[00:01] trading strategy that works every single day. This is the exact same strategy profitable results after day trading for over 7 years. The best part about the strategy is that it's built around a simple three-step framework that anyone [00:15] can follow before entering a trade. Now, I'm not here to make bold claims without strategy actually works, I'm going to walk you through live trading examples step by step. You'll see exactly where I enter, where I place my stop loss, and [00:29] how I manage the trade from start to finish. And by the end of this video, immediately trade the strategy yourself. So, without further ado, let's dive in. So, the strategy is called SLC, which stands for structure, level, [00:43] stands for structure, level, confirmation. Now, this isn't just some random buzzwords. It's a decision-making framework, a trading system that's designed to stop traders from taking low-probability trades. And if you [00:55] discipline, I promise you you'll eliminate a huge percentage of your losing trades, and it'll turn you into a more consistent trader. So, here's what the SLC system looks like. First, I start with the S part in the SLC system, [01:09] which is determining the structure of the market for that day. This makes sure that I'm only trading with the direction of the market. Think of it like swimming downstream and yet you decide to swim against the current, not only will you [01:23] move slower, but you'll also use more effort trying to fight the flow of the river. But, if you decide to swim with the current, not only will you move faster, you'll also use less effort to do so because you're letting the [01:35] momentum of the river carry you. The same thing happens in trading. If structure is moving upwards, aligning your trades with that structure will give you a higher chance of the trade playing out. So, once the structure is [01:48] identified, I move to the L part of the SLC system, which is marking my levels. just draw random lines to clutter up my charts. I'll only mark high probability chance of reacting. Think of this step as marking my battlefield. I only [02:05] consider going to battle if price reaches the levels I've identified. So, the price can move anywhere it wants, but if it doesn't hit my levels, I won't look for a trade. Doing this allows me to focus on only high probability [02:17] setups. The final step of the SLC system is the C part, which is confirmation. Confirmation simply means waiting for additional signs that suggest my trade setup has a higher probability of [02:29] playing out. Because at the end of the day, trading is a game of probability, and no amount of analysis will ever guarantee a 100% success. So, instead of trying to be right all the time, I focus on stacking as many factors as possible [02:43] in my favor. This way, I'm viewing every trade as probabilities, and only when the odds are leaning in my direction, that's when I execute the trade. Now, system is I don't have to sit there for hours every day trying to analyze every [02:58] price movement. Because I have a clear framework, I only need around 10 minutes to analyze a setup. I simply identify the structure, mark the high probability levels, and wait for confirmation. If a trade setup shows up, I just take the [03:11] trade and move on with my day. No guesswork or stress, just a pure systematic way of trading. That's the power of the SLC trading system. And now, I'm going to show you exactly how you can apply the SLC system in your [03:25] First, the key is to identify the market structure on the higher time frame for that day. So, for example, if you're trading on the 5-minute time frame, then like the 4-hour chart and identify its market structure. Here's how you do it. [03:40] First, you need to understand that market structure only has three phases: uptrend, consolidation, and downtrend. For this strategy, you only want to trade if a high time frame structure is either in an uptrend or downtrend. If [03:53] it's consolidating, we don't take any trades. price forming higher highs and higher lows. And if you see this structure, you only look for long trades. In a downtrend structure, you'll see [04:06] price forming lower highs and lower lows. And if you see this structure, you only look for short trades. Now, let's get back to our chart. Here I'm on the Nasdaq futures 4-hour time frame. And as you can see, price is [04:18] forming lower highs and lower lows. That tells us that the high time frame structure is bearish, which means when I'm trading on low time frames later on, I only trade short setups. Now, once we've determined the high time [04:31] frame structure, we move to the next step of the SLC system, which is marking To mark the levels, I'm going to drop back to the 5-minute time frame, because trades. Now, the key to marking levels is you [04:44] want to mark strong levels where price is the highest chance of reacting to. this is to find supply and demand levels. To put it simply, supply levels at the bottom. These levels represent areas where [04:59] aggressive buying or aggressive selling previously took place. For example, to find a demand level, we look for an area where price made a sharp and aggressive move upwards. And the area right before that aggressive [05:11] upwards move is what we call a demand level. The logic for this is simple. For the price to move up that aggressively, there must have been very strong buying pressure on that area in the past. Which means if price comes back to that level [05:23] probability we'll see another reaction from buyers. The same concept applies to To identify a supply level, we look for an area where price made a sharp and aggressive move downwards. The area