How to Identify Market Context for BEST Setups

[@nicdav100]

Man, there is so much information in your videos that I missed the first couple times I watched them. Only when I started paper trading a few days did I even know the questions that you are answering... I have so much to learn!

[@leveragefx]

I love your videos and am mostly a scalper myself looking to scale at 1.5 points and trail remainder. Would be GREAT to have a discord room where those of us who like your method trade together and keep each other disciplined. IM me for those interested free of course, just want to bounce ideas off other traders live and avoid some dumb loser trades as well.

[@leveragefx]

I see a lot of trades you pass on and wondering if you use Footprint charts? That strong trend and pullback with bottom wick 15:55 using Footprint chart would have a small risk and likely 50% pullback so a likely 2+ R trade. I'm curious how you manage the trade once in do you do multiple lots and if so scale along the way or all in/all out?

[@ThomasWade]

I don't use footprint charts. Don't even know what that is:) When I enter the trade. I scalp most of my contracts at 2 points and leave one for the runner. I take the money market gives me and I leave runner runing in case market keeps going in my direction and I don't leave money on the table. I always put my SL below the signal bar(sometimes swing) and don't move it. Occasionally I exit trade early if the bars are congesting and market is not going nowhere and it is choppy. I either trace the stoploss below each swing for the runner or let it breathe. It depends. Runner management is fairly individual, based on your preference.

[@mazharali8445]

Thomas is very experienced and I bet he can look at a candle and tell what the bulls and bears are doing. But for me footprint chart is an essential tool. I found monitoring COT high and low on a footprint chart as a very good indication of an upcoming push. How do you use Footprint with 2nd entries?

[@gerardoosio]

Thomas, your narrative of market behavior from your point of view is simply invaluable. you deserve to be successful as a trader and now monetize your pedagogical initiative.

[@Metodo3]

18:05 looks very tricky, it appears it will spike up but its a clear bear move if you spot the key entry is an inside bar there is not enough pressure from the buyers and also this will be the first FOBO(fakeout breakout) of the channel and continuation of the downtrend. excellent analysis thomas really enjoy this kind of videos.

[@dekibrebre]

Thank you Thomas for another excellent video and PA chart reading (context). Understanding the context is the key and finding the setups is later in the process. So many people are focusing on just setups without considering the context first. Thank you again for emphasizing this once more in your video. If I may one suggestion but nothing about trading rather KZbin wise. When you record and explain something that is in the bottom right corner like in this video at 04:14 then KZbin subscribe button is covering your video so it is not possible to see the candles at that moment since it is covered. This is a KZbin feature and there is little to do about the location of the button. The only way to overcome is while recording and in some cases, it is possible to do something in editing. Just be aware that probably the best during recording lift the bottom of the chart a little bit up if you want to explain something in the bottom right corner. I hope you do not mind. Thanks for understanding. Cheers mate

[@ThomasWade]

I don't mind at all, the opposite, thank you for the feedback. I can't move the button, that is default youtube position. I can pay attention to it while recording next time. What can also help is put your view mode into theatre mode. This way the button will not affect the screen.

[@dekibrebre]

@@ThomasWade Thank you mate.

[@bartflytrading]

Quite hard day but there were entries according to rules :) thank you Thomas

[@grimminatorXYZ]

Market was not cooperative for me today, and I ended up in the red… wasn’t as patient as you and paid the price 😂. Atleast I wasn’t the only one having a tough time finding trades. Keep up the great work Thomas, it’s a great learning experience to compare my trades to yours daily on these types of videos! 👍🏻

[@richterbelmont9751]

I really like this videos...

[@yur.vsaibo9187]

13m-00s is also the third entry. It was also possible to enter down on the second entry before this transaction (a downtrend breakout).

[@ThomasWade]

Correct.

[@JMerc]

Great video! My bars are looking a little different though! Maybe an issue with reloading market data!

[@grimminatorXYZ]

Same, my bars are different as well. I think it’s because every trading software’s tick counter is not reset at the same time

[@ThomasWade]

I even reloaded the historical data and still got the same bars. Tick charts can vary a bit, depends on the SW, data provider, historical data load, plenty other reasons. Those are only minor differences though

[@fimbulvetr2]

Thank you Thomas. Like many others, I do have a hard time sitting on my hands and that's where my mistakes come from. Also thank you for repeating things many times, as it really really helps ingrain it.

[@asis19999]

liked the video on trading psychology, hope to see more such videos on trading psychology, thankyou

[@peterchin6759]

At 9:18, why aren't we expecting a new extreme since the price has broken the shortened downtrend?

[@ThomasWade]

You are expecting new low but EMA didn't show any reaction and we strongly pushed above. Since the uptrend to the left was so strong, after such a strong push above the EMA you switch to the main bias again. The downtrend was retraced a lot and it was just a tight correction. Context was more bullish and once the correction was retraced so high, you adapt bullish again.

[@peterchin6759]

​@@ThomasWade I get what you are saying. Thanks Thomas.

