Follow The Smart Money

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Table of Contents
1. Motivation
2. Section One ‐ Trading with Smart Money
3. Chapter 1: Ultimate Introduction to Smart Money...... 3
4. Chapter 2: Smart Money VS Retail Forex Trading….... 5
5. Chapter 3: Who are the Market Makers? ................. 7
6. Chapter 4: How to trade with Smart money ............ 10
Section Two – Smart Money Trading Behavior …………… 14

7. Chapter 5: How Order Blocks Work........................ 21
8. Chapter 6: Finding and Using OBs in Trading …………. 26
9. Chapter 7: How Institutions make profits............... 33
Section Three – Psychometric Master Traders

10. Chapter 8: Essential Skills of Master Traders .......... 41
11. Chapter 9: The Road to Long Term Profitability....... 42
12. Chapter 10: Pro and Amateur Trader...................... 45
13. Chapter 11: Pro Trading Checklist.......................... 47
14. Chapter 13: Closing - Fake It till You Make It ......... 49
IT IS NOT ALWAYS EASY TO DO WHAT’S NOT POPULAR, BUT THAT’S
WHERE YOU MAKE YOUR MONEY. IN TRADING, YOU HAVE TO BE
DEFENSIVE AND AGGRESSIVE AT THE SAME TIME. IF YOU ARE NOT
AGGRESSIVE, YOU ARE NOT GOING TO MAKE MONEY, AND IF YOU ARE
NOT DEFENSIVE, YOU ARE NOT GOING TO KEEP MONEY.
AS A TRADER YOU SHOULD ONLY BELIEVE ON ANALYSIS NOT

FORECASTING. THE GOAL OF A SUCCESS TRADER IS TO MAKE THE BEST
TRADES, MONEY IS SECONDARY. THE MOST
IMPORTING THING IN MAKING MONEY IS NOT LETTING YOUR LOSSES GET
OUT OF HAND.
TRADING WILL GET DIFFICULT AT FIRST, BUT EVENTUALLY YOU WILL BE

SUCCESSFUL, A TRUE TRADER DOESN’T GIVE UP TILL HE FINALLY
FULFILLS HIS DESIRED DREAMS. YOU ONLY HAVE TO DO VERY FEW

THINGS RIGHT IN YOUR LIFE SO LONG YOU DON’T DO TOO MANY
WRONGS. SPEND EACH DAY TRYING TO BE LITTLE WISER THAN YOU

WERE WHEN YOU WOKE UP.
TRADING DOESN’T JUST REVEAL YOUR CHARACTER, IT ALSO BUILDS IT

IF YOU STAY IN THE GAME LONG ENOUGH. AT THE END, THOSE WHO
DON’T QUIT, GET REWARDED, SO DON’T BE A QUITTER, BE SELF-
MOTIVATED, PATIENT AND DISCIPLINED.
I CAN ASSURE YOU THAT THIS MENTORSHIP WILL TAKE YOUR TO

PLACES, TO EXACTLY YOUR DESIRED SUCCESS IN TRADING INDUSTRY.
INTELLECTUAL TRADING MINDS
SECTION ONE – TRADING WITH SMART MONEY
CHAPTER 1: ULTIMATE INTRODUCTION TO SMART MONEY
Who Is the Smart Money?

Smart Money Refers to the capital that Institutional
Investors, Central Banks, and other professionals or financial
institutions control. It is managed by expert investors who
can foresee market trends and make most of the profits.
Smart Money was originally a gambling term, where it refers

to the gamblers that have extensive knowledge of the
activity that they wager on or have insider information that
the common public is not able to access.
It is perceived that this money invested by Professional

traders who are better informed and more experienced is
invested in the right investment vehicle at the right time and
will generate highest returns.
Hence, Smart Money is believed to have a greater chance of

success, as Institutional Investors are believed to have the
best trading strategies that deviate from those of retail
traders.
Smart Money can also move markets with size and force
when it is controlled by central banks.
What is Smart Money trading?
Smart Money Trading refers to the use of Institutional

Trading Strategies which are aligned with the perspectives of
Smart Money.
Institutional Smart Money trading is superior to any

retail trading strategies on many levels.
• This does mean retail trading strategies do not work at

all. It just means Institutional Forex is more powerful
and more accurate than anything the retail market
offers.
Smart Money naturally has more access to knowledge and

resources than retail traders or “Dumb Money” to their
disposal. Tracking smart money investments will give you
the true narrative and what to expect of price in the markets.
Stop Loss explained with Smart Money
You’ve probably experienced this if you’ve been trading for

over a year. Price moves against your directional bias, hits
your stop loss, then reverses to your initial direction. This is
called a Stop hunt.
• Stop hunts are a way for the Smart Money to get into
their positions at a better price.
• They will lead you one direction, manipulate price to
stop you out, then absorb your position.
• This will happen to you over and over again until you
learn the concepts of Institutional Forex and how to
see things in the Smart Money’s perspective.
Chapter 2: Smart Money Forex Trading VS Retail Forex

