This Trading Strategy Will COOK All the Prop Firms

Yo, what is going on traders? So, in this video, I'm going to show you one of the main trading strategies that I've personally used to get millions of dollars in funding and hundreds of thousands in payouts. It's called the PFK Alpha and it stacks very, very well in the prop firm setting. I'm going to show you a trade setup that I actually took live in my VIP live trading group on NASDAQ, but it works on any asset, forex or futures. So, you can take the principles that I'm going to show you in this video and you can apply them to any asset in your own time to see more success in your day trading and earn those prop firm payouts that you're looking for. So, let's get into it. Now, we're looking at NASDAQ here and you see this shaded line difference. This is pre-New York open and this is post-New York open. Now, I recommend that you only trade the indices during the New York open and not during Asian session or London session. It's a little bit more unpredictable and it doesn't move a whole lot, so it's harder to catch a move. So, you can trade this one during New York open, but for gold, for example, I trade this PFK Alpha model during Asian session, during London session and you can do the same thing with silver if you really want to. So, we're going to talk about the ranges, but the first thing we want to look at here is um the indicators that we use for this trading strategy specifically. So, we want to go to the 1-hour chart to start and let's just say, you know, the New York open starting and we want to do a pre-analysis before the bell hits, okay? So, that's the first thing we want to do and we're going to pull up the 9 and the 20 uh EMA, okay? So, they're just a standard exponential moving averages and you can see here the yellow is the 9 EMA, the blue line is the 20 EMA and we're just going to mark the 20 EMA right here, boom, with a white line. And that's going to be our bias line. So, essentially, the logic is simple. We're looking to take longs above this line and we're looking to take shorts when price is below this line. So, currently, you can see that price is above this line, and so we're looking for longs. And the other thing we want to consider is the momentum. So, we are momentum traders. We want to jump on the train with buyers when buyers are in control. We want to jump on the sellers train when sellers are in control. We don't want to fight that momentum. You will get destroyed more often than you succeed unless you're trading at an extremely high value key psychological level, which is a different entry model that I teach my members as well. So, the very first thing that we want to look at here is, you know, we have our bias line, and then you can see that our bias is also crossed bullish. So, this is a bullish EMA cross when the nine crosses bullish through the 20 EMA. That is called a consider that is considered a bullish crossover, and we can see that we have bullish momentum as well. Like this, boom, and therefore our long bias is reconfirmed with price action being above our daily bias line, and also the momentum on the 1-hour chart is bullish. So, we know we're looking for buys. That's what we want. So, after we've done that, the only thing we want to consider after that is potentially a key psychological level, and you can see right here 30,000 right here is a price point dead even. So, we can mark that as resistance on the chart just like that. So, that is a key level that we want to really consider not trading into too much if we're coming up into that level. You can see we already found sellers pre-market very strongly there, and then it could happen very it could very well happen again. So, that is the 1-hour analysis that you want to do on any asset before you trade the New York open or whenever you're about to take a trade, you want to be on the 1-hour chart doing your analysis just like this. Okay? So, once this is done, we drop down to the 5-minute chart here. Okay, and we can see that, hey, you know, we had um we had this uh bullish crossover on the 5-minute chart. So, I want to talk about a few things um that we need to pull up on the chart before we even think about taking a trade on the 5-minute chart. The first one's going to be open price, which is going to be the dotted line right here. So, open price is very uh relevant. You can see even right here, we found sellers, we found sellers, we found sellers at the open price. Open price tends to reverse uh price action many times. So, we we have to consider it major support or resistance, and that's this dotted line. If you want it, you have to go to indicators and just type in open price like this, and you can see that it's right here, okay? The next thing that we want to pull up is called the VWAP. Now, this is the daily VWAP. This is one of the most important indicators. It's the orange line here, and it is more accurate on futures, so just be aware you can use it on forex, but it's not as accurate. You can cross-reference it on futures if you're thinking about taking a trade on forex. So, that's this orange line down here. It's the volume-weighted moving average. You just type in VWAP, volume-weighted moving average, and I'll just show you the settings real quick on this one, too, while I'm at it. You can see I've unchecked these bands and it's session uh high and low right here. It's basically standard settings on TradingView as long as you uncheck these boxes right here. So, now that we have that up, um and let's say we're in real time, uh there's a few things that we want to watch out for. Now, the very first thing is, you know, when we