risk management one of those things you hear about all the time but oddly enough never pay really much attention to it that is until now what if I told you all you had to do was apply one simple tweak to your current strategy that would instantly boost your trading profit like actually implementing this trick on any trading strategy has been statistically proven to generate better profits once you apply this tweak your takeprofits will grow your risk will shrink and it will take you from this averagel looking setup to this sniper looking entry with jaw-dropping profits but what's the secret trick well first things first we need to go on a chart go to the 4hour time frame this is important next we first need to implement our areas of supply and our areas of demand if you don't know demand is the start of a strong move upwards supply is the start of a strong move downward for example if we had this move where there was a strong impulse to the upside we would find the candle that started this move so this one grab our little rectangle tool on the side and mark from the lower wick to the higher wick of the candle that started this move this is our area of demand pretty easy right this area is where large institutional orders started coming in oftent times price will come back down to this area of demand and traders will then proceed to have the exact same mindset enter here and then proceed to make some juicy profit it's the exact same thing with supply find the start of a strong move downwards grab your little rectangle tool mark from the lower wick to the higher wick of the candle that started that move wait for price to come back up to the area of supply again enter a short proceed to make millions of dollars but we ran into a major problem so if we're purely going off the whole supply and demand strategy we might get a setup that looks like this where we have the start of a strong move upwards we mark our area of demand by marking the first candle of said move we would then wait for price to come back down to our area of demand now if we're entering into this position normally we would enter as soon as price entered into our area of demand we would set our stop loss below the area of demand and for a takerit it would really only make sense for us to target the recent highs for the most probable outcome but this is exactly where the problem resides this risk-to-reward setup is absolute poop like really poop to be a bit more specific this exact trade had a 2.14 risk-to-reward ratio meaning if we're risking $100 we are only potentially getting back $214 which may not sound bad to some hell if you use this exact same strategy you would probably still be profitable but with that said what if somehow someway we could raise this risk-to-reward number to where we would still be following the exact same strategy but we would be risking even less and profiting even more that would be pretty good right actually I just got an idea let's test out this new Siribased audio editing software I just got hey Siri play classical music sorry I didn't quite get that um can you play some classical music sure playing rock music now rock no no serious stop play classical music did you say how to double your money how to double my money what that That doesn't even sound similar to what I Yes you heard her right you can double your money how do I do that well there's a Forex broker out there that I personally use and their name is Hanker Trade if you use the link in my description and it's your first time depositing they will match whatever you first deposit so say if you first deposit $69 they will match that and give you $69 that's pretty cool if you need a new Forex broker and want that deposit bonus use the link in my description all right now let's go over how to get a better riskreward to do this we're going to go over a little topic called zone refinement zone refinement is pretty simple actually for example here we have two screenshots of the exact same chart one on the 4hour time frame and one on the 1 hour time frame just like before we have the start of a strong move upwards so we'll mark our area of demand on the 4hour time frame just like we did before but instead of entering as soon as price hits our area of demand on the 4hour time frame we're going to move to a smaller time frame to refine our zone even more so here on the 1 hour time frame our 4hour zone is right here but if we look closely our 1hour demand zone is within this zone but is much smaller so we'll mark out this one too so now we have a refined 1 hour zone within our 4hour zone instead of entering as soon as price hits our demand zone on the 4hour time frame we're going to enter at a refined zone on the 1 hour time frame so we wait for price to come to our 1 hour zone enter here we're still going to set our stop loss below the 1 hour demand zone and set our takeprofit at the recent highs just like we did before but look at the key differences the picture on the left where we didn't refine our entry our stop loss is bigger our entry is worse and our takerit is smaller and we have a risk-to-reward of 5.15 but if you look at the picture on the right we have a way better entry our stop loss is smaller meaning we're risking less and our take-profit is bigger meaning we have the potential to make more money and we have a risk-to-reward of 11.12 both are using the exact same strategy but one is just more redefined i think you can see the obvious better choice the one where the math is on our side but this is just the idea let's jump into an actual trade example first things first we do our first step and hop on the 4hour time frame here we have a pretty strong downtrend but price is starting to show signs that it wants to do a reversal how I can tell it wants to reverse is it just started to shift in trend direction and has made a break of structure right here so we'll keep that in mind to start us off with this trade setup we're going to first mark our area of demand to do this we find the first candle that started the strong move to the upside in this scenario that would be this candle right here so we grab our little rectangle tool on the left and mark from the lower wick to the higher wick of this handle this is our demand zone so if we were to plan this trade out normally we would wait for price to come to our area of demand we would enter as soon as it does and set our stop loss right below it we would then target the most recent high which is this high right here so if we use these exact parameters our risk-to-reward would be 5.23 23 which in the end isn't really a bad trade at all hell I take a 5.23 risk-reward all day that's actually pretty good but as my grandma used to say why settle for a lowrisisk reward when you can get a better one to do this we're going to switch to the 1 hour time frame to refine our demand zone even more so now that we're on the 1 hour we can instantly see we have more candles now we still have the exact same setup just more candles in our view our 4hour demand zone is still here but if we look closely our 1hour demand zone would actually be right here at the candle that started this trend so by doing this one simple trick this one simple change we can do what every hedge fund manager dreams of doing we can do this now look this may not seem like much but we improved our risk-to-reward ratio from just a measly 5.23 to a whopping 7.6 by simply dropping to a lower time frame and refining our zones that's it that quick and simple easy trick just improved our risk-to-reward by 2.4 meaning we're risking less now and we have the potential to gain even more money and who doesn't want more money so now that we have it set up we're going to go to the 4hour time frame and rather of entering up here at this high we're now entering at a more discounted price in a refined area which is going to give us the best risk-to-reward for this trade let's see what happens price comes down to a refined zone we enter as soon as it does the market proceeds to push up with huge amounts of strain and beautifully hits our target even though this strategy is great we've ran into a major problem you see I'm sure you've had this thought already well if I can get a better entry from going to the 4 hour to the 1 hour that also means I can get an even better entry from going into the 1 hour to the 30 minute then the 30 to the 15 then the five and then continuously go all the way down to the very millisecond and that my friends is what I'm going to call over refinement over refinement is a problem simply because of this reason say if we went to the 5minut time frame for this specific trade we would have to zoom all the way down to this 5minute demand candle and the problem with that is sure we now have an amazing risk-to-reward and an even better one than we did before but since we've narrowed it down so much if we zoom back out price never came down to our 5minute demand zone don't overrefine and don't zoom in too much because you will end up with mispositions just like this one to make sure you don't overrefine just follow what I call the two steps down rule so if you're on the daily time frame you can only refine down to the 4 hour and then the 1 hour time frame if you're on the 4 hour to start out with you can only go down to the 1 hour and then the 30 minute if you're starting off with the 30 minute time frame you can go down to the 15-minut and then the 5 minute my point being you can only go down two steps from the original time frame you started on this will make it so you don't overrefine and end up with a misposition add this trick to your arsenal to any of your trading strategies and it'll help you get more sniper entries try it out let me know how it works for you and DM me on Instagram with your results thanks for watching and I'll see you guys next time also I've been getting a lot of comments saying I need to post more and you're probably right i'm kind of slacking recently i'll try to do better maybe we'll see