Disclaimer: Trading futures, Forex, and stocks carries a high level of risk. This article is for educational purposes regarding a specific trading methodology (Pats Price Action) and does not constitute financial advice. Always consult with a licensed financial advisor before trading.
: The signal bar must close in its lower one-third, showing strong bearish rejection. Pats Price Action Trading Manual.pdf
Tick charts (often 2000 tick) or 5-minute charts. Disclaimer: Trading futures, Forex, and stocks carries a
The is highly regarded because it fills the gap between basic technical analysis and professional, discretionary trading. : The signal bar must close in its
For a position, the signal bar must close near its absolute bottom, showing strong bearish rejection. Core PATS Trade Setups
Unlike time-based charts (like the 5-minute chart), PATS heavily utilizes tick charts (commonly the 2000-tick chart on the S&P 500 E-mini futures). Tick charts print a new bar only after a set number of transactions occur, filtering out market noise during slow hours and highlighting volume during volatile sessions.
Not all bars are created equal. The manual details how to read the shape and close of a bar to confirm an entry.
