Video summary
How I Trade the 6PM & 8PM Session (Fair Price Theory on Funded Accounts)
Main summary
Key takeaways
Finance-focused summary (Fair Price Theory for 6:00 p.m. + Asian session on funded accounts)
Core idea / “fair price” targets
- Fair price = the 6:00 p.m. open (the price at the 6:00 p.m. market open, treated as the “fair” level).
- The strategy is motivated by the idea that futures are closed for about an hour, giving the instrument time to re-price toward “fair value.”
- The speaker claims news is the only thing that materially determines whether price respects the “fair price,” so news monitoring is emphasized during the sessions.
Session structure and trade counts
For each evening cycle, he plans 4 trades per day by running:
- 6:00 p.m. session:
- One continuation trade + one reversion trade
- Asian session (8:00 p.m. open):
- One continuation trade + one reversion trade
Rules vary based on whether the Asian open is:
- Close to vs far from the 6:00 p.m. fair price, and
- Whether any gap is filled.
Step-by-step methodology (as described)
Step 1: Mark the key level(s)
- Draw a horizontal line at the 6:00 p.m. open (treated as fair price).
- Identify:
- Whether there is a gap between session opens, and
- Whether that gap is filled.
Step 2: 6:00 p.m. session trading (continuation then reversion)
Continuation trade
- Take the trade in the direction of the opening candle.
- Typically aims to fill the gap (when applicable).
Reversion trade
- After the continuation move, look for reversion back to the 6:00 p.m. price.
Entry trigger
- Enter off a break of structure (BOS).
Step 3: Asian session (8:00 p.m.) trading (continuation then reversion)
Continuation conditions
- If the Asian open is far from the 6:00 p.m. fair price:
- Look for continuation in the direction of the 6:00 p.m. price, entering on the first BOS.
- If the Asian open is already at/near the 6:00 p.m. fair price (or the gap is filled):
- Skip Asian continuation, since the trade would be around fair price already.
Asian reversion
- Take reversion back to the Asian fair price / 6:00 p.m. fair area.
- Again, use BOS as the trigger.
Risk controls / execution guidance
- He often references waiting for wicks to die down for confirmation (example given: continuation trade).
- He warns that if you carry a trade too long (e.g., after an initial move), it can flip outcomes—a winning idea can become a loss.
Market/timeline context used in examples
- 6:00 p.m. open: main “fair price” reference for the evening.
- Asian session open: 8:00 p.m.
- Sunday special case:
- There are “48 hours” over the weekend for pricing.
- He claims Sunday 6:00 p.m. opens are more fair because the market had more time to price in.
Key numbers / performance-like claims mentioned
The speaker provides example-based “point” outcomes, including:
- 29 points: Asian continuation trade after the first BOS (example where Asian was far from 6:00 p.m.).
- 135 points (or so): subsequent Asian re-entry after stopping out, targeting the 6:00 p.m. open.
- 24 points and 46 points: Sunday 6:00 p.m. longs (two different BOS-based reversion entries).
- 25 points: “fill the entire gap” long variant targeting the 6:00 p.m. open after gap fill.
- 50 points in your favor: a later Asian short setup described as more “guaranteed to win” than earlier invalidated attempts.
- 80 points back to the 6:00 p.m. price: a Tuesday trade after a “Trump tweet” disrupted fair price.
- 15 or 28 points: Monday Asian reversion targets near a fair area.
- 15 points + 28 points: both appear as favorable “in your favor” ranges depending on entry/target.
Note: The speaker does not provide consistent statistics such as win rate, batting average, drawdown, or other formal performance metrics—mostly examples.
Explicit recommendations / cautions
Backtesting requirement
Before replicating, he says to:
- Backtest using the fair price targets and test whether the approach produces expected value.
News caution (major)
- He explicitly states news is the only thing that impacts whether moves follow fair price.
- He recommends monitoring ForexFactory (on another monitor).
When not to take trades
- Skip continuation trades when the Asian open is already at/near fair price (since it would be trading “fair” rather than exploiting unfairness).
- Avoid setups where structure is not actually broken (he references invalidated setups).
Timing caution
- If you let a move run past the optimal window, it can turn a winning idea into a loss.
Disclosures / disclaimers
- No formal “not financial advice” disclaimer was included in the subtitles provided.
- The approach is described as being used for funded accounts, without legal-style risk disclosures.
Tickers / instruments / sectors mentioned
- No specific tickers, ETFs, stocks, bonds, commodities, or FX pairs are named.
- The strategy appears aimed at futures (suggested by references to futures being closed), but the exact instrument is not specified.
Presenters / sources mentioned
- Presenter: the strategy speaker (name not provided).
- News monitoring source: ForexFactory
- News event referenced: a “Trump tweet” (no specific asset tied to it is mentioned).