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Playbook C

Trend Continuation

Trade with the trend after a controlled pullback, entering only when momentum resumes.

Market Conditions

—Stock is clearly trending (higher highs / higher lows or lower highs / lower lows)
—Market (SPY / QQQ) is aligned with direction
—No major news risk

Setup Criteria

—Strong move in one direction
—Pullback to key moving average (9 EMA / 20 EMA)
—Pullback to support / resistance zone
—Volume dries up on pullback
—Buyers/sellers step back in at level

Entry Rules

—Enter only when momentum resumes (confirmation candle)
—Avoid chasing extended moves
—No entry if structure is unclear

Stop Loss

—Below pullback low (for long)
—Above pullback high (for short)

Take Profit

—Previous high/low
—OR fixed R:R (1.5R – 2R)

Invalidation

—Break of structure
—Weak continuation (low momentum)

Mistakes to Avoid

—Entering during pullback (too early)
—Overtrading choppy conditions
—Ignoring overall market direction

My Rule

Only take this setup when it is clean, obvious, and aligned with trend. No forcing trades.