The trade pyramid: how traders actually progress

Hello to all dear students. The new course with exclusive tools from ICF market is ahead of you. We will go through this course together. We will get acquainted with the tools. Those who have come from previous courses, the content techniques and systems have been updated a bit because we have been able to develop the tools. We have included a variety of techniques especially in the footprint section and the trend trading section. The upcoming course its PowerPoint and the images that will be shown will be in English because it will be presented in two languages. Don't worry about the meanings of these. Throughout the course and in the videos, I will explain each of these to you along with their meanings and explanations. All right, let's go back to the very beginning and start by talking in detail about the fundamental basics of the market as well as our overall approach and way of thinking about how the market operates and how we interpret its movements and trends. Before we get into volume trading, technical analysis, and these important topics, we need to review some key points and essential concepts together here. You see, you may have attended a few more different courses or learned a variety of different techniques and methods. Sometimes you notice that the methods you are applying work in some situations. In some situations, they don't work. You get stopped out or you can't achieve a satisfactory win rate. I want to draw our attention to this point. The market is not solely and exclusively about technical analysis. If you have the mindset that there is a technical method that can give you a 90 or 100% win rate, all of that will only be temporary. That is in a certain part or period of the market. The technical style you use might give you a very very high win rate but most of the time or in other areas, other ranges or under different conditions, it won't deliver the necessary performance. In this lesson, we want to talk about the structure of trading and the structure of financial markets. Look, we have a trading machine. This trading machine is operating in the financial markets. Financial markets are not just about technical analysis. This trading machine is made up of different components. Even if you write a robot or an algorithm that performs better than a human and can do a lot of work, but it is purely technical, you still can't get a win rate of 100 or even 90 from it. This means it is only operating in the realm of technical analysis inside the market.