know our bias is long, we need a pullback. We don't want price just to pump and pump and pump. We need a pullback so we can get a high volume entry to go with that higher time frame momentum. And you can see here that we crossed bearish on the 9 and the 20 EMA 5-minute, right? And we recrossed bullish. So, the bearish cross is called a reload and the bullish cross is called a primary read. Now, the primary read is what we're looking to do when we are uh entering a trade. It's a signal to do an analysis to see, "Hey, do we want to enter in with this shift in momentum to ride this wave upward, okay?" Now, there's a few things that happened on this trade which I really, really liked and one thing I didn't like and I'll go over it. So, the first thing I really like to see is that this is the settlement candle. So, this is the 5-minute candle at the New York open. You can see the shaded line difference here. This is when the market opened for the New York session and we had uh buyers just completely whip price down below the VWAP, sweep all of all of this liquidity here, close above the VWAP very strongly, and then get rejected again from the open price, and uh rejected again from the VWAP. So, there was a battle here going on between the open price and the VWAP. You see, that is why I have these two indicators on the chart because they are so relevant and you can see the battle happening here in real time between buyers and sellers thinking these different value points of interest where they're willing to uh make big big moves in the market. So, um we can see here that finally uh the buyers had started taking control and on this candle close, we closed above open price, which is already major resistance. We broke it, we closed it, and at the same time where we we were rejected from this VWAP here with very nice rejection candles, long wicks, and you can see right here that we had the 9 and the 20 EMA crossover bullish making a primary. Now, there's one more thing we can use for confirmation and I want to pull up now which is called volume. Now, volume is a leading indicator. You have to look at it on futures. Once again, it's not accurate on forex, okay? You have to cross-reference futures if you're going to trade forex. Now, we can see here that during this break through the open price and the crossover, we had an increase in volume on the buy side, right? So, that's a very good sign that momentum's shifting, buyers are gaining control, and with that being said, we can really consider that this trade is valid to go long. Now, um there was one major issue with going long just market order here, for example, after this crossover. The main issue is we have to break 30,000, right? We have to break 30,000 uh key psychological level, which previously we found major sellers right here. Now, that's going to be a huge problem. So, when that situation, when we're competing with market structure and key psychological levels like that, this is where we adapt to the market conditions. This is where we do um this is where we do discretionary analysis, okay? Based on price action. We can do a limit order, so we can get this TP below that key psych level, so we don't have to compete with it. So, we can go below just like that. We can set up a limit order buy targeting 75 points, right? One-to-one risk-to-reward is very solid. And for example, I took this trade on a Lucid Trading um a Lucid Trading eval. So, you know, these 50K flex is what I like to trade, and I need 1,500 profit because there's a 15 50% consistency. So, I need to make 1,500 profit in one single day, in one trade, that's what I go for. So, when I set up this trade, it kind of looks like this. I just create a limit order. I'll go two contracts, 1,500 profit, and 2,100 or you can even go 1,500 drawdown or you can do the full drawdown of 2000, which is something I like to do as well. And the 75 points should be right there for 1500, and that's how you do the trade setup. So, we'll see how it played out here. Um I'll just press play, and we can see that yeah, we got whipped into the trade, and then boom, we exploded to the TP with a beautiful, beautiful setup here. Uh quick trade, and we actually also cracked that key cycle level, so that was a really good sign right there. So, that is the entry model that I teach um in my VIP as well. That's the one that I use primarily. We have other entry models, but if you would like an experience um to where I take trading strategies and apply them in the prop firm setting, because I love to educate people on not only how to trade, but also how to use trading to completely rinse prop firms, because they're two different games, but when they come together, they can be very lucrative and make you a lot of extra income, especially when you start gaining momentum and building up funding. So, if you'd like to check that out, um I will leave the link to the membership in the description of the video, propfirmkid.com. You go to the live trading right here. You can join the VIP, and if you go to the VIP, I post all of the trade setups that I take live during the New York open right in my PFK call out channel. You can watch in on the Zoom call. I'm trading prop firm evals in real time. Everybody's doing so well with prop firms lately in my community, and it's really good to see. You can even check it out um in the member success right here, where people are just getting funded, hitting payouts, and it's such a good thing to see that, you know, you can actually be profitable from a good trading strategy because of the way prop firms function. So, hopefully that helps, guys. I will see you in the next video. Peace.