This is the second time recording a nearly 40 minute video. I think it's time for me to keep things short. Yo what's poppin? We're back. For those of you guys who are watching this video right now, you do not know that there's actually been a previous upload of this exact video to my channel missing half of my freaking screen or at least a quarter of my freaking screen.
So I'm back. Now today, I want to get right into this, bro. Today, we're going to talk about how SNR is created.
Next video, as you can see, I put done over here. God had other plans for me. Number two, we're going to talk about the different types of SNRs, different area, different...
You know, when you talk about the creation of SNR, you're talking about... about normal buy-sell candles, sell-buy candles. We'll get right into that in this video. But then, there are other times when price reacts from areas you're wondering like, wait a minute, that doesn't quite make sense.
That doesn't quite align with what I've been taught. So I'm here to share this. Now before I start, real quick, I wanna say that whatever I'm teaching here is not any kind of leaked information. Whatever I'm teaching here is information that has already been leaked, okay?
And all I'm doing is adding my experience and my own little things, tips, and tricks that I've learned. onto that, which I think is going to help you guys so much. That's what I think, because the stuff that I learned, I never got my mentors to bother to teach me.
I had to learn that by myself. And that really accelerated my growth in the space. So I want to share that with you guys.
All right, cool. So let's get right into it. Creation of SNR and identifying fresh levels.
So this video has two objectives. Let me write down these two objectives real quick. The first thing is how SNR is created. Second thing is difference.
Levels obviously right so we're talking about SNR levels right difference between fresh and tested levels I'm gonna try my best to stay on topic here Okay, because we have all these different videos for different topics But then I end up merging everything together in one video, and it's just like no one understands anything. Okay cool So how is this not created very very simple SNR. What do we have we have support? We have resistance and then we have support Okay, so what is resistance?
Resistance now this way I take a little bit of time to explain what is resistance and Support and resistance both are comprised of only two candles to create them. I'm going to say that one more time. Support and resistance only require two candles for its creation.
What are these two candles? Well, it depends on whether it's support or resistance. So with resistance, how is resistance created? What two candles could possibly create resistance?
Very simple. We have our sons, a buy candle and a sell candle. candle. A buy candle and a sell candle form a resistance.
What about support? We have a sell candle and a buy candle. A sell candle and followed with a buy candle form your support. Now, of course, these two candles have to close as well.
Let me go and give you an example. I think it's best we look at the weekly because it's just fewer candles for us to look at. All right, cool.
So resistance. What did I say? Buy plus sell candle.
Buy. plus sell candle. Once this sell, now what are we talking about this whole closure thing?
Once this sell candle has closed, this has created a resistance. So how do we draw it? Okay, okay.
This, what do you mean this? How do we draw it? Very simple.
Remember how I told you we have two candles, right? Buy and sell candle. Once the sell candle has closed, I told you we have resistance, right?
So how exactly do we draw it? We take a line. This is the most correct way, the most strict way for us to actually draw it we take ourselves a line you can take a trend line you can take a horizontal line a horizontal ray whatever you want i'm going to use a trend line and straighten it out take my trend line and i draw it from the body clothes of that first candle avi avi avi stop what do you mean body clothes what are you talking about relax this is the body of the first candle remember i said body clothes of the first candle it's very simple is this the first candle yes is this the body of the first candle this is the wick what i'm touching right now is the wick wick is this the body of the first candle yes is this when the body closed yes how do i know open high low close the closed basic ohlc okay close so that's where your line starts and then you extend it out obviously so let's try again okay let's do the next one what's this bye yeah i know your eyes went straight to this one hold on a minute there buy closed sell closed where do you draw take your line out from the first buy candles, body close.
Is this where the body of the first candle is? Yes. Is this where it closed? Yes. Boom.
Draw it and extend it out. Let's go for the next one. Buy, correct, this is the first candle. Second candle, see?
Buy candle, sell candle. Sell candle. That's your resistance crater.
Obviously, it needs to close. So then in this future, then you look, okay? That's your resistance.
How do we draw it? From the body close of the first candle, this is the second candle, this is the first candle, this is the body of the candle, this is the close of the candle, body close of the first candle, and you extend it up. Okay, so if you're wondering, that was that.
Alright, so now, okay, I'm going to leave that there. Now, what about support? Sell candle plus buy candle. I'm going to just draw you random supports right now, okay? Sell candle plus buy candle.
And if you're wondering, yes, you're right. Sell candle, buy candle. This is support. Again, if it's fresh or not fresh, we'll get to that in just a second. We're going to extend that out anyway.
Sell candle, buy candle. What am I drawing it at? The first candle's closed.
