Trading with Smart Money(SM) Tutorials
In this Trading with Smart Money tutorial series, we will cover all the features of Trading and Smart Money. You will learn from the basic to advance level features of Trading and Smart Money as we progress in these tutorial series. You can also access our Premium Videos for Free from our YouTube channel: https://www.youtube.com/c/LearnToTradeLTT.
How does the market really work?
All financial markets work on the universal law of Supply and Demand.
Law of Demand– The higher the price of an item, the fewer the demand (buyers don’t want to buy at a higher price), and the lower the price, the higher the demand (buyers want to buy at a low price)
Law of Supply– The higher the price of an item, the higher the supply (sellers want to sell at a higher price) and lower the price, lower the supply (sellers don’t want to supply at a lower price
So prices go up to find sellers and then go down to find buyers
Let’s think from the perspective of a big player/smart money(SM). Smart Money (SM), what they do is remove the floating supply of stock by buying, this process is called accumulation. Now they have the power to move the stock up or down.
When general market conditions appear favorable, Smart Money can then mark up the price of the stock At some time in the future, a point will be reached when the SM will take advantage of the higher prices obtained in the rally to take profits by beginning to sell the stock back to the uninformed traders/investors. This is now called the distribution phase.
Why does the price move?
What truly moves the price is AGGRESSION. If the price goes up, then the buyers are more aggressive. If it goes down, then sellers are more aggressive.
If you are aggressive, you want to buy or sell NOW. If you want something NOW and you want to be 100 % sure you will get it, you need to use MARKET ORDER. This type of order means that whatever the price is, your order will get filled. In other words: you place a MARKET ORDER to buy or sell immediately at the best available current price
It is the aggressive market participants, who drive the price aggressively up or down with their market orders. This is the true reason why the price moves. After accumulation or distribution, the smart money AGGRESSIVELY moves the price higher or lower
Who they are?
- They Actually move the market, they have the power
- They have the ability to influence values and direction
- They have the ability to pick against the trend or to pick top or bottom
- They usually move the price at a very low volume
How to spot Smart Money (SM)?
- The Spread (i.e. range of the price bar)
- The Close (the point where the price closes on the current bar)
- The Volume (i.e. activity),
How to trade with Smart Money?
So, TRADING WITH Smart Money IS ABOUT to GO WITH Smart Money IF THEY BUYING WE WILL BUY. We will discuss all topics in greater detail in a step-by-step process
I am R. Ratnakar and working as a day trader. Trading since 2015 in stock and future. I am a learner of the stock market and am still, learning and updating my skills. I have decided to help aspiring traders by reducing their learning curve by giving what I learned. Please join my Telegram Channel and YouTube Channel as well as my Facebook Group to learn more and clear your doubts.
Trading involves the risk of financial loss. The information provided here is for education purposes only.
Note: If we missed any topics or if you want to learn any topics, then let us know by giving a comment in the comment box and we will definitely make a video as well as publish an article on the same as soon as possible.
Become a Premium Member and Get all Benefits
To get all the benefits, first, create your Trading and Demat Account using any of the below links.
- Create Angel Broking Account: https://tinyurl.com/yzb5fgha
- Create Upstox Account: https://upstox.com/open-account/?f=3GAX88
- Create Zerodha Account: https://zerodha.com/open-account?c=ZOPDAE
- Create Fyers Account: https://open-account.fyers.in/?utm-source=AP-Leads&utm-medium=AP1017
Once you create your Trading and Demat Account using any of the above links, then share your registered email id and mobile number to the below Email Id:
Then only you will get the following Premium Benefits.
- Free lifetime access to our tutorials (https://dotnettutorials.net/course/trading-with-smart-money/)
- Free lifetime access to our premium videos on our YouTube Channel (https://www.youtube.com/c/LearnToTradeLTT)
- Free access to our Telegram channel (https://telegram.me/tradingwithsmartmoney)
- Free access to our Private Telegram group. Once you create your account using our link, then you will be added to our private group.
- You can join our mentorship program without any cost. More than 15k people are already getting benefits from this program.
- Directly interact with us through email, WhatsApp, and Telegram.
- You will be eligible for our mentorship program where you can attend the live classes.