Not all bars are created equal. The manual details how to read the shape and close of a bar to confirm an entry.
The foundational discovery of the PATs system is that the market naturally moves in two legs. When the market attempts to move up or down, it almost always makes a first attempt, encounters a correction, and then makes a second attempt.
Unlike subjective price action theories, PATS is highly rule-based. It eliminates guesswork by providing specific definitions for trends, corrections, and entry signals. The system is built on a 21-period Exponential Moving Average (EMA) and a 2000-tick chart, prioritizing structural context over individual candlestick shapes. Core Philosophy: The Two-Legged Correction Pats Price Action Trading Manual.pdf
The manual emphasizes that markets move in trends, and within those trends, price moves in "legs" or "waves." Here are the fundamental principles taught in the manual: 1. Trading with the Trend
The PATs Price Action Trading Manual is an excellent fit for traders who: Not all bars are created equal
The "PATs Price Action Trading Manual" by Mack is a foundational guide focused on trading "pure" price action, utilizing 2nd entry setups and a 21-period EMA to navigate market trends. The methodology emphasizes trading trends via stop orders, specifically looking for failures to enter, and using tight stop-losses for scalping. For more details, visit Price Action Trading System
The , written by the trader known simply as Mack , has become a cornerstone resource for futures traders looking to master "naked" chart reading. Unlike complex indicator-heavy systems, the PATS Price Action Trading Manual focuses on understanding the underlying geometry of the market and the psychology of trapped traders. Core Philosophy: The Art of "Naked" Charts When the market attempts to move up or
The manual's primary premise is that all the information a trader needs is already visible in the price movement. Mack teaches students to trade with clean charts, using only a single as a dynamic reference point for value and trend.
The PATS trading manual categorizes trades into specific, rule-based setups. You should only execute trades that match these criteria. 1. Second Entries (2EB / 2ES)
If you have to squint or debate whether a leg has formed, it isn't a valid setup. Clean PATS setups are glaringly obvious on the chart.