Jesse Rogers shares the first candle rule: mark the high and low of the first 5-minute candle after market open, then trade 1-minute breaks confirmed by fair value gaps. Risk is the first candle that closes outside the range, and target 2:1 reward-to-risk.
There is one candle I trade off of every single day. It is so stupid simple and I can count on it more than anything that I've traded in my entire nine year career. And chances are, if you're not a consistent trader and you're blowing accounts, this is what you're missing. This is called the first candle rule. And all you need in order to trade it is the first five minute candle of the day. Each day at 9:30, you're going to wait for that first five minute to close. After the first five minute candle closes, you're going to mark out the high and the low. Then you drop down to the 1 minute chart and and wait for the market to break one of these levels. But we need a very specific behavior to confirm a break. And no, it's not a candle closure and it's most certainly not a wick. What we're looking for is displacement and the pattern we use to confirm this is a fair value gap. As soon as the fair value gap forms, that is our confirmation to enter. Because this tells us that the market is moving in our direction. Our stop is going to go at the first candle that closed outside of the range. And for our target, it's even simpler. No overthinking, no complicating. You just put your target to two times the distance away as your stop loss. This means that on your profiting trades, you're going to make twice as much as you lose on the losers. This is the only trading strategy you need to become successful in 2025. So make sure to save this and study it again and again.
