we talked about these points last week so basically what happens is you kind of think of yourself as as this this is kind of a weird analogy but we're going to go with it think of yourself as as a famous boxer right you know you're you're this famous boxer from spain but he knows you're a champion you come to america nobody knows who you are but you don't know the american boxing system right so so what you do is you go and you take fights out in back alley rolling fights and and kind of these nightclubs where you know if you win the fight you win 500 bucks a night and that's that's what you make so this is basically what i taught you to do right like a champion can easily go take those fights all day long and and make his 500 it doesn't mean he can step into the big leagues and make millions but he's already a champion he probably could do that but he needs to you know learn the system first right so this is kind of what we learned last week like we talked about some very easy information to ascertain right so just just a quick little go through here we talked about very easy information to ascertain right we have these whole levels and they're very very simple this is about the easiest stuff we could ever learn on the charts right you have your levels in here which were first touched you know if we look at the flow and the logic flow of how this happens right so this is going into data points which we'll discuss in a bit if you look at logic flow you have data points right you already have a tested set of hold levels against another test that set up hold levels so if this is tested and this is tested the next one down should theoretically collapse which it does and and then so we're just left with some very easy traits like i said the boxer kind of analogy where it's just like okay this this stuff is easy i've given you guys a way to make very easy trades great profits yada yada et cetera et cetera these levels here are about about as easy as they come so that's why we start where we do right at that point you know we talked about why this move was going to collapse and you know if if we do lose trend right this was that moment where we did lose trend the move just completely collapses down so so we had adapted this trend you know at first it was daily which i believe was right here but you know we can actually find the point that it actually was first it was right here actually i believe this was the weekly point we're very close to it so so at first we have the uh the weekly point right here which you can see over the course of the week you know you remember back when we talked last week on monday even you know mondays the tone of monday was okay we've closed this trend on the bottom side of it in a few days we could have a massive dump if we can't regain trend so we already kind of knew the consequence right so this is all about data points so this is why i'm going through this as you you'll understand when i kind of get to the conclusion here we understood what the data was telling us right like these these points of information are nothing but data on our screen so we have to extrapolate the relevance of what that data is telling us so so if we look at a very basic example with our trend here oh we we've actually wicked below the trend we didn't knife catch the trend and it didn't move up like crazy we actually moved below the trend we back tested that trend to make sure that the bottom side of it could hold so fine and a hard close adapter trend out right now so so then you would be come on where's the point here then you'd be right here like this you lose trend here over on this side so you can see when you lose trend the move is gone so you have the weekly you've adapted it to the daily so we already knew that the weekly trend was going to distribute us we already knew that once we start adapting into the daily the further we're adapting and it's the weaker we're getting right kind of almost the same thing as these whole levels right we start with the daily we move down to a 12 or four hour we move to an hour by the time you get to an hourly hold you're you're very close to breaking the move right you're extremely close to breaking the move data points tell us how to understand the information that's happening in moves right so so we kind of hard close these candles and then and then you know you could probably go to the moment where this thing loses trend comes up inverses off of this level so so if you kind of follow the trail of logic here right so you've got trend actually gets lost once again after it's been adapted at this point i don't think it was adapted here i believe we adapted it you know once it had garnished enough time through the trend rights trend loses trend inverses the level goes loses trend again back test it and starts to fall right through so you can see what the data is telling you like the data is telling you hey look even even here you didn't really hard close an hourly yet but then you hard close this hourly and after that it's just falls off off a cliff right so like the day you have to you have to be able to extrapolate what the data is telling you and and be able to read it as even if you were to move this trend here like this to here you would see the moment it punctured through even if you were closer to the hourly you know you went to the daily you could go to the four hour you go to the hourly you keep going down time frames until there's nothing left i'm sure you went down to uh i'm sure what happened is you went down to an hourly rate here and then here and somewhere five minute and then one minute and then you know after one minute it's just there's nothing left to hold it so you know if we go back and look at what had happened with bitcoin over here right let's talk about why bitcoin rejected this level because i know this has been a burning question in everybody's mind okay so an easy way to see this how can we talk about this right we're going to we're going to do something here what if we all to add the chart what does this look like this looks like the back side of a whole level right so so we talked about front side hole levels versus back side hole levels if it had hit this whole level right here let's go right here or oops let's use the drawing tool we we hit this whole level here or we hit this one right here what's going to happen is we are looking more to hold these levels right we know the back side is going to be a level of strength so it's going to bounce us like crazy and we know the front side's going to be a level of greed so so if we were to hit these hold levels we would hit them until we break this trend and then