00:00Now let's get into watching how the use of the trading system and trade entry operates.
00:08Here we're tracking the US Canadian dollar on an M5 chart.
00:14I have the settings set to 12 pips from the trigger line, so when we get a trigger line
00:21to go long or short, our trigger line would then be 12 pips away from the bar closing
00:28price, where we would set our buy stop to be a buyer or sell stop to be a seller.
00:33Now we are getting some lift in price looking to see if we transition momentum from downside
00:40to upside and get a long entry.
00:43There we have the trigger.
00:45Our trigger line that's yellow means pending, it hasn't been activated, price touched it.
00:51So any buy stop we had on that line has been activated and we would locate our stop where
00:57the red line is.
00:59And our initial target or minimum target would be at the green line, which is 2 to 1.
01:0530 pip target for a 15 pip stop.
01:10So market had some initial lift after our entry, slight pullback.
01:15We're on a lower timeframe chart so we don't need wide stops.
01:19And now we're picking up additional pulse of momentum.
01:23And we've hit a first target.
01:26Now the suggested stop line has moved up to lock in some profits.
01:32Prices skyrocketed up towards our next target line, like the suggested next target.
01:40If you're carrying additional positions has plotted.
01:44So not only did our stop line move up, meaning you should probably put a stop here or lower.
01:51That would be the highest level you'd want to put a stop after the initial target area
01:57was hit.
01:58Then it has the second suggested target that's just been hit.
02:03So if you did one scale out and a second scale out, you can see the stop lines moved
02:08up.
02:09So you'd never, the stop line moves up 15 pips at a time because we have 15 pips of risk.
02:17But the target line, which was initially set at 30 pips above our fill price jumps up
02:2730 pips at a time.
02:29So literally we're going for a 2 to 1 target.
02:31Then it jumps up to a 4 to 1 target, then it would jump up to a 6 to 1
02:36target.
02:37So if you wanted to, I mean you could be in your original entry and still letting the
02:42trade run.
02:43Just keeping your stop somewhere at the stop line, the red horizontal line, you know, that's
02:55like a suggested area to move your stop up as you're following price.
02:59Now this is an important point.
03:02Anytime I see a market push, pull back, and then come back up to retest that prior pivot,
03:10I always watch these areas.
03:13So that was the first pivot.
03:15It's pushing.
03:16I want to see price break out and run, or I want to see price, you know, if it's going
03:23to roll over here if it fails.
03:25So this current stop line is a little higher than I would use.
03:30I would tend to have my stop down near the most recent pivot if I have runners on.
03:36Now, if I want to have a top tight stop, and I've already hit an initial target, and I
03:42want to have a close stop on my last runners, I don't want to give them a lot of room
03:47to
03:47breathe, I could leave that stop at that stop line.
03:51And so far we have not had price go down and press that line.
03:56It's gotten close, but no press through.
03:59Now this horizontal red line that I have drawn, that's about where I'd have my stop.
04:05Now that price is lifting through the prior pivot, I would take my stop that was down in
04:10the last pullback pivot, and I would raise it up a bit.
04:14Now price is starting to go sideways, it's either going to run up or it's going to roll
04:18over.
04:19I'm going to lock in as much profit as I can on any runners.
04:23Okay, now we had a micro pullback pivot, and it's pushing again, I'm going to move my stop
04:28up again.
04:30So this green line is the next suggested target area.
04:34So in my case, I would have been stopped out right here.
04:37If somebody was following the stop line suggestion for the system, they're still in the trade with
04:42any runners.
04:44So I would have done pretty good on my trade.
04:47If you're still in this trade, you're doing fantastic.
04:52So I always like to use these pullback pivots and uptrends as areas to put my stop.
04:58But we do incorporate a suggested stop line for you.
05:03You know, where is the highest level you'd ever place your stop as your following price.
05:09So at that level or below is perfectly fine.
05:14And then the next time is we keep giving you the new next target area where you should be
05:20focused on to exit any runners.
05:24So if you were still in this trade with runners that have not yet been stopped out, you know,
05:30you've locked in a lot of profit on this trade well over two to one.
05:35Now, I am watching momentum starting to dissipate a bit.
05:39So any last pushes to the upside are a gift.
05:45And remember, we're on the five minute chart here.
05:47We're not trading three day long trades.
05:50You know, we're trying to get a good hit out of a pulse of momentum and any runners.
05:56There we go.
05:57We get another press higher so that the target jumps up.
06:01I think the target's now up to six to one or eight to one because of the move.
06:05You know, this market just keeps grinding up.
06:06And now we finally go down, go through the stop line and it changes to blue.
06:13So look how simple we give you visual reference points that run with the trade to help you manage
06:21where to have your next targets, where to have your stops.
06:25And then once you do get stopped out following the suggested reference lines,
06:30when to go flat on the trade and be done with the trade and wait for new setups.
06:36So hopefully you can see we've designed this so you can be paying attention to momentum here on the FX
06:42pulse indicator.
06:45So it can help you, you know, as a market's grinding higher and you're long, you know, where do I
06:51get out?
06:51Where do I get out?
06:53And you want to stay in trades that are running in your intended direction as much as you can.
06:58But when you start seeing divergences building where price is grinding, grinding higher and the FX pulse indicator,
07:08the pulse indicator is continuing to go lower, don't be surprised to see some pullback in that uptrend.
07:17You know, it's not uncommon to see a pullback before you get maybe another leg higher.
07:24So we're on a five minute chart.
07:26So this would be considered scalping.
07:28We get on a 30 minute chart or a one hour chart.
07:32That would be intraday position trading to multiday position trading.
07:37But you can see right here.
07:40Price not making any new high pivots as yet cycling sideways and momentum is dissipating.
07:50If anybody was still in the trade, you know, you're getting a lot of evidence to just go flat, call
07:57it good.
07:57And you got an excellent, you caught the bulk of the pulse of momentum that came into price.
08:06So there you have it.
08:07If you have any questions on this, just let us know.
08:09But I wanted to give you a clear run through and kind of a live conditions type look of how
08:16all the mechanisms to the pulse indicator works.
