STRUCTURE FIRST
STRUCTURE FIRST
HIDDEN FRAMEWORK
HIDDEN FRAMEWORK TO
TO
PROFITABLE TRADES
PROFITABLE TRADES
Understanding How The Market Moves
Welcome to this Forex ebook!
This guide is here to help you go from a beginner or intermediate
trader to someone who trades with skill and confidence.
Why should you trust me? I’ve been trading the financial markets
for over 7 years, and I’ve been making consistent profits for the last
4 years. I’ve also helped more than 300 students learn this same
trading system.
I believe this ebook is the missing piece that most traders need.
What makes it powerful is how simple and clear it is. You’ll learn
what really moves the markets and how to use that to your
advantage. By the time you finish reading, you’ll see the market in a
new way, and you’ll trade with more clarity and confidence.
This ebook doesn't just teach you the technical side of trading—it
also helps with trading psychology. That means learning how to
manage your emotions, like fear, greed, FOMO (fear of missing
out), and overtrading—things even experienced traders struggle
with.
Use this ebook well, and it can take your trading journey to the next
level. Good luck!
DISCLAIMER
I am not a financial advisor. Keep in mind that forex trading is risky
and you can and will lose your capital. This ebook is simply guide
based on my own experiences and lessons over the course of my
journey. It is simply to aid and help traders get better at trading and
hopefully become profitable. I will not be liable for any loss of
capital in your trading activities.
Chapter 1
Understanding the Basics: Price Structure
What Is Price Structure?
Price structure is the backbone of how financial markets move.
Once you understand it, everything in trading starts to make
sense. You won’t need fancy indicators or complex systems
anymore.
In simple terms, price structure shows the direction of the market
— whether it’s going up or down. To figure out the trend, we look
at how price behaves over time.
For example:
• In an uptrend, the market makes higher highs and higher lows.
• In a downtrend, the market creates lower highs and lower lows.
As long as the market keeps making lower highs and lower lows,
it’s still a downtrend. And if it continues with higher highs and
higher lows, it’s an uptrend.
In an uptrend, we focus on buying. In a downtrend, we look for
selling opportunities — until the trend clearly changes.
A Common Mistake: Trying to Predict Tops and Bottoms
Many trading books say, “Buy low, sell high.” This sounds smart
because it means entering a trade at the very start of a trend. But
trying to guess where the market will turn often leads to losses.
Why? Because we try to predict instead of letting the market show
us.
But here’s the good news: You can spot trend reversals — the
right way — by reading price structure.
Let’s say the market is in a downtrend. When that trend is about to
end, the last lower high (or even the last two) will be broken by a
strong move upward. That move creates a new higher high, which
is a sign the downtrend might be over and a new uptrend could
begin.
This is when you need to pay attention. It’s your signal to prepare
for a possible trend change.
Example.
The above image is an example of a downtrend. It was giving
consecutive lower lows and lower highs. The strong move
marked by the red arrow took out the last lower high price gave
marked by the red circle. This is what I meant.
✅ Quick Checklist
• Uptrend = Higher highs and higher lows
• Downtrend = Lower highs and lower lows
• Trend Change = The last price structure (or two) gets broken by
a strong move. Only then should you think about a new trend
starting.
Chapter 2
Supply and Demand Zones Made Simple
What Are Supply and Demand Zones?
Supply and demand zones are areas on a chart where the big
players in the market—like banks, institutions, and market makers—
place their buy or sell orders. These zones are where they plan to
buy or sell again later, at the same price. I like to call these zones
"clues" they leave behind. When we trade using these zones, we’re
basically following in their footsteps.
Types of Supply and Demand Zones
There are 4 main types of zones you need to know. I’ll group them
into bearish (sell) zones and bullish (buy) zones:
Bearish Zones (Sell Zones)
In a downtrend, these zones are where you should look to sell.
They include:
• Drop-Base-Drop
• Rally-Base-Drop
Bullish Zones (Buy Zones)
In an uptrend, these are areas where you should look to buy. They
include:
• Rally-Base-Rally
• Drop-Base-Rally
How Price Structure and Zones Work Together
Price structure helps us find these zones. You can’t have zones
without price structure.
Let’s break it down:
• In a downtrend, we look for:
• Rally-Base-Drop zones, usually found at lower highs.
• Drop-Base-Drop zones, found between the move that creates
new lower lows.
