Capital
$1000+
Duration
30m-2h
Timeframes
2 TF
Risk/Reward
1:2
Type
Reversal Trading
Difficulty
medium
About This Strategy
This strategy combines the power of RelicusRoad’s Price Action (Road) analysis with Support/Resistance levels and Trendlines, using a dual timeframe approach to identify high-probability reversal trades. By focusing exclusively on reversals rather than breakouts, we achieve more predictable outcomes with clearly defined risk.
The dual timeframe system allows traders to analyze market structure on a higher timeframe while timing precise entries on a lower timeframe. This approach filters out noise and provides better risk-reward ratios, making it ideal for traders seeking consistent profits with controlled risk.
🎯 Key Principles
Road Movement Analysis
Use the road's directional curve to predict future price movements
SR Alignment Trading
Never trade against recent Support/Resistance breaks
Reversal-Only Focus
Trade bounces at key levels, not breakouts
Dual TF Confirmation
Higher TF for bias, lower TF for precision entry
⚙️ How This Strategy Works
🔍 Trading Approach
Price Action Foundation
Read the road movement patterns
- ✓ Upward curve = Bullish bias
- ✓ Downward curve = Bearish bias
- ✓ Flat road = Range trading
Support/Resistance Respect
Trade with market structure
- ✓ Never counter-trade fresh breaks
- ✓ Wait for level rejection confirmation
- ✓ Align with overall market flow
Trendline Confluence
Additional confirmation layer
- ✓ Draw mentally or on chart
- ✓ Combine with SR for higher probability
- ✓ Use for dynamic support/resistance
Timeframe Synergy
Multi-TF analysis system
- ✓ Higher TF shows the destination
- ✓ Lower TF provides the entry ticket
- ✓ Both must align for valid trade
📊 Entry Methods
5min Analysis → 1min Entry
- 1 Identify SR bounce setup on 5min
- 2 Confirm road movement aligns
- 3 Switch to 1min for timing
- 4 Enter on reversal pattern
30min Analysis → 5min Entry
- 1 Analyze 30min SR and trendlines
- 2 Wait for price approach
- 3 5min for entry confirmation
- 4 Enter on reversal formation
🎯 Exit Strategy
Primary TP: CenterLine
First profit target
- • High probability target
- • Usually hit within 5-15 candles
- • Take partial profits here
Secondary TP: Trendline
Extended target
- • Dynamic resistance/support
- • Move stop to breakeven
- • Let runners continue
Final TP: Next SR
Maximum target
- • Major level on higher TF
- • Full position exit
- • Look for new setup
📋 Core Trading Rules
📝 Rule #1: Road Movement Analysis
Look at the movement of the road as instructed in the videos to predict the future price
📝 Rule #2: Never Trade Against SR
Never take a trade opposite to the SR (If the price just broke a resistance upwards, taking a sell makes no sense)
📝 Rule #3: Reversals Only Strategy
We only trade reversals in this strategy since reversals are more predictable than breakouts
📝 Rule #4: Trendline Mastery
Learn to draw trendlines on the chart and then eventually just draw with your mind visually
📝 Rule #5: Dual Timeframe System
Choose 2 timeframes: one TF for entry and another TF for analysis (e.g., 1min for entry and 5min for analysis). Look at next 5-15 candles on higher TF
📝 Rule #6: Higher TF SR Analysis
If price is about to bounce off SR on 5min, wait to take a deal on 1min
📝 Rule #7: Trendline Entry System
Looking at trendlines on 5min and entering on 1min is highly profitable
📝 Rule #8: Extended TF Analysis
If looking for entry on 5min, look at 30min for trendlines or SR for analysis
📝 Rule #9: Take Profit Strategy
TP at CenterLine or TrendLine or SR
📝 Rule #10: Stop Loss Management
SL 2-3 times less than the profit you're looking to make or just set above/below SR
🛡️ Risk Management Rules
Small Position When Uncertain
Take a small position if you're not completely sure (to avoid revenge trading)
Accept Losses Gracefully
It's okay if you lose a position (don't let it drag you down)
6-8 Candle Limit
Never let the position drag more than 6-8 candles
5 Candle Exit Rule
If the market is going in the opposite direction and the number of candles is greater than 5, close the position
Trade Up Strategy
Trading Up - Trade up on a better position or reversal
Emotional Control
If you mess up, leave trading for a few days
⚠️ These rules are non-negotiable. Following them is the difference between long-term success and account destruction.
🛠️ Setup & Configuration
✓ Required Features
+ Recommended Features
⚙ Timeframe Configurations
Scalping Setup (1min/5min)
Day Trading Setup (5min/30min)
Swing Setup (H1/H4)
✅ Entry Checklist
✅ Pre-Trade Checklist
❌ Avoid These Setups
📚 Complete Trading Guide
📈 Real Trading Examples
Perfect Bounce Trade
EURUSD at major support
Price approaches 1.0850 support on 30min with road curving up
Trendline Confluence
GBPUSD trendline + SR
Price meets ascending trendline at previous resistance turned support
⚠️ Common Mistakes to Avoid
❌ Trading Breakouts
This strategy is designed for reversals only
✅ Solution: Wait for clear bounces at levels, never chase breaks
❌ Ignoring Road Direction
Fighting the road leads to low probability trades
✅ Solution: Only take trades aligned with road curve direction
❌ Single Timeframe Trading
Missing the bigger picture context
✅ Solution: Always check both timeframes before entry
❌ Early Entries
Price hasn't confirmed the reversal yet
✅ Solution: Wait for rejection candle to close completely
💡 Advanced Tips
Level Strength Assessment
SR levels with 3+ touches are strongest. Fresh levels (1-2 touches) need extra confirmation.
Session Timing
London open and NY open provide the cleanest reversals at SR levels.
News Filter
Avoid trading 30min before/after high impact news. SR levels temporarily lose reliability.
Profit Management
Take 50% at TP1 (centerline), move stop to breakeven, let rest run to TP2/TP3.
🚀 Performance Optimization
Trade Quality Focus
- ▸ Trade only A+ setups with all confirmations
- ▸ Skip trades during choppy/ranging markets
- ▸ Focus on major SR levels, not minor ones
Risk Management
- ▸ Never risk more than 1% per trade
- ▸ Use mental stops during high volatility
- ▸ Scale in/out of positions for better average
Psychology
- ▸ Wait patiently for perfect setups
- ▸ Don't revenge trade failed signals
- ▸ Journal every trade for improvement
❓ Frequently Asked Questions
Can I trade breakouts with this strategy?
Which timeframe combination is best for beginners?
How many trades per day should I expect?
Should I use pending orders at SR levels?
📚 Learning Path
Step 1: Master the Basics
- Watch all training videos on 'road' movement
- Practice identifying SR levels on different timeframes
- Learn proper trendline drawing techniques
Step 2: Practice Dual Timeframe Analysis
- Start with 5min analysis + 1min entry
- Practice identifying setups without entering trades
- Track performance of identified setups
Step 3: Live Trading
- Start with small position sizes
- Focus on perfect setup execution
- Gradually increase size as consistency improves
💡 Pro Tips
Author: Pyrem - US30/XAUUSD | Date: 03-May-21 3:40 PM
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