Lecture: True SMC Concept Trading Hub 3.0 - Chapter 1

Introduction

• Welcome by Khan to True SMC Concept Trading Hub 3.0
• The series covers True SMC Concept in detail, easy to understand
• Recommended to watch and understand each part sequentially

Key Concepts to Learn in Chapter 1

• Pullback: Understanding how pullbacks work
• Impulse: Identifying impulsive moves
• Correction: Understanding and identifying corrections on a chart
• Importance of structure mapping
• Identifying inducements in Smart Money Concepts (SMC)

Impulse and Correction

• Impulse Move: When the market breaks the previous candle high
• Correction/Pullback: Occurs in a bullish market when the previous candle's low is taken out

Valid and Invalid Pullbacks

• Candle color does not determine the validity of a pullback
• Valid Pullback (Bullish Market):
  • Market must take out the previous candle’s low
  • Examples of scenarios on diagrams provided
• Valid Pullback (Bearish Market):
  • Market must take out the previous candle’s high
  • Examples on diagrams explained
• Invalid Pullback:
  • Market does not take out the previous candle’s high/low
  • Does not create new high or low

Importance in Structure Mapping

• Mapping structure is essential for taking entries and identifying key points (PY)
• Helps in understanding where inducements are
• Used in entry point verification during lower time frame analysis

Real Chart Examples

• GBP USD 1-minute time frame examples
• Identification of Pullbacks:
  • Marking the previous candle high/low for validation
  • Various scenarios of valid and invalid pullbacks on a real chart

Summary and Final Notes

• Valid pullback identification is crucial in SMC
• Essential for understanding structure and making informed trades
• Encouraged to refer to the Trading Hub 3.0 eBook for clearer understanding
• Discussed bullish and bearish market examples for identifying pullbacks
• Emphasis on pullback as the backbone of structure mapping in SMC

Conclusion

• Next chapter will build upon these foundation concepts
• Importance of thorough understanding of pullbacks for effective trading
• Happy Trading!