• In an uptrend, we look for:
• Drop-Base-Rally zones, usually found at higher lows.
• Rally-Base-Rally zones, found between the move that creates
new higher highs.
•
So, the “base” in each pattern is the key zone where we expect
price to react. This base is also identified by sideways candles
followed by a rally or drop.
Example:
The previous example is a downtrend. In a downtrend we see
consecutive lower lows and lower highs.
-The area marked as 1 is a drop-base-drop zone that appears
between the formation of a new lower low in a downtrend.
-The area marked 2 is a rally-base-drop zone that formed at a
lower high like I stated previously. The base is the actual lower
high.
-The circle is the test of the zone.
-The green arrow is the rally of the move
-The red arrow is the drop of the zone.
Example 2
The above is an example of an uptrend. In an uptrend we see
consecutive higher highs and higher lows.
-The area marked as 1 is a rally-base-rally zone that appears
between the formation of a new higher low in an uptrend.
-The area marked 2 is a drop-base-rally zone that formed at a
higher low like I stated previously. The base is the actual higher
low.
-The circle is the test of the zone.
-The green arrow is the rally of the move
-The red arrow is the drop of the zone.
How To Trade These Zones
Now that you know how to spot them, here’s how to trade them:
• Mark the zones on your chart.
• Wait for price to come back and test them.
• Don’t act too fast—let price come to you.
•
That’s it. No guessing. Just patience.
Common Mistakes To Avoid
A big mistake traders make is trying to guess which zone will work
and which one won’t. This leads to overtrading and frustration.
Here’s the better way:
Let the market show you which zone is valid.
How?
Once price comes back to a zone, check the lower timeframe for a
clear pattern. If that pattern appears, it’s your signal the zone is
valid.
We’ll talk more about this in the next chapter: Higher Timeframe
Alignment, where I’ll explain this strategy in detail.
Chapter 3
Higher Timeframe Alignment
Why Higher Timeframe
I live strongly by the higher timeframe. Why is this? For obvious
reasons, there is way more clarity on the higher timeframe than on
the lower timeframe. For example, look at the daily chart and
compare it to the 5 minute or 1 minute chart. There is clearly way
more noise on the 5 minute and 1 minute chart than the daily chart.
Top-Down Analysis Explained
Another reason we use the higher timeframe is so that we are able
to do top-down analysis. What exactly is top-down analysis? Simply
put, it is when you use multiple timeframes to analyze and take an
entry. This makes sure that all the timeframes in question align. This
improves the probability of the trade.
How To Identify Higher Timeframe Structure And Align It With
Lower Timeframe Structure
Now this is my favorite part. This is where all the magic
happens. This is the theory that was able to change my trading
for the better. First and foremost, you need to use timeframe
alignment. What do I mean, for every timeframe you use as your
higher timeframe, you need an entry timeframe. This is the
framework my team and I use.
1. Higher Timeframe = Monthly
Entry Timeframe = Daily
2. Higher Timeframe = Weekly
Entry Timeframe = 4 Hour
3. Higher Timeframe = Daily
Entry Timeframe = 1 Hour
Basically if you analyze the daily for direction, you will enter on the
1 Hour. And so forth. This goes for the all the other timeframes, for
example if you analyze on the 1 Hour, you enter on the 15 min.
Let's get practical now. Here is how you will be doing your top-
down analysis.
1. Find a higher timeframe zone.
2. Wait for a test.
3. Go to your entry timeframe for the entry pattern.
4. Enter your trade.
The Entry Pattern
What exactly is the entry pattern. The entry pattern is simply a
change in structure or a clearing of structure once a higher
timeframe zone is tested. For example, let's say you identify a
daily supply zone, a rally-base-drop zone specifically which is a
lower high in simple terms, instead of entering at the test on the
daily, you will scroll down to the 1 hour using the timeframe
alignment framework.
Now what do you look for on the 1 hour timeframe. Well, once
the daily zone is tested, you will scroll to the 1 hour within the
daily zone. You now look for previous structure on the 1 hour.
Since we are looking to sell, you want price to clear the previous
higher low(or 2 lows) that formed toward the higher timeframe
zone with a strong move. Once this previous higher low or two
are broken with a strong move, we wait for a retest of the zone
formed by the 1 Hour move that cleared previous structure.
Then we enter with our stop-loss at the top of 1 hour zone that
was tested.
Example.
