Boys we're back with another video and today We're just going to get straight into it. Failure breaker structure example. And this is coming straight from the mind.
It's not coming from anywhere else. So, I'm not reading off a script. I'm not looking at paper or anything.
Straight from the mind. Straight knowledge. So, let's get straight into it.
Example for failure breaker structure. Nice and raw. We're raw doing it today.
So, 30 minute breaker structure over here of course. With this. we get a new high right obviously there's a protected low as well the lowest point and structure before putting in a new high so obviously we get that 30 minute new high order flow is still bullish we're still putting in new highs and we'll still respect demand so as long as we're respecting demand and we're putting in new highs order flow is bullish if we're respecting supply and putting in new lows order flow is bearish right so the contrast between the two This is a fail break structure.
It was a regular break obstruction beforehand. Don't get me wrong, right? So obviously it would have been a new low being put in over here, right? Because price came in, tapped in lower, right? So we put in a new low here, but because we respect a demand from our original structure break, and we confirm off of that demand zone, that could be with one second, three second, five second, 50 second.
15 second confirmation or a rejection candle confirmation, whatever your confirmation is, as long as we get that. this demand over here then that's when it becomes a failed break structure because the structure that's failed becomes inducement becomes liquidity for that demand zone below and you guys can clearly see it here we refined this demand POI so we refined it if we use the whole candle over here it wouldn't have worked with the inducement right so that's why we collect data on different demand zones and supply zones with refinements and different criterias because we can see what works well for us and i know this refinement works well because i'm refining from the body lower any refinements from the body lower usually works well for me because it's unmitigated right it's the unmitigated portion of the candle so as soon as we confirm off this demand py over here then we can put in the fail breaker structure and we can see that the lows of the fail break structure became liquidity for the demand zone below so there was a sweep we tap into the original demand and this demand is high probability for me as well because it is an engulfing candle so as long as golfing candle compared to an inside bar usually higher probability for me right so obviously tapped into demand, valid demand with the refinement so we're meeting our criteria we have structure 30 minute bragging structure to the upside with 30 minute protected low, lowest point in the leg before the new high and with the fail breaker structure that's a regular breaker structure right at the start and remember what i said before for us to have a complete order flow shift because that's what was happening we had a new load being put in here and then there's a potential order flow shift right because we're waiting for price to pull back and respect supply And then continue down low alright? Change your character, whatever you want to call it.
But we're one step ahead because... we know how to trade this sequence of price with the fail breaker structure. So it won't throw you off if you wait for the right confirmations. So it would have been a breaker structure to the downside over here. But because we're respecting original demand, that's when it becomes a fail breaker structure.
Because this doesn't come out a lot. Maybe 20-30% of the time, I'll have a fail breaker structure entry model. So basically...
because we respected this that's when it comes in and that's when we realize that's when it becomes evident that all of this here is inducement it's liquidity is barbecue chicken that's what it is yummy greasy barbecue chicken so obviously all these retail trades get taken out here whatever you want to however you want to look at it right and then we tap into here seconds entry confirmation that could be with the one second three second five second 15 second Whatever you've collected data on, whatever works for you. Could be a rejection candle. Could be your mum saying, buy now. I don't know what your confirmation is, but as long as price is respecting that demand, and it's within the- 30-minute break structure and the 30-minute protected low that's why I say within the original structure because this is the structure that we're trading from we're trading from a demand zone that's below the 30-minute break structure and above 30-minute protected load that's where we're looking to trade from and this is a type of continuation as well it's a type of continuation It could be a reversal because break structure to the downside.
Okay, cool I have a break structure to the downside Let me wait for price to pull back into the supply to head down lower But it never comes and then we get another break structure to the upside, right? So we get another break structure to the upside And there's no entry for shorts So what happened all along it was a continuation? pretty much liquidity being generated taken out and giving us some form of continuation to continue the trend up that's exactly what it was so i used to get tripped up on this sequence price a lot I'm like okay I tried to go for a continuation off here because there was a protected lower over here and I got taken out okay it must be a change of character so what happened I tried to try to trade the reversal and I ended up getting taken out as well so I got taken out on my longs on my shorts why am I getting spanked well it's because it's the market fiddling with you and it's liquidity but i was able to create an entry model based around the you know obviously it's not going to come most of the time most of the time i get my regular continuation model but with this i failed break structure we're able to spot it and we're able to take advantage of it so that's pretty much all it is have your structure marked out always market your structure and obviously when price does this market demand zones that meet your criteria that's the thing I mark out zones that meet my criteria And if they don't meet my criteria then I just leave it but Zones like these I'll mark it out because this inducement directly above it there's potential here for a fail break structure and i don't like to predict a fail break structure because most of the time it is just an order flow shift and we get a new low and then we respect supply and then we come back lower but there's still opportunity here that's what i'm trying to show you guys so just wanted to come on here give you the knowledge uncut nice and raw raw dog in it Hopefully you guys enjoyed hopefully you guys learned a little something from this example, and this is a 30 minute break structure as well 30 minute for break structure.
So we're 30 minute break structure 30 minute for break structure It's not Rocket science, price is fractal, what happens on the lower time frame will replicate over to the high time frame. This is not exclusive to the 30 minute time frame or the 15 minute time frame, could happen on the 4 hour, could happen on the daily, could happen on the 1 minute, 3 minute, whatever you look at right. Price is fractal, what happens on the lower time frame will replicate over to the high time frame.
I'm sorry I'm speaking a little bit fast but hopefully you guys are understanding. But there's different variations of a fail breaker structure. It doesn't have to be like this.
I've taken fail breaker structures off in balance. Off 30 minute zones, 15 minute zones. Unrefined zones. Off a protected low instead of a demand zone.
So you can play around with this. But I just want you guys to understand the concept that this does happen. from time to time in the market and it's good to know how to deal with it so if you know how to deal with it and it's in your toolkit it's in your arsenal of weapons happy days right i'm not saying that this is going to happen every single time in the market it but when it does happen you know how to deal with it it's an entry model you know how to deal with you're not just gonna be one-dimensional like you know Shaquille O'Neal you're gonna be stuck in the paint can't shoot threes you know get clamped up and shit so that's how I view it entry models for different situations with different sequences of price I hope you boys enjoyed this Enjoy the rest of your day. Happy Easter.
Love you all. Peace.