That's it. The first candle opened here and closed here. And that's the second candle that created the support.
So we draw that. First candle opened here and closed here. That's the second candle that created the support.
Draw it here. same thing over here first candle closed here second candle made the support it's the first candles close enjoy it's that simple what about this one yes this is considered it again guys don't skip the beat here what am I asking for very simple joy is a boss draw your resistances sell buy that just try buy sell Whether it reacts, it doesn't react to us. Listen, just follow me.
Resistance. Support. Resistance. Support.
Why this one? Sell. Buy. Support.
Why is this support like, like, looks weird? Why is this support didn't freaking support it? This is known as what?
This is where we come to the next point. SBRMS What's this mean? Support Break Become Resistance and Resistance Break Become Support That's all this is. This is not even something I learned No one taught me this This is just, okay I understood it. That's it No one even taught me this stuff.
No one has to teach you this stuff This is super easy to understand When you have, look, look at this Sell, buy. What does that do? Creates a support.
When that support breaks, see how did it break? By this candle. Broken. Then that's your support break become resistance.
What is this? Buy, sell. That's just a normal resistance. Okay, now I'm not sure whether I covered this in this video or in the previous video.
What constitutes a break? When I'm talking about break this, break that. What is a break?
Break is equivalent to when candle body closes below or above S&R. Why do I say below or above? Because it depends on whether you are support or resistance. So let me delete all of this and give you guys one example.
Break equals candle body closes below or above SNR. So let's look at this. Cell by resistance.
Sorry, sorry. By cell resistance, correct? This is the candle that touched it.
You see this white candle? Look, cell. Sorry, by cell resistance. Now we're looking, oh, is it touching it? Is it touching it?
No, nothing. So far away. It's so far away. Oh, this one's so close. Boom, we touch it.
Right? Did this candle break? There's resistance here?
Did it break? No, it didn't. Why? This is the body of the candle. And where did it close?
It closed here. The closure, because this is a resistance, for it to break this level, it must close above. Then we can say, oh, it's broken that way.
Again, whether or not it continues up is a completely different story. You guys understand what I'm trying to say, right? Whether or not it continues up, completely different story, completely irrelevant. Okay? We do it right now, nine minutes.
Whether it closes above or below, that's completely irrelevant as to whether it continues. But is this a closure above? No, this is not a closure above. What is this called then? Rejection.
What is a rejection? Rejection is when price comes and touches the support or the resistance level. this case resistance price comes and touches it maybe it goes up floats it can float however high it wants to flow however high was the flow but it doesn't close above this resistance it eventually in that week comes back down stops that how many people during this week right How many people during this huge wiki week, that's a funny thing to say, thought that price was just going to blast right through. But then, boom, boom, boom, boom, boom, it dropped how many pips from the top?
Went all the way up and dropped how many pips? 800 pips. That's a rejection, my friends. That is no break.
Buy, sell. Right, if you're wondering the lower time frame, sure, let's go and take a look at the lower time frame. What is this?
Buy, sell. Fresh. Fresh, why?
Nothing's ever touched it before. Buy, sell. Buy, sell. Has anything...
Okay, now buy, sell. Okay, it's resistance. Has anything touched it? No, nothing, nothing, nothing. Fresh so far.
Fresh so far. Boom. Touches it.
okay so that is that you see what i'm trying to say so I'm gonna give you guys a little bit of fun. I'll give you guys a little bit of my own tip. This is something I learned about fresh and test levels. Sometimes when you look at these levels, you're wondering, Avi, it tested the levels so many freaking times.
You know? It tested it like, wick, wick, wick. You know, let's say you're doing it on the daily chart or something like that. Price has tested that area so multiple times. One, two, three, four times.
It's not as clean as something like this. See this? Buy, sell.
See how clean? Oh, just one time it touches and it goes down. It's off.
It touched a few times. I'll teach you a trick about that in just a second. First, let me talk about the types of SNR that we have.
Okay, besides the second video, let's talk about right in here. We have ourselves the left shoulder. So now you guys know what exactly I mean by a break of structure.
Like, what is a break when price has broken something, right? So I'll give you an example of a break. Before we move on, I'll give you guys an example of a break.
So this would be an example of a break. Price here broke this resistance. Why is this a resistance?
Very simple. Buy, sell candle. Draw the resistance up. Oh, this candle comes in. Okay, I'm expecting it to reject here.
Oh no, it broke up. It rejected at the top. That's not my question, I'm asking you. Did this break? Yes.