The previous example is a daily supply zone. This is how the zone
will look on the daily timeframe. The supply zone is a rally-base-
drop zone which is at a lower high like I always say. Now that it has
been tested, we move to the 1 hour timeframe using our timeframe
alignment rule for entry.
Above is how the 1 hour will look. The 1 hour in this case is our
entry timeframe. The reason is according to our timeframe
alignment rule based on the fact that we used the daily for finding
our higher timeframe zone.
-1 is our daily supply zone which will show up on the 1 hour
timeframe too once marked.
-2 is our drop-base-drop zone that will be our entry once previous
structure is cleared
-The green circles are previous structures
-The red arrow is the strong move that cleared previous structure
before we enter.
(If you recall from our price structure lesson in the previous
chapters, I taught you that to predict a reversal, previous structure
must be cleared. This is exactly what we do here on the 1 hour.
Tip: lower timeframes will show a reversal quicker than higher
timeframe)
You might be wondering why we don't place our stop-loss above
the daily zone that was tested. This is because that stop-loss
would be too wide compromising your account more. The 1 hour
entry allows us to have a tighter stop also allowing us to leverage
more and open more positions.
Benefits of Top-Down Analysis and Timeframe Alignment
-Higher probability trades
-You don't need to predict which zones will hold or are valid
-We get a tighter stop using the smaller timeframe
-We get confluence when taking a trade
✅️Checklist & Recap
1. Identify Higher Timeframe Zone(E.g Daily)
2. Wait For Test
3. Move To Lower Timeframe Within The Higher Timeframe
Zone Using Timeframe Alignment Rule (E.g Daily = 1 Hour)
4. Wait For Clearing Of Previous Structure With Strong Move
On Entry Timeframe (1 Hour In This Case)
5. Enter At Retest Of Origin/Zone Of Strong Move On Entry
Timeframe(1 Hour)
6. Place Stop-loss Above Or Below 1 Hour Origin Or Zone Of
Strong Move That Cleared Structure(Above In The Case Of A
Sell Or Below In The Case Of A Buy)
Chapter 4
Entries, Exiting And Compounding Trades
Entry & Exit
The basis of this strategy is basically to trade between zones,
specifically between two higher timeframe zones. For examples,
you need to be trading from a Daily/Weekly/Monthly supply zone
to a Daily/Weekly/Monthly demand zone and vice versa (higher
timeframe demand zone to a supply zone). Do this while still
applying the necessary entry rules like timeframe alignment. So
your entry will be at the demand/supply zone and your exit or take
profit at the demand or supply.
Compounding Trades
Compounding is a concept we use to grow accounts with my
team. You basically add more trades as you move from one zone
to the next. Let's say for example, you took a sell trade from a
daily supply zone, you will then use the 1 hour timeframe to enter
more trades using price structure. When price moves from the
supply to the demand, you look for more supply zones on the 1
Hour and enter more trades in the overall direction.
Each time you add a trade using a new zone on the entry/lower
timeframe, you move or trail your stop-loss to the newest zone you
entered on using the lower timeframe. For example when you spot
a new lower high/rally-base-drop/supply zone, you enter and move
all your stop losses to above that latest zone. This is basically
trailing your stop-loss.
By doing this you are able to safely grow your account using high
probability trades that are in line with your overall higher timeframe
bias/direction.
Example:
Chapter 5
Confluence Tools
What is confluence?
Confluence is the process of aligning multiple factors before
deciding to take a trade. It’s what gives traders the confidence to
pull the trigger on a setup. When several key factors line up, it
increases the probability of a successful trade. However, many
traders still hesitate, second-guess themselves, and miss out on
high-probability opportunities—despite having strong confluence.
In our trading approach, my team and I rely on three primary
confluence tools when taking entries:
• Trendlines
• EMAs (Exponential Moving Averages)
• Candlestick Patterns
How to Use Trendlines as Confluence
Let’s get one thing clear: trendlines are not a strategy on their
own. They’re simply a tool for analyzing price action and
improving entry timing—but only when used with other elements
like structure.
Without price structure, trendlines are meaningless. Why?
Because you need consistent formations like consecutive lower
highs in a downtrend (or higher lows in an uptrend) to draw a
trendline. So in essence: no structure, no trendline.
Now, how do we use them as confluence?
Trendlines help us assess the momentum or strength of a trend.