Trading
Institutional trading strategies in Forex are not very

commonly found in the online world of trading Forex. Smart
money trading strategies are one of the best kept secrets in
the world of currency trading. Every beginner trader who is
looking to get involved in trading Forex, often starts
researching online for educational content and Forex
courses, or someone willing to show them the ropes.
Unfortunately, most of the educational platforms and trading

material out there in the Retail trading world is completely
useless. That is not to say there are no profitable traders in
Retail world of trading, there are. However, the majority are
not because they are simply following the herd.
• The majority of Retail traders are stuck in a cycle of

doom to the point where they either quit, or discover
Institutional trading.
• Once you discover Institutional trading and learn how
Smart Money place their orders, you can implement
these concepts to your own style of trading and see
tremendous results.
Interbank Market
The Interbank Market is the currency market where the really

big and smart money is changing hands. It is the top-level
foreign exchange market where the biggest participants in
the game such as JP Morgan, Deutsche Bank, Barclays,
Citigroup, HSBC, Goldman Sachs and other major banks
exchange different currencies.
• They are the Smart Money and this is their game,

we’re just here to play it.
• The Interbank market will provide the Bid and Ask

prices for each currency pair at any given time the
currency is bought or sold (even if there are no buyers
or sellers), acting as Market Makers.
• These big banks are responsible for approx. 70% of
the daily volume on the Foreign exchange market.
Retail Market (The Herd)
On the other side of the interbank market, you have the retail
market, and the retail traders. If you are reading this, you
are most likely part of this group. We are market participants
too, but we’re the little guys.
We are also small sized financial institutions like banks,

hedge funds, Forex brokers, day traders, and speculators.
Anything outside of the interbank market can be considered
the retail market, or the herd.
• The interbank market will try to match all buy and sell
orders of the herd, however in reality there is always
an imbalance of buyers and sellers.
• With this imbalance, the interbank market is used so

each buy and sell order has a counterparty to get
executed, acting as a liquidity provider.
When Retail Market is Net Long then the Interbank Market

(the Smart Money) is Net Short in the FX Markets
When Retail Market is Net Short then the Interbank Market

(the
Smart Money) is Net Long in the FX Markets
The relationship between Smart Money and Retail

Market
When the retail market is net long, the smart money is net
short and vice-versa. When the retail market is net short the
smart money will be net long.
As a day trader in the Retail Market, we are trading

AGAINST the major banks (Smart Money)
Now do you see why retail traders are at such a

disadvantage? Now do you see why they call us “Dumb
Money”? Now do you understand why learning how Smart
Money operates and how institutional trading strategies will
further your success? If so, keep going…
CHAPTER 3: WHO ARE THE MARKET MAKERS?
The central banks are the producers of Currency Prices and

are the Market Makers or Liquidity Providers.
Central Banks are independent Financial Institutions given

privileged control over the production and distribution of
money and Credit for a nation or a group of nations.
They intervene in the financial market by:
• Opening Market Operations- Describes the process

whereby governments buy and sell Government
securities/bonds in open market.
• Monitoring bank rate set by momentary policy
• Achieve and maintain price stability
• Supervising and regulating Financial Institutions
• Minimize unemployment.
Now let’s get back to the core business:
• Central Banks establish and manage a country's

Currency Price at all times; both automatically and
manually.
• Currency Prices are 100% controlled and manipulated
by Central Banks.
• Investment bank dealers or brokers are not market
makers
• Dealers and brokers do business with the price feeds
set and delivered by Central Banks and they do not
set or control currency price.
• Central Banks are not following retail indicators or
flawed retail logic (No Wyckoff, harmonic Pattern,
Elliot Wave, VSA etc.). They do not consider any
indicator when they deliver price.
• Central Banks employ High Tech Algorithms to
deliver currency price feeds and they do not run on
“Supply and Demand"
Major Central Banks
Other Central Banks includes: South African Reserve

