmation, there is no reversal.

There was no high or low. no WWE yada yada. Let's just say we're like, okay, we're gonna get long because we're not necessarily interested in pattern or necessary. We're just looking at Value base.

So so right now, let's just say we bought at the Yellow here because we're simply trading based off of expected value, right as expected value, volume weighted average price of uptrends. And so we're trading based off of the trend, the volume, weight, average price of the trend, and the value of the market in the current moment, as opposed to a doji candle or a hammer candle, or a ww, or a flag or a head and whatever. right? So we're not actually looking at pattern, we're just simply going to Value. So let's say we bought at the yellow because of value reasons.

Then it goes lower and lower and lower and lower right. and you're like, oh, I'm wrong. Well, you're not really wrong because it hasn't successfully taken out the lower band of this move. So for me, that is the expected margin of error away from the volume weighted average price trend that you can see and should kind of expect.

Um, so this just becomes the ultimate kind of like buy Zone if you may. All right. Um, and now the reason that I don't keep the upper band on in this situation, so we put the upper band because the upper band doesn't help us. Okay, all right.

so if I were to put the upper band on here I mean to a degree I Guess you know I guess there's a way to work it to make it to like make it work but like nah see like if you use the upper band now see now you're just running a volume weighted average price kind of. So this is just a V-wap this is just a regular V-wap band. That's it. All right this is a regular V web band all right.

and so if we run a regular view app band then what would that say right that oh maybe this is over over bought so you want to sell here. No right? Because then what happened you missed that. So basically I would take the upper band off. Okay in the times that I would use the upper band is when we are looking at a short move.

So let me take you to a recent short move. Okay so like let's use we'll use this gap down day. so like this gap down day from the 10 goes down so that would have been. um let's see this day All right.

So this is the day we're going to look at from just a bit back. So this is the gap down day right. And this is your 10 SMA So you can see we break the 10 Market goes down all right. So what I'm going to do is we're going to take a V-wap and we're going to Anchor to that break point.

So the view app here is priced or the the tennis priced at 383.59 All right. so we're at 383.59 That would be up here, probably right about and close. All right. So 3 to 359 is like basically right here.

Okay now I need to change these over a bit. See the input says low. When we're looking for a long, we're anchoring low. When we're looking for a short, we're anchoring High Okay, so we're gonna adjust that at the High Okay, now remember, excuse me one second and that's even wrong because it's too high.

It's 33.90 We need to go like three 350. it's basically right there. Okay, so remember, uh, that we need it. We're anchoring to like 3 353 something like that.

And now when we're doing a short play, We're anchoring to the high and we are not using the lower band. The lower band is for a long. Okay, so we're going to change the style of this take off lower band and we're going to add upper band. Upper band will be the margin of error that we expect.

The market could exceed the yellow but still have a valid short. That makes sense. Okay, so in this case, um yeah, I mean pretty much right. So 10 SMA break here Market goes down, pops up pretty much to the yellow and I could probably get that closer if I manipulate data.

Yes, but just simply by going to like basically the point where we break and adding it there it, it's pretty much good. So that's kind of it. Like this is like your guide, right? The 10 SMA is kind of like the guide right? So though we break here at like 383.59 this is the view app that it gives us if you were to adjust it like oh, I'm going to take it like to like here where we kind of break down more, you can probably get a little closer. You can kind of see there where the view app is just riding everything right.

This one this one right. So for me, I always kind of basically start where the 10 SMA is because that's kind of the foundational rule. so that way it doesn't become subjective. it becomes objective, right? It has a rule, There's a rule, it's rule based, and it's It's systematic, and you follow it right.

This by going oh well, we broke the 10 SMA here. but I think this is going to give me more validity on the move because it's anchoring more properly because of whatever reasons. like sure, you could do that, and that's fine, but do note that as you do that, you're becoming more subjective and less objective. All right.

So it would be harder for you to program this into an algorithm um, or a systematic rule-based system because you yourself are picking the point you're going like oh, I think this is better. Well, if you think this is better than the tennisame then that means tomorrow, then it's not going to be the tennisame. It's going to be the next level you think is better than a tesame. But if you always go based off the 10 SMA break level, you're generally going to come up with a very It's going to be objective, repeatable, rule based.

and then it's always going to provide you with a pretty pretty solid level. right? Um, and what I mean by solid level, right? Not that this level is any worse than looking at it like this. Like you know, when you're looking at like this, you're like oh, like we're definitely in the lines I'm definitely in a short right. If you're looking at it like this, you'd be like oh well, we're like really close to the yellow so maybe I'll give it a second, right? So that's kind of the concept there.

Um, but you want the train to be a systematic rule-based step-by-step as possible. So by being slightly subjective and moving it to where you think the price will wait better to to bring the trade into the lines more, you're starting to get subjective okay or situational base which to degree isn't wrong in some cases. Um, but you you just have to be mindful of what you're doing, what that could do your psychology, and what that can do to your rule-based process. Okay, so let's just take this back up to the tenants.

