Backtest With Me: The Importance of Market Structure (FOREX)

you are a wonderful god [Music] what's good youtube it's your boy doyle back with another video today's video i'm gonna be breaking down all my losing trades today and i'm gonna be talking about the importance of market structure because um just because it's an nfc dome it's just going to go up um this week was kind of weird for indices i was doing a lot of dropping breaking structure to the downside a lot and we have to understand like um if it's breaking structure and it's pulling back is it guaranteed that it's gonna um continue up or are we ready to take the sale you know what i'm saying so it was a lot of sales setups this week and i also want to talk about those like still be unbiased like don't think okay this industry is going to keep going up keep going up even like when nas 100 make an all-time high you got to understand it's not going to continue to go up investors are going to sail because we had an all-time high that is fear we're up too high there is no price action looking left so you have to understand that most of the time when nas 100 make an all-time high probably in a couple weeks or maybe that week it's going to drop a little bit or it's going to pull it back a little bit because people are taking their money out because we're we're high you know what i'm saying so it's going to be pull backs within indices understand that you know what i'm saying like it's not going to always go up so you kind of have to be unbiased and you kind of got to pay attention to fundamentals like i got to preach that a little bit because i believe elon musk's elon musk was um tweeting or making announcements this week and it was messing up the market like it was it was doing some damage especially for announcement 100 it was some drops it was some yeah tesla was really moving ass this week for sure but uh let's get into this so i'm gonna go through my losses and i'm gonna talk about um understanding structure because you gotta know when it's breaking major structure to the downside and get ready for the sale we know nas is usually bullish but we gotta get ready for the sale so right here um so this this trade right here made so much sense to me i think i just got to keep it a buck it made so much sense to me this is spx 500 right here and um it was dropping really good and i'm like okay where could it pull back to because we're breaking structure now um with this with this setup right here it wasn't even smart for me to take this sale because i'm selling low we're not even really up high like that and i'm gonna show you um thursday's spx sales setup that make more sense than this setup i don't even know why i even took this setup but i took it and this was over a 1200 loss i'll show my trade show my trade up on this on instagram so yeah so it tapped it broke that low came back into the zone and i sold immediately as it started breaking this candle and it immediately went against me that's how i knew this trade was just bad when the trade immediately go against you that was the wrong direction or it just the trade wasn't for you so immediately against me lost 200 and i was like whatever then i made it back trading ass for a buy but um i took this sale also because we had liquidity down here that wasn't tapped into so i'm like okay maybe um they want to at least come down here to go back up so i would have took like a one to one my tp was a little bit shorter it was like yeah something like that um a little quick one to one and then i'll try to look for the buy but they didn't even go down there they didn't even go down there so that was tough and yeah but it did break structure but we we want to take sales we want to sell high like they always preach about that sell high buy low and i'm selling low that's not even smart because the push was down here and we have liquidity up here we got areas to feel right there that just wasn't smart so that was my battle on this um setups and we and you're gonna make mistakes like i'm not the best trader in the world i would not act like i'm perfect like i'm gonna make mistakes and this was just not smart so i took this uh sale right here and i lost and that was it um now when i when i mean about selling high so i took this by right here on this demand area by but um you got to be prepared for areas that you can reverse from and right here this is a swing low when it came back into that area it threw a um indecision candle a doji and then it rejected and it was a sale that's valid rather than having a break and retest somewhere down like just hypothetically it's having a break and retest somewhere down here to sell if if you have a break or break and retest that low the market got to be in a strong direction you got to understand that market is healthy for um the market to have pullbacks that is healthy but when you have something like like something like this it's dropping dropping look at the dropping come back to it and then keep dropping understand that this is either fundamentals or something that's crazy going on because that's not normal like when it's just dropping like that something is big going on and it's not the technicals it's definitely the fundamentals um yeah so this is healthy right this is a regular break and retest right here that's clean and healthy you can't get more cleaner than that that's something that is worth taking the chance to sell now i don't preach selling indices but i will scalp it like if i took this sale on thursday i'm scalping i'm not even going gonna leave a runner like i'm just not comfortable with sales and i actually took a trade um what was that i think it was tuesday on that i'm gonna show you how that trade too yeah i took this by right here up into that area then i um took profit um yeah but understanding like okay so if you look at this right