Bank, People’s Bank of China, National Bank of Georgia,
Bank of Greece, Bangladesh Bank, Bank of Israel, National
Bank of Belgium, Bank of Guatemala, Central Bank of
Argentina, Bank of Guyana, State Bank of Pakistan, etc.
CHAPTER 4: HOW TO TRADE IN THE DIRECTION OF SMART MONEY
Big guys are not in the game to lose money, and are primed
for success.
As a retail or novice trader, you have to know how to take

advantage of the market moves and positions that
institutions have set up for themselves, then align your
thinking alongside to the smart money.
If retail traders can implement trading strategies that are

aligned to these implemented by banks and institutional
traders, then they are obviously going to have a higher
chance of achieving long term profitability.
An e.g. above. This is how Institutions are trading as

compared to retail traders. They know where to enter, when
and how to enter a position.
TRADING STRATEGIES IMPLEMENTED
Relating to the phase “If retail traders can implement trading

strategies that are aligned to these implemented by banks
and institutional traders, then they are obviously going to
have a higher chance of achieving long term profitability”
Well this is a true statement, if you know what Smart Money

uses and how they are using these algorithms to place
trades, definitely you become the person you have always
wanted to be Forex industry.
Order Blocks in Trading
Order blocks are of course a special type of Supply and

Demand Zones, but not exactly. Unlike Supply and Demand
Zones, Order Blocks don’t form on 3 or 4 Candles, but only
form on a tight range consolidation in some cases.
These are special orders (used for executions) with higher

probabilities of causing a reversal since they are being
controlled by Smart Money.
These institutions use these blocks to place large positions in

the market with the intentions of not wanting to upset the
price.
When these Institutions have large positions to place, they

don't want to upset the price, because the position could
trigger a big move and execute their trades at the worst
price, resulting in them to making lower profits.
That's not what they want, they always want to make big
profits and perfect entries. so what they do is:
• They use block orders to split their positions up and get

them placed in smaller and more manageable block,
till they finally get what they truly desire.
Supply and Demand in Trading
Most of us know about Supply and Demand Zones.
• Supply Zones is where all the big Sellers (Smart

Money) are located.
• Demand Zones is where all the big Buyers (Smart
Money (are located).
Zones are different from the blocks because they are created
from the smart money buying or selling using a Block Order,
which they only use when they have a position to place,
especially a large position.
We Covered Supply and Demand on our Price Action eBook

Course for Beginners. If you missed it download the eBook
here:
CREATIVITY BEHIND TRADING EBOOK
These are our Major trading tools implemented by Smart

Money Professional Traders. Learning to trade with them
combines with Price Action will make you one of the most
Self-Produced Smart Traders around the world.
CHAPTER 5: HOW TO LEARN SMART MONEY TRADING
Smart Money trading is mastered by those fortunate enough

to find a mentor willing to teach them these concepts. They
are discovered through years of market findings.
Privileged are those reading this now, because they have full
access to One on One free Optimal Mentorship that will
enable them to become successful profitable traders in
Foreign Exchange Markets. Learn more advanced
concentrated SMCs Such as:
 SMC = Smart Money Concepts

 Mitigation = RTO = Return to Origin
 Imb = Imbalance = Unfilled Area/Gaps
 BOS/BOMS = Break of (Market) Structure
 OBIM = Order block with Imbalance
 DP/POI = Decision Point/Point of Interest
 PBO = Pre-Breakout
 Liq = Liquidity = Inducement
 LP = Liquidity Provider
 BSL/SLL = Buy Side Liquidity/ Sell Side Liquidity
 LS/LP = Liquidity Sweep/Purge
SECTION 2: SMART MONEY TRADING BEHAVIOR
CHAPTER 6: HOW ORDER BLOCKS WORK
What are Order Blocks?
An order block is a special type of supply and demand zone

that forms when a block order – which is where they get their
name – comes into the market from the banks buying or
selling.
These are special orders to buy or sell the banks often use to
place trades with – and take profits and close trades. When
the banks have a large position to place, they don’t want to
upset price – the position could trigger a big move and
execute their trades at worse prices, resulting in lower
profits.
To avoid this, they use block orders to split their positions up

and get them placed in smaller, more manageable blocks.
How Order Blocks work
Let's say a Bank of America (from Interbank Market; One of

the Big Institutions) wants to buy 200 Million worth of
EURUSD, but only 50 Million is being Sold currently.
Obviously, the bank of America can't place this order because

there are no enough traders selling to reach that 200 Million
they want.
If they buy now when only 50 Million is being sold, the only
part of their position (which is 50 Million) will get executed.
The remaining 150 Million will get filled at ever-increasing
prices.
This lowers their overall profit and causing them a big

headache because they always want to make big profits
mostly on all of their Trades.
So they decide to use a Block Order to break the position up

and get it placed in a more manageable way.
By breaking the position up, let's say into 20 Million chunks,

so they can place it without upsetting the price too much.
E.g. Their first 20 Million order would get matched with the
50 Million being sold. That also wouldn't cause a sudden up
move upsetting the price.
Because the sell orders are still bigger than the buy orders
they actually want. 20m vs 50m. See the difference?
They can then wait for the orders to pick up again before
entering their next chunk.
That process of placing one 20 Million order, then another,

and another- Results in Supply and Demand Zone Forming.
“That's why you always find an Order Block in a Range

