[Music] so [Music] welcome everyone this is raja banks your host of the new york future live streams and welcome to one of the best well i would say yeah one of the best forex education channels on youtube right now so what we will do now is we'll do a short uh presentation on uh the difference between an exhaustion wick and a wick fill these are very very two important concepts and i think a lot of people you know they confuse between the two so an exhaustion wick is basically a market structure where candles are rejecting zones and that's where you see probable reversals in time frames right a wick fill is a direction where the market is heading right if you got a wick fill the market structure is going to dictate that that wick is going to get filled whether price is moving bullish or price moving bearish right an exhaustion rate is going to be a a representation of candles or market structure which will let you know that okay now we're going to have some sort of a retracement or we're going to have some sort of a reversal so on and so forth so let's go into it what is a wix field right so we're gonna identify what a wickfield is now basically whenever you have an uptrend right let's say for example we have an uptrend we have an uptrend and we have a candle that's closing like this right it's closing like this and someone can turn around and say okay you know what we have a bullish candle closing and if you've got a bullish kind of closing this means that there's a higher probability for the next candle to continue bullish and fill this wick right over here or for example what you might see is that maybe you'll see like you know marker structure to the left hand side and price moves up and leaves a wick right here then we have some sort of retracement and yada yada yada and then you have candles forming bullish again right and someone can turn around and say okay you know what since we have an overall uptrend and price is creating supports at this point there's a very high probability that this wick might get filled right now what does this mean when you look at market structure or what does this mean when you look at like you know the candles themselves so this is what happens let's remove all this right so we've done this before so basically what this candle is you have to see what kind of a candle structure you have once you have a candle closing bullish like this right so what happens here is let's say this is a four hour candle if this is a four hour candle we got to break it down into four one hour candles so probably the one our candles may look something like this so we have a bearish candle right here making this lower wick then we have a bullish candle forming one two three and then maybe you know we have another uh bullish candle that forms like this so this could be our perfect four hour candle and this is a breakdown of the one-hour candles right so now before we do this you have to understand what is the anatomy of a candle what does the candle have um most of the times when it forms right so whenever a candle forms it has a lower wick and it has a bottom wick when a new candle starts now we're not going to go into what if scenarios we're not going to go into oh what if canada has no lower rick what if a candle has no top wick what if this what if that because if we go into the scenarios of what ifs they are infinite amount of what if so we're just going to go off a very basic principle right so bear with me the next candle is most likely to create a lower wick right perfect anatomy of a candle and if this is a four hour candle and let's say you're looking at uh gold right let's say you're looking at gold if you're looking at gold and this and if this is a four hour candle you know that on a four hour this week maybe around you know let's say 35 pips if this is a 35 pit wick this means you have an opportunity to have a wick fill which also means that there's an opportunity for you to grab these pips if this is 35 pips right so on the one hour time frame it may look something like this like let's say a candle closed right here now you have a bearish candle going down creating like you know whatever like a retracement you have another um like you know a candle bearish going down right here one two and then you have let's say a bullish candle forming so now you've created a sport right you've created a support at this point this is the low this move down is the creation of a lower wick on the four hour time frame once this lower wick has been created right and if price starts flipping bullish at this point this is the scenario where you see okay first you need to identify how a support is formed a support on the one hour time frame or a 30 minute time frame is formed as you have a bearish candle followed by a bullish candle that means a support is formed so if a support is established and if the trend is bullish you have the four-hour candle with the waco over here mostly what they're going to do is they'll see they'll see the support they'll know that the next candle has a higher probability to continue up they'll know that right but what's going to happen you're not going to execute you're going to say oh let me wait for the candle to break the high or let me wait for another confirmation and while you have these doubts in your mind while you start thinking and overthinking that okay i should just wait a little bit more i should just like you know wait for another candle to form what's going to happen is as you're waiting the next candle moves up we fill this range on the one hour time frame and on the four hour this becomes a wick fill right so don't be afraid of execution right there there are moments what will happen is that price will retrace it will break this low before even moving up or even going up we may get candles form like this right and price starts to go down and the 4r candle looks maybe you know for our candle looks maybe something lit something like this going bearish in an uptrend this may happen um the probability of this happening is very very low right but the probability of price filling this wick is high so whenever you're looking at wick fills you're making sure that you're trading the potential wick fill in a trend whether price is trending up or price is trending down next thing right that was point number one point number two is always look for wick fills when there's volume in the market now when do we have volume in the market we have volume in the market at uh pre-london at uh london open uh pre-new york and new york open and then you have like you know nyc and london close so these are the points where you have a lot of volume in the market you got to keep that in mind always aim for wick fills when you have volume