here let me circle it they're building up okay so they're building up orders right here they're building up orders and they dropped it but that's a market structure break just like remember when i used to trade fibs we're waiting for a market structure break you know what i'm saying and then i pull back so this is valid right here that's ballot for sale that's valid because we're breaking major structure lows which is right here and we're coming back to a key level right here come on now that's a valid sale um i don't like selling but like i said i'll scalp that but i already got the dub off of dubai so just wanted to say that but uh let's keep going um what's today the 10. i didn't trade spx on tuesday and then monday was ugly so yeah that was the only loss that i took on this week on spx which was friday which was today and then let's go to nas so nas um let's take this off that looks super messy so nice i literally got the best entry possible right at the bottom now did i leave a runner i didn't i'm not gonna lie i didn't i should have but i didn't um and some of my students y'all y'all probably took most of this anyway or at least got up to this next bank level for sure yeah this is a nice setup and i don't really like trading fridays but this was beautiful no cap because this week like i said this week been dropping a lot so it got recovered somewhere so remember when nfc's drop is going to recover do we know when it's going to recover absolutely not we don't know when it's going to recover you gotta show up i will not show up for recovery on a wednesday though i know that but uh let's go to uh yeah that was a duh right there um this is wednesday i didn't take this and some of y'all trade like strictly liquidity grabs i don't trade like that so some y'all be asking me okay how do you make sure entry with liquidity grab i don't strictly just train liquidity grab i wait for a key level okay you level and if and if a liquidity grab happens on that level on the level that i trade off of then that's just a bonus but if there is no liquidity grab on the level that i trade off of then there's no liquidity graph it's just what it is okay um so right here so what i also notice um that's kind of a pattern with my um pointless losses is i need to stop trading at 9 30 or 9 30 9 35 and just wait until 9 40 or or maybe at least nine nine 9 37 or something like that but but but them first five minutes it's over with it's over with so um some of y'all probably thought i got a dub on this tray right here what was that on tuesday this is on tuesday remember when it did that that that fake out move and then it went down i did not win on this trade this was a break even trade um i answered this trade earlier earlier during um what was that like nine o'clock yeah so again high risk trading before new york stock exchange open so i'm like okay my stop-loss is really tight because look at my entry candle is really really small so i was looking left i'm like okay let me try to get up in here some something like that and you can see i lost the previous day too and i'm gonna talk about that too but it's gonna be a pattern like okay you gotta be careful with the newer stock exchange open because it was some um bs on this be on this open too so um i was already in profit up in 9 25 and 9 30 open and as soon as 9 30 open it start pushing up like this was this is what the camera was doing it was pushing up so i'm like okay um this is high risk let me move my stop loss to break even so i instantly move my stop-loss to break even and i'm like okay anything else bonus as soon as i move my stop-loss to break even it when it gets me boom i didn't make anything i mean if you count 50 dollars that's something then okay but that wasn't that's no so um yeah that was just a break even trade and then i got cancelled and i and i left that level right there i'm like okay whatever and then i see that it's starting to wick about it wick back into that level and i'm like okay if it break i'm taking that sale and i took that sale and that was uh i believe a 2300 win because i got out somewhere down here i'm trying to get this liquidity down here i could have kept it to down here or right here but i want to go for this swing low so i got out somewhere right there but um yeah you got to be unbiased okay even if it's uncomfortable selling you got to be unbiased i know it's kind of hard because we're so used to nas going up but we got to be real with ourselves when nas 100 make an all-time high the pullback is coming there that it will not just keep going up you know i'm saying it will not keep going up so keep that in mind when y'all trading indices with any indices making an all-time high understand that investors are selling that's why it's always a pullback when you're making a higher high or you're breaking structures always a pullback because people are getting scared and then they sell and then when when they see something is low then they buy it's just the same thing as crypto like when you're investing okay it's low okay let's buy okay we don't want to buy up here because once it pulled back now we're down so it's the same thing with this with um indices 2 when they're making new all-time highs okay so this is a breaker structure if you you know i'm saying if you can't see it line chart boom breaker structure pull it back into that zone drop and that was just another textbook setup and that was tuesday and and you understand i got i kind of saved myself i moved my stop-loss to break even some of y'all might have lost right here so that's why i preached at 9 30 you got to be careful or don't trade it at all wait until 9 40 or or wait to 9 45 something like that okay so now let's look at let's look at these two setups they look similar it was some bs right at the beginning they it's a fault it's a crossover move every