Consolidating, Small, tight and mostly rectangle shape. It's
when the big guys are waiting for their big moves to occur.
And also this consolidation will always not have the same
leveled lows and highs, this is when they place these small
million chunks, they always want to get the best entry prices
and the big profits, since they are the big guys. We are just
playing their game 😉.
You will also receive an eBook based on SMC, an advanced guide

on OrderBlocks institutional Trading.
CHAPTER 7: HOW ARE ORDER BLOCKS DIFFERENT FROM SUPPLY AND

DEMAND ZONES
Now that we know order blocks are supply and demand zones
– just a different type – the question is, how do they differ
from the normal zones we see form all the time?
Really, there are two key differences…
First, order blocks have a much higher probability of resulting

in a reversal than normal supply and demand zones.
And that’s regardless of where or when they form i.e. if they

appear after a long rise or decline – which increases the
probability of normal zones resulting in a reversal.
The reason why is because the zones are created from the
banks buying or selling using a block order, which they only
use when they have an especially large position to place. If
they’re placing a big position, the banks obviously don’t want
price to break beyond the point they bought or sold – the S
or D zone.
Therefore, the zone has a high probability of causing a

reversal because the banks wouldn’t place a big position
unless they were very confident price was heading in the
direction they want.
The other difference is how order block zones look.
In general, order blocks look identical to normal supply and

demand zones – they form from a sharp rise or decline away
from a base like all zones do.
However, the base is ALWAYS a tight range consolidation,

like you see below:
Unlike normal zones that form from a reversal – which you

can also see above – order blocks are always created from
price moving away from a tight range consolidation. Because
that’s the structure that forms when the banks use a block
order to place their positions into the market.
With a block order, each position gets entered at a similar

price, resulting in the highs (or lows in this case) of the
consolidation forming at relativity equal prices to one
another.
So when it comes to identifying order block zones, all you

need to do is look for a small tight range consolidation. They
only form from the banks using block orders, meaning a
zone MUST exist at the Blocks too.
Chapter 8: How to Find and Use Order Blocks in your Trading
The best way to use order-blocks is to use them as a high

probability SETUP to look for, alongside your Price Action
Trading Strategy for tight Confidence upon your trades, since
they don’t not form often in the market.
They appear sometimes once per day, if you use them as a

SETUP, you will have to have a high target and a tight stop
loss, since they can provide you with high returns since you
will only be trading once per day only focusing on them.
Most of those who attended our previous course are aware

of my Price Action set up: Engulfing & Pin Bars Candlesticks.
For more about Price Action, for beginner or Advanced

Trader, download your full free eBook below:
Creativity Behind Trading

NB: If you are in a Rush, you aren’t supposed to be here.
This is not for people who are desperate for quick systems
and easy money. This is for traders who are here to stay,
who are focusing on the process of success not money.
An advanced Method Implied by top Traders, you can’t rush

if you want to be at top trader, big things require Dedication,
Love and Patience. I can assure, by taking this path, it will
be a huge advantage for your future (Short Term / Long
Term) success. Don’t waste your time focusing on everything
offered outside. Pay your attention on what is right!
How to find and use Order Blocks in your Trading
Since Order Blocks are essential Supply and Demand Zones,

just a much rare type- the way you trade the zones, is more
the same like you trade the blocks.
You mark the Blocks on a Range Consolidation Market on

your chart.
Wait for price to enter and provide some sort of confirmation

signal – pin bar, engulfing candle, large range candle.
And then place a stop on the other side of the block and
watch if the price moves away.
Finding the zones is a little more difficult, but still simple with
a bit of practice. There is nothing hard in Forex, is just that
most traders are lazy to practice, they want “ready to serve”
trading tools. Well in this industry it doesn’t work like that.
The key to remember:
• Look for a zone that forms from a consolidation

created by a tight range.
• i.e. price rising and falling between two close prices.
• These consolidations ONLY form from the Institutions
placing a block order, so an order block must exist at
the source and create a supply or demand zone.
Let’s go through some examples…

