OTE Pattern Recognition Series - Vol. 05

Introduction

In this section, the speaker introduces the topic of optimal trade entry pattern recognition in the context of the e-mini S&P June 2020 contract.

Optimal Trade Entry Example

• The speaker discusses an example involving the ESPE revolving around the previous week's Friday high.

• An opportunity to trade into that level is highlighted, resulting in a movement of over a hundred and thirty handles for the SP.

Bearish Market Structure Analysis

• Analyzing a bearish market structure leading up to May 13, 2020, with a focus on targeting the previous day's low.

• Detailed examination of liquidity below the previous day's low within the New York session for setting up trades.

Optimal Trade Entry Strategy

• Discussion on entering at 2865 with a stop above the high and trading down to the low for over 30 handles on SP.

• Explanation of taking partial profits at plus 50 handles and projecting further down based on range analysis.

Liquidity-Based Trading Approach

• Emphasis on liquidity below previous day's low as a key factor influencing price movements rather than Fibonacci levels.