A strong break of a trendline, especially after a clear structural
shift, signals that momentum is fading—and that a trend reversal
may be near. This is where it all connects:
• When the last structural level is broken by a strong move
• And the trendline breaks at the same time
• That’s a double confirmation that the trend may be shifting
•
From there, we wait for a retest—then enter with confidence.
Example
How to Use EMAs as Confluence
EMAs (Exponential Moving Averages) are indicators that smooth
out price data. While I’m generally not a fan of indicators, EMAs
can be powerful when used correctly—as confluence, not the main
strategy.
We use the 50 EMA in particular. It helps confirm whether a break
of structure has truly occurred. When a strong move breaks
through market structure and pierces the 50 EMA, that’s added
confirmation that the shift is real.
Again, we don’t rely on the EMA alone. It supports what we’ve
already seen in price action and structure.
Example
How to Use Candlestick Patterns as Confluence
Candlestick patterns are a big deal in forex—but context is everything.
We only use candlestick confirmations at key areas of interest, such
as higher timeframe zones or entry zones.
Before entering any trade, we pay close attention to how the candle
closes at these important levels on both the higher timeframe and the
entry timeframe.
The two main patterns we look for are:
• Rejection Candles at Key Zones
• Engulfing Candles at Key Zones
Example
These candlestick patterns, when they appear at significant
levels, add that final touch of confirmation to help us execute with
confidence.
Chapter 6
The Power of Correlation
The day I learned about correlation, everything changed in my trading.
Market analysis became clearer, faster, and made a lot more sense.
But what exactly is correlation?
In simple terms, correlation is the relationship between currency pairs—
how they move in relation to each other. Some pairs tend to move in the
same direction, while others consistently move in opposite directions.
A Simple Way to Understand It (Using DXY)
Here’s an example I often teach my students:
Before you take any trade, check the Dollar Index (DXY). This
instrument shows the current strength or weakness of the US Dollar.
• If DXY is trending up, it means the USD is strong (buyers are in
control).
• If DXY is trending down, it means the USD is weak (sellers are in
control).
Now let’s apply that to USD pairs:
• If DXY is going up, that means USD is buying. So with EUR/USD, you
should look to sell, because selling EUR/USD means you're selling the
Euro and buying the USD.
• At the same time, you should buy USD/CHF, because you’re buying
the USD and selling the CHF.
So, when EUR/USD is going down, USD/CHF is usually going up.
That’s a negative correlation—they move in opposite directions.
Understanding this helps you avoid taking trades that cancel each
other out—or worse, double your risk in the wrong direction.
Examples of Correlated Pairs You Should Know
✅ Positively Correlated Pairs
(These tend to move in the same direction)
• EUR/USD and GBP/USD
• AUD/USD and NZD/USD
• EUR/USD and EUR/GBP
•
❌ Negatively Correlated Pairs
(These tend to move in opposite directions)
• EUR/USD and USD/CHF
• USD/CAD and AUD/USD
•
By learning and applying correlation, you gain another layer of
confluence in your trading. It helps you stay in sync with the overall
market direction and avoid conflicting trades.
Chapter 7
How to Trade News Like a Pro
I’ve seen many traders try to trade news events—also known as
fundamental trading—and make reckless decisions. Some go full
margin, hoping to strike it rich in a few minutes. Others open buy
positions on one account and sell positions on another, hoping
one side will win when the news drops.
Let’s be honest—that’s not trading, it’s gambling.
Here’s the truth:
Trading fundamentals alone is risky and unreliable if you don’t
understand how the market truly moves. The big mistake traders
make is thinking that news controls the market—but that’s a myth.
News doesn't control the market. It acts as a catalyst.
In other words, news events simply accelerate price movement in
the direction the market was already headed. They don’t change
the overall bias or structure—you still need to rely on technicals.
So what should you do instead?
Don’t trade the news event itself—trade the outcome of the news.
After a major news release, the market usually does one of three
things:
• Pushes price into a significant zone
• Breaks out of a key zone
• Creates a new significant zone
Let’s take the CPI (Consumer Price Index) as an example:
If the news pushes price into a zone, your job is not to guess the
direction beforehand—it’s to observe how the market reacts at that
zone. Once the reaction forms, that’s your trade setup
This is what we mean when we say:
“Don’t trade the news—trade the result.”
By focusing on the market’s reaction instead of the news release
itself, you trade with structure, patience, and clarity—not emotion
and hope.
Example.
This is before and after the CPI news. The results were traded.
Not the actual news.