This Demand Zone forms from a sharp move away from a

tight range consolidation. Price moves from back and forth
between 1.216000 and 1.22000 before breaking higher,
forming the Order Block.
Pay attention to what this consolidation looks like, how tight

it is.
• It’s not your typical consolidation where price makes

big swings up and down with each other ending at
different prices.
• Instead, the swing are small and terminate roughly
at the same points, leading to price being contained
within this really tight range that looks almost like a
rectangle.
These are the sorts of consolidations you need to look for to

find Order Blocks.
Valid Range Consolidation
A valid consolidation should be:
• Small, Tight, and Almost a Rectangle Shape.
We know then that these only form due to Smart Money

using Block Order. So an Order Block Zone it’s a must to exist
at the source. Here is another one on q5 Minutes Timeframe
In rare, the consolidation will form after a strong move,

rather than at a swing low or high.
• When you see this draw the Order Block Zone from
the most recent Swing Low/High up to the
Consolidation.
• That will make it a Valid Zone.
This again happens when banks place a position, creating the

initial move – a rise in our case, which itself is Demand Zone.
• Then use a Block Order to place the remaining

position at a slightly higher price.
Hopefully this has cleared up some confusion behind Order

Blocks.
CHAPTER 9: HOW DOES SMART MONEY & RETAIL TRADERS MAKES

PROFITS
HOW SMART MAKE PROFITS - SMART MONEY PARTICIPATES IN THE

MARKET BY QUOTING BOTH BUY & SELL PRICE (SIMULTANEOUSLY IN
ANY FINANCIAL INSTRUMENT WITH HOPES OF MAKING PROFITS ON BID -
ASK SPREAD, OR TURN (HEDGING).
When Smart Money wants to sell, they pair available buy

orders:
All traders that will join during Smart Money heavy

Sell & Mitigation move becomes the MM hunters.
How Retail Traders Make Profits - Most retail traders use

this strategy to place BUY STOPS above resistant level and
SELL LIMITS below the resistant level (suppose price is
currently below the resistant level), so that whichever way
price goes, their orders are activated.
Using such strategy (hedging) is ‘GOOD’ until you realize that

you are “a small scale farmer” and/or include stop lose to
your orders. You will either lose all your money (blow
account) or thrown out of a nice move (SL being hit)!
SMART MONEY ENTRY TYPES
Understanding how Smart Money & Retail Traders participate

in the market will help you to also understand how to trade
with Smart Money.
Smart Money Entry Types include;
1) Risk Entry
2) Confirmation Entry
1. Risk Entry
This is aggressive entry that does not require any

confirmation.
Identify POI and wait for price (with pending order) to come
back at your POI.
This Entry Type is Ideal;
• With revailing market trend

• When trading reversal of a trend (If price hits at HTF
Key Zone & start rejecting the zone
2. Confirmation Entry
This is conservative entry that require confirmation,

especially from HTF (Must do Top-Down Analysis within your
3 TF Matrix).
Identify POI on HTF & refine it to LTF.
This Entry Type is Ideal;
• With small Risk and large Reward trades

• When the range between HTF POI & Refined POI on a
LTF is LARGE.
Hint for Down Trend Market

More examples with different structures

Section Three - Psychological Master Trade
CHAPTER 10: ESSENTIAL SKILLS OF MASTER TRADERS
Anyone can become a trader, but to be one of the master traders

takes more than Investment Capital and three-piece suit.
Keep in mind: There is a sea of individuals looking to join the ranks

of master traders and bring home the kind of money that goes with
that tittle. Very few of them make the grade or even come close to
it. Consistent, winning traders are about as rare as multi-million
dollar winning lottery tickets.
Master Six Essential Skills that master traders share and then
you'll get a genuine shot at being a trading master.
Skill #1 and #2 – Research and Analysis
Master traders develop their skills in being able to thoroughly

research all information relevant to the securities they trade. The
ability to do quality research and solid market analysis is
fundamental to trading success.
Master Traders learn and perfect by utilizing market information in

the form of trading and price Action that occurs. As you analyze the
market and spot patterns and trends, it’s also necessary to
determine what technical approaches are called for.
Focus less money, and more on taking the right action at the right
time. This will enable you to make best, objective trading decisions
and mostly profitable trades. Focus on solely getting the market
right, regardless of whether doing so makes you dollars.
Skill #4 – Adapting your Market Analysis to Changing