[@Surfgarage760]

My charts a little different, for instance @9:14 I had a 2nd entry long, while yours was a 3rd entry. What are you chart settings? Could you post a screenshot? thanks

[@ThomasWade]

Tick charts are not static, sometimes bars can differ based on data provider, time zone, etc... I use CME US Index Futures ETH. But few traders who send me their charts had the same as I had. It really doesn't matter that much. Also depends on if you refresh your historical data. I loaded only 3 days, so I should have loaded more probably..

[@yur.vsaibo9187]

Great video thanks

[@ashvinbaldania]

@2:29 where is short entry. Candle looks green and bullish.

[@ThomasWade]

You cannot sell below bull bar. The entry is on the follow up bar, bearish bar.

[@rubenjuarez9713]

Thank you Thomas

[@vijayrakesh6225]

Thanks for the video and explanation.

[@mazharali8445]

Hi Thomas, your first trade at 3:50 is it a failed 1st entry long?

[@ThomasWade]

Yes it is. Eventhough the double top is not perfect, it should reset the count and we should treat it as a new high. Therefor my entry was a failed 1st entry long.

[@jordanm3748]

Patients was key today took 2 trades 😃

[@VickieVentures]

The volume on Friday was horrible. I only got a few good trades pre-market and after open. The remaining chop was really tough to navigate and I sat on my hands as you would say. The old me would have lost patience. Happy weekends and thanks for sharing Thomas!

[@DeltaScalper]

Thanks Thomas, I did take the 16:30 trade, it was also a F2EL ;o)

[@richardharris5200]

I watch every video 12 times

[@markaleocalasagsag1491]

Hi Thomas I've used you method and srat on trading gold.and i really nailed it.thankss

[@ihisham1023]

thank you for doing this , i trade like you with price action , second entry in trend and trap in range it's was very long day waiting for the best pattern :) but i want to thank my self for the patience :D

[@mr.visionaryandpurposet.v.3739]

What it is the Ema?

[@ThomasWade]

21 bar EMA

[@parkerb764]

Hi Thomas, any chance you are working on a training guide for beginners from start to finish? Would be great in a video format, I'd invest in it!

[@ThomasWade]

I have been getting lot of requests to create a course but right now I just enjoy doing these free videos. Because If I were to make a course, it would have to be absolutely perfect and it would have to cover every aspect of trading and this would take me time. Not saying that I won't do it, in the future sure. Right now you can get Mack's course for only 100 bucks which is nothing. Al Brooks has some great materials as well but be sure to watch his videos first. His explaining is very hard to understand.

[@yur.vsaibo9187]

3m-35c is the first deal. This is the first entry? A reference point for a double top, a downtrend, a good bearish bar. The price also went up on two legs and we expect sales. That's why you entered on the first record ?

[@ThomasWade]

Correct it is also a lower high. Technically it is not a 2ES bit we could treat is one. There was 1ES and then little push higher above the doji bar and pushed back lower where I entered.

[@Coretrsde]

I was begging for a failed second entry short but the market didn’t give it to us today unfortunately

[@Roy-xe9is]

Thomas, You didn't like the next LH after yours?

[@ThomasWade]

Do you mean after my 1st trade? Not really because at that point if you take a look, we had a new low formed.

[@Roy-xe9is]

@@ThomasWade So the new, LL makes it only a first entry, but to actual LH signal bar is still valid; wick higher and body below ema. Do you stay out because the prior LL could be indicating the trend has played out?

[@ThomasWade]

@@Roy-xe9is "prior LL could be indicating the trend has played out?" - exactly, this is what i was afraid of.

[@jorgellopis6161]

Thomas, when I change to fullscreen (using the phone) appears the channel logo watermark and I can't see your explaination well. Is it due to KZbin? Maybe placing it in the opposite side will be better to read the charts as you don't want to show all the price action in one time and you like to scroll (what is the best). I don't know if KZbin let you do so. Just to improve your excellent work :)

[@ThomasWade]

Thanks for the feedback unfortunately this is default youtube's settings and I can't change it. On montior it is much better.

[@rezasaljooghi9650]

thank you man

[@yur.vsaibo9187]

10 m-10 s. You said it. We were expecting a short entry into the short (down). And then you say you're looking for reasons to go buy (up). I didn't understand. At first you wanted to go down, and then you realized that we would grow, and you are looking up.

[@ThomasWade]

After utrend played out with a break and a new high price pushed below EMA, there I expected downtrend to start. But price pushed back above the EMA and it looked like uptrend may resume. I was looking for 2ES short there to fail. So we can go long above EMA on F2ES.

[@andresjimenez1495]

Goat 🐐

[@joen2120]

Hey Tom, when can we join your discord 😃?

[@ThomasWade]

Hi Joe, next week, I will announce it.

[@joen2120]

@@ThomasWade Thanks Tom, been learning from you and Mack for about a year now. Really excited about this for you and the opportunity to learn more from you!!