The Stair Step pattern looks like a typical, real-life stair case, only represented in candles. It’s easy to see after the fact, but the trick is to recognize the pattern while it’s occurring. This pattern often occurs the last week of the year, where price pushes, pauses, pushes, etc. Overall the Stair Step activity is usually slow, but the pattern persists throughout the week. At about 3:00 in, John Paul demonstrates the Step pattern, although the conditions are less than ideal. What works well with this strategy? The Atlas Line because it provides an estimate direction of market activity and provides signals as price pulls back while continuing in a specific direction. In fact, some of the steps match up with the Atlas Line’s pullback trades, shown as small “P” text signals on the chart. Strength Trades also match up. Vlad, a student who asked about the consistencies between the two methods, is a Mentorship student.
It’s best to avoid trading before the big holidays (Christmas Eve/Day and New Year’s Eve/Day. Unusual market activity, or very slow activity, may occur on Friday, Dec. 23 and Friday, Dec. 30, as the holidays occur over the weekend.
At around 9:00, check out the A, B and C parts of the day, as they apply to scalping. The ATR (Average True Range) really decides whether or not a trade is available during the B and C parts, because they tend to be slower. An exception is C’s late-day rallies / sell-offs and “squeeze” (when traders exit positions at market and volatility increases). Avoid the last 15 minutes of the session for this reason. Watch the price on the DOM begin to move rapidly. The same thing happens when there’s a news event – buyers and sellers seemingly enter at random. The only time John Paul does not use the ATR is on a tick chart for the Price Action Scalping method (taught in Mentorship).
At about 16:16, you can take a look at the Trade Scalper signals. Note this is not the full version of the software you’re seeing – these are just the signals. The guiding lines and levels are not shown. Many of the signals are reviewed, so you can really get an idea of what it’s like working with this scalping strategy.
Remember, you can get all of the trading strategies discusssed in this webinar (and many more) by attending the upcoming Group Mentorship class. The next class begins Dec. 15, 2016. Click here for details. If you have any questions, contact us via the contact page or call us at 1-888-607-0008.
