Live Trade Analysis on MNQ Using PO3, FRVP, Goldbach and ICT
Hello traders,
Today, I'm excited to share a detailed analysis of a live trade I executed on the Micro E-mini Nasdaq 100 (MNQ) futures market. This trade exemplifies the fusion of several advanced trading concepts: PO3, Fixed Range Volume Profile (FRVP), Goldbach, Inner Circle Trader (ICT) methodologies, and Fair Value Gaps (FVG). Let's dive into the trade, the rationale behind it, and the results.
Setting the Stage
PO3 (Power of Three)
PO3 is a concept that identifies three key phases in market movements: Accumulation, Manipulation, and Distribution. Recognizing these phases helps traders anticipate market moves and identify optimal entry and exit points.
Fixed Range Volume Profile (FRVP)
The FRVP is a powerful tool that shows the volume distribution over a specific range of price data. It helps in identifying high volume nodes (HVNs) and low volume nodes (LVNs), which serve as potential support and resistance levels.
Goldbach
Goldbach's trading strategy revolves around statistical probabilities and mathematical models to identify high-probability trade setups. It complements other technical analysis tools by adding a layer of probabilistic insight.
Inner Circle Trader (ICT) Concepts
ICT concepts emphasize understanding market structure, liquidity, and order flow. Key elements include liquidity pools, market maker buy/sell models, and institutional order flow.
Fair Value Gaps (FVG)
FVGs occur when there is a price gap between consecutive bars, indicating areas of potential liquidity. These gaps often serve as magnets for price, offering opportunities for reversals or continuations.
The Trade
Market Context
Today's trade setup began with a thorough analysis of the MNQ market during the pre-market hours. Using the PO3 concept, I identified the accumulation phase as the market consolidated within a tight range. This was followed by a brief manipulation phase, marked by a false breakout to the downside, which quickly reversed.
Volume Profile Analysis
Using the FRVP, I identified significant volume clusters that aligned with the accumulation zone. The highest volume node (HVN) within this range acted as a critical support level. Conversely, the low volume nodes (LVNs) highlighted potential areas of resistance where the market might struggle to break through.
Goldbach and ICT Confluences
I overlaid Goldbach's probability models onto the existing market structure, which provided additional confirmation of the high-probability zones identified by the FRVP. ICT concepts further reinforced these levels by highlighting liquidity pools and likely institutional activity.
Identifying the Fair Value Gap (FVG)
During the manipulation phase, a noticeable FVG formed as the price swiftly moved down and then reversed. This gap indicated an area where price was likely to return, providing a prime entry opportunity.
Execution
Entry
I entered the trade as the price retraced to the FVG, aligning with the HVN identified by the FRVP. The confluence of these factors—volume profile support, FVG, and the probabilistic edge from Goldbach—provided a robust entry signal.
Management and Exit
The trade was managed using a trailing stop approach, initially set below the HVN to protect against adverse moves. As the price moved in favor of the trade, I adjusted the stop to lock in profits, eventually exiting at a significant resistance level identified by the LVN on the FRVP.
Results and Reflection
The trade concluded with a solid profit, showcasing the power of combining multiple advanced trading concepts. The integration of PO3, FRVP, Goldbach, ICT, and FVG provided a multi-faceted approach that significantly enhanced the trade's success probability.
Key Takeaways
Confluence is Key: Combining multiple concepts and tools increases the reliability of trade setups.
Volume Profile Insight: The FRVP is invaluable for identifying support and resistance levels based on actual market participation.
Liquidity Awareness: Understanding liquidity pools and gaps helps anticipate market movements and avoid traps.
Mathematical Edge: Goldbach's probabilistic models add a quantitative layer to traditional technical analysis.
This trade is a testament to the effectiveness of a well-rounded trading strategy that leverages diverse methodologies. I encourage fellow traders to explore these concepts further and integrate them into their own trading plans for enhanced performance.