Market Conditions
Over time, master traders develop strategies and trading

techniques that they use over and over again. Over time, every
trade puts together his own personal toolkit of methods,

maneuvers, strategies and trading tactics.
It’s important that you have your own individual trading style and
trading edge. Having your own tried and true trading tricks is a good
thing. Adapt to changing conditions by adjusting your trading
strategy accordingly.
Skill #4 – Staying in the game
Everyone faces peaks and valleys in their careers. If you are a

fulltime trader, you will inevitably be met with considerable gains
and significant losses and sometimes blow accounts. Sticking with
it – staying in the trading game – is an irreplaceable and vital skill
that every master trader possesses.
Master trader understands that neither extreme will last forever,

and that sticking it out – through good and bad – is a skill that
enables to learn, grow and profit.
A significant part of being able to stay in the game is practicing

good risk management and money management. Always us
stop loss orders and never risk too much on any one trade. Don’t
take trades unless they have positive risk/reward ratios. Get a good
and low-risk entry.
Skill #5 and #6 – Discipline and Patience
Discipline and patience are two very closely related skills that every
master trader needs – in abundance. A master trader must be both
patient and disciplined in order to stick to staying in the game.
A patient and disciplined trader knows what worst trading sessions

and days are followed by significantly better ones. A disciplined
trader understands that patience will be rewarded, so he waits until
the market begins to make a truly significant move before entering
and risking his hard-earned money.
Don’t let markets that are going nowhere trick you into abandoning
good trading discipline and setup. Be patient, wait, and when the
opportunity presents itself, don’t hesitate – pull the trigger and

enter the market, with confidence in your trading ability.
Bonus Skill #7 – Record Keeping
Learn from your mistakes. Keep a trading journal of each trade.
CHAPTER 11: PRO TRADING CRITERIA - THE ROAD TO LONG TERM

PROFITABILITY
Success in trading difficult and the consistently profitable traders

share specific rare characteristics.
1. Stick to your Discipline – Traders spend thousands of dollars

trying to compensate for their lack of self-control but few realize
that a long look in the mirror accomplishes the same task at a
much lower price. Once a trader has confidence in their trading
plan, they must have the discipline to stay the course, even
when there are inevitable losing streaks.
2. Lose Crowd – Long-term profitability requires positioning ahead
of or behind the crowd, but never in the crowd because that’s
where predatory strategies target.
3. Engage your Trading Plan – Update your trading plan weekly or
Monthly to include new ideas and eliminate bad ones.
4. Don’t cut Corners – The only way to success achieve long-term
success is with hard work and discipline. There is no easy way.
5. Don’t break your Rules – Once you break your rules and not
allow them to do their job, you have lost discipline and opened
the door to even greater losses.
6. Tools don’t think – Expensive Trading software with buy and sell
signals can interfere with valuable experience when you think
the software is smarter than you are. Use tools that fit well with
your trading plan and keep in mind that it’s you calling the shot.
7. Forget the Holy Grail – Losing traders fantasize about the secret
formula that will magically improve their results. There are no
secrets because the road to success always passes through
careful choice, effective risk management and skilled profit-

taking.
8. Embrace Simplicity- Focus on Price Action, understand that
everything else is secondary.
9. Make peace with Losses – Trading is one of the few professions
where losing money every day is a natural path to success.
Every trading loss comes with an important market lesson if you
are open to the message. Accept the losses, take time to
regroup, and then come back to the market with a new
perspective.
10. Beware of Reinforcement- Active trading releases adrenaline
and endorphins. These chemicals can produce feelings of
euphoria even when you’re losing money. In turn this
encourages addictive personalities to take bad positions, just to
get the rush. If you are trading to get the rush and excitement,
you are probably trading for the wrong reasons.
CHAPTER 12: DIFFERENCE BETWEEN A PRO AND AMATEUR
A Professional trader is not the one who was more trading with
trading screens, better equipment or the better indicators. A
professional trader is defined by how he approaches his trading
mentality and how he manages his trading routine day to day.
6 Common trading principles that make the biggest difference

between an amateur and a professional trader
#1 Distraction and Focus
Amateur: Watches YouTube videos, is online on Facebook or

WhatsApp while trading. The amateur loses focus easily and does
multiple things when there is no setup in sight or markets are
currently slow. He therefore misses trades easily.
Pro: When Professional trader is trading, he is 100% focused and

does nothing else besides watching his charts. He might have a
website open to monitor news releases. Pro knows how important
it is to be 100% focused and when there is nothing to do and no
trading setup is in sight, he turns off his platform, works on his
trading skills or just takes the day off.
#2 Wasting Screen-Time
Amateur: Amateur traders tend to watch charts for hours at a time

and randomly flip through timeframes on the hunt for a trade. The
myth that screen-time will help a trader become better is still
accepted among amateur traders. Watching charts has no value if
you don’t know what you are looking for.
Pro: The Professional trader has a detailed trading plan and knows
exactly what he is looking for and when he is going to trade. He
does not flip through timeframes, but just waits patiently until the
trade comes to him. He does not waste time by sitting in front of
his charts all day long when there is nothing to do.
#3. Overconfidence after a winning streak
Amateur: The amateur trader believes that after a few winning

