Now that you've studied the theory of TPO it's time to see that theory in action.
Here you will see how to apply TPO theory and gain entries from it.
There isn't much more to be said on this, so lock yourself in, observe, and take note!
Time Stamps
2:20 – TPO THEORY APPLIED TO BTC LIVE
- We start on daily TF and find a range. When the range goes back further than you can merge in Exocharts, you have to either use Sierra Charts, Atas or simply TradingView. The last one only gives us the volume profile.
- After marking the daily range, switch to the 4H chart and find the local range. As the data does not go that far, you can merge on Exo.
- Search for discrepancies, mark out the furthest out levels
- Daniel trusts Exo the most when it comes to values
- Then Daniel makes notes of nPOCs
- Daniel always merges TPO profiles of the area price came from (where the VA’s are very well lined up together)
- There is never a random pivot, all is backed up with TA
- When you see there is no trade based on TPO charts, use other tools, such as Fibonacci
37:05 – POTENTIAL TRADE SET-UP
- The levels with the best confluence can still be broken that is why you never pre-set the level
- Trade based on the reaction
- The other reason Daniel does not pre-set is also because the R:R ratio is then significantly worse
- When price puts in the low, gets the good reaction, invalidation is very simple and small
- Combining knowledge from before with the TPO theory you can work out very good entry, target and invalidation
- Spending 95% of the time on analysis and 5% of the time taking the trade – we are very well prepared
- The only thing is, you have to accept the trade can either win or lose even if the probabilities are high