Chapter 8
Putting It All Together – Your Trading Framework
Now that you understand each part, let’s recap and bring
everything together into a simple, step-by-step trading process.
✅ Your Step-by-Step Trading Checklist
• Use correlation to determine USD strength by analyzing the US
Dollar Index (DXY). This helps you decide the direction for USD-
related pairs like EUR/USD, USD/CHF, etc.
• Analyze the higher timeframe to understand the overall market
structure and trend direction (bullish or bearish).
• Mark out key zones (supply or demand) on the higher timeframe.
• Wait for price to reach and react to a key zone. No need to rush
—let price come to you.
• Once price reaches the zone, drop to the lower timeframe that
aligns with your higher timeframe bias (timeframe alignment rule).
• Look for a clear break of structure on the lower timeframe,
accompanied by a strong impulsive move. This is your signal that
the zone is valid and buyers or sellers are stepping in.
• Wait for a retest of the origin or the zone created by that strong
move. This is often a high-probability entry point.
• Enter the trade at the retest.
🔒 Place your stop-loss just above (or below) the origin or the
reaction zone of the strong move—not the higher timeframe zone.
• Set your take-profit at the opposite higher timeframe zone—this
gives you structure-based targets, not random price points.
Example of Our Framework in Action on Real Charts
Let’s break down a trade example using our framework on the
EURCHF pair:
• On the monthly timeframe, price was forming lower highs,
indicating a clear downtrend.
• We identified a Rally-Base-Drop (RBD) supply zone at the most
recent lower high and marked it as our grey zone.
• We waited patiently for price to retest this grey zone.
• Once price entered the grey zone, we dropped to the daily timeframe,
following our timeframe alignment rule (monthly aligns with daily, and
daily serves as our entry timeframe).
• On the daily, we waited for a break of previous structure. Price broke
through the last two higher lows with a strong bearish move (you can
see this with red arrows).
• This move left behind a zone, and we anticipated it would create a new
supply zone.
• Price formed a Drop-Base-Drop (DBD) supply zone and later returned
to test it—we marked this as the green zone.
• Once price tapped the green zone, we entered the trade, placing our
stop loss just above the green zone for protection.
Side Notes for Confluence and Confirmation
• Take Profit: Our target was set at the previous low on the
monthly timeframe. Notice how price reversed sharply at that point
—this confirms the logic behind taking profit there.
• Confluence: On the daily, price also broke the trendline and cut
through the EMA decisively, adding more confluence to our entry.
• Entry Confirmation: After price tapped the green zone, it printed a
large bearish (red) candle, giving us strong confirmation to enter
the trade.
Chapter 9
Psychology Tips for Consistent Trading
• No full confirmation, no trade – If your complete analysis and
entry criteria aren’t met, don’t trade. This helps control FOMO (fear
of missing out).
• Stick to your plan – If every entry rule isn’t aligned, stay out. This
helps manage fear-based hesitation.
• Let it play out – Once you’ve entered a trade that fits all your
rules, place your stop-loss, then close the app and get on with your
day. Trust the process.
• Exit only by rule – Only exit a trade if it hits your stop-loss or take-
profit. No exceptions.
• Use zones for exits – Base your stop-loss and take-profit on clear
zones. This removes doubt and prevents you from closing winning
trades too early.
• Accept losses and move on – After a losing trade, don’t chase the
market. Avoid revenge trading. Another clean setup will always
come.
• Manage greed with structure – To avoid being greedy, trail your
stop-loss using price structure. If structure shifts, secure profits and
exit.
• Use confluence for confidence – The more aligned factors you
have in a trade (structure, zone, trend, etc.), the more confident
you’ll be.
• Specialize in 3 pairs – Focus on just three currency pairs. Learn
how they move and react. This makes your trading more
predictable and less overwhelming.
Conclusion
You’ve reached the end of this guide—thank you for
taking the time to go through it. I hope it brought you
the clarity and insight you were looking for.
To get the most value out of this guide, treat it like
your trading blueprint. Refer back to it whenever you
feel unsure, stuck, or need a refresher. Stick to the
rules exactly as outlined, and over time, you’ll start
seeing real results.
Backtesting is your best friend. The more you test and
train your mind to understand and apply what’s inside
this guide, the more confident and consistent you’ll
become. Learn it so well that it becomes second
nature.
If you have any questions, feedback, or just want to
connect, feel free to reach out to me directly on
WhatsApp:
📲 +27 74 312 5364