The text is a transcript of a video about smart money trading, which is a concept that tries to follow the actions of institutional traders in the market. The video covers the following topics:
- The difference between retail and institutional trading, and why indicators are not reliable tools for predicting price movements.
- The concept of supply and demand zones, which are areas where the balance of buyers and sellers has shifted significantly, creating strong price moves.
- The concept of liquidity, which describes how easily an asset can be bought or sold, and how institutional traders use techniques to find and absorb liquidity in the market.
- The concept of volume spread analysis, which is a type of analysis based on volumes and the spread of the candlesticks, to identify the differences between supply and demand.
- The principles of trading like smart money, which include knowing your edge, having multiple plans, and reviewing and learning from your trades.
A possible concise summary is:
The video explains how to trade like smart money, which means following the actions of institutional traders who use supply and demand zones, liquidity, and volume spread analysis to enter and exit the market. It also advises to avoid indicators, test your strategy, and learn from your mistakes.
Here are some key facts extracted from the text:
1. Retail trading and institutional trading are different in terms of size, liquidity and strategy.
2. Indicators are lagging and do not help to predict future price movements.
3. Supply and demand zones are areas where the balance of supply and demand has shifted in a substantial way, resulting in large price moves.
4. Volume spread analysis is a technique that relates volume with price spread to identify supply and demand imbalances.
5. Liquidity spikes are patterns that occur when large market participants trigger and absorb liquidity at certain levels.
6. Smart money uses special techniques to get a good price for their orders, such as slicing, waiting for confirmation and finding liquidity pools.
7. Trading like banks requires knowing your edge, having multiple plans and reviewing and learning from your trades.