A man that will wrap up this video. Okay, so pretty much okay looking at this gap down day. So we gap down. We break the 10 SMA we're below the 50 SMA So it is ultimately bearish.

Move right of that bearish move. What is the volume weighted average price of the bearish trend? and it's the yellow line so you can see Market opens up we and this is wrong because it's really like the retest snap here. Okay, so pretty much Market breaks down. We pop up towards a yellow and where's your Shore Okay, stop it.

Stupid stupid. All right. where's your short right here? Doink down. Then remember what I said.

The red level is the margin of the error that you'd expect the market to exceed the yellow and move towards or two, maybe slightly above. But Ultimately not really sustain above that before moving back down. And that's even a bad way of saying. and I Guess the better way of me is saying it is like let's say you got short here because you're on the yellow view app.

You're like that's the short level and then it breaks above. Well it's okay. you should kind of expect it to maybe push towards the red as well because that's your expected margin of error over the volume weighted bearish trend to see the market move to before attempting to go down. Okay, and then obviously as the market successfully clears, the yellow goes to expected margin of error level and then exceeds expected margin of error levels.

Then you know that this short term. remember As we stated earlier from beginning of the video, the 10 is a May and I repeated like 20 times a year Like these kids and idiots. stop saying this. The reason I said it so many times when we come back to the video in place like this, you're like Ah That's why I Repeated so many times.

Remember the 10 SMA this was the 10 SMA break where I'm circling and then now it's a smiley face and now it's a sad face and now he's got stabbed with the coveted shot and then he just, um, drop's dead. Uh, what happened I don't know I Don't know. So here's your tennisame. but seriously, smiley face? No covet job this time.

smiley face is a short-term downtrend. This is the volume weighted average price of the short-term downtrend with the red being expected margin of error clapped and that's a flag pattern right there. Up to Yellow through yellow to margin of error, pull back, hold over yellow move mini flag one minute overrun. Yeah.

break down. Trading in Bearish to the trend reverses through bearish. Volume weight average Trend and anybody trading short that day is squeezed. Okay, then we move over to where we're kind of at.

Um, all right. So then take that same logic. Now remember and this is something else I Didn't say whenever like you do a new V web. So pretty much it's the first attempt into the level that always has the highest probability odds of winning.

So what I mean by that is okay. this is your 10 SMA break from like the previous deck. Okay, that oh that's right because we're so remember. Now we're looking at long so we have to adjust our how we anchor.

so we're not going to do upper band. we're going to do lower band and we're going to do inputs as low or angering to lows. now. Okay, so doing it like this, you will see that pretty much we.

and this is even maybe up like right there. No, not the one we want. Come on. So now we're looking so again, where's my thing? Smiley face Happy.

Then he gets jabbed up And he's still happy though because he's jabbed up and he knows he's protected for life now. Can't get sick. He's basically a walking God He's got angel wings hanging off of him so he's good to go. All right.

So Mr Jabby here is happy. Yeah, he's got a tennisame break. It's an uptrend that's a good coffee Dennis may break up Trend Um, you hear your volume weighted average prices of that short-term trend the first attempt into the volume weighted average prices from that breaker generally going to be your lowest risk opportunity For alarm to me that's kind of the first attempt. Some would say this is the first attempt here I would kind of say this is the market trying to figure itself out and then that was a confirmation of like the move up and then this would be your first attempt into the volume weight average price since that kind of momentum upward break Trend happen.

Okay so we got Mr Jabby here. happy to go. All right and then uh, you know, Tennisame uptrend. That's your first attempt into the low risk View app.

Zone Again, you have the yellow as your view app margin of error and then Rippy and um really the last rule of using this process is that you know like this: okay you have your 10 break. there's your test of the lows, you're in your support Zone You're on your view apps When you get long here your expected price Target is always the previous High it can go higher you just Target Back to the recent supplies and or highs every time. Okay okay now look at what happens Market Falls over goes to where the yellow View app and then what happens bounce and where does it go to Back to previous supply and demand or previous Supply and highs right? So like this bounce, we target back to what I say Supply or highs. So like here, you're low.

Where is Supply Like basically like right and here to like there. Okay, so you'd basically be long in this area expecting the move to there. Arguably here this part is a bonus. All right.

Then Market Falls over into the V-wap bounce. Where would you expect it to go if you got long there. Back to previous Supply which is there and like pretty much air into the heist. back to the previous size.

Okay, then you'd sell because that's what you're supposed to do. You did your job. You went from support to supply. Okay, and then the market rolls over falls again.

and let's just say you get long. So you're getting long in this bottom somewhere here. Where do you go? Previous: Supply Right there into this area. Okay, and same concept.

