Batch 40 Trading Course: Introduction and Road Map to Success

This set covers vocabulary and core concepts from the introductory lecture of Batch 40, ranging from technical indicators like SMC and VSA to risk management and psychological preparation.

Batch 40

The official annual trading course batch that incorporates updated market features while maintaining the core theme of the instructor's long-term strategy.

$95\%$ Plus Mandate

The strategy's target for high probability trade setups, acknowledging that while stop losses occur, the focus is on setups with a very high success rate.

Road Map to Success

The primary focus of the first class, designed to provide students with a clear path and mindset to achieve trading proficiency.

Market Structure

The foundational concept taught in the second module, focusing on how price moves, including advanced structures and support/resistance levels.

Smart Money Concepts (SMC)

The study of institutional behavior to identify valid levels for entering trades, including the use of Order Blocks and Fair Value Gaps.

Order Block

Specific areas on a chart where institutional activity is concentrated, used as levels for trade entry.

Imbalance / FVG (Fair Value Gap)

Terms used to describe price gaps or inefficiencies that the market often returns to fill before continuing its trend.

VSA (Volume Spread Analysis)

A methodology used for entry confirmation by analyzing the relationship between volume and price movement (the spread of the candle).

Trend Is Your Friend

A core trading principle emphasizing that staying aligned with the market flow ($\text{bullish}$ or $\text{bearish}$) is the most critical element for success.

Risk Management

The process of protecting an account by limiting potential loss, such as risking only $1\%$ or $2\%$ of the total capital per trade.

Liquidity

Zones in the market, such as equal highs, equal lows, or session highs, where orders are concentrated and price is likely to be drawn.

Wyckoff Trend Lines

Specific lines used to identify market trends, entry points, and profit targets based on established volume-price theories.

TradingView

A charting and analysis platform mentioned as a primary tool for conducting technical research and backtesting.

MT 4 and MT 5

The standard trading platforms used for executing trades in the market.

$1:2.5$ Ratio

An example of a risk-to-reward ratio mentioned in a high probability five-minute setup where the return is multi-fold compared to the stop loss.

Intra-day Trading

A trading style where trades are typically held for a few hours (one to four hours) and generally do not exceed the following day.

Compounding

A long-term wealth-building strategy where a portion of profits is reinvested into the account, potentially growing a smaller account (e.g., $\$1,000$) significantly over three to four years.

Base Camp

An analogy used for the initial learning phase of the course, representing the starting point before reaching the 'top' or ultimate goal of trading proficiency.