The 10 AM Market Secret
45sThe promise of a specific daily market event and the potential to make money creates immediate intrigue.
▶ Play ClipAI Summary
The video presents a day trading strategy centered on the 10:00 AM market open, using concepts of accumulation, manipulation, and distribution to identify high-probability trades. The creator demonstrates the strategy on a 1-hour and 5-minute timeframe, incorporating a fair value gap entry and a custom Fibonacci tool for profit targets. The video concludes with backtest results showing a 66.67% win rate and 44.4% total profit over 20 trading days.
Chapters
[00:00]
The 10 AM Market Phenomenon
The creator claims that a specific market event occurs every morning at exactly 10 AM, which can be exploited for profit. He shows charts of the past 9 trading days to illustrate this recurring pattern.
[00:24]
Core Strategy: AMD
The strategy is named 'AMD' (Accumulation, Manipulation, Distribution). It involves identifying a period of sideways price movement (accumulation), followed by a liquidity grab (manipulation), and then a sharp move in the opposite direction (distribution).
[01:36]
Step 1: Establish Market Bias
Using the 1-hour timeframe, the trader determines the overall market trend. Lower highs and lower lows indicate a downtrend, while higher highs and higher lows indicate an uptrend. This bias guides the trade direction.
[01:50]
Step 2: Focus on the 10 AM - 11:30 AM Window
Trades are only considered between 10:00 AM and 11:30 AM Eastern Standard Time. This time window is marked on the 5-minute chart with two yellow lines, and only setups occurring within this period are valid.
[02:18]
Step 3: Identify Accumulation and Manipulation
Within the yellow lines, the trader looks for accumulation (sideways movement) followed by manipulation. For a bullish bias, the manipulation must be a move to the downside, which is seen as a liquidity grab.
[02:46]
Step 4: Enter at the Fair Value Gap
After manipulation, a large price spike creates a 'fair value gap' (FVG). The entry is placed when price retraces back into this gap. The stop loss is set below the low of the manipulation move, and the initial take profit is at the recent highs.
[03:16]
Optimizing Take Profit with Fibonacci
To improve profit targets, the creator modifies the Fibonacci tool settings to specific values (0, 0.79, 0.62, 0, -1, -2, -2.5, -4). The levels -2 and -2.5 are colored red, creating a 'red zone' for taking profits.
[03:45]
Applying the Fibonacci Tool
The Fibonacci tool is drawn from the low of the manipulation move to the most recent high. The red zone (between -2 and -2.5) is the recommended area to take the majority of profits, especially if it aligns with other confluences like buy-side liquidity.
[04:44]
Backtest Results
The strategy was backtested over 20 trading days, taking 15 trades. The win rate was 66.67%, and the total profit rate was 44.4%. Starting with $100,000 would have resulted in a profit of $44,406.91.
[05:27]
Promotional Segment
The creator promotes a copy trading feature on Hankotrade, claiming to have turned $50,000 into $231,000 by following top analysts. This is presented as a separate opportunity from the main strategy.
The video provides a structured day trading strategy based on the 10 AM market open, with clear entry and exit rules. While the backtest results are promising, the strategy requires discipline and a clear understanding of market structure, and the promotional segment should be viewed with caution.
Mentioned in this Video
Tutorial Checklist
1
01:36
Go to TradingView and open the 1-hour timeframe for your chosen asset. Determine the market bias: higher highs and higher lows = bullish, lower highs and lower lows = bearish.
2
01:50
Switch to the 5-minute timeframe. Mark the time window from 10:00 AM to 11:30 AM Eastern Standard Time with two vertical lines. Only consider trades within this window.
3
02:18
Within the yellow lines, look for accumulation (sideways price movement) followed by manipulation. For a bullish bias, manipulation should be a move to the downside.
4
02:46
After manipulation, wait for a large price spike to create a fair value gap. Place your entry when price retraces back into this gap. Set your stop loss below the low of the manipulation move and your initial take profit at the recent highs.
5
03:16
To optimize take profit, modify the Fibonacci tool settings: change values to 0, 0.79, 0.62, 0, -1, -2, -2.5, -4. Make all values grey, then make -2 and -2.5 red.
6
03:45
Draw the Fibonacci tool from the low of the manipulation move to the most recent high. Take the majority of profits in the red zone (between -2 and -2.5), especially if it aligns with other confluences like buy-side liquidity.
Study Flashcards (8)
What does the acronym AMD stand for in the context of this trading strategy?
easy
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What does the acronym AMD stand for in the context of this trading strategy?
easy
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Accumulation, Manipulation, Distribution
00:24
What is the specific time window for taking trades in this strategy?
easy
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What is the specific time window for taking trades in this strategy?
easy
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10:00 AM to 11:30 AM Eastern Standard Time
01:50
What is a 'fair value gap'?
medium
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What is a 'fair value gap'?
medium
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A large jump in price where there is a gap between the candle before the big move and the candle after it.
02:46
What are the custom Fibonacci settings recommended for this strategy?
medium
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What are the custom Fibonacci settings recommended for this strategy?
medium
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0, 0.79, 0.62, 0, -1, -2, -2.5, -4
03:30
What was the win rate of the strategy in the backtest?
easy
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What was the win rate of the strategy in the backtest?
easy
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66.67%
06:10
What was the total profit rate over the 20-day backtest?
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What was the total profit rate over the 20-day backtest?
easy
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44.4%
06:10
What is the purpose of the 'red zone' in the Fibonacci tool?
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What is the purpose of the 'red zone' in the Fibonacci tool?
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It is the recommended area to take the majority of profits.
03:57
How many trades were taken in the 20-day backtest?
easy
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How many trades were taken in the 20-day backtest?
