Traders welcome back I want to start by asking you all one question in 2025 if there was one indicator that you could learn that could give you profitability in the market what would it be a lot of Traders they point to this thing over here right they they they talk about the power of three indicator by two degrees right and this is an indicator I am going to speak about is the daily power of three that I use or the 4H hour power of three and this is very good so let's quickly go over the indicators of this right so a lot of influencers out there are using this to to their advantage right so how it works essentially is you've got the daily I use a New York midnight opening price and these are my settings so you can pause the video maybe screenshot and have a look at these right but this indicator alone is not going to make you profitable right now from here I've kind of screen replayed this and I'm showing you a fair value Gap from the New York session this was actually the market open 230 UK time which is 9:30 Eastern now when price comes back into this Zone we looking for an entry right so price here is hovering just above and we're going to be understanding how you can use orderflow to your advantage to get into this particular trade right so as you can see price comes in and then we have a retest and price really begins to Rocket so from here this was roughly entry I mean you want to be trading at the level with a stop loss just below the level low right the level mitigation and your first Target is going to be over here this is going to be your first Target but ideally you want to be going for twos and threes all right this trade again really had um high potential which I wasn't able to catch myself um to that level anyway but this trade really panned out we are going to discuss how you could have taken advantage of order flow at this area so we're going to be dissecting price in this region in this region and in this region right so these are the three regions we are focusing on as an orderflow and ICT Trader and the way we do that is by coming on to this thing here so this is the same chart on NQ and we're going to be dissecting again what happens over here over here and over here right so when we come into a fair value Gap there's essentially a few things I'm looking for this video I'm really going to really begin to sum it up in a way that Traders can understand when we come into a bullish fair value Gap we want to know that aggressive sellers are not being rewarded so when we come into a bullish fair value gap which is essentially what we've come into over here right so price over here is coming to a bullish 15 minute fair value Gap yeah have five 15 minute fair value Gap what is happening in these circled regions well let's let's kind of break this down let's start over here what we're looking for again for those who have seen the previous videos we are looking for aggressive sellers to come into the into the zone so it's really interesting when you look at this candle over here this candle is very interesting so of course we have the left and the right number we have the bid and the ask so the bid represents aggressive Sellers and the ask represents aggressive buyers now for those you have not seen the previous videos I highly recommend checking them out because that will give you an insight as to the basics of orderflow so I'm not going to be going into the basics over here but I'm going to be dissecting what's interesting as a Trader that you should really take on board the first thing is when we have a massive red candle over here we actually have a ton of a aggressive buyers over here as well this is really interesting to understand that even though we have a red candle with a lot of heavy selling momentum we have aggressive buyer showing up here aggressive buyer showing up here that is the first sign that we could see a reversal from this area because we're seeing aggressive sellers being met by aggressive buyers that is the most important thing now from here as price comes into the Zone it's what's even more interesting is that yes we have a lot we have a ton of aggressive sellers over here right this is shown via the Delta let's zoom in and understand what we mean by this right we see a lot of red Delta over here let's quickly read the numbers right we have 16 2 for 36 and we have 440 the same thing happens over here with this red candle we see majority of the Delta is red now to quickly go over the Delta once again the Delta is essentially the ask minus the bid so when you have a red Delta this means that the bid is negative which means that there's more aggressive sellers than there are aggressive buyers now think about this from a trading perspective when you come into a bullish fair value Gap and price is aggressively selling off but the market can't break this zone right cuz remember the zone is over here again if we go back to the regular Candlestick chart the zone is over here so what you're seeing essentially is you're seeing a ton of aggressive sellers within this region this region is full of aggressive sellers over here now when we go back to the footprint charts we're begin we're beginning to dissect this as a shift of the Delta a shift of aggressive sellers to aggressive buyers so what we're seeing is aggressive sellers fail aggressive sellers fail aggressive sellers have failed to take price lower and price is actually broken Above This Zone this is the first sign that the fair value Gap is strong so one strategy you could use at this particular area is once you've seen that aggressive sellers haven't held over here you can position yourself for a long trade over here right so you can have a stop loss below this area and you can Target this High over here for a nice 1 to 1.5 or even a nice 1 to two hour trade that is one way you can trade the markets and that is a very profitable strategy now let's understand how you can take retest entries because this this trade Unity was really good on ES and NQ you had a second trade over here and you could have you could have had your stop loss slightly above right that was one entry you could have taken and you also had a third entry which is over here at the level as well you can have the same kind of stop loss over here so these were all fantastic trades that played out right this one this one and of course this one they all played out now the the trick with this trade is to understand what was happening in this region and this region and this is what going to break down in the markets right now on the footprint charts so on the footprint charts as you can see price breaks out of this level over here so we see a lot we see a ton of aggressive buying step in now as price comes back into to retest this area we have a ton of aggressive sellers so at this