Two, in designing algorithms that operate purely on technical analysis, risk management is extremely important. That is, when you want to design that robot or algorithm for the long-term market based on technical methods, you need a very powerful risk management system to cover that gap as much as possible. But still we won't have a win rate of 90 or 80 in this way. As I said it might happen temporarily but it won't always be the case. Achieving that level of win rate might occur at certain points in the market provided that you have followed all the conditions but it only happens occasionally. But your mindset shouldn't be that every trade you make is going to be profitable. That's why this trading machine exists. So you can recognize different points, know the conditions, so you can assess the risk, then perform technical analysis and only after that execute the trade. So from the very beginning, your mindset shouldn't be that you have a system with 90% performance. It's not like that. Different and varying conditions can cause this to go up or down. Let me go back to the trading machine. You see the market basically the overall structure of it runs on these four gears. The very important aspect of the market is what creates those very large movements. It creates long-term trends. This is the topic of fundamentals and timing analysis. When we talk about fundamentals, it means that if someone says, "I don't want to learn fundamentals. I'm not interested. I just want to learn technical analysis." They need to know that a significant portion of their trades won't be covered by the news. And this can lead to mistakes or push them toward making mistakes. In other words, technical analysis might give them a signal to enter. they take the position, hit their stop-loss and then wonder why the market dropped so much. Here for example, the conditions were my trading plan. So if you want to ignore the fundamental aspect in trading, if you say you don't want to consider timing or fundamentals, then you also have to accept that you might lose up to 30% of your win rate. So this is a very important point. We're not going to discuss fundamentals here for now. We'll cover fundamental analysis in upcoming lessons because it's a very important part. Timing and timing analysis are also important. Meaning you need to know when you should be present in the market. This timing comes from the fundamentals. I want to give you a hint so you understand what timing is about. There are times when you say the market has become range-bound. We want to know when the market will become range-bound before that actually happens. Otherwise, when the range actually happens, we might enter a sideways or range-bound market within a 5-day period. And on a certain day, we might want to say, for example, using my method and style that we want to start trading from the bottom and top of this range-bound area. And we start trading, but we quickly get stopped out because we didn't know the fundamentals or the timing. Sometimes in the market if we don't know the fundamentals like what news is ahead of us how important it is and how much attention the market is paying to it we can't implement the timing aspect. So I need to know the fundamentals. Look our course is not about fundamentals. We don't cover fundamental topics either. Most of our discussion is about trading volume and the technical part. Although we will provide you with some material on fundamentals, you should expand your knowledge of fundamentals more and more. You need to place great importance on your fundamental knowledge. Well, for example, when I'm in a period where the main upcoming news is the Federal Reserve's interest rate decision 4 days before this announcement, the market will naturally go into a range. So, in this timing scenario, I know that I can use fishing strategies. Why? Because the market won't move much. It will be waiting for the Federal Reserve's interest rate announcement. So before these four days arrive and the market takes shape, you already understand that it's highly likely we'll see this ranging movement in the market during the coming week or the next 4 days. So it's very important to learn these things from the fundamental side. Another aspect is sentiment. That means we need to analyze the market sentiment. Part of this market sentiment comes from the fundamentals and part of it comes from the technical side. We'll discuss those that are on the technical side together. We'll teach you how to understand what the current market sentiment is and how you can read it. But from the fundamental side, you need to learn this perceptually. Meaning over the period of time you spend and the experience you gain, you'll come to understand it. For example, let me give you an example. For instance, a CPI report might be released at a time when the Federal Reserve has no incentive to raise interest rates, but the CPI figure or the inflation rate indicates rising inflation. As a result, you may notice that the market doesn't react with a significant downward move in response to that situation. These are the kinds of issues that you are supposed to gradually perceive and understand. But from a fundamental perspective, you understand here what the market is looking for. If the market isn't moving, you need to look at the upcoming news. What are the motivations for movement in which news items are they hidden? The kind of news that shows you how the market is currently thinking about something or when a piece of news comes out and a quick technical move happens in the market. This is the immediate sentiment which you learn about in a technical way. But for bigger moves, you need to have the kind of understanding that others especially the big players are aware of. we are talking about larger movements. The point I want to make here is that look in technical analysis you might say for example I want to do day trading or for example I want to do scalping even the person who does scalping and the one who wants to do day trading it really makes no difference if you don't know the fundamentals you might come in that day and do a technical trade for day trading you enter a position and it doesn't move or some news has come out and it's after the news. If you don't understand what this news is referring to or which direction it has pushed the market sentiment for the long term, you might enter based on the market's short-term sentiment, but the market doesn't move and hits your stop-loss. But if you can understand the market's long-term sentiment from the fundamentals and know which direction it's heading, then when the technicals move against the fundamentals, it's a move that's just meant to fill orders. We'll get to that in the upcoming lessons. In those situations, you won't fall into the trap anymore. You wait until it reaches your technical zone and then you move in the direction of the fundamental news and the market sentiment. Once you have followed these points, there is another topic called risk management which means you need to manage your risk. Look to summarize this point in trading even if you know all these factors if you don't observe risk management you will still end up failing. In other words, it's not about the win rate. Your account will be wiped out when you start thinking about how much risk you are going to take on this trade and you clearly define your risk amount. Then build your trade based on fundamentals, technicals, and sentiment. Even if I end up falling into the trap of algorithms or fall into the trap set by the big players in the market, it's risk management that helps me. That's when I can exit the market with a very small loss. Those who didn't have risk management, as someone who has years of experience and has worked in this field, I'm telling you this, their accounts are doomed to fail. Those who trade often get emotional and remove their stop-loss. In other words, they disrupt their risk management and that's when the market turns against them. They start using Martingale strategies. All of these in the end will ultimately lead to the destruction of your account in the long run. So what we know from the market structure is that these four gears are supposed to give us a trading plan. It's only after we have this trading plan that we get to the topic of the trader. The psychology of a trader. That is we've got the plan. From here, we know exactly where we should enter. We set the risks there and we want to put the trade into action. For those who are new to the world of trading, let me say this, working in demo mode or with virtual money is only good as long as you are mastering the technical aspects. That is, when it comes time to execute the plan, when it's time to implement the trading plan, you shouldn't run into problems.

Where should I have placed the order? Which point is this here? At which location in the market am I positioned? In other words, demo trading is just practice for mastering execution.

It doesn't add anything to your psychology. So, you need to pay attention to the fact that a certain amount of time is necessary. As someone who wants to practice as a trader, whether you're a day trader, a swing trader, or a scalper, you need to spend a period practicing in demo mode. Demo trading simply helps you with your temperament as well as the coordination between your eyes and hands and all of these important things so that you can actually implement a well thought out and effective trade plan.

