I remember two years ago when I was about to apply the concept of aligning trading patterns and principles.
My patterns, key levels, zones, trends, and impulse correction theory did not align at first.
They seemed to tell me different stories. For example, I would analyse a currency pair and spot a W pattern (indicating potential reversals for buying opportunities),
but at the same time, my key levels would signal a different narrative—price at a resistance level (indicating selling opportunities).
This contradiction left me wondering whether to buy or sell. I didn’t know—I only knew I had to enter the trade (FOMO took over). This lack of alignment led me to lose hundreds of dollars.
What It Takes to Master Alignment
The secret to mastering alignment is you. Unfortunately, that’s why many forex traders, whether they’ve been trading for months, years (unsuccessfully),
or have recently joined the industry, will never become profitable traders. The reason is simple: you are the key.
To effectively use patterns, trends, and key levels, you must master each concept and understand it inside out. Otherwise, you will struggle to align all these principles.
Your inability to stay focused and consistent will lead to failure. You need to have a deep conversation with yourself to assess if the way you are living or trading aligns with these principles.
If it doesn’t, make the necessary changes. As I mentioned earlier, your inability to stay focused and consistent will lead to failure.
Avoid These Behaviours
The reason many traders remain unprofitable, even after years of trading, is a lack of discipline, consistency, and problem-solving skills.
If you don’t learn from your losses or mistakes and keep repeating the same behaviours, you’ll find yourself stuck with a mountain of losses.
This stagnation prevents growth and evolution as a trader, no matter how long you’ve been in the industry. Don’t let yourself fall into that trap.
A lot of new traders fail because they enter the industry with unrealistic expectations of becoming millionaires within weeks or months.
I’ve been there, too. This mind-set is why many of them quit or never reach the next level.
Aligning Trading Patterns and Principles: How I Did It
As I mentioned, two years ago, I felt conflicted when my market patterns and principles didn’t align.
Instead of blaming my strategy, the market, or the market makers (as I often did back then), I acknowledged the problem and focused on finding solutions.
After months of losses, I went back to the drawing board and began by perfecting trends.
The more I analysed my setups and revisited them later (hours, days, or weeks), the easier it became to spot what I was doing wrong and what I was doing right.
Over time, this approach helped me understand trends effortlessly.
I applied the same method to patterns and principles, addressing each concept individually.
It wasn’t easy, but consistent practice, detailed note-taking, and determination helped me navigate through the challenges.
Eventually, I saw the light at the end of the tunnel. Always remember: focus on the skill, and the money will come; but focus on the money, and it won’t come as easily.
I made a habit of working diligently every day. I became so committed to perfecting my strategy that I stopped wasting time on distractions like partying.
The less attention I paid to the outside world, the better I became at aligning trading patterns and principles.
Aligning Trading Patterns and Principles: Step-by-Step
The reason I cover every topic individually in the Strategic Trading Academy is so you can thoroughly understand the principles of each concept—such as traditional trends, M&W reversal patterns, and trading psychology.
Once you achieve mastery, here’s your step-by-step guide to achieving total alignment:
Step 1: Trends
By this stage, you should have a clear understanding of how to apply trends. You should know which timeframes to use for analysis.
If you follow my weekly market breakdowns on YouTube, you’ll notice that I start by analysing trends on the daily timeframe.
Placing trends on the daily chart helps me determine if the market momentum is bullish or bearish. I then add trends on lower timeframes (4-hour or 1-hour charts).
Step 2: Key Levels
Next come key levels—critical points in the market where price reversals might occur.
At resistance levels, we look for selling opportunities; at support levels, we look for buying opportunities.
These levels are essential because they define my “playground,” giving me an idea of the potential pips I could gain over different timeframes (hours, days, weeks, or months).
By marking key levels on daily and 4-hour/1-hour charts, I can better predict whether a trend might reverse or break.
When trends and key levels align—for instance, when a bullish market is at a support level—it reinforces my confidence in my analysis.
Step 3: Zones
Zones, like key levels, are areas in the market where price reversals or continuations are likely.
The difference is that zones allow you to account for more price activity, enabling more informed decisions before entering a trade.
I use zones and key levels for different purposes. Key levels define my playground, while zones help me refine trades, scale in entries, or adjust stop-loss levels.
I apply zones on lower timeframes, such as 4-hour or 1-hour charts. Testing these tools extensively will help you understand what works best for your trading style.
For example, I used to create my playground using zones but later realized that it didn’t work for me in the long run.
Step 4: Impulse-Correction Theory
This is likely the easiest step. You need to train your eyes to spot impulsive and corrective price movements.
Consistent practice will sharpen this skill. Once your patterns, market levels, and zones align, allow the correction or pullback to occur.
When it breaks, enter the trade and capitalize on the impulsive price surge—provided it aligns with the previous steps.
Here’s an example of a trade I took on December 12, 2024.
Aligning Trading Patterns and Principles: Conclusion
This is my blueprint. Use it as a guide to improve your trading skills. Never give up, and always learn from your mistakes—otherwise, you’ll keep repeating them.
You don’t have to follow my strategy exactly. Everyone’s trading experience is different.
If you prefer starting your analysis on a weekly timeframe or exclusively using zones, that’s perfectly fine.
This blueprint is merely a starting point. Over time, as you gain confidence, you can adapt and refine it to suit your style.