Been trading for a while but still struggling with reading market structure properly. Sometimes I catch good moves but other times I’m completely wrong about direction.
How do you guys actually use structure analysis in your entries and exits? What patterns do you trust most?
Market structure is based on higher highs and lows in uptrends. In downtrends, look for lower highs and lows.
I enter trades after a structure break with good volume. Use previous swing highs and lows for exits.
Avoid overcomplicating your strategy or worrying about every small price move.
I watch for trend line breaks and support/resistance flips. When old support turns into resistance, that’s usually a solid signal.
Structure breaks matter when they occur at key levels. I focus on breaks at major swing points that have held multiple times before. My setup includes a clean break followed by a retest of the broken level. If the price holds above old resistance or below old support during the pullback, I enter. My stop is just beyond the retest, and my target is the next major level in my direction. Avoid chasing every small break.
What really helped my structure reading was watching price action at major levels instead of trying to predict everything.
I find spots where price got rejected multiple times, then wait for momentum when it finally breaks. How strong that break is tells me if it’s tradeable.
I don’t just use structure for exits though. I mix it with price movement and check if momentum’s dying near the next big level.
Multiple timeframe alignment saves me from those confusing signals you’re talking about.
I start with daily to get the big picture, then switch to 4H for my bias. Daily’s trending up but 4H is breaking down? I wait. Mixed signals = choppy mess.
For entries, I want structure breaks with momentum behind them. Those slow, grinding breaks? They fail constantly. Sharp moves through key levels with volume - that’s what I’m watching for.
Retests are great but don’t count on them. Sometimes price just runs after a clean break. I missed tons of good moves waiting for pullbacks that never happened.
What really helped my structure reading was only marking the obvious levels. Too many lines = too much noise. Stick to levels where price actually bounced multiple times.
Watch for fake breakouts. If price breaks a key support but bounces back fast, that’s often a strong reversal signal. I stick with trend-following trades since counter-trend setups fail way more. Set stops based on structure, but don’t trust weak-looking breaks. Size your positions smart - go smaller on sketchy setups, bigger when everything lines up.
Just follow obvious breaks and wait for retests.