About this video

• Video Title: ICC Bootcamp | Start here if you're new to trading... Trust me bro
• Channel: Wick Sauce Ro
• Speakers: Not explicitly stated, but the primary speaker is likely the channel owner or an instructor.
• Duration: 03:05:03

Overview

This video serves as an introductory bootcamp for trading, focusing on the fundamental principles of International Capital Corporation (ICC) strategy, particularly price action and market structure. The speaker aims to demystify trading by emphasizing the importance of understanding price charts, tracking highs and lows, and identifying trends, while also aiming to disrupt the industry by offering this knowledge for free.

Key takeaways

• Understanding Market Trends: The video explains how to identify uptrends (higher highs and higher lows) and downtrends (lower highs and lower lows) by tracking price movements.
• Concept of "Change of Character" (CoC): A key concept is learning to recognize when a trend might be reversing, identified by a violation of the established pattern (e.g., a higher high after a downtrend, or a break of structure).
• Importance of Patience and Confirmation: The speaker stresses that a "Change of Character" is an indication, not a trade signal. Traders must wait for further confirmation, such as a higher low after a higher high (or vice versa), before entering a trade to increase the probability of success.
• Tracking Highs and Lows is Fundamental: The core of the ICC strategy, as presented, lies in accurately tracking highs and lows to understand market structure and identify potential trade setups. This skill is emphasized as the foundation for successful trading.
• Trading is About Probabilities, Not Certainties: The video highlights that while trading involves risk, adhering to fundamental principles and waiting for confirmed patterns significantly increases the probability of profitable trades, moving away from the idea of trading as mere gambling.

Here's a step-by-step process for trading the ICC strategy as detailed in the video:

Phase 1: Understanding Market Structure (Tracking Highs and Lows)

1. Identify the Current Trend:

   • Downtrend: Characterized by a sequence of Lower Highs (LH) followed by Lower Lows (LL). (LH, LL, LH, LL...)
   • Uptrend: Characterized by a sequence of Higher Highs (HH) followed by Higher Lows (HL). (HH, HL, HH, HL...)
   • Sideways Market: Price moves within a range, not establishing clear higher highs/lows or lower highs/lows. The speaker advises against calling this a "trend."

2. Master Tracking Highs and Lows:

   • Accurately identifying highs and lows on the chart is crucial.
   • Differentiate between external (overall) and internal market structure highs and lows.
   • The speaker emphasizes using the wicks of the candles (the highest/lowest points) for marking highs and lows, creating "zones" rather than single lines for precision.

Phase 2: Identifying Potential Trend Changes (Indication)

1. Recognize a "Change of Character" (CoC):

   • This occurs when price violates the established market structure.
   • In a Downtrend: A CoC might be a higher high (violating the LH pattern) or a break above a previous high.
   • In an Uptrend: A CoC might be a lower low (violating the LL pattern) or a break below a previous low.
   • Alternative CoC: Sometimes, a higher low can be the first indication of a potential trend change from a downtrend, especially if price fails to make a new lower low.

2. Wait for the "Indication":

   • An "Indication" is when price breaks a significant previous low (in a potential shift from downtrend to uptrend) or a significant previous high (in a potential shift from uptrend to downtrend). This is equivalent to a "Break of Structure" (BoS).
   • This is Phase 1 of the ICC strategy.

Phase 3: The Correction Phase (Waiting for Confirmation)

1. Do Not Trade the Indication Immediately:

   • The indication is like a car's turn signal – it shows intent but doesn't mean the maneuver is safe or complete.
   • Allow "traffic" (other market participants) to move. Wait for price to retrace or correct after the indication.

2. Wait for the Requirement:

   • For a Sell Trade (after a downtrend indication): Price must come back above the level where the indication occurred (the broken high) and then fail to continue higher, eventually closing back below that level. This confirms sellers are still in control and it's safe to sell.
   • For a Buy Trade (after an uptrend indication): Price must come back below the level where the indication occurred (the broken low) and then fail to continue lower, eventually closing back above that level. This confirms buyers are still in control and it's safe to buy.
   • This waiting period is called the "Correction Phase" and is considered the hardest part due to the need for patience.

Phase 4: The Continuation Phase (Entry)

1. Enter After Confirmation:

   • Sell Entry: Enter when price closes back below the indication level (the previous high that was broken).
   • Buy Entry: Enter when price closes back above the indication level (the previous low that was broken).
   • Using multiple time frames (e.g., 1-hour and 30-minute) can help confirm entries if the higher time frame is unclear or the move is too far.

2. Set Stop Loss:

   • Place the stop loss above the most recent high (for a sell) or below the most recent low (for a buy) that occurred before the break of structure (indication). This is where your trade becomes invalid if price moves against you. The speaker personally tightens this based on their analysis of internal structure to manage risk.

3. Set Take Profit (TP):

   • TP1: The first take profit target is typically the low (for a sell) or the high (for a buy) that occurred at the time of the indication.
   • Further TP levels can be considered based on overall market structure and risk management.

Key Principles to Remember:

• Patience: Do not force trades. Wait for all conditions to be met.
• Precision: Mark highs and lows accurately, preferably using the entire wick range to create zones.
• Confirmation: Always wait for price to confirm the move by closing beyond the critical level after the indication.
• Risk Management: Use stop losses to protect capital and place them strategically based on market structure.
• Basics are Key: Focus on mastering these fundamental concepts before moving to more complex strategies.