in the market right and of and the third point right third yeah the third point is a wick fill is probably going to happen most times when you have a body and the body is bigger than the wick right so this gets me to our second topic of this video which is going to be exhaustion wicks right so let's take a look at that right here just bear with me while i remove all this you know a lot of you people are looking at my shirt which says einstein trust me i'm not einstein i just look at the markets a lot i just look at the candles a lot i look at the market structure a lot so you know anyway let's take a look at exhaustion weeks right so what's the definition of an exhaustion rate the perfect definition of an exhaustion wick is or a exhaustion candle is when you have a body let's say it's the bullish candle and the wick is bigger than the body when you have a wick that's bigger than the body even if this is in an uptrend this is not a good confirmation to buy no no no this is not a good confirmation to buy because price went up rejected and the candle closed a small body so whenever you have a candle closing with a small body that's an indication make a note this is an indication of volume decreasing in the market right volume is decreasing what you want to do at this point is probably look for let's say an impulse entry that's what you want to do at this point and importantly would be perfect once the next candle goes bearish and breaks this low for price to move down this is going to be a much better idea if you have a good grasp on impulse entries now don't go crazy with impulse entries impulse entries are very hard there's a higher level of failure in the start with impulse entries because you really gotta build your confidence and experience in watching things happen watching moves play out watching volume drive candles up or down you really gotta increase that experience right so getting impose entries it takes a little bit of a um it's a it's an uh it's an intuitive process right so it takes a little bit of time so whenever you see a candle with a big wick and a small body this is an indication of an exhaustion weight right so uh there's a very high probability that the next candles are gonna maybe so let's say if this is an uptrend right here right if this is an uptrend you know you have um candles moving up from here you know like this candles are moving up and then you have a small body candle right here so whenever you get the small body candle it's it's a a better idea to wait for some what of a retracement right in an uptrend so you wait for some sort of a retracement once you get a retracement done after this exhaustion candle wait for a support to form once you get a support formed then you know there's a higher probability for the next candles to continue up if this is an uptrend so whenever you're looking at the charts and you see an uptrend and in an uptrend you see a candle farm forming with a small body or if price is moving down right if price is moving down like this i need to get bigger tip markers and you get a small body bearish like this this is an exhaustion here as well right this is an exhaustion here as well because look at the sides look at the size the body of the candles big body big body small body small body means there's an exhaustion happening right the volume going down is decreasing now slowly so what you want to do at this point is maybe wait for some sort of a retracement for a resistance to form and obviously a resistance is formed once you have you know a bullish candle forming after no my bad bear with me here once you have a bearish candle forming after a bullish candle resistance is formed and then you can look to trade the trend to continue pushing down right taking the opposite trade or taking a retracement trade it takes practice you know there's a high level of failure once you start taking you know corrections you start trading retracements because you know sometimes when you're trading gold or pongian like most of my viewers here you guys trade gold a lot you guys trade pound yen a lot and you guys understand there's a lot of volume in those pairs so whenever you have a lot of volume in those pairs there's a higher probability that price after having this exhaustion wick can continue pushing up if it respects this low there's a high probability that's going to happen you know that well this lower probability that can happen because there's a lot of volume so always aim to wait for some sort of a retracement wait for a support form and then have the continuation going up right and waiting for a retracement waiting for a support form it's clearly explained in my other video probably the link is going to be here somewhere it's called reading market structure or something like that right so you have to wait for this exhaustion wicks are wicks where the wick is bigger than the body whenever you have a wick that's bigger than the body that means exhaustion is happening and it's mostly it's happening or like you know the probability of exhaustion happening on time frames is probably going to be on the 30-minute time frame you can take a look on the uh one hour time frame because those are just confirmations right this is a confirmation of a exhaustion on the 30 minute time frame one hour time frame four hour time frame daily time frame anything lower than the 30 minute time frame those are weak confirmations once you have weak confirmations stay away from it 15 minute confirmation for exhausting candle i generally stay away from it five minutes i stay the hell away i don't mess with five minute confirmations i very rarely go with 15 15-minute confirmation so this is really important so we talked about rick fills versus exhaustion candles hope this helped you guys um one tip i want to give you is to go over the charts right go over this whole week's chart it's friday today so go over this whole week charts and look to see when you had an exhaustion candle and what happened after that exhaustion candle only in volume time only at times when there was volume in the market you got to take a look at that right and then take a look at potential wick fields on the high time frames like you know wakefield's we also did a video about that uh on wickfield's as as well once you're looking at rickfields look at let's say four hour timeframe wakefields versus one-hour time frame microstructure or 30 minute timeframe market structure or daily time frame wick fills and four hour market structure one hour microstructure and you're gonna learn a whole lot by just looking at the charts and anticipating what happened and anticipating what you what what may happen in the coming weeks and months so hope this helps take care good luck [Music]