August 15, 2025
By
Blackwatch
This continuation strategy starts with defining the 4hr trend using the Supertrend indicator. You mark out failed highs/lows and inside bars aligned with that trend. Once price returns to a key 4hr level—either a prior swing or an inside bar—you shift to the 5m chart for potential entries. This higher-timeframe context filters out low-quality setups and gives you a directional anchor before dropping down.
On the 5m chart, Heikin Ashi candles help filter noise and highlight clean reversals. You’ll apply fib retracements and VWAP to qualify entries, and only take trades once the candle closes on the right side of the VWAP. This model includes detailed invalidation criteria to avoid chop, and strict rules to only take setups with at least 2R potential.