trades in a row he has acquired superior skills or that his trading
strategy is suddenly a money machine and cannot fail anymore.
Then he uses too much risk and take trades that are too big or
violate their trading rules because they can feel what will happen
next. Losses all their profits on only one trade.
Pro: The Professional trader knows that he is not suddenly a super

trader and cannot predict what is going to happen next. A winning
streak is normal and will happen time after time. A pro trader stick
to his plan, always follow his risk and money management and
never let one losing trade wipe out a significant amount of Capital.
#4 Loss of confidence after a losing streak
Amateur: When having a losing streak, the amateur trader loses

confidence in his skills and his trading strategy. He tends to change
his trading strategy when he enters a losing streak or breaks his
trading rules because he wants to make up for his losses.
Losing streaks are dangerous for amateur traders because they

often lead to even bigger losses when traders try to make up for
lost money.
Pro: For the professional trader, winning and losing streaks don’t
matter. They are inevitable and will happen over and over again. A
professional trader knows that over the long term, his trading
strategy will make him money, no matter what. A professional
trader sticks to his rules and never loses his mind.
#5: Taking losses personally
Amateur: It is hard to accept that your trade idea was wrong and
that you are going to lose money. Especially new and inexperienced
traders can’t accept to be wrong and when they see that price is
about to hit their stop loss order, they will do one of the following
things:
 Setting a stop loss further away to delay the loss

 Adding to a losing position to get out of the loss faster when
price turns around.
 Taking off the stop loss order completely because they have
that mentality saying; “eventually the price will have to turn
around."
All these tactics will lead to large losses and to margin calls. A trader
who is engaging in one of the three mentioned scenarios is as far
away from becoming a professional trader as possible.
Pro: The professional Trader lives by the following two principles:
 One trade is just one trade and the outcome of one single
trade does not matter.
 The stop loss order is the price where you fully accept that
your trade idea was wrong and where you WANT to exit the
market.
The professional trader knows that the outcome of one trade is
totally irrelevant to his trading career. Whether a single trade is a
winner or a loser does not matter because there will be 400, 500 or
800 trades coming soon where he can make money.
A professional trader also accepts that a stop loss is the place where
his trade is wrong and that he is happy to exit the trade because it
is not going to make him money.
#6 Do you need money fast?
Amateur: What is your trading objective? Do you believe that

trading is a way to make a lot of money in a short period of time?
Research showed that traders who believe that they can get rich
quick with trading lose the most amount of money.
Pro: For the professional trader, trading is a regular job. The

professional trader does not trade for the excitement or because he
wants to make a fortune with a few lucky trades. Trading is not an
easy profession and it requires time, hard work and a lot of hustling
before you can make money. In the end, being a trader is a job like
many other jobs.
CHAPTER 13: PRO TRADING CHECKLIST
Why you should use a trading checklist?
Implementing a trading checklist is a vital part of trading process

because it helps traders to stay disciplined, stick to their trading
plan, builds confidence mindset and minimizes risk exposure.
Maintaining a trading checklist presents traders with a list of

questions that traders need to answer before executing trades. It is
important not to confuse a trading plan with the trading checklist.
Trading plan deals with the bigger picture, for example, the
market(s) you are trading and the analytical approach you choose
to follow.
The trading checklist focuses on each individual trade and conditions

that must be met before the trade can be made.
Your trading Checklist
Before entering a trade, ask yourself the following questions:
1. Is the market trending or ranging?

Professional traders know that a strong trend (Downtrend
or Uptrend) and trading in the direction of it has a potential
to lead to higher profitability trades. Trend is your friend.
2. Are there Order Blocks or Supply and Demand Zones?
Professional traders identify areas where they will look to
enter their positions at. They don’t place any trade till the
price reaches their identified zones or blocks.
3. Is there a significant level of Support and Resistance
nearby? Price respects certain levels in the market for
certain number of reasons, being able to identify these
levels is the key.
4. Is the trade confirmed?