Now once this bottom was put in for the day, then you could be like oh well. You know this was previous support so we're just gonna buy there. Totally true Like that. That's pretty much what you can do at that point.

But it's where is the. where is where. Where is the the support gonna be prior to support being made right now, Some people go. Oh well.

we kind of flipped up here so this is where the support's at. True I Like to use the V web process. that helps me. but basically from this 10 break we started shifting up.

the expected support for me was going to be here and then later in the day everyone looking left going. Oh, that's Support. That's why we're going to buy here. They're essentially one step behind because they weren't able to figure out that that was a support first right? That's kind of.

the concept is is trying to be the first in the trend uh, sort of sort of saying. and I'm not saying you have to and does it make me better or worser. But bottom line is if you were unable to identify and expect that this area was going to be Support when the market was trading here and when the market was trading here, um, then watch my videos some more. Alright guys, take care, have a great day! I didn't really finish.

sorry I Almost got off without really going into today. Okay, so I think we had a bullish cross on the market. Yeah, so we had a bullish cross a theoretically long buys as long as the market maintains over the 50 SMA which is currently maintaining over the 50. SMA Um, so that means that the V-wap from yesterday is still valid.

Um, so pretty much we're in support right now. and as long as the market maintains over 381.80 which is pretty much where we went, uh, the market can stay bullish. Yeah, and then this morning we would have broken down the 10 SMA at a price of 383.87. So 383.87 So what's happening right now is the market is trying to support the short-term uptrend created from like two days ago.

Okay, which is this yellow green zone? Okay, excuse me simultaneously right here at this price where I'm going to put a horizontal line Maybe Okay, this horizontal line is the 50 SMA So this is that red moving average right there. and that's kind of the Line in the Sand that the market needs a maintain or else we can kind of kick start more selling again. So we want to see the red fit the SMA hole. So at the same time the market needs to maintain the 50 SMA We have broken the volume weighted average price Now the only thing to hold us up is the lower distribution level which is right around 3801 3108.

Okay now so what you're seeing is an attempt to fight the 50 SMA like a retest of the 50 SMA which is going to dictate up or down more so with more aggressive selling. Now in the short term, you've already had the 10 break ready. So like, look at this so again, see how we broke the 10 here. It's an uptrend.

Well guess what? We broke the 10 here and then I think we went above it and pre-marked we broke it down. So theoretically we've kind of started a short-term downtrend right over the 10 up below the 10 down over the 50 true momentum shift below the 50 true momentum shift. Okay, so you're starting up through the short term. you break the longer term one.

Then the short term trend is going to kick start with more fuel, more aggressiveness because we've broken the other one. anyways. So going into today pretty much this is what it looks like. You have the market fighting the current 50 SMA level and we've already broken down the 10.

The 10 break happens at 383.74 which is going to put us all the way up here. So we're going to look like this: 383.70 right in there. Basically, yeah, we're gonna anchor it to this guy. All right.

So now we've broken the 10. On the downside, we're going to Anchor this one to the high and we're going to readjust these and we're going to add the upper band because we're going down so we're looking at shorts. so we're going to add upper band, take off lower band. So now what you're seeing here is excuse me I'm zooming in.

Let's make sure this is 383 7. isn't that right? 383.88 Never mind. it's pretty around 383.88 All right there. That's a retest candle right there.

Okay, Okay so we've broken down the 10 Simple, moving, average pre-market So arguably what's happening is this is a short-term move down since breaking the 10 SMA at 383, 88, 3390. So you have a short-term bearish move taking place, moving into the longer term support level if you may. When I say longer term I just mean that this play this play is longer been happening for longer than this one. So even though this is a 10 symbol moving average breakdown and that's a short-term Trend down.

and this is a 10 simple moving average breakup. So it's a short-term Trend up. This short-term trend has been in play from this day into here, in that balance and this bounce and in this bounce, right? So it's this: volume here is now fighting some of this downward volume. So essentially the volume that's bearish from this 10 symbol moving average break today must be stronger than the volume that's maintaining this.

this Zone and then the breakdown can only really Excel To the downside when we get below 381.. So for now, you're still long bias the market because we're over the 50 SMA and we have a bullish cross and we haven't taken out the lower distribution channel of the previous bulge move. So for right now, you're still long bias pretty much. And um, if the market is to go bearish, there's a good chance it would, uh, pop up into say like 382.62 with the expected margin of error up to 383.33 and then a move down right? And ultimately, if the market is going to maintain its bullish move, what we're going to do is we're going to bounce up.

We're going to take out this one. We're going to take out that one we're just going to squeeze out because this short-term bearish, pre-market move is nowhere near as strong as the trend that's been taking place past couple days. So in a nutshell, what are we doing? We're pretty much just just yeah. I Mean, you're just long biased for now until you get below this 31..

All right guys, take care of a great day.