possibly we hit this whole level until we break this trend here right and then we move down because these these whole levels are our strength right it's kind of like the best entry prior to it hitting so strength versus greed right so the first thing we have to dictate here is okay we've got this backside link so so you know you just flip your chart and it very easily becomes oh this should be a big bounce moment if we hit this level and we bounce right off of it right so you know what we're going to do is we're going to kind of do the same the same trail of logic we're going to go and we're going to mark the four hours so we have the daily so let's mark this red [Music] so we're going to mark this one red okay and we're going to go and take this and mark this as a four hour so you've got you know a four hour a four hour level you have a daily level and then maybe let's go to the hourly or the 15 minute and see where the next hold is so you're kind of trailing down into what the the possible whole levels could could be right so then you have ah there's not okay well you've got a clear valley here but let's see if this is maybe also a 15. come on i'm trading views frozen come on trading view let me just click it a few times and it's going to go i want to see if there's something a little higher this seems kind of high if we go back to the daily what does this look like you're right there okay you know what that that works i'm sure there's a you know the next level down still seems kind of off daily next valley's right here let's just go with this whether it's right or wrong let's just go with it okay so that's fine so you have daily four hour and then your next down can we mark this as a one hour yeah only if we do it here okay we're just going to leave it and that's fine don't want to waste too much time looking for the exact level anyways that's fine so when we look at this level and and we say okay you know you you've got the back side of a lake here the uh the back side of a balance right you've got the back side of the leg here we'll get closer to this see what happens here so you do have the kind of the first bounce the second bounce third level gets hit i wonder if it goes after a fourth level even here too you can see it going after the holds uh-huh but this trend is already created you see so it actually bounces off trend so so actually if you were to just simply inverse this chart we know what the data points will tell us right so so you have data points these data points are telling you exactly what's going on in the move right if the back side of the leg is going to continue to hold it's just going to be about the greediest entry right once once you get to that part of the move that's the leg right here right you you've got the leg that's going to break the move right so so you have these kind of different set of holes on the back side of the leg so so if we know what's true about and we can delete these levels now that's fine just just shows the example of you know going after the greedier level the uh the back side hold versus the leg of the move right the front side here being the leg this gray level right here turn the blue being the leg of the move this being the whole level that's going to protect it right if we were to break this down again you know you are going after this level right here you are going after this break level so you can break the move and keep moving if we can't break that move what can hold us back right you have the back side of the lake here that holds you back so so we know that this data has a very specific logic to it right backside is going to have a large bounce front side is going to have a greedier level that needs to hold over time right so so we know that the data is telling us what it you know exactly what we're doing so actually if you simply just went and inverse this chart you can actually see the back side of like very easily here so so when you when you're looking at this and saying like oh well you know why what ensued this move the rejection of the back side of the slate constantly and and the greedier entry on the trend that happens i guess it was on the hourly yeah so so the trend here was already created you see your trend was already created and it hits the kind of the perfect level the greediest that could be so kind of you know the holds of the move didn't work the trend actually hit this level to perfection and then so we have the levels that we talked about before right where you're kind of catching a falling knife okay so this is where it becomes very interesting because now you've got data points and again data points um you know just to explain this one more time data points are the information that we extrapolate off of the pieces of the move again first we learned how to just take this easy stuff like here here's a data point this is 76 36 that's a data point from the past this is telling us we should bounce off this level because of reason x right so fine we do and then and then you have the other levels that we bounced off and we hit two or three levels in here you know the next one i believe was an origin level here somewhere i it was something in here let's go to the four hour i can find it trading views being no fun so you have that there and then maybe possibly something like this here don't want to waste too much time finding levels and so fine we're just going to go and hit that next level oh we fell right through okay so let's actually go back to here because it's skipped too far ahead okay so you know finding the next level not important for now but anyways we have the one level and and this is what's happening right now right so so you create this right here so you create your first trend like this and it's going to have its own interior trend like this right so you're going to have trends that are being compressed for you know trend to trend to trend this this form of compression right so this is going to be kind of interesting because we're going to be talking about some stuff in future trading so you have something like this and and what are the data points telling you so far the data points telling you okay it's trying to hold the move you're still falling into distribution and until you hard close trend right there until you hard close trend you have something very specific happening so so this is something yeah that you're gonna be seeing in future of trading this is your one your two to find the three right so you can go to four hour level see where this kind of valleys are which is a cycle right what you're seeing is potentially the beginning of a cycle so so you have to understand that these data