Prices stay below the 21 EMA. Traders look for sell setups when prices rally back up to the EMA.
: When price is flattening and overlapping across the EMA, counting legs fails. Stay out of sideways markets.
The core of the PATS manual revolves around a few strict rules designed to find entries where other traders are "trapped".
While the system sounds formulaic on paper, executing it in real-time requires immense emotional control and chart fluency. Beginners often fail at PATs for a few distinct reasons:
It focuses on high-probability setups, specifically trading with the trend, catching pullbacks, and identifying breakouts.
The first attempt at a trend reversal or continuation.
The system is engineered to secure a "scalp" (traditionally 4 ticks or 1 point on the ES futures). Because it targets high-probability structural inflection points, the win rate for the initial scalp can exceed 70-80% when executed correctly. Why Retail Traders Fail with PATs
PATS traders hunt exclusively for "Second Entry Buys" or "Second Entry Sells."
If you cannot find a reliable file, build your own manual. Here is a checklist to create your own trading guide based on the PATs rules.
The manual often includes methodology for identifying "invisible" support and resistance levels, sometimes referred to as the Roadmap.