Introduction of My Trading Systems Pt. 2
Overview
Basic Concept
Focuses on trend continuation by identifying higher lows (uptrend) or lower highs (downtrend).
Relies on multi-timeframe analysis, using H12 (12-hour) and H1 (1-hour) charts.
Simplifies Inner Circle Trader (ICT) concepts for practical application.
Key Market Structure Components
Market Structure Breaks (MSB): Highlights price breaking significant highs or lows.
PD Arrays (Premium Discount Arrays): Used for entries, including
Order Blocks
Breakers
Fair Value Gaps (FVGs)
Strategy Execution
Identify H12 MSB to confirm the trend.
Wait for a retracement into a PD Array (e.g., Order Block, Breaker, or FVG).
Look for H1 market structure confirmation to refine entry.
Place stop-loss below retracement low (for longs) and target previous H12 highs.
Simplification of ICT Concepts
Avoids unnecessary complexity (e.g., vacuum blocks, interbank algorithms).
Focuses on clear, repeatable setups: Order Blocks, Breakers, and FVGs.
Swing Highs, Swing Lows, and Market Structure Breaks
Swing High/Low Definition
Swing High: Middle candle of three has the highest point.
Swing Low: Middle candle of three has the lowest point.
Market Structure Break (MSB) vs. Swing Failure Pattern (SFP)
MSB: Candle closes beyond a swing high/low.
SFP: Wick moves past a swing point but closes within, signaling a liquidity grab.
Why This Strategy is Effective
Designed for part-time traders who cannot monitor charts constantly.
Provides mechanical, rule-based setups that reduce subjectivity.
Works well in trending markets and adapts to ranging conditions.
Key Features of My Approach
Risk Management
Risks 1-5% per trade, depending on probability.
Takes partial profits at 2R and targets the next H12 level.
Leaves runner positions for extended trends.
Adaptability to Timeframes
Weekly & H12 for swing trades.
H12 & H1 for shorter-term trades.
H1 & M5 for day trading and scalping.
Psychological and Practical Advice
Master basics (SFPs, MSBs, Breaker Blocks) before adding complexity.
Prioritize simplicity and consistent execution over chasing high gains.