Trading on H4 using Price Action

I am sincerely grateful to all the great people from whom I have learned over the years - how to trade and how not to trade.

step:

1. Perform PA analysis on higher timeframes (D1, W1, MN) to determine the direction of the main PA

2. Perform PA analysis on the H4 time frame to determine the direction of the intermediate PA

3. Determine if a Marubozu-like candle formed on H4.

4. Enter the trade on the next candle (after the Marubozu similar candle is formed)

5. Always follow proper money and risk management. Calculate how much money you want to risk before making any trade.

6. Exit a transaction
Profit : If price reaches the major PA on H4 or breaks the trendline/fan in the opposite direction
Loss : If the price closes above the previous PA (for sells) or below the previous PA (for buys)

7. I find the following questions/rules helpful before entering a trade:

a. Is there a signal after the previous candle close? (If I see an arrow in the first few candles, I enter the trade)
b. Has the trend line been broken?
c. Is the price close to the previous range?
d. Did the price close higher/lower than the last trend?
e. Is there any red news for this currency within 24 hours?

A high probability trade will have the following answer: (I will not enter the trade until the answer is below)
7 (a) - Yes
7(b) - Yes
7(c) - Yes
7(d) - Yes
7(e)-NO

As I continue to test this approach, I will add more details with examples. Unfortunately, the way the indicator is created is only useful for forward trading/testing.

I put together a metric that works for me. This indicator requires manual input (main PA direction, intermediate PA direction).
I plan to update this metric at least 2 times a day with my analysis (step 1 and step 2). If you see a newer update here, please download and update it at the end.
Arrows appear when Marubozu-like candles form on the chart. (Step 3)

This indicator is a simple tool that helps me analyze around 20+ currency pairs faster than manually analyzing them individually. This is not an EA or automatic indicator.

If you find this metric useful, use it, but be aware that there is not much automation in this area and 95% relies on manual analysis and updates.
This indicator may not be suitable for everyone.

Sources are provided "as is". Feel free to use it "as is" or modify it to suit your purposes.

The indicator was tested using only 5-digit/3-digit (after decimal point) price charts. It may not work with 4-digit/2-digit (after decimal point) price charts. If it doesn't work, please let me know and I can check.

This indicator (currently) only works on the following symbols:
USDCHF, GBP/USD, EUR/USD, USDJPY, USDCAD, AUD/USD, EURGBP, EURUSD, EUR/CHF, EUROJPY, GBP/JPY, CADJPY, GBPJPY,
AUDNZD, AUDCAD, AUDCHF, AUDJPY, CHFJPY, EURCAD, CADCHF, NZDJPY, NZDUSD, GBPAUD, GBPCAD, NZDCAD, NZDCHF
Gold USD, BTC USD, LTC USD, ETH USD






As always, please be courteous to your trading partners. The goal is to learn, improve and add value to your transactions.

Transaction example:



Examples of how not to trade: why? The answer to 7(c) and 7(d) is no - as you can see in the chart.
Price did not close back into the previous range, nor did it close above the last leg of the downtrend.