Depending on your trading plan and strategy, traders will
have confirming setups that complements the trading
strategy. Don’t complicate your analysis by adding multiple
indicators to a single chart. Keep your analysis clean,
simple and easy to view at a glance.
5. How much capital am I risking?
Limit your leverage used on all trades to ten to one or less.
Don’t risk more than 5% of your account balance.
6. Are there any significant economic releases that might
impact my trade?
Sudden market news has the potential to invalidate the
“perfect” trade. Traders can plan for economic releases like
NFP, CPI, PMI and GDP releases. View your economic
calendar which highlights major economic releases.
7. Am I following a trading plan?
All of the above is of very little use if it does not tie in with
the trading plan. Keep to trading plan and do not place
trades unless the trading checklist has been completed and
confirms the trade may be executed.
CHAPTER 14: CLOSING: FAKE IT TILL YOU MAKE IT
To become a professional trader, act like one. Behaving like

a professional trader does not require a lot of capital or
expensive equipment. You can trade like a professional
trader RIGHT now. Analyze your trading behavior and then
see how you can make the adjustments to take your trading
to the next level.
For clear understanding of these concepts contact me from

one of the following social platforms:
Contact Me Directly on:
WHATSAPP FACEBOOK
Don’t worry, its free.

Don’t forget to follow me on:
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All the Best to your Successful Trading Journey.

COPYRIGHT © 2021 Intellectual Trading Minds
All rights reserved.
1. FINANCIAL DISCLAIMER
Intellectual Trading Minds is simply dedicated in providing services

to traders who are in need of trading recourses to advance their
skills and knowledge.
Forex Trading involves high risky. Before you make any further
steps in getting in this industry, find out if Forex is for you or not,
if not stay out. This business is very addictive, you might end up
losing your entire money for the rest of your life, if it happens that
it’s not meant for you.
The information provided in this book is for educational and

recommended to buy sell purposes. Do not trade with borrowed
money or money you cannot afford to lose. Forex trading is risky
ITM Forex Millionary is not liable for any loss or damage, or any
profit loss which may arise when trading recklessly. It is advised to
always use proper risk management at all time.

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E

Section Two – Smart Money Trading Behavior …………… 14

Section Three – Psychometric Master Traders

AS A TRADER YOU SHOULD ONLY BELIEVE ON ANALYSIS NOT

TRADING WILL GET DIFFICULT AT FIRST, BUT EVENTUALLY YOU WILL BE

FULFILLS HIS DESIRED DREAMS. YOU ONLY HAVE TO DO VERY FEW

WRONGS. SPEND EACH DAY TRYING TO BE LITTLE WISER THAN YOU

TRADING DOESN’T JUST REVEAL YOUR CHARACTER, IT ALSO BUILDS IT

MOTIVATED, PATIENT AND DISCIPLINED.

I CAN ASSURE YOU THAT THIS MENTORSHIP WILL TAKE YOUR TO

SECTION ONE – TRADING WITH SMART MONEY

CHAPTER 1: ULTIMATE INTRODUCTION TO SMART MONEY

Who Is the Smart Money?

Smart Money was originally a gambling term, where it refers

It is perceived that this money invested by Professional

Hence, Smart Money is believed to have a greater chance of

What is Smart Money trading?

Smart Money Trading refers to the use of Institutional

Institutional Smart Money trading is superior to any

• This does mean retail trading strategies do not work at

Smart Money naturally has more access to knowledge and

Stop Loss explained with Smart Money

You’ve probably experienced this if you’ve been trading for

Chapter 2: Smart Money Forex Trading VS Retail Forex

Institutional trading strategies in Forex are not very

Unfortunately, most of the educational platforms and trading

• The majority of Retail traders are stuck in a cycle of

The Interbank Market is the currency market where the really

• They are the Smart Money and this is their game,

• The Interbank market will provide the Bid and Ask

Retail Market (The Herd)

We are also small sized financial institutions like banks,

• With this imbalance, the interbank market is used so

When Retail Market is Net Long then the Interbank Market

When Retail Market is Net Short then the Interbank Market

The relationship between Smart Money and Retail

As a day trader in the Retail Market, we are trading

Now do you see why retail traders are at such a

CHAPTER 3: WHO ARE THE MARKET MAKERS?

The central banks are the producers of Currency Prices and

Central Banks are independent Financial Institutions given

They intervene in the financial market by:

• Opening Market Operations- Describes the process

Now let’s get back to the core business:

• Central Banks establish and manage a country's

Major Central Banks

Other Central Banks includes: South African Reserve

CHAPTER 4: HOW TO TRADE IN THE DIRECTION OF SMART MONEY

As a retail or novice trader, you have to know how to take

If retail traders can implement trading strategies that are

An e.g. above. This is how Institutions are trading as

TRADING STRATEGIES IMPLEMENTED

Relating to the phase “If retail traders can implement trading

Well this is a true statement, if you know what Smart Money

Order Blocks in Trading

Order blocks are of course a special type of Supply and

These are special orders (used for executions) with higher

These institutions use these blocks to place large positions in

When these Institutions have large positions to place, they