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15 trades
05:55
💡 Key Takeaways
🔧
The AMD Strategy Framework
Provides a clear, memorable framework for understanding market movements, making it a foundational concept for traders.
00:24
🔧
Time-Based Trade Filter
Introduces a specific time window (10 AM - 11:30 AM) that adds a unique filter to trade selection, potentially increasing reliability.
01:50
🔧
Fair Value Gap Entry
Offers a precise, rule-based entry method that is popular in price action trading, providing a clear trigger for execution.
02:46
🔧
Custom Fibonacci Profit Target
Shows a specific, non-standard use of Fibonacci extensions to identify profit targets, adding a unique edge to the strategy.
03:16
📊
Backtest Performance Metrics
Provides concrete data (66.67% win rate, 44.4% profit) that gives viewers a realistic expectation of the strategy's potential.
06:10Full Transcript
[00:00] Every single morning at exactly 10am, something specific happens in the market. And if you get good at spotting it, you can make a ton of fn money. For example, here are the past 9 trading days. But, if you look closely.
[00:12] At exactly 10am on all of these charts, are strategy is taking place. and I will even prove that to you by sharing my own personal private backtest results at
[00:24] The main component of this strategy, we will be using is AMD. I m talking about amd the trading strategy. Its really pretty simple actually.
[00:37] You basically want price to move sideways or to consolidate like this. Which is called accumulation. There will be resting liquidity above and below these areas. Which will give us fuel for a big move.
[00:50] Next you want some form of a liquidity grab to the upside or downside. it needs to manipulate to the downside first. If the chart is going to move lower, its need to manipulate to the upside first. Once price manipulates in either direction,
[01:06] it tends to sky rocket to the opposite direction. Which is the distribution. Which gives us accumulation, manipulation, and distribution. Now, if the market is bullish. You re going to see an open,
[01:20] to see an open, a high, and then a low. This concept is what s going to help us predict what the market will do next. BUT, we have some important steps we Go to tradingview, if you don t yet have it, I ll put a link in my description.
[01:36] To do this I like to go to the 1 hour timeframe. Usually, this will be pretty clear to spot. If the market is making lower highs, and lower lows. It s a downtrend.
[01:50] clearly bullish, so that will be our bias. Next step, go to the 5 minute timeframe We are only going to look for trades at exactly 10 am to 11:30 That s eastern standard time. Or 30 minutes after the market opens.
[02:06] So we are going to mark this time zone with two yellow lines. One at 10 am, one at 11:30 We only look for a trade setup inside these two yellow lines. If a trade setup happens outside
[02:18] if the setup happens inside these yellow lines. Since we have a bullish bias we want to see two things happen inside these yellow lines. Accumulation, and then directly after, movement or in other words, accumulation. So we re good there.
[02:34] Next we want to see some manipulation. Since we have a bullish bias, this manipulation needs to head towards the downside. Which is exactly what happens. Once both of these things happen, we need to look for a spot to enter a trade.
[02:46] I prefer finding a fair value gap for this. A fair value gap is simply just a large jump in price where there is a gap between the candle before the big more and the After our manipulation to the downside, we see a large spike in price.
[03:02] This is where our entry will be. Wait for price to come back down to this gap. Set our stop loss below the low and set our take profit at the highs. Boom you got an easy winning trade. But we ran into a slight problem.
[03:16] But there s a little trick you can do in order to get even better take profit areas. Next go to the settings. Make sure you're on the styles tab
[03:30] And youre going to want to change these values to 0, 0.79, 0.62, 0, -1, -2, -2.5, and -4. Make all these values grey Then make -2 and -2.5 red.
[03:45] Now going back to our previous trade example. We still have the same set up with accumulation at our fair value gap for our entry. You re going to grab your Fibonacci tool
[03:57] Mark from the low of the manipulation move to the most recent high. This red zone is where you should be looking to take the majority of profits. It s even better if this red zone is in alignment with some other confluences.
[04:12] In this example, it aligns with our buy side liquidity, which is absolutely perfect. Now instead of taking profit at this level like we did last time. We now set our take profit at this red zone as we also know it aligns with a confluence on a higher timeframe.
[04:28] Now if you know my channel at all, I like to test my strategies before sharing them with you. So basically I do all the vigorous testing, using countless hours of my life, and test the strategy day and night to see if the strategy is even profitable in the first place.
[04:44] While you eat a bag of potato chips and get to see the results within a couple of seconds while I backtested this strategy for a whole month and the results are absolutely shocking
[04:56] But before we get into the backtest results, let me show you something real quick So a couple of videos ago, I said I was going to test this copy trading feature on hankotrade. It s basically a feature that allows you to copy top performing trading analysts
[05:09] them and their win rate. All you have to do is simply click this follow button and it will automatically take all the trades the analysts takes. I tested this feature with $50,000 a couple months ago and my account balance is now 231,000
[05:27] Yes, you heard me right. 231,000 Just from clicking a follow button They also just released a mobile app so you a link to hankotrade in my description. Let s get to those backtest results shall we?
[05:43] to start with and I let it trade using the parameters of the strategy I just taught you. The chart had to have accumulation and manipulation. And it had to
[05:55] happen in between 10am and 11:30. I tested this strategy for a total of 20 trading days and it took a total of 15 trades. Which means, the chart fit our parameters for our strategy 15 out of the 20 days. Or 75% of the time. So as you can see,
[06:10] this setup happens pretty often. Within these 15 trades, it had a winrate of 66.67 % and had a total profit rate of 44.4%. Which means, if you started with $100,000 you
[06:24] would have made $44,406.91 In 20 trading days. DM on Instagram and let me know how it works for you. Thanks for watching and ill see you guys next time.