Why? Candle body closed above the... resistance same same deal here and yeah now you can really see how you can get blindsided buy sell resistance price comes up but ah the body closes above but then after you drop down how come don't get blindsided now this is where it gets interesting Buy, sell, what do we have there? Buy, sell, just this, just this.
Here, what do we have? Think, think, what do we have? Buy, sell, correct? What is that?
Resistance, right? Price touches it right there. So, my first confusion, you guys want to know, right, we'll talk a little bit about this in this video here, what I found easy and challenging, right, I'll talk about this there.
But you guys want to know one of the first problems that I had, one of the first problems that I had was that I didn't know, was that I didn't know whether this... See this candle touching here was actually making this fresh or tested because I always thought that oh we must have a huge gap A huge gap between each snr, you know like this one or or like this one see this see we create the sr and then it takes some candles some more the candles miss and the candles miss and the candles miss and then it comes up and then it falls down i thought oh only then is valid but then you know if if it does something like here buy sell and then right after that buy sell right after that this is the weekly right first week buy second week sell resistance created third week comes and touches with no space you know like go down and then come and touch just like that i thought oh no this is still fresh nah this is tested too it's It's touched, it's tested, it's done. Okay, it's done, it's fresh, sorry, it's tested, it's done. It doesn't have to do, it doesn't have to do like this. Such a huge, it does not have to do that, guys.
Same thing in this case. Buy sell it does not have to take like one two three four weeks to come back if let's say in this candle let's say this white candle here this bullish candle comes up and touches and rejects that's already that's already my friend it's already tested okay now now you guys understand that already okay i hope you guys understand already a great example of this would be right here Sell candle, buy candle. What is this? Make it easy for you guys.
Sell, buy, what is this? Support, am I right? Yeah, you guys got it correct, support. This candle here, see, sell, buy.
Fresh. This candle comes and touches it. You're wondering, Avi, but it wicked below, etc.
Listen, we are not talking about entering. Did I mention anything about entries? I will teach you guys, relax.
I will teach you guys. Did I mention anything about entries? No. okay so look sell buy support price comes in touches and then she flies you you see where i'm flowing with this right you see where i'm going with this it's it's just like that it's it's exactly like that same same deal over here if you want to look i'm just trying to give you guys examples buy sell you just look at it like that Buy sell, that's a resistance. So you go ahead and you draw your line, right?
this right after that price comes and touches it it's still considered a touch it's still considered a test same deal here bro buy sell right after it price test whether price takes some time to come back and test it or does not is is is regardless what was the word first uh irrelevant completely doesn't matter how long it takes for price to come back one thing i've learned okay let's let's even though i say it's irrelevant one thing i've learned is that the longer price takes to come back to that point the bigger the reaction will be now this if you guys are Wycoffians like myself, an ex-Wycoffian, you would know. It's the theory of cause and effect. The bigger the cause, the bigger the effect. So you have yourself this area to reach. This is the cause.
The price actually reaches there. The effect will be very huge as well. Smaller the cause, the smaller the effect. You can follow rules like that as well.
But still, the point of the matter is whether or not it's cause and effect, that's just a theory, okay, which seems to work very consistently. The point of the matter is, I want you guys to be very clear. When you see stuff like this.
Okay, when you see stuff like this Don't think this is fresh And then try and say, oh, this is fresh No, it's already been tested Okay, now, my detail about test Obviously, sometimes, you know Touches and touches and touches, like here Look, see, sell I support your draw. Avi, how many times you tested the damn thing? How do I know when it starts, man?
You know, it's so many times. Very simple. You guys will have to wait for this video.
Just want to put that out there. You guys will have to wait for the intro to storyline. Right? Just wait for this video and I'll show you exactly.
how a storyline is created. This is my own understanding, how exactly a storyline is created. And I'll give you guys my own understanding.
So you can't say I'm taking from anywhere. Not, I had, my friends, I had seven mentors, not one. Listen deep how crazy this is. Not one out of my seven mentors has shared to me about the operation of timeframes, which means when exactly I can say, or when I can conclude or predict, right?
Speculate that, oh, price should move now. not one I figured that out by myself I'm sure a lot of other people know as well but I learned that by myself okay the synchronization of time frames anyway we'll get to that in a future video but this is the thing when you're wondering Avi how do I know how many times it can test before it moves here's the deal has it broken it no we've not broken the level so that's the first thing we've not broken it so don't worry about it we can reject multiple times but when can I say okay it's not fresh anymore how many times we check four times how can I say is not fresh anymore once the Storyline has started so keep that in your little notebook. You've got a little notebook type there or write it there It's only untested or also.
