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- The Entry Filter That Keeps Me Out of 90% of Bad Trades
The Entry Filter That Keeps Me Out of 90% of Bad Trades
Let me walk you through the checklist I run before every swing entry.
Let me walk you through the checklist I run before every swing entry.
Not the theory. Not the "this looks bullish" noise.
The actual system I’ve used to stay clean, clear, and consistent across cycles.
Because here’s the truth:
Most blown trades don’t come from poor exits.
They come from forced entries.
Entries made on impulse.
Entries with no confluence.
Entries that felt “close enough.”
That ends here.
If I’m putting capital on the table, this 5-step filter must be hit.
1. Price Must Be Sitting on Key Support or Fib Zone
I only enter trades where price has pulled back into structure.
That means:
A clean support zone from prior bounces
Or the 0.618 / 0.786 Fibonacci retracement zone from the last swing
This does two things:
It gives me a defined invalidation, and it gives me a place to get aggressive if other signals align.
If price is floating in no man’s land, I don’t touch it.
No structure = no setup.
2. RSI Divergence or SR Reclaim Must Be Present
This is my signal that momentum is shifting.
If I’m long:
I want bullish RSI divergence (price makes a lower low, RSI makes a higher low)
Or a strong reclaim of support that was briefly lost (known as an SR reclaim)
It’s the clue under the hood that sellers are weakening, and buyers are stepping in.
But again, this is a filter. Not a trigger. It must be paired with more.
3. Stochastic RSI Must Be Curling Up from Oversold
This one is often missed, but it’s critical for timing.
If the Stoch RSI is:
Below 20 and starting to cross up on the 4H and/or Daily
I know momentum is lining up behind my structure
Without it, I’m early, and early entries in crypto usually mean pain.
This gives me confirmation that the turn is likely underway.
4. BTC and ETH Must Not Be Dumping
I don’t care how clean the altcoin chart looks.
If Bitcoin is breaking structure…
If BTC.D is spiking…
If ETH/BTC is rolling over…
That alt entry becomes noise. It will get dragged down with the tide.
Macro confirms micro.
I always check BTC, BTC.D, ETH/BTC, and USDT.D before any entry.
5. The Entry Candle Must Confirm
I never enter on a wick.
I wait for the candle, the actual close, to do its job.
That means:
A bullish engulfing on the 4H
A swing failure pattern (SFP) with a reclaim of support
A bounce off volume that holds the level
No confirmation? No trade.
Putting It All Together
This filter keeps me aligned. It protects me from FOMO.
And more importantly, it ensures I’m trading only when the odds are in my favor.
Here’s the hierarchy I use:
3/5 signals: I size in with caution
4/5 signals: I increase size with conviction
5/5 signals: I go full focus, that’s an A+ setup
No more “it looks good.”
No more “Twitter is bullish.”
Just structure, signals, and sizing based on confluence.
My Take
The goal of swing trading isn’t frequency. It’s precision.
A single clean setup with five aligned filters can do more for your portfolio than ten rushed entries across random coins.
This is what separates pros from tourists.
And if you’re here, reading this, you already know which one you want to be.
Stay sharp.
Victor