So that's just how important the demo is for us in our overall process. It really plays a crucial role in helping us prepare. But if you reach a point in demo mode where you are able to execute trades smoothly and without encountering any issues, then that level of proficiency is more than enough for our purposes. After that, if you think about staying in demo for 2 or 3 years, the demo won't add anything more to you. A person's psychology or a trader's psychology doesn't work like that. Just because you're proficient in technical analysis doesn't mean you can implement it exactly the same way. A trader psychology develops over time. It's like a pyramid that you have to climb step by step gradually. At the very bottom of this pyramid structure, you are at a stage called incompetence. In other words, you are at the foundational base essentially known as unconscious incompetence. In this stage of unconscious incompetence, the point I want to make is that if you have come from other styles and have learned previous techniques, at this stage you should consider yourself in a state of unconscious incompetence because you are about to learn a different kind of technical analysis compared to what you have learned before. Well, this stage of unconscious incompetence which is represented by this red base is when you really have no clue about what you want to do or how you are supposed to implement a system. In this stage, you are more likely to be influenced by what you've heard from others, rumors, or you might fall into delusion, denial, lies, and things like that. You can't apply the correct technical approach because you don't really know the technicals yet. You don't understand the market structure and you don't know how these gears are supposed to work together to give you a trading plan. So once you've completed this course, you'll move out of this previous stage and enter the next stage. That happens when you are able to at the very least apply the technicals in a demo mode even if only in a simulated environment. Here at this point you enter the second stage which is known as conscious incompetence. You now know what ability truly means. That is you've become aware of your own weaknesses and limitations. If you're incapable you're at least aware of what you don't yet understand and you recognize the gaps in your knowledge. When some news comes out, you don't just rush to trade it anymore because at the very least, you know, you have no idea about fundamentals. So, I shouldn't make a mistake here.

And even if you do actually make a mistake, you realize it while you're working, that is, you now know in fact when you're making a mistake. You have the right information available to you to activate, learn, and apply it in your trading. And you're fully aware that if you happen to make a mistake in this particular part of trading, when you look back later on or perhaps hit a stop-loss and then review it, you realize, yes, for example, I misread the trend at that moment. There was news, but I didn't check it. I traded during the news or I didn't follow my risk parameters. I tempered with the stop loss. My daily risk limit was reached. At this stage, you're at a point where sometimes you might make a profit. Sometimes you might incur losses. Moving from this stage, which involves developing your foundational trading skills and strategies to a higher level is when you essentially become an institutional type trader. Meaning you start to operate with the discipline, mindset, and methods used by professional traders in large financial institutions. Those who are at this level are considered institutional traders. They are regarded as professional traders which means they have developed a high level of skill, discipline and understanding of the markets and you will have achieved what is known as a conscious competence. Advancing to this stage is very challenging and requires significant dedication and perseverance. You need to practice consistently for several years. continually expand your knowledge of trading fundamentals and ensure that you have traded on a real account to gain practical experience. If you would like, I am more than happy to go back and explain this part to you once more, making sure you fully understand each aspect. At this stage below, you are in demo mode. You are not in real mode. Here you are supposed to take courses and gain knowledge. You need to move out of this state of unconscious incompetence. Don't act emotionally. That's something for later stages. But at the very least, be aware technically and be aware fundamentally. This stage is the one you go through in demo mode. You will go through this part in the demo discussion. The next stage is when after gaining enough knowledge, you enter the state of conscious incompetence. In this stage of conscious incompetence to move on to the next stage, you need to have a real account. This is where your psychology will really get involved. Now, what is this psychology all about? It's very extensive. I'll give a brief summary of this topic here so you understand how much you need to work in this area. Part of your psychology is related to your body's defense system against dangers. The evolution that humans have undergone over time has led to an enzyme and hormone called cortisol. This hormone cortisol helps you react quickly in dangerous situations. But the problem it causes is that it reduces your deep and rational thinking, making you more reactive.