point we have established that aggressive sellers have failed to drive price lower this is what confirms the fair value Gap to be strong right this is a strong bullish fair value Gap and the reason we know that once again is because of this Delta and what I want traders to understand is that we cannot predict this information simply by using candlesticks right this Candlestick this Candlestick they're not telling us who's actually aggressive and who is passive so what this means I want traders to understand now we had a lot of aggressive sellers in this region right this was a lot of aggressive sellers we had a lot of aggressive sellers in this region now this here is what we call absorption right when we see a ton of aggressive cellers within the particular region right the cellers in this region were being absorbed none of the are being rewarded and we can see that via the footprint charts because the footprint charts essentially tell us that we have tons of red Delta with no reward and what's interesting is that we see lots of we see some aggressive buyers that are creeping in over here we see aggressive buyers aggressive buyers so this is showing us that sellers are struggling sellers are struggling at this fair value gap which shows us it is a strong fair value Gap so when we go back to the um regular price action chart if I replay price we talk through this candle by C right so again we're looking for those aggressive sellers to come in price comes in these were tons of aggressive sellers again aggressive sellers but were they rewarded no they weren't rewarded and the reason they were not rewarded is because we have failed to break this level right price has come in we've kind of retested we've kind of mitigated this level and we've headed higher so when you break this price action down from a footprint chart perspective you can begin to see how the aggressive sellers have failed this tells us that the fair value Gap is strong and we should be looking for buys we also get extra confirmation over here as well this is the second entry you could have taken let's take a look at this aggressive sellers into the Zone aggressive sellers into the zone and they were met by aggressive buyers so when we see tons of aggressive selling down here we see 20 for zero so there were 20 aggressive sellers with no reward this means that the buyers are very much in control and that's something you see and that's something that's reflected by the footprint charts so your first entry could have been the first break above the level that was a good entry now the second entry which is what we get over here price does come in but price breaks to the upside so we see two large buying candles after aggressive selling has failed and that's exactly what we see over here it's the same candles over here aggressive selling is not being rewarded now if we understand things one more time in terms of the buyers and sellers let's quickly clear up the chart a little bit as price comes into this area right as price comes into this area it left a 5 minute imbalance right this is the 5min imbalance over here this right here is a 5 minute inefficiency or a 5 minute imbalance we are looking at price in this area so if we just continue to play price on we see a break above this area and we're looking now for a retest so price comes into this area before breaking higher so I want traders to understand one thing right when you see price action like this right when you see a large Wick over here when you see a large Wick like this we are going to be dissecting and understanding what this means right you are all going to walk away understanding what this candle actually means now this candle was represented here right this candle was represented here pay attention to this candle I want traders to understand how interesting this is right this candle over here first of all we had a zero at the bottom what does a zero represent right I was answering some Instagram DMS about this right so but zero on the bid right bid and ask a zero on the bid represents that that there's four aggressive sellers in this case and no aggressive buyers so think about this if there's no aggressive buyers but the market moves up this tells us that the buyers have to be in control because if there's no aggressive buyers hitting the ask and the market still goes up this means that there's a ton of passive buyers sitting there and this is the difference when you see a fair value Gap you're looking for more passive buyers for a bullish fair value Gap you're looking for more passive buyers than aggressive sellers if you can understand this you can you will be a profitable Trader there's nothing holding you back it's about understanding the order flow and how to read it with fair value gaps this is the most important thing and the other interesting thing is yes we've had a red candle over here with a massive Wick but this Wick was full of aggressive buyers you can see there was more aggressive buyers than there were aggressive Sellers and you can see that via the colorcoded Delta so when we head back to the regular regular Candlestick chart which is what we're all familiar with right this here was a fantastic entry you could have taken right you want to have your stop loss just below the wick and you want to be targeting the highs right so you understand we have a we have a trend line liquidity form over here you want to be targeting the highs over here that's a 1 to two R trade right just from over here 1 to 2.5 depending on how you managed it now this trade of course rallied to the upside with huge R multiples but the main thing I want traders to understand is that they were more aggressive sellers than they were aggressive buyers and that is the reason why price moved up it is not power of three it is not for liquidity or time or anything like that it is the fact that there's more aggressive sellers than aggressive buyers at a fair value gap which means that passive buyers are stepping in to drive price higher so when there's more aggressive sellers than aggressive buyers and the market fails to move down this tells us that there's passive participants there's passive buyers that are present willing to move price higher and that is the that's kind of the backbone of order flow that's kind of the backbone of how I trade right nothing held back so again if you are interested in order for an ICT ICT I've got a free guide a free checklist so comment the word checklist on in the comments and I'll be more than happy to forward that to you I'm also offering free one to one session within price action labs for anyone who's interested so if that's something that interests you again hit me up in the comments and I look forward to hearing from you and I look forward to seeing all of you in the next video