Look for this setup during an uptrend when the price begins to pull down toward the EMA.
Instead of using time-based charts, PATS relies heavily on tick charts. A 2000 tick chart prints a new bar only after 2,000 transactions have occurred. This format filters out market noise during low-volume periods and expands to show granular price action during high-volume periods, such as the market open. Pats Price Action Trading Manualpdf
Price begins to correct upward. The first bar to break below the low of a previous bar creates the . Price rallies again, forming a second leg up. Look for this setup during an uptrend when
Here is how a standard PATs trade unfolds on a 2000-tick chart: Pats Price Action Trading Manualpdf