For example, if you are driving on a two-way road and suddenly an obstacle appears or an animal comes onto the road or a car swerves into your lane, the decision you make in that moment is not a rational one. It's a reactive response. Therefore, getting past this stage requires that you are able to consciously control yourself in a cortisol rich environment. That is when cortisol is present in your bloodstream and reduce its effects. This will not be possible all at once. It requires you to make a lot of trades. Not in the sense that you should do 2,000 trades in a single month. No, it means that you should be present in the market over a long period of time. See the different market conditions. Reach a proper understanding of fundamentals, timing, sentiment, technical analysis and risk. And repeat trading so many times that the conditions or as we say your fear dissipates. A scientific example of how you want to move from this stage to the next is like a parkour athlete who wants to jump between two buildings that are 6 m apart and for example are 40 or 50 m high. At first he doesn't just go and do it. fear the level of cortisol in his blood and other mental conditions will not allow him to do this. So this person has practiced beforehand on solid ground. He has done these exercises at lower heights and shorter distances. For example, he has done it at 4 m at 2 m. Then little by little he increased the height and step by step reached a point where now he puts on an incredible show. Moving between two tall buildings 6 or 7 m apart at heights of 50 or 40 m for us to see. This is exactly what you need to do in trading. Just like a parkour athlete with small steps, even if you have a large amount of capital, 20,000, $100,000, whatever it is, you should not invest all your capital at once in the area where you are starting. Start with a small amount of capital, even if it means beginning with cent accounts. Start with small cent accounts because in an environment like this, your subconscious will inevitably feel that stress. If cent accounts do not give you that stress, then set your account at a level that does. You need to put in an amount of money that is enough to trigger your emotions. When your emotions are triggered like this, with practice, practice, and more practice, your mindset and your ability to control your mind will improve and eventually you will move on to the next stage. So in this stage where most retail traders are stuck if they don't understand these basic fundamentals haven't received enough training haven't practiced enough and in addition to all the education tools and so on don't expand their own knowledge and aren't constantly studying moving on to the next stage will be difficult.

Well, when we move on to the next stage, these are the stages of our psychological growth. We enter the stage of conscious competence. That means I know how to do this job correctly. I know how I should do this job properly, but I still need practice in the real world to apply my knowledge and probably some guidance as well. So you see even though I practiced a lot here to get to this point here is the stage where I have capital at my disposal but even here again I need practice practice practice and maybe some consultations but now your consultations are no longer about things like what number should I set or what should the settings of this indicator be. They will be deep and fundamental issues, situations in fundamentals that you haven't encountered before. Here you need to ask your questions directly to experienced mentors and discuss them in detail. Or if there is no one present here at the moment who can answer your question, you should try to fill that gap by thoroughly researching the topic yourself, taking the time to explore and understand it as much as possible. So you see, you've now entered a stage where you can actually be profitable here, but you still need a lot of consistent practice. You really need a lot of practice because ultimately we want to reach a stage where you have truly become a genuinely professional trader, someone who is skilled and experienced.

In the next stage, which we might often refer to as unconscious competence, it essentially means that you have reached a remarkable level of mastery. You have reached a level of proficiency where you possess that competence unconsciously. This means I can apply my knowledge and perform correctly without needing to think too much. reach a logical conclusion in buying and selling and I can make money from it. I can make money from it.

You may have heard the phrase that I have become a trader who can completely precisely at that moment sense, understand and grasp things. And I don't know where this understanding comes from. Of course, we do know and reaching this point where in that time frame and within the range I want to trade, I can see the data exactly. I know exactly what I need to do and I trade in a completely instinctive way. So where did this instinctive mind come from? It has come from these previous stages. So you need to give yourself time. No one has become a trader in five or 6 months. I'm telling you this with absolute certainty. Put aside your exceptions about five or 6 months. We will talk about the framework. No one achieves consistent and permanent profit in five or 6 months. Open your eyes to the reality of the market and distance yourself from the shows that are put on for you out there. Trading is a science. You need to turn this science into a skill. This skill is not acquired all at once. It comes through practice, perseverance, study, and consistency in that work. Don't fantasize about this field. I want to turn $100 into $100 million. It doesn't work that way. You will reach that point according to your capital and risk management within the time frame that exists. I will not turn $100 into $100 million in one year. This is a fact. Unless I set aside risk management and start gambling, it's possible that I might get lucky in this gamble and make that kind of money. But if we're after trading, you have to give yourself time, practice, and this process continues for as long as you are trading. That means even when you are at the top of this pyramid, you still need to keep your knowledge up to date. Keep yourself updated so that you can survive in this market. The reasons why they say 90% of traders are not profitable are entirely related to this psychological area. Everyone wants to make money quickly. They want to get rich as fast as possible. It's like someone who wants to do parkour. They've never practiced before. They want to jump from that height. Achieving that. Go ahead and test this out in the real world without any practice. See if you can jump the distance between two towers, say 6 or 8 m or two tall buildings 10 m apart. Can you make that jump? So, in trading, can you really make money overnight like that?

