Lecture Notes: Understanding Level Origins in Trading

Key Concepts

• Level Origins: Crucial points in trading that indicate potential breakout moments for coins.

  • Not about failing to gain a valley, but rather attacking the breakout point.
  • Important for identifying future breakout moments.

• Chart Timeframes

  • Focus initially on one-hour charts.
  • One-hour charts can build up to form insights on four-hour charts.
  • Switching between timeframes is necessary to understand origin levels.

• Identifying Origin Levels

  • Origin levels are created when a valley is attacked and fails.
  • These levels become pivotal for future breakouts.
  • Understanding these levels helps traders anticipate where a coin's price might move.

Process to Identify Breakouts

• Trends and Breakouts

  • Recognize trends in both local and global contexts.
  • Breakouts occur when origin levels are breached.
  • Breaking local levels often leads to attempts at global level breakouts.

• Examining Specific Charts

  • Switch between hourly and daily charts to identify key origin levels.
  • Notice how smaller origin levels lead into larger ones (e.g., hourly to daily).
  • Look for hard close gains at origin levels as signals for major breakouts.

Case Study: Tron

• Impact of Origin Levels

  • Tron experienced significant breakout due to origin level breach.
  • Despite continuous good news, the breakout was due to technical analysis.
  • Key was identifying the daily origin level and waiting for a hard close.

• Understanding Breakout Patterns

  • Weekly ranges can also indicate breakout paths.
  • Back targeting of higher levels once a main origin level is broken.

Tools and Techniques

• Fractal Information

  • Important to analyze across multiple timeframes.
  • Helps in visualizing the moments leading to large movements.

• Trading Community Engagement

  • Encouragement to join trading forums and communities for shared knowledge.

Further Resources

• Community Support

  • Engage with discord and other trading communities.
  • Consider supporting through donations to access more detailed content.

• Subscription Options

  • Patreon subscriptions offer access to exclusive trading insights.

Closing Remarks

• Continued growth and learning in trading are encouraged.
• Support the content creator through various means to access more educational material.
• Stay engaged in the trading community for collaborative learning and insights.