It's only tested it's only unfresh once price touched the area once price touched the area and Starts the story if price touch Okay So in other words if you if you don't understand what I just said I'll give you in a different form simpler to understand If there's a support or is it over resistance press support price comes and touches it right touches it with the candle candle closed Whatever blah blah SOP send it up operating procedures that price came in touch but it never started a bullish storyline why bullish because we're talking about support let's say resistance very strong price came in touch never did a bullish story okay then price may come again and touch that same area it's still fresh and it still may play from there okay so that's that yeah that's pretty much it that's what I want to you understand just little trick so you guys need to understand something else something very common that people talk about in the SNR space yes There's enough space, a lot of people talk about SBR, RBS, you guys understand that. But one formation, one pattern, which you guys who have been watching AKFX would know this pattern very, very well. You guys would know it like the back of your hand. You would be familiar with this pattern. This pattern includes SBR or RBS and Apex and left shoulder.
And I'll give you all of the details about that right now. This is where a majority of the video will be. will be taken up with.
So this is the pattern. That's it. This is the pattern. Familiar?
Definitely familiar. So this pattern gives us three pieces of information. What is this? Bearish formation. What is this?
Foolish formation, obviously. I'm not stupid. We all know stupid, right?
So, what is in here? What exactly is in here? So, the reason I'm giving you guys this is because when some of your friends, or when you hear from somewhere, someone says, point of origin, you know, someone says point of origin, someone says apex, someone says SBR, RBS, I want you guys to be able to know this.
Or someone says left shoulder, I want you guys to be able to know this. This is your apex. So what is this?
Your strong... high strong low strong high right this is your rbs sorry this is your apex apex see it's like a mountain it's the apex apex okay this is your left shoulder i'll show you how to draw that in a second left shoulder left shoulder cell left shoulder and this is your sbr why is this called sbr Why not RBS? What does SBR mean?
SBR just means support, break, become resistance. Remember we talked about that? Support, break, become resistance.
This is what? RBS, why? Resistance, break, become support.
Why is this resistance? Because in this formation there will be a buy and a sell candle. that forms a resistance but price comes to the resistance and doesn't hold it just breaks rbs this is a support why support because maybe on the charts it says something like a sell buy candle but then when price comes back sell by candle makes what support price comes back doesn't hold just breaks what do you do there Okay, so yeah, that is pretty much what I wanted to say. So I'll give you an example of that right here.
I'm just looking at cell. So we have this entire formation right here. Okay, now I want you guys to really think about this.
What do you think makes a left shoulder? This is probably the most challenging thing to understand in this video is probably this. And it's not even that challenging once you understand it.
What makes a left shoulder? A left shoulder is simply comprised of a resistance that gets broken. So now you're thinking, what?
This is a resistance that gets broken. What's this? RBS.
Resistance break becomes support. Price comes back. Oh, I'm going to buy.
But boom. Candle closure below. Then this becomes a left shoulder.
Same thing over here. okay so let me draw that again slowly all right you have yourself a support sell buy candle oh this is support i'm gonna buy ah but it breaks okay it breaks this is support break become resistance sbr when it comes back i'm gonna i'm gonna sell ah but it breaks up this is your left shoulder now next bit of detail Avi, I've noticed you draw this, right? This here didn't even break here. This didn't even break.
The structure is still intact. Is this still considered left shoulder? Yes. Here, Avi, same thing, Avi. Here, we didn't break up.
Is this still considered left shoulder? Yes, it is absolutely 100% Avi, is this considered If I were to take a sell from here Or if I were to take a buy from here If I were to take a sell from here Is this considered low risk? No, it's not Avi, would it be better? Right, so you're asking me these questions Avi, would it be better If this structure here got broken first And then price came And took it, same thing here This structure got broken And then price came and visited the left shoulder Would this be better? Yes, this would be better So I hope that answer you guys's questions okay the best time to take a left shoulder is when this guy breaks okay or this guy breaks this is a what resistance becomes support right price can play from here price can play from here price can play from here okay which one do you pick again don't consider something that don't even worry about that right now Okay, so what have we talked about?
We've talked about how resistance is created. We've talked about how support is created. We've talked about the meaning of SBR and RBS, all right?
We've talked about how you even can think what a brick of structure is, what constitutes a brick, okay? We've talked about the difference between fresh and tested levels. And I've also even given you some extra sauce, which is about how you can actually tell when it's time for price to properly move.
Because we test so many times. Once price is tested and a storyline is started. So if you guys know what storyline is, if you guys know how to dictate.
data storyline then you would know oh okay i can add that to my awesome all right so uh yeah that's pretty much it there's really nothing else much for me to say about this video i'm going to end it here see you guys in the next one peace out