right before that aggressive downward [05:37] move is what we call a supply level. Again, the logic is simple. For price to have been strong selling pressure in that area. So, if price returns to that chance we'll see another reaction from sellers. [05:52] Now, let's identify the supply and demand levels in this chart. So, since bearish, I'm only interested in finding supply levels. So, I'm looking for recent areas where strong selling pressure occurred, which means we want [06:05] to look for a sharp and aggressive downwards move. On this chart, immediately we can spot two of them. One strong move here and another one over here. Both of these areas showed aggressive selling. To mark supply [06:17] levels, I take the last candle before the aggressive downwards move formed and draw a rectangle around it. So, these are our supply levels. And from this trades when price is at one of these levels. Now, let's analyze this first [06:32] As you can see, price actually broke right above it. Now, some of you might think, "Wait, I thought this was supposed to be a strong selling area. So, why did price just blast through?" [06:44] And this is a crucial point to understand. Supply levels aren't magic. They don't guarantee a reversal. A supply level simply tells us that strong selling pressure has occurred in the past. This is exactly why we never [06:58] blindly take trades just because price touches a supply level. We still need to apply the C part of the SLC system, which is confirmation. second. Now, let's analyze this second supply [07:11] level. Unlike the first level, this one hasn't been broken in or retested at all. So, based on this, there are two possible trade scenarios I'm watching. Scenario number one, for this level, since price never touched it, the plan [07:25] is simple. If price retraces back to that level, I'll look for confirmation that price is starting to reject before entering a short trade. Scenario number two, for this level, since it was broken to the upside once, we'll need a [07:37] different plan. We want to see the price break to the downside and retest it from below. Then, I'll look for a confirmation to enter a short trade off of that retest. But, keep in mind, this type of break [07:49] and retest setup is only valid if a supply level has been broken once. If it's been chopped through multiple times, it's no longer a valid level. Also, notice something similar between these two scenarios. Both are bearish [08:02] timeframe structure we identified earlier. So, let's see what price actually does. Here, we can see that price has started to move down into this supply level, but didn't manage to break cleanly below it. [08:15] And remember, for this setup to be valid, we needed a strong break below the level and then a proper retest. In this case, that didn't happen. So, because the setup requirement wasn't met, we don't even bother moving on to [08:27] the confirmation stage. Next, price begins to approach the other supply level above. This one is different. It has never been retested before, which makes this a potential trade setup. But again, we don't just jump into a trade [08:40] the moment price touches this level. We have to move to the final step of the SLC system, which is confirmation. During the confirmation step, our goal is to simply stack as many supporting factors as possible that favors our [08:53] Now, there are many types of confirmations that you can use within the SLC system. But to keep things simple, I'll show you one example using an indicator called the stochastic. I usually use it with these custom [09:05] and copy the settings so you can follow along. So, the specific confirmation I'm looking for is as price taps into the supply level, the blue stochastic line needs to break above the upper level and then crosses back down, which shows that [09:19] price was overextended and is now shifting back down. Now, if we actually go back to the previous time price hits the supply level, notice something important. As the price tapped into that supply level, the blue stochastic line [09:31] did break above the upper level, but it didn't cross back down. So, there was no that would have saved you from entering into a losing trade. Now looking at the supply level, we can see the blue stochastic line crossed above the upper [09:47] line and then crossed back down. This time there is valid confirmation. This completes the full SLC system for this setup. First we identified the structure, then we marked the high probability levels [10:00] and finally we have confirmation. Which means we can now take a short trade here. The stop loss goes slightly above the supply level and to take profit target set at 2R. And in this example, price moved down [10:12] perfectly. So you can see just how powerful the SLC system is. Not only did it stop us from taking a losing trade, but it also gave us a high probability winning trade and we did this without the guesswork, [10:26] without the stress and just by following a simple trading system. SLC system in your own trades, I actually created the SLC execution blueprint that you can download for free. This blueprint includes a [10:39] whenever you're trading. This checklist structure level and confirmation framework. You can keep it on the side wallpaper if you have to. I promise if you implement the SLC [10:53] you'll immediately begin to see improvements as you'll start trading the markets in a systematic way rather than using emotions. So if you're serious about improving your trading performance, click the link below, grab [11:06] the free SLC execution blueprint and start using it on your very next trade. start using it on your very next trade. I'll see you in the next video.