The Trading Zone is generally considered to be the 50 EMA on the H1 chart or the 13/5 EMA gap in the direction of the trend, acting as a "hook" or "retest." How to Identify the Trading Zone (Part 05):
| Phase | Primary Action | Entry Trigger | Target | | :--- | :--- | :--- | :--- | | | Buy in Discount Zone | Candle closes above 50/200 EMA; MBL is slanted | Premium Zone | | Bearish | Sell in Premium Zone | Reversal pattern at M Top; TDI/RSI confirmation | Discount Zone | | Caution | Avoid Trading | Price in Premium Zone (Bull) or Discount Zone (Bear) | Wait for zone flip |
In the BTMM framework, a "Top" represents a Level 3 peak formation where the market maker has completed a cycle of three rises. BTMM Trading Strategy and Techniques | PDF - Scribd
Market makers surge price upward to trigger buy-stops, forming the top of the RUL.
Look for an "M" formation (a double top). The second leg of the "M" should ideally be lower or equal to the first.
Specific zones include the area around equal highs or lows and the "apex" or neckline of major patterns like M and W formations. :
In , the focus shifts from what the market is doing to where you should stand. This article dissects the two most critical concepts in Part 05: The Trading Zone and The RUL Top . Without these, you are trading random price swings. With them, you trade like an Insider.
The Trading Zone is generally considered to be the 50 EMA on the H1 chart or the 13/5 EMA gap in the direction of the trend, acting as a "hook" or "retest." How to Identify the Trading Zone (Part 05):
| Phase | Primary Action | Entry Trigger | Target | | :--- | :--- | :--- | :--- | | | Buy in Discount Zone | Candle closes above 50/200 EMA; MBL is slanted | Premium Zone | | Bearish | Sell in Premium Zone | Reversal pattern at M Top; TDI/RSI confirmation | Discount Zone | | Caution | Avoid Trading | Price in Premium Zone (Bull) or Discount Zone (Bear) | Wait for zone flip | btmm steve mauro part05 trading zone and rul top
In the BTMM framework, a "Top" represents a Level 3 peak formation where the market maker has completed a cycle of three rises. BTMM Trading Strategy and Techniques | PDF - Scribd The Trading Zone is generally considered to be
Market makers surge price upward to trigger buy-stops, forming the top of the RUL. The second leg of the "M" should ideally
Look for an "M" formation (a double top). The second leg of the "M" should ideally be lower or equal to the first.
Specific zones include the area around equal highs or lows and the "apex" or neckline of major patterns like M and W formations. :
In , the focus shifts from what the market is doing to where you should stand. This article dissects the two most critical concepts in Part 05: The Trading Zone and The RUL Top . Without these, you are trading random price swings. With them, you trade like an Insider.