CRT secrets 3: The journey

Welcome to Episode 3 of CRT Secrets

Introduction and Setup

• The host welcomes listeners to episode 3, encouraging them to prepare for the session with a drink and writing materials.

• A common question arises about which candle to trade; the host emphasizes focusing on candle number three during initial trading stages.

Trading Strategy Insights

• The host advises against trading every price move, likening it to driving a car at top speed, which is unsustainable and risky.

• While all three candles can be traded, it's recommended to wait for candle number three or cautiously consider candle number two due to its potential for marking reversals.

Analyzing Candle Movements

• The discussion shifts towards understanding the journey from candle two to candle three, highlighting the importance of analyzing both higher and lower time frames.

• The concept of two-time frame analysis is introduced as a revolutionary approach in technical analysis that combines bias from higher time frames with entry points from lower time frames.

Risk Management and Trading Advice

• Complaints about traders blowing their accounts while trading candle two are addressed; poor risk management is identified as a primary issue.

• New traders are encouraged to practice with candle number three while observing candle number two until they gain sufficient experience.

Anatomy of Candles

• The anatomy of candles one, two, and three is explored; accumulation occurs in candle one leading into potential setups in subsequent candles.

Understanding CRT and Market Structure

Key Concepts of CRT

• The fixed price moves discussed include "turtle soup," which is consistently present in trading scenarios, alongside model number one, breaker OT, and the kiss of death turtle soup.

• Traders will encounter multiple CRTs (Candle Reversal Techniques) throughout their journey; it's essential to familiarize oneself with these patterns over time.

• The video serves as a resource for revisiting concepts multiple times to grasp the overwhelming information presented about market structures and trading techniques.

True Market Structure Shifts

• Every CRT inherently includes a true market structure shift, marked by specific indicators like turtle soup and breakers.

• Future episodes will delve deeper into the relationship between time and CRT, expanding on these foundational concepts.

Candle Journey Analysis

• The journey of a candle from accumulation through manipulation to target levels is crucial for understanding market movements.

• A live example of a weekly CRT was called out on Twitter, showcasing real-time application rather than theoretical knowledge.

Trading Insights

• Observations during lower time frames reveal critical elements such as turtle soups at lows, true market structure shifts, model number ones, and kiss of death turtle soups before reaching the high target.

• An analysis of how predictions were made regarding currency movements emphasizes the importance of understanding higher time frame trends leading up to significant price changes.

Practical Application in Trading

• In practical terms, traders should look for specific signals on lower time frames that confirm their strategies before entering trades.

• Visualizing previous diagrams can aid in comprehending current market conditions; patience is encouraged when analyzing charts for better decision-making.

Conclusion and Future Directions

• The session concludes with an emphasis on being both a trader and mentor while sharing insights gained from personal experiences in trading.