Happy trading,
Lord MEDZ
Today, I'm excited to share a detailed analysis of a live trade I executed on the Micro E-mini Nasdaq 100 (MNQ) futures market. This trade exemplifies the fusion of several advanced trading concepts: PO3, Fixed Range Volume Profile (FRVP), Goldbach, Inner Circle Trader (ICT) methodologies, and Fair Value Gaps (FVG). Let's dive into the trade, the rationale behind it, and the results.
Setting the Stage
PO3 (Power of Three)
PO3 is a concept that identifies three key phases in market movements: Accumulation, Manipulation, and Distribution. Recognizing these phases helps traders anticipate market moves and identify optimal entry and exit points.
Fixed Range Volume Profile (FRVP)
The FRVP is a powerful tool that shows the volume distribution over a specific range of price data. It helps in identifying high volume nodes (HVNs) and low volume nodes (LVNs), which serve as potential support and resistance levels.
Goldbach
Goldbach's trading strategy revolves around statistical probabilities and mathematical models to identify high-probability trade setups. It complements other technical analysis tools by adding a layer of probabilistic insight.
Inner Circle Trader (ICT) Concepts
ICT concepts emphasize understanding market structure, liquidity, and order flow. Key elements include liquidity pools, market maker buy/sell models, and institutional order flow.
Fair Value Gaps (FVG)
FVGs occur when there is a price gap between consecutive bars, indicating areas of potential liquidity. These gaps often serve as magnets for price, offering opportunities for reversals or continuations.
The Trade
Market Context
Today's trade setup began with a thorough analysis of the MNQ market during the pre-market hours. Using the PO3 concept, I identified the accumulation phase as the market consolidated within a tight range. This was followed by a brief manipulation phase, marked by a false breakout to the downside, which quickly reversed.
Volume Profile Analysis
Using the FRVP, I identified significant volume clusters that aligned with the accumulation zone. The highest volume node (HVN) within this range acted as a critical support level. Conversely, the low volume nodes (LVNs) highlighted potential areas of resistance where the market might struggle to break through.
Goldbach and ICT Confluences
I overlaid Goldbach's probability models onto the existing market structure, which provided additional confirmation of the high-probability zones identified by the FRVP. ICT concepts further reinforced these levels by highlighting liquidity pools and likely institutional activity.
Identifying the Fair Value Gap (FVG)
During the manipulation phase, a noticeable FVG formed as the price swiftly moved down and then reversed. This gap indicated an area where price was likely to return, providing a prime entry opportunity.
Execution
Entry
I entered the trade as the price retraced to the FVG, aligning with the HVN identified by the FRVP. The confluence of these factors—volume profile support, FVG, and the probabilistic edge from Goldbach—provided a robust entry signal.
Management and Exit
The trade was managed using a trailing stop approach, initially set below the HVN to protect against adverse moves. As the price moved in favor of the trade, I adjusted the stop to lock in profits, eventually exiting at a significant resistance level identified by the LVN on the FRVP.
Results and Reflection
The trade concluded with a solid profit, showcasing the power of combining multiple advanced trading concepts. The integration of PO3, FRVP, Goldbach, ICT, and FVG provided a multi-faceted approach that significantly enhanced the trade's success probability.
Key Takeaways
Confluence is Key: Combining multiple concepts and tools increases the reliability of trade setups.
Volume Profile Insight: The FRVP is invaluable for identifying support and resistance levels based on actual market participation.
Liquidity Awareness: Understanding liquidity pools and gaps helps anticipate market movements and avoid traps.
Mathematical Edge: Goldbach's probabilistic models add a quantitative layer to traditional technical analysis.
This trade is a testament to the effectiveness of a well-rounded trading strategy that leverages diverse methodologies. I encourage fellow traders to explore these concepts further and integrate them into their own trading plans for enhanced performance.
Happy trading,
Lord MEDZ
Note
Note
If I never moved my SL
Lord MEDZ
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Lord MEDZ
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.