Market Structure Note: Trading Strategies Using HH/HL and LL/LH Patterns

Focusing on Transitions Between Lower Low–Lower High and Higher Low–Higher High Phases
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📌 Real Market Structure Note

Focused on market structure flow and waited patiently. Took two trades when the structure became clear enough.

Here's a note based on recent market structure (MS) strategy.

Intro Chart
First Trade Attempt

Stepping back in time a little...

btc1
Mid-term Structure: LL → LH (Bearish Structure)
Short-term Flow: Early rebound signs with higher highs
Strategic Decision: No entry unless breakout and retest confirms trend reversal

Had it been a bullish structure, I might have entered. But given the bearish mid-term setup, I waited for a stronger short-term signal.

Actual Chart Progress
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Failed to break previous highs, despite several attempts. The highs kept getting lower.

Even if I had entered, I would've exited early at the sign of lower highs + bearish candles.

If market structure breaks down, exiting early is often better than waiting for SL to hit.

Second Trade Attempt
Second Entry

▲ Entry zone after clear structure formation

This time, both lows and highs were rising — a textbook bullish structure.
Much clearer than the first setup.
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Structure-Based Trading

I've explored and applied many concepts: BB, OB, FVG, BPR, S/R flips, QML, P/D arrays, and more. But market structure remains the most straightforward, mechanical, and powerful approach.

  • Lower highs often lead to lower lows
  • Higher lows tend to lead to higher highs
"Structure is the signal. Everything else is just noise."

Common Mistakes in Structure-Based Trading

Structure Failure

Examples include overly tight stop losses that don't respect structure, or ignoring TL/SL ratio.

TP Missed

Other mistakes include setting TP targets without considering time, or applying strategies on mismatched timeframes.

📌 Today's markets are full of noise and fakeouts.
→ To stay flexible and aligned, tailor your TP/SL and timeframe to your own style and psychology.