Dissidence In Qualification

When and how to compromise.

Compromise in DVA

  1. Must be NEAR the reference you compromise from.

  2. Must be a STRONG Narrative. (TPO Level + LTVW Thesis)

  3. Cannot re-enter on same swing.

Compromise in Distance of Narrative

This is to be used when a narrative is already in play and occurred in ETH or was missed in RTH. The R:R still must be > 3 and the lower time frame components must be in place. Even better if there is a divergence.

The Scalp

Scalps are trades that have no strong narrative behind them. They should be less common but can still offer a solid R:R. An example can be looking at a strong imbalance up on the weekly that is above the 2 sigma. There is solid odds that the trend will reverse. Then you see intraday contextual tools (DVA) breaking down. While the narrative is still bullish you see a failing imbalance and look to take this trade as a medium term counter trend fade.

Order flow is critical in this setup. You should not see the absorption by the primary trend participant and should take advantage of a liquidation type move lower.