What Is a Trading Setup?
STEP 1 · LEARN
A trading setup is a specific combination of conditions that must all be present before a trade is considered. It's not a feeling or a hunch — it's a checklist.
A setup is not created because the market moved. A setup exists only when the required conditions are present.
STEP 2 · SEE
✓Condition 1 — Dominance present
✓Condition 2 — Trend aligned
✕Condition 3 — Confirmation tick
2 / 3 MET — SETUP NOT VALID
STEP 3 · PRACTICE
If 2 of 3 required conditions are met, is the setup valid?
AYes
BNo
COnly on Fridays
DOnly in trending markets
CORRECT ✓
A setup requires every listed condition — partial confirmation is not a valid setup.
NOT QUITE
A checklist works the same way regardless of the day or market condition — check how many boxes are actually ticked.