ICT Forex - Higher Time Frame Concepts

Step-by-Step Tutorial: Higher Time Frame Concepts in Forex Trading

1. Understanding Key Levels:

   • Focus on key levels including:
     • Last 12 months (rolling calendar).
     • Monthly highs and lows.
     • Weekly highs and lows.

2. Price Rejections:

   • Look for price rejections like double tops, sweeps, and runs on old highs and lows.
   • Anticipate price movements based on these patterns.

3. Analyzing Dollar Index:

   • Start by analyzing the Dollar Index on a daily timeframe.
   • Identify the prevailing trend and key support/resistance levels.
   • Determine if the market is trending, in a range, or showing signs of a potential reversal.

4. Analyzing Major Currency Pairs:

   • Cycle through major currency pairs starting with the Dollar Index.
   • Analyze each pair for trends, support/resistance levels, and potential price movements.
   • Pay attention to equal highs and lows, as well as yearly, quarterly, and monthly levels.

5. Trading Opportunities:

   • Look for trading opportunities based on price action concepts.
   • Focus on longer-term setups using key levels and patterns.
   • Consider the overall market conditions and potential future price movements.

6. Implementing Trading Strategies:

   • Use the identified key levels and patterns to formulate trading ideas.
   • Wait for price to reach specific levels before entering a trade.
   • Consider the broader market context and potential trends in each currency pair.

7. Risk Management and Stop Loss:

   • Set appropriate stop-loss levels based on key support and resistance areas.
   • Manage risk by considering the potential price movements and market conditions.
   • Adjust stop-loss levels as the trade progresses to protect profits and minimize losses.

8. Monitoring Market Developments:

   • Continuously monitor the market for any changes in price action.
   • Stay informed about economic events and news that could impact currency pairs.
   • Adapt your trading strategy based on new information and market developments.

9. Reviewing and Refining Trading Strategy:

   • Regularly review your trading performance and analyze past trades.
   • Identify strengths and weaknesses in your strategy and make necessary adjustments.
   • Continuously refine your trading approach based on your observations and experiences.

10. Continuing Education:

    • Stay updated with the latest trends and developments in the forex market.
    • Consider joining trading communities or forums to exchange ideas and learn from other traders.
    • Keep learning and improving your trading skills to become a successful forex trader.

By following these steps and incorporating the concepts discussed in the video, you can enhance your understanding of higher time frame concepts in forex trading and improve your trading strategies over time.