Therefore, take the issues discussed here very, very seriously. After you've actually prepared this for yourself and truly reach this level, you'll know exactly when to hit the buy button and when to sell. And that's when the job is done. But if you don't have this psychological aspect and you practice this trade plan for 2 months, then disappear for 5 months, come back after 3 months, then disappear again for a year. You will never be able to progress through this pyramid. So don't have unrealistic expectations of yourself and keep your money in your pocket because you're bound to lose that money to the market. So by following what I've mentioned, you'll move up this pyramid and eventually become a profitable trader. Everyone who makes money from the market has gone through this pyramid over time with practice, perseverance, increasing your knowledge, and practicing with real money, not demo accounts. I've already explained the steps, and if necessary, watch this video several times to review them. So our goal is in this course that we're going to discuss the focus is mainly on technical topics related to volume trading. That means we will be teaching you this part of the market here in a comprehensive way. We will also cover a part of risk management. There are more advanced forms of risk management as well. You can balance this according to your own temperament. We will teach you the structure the fundamental section.

I should mention here its lessons will be provided at the end of these videos. I even recommend that before you get into the technical discussion, you first go and watch the fundamental videos. Now these will either be placed at the beginning of these videos or at the end. Be sure to take the fundamental section very seriously. We've also discussed sentiment alongside fundamentals meaning we've talked about it within these topics. The sentiment topics that are related to technical analysis will be taught in the technical section. So now in the technical discussion what is our goal and what do we want to do? Look in technical analysis if you imagine a target for example our outer target and the most important part that actually forms this target is the topic of trend trading. We will go layer by layer so that we can reach a point where we can execute trades with pinpoint accuracy. You have a trend. This is your main structure. I want to know right here. I want to enter. I don't want to use the old system anymore and just place my stop here. I want to start at this point, meaning from this layer, and go deeper down from this trend to see what happens at this point, which is right here, and enter the trade with a small stop about eight pips, which I'll explain the reasons for later in the lesson in the trend trading section. As you'll see, we'll learn the meaning of actually bullish and bearish markets, daily setups, H1 setups, how to trail, and actually we'll also cover web related topics. In the second layer, which is the delta and volume section, we'll talk about volume, delta, and trend, and the concept of delta and trend. We will learn how to combine trend volume and delta together. In this section, we will also discuss how to use delta, which is a measure of the difference between buying and selling pressure to find optimal entry points in the market. We will explore how analyzing deltas can help you identify the best moments to enter a trade. Following this, the next section will provide a detailed overview of the volume profile and how it can further enhance your trading strategy. We will learn the strategies of volume profile. We will learn about market profile view up and how to combine these together in the aggressive and passive section which is this layer. We gradually move to the lower layers and become more detailed in the market. We will learn about the order book footprint time and sales list footprint strategies. And in the footprint section there is a new part called creating those signals whose logic we need to learn so that we can generate signals for ourselves within the footprint. And in the same way in this passive section which includes more than these I have listed them for you in summary form. In the volume section, we use the ICF journal to find other points. And for volume points, we use the volume detector. To find them in lower time frames, we learn the volume strategy and the one minute volume. We will learn each of these sections separately and then a comprehensive combination which is the strategy based on trend volume and all the conditions mentioned here so that you can use it in the market.

