In the last post I introduced RMQTS (Risk Management Quantity Trade Setup) and showed what the math looks like over 500 trades. But math without a model is just theory. So in this post I am going to walk you through the actual trade model I use — step by step, with real charts.
Before anything else — please do not take any trades based on this post alone. Test this yourself first. For real documented examples, check my journal.
The Simple Path
The model follows a clear top-down process:
Step 1 — HTF bias (1 hour) I start on the 1-hour chart to identify the overall direction. I look for an Order Block (OB) or a Fair Value Gap (FVG) that has been confirmed by a Break of Structure (BOS) with good momentum. If there is no clean BOS, I do not continue.
Step 2 — Switch to LTF (15 minutes) Once I have my 1-hour bias, FVG, and OB marked, I switch down to the 15-minute chart and wait for price to retrace back into the 1-hour FVG.
From here, one of three things happens.
What Can Happen at the 1hr FVG
Scenario 1 — Price does not respect the FVG
Price enters the 1-hour FVG zone but pushes straight through it without any reaction. In this case I skip the trade entirely. A FVG that price ignores is a signal the bias may be wrong. No trade is always better than a forced trade.
Scenario 2 — Price touches the FVG and gives a 15 minute BOS
Price retraces into the 1-hour FVG and on the 15-minute chart creates a new BOS in the same direction as the 1-hour BOS. From here I have two entry options:
- Enter immediately at the 15-minute BOS — simpler but slightly less precise
- Wait for a 15-minute FVG to form after the BOS, then place a limit order at the 50% level of that FVG — this gives a better entry price and tighter risk
Scenario 3 — Price retraces to the FVG and creates equal highs or lows on 15 minutes
This is my preferred scenario and the one that gives the highest probability entries.
Price retraces back into the 1-hour FVG and on the 15-minute chart forms two or more equal highs or equal lows. I do not enter yet. I wait for price to sweep that liquidity — taking out those equal highs or lows — and then give a 15-minute BOS in the same direction as the 1-hour BOS. Once that BOS forms after the sweep, I enter immediately.
This is the liquidity filter I mentioned in my journal post. It is the single change that took my Phase 3 win rate to 68.8%.
Stop Loss and Risk-to-Reward
For the stop loss I have two options depending on the setup:
- Placed above or below the 1-hour FVG — my default
- Placed above or below the most recent swing high or low — used when the FVG-based stop is too wide
My Risk-to-Reward on this model sits between 1.5 and 2. Combined with the 1% compounding risk rule from the last post, this is where the math starts working in your favour over a large enough sample.
One Thing Worth Noting
The charts in this post use different pairs — GBP/USD, BTC/USD, and Gold. That is intentional. I used whichever chart had the clearest example of each scenario. The model itself works the same way regardless of the pair, but as my journal shows, not all pairs respond equally well to this setup. EUR/USD and Gold have been the most consistent for me personally.
Your results may differ. Test it, journal it, and let the data tell you which pairs suit your version of this model.
Good luck and bye for now.
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