points you have two two marquees here you have either the inverse level which is right here right you have inversion of the move here and you have the top of the move here so the inverse level was already hit so so we can expect to go to the top of the level if we do we create our one two three which is kind of the beginning of a cycle right you hit this level here that's the one the the hold of the move you break the trend you go after an origin level to create a new trend which gives you your three point which sets up the breakout in the future right so this is how you would have seen cycle starting in a move like this is where you're going to see accumulation happen so so we've already inversed that level let's see what happens next we actually able this this trend doesn't exist yet so oh this trend does exist sorry this one doesn't exist anymore so you're trying to create a cycle here right let's see what happens you actually hit that level perfectly so now you've started to create a cycle right so what we're going to do is we're going to take this we're going to go to a very thin thickness we're gonna go here like this wherever this has its pullback is gonna create our our four break point right like this right i'm sure this is the pull back here yep that creates your four break point so so you've actually started to create a cycle already right so so this was the one because because this is where the uh the stem of the move is starting so that's your one or your first break move your one is the touch of the hold level your two is breaking the move your three is creating the breakout point for the future your origin level you can see here how it creates an origin level turn this up in thickness right we're going to keep adding thicker lines as time goes what you're seeing in the moment is the creation of a cycle right so so you know that as of yesterday kind of the big moment in the charts is this level right here this level right here is going to give you your breakout and you're going to start to confirm accumulation so again data points it's all about extrapolating what it means right so let's just go walk through this again we come back we hit a hole level right we actually break the the trend of the move right here the inverse has already hit so we are expecting this to just fail down so in this moment actually we can look at this and let's rewind it a bit we can leave all our levels we can we can rewind this and we can even look at the inverse levels now on on smaller charts like okay that inverse the move there and you already have a wick above it so maybe let's go to the 15 minutes the set inverse the move here actually it inverses it perfectly it actually inverts the move perfectly and you could even use the 15 minute value if you want a little more accuracy it actually inverse the move perfectly so it's actually still laddering down there is no kind of easing off the gas pedal at this point because they're data points right they're telling you what's going to happen they're telling you that okay this is going to inverse the move here this comes down it inverses the move there it comes down it inverses the move here and it's just continuing to inverse this move all the way down right like you're just not letting up you're constantly inversing a move until you come back and attack a valley so so these like again the data points this is just telling you it's still in failure until it ends up breaking a trend right so we can go and kind of work through this it hits that again pulls up and i wonder if it's going to hit the valley here doesn't quite hit the valley i'm almost wondering if it inversed off of a little micro time frame inside of here even so we're going to take this one aha inverses off the micro time frame still not quite there right we're still not quite there we're still oh we're in failure he's still in this really you know unhealthy moment that hey everything is in failure still and so fine you know you end up holding the move long enough right pandora is boxing the move long enough to break that first trend which we already have deleted on the chart and it's you know at this point here where you're still attacking that trend and you can see how over time it's you know touching the trend rejecting touching rejecting touching again you know now you're laddering up and hitting that same inverse now you've actually had one ladder up you've hit the inverse i don't actually wonder if you come back down now even test this which looks like okay it already did so it already came up tested that level there i wonder if you actually even come down to here either way you're still laddering up right so you can see how these points of data are giving you your information right at that point you've hit it again [Music] finally broken trend where you can take your move right you've finally broken trend and you can take your move right so so we can just go back to the other time frame here step through a few candles and it gives you your origin point again data points right what are they telling you and and this is what we need to now start understanding when it comes to holds and breaks because again all i taught you guys last week was something very simple was just hey here's some pretty spooky levels and why they work right but now we're gonna do that same thing on on smaller time frames but we get the information versus understanding what the data is telling us so now we can look at this and we can say okay now we have kind of this next point so we have our one which is the catch of the support from behind the two which is the break of the first trend which creates our three which is uh you know one of these two trends we'd have to break it down in time it's probably this one here yeah this is the hourly so you can see how trend is compressing it right against the whole level here again if this holds through trend now we've already started a cycle so we can talk about this moment like oh okay we've started a cycle we've confirmed that we're going to hit support we've broken a trend we've created an origin level so we've actually done a lot of the work to create the tone of this move we've created an origin level right so we've created our origin level for the future i'll spell it right that'll help we've created our origin level what else have we done here we have found support support of the move so we must ladder off this point right we must continue to ladder off of this point here we've created our three which is our first swing which is going to create the four which is the break of this trend here which technically if this trend breaks then we should be laddering up