All right. So at the very beginning we come to the trend trading strategy. Look, trend is absolutely extremely extremely extremely important. It doesn't matter what system you use. It doesn't matter if you work with smart money or use ICT any style. It's all based on trend. We use various tools on the trend so we can analyze it

to understand which direction the trend wants to go. Is the trend that's moving actually healthy? We're going to learn all of this. You shouldn't overlook this point. I'm mentioning it based on the issues I've seen in other students over years of teaching. You're not supposed to abandon the main structure and just move to lower time frames without looking at the bigger structure, without considering the fundamentals, without paying attention to the major movement wave. You just enter a trade at a certain point, say on the 1 minute time frame simply by seeing a volume spike. You need to follow this structure to reach that point. Now let's see how this point can be analyzed. So therefore we will start from the basics of trend trading and this is something we need to learn. We should learn its setups properly and then move on to other topics.

All right.

The trendbased strategy is fundamentally founded on the well-known Dow theory which as we have mentioned we are now going to carefully combine with a set of new up-to-date statistics and then update accordingly. This system when you did not have access to upstream data was used solely with data known as level one to utilize this trend but we are going to develop it a bit further. The Dow theory is a form of technical analysis that is based on the collected writings of Mr. Charles Dow who was one of the founders of Dow Jones and company and the first editor of the Wall Street Journal. This theory is not actually about predicting the stock markets or in fact predicting the stock market. There are a set of principles, a set of basic methods with which you analyze the behavior of the market. Here we will review a few key points about the Dow theory together.

All right.

According to Dow theory, the market is characterized by three distinct movements, three main movements in total and also three separate phases. Now the discussion about its main movements goes like this. There are three movements. One is the primary trend which we consider for long-term movements. Another is the secondary trend which is for the reactions or medium-term movements. And then we have minor trends. So the market has three types of movements. Three movements. Now you might see weekly or other types of trends in other systems and different teaching methods. But according to Dow theory which is the foundation of our work we will look at it this way. Our primary trend will be on the daily time frame. Our secondary trend will be on H1. And in the specific case of trend trading style this will be on the 10-minute time frame. But we don't work with this time frame. We want to enter trades one phase lower on the one minute time frame which we will teach later. How to use volume filtration in this time frame. Meaning the 1 minute candle itself is not useful for us. We want to use the filtered volumes on the 1 minute time frame to identify the exact point where the algorithms get activated. So these are our priorities and keep this in mind. Now, if your own style is to look at weekly time frames and such, that won't be part of our method. Our foundation and main focus will be based on the daily and H1 time frames. In addition to the fact that the market has three movements, in fact, we've explained three movements, it also has three phases, meaning the primary trend of the market itself consists of three phases.

Look here there's a concept called trend being discussed. That main trend or the primary trend which is this daily option actually consists of three phases. the accumulation phase, the public phase and the distribution phase which if we want to define them that is to say in other words are the accumulation stage, the public participation phase and the distribution phase. So this daily trend has three. Now what is the accumulation stage? In the accumulation stage, it is the smart money that initiates this phase.

In fact, smart money investors, given their significant potential and vast resources, the extensive resources they have at their disposal come in because a certain instrument, stock, or security is perceived to have strong potential for the future. based on the extensive and detailed data they have access to which may not be available to us or even to other institutions. They make long-term strategic investments. At this early stage, there isn't really any significant presence from people like us. Sometimes we might not even be able to recognize this phase at all. But by carefully analyzing the volume to some extent we can actually identify the range of this accumulation. In the second phase which is the public participation phase as the trend becomes more noticeable and news starts to spread this brings other investors and traders into action and the trend continues further. This is the point where the majority of the movement whether upward or downward has already occurred. So for example, if I want to explain these two phases to you, it would look like this. Suppose for example that a downward move like this has happened here and then it remains in a range at this point. In this range, these participants make their purchases. Assume that the market is about to move upward. Now a movement begins from here. It makes a move then a correction. You will learn about these in the upcoming lessons. And when this movement starts, other investors and traders enter during these swings and the movement continues. In fact, in the second stage or the public phase, the majority of this movement has already taken place. Even if we can't enter here or if we want to exit around these areas, we learn to do so in the zones related to these parts or based on the trend style. In this zone after the formation of this area at the beginning of the trend, we can enter.

