Michael Patrick Lane

@TraderMorin Thx for adding the timeframe you were trading in here. Always helpful!

(6/8) Trade Execution My execution is non-time based but for the sake of simplicity I will share my old execution system. When price first trades into the Supply zone, I would scale 1/2 on the first SFP. Then I look for divergences, in this case we have a Double bearish divergence (RSI + AO) where I add the next 1/2.

If I could only trade one reversion setup it would be this one. 🧵🧵: Step by step breakdown (planning, confluences & execution) 👇

@TraderMorin Nice job consistently putting out great content and growing on this platform while kicking ass as a trader and MHC + helping others through your posts. No small task brother

@TraderMorin @Trader_XO

Market Context This is the most important foundation of my trading: @Trader_XO was the first person to bring this to my attention and to this day his teachings still have a tremendous impact on my trading / process. Market context should be one of the foundations of your trading. It helps you identify which trades you should be focusing on, from a more directional point of view. Patterns don’t mean shit unless you are trading them in the right context, this goes for double tops / bottoms and even compression setups. The daily / weekly 12/25 EMAs (TraderXO Macro Trend Scanner) is one of the simplest yet most efficient way to ensure your always on the right side of the trade. In an uptrend, the daily bands will be green and price comfortably above. In a downtrend, the daily bands will be red, and they will act as resistance when price trades into them from the underside. In rotational (Range) environments you will see the daily bands more frequently cross both bullish & bearish. My favourite tip for identifying a rangebound environment after an uptrend, is when we have the first bearish cross on the bands. Vis versa, in a downtrend you can wait for the first bullish cross to anticipate a rotational environment. I urge you all to implement market context into your trading process and have clear rules defining how you identify each environment.

TPOs reveal what candles can’t. Value. 🧵: The only TPO terminology guide you'll ever need w/ Pictures. 👇

(1/8) Initial Balance The IB range consist of the first 1H trading period of the Day. It can be used as a pivot point for price.

@TraderMorin Heck yes! Awesome post @TraderMorin 💫

@TraderMorin @huskyXBT lol

@huskyXBT Idk man ask Claude, I don’t even trade anymore. I have 100 clawbots that do everything for me now. Prompt = Just do stuff I do so that I don’t have to do it.

@TraderMorin Nice dude!

$BCH Closed majority of the short position. Price traded into the Single Prints at 480$ which was the last inefficiency on the TPO chart. If the demand is there then I will consider filming a full trade breakdown to share my thought process -> Plan -> Execution.

@docXBT Wow! Awesome post Doc! Thanks for putting so much time into this 💫

What a trade looks like for me from analysis -> execution -> TP/invalidation: 1) Context What environment am I trading in? First I define the market regime: trend vs. range, vol expansion vs. compression, risk-on vs. off, HTF directional pressure, location relative to EMA/VWAP/HTF levels, within value or outside? This step answers if this is a market that I want to be pressing directionally (playing inside out), or fading extremes (playing outside in). 2) Thesis What is the asymmetric bet? From context, I begin to form a directional thesis: continuation, mean reversion/rotation within value. This is not a prediction; it’s a hypothesis about which side has structural advantage given existing positioning, who's creating pressure and whether parties are being rewarded for that pressure at local extremities. 3) Location Where does the trade make sense? I define actionable zones: HTF/LTF confluence, VWAP SD bands, prior value highs/lows, FRVP extremities, gaps, structural highs/lows. If price is not at a EV+ location, I am not a participant. This enforces selectivity and avoids chasing flow mid-range in order to maintain a EV+ trade structure. I try to avoid executing within value most of the time as execute mean reversion more than momentum continuation. 4) Alignment Who do I want to trade with? I gauge passive liquidity and positioning. Where is liquidity is stacked? Where are large resting orders that could be useful for absorbing active participants? Are there limit chasers? Where is one side structurally advantaged? This step answers: Am I trading with pressure or fighting it? 5) Trigger What confirms timing? I wait for real-time flow: absorption, exhaustion, initiation, climax, momentum loss i.e. is aggression being rewarded/unrewarded? ex: If I'm looking for mean reversion I want to speculate on effort at extremities going unrewarded. aggressive longs opening into stacked asks at 2sd dval / wvwap confluence on a down sloping week. There is no confirmation. There is only EV+ speculation. This is the execution filter. No trigger = no trade, even if thesis is “right.” Missed execution off trigger (late, hesitated, away from desk etc.) = no trade. This part requires the most speed of thought, discipline and courage. 6) Risk Definition Where am I wrong? As I enter I want my invalidation defined. For reversion: failure of absorption, continued effort through level, new late positioning being rewarded, high volume or expansionary moves not retracing, acceptance outside of value. For continuation: effort retracing, late new positioning going underwater, exhaustion of active flow, absorption. Mental stops are placed where the thesis is objectively wrong, not where PnL pain is tolerable. Positions are closed manually, not at arbitrary levels. 7) Execution Enter with strong EV+ speculation, not confirmation. Entries are taken only when location, flow alignment, and triggers converge. Size is fixed in # of btc and variance in outcome is allowed. I do not abide by the (imo) rookie 1r concepts. Execution quality must be maintained (if I'm late by a few minutes, I won't chase, I must wait for a new setup). I only want to execute where I know I'll be wrong quickly, I do not want to sit in a trade where I'm "hoping" the market proves my thesis correct or thinking "eh, it's close enough". 8) Trade Management Is the market confirming or degrading my thesis? Post-entry, I monitor whether initiative is sustained, whether active flow continues to support my side, if the person I'm countering is underwater and under pressure and whether momentum decays or maintains strength. Scaling, partials, or scratch exits are dictated by market behavior around key levels or trade thesis- not running pnl, emotional stress or desire to win (not lose). 9) Exit Monetize edge, not PnL Exits are driven by objective EV+ targeted levels (dval -> dvwap), protagonist flow winning/antagonist flow losing, failure to sustain initiative flow, momentum loss, targeted positional exits (entry on fading large long opening and waiting for long closing), or clear regime shift. I’m not paid for being right on bias. I’m paid for exiting when the EV of my trade diminishes or when the market’s willingness to continue diminishes. -- Well that about summarizes it. Thanks for reading (bookmarking and never reading)

@TraderMorin Roger that! 👊

@MPatrickLane poor low is 2 or more blocks at the bottom

Poor Highs vs Good Highs (TPO):

@TraderMorin Thanks Morin!!!

@MPatrickLane Morning! I'm just using Daily TPO on this pic, C2M has a good tutorial on YT

Naked Point of Control (TPO):

Value Area (TPO):

@TraderMorin Roger that ! Thanks Morin! Going to start training footprint on kiyotaka next week! Have an awesome one 👊

@MPatrickLane My stops are flow based but I always advice new traders to place wider ones

Over time I’ve narrowed my trading down to a small repeatable playbook. 🧵: These are the 7 patterns I rely on + (Bonus Execution Pattern at the end) 👇

@TraderMorin For the demand cluster rounded retest. Are you still putting your SL above/beneath the cluster. Or have you experimented putting SL directly above/below internal sweep? 🧹 Happy Reflection day dude!

4. Rounded Retest -> Short Just like the previous example but instead of a demand zone it's a supply zone being created. You always want to wait for price to retest the supply zone before executing.

It's that time of the week: