Join coach Igor for the Candle Structure Formation (TPO Letters) module where you will learn how to observe candle formations using TPO letters. Grab your notebook and jump in!
TIMESTAMPS
00:01 – INTRODUCTION
00:35 – UTILITY
The aim of this lesson is to aid you as a trader to observe how a candle forms using TPO letters.
You will learn how to patiently wait for a series of mechanical sequences to happen before you enter a trade.
For this lesson we will focus on TPO letters using the Open, the High/Low followed by the Close with split mode enabled.
Mastering this skill will significantly increase the odds of trade success.
🔎 01:35 Here is a look at the standard candle. Here you can see the OHLC.
🔎 02:04 Here is a look at candle form in TPO letters. Here you can also see the OHLC.
Each 30-minute candle will have an OHLC, notated by color.
Using TPO theory as taught in CC modules, such as poor highs, poor lows, ST and BT, value area, time POC, etc., means you can now use only one chart/screen to make a quick trading decision.
For increased probability in trade setup, another component to add is volume. No volume - no auction.
🔎 03:33 Here is a look at the current “Y” period bar showing the 30-minute volume profile to the right.
You can use this information to monitor value and completed rotational auctions!
🌟 04:40 Here is an example of using candle structure formation with volume to form a trade plan. 🌟
✔️ Lack of volume at “V” high.
✔️ Poor high repaired.
✔️ Move back inside pdHigh.
✔️ Value being built below.
✔️ Loss of “U” close and “V” open.
✔️ Break the “V” low.
✔️ Keeping an eye on TIME.
🎯 Trade executed.
15:15 – IMPLEMENTATION
Being able to follow developing value and understand candle formation, OHLC, from a TPO letter chart is such an advanced way of seeing the market.
With just a quick glance at the Market Profile using letters, you will quickly be able to see the market and make a solid trading plan.
15:58 – TIPS & TRICKS
★ Build statistics for volume drying out at extremes, these stats will give you insight as to when it will be likely that the current trading auction is coming to an end.
★ Focus on such statistics upon levels being taken, such as previous day highs/lows, value area, etc. and do not forget TIME.
★ Add the delta and volume profiles for the current day next to the 30-minute profile, this will amplify your understanding of the broader developing daily range on the current tick price range (follow the ‘big-money’ trail).
★ Review failed auctions and TPO material after this lesson to better understand selling and buying tails.
17:29 – FINAL THOUGHTS