After 10 years of trading, this is the simplest edge I've found and it still makes me money every session.
In my experience trading for over a decade, the simplest strategies often yield the most consistent profits. One approach I especially rely on involves focusing on the opening range—the high and low of the first 15-minute candle of the trading session. This method cuts through the noise of complexity and directly taps into early market sentiment. By marking this opening range, you set key levels that can act as support or resistance throughout the day. To deepen this edge, I overlay the volume profile for the first 5-minute intervals, which highlights where the majority — about 70% — of volume traded, defining the value area, including the value area high (VAH) and value area low (VAL). Watching how price interacts with these levels helps anticipate market behavior. There are two main scenarios I look for: 1. Price spikes above the value area high but then closes back inside. This often means buyers have been trapped, creating an ideal long entry point. I place a stop loss just above the high and target the value area low, trailing stops cautiously as the move progresses to capture potential explosive trends. 2. Price breaks above and stays beyond the value area high, indicating acceptance of higher prices. In this case, I wait for a pullback to the VAH and enter trades anticipating continuation. Stops are placed below the latest candle lows, letting the trade run with momentum. From personal experience, trailing stops is key to maximizing gains—locking in profits while you let trends breathe. This approach has proven remarkably resilient across different market conditions. If you’re eager to dive deeper, exploring volume profile techniques can provide a huge advantage. Consider learning more about volume distribution and how it relates to market participants’ behavior—it’s been an invaluable part of my trading toolkit. Keep your strategies simple, focus on price action around key levels, and always manage your risk carefully. Consistency comes from mastering these fundamentals rather than chasing complicated indicators.