All right. So with the entry of other investors and traders, this movement continues. Now the primary trend phase we mentioned in the distribution phase actually the distribution phase is when those same informed investors or what we call smart money start selling their positions to the general public. How does this happen? The media is one part of it. For example, news comes out that the S&P has closed positive for nine consecutive weeks or I don't know, people say a certain market is really hot, things like that. But when you look at the chart, you see that it's at the end of its movement. When the chart is at the end of these moves, you notice that a lot of the news isn't related to fundamental data. In other words, the media is just talking. At this point, you need to work with the data. You need to realize that this data was valuable here. Now imagine a presenter comes and a newspaper headlines how much the market has gone up and how positive the movement has been. They say this is a sign of economic improvement. So and so at this point you shouldn't be deceived by these media outlets. This was one part of what I discussed about the media. Look, we don't concern ourselves with the media. When we talk about fundamental data, we'll get to the point where we work with the data itself. Not with radio presenters, not with TV hosts, not with a few tweets on Twitter or anything like that. We're supposed to work with data. So, when the distribution phase arrives, one of the things that happens is that you might hear about these things in the media. This is the point where smart money or those informed investors start selling their positions to the general public. When the general public becomes fully aware of the trend, that is when they realize through the media and so on that this has been a really good move, they act based on this new awareness. While at this point, the trend may actually be nearing its end. This is where the market might once again make some moves a little up and a little down and behave in this way. This is the point where the positions of this smart money will be closed. So therefore by carefully interpreting this primary trend and by using H1 and so on when this move is about to form and with the help of fundamentals before this move comes to an end we should ideally enter in these areas. If we have more experience we should actually consider entering trades specifically in the accumulation zone.

The third point is about the stock market which says that stock prices quickly incorporate new information. This means that the price we are currently seeing actually reflects the information. This is also one of Mr Dow's ideas. In the fourth part, the averages of the stock markets must confirm each other. That is, for a real market trend, for example, for a genuine market trend, the movement of the industrial and transportation averages must confirm each other. For example, to give you an example as an illustration, if stocks are rising from a fundamental data perspective, we should for instance be in a period of relatively cheap money, which is something you need to look at in the fundamental section. That is if interest rates are constantly rising and money is becoming more expensive, the indices shouldn't shouldn't be climbing so quickly and reaching new price levels. There is definitely something wrong somewhere in this situation. So all the statistics and data we obtain by these averages I mean the statistics and data we have should overlap and confirm each other. That is when we see that with the Federal Reserve raising interest rates the euro declines. This is a confirmation. So if at any point an interest rate hike by the Federal Reserve leads to a decrease in the price of the dollar, a drop in the value of the dollar, this should raise a question mark for us. So the point of these averages is that the data should all be aligned and point in the same direction. Otherwise it should raise a question mark for us. Point five which is very important and we will see together in upcoming lessons is that trends must be confirmed by volume. Volume should increase in the direction of the primary trend. That is when you are buying the trading volume should also increase and conversely if the market is for example correcting or moving down the volume should decrease accordingly. We will cover these topics in detail in their respective lessons. In other words, in an uptrend, we should always see increasing volume and during corrections, decreasing volume. I just mentioned these terms briefly so that when we get into the specific lessons, we can discuss them more thoroughly there. And the last sixth point, trends continue until definite signals confirm that they have ended. In other words, as long as you have not received a signal indicating that the trend is ending, the trend will continue. So, if you are in long-term positions or you are taking a longerterm approach or you have built a pyramid, as long as you have not received a signal indicating that the market is going to go down, these signals can include all kinds of data, not just a single signal that tells you to go short right now. fundamental data, sentiment, all of these point to this. For example, if the volume trend is decreasing during an upward movement, these are signs that the trend is clearly getting exhausted and is about to change direction and reverse. So, what we need to pay close attention to is that we should stay in the trend until we receive definite signals. In fact, the market is generally considered to typically be in a trend unless there are clear and significant signs indicating that the trend is coming to an end. Um in fact, Dowo theory introduced the fundamental concepts for technical analysis. But with modern trading, a wide range of techniques and tools have expanded, refined, and updated this theory. Well, this lesson ends here. We'll be with you again in the next lesson. Be sure to take the points I mentioned at the beginning of this lesson very, very seriously. Wishing you success and victory.