single time and i'm done trading it like i'm not even going to trade it at all anymore because like i can save myself so much money if i can just be patient you know what i'm saying so let's uh let's break down this trade so right here um this is mixed with a liquidity grab and i was so confident with this trade so it was just swing low right here this green candle dipped under here swooped everybody and got and and started pushing up i got in for the buy right there but one thing i hated about this setup is my stop-loss is big i hate that when it comes to indices so i didn't want to put my stop loss down here because i'm like damn i'm risking almost 42 pips that's a lot you know what i'm saying that's a lot so i'm like okay i'm gonna put my stop-loss right here by the zone if it comes back into that area then this is just a plain loss it shouldn't even be dipping down here it should be pushing up but again when you trading around that time this is what nine nine fifty i mean not nine fifty nine thirty five pushed up gave me a little bit of profit didn't give me enough time to move my stop-loss to break even that's why i learned my lesson um on this setup right here so this is monday took a took a l and then i'm like okay if it happened again i move my stop-loss to break even because i learned my lesson from monday i'm like okay i could avoid that loss if i move my stop-loss to break even so when you when you're back testing and you're trying to evaluate your trades understand that you need to correct yourself the next set up like be prepared write that down okay if this happened again i gotta be prepared because we know how fast any seeds are moving you gotta be on quick on your own toes this is not for experience and give you time to think about something no you gotta be quick on your toes when it whoa scalloping let me say that scalping you gotta be quick on your toes quick decision making critical thinking skills because if you're not moving on your toes you will get destroyed and you already know what indices can do to anybody especially us 30. so yeah so once i learned my lesson with the monday i'm not moving myself to break even i did that this time and it saved me because you know i'm saying this could have been crazy and and don't let me have a mental stop-loss that would have been like a shoot like a 3k loss and that and i would have been pissed so um yeah these are my losses this is my losses i lost monday on um nas 100 i broke even on tuesday and then i then i won on tuesday wednesday i don't i don't i wasn't looking at no setups thursday one both on nas 100 and spx 500 and then friday i lost on spx and then i won on that 100 on this buy today so um i just want to say like don't be afraid to take sales on indices don't be afraid if it's a setup there and it's breaking structure pulling back to a supply or pulling back to resistance take it you know what i'm saying just take it don't think about it because if you're thinking too hard about a setup you're probably not gonna um execute as well because when you're not when you're not thinking and you take a trade just off what you see i promise you you'll start going crazy bro just stop thinking about it you know what i'm saying make sure you control your wrist but don't overthink it if you see that it's at a level and it's rejecting it and it's breaking candles get in you know what i'm saying like just get in don't think about it because you don't have time to be trying to see like okay is that is that valid i mean you you that's why it comes with practice demo this stuff first because when it's a real live market you don't have time to be trying to figure out okay is this valid like you know what i'm saying like no it's game time you cannot be trying to practice during game time it's over with so um i hope i got some value out of this video um this is how i back to us i always look at how can i do something better like i'm always walking through how i um think about the setup it's not so much to set up is the thought process like okay if i would have did this that could have avoided um me taking the l or um i gotta be more quicker on my toes or i gotta i gotta think a little bit more faster or um what did i do this morning like was i um stressed out was i thinking about yesterday's loss or you know what i'm saying like was was a cat up in here messing with me or something like something like that but you gotta understand that um you gotta look at the little things it's not just always the setup when it comes to back testing and um trying to evaluate what was going on because it can be your thoughts too like that's why i push psychology so much because um it's it's a lot going on in decision making when it comes to indices and and thinking quick on your toes it's a lot going on you know what i'm saying like you could be stressed out about something that have nothing to do with trading and it's gonna cause you to make bad decisions okay so um that's all i got in this video man don't i'mma say it one more time don't be afraid to sell indices if you see a setup take it that's why we wait for candles to break we don't always just you know i'm saying buy limits and sell limits a lot of y'all don't like buy limps and cell limits i personally don't like buy limits and sell limits you can get a sniper entry but it you know i'm saying what if it just blasts right through your buy limit and then you're stopped out like i don't really like that i like extra confirmation so um that's all i got on this video um what's i feel like do i gotta announcement i don't not not right now i don't but that's all i got peace and love [Music] you

Channel: Doyle Exchange

Views: 39,576

Keywords: doyle exchange, us30, doyle nas100, doyle fib, doyle market structure, nas100

Id: TrrhNfrsAss

Length: 17min 16sec (1036 seconds)

Published: Fri Nov 12 2021