against that origin again right so so now we're creating the four and the five and eventually you're just going to create oh you've also created trend right so you have this like this trend so you've created all this data on on on your screen because you've created this trend here the the base support to the distribution candle so you've created trend so so you can see how you're creating these points of data that's telling you what's happening and meanwhile it's just kind of like oh yeah this is basic it's a cycle but the data points are showing you what's happening next so so now we have the story of what's happening we have an origin level we are trying to create an accumulation cycle we are successfully doing so right as long as we hold the move so let's see what happens still reject trend we still reject trend adapt trend out right so we still haven't swung up so we can adapt trend to here and it might be even be a smaller time frame trend you know this was kind of a warning sign that this move might be breaking because all of a sudden remember how i told you guys trend is accurate a trend will will exist until that moment it goes straight so even if it's right here even if trend is you know a small ladder off of it it can still exist and it will until you break the leg of the move and here we break the leg of the move so we actually broke our cycle this is now gone right this origin level is still there that's fine this is no longer a three there is actually uh support is now here so actually now we have to kind of move this to here right now we have to make a new trend a new three we actually don't have any of that what we have is just a single origin level right so then you know you come back again same thing you're finding lower and lower supports right so you're just you're just laddering down off this move still so what looked like it was a successful trend broke right here so accumulation was dead in the water right here when you actually broke your origin creation which was attempting to create an accumulation cycle you actually broke the move right so then actually at this point it's not much further that this goes down so and then you know even if we want to take away all of this stuff here so so even if we were to just dumb this down to to kind of really be uh simple here like this let's go like this delete all that stuff weird to dumb this down to be to be real simple here you know what we could have saw in this move we simply could have seen another data point tell us what's happening on the move which is the inverse here and i wonder if there's even a better inverse to go off of here so let's walk through the trail of this okay we don't need this level anymore okay so this inverse here that gets hit it pulls the move back so where's the leg of this move that's how we would start by identifying this leg of the move well okay you can see the origin here the inverse here gets hit perfectly fine this is going to be pulled off of perfectly fine and it happened and that actually falls a bit short i wonder if there's a different origin here there's uh we're not sorry not origin inverse level doesn't look like there is it looks like it was just front run a bit you could say it's right here or you know you could you could assume it's one of these levels but you know in the moment here i'm looking at this and this is the start of right here and it doesn't quite reach come on it doesn't quite reach this i would simply look at this as here's the inverse level and it doesn't hit and it starts to pull back off of it right you know if it simply can't hold this part of the move right here if it simply can't hold this part of the movie you know you're you're dead in the water and you know where's the actual origin point is right there so if you can't hold this you're kind of you know dead in the water you've got this front side leg but you've already you've already broken all of your points of data from from before right like you've created this you've created the cycle of accumulation you attempted to hold this move and and it did attempt to go into accumulation in this moment it did it did attempt to create an accumulation cycle and it failed so the moment that we have right you you have this attempts to make a one it fails this attempts to make one it succeeds because it breaks trend and actually does create an origin level so this is the moment where we're saying okay this is possibly creation of what could be accumulation if this gets broken remember what i told you about trends again we're just gonna go through this one more time and what i told you about trends as long as you're not flatlining you're good you can even create a trend like this and it's good and that's exactly what happened i think you created that first trend somewhere on the hourly candle here down to this point and it was still a trend that's fine it's it's still a trend but the next candle down it breaks the move so it's almost like when when this gets touched this yellow line gets touched which is this right here you know you could either see this as oh it's touching the whole level again or you could see this as what it really was was oh this is an accumulation cycle so if we're going to break out of accumulation we're going to do it off this whole level which means we have to create a ladder we have the ladder from here to the next point which even if it's here it's fine it just makes it a long term trend that has a long time that it can build support to break this move right like you can just see this fray out and you know it can ride this level all the way to the all the way out here and that's fine but the moment it breaks what is that data telling you it's telling you there's a failed cycle here there's a failed accumulation site so if that's true then should you not just be looking for the inverse of the move right so there's no four hours so so what does the one hour look like there's not even really a one hour there there is and it's right here that already gets hit this is the untested one hour somewhere in here right and that's the ladder from you know whatever point up here and it ladders to here and to here and then to here and so your data points are telling you right they're telling you fine i just marked the base of this candle but it was actually a little higher we know that it didn't quite get hit and that's fine it you know guess front run or maybe you know people are too spooked because they see the accumulation cycle break or or for whatever reason it happens and then we just fall off a cliff to right to the next level right we fall off a cliff right to our next level that can hold it