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TYG's Trading Log - Thoughts, Trades and Techniques

  • #81
  • Jun 18, 2026 10:19pm Jun 18, 2026 10:19pm
Trading Checklist: HTF Trend Analysis

  1. Step 1: Identify the Higher Timeframe (HTF) trend.
  2. Step 2: Determine the trend's maturity (Early, Middle, or Late stage).

Note for beginners: Stick to early-stage trends. They provide the highest probability setups with the lowest risk.

Current Market Example (Gold, H4): Gold has just wrapped up its early stage and is entering the middle stage. Expect choppy, confusing price action—this is where your patience and instinct will truly be tested.

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Automated Trader Base on Price Action, Fibonacci, Imbalance and Liquidity
  • #82
  • Jun 19, 2026 12:01am Jun 19, 2026 12:01am
Price Action & Market Structure Framework

Price action begins at Support and Resistance (S&R) levels. Once a level holds, your next target is determined by identifying candle rejection areas.
To locate these high-probability rejection zones, you need to identify the Strong Timeframe (STF) visually. Finding the STF requires a meticulous, candle-by-candle analysis of the chart to find the specific timeframe where candle patterns show the most consistent behavior and structural integrity.

The Trading Narrative
By establishing clear S&R levels, you can effectively map out two critical elements:

  1. Liquidity: Where orders are clustered.
  2. Market Range: The boundaries within which price is moving.

Together, liquidity and market range serve as your primary tools to decode the story behind price movements, build accurate market predictions, and ultimately develop a structured trading plan.
Current Market Focus: In Gold (XAU/USD), we are currently monitoring for a liquidity sweep or reaction around the 4110 level.

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Automated Trader Base on Price Action, Fibonacci, Imbalance and Liquidity
  • #83
  • Jun 19, 4:07am (44 hr ago) Jun 19, 4:07am (44 hr ago)
When a rejection occurs, the signal will initially appear on the LTF (Lower Timeframe) and gradually develop until it becomes visible on the HTF (Higher Timeframe).

Following the downward move, price finally closed within our area around 4110—our liquidity zone—and a reversal began, starting on the M1 chart. Scalping is ideal during this period, as we cannot target large extensions.

The next step is to locate a shorting area, given that the STF is showing a bearish trend. The SSL (Sell-Side Liquidity) around the SBR (Support-Become-Resistance) level will be our waiting zone.
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Automated Trader Base on Price Action, Fibonacci, Imbalance and Liquidity
  • #84
  • Jun 20, 10:08pm (1 hr 59 min ago) Jun 20, 10:08pm (1 hr 59 min ago)
Price Action: The Big Picture

This roadmap outlines the foundational framework for developing a comprehensive trading plan using Price Action. While this serves as the high-level overview, each phase will be detailed comprehensively in later sections.

At its core, Price Action utilizes a variety of technical concepts to build a structured trading plan. It all begins with the foundational elements: Candlestick Patterns and Price Swings. By mastering these two components, traders can accurately define the overarching Market Structure.
Once the market structure is clear, it becomes the bedrock for developing a repeatable Trading Strategy. Testing this strategy yields the necessary Trading Statistics (win rate, risk-reward ratio, etc.), which ultimately dictate the rules for sound Money Management.

The 4-Step Price Action Framework

To truly master Price Action trading, the learning curve is broken down into four distinct phases:

  1. The Base Elements: Mastering candlestick anatomy, patterns, and price swing dynamics.
  2. Market Structure: Reading the market's bias (uptrend, downtrend, or sideways) by connecting the base elements.
  3. Strategy Development: Crafting specific entry, exit, and trigger rules based on the market structure.
  4. Money Management: Utilizing trading statistics to define risk per trade, position sizing, and long-term portfolio preservation.

Automated Trader Base on Price Action, Fibonacci, Imbalance and Liquidity
  • #85
  • Last Post: Edited 11:55pm Jun 20, 11:29pm (38 min ago) | Edited 11:55pm
Price Action: The Base Elements

Concepts like Higher Highs (HH) and Higher Lows (HL) are staple vocabulary for any Price Action Trader (PAT). However, while these concepts are incredibly important, they become practically useless if analyzed in a vacuum without the support of other critical elements.

Before we can even begin analyzing price swings, we must first identify the unique characteristics of the financial instrument we are trading.

The Multi-Timeframe (MTF) Approach

While some price action traders prefer a single-timeframe approach, the vast majority utilize Multi-Timeframe (MTF) analysis. Ideally, this requires defining two specific environments:

  1. The Strong Timeframe (STF): Used to identify consistent, high-probability price movements and overall market direction.
  2. The Lower Timeframe (LTF): Used exclusively for fine-tuning entries and seeking trade confirmation.

Step 1: Identifying Momentum on STF

The way you look for a trend on STF is fundamentally different from how you approach a LTF. On the STF, your primary goal is to identify momentum.
Traders approach this in two ways:

  1. Indicator-Assisted: Some use tools (like moving averages) to help objectively smooth out and identify the STF trend.
  2. Pure Price Action: Others rely strictly on large-scale candlestick formations to judge directional strength.

The Duration Rule: The longer you plan to hold a trade in the market, the more historical candlestick data you must consider to accurately define that higher-level momentum.

Step 2: Uncovering Liquidity via Candle Rejections
Alongside momentum, looking for clear candlestick rejections on the STF will uncover major areas of Support and Resistance (SnR). In price action terms, these SnR zones represent liquidity pools—areas where large institutional orders are waiting to be filled. These become your Key Levels.

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Step 3: Lower Timeframe (LTF) Confirmation
Once you have identified the momentum and mapped out your Key Levels on the STF, you are ready to drop down. The next step is to look for localized price swings (HH/HL or LH/LL) on the LTF as your final confirmation to execute the trade.
Automated Trader Base on Price Action, Fibonacci, Imbalance and Liquidity
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