The ONLY Trading Strategy I’ll Use in 2026 (Step-By-Step)

In this 2026‑focused tutorial, Josiah Stewart presents a disciplined, seven‑step day‑trading system built around 4‑hour support and resistance zones. He explains the core concept of support (a floor) and resistance (a roof), how to draw zones using Heikin‑Ashi candles, and why higher‑timeframe zones are more reliable. The workflow includes setting TradingView alerts, waiting for price to touch a zone, then dropping to a 1‑minute chart to look for early confirmation—either a consolidation breakout or a swing‑high/low break. Entry rules, stop‑loss placement (just beyond the most recent swing), and profit targets (minimum 2:1 risk‑to‑reward) are detailed. Stewart demonstrates the process with live Bitcoin and futures (NQ, ES, YM) charts, highlighting his preferred trading window (7 AM–12 PM CST) and showing real‑time trade outcomes. He shares performance metrics from seven years of use (≈55 % win rate, 2.4 average R:R) and emphasizes consistency over flashiness. The video also promotes his “Inner Circle” mentorship group and a method for leveraging other people’s capital to scale profits.
Chapters
This strategy is boring, it's repetitive, and it feels like you're not doing enough. But it's also the only trading strategy that I'll be using in 2026. It's not because it's flashy, it's not because it looks good on the chart, but it's because it's proven, it's consistent, and it works as long as I follow my rules. In this video, I'm breaking it down step by step— the exact setup, how I enter, how I manage my risk, and why this strategy is all I need to trade confidently day after day. Now, it's important that you understand that trading is not a get-rich-quick thing, and it took me personally over 3 years to get to the point I'm at now to be able to generate 6 to 7 figures a year with it. But if I was only forced to trade one strategy from the very beginning, this is it, and you're going to see exactly why by the end of this video. So let's get into it. So here is my 2026 strategy. It's a simple 7-step checklist that when I follow it, it has shown me the most consistent results. We're not only going to go over this strategy, I'm going to go through every single step in it. I'm going to show you guys exactly what that looks like on the real charts as well. I'm also going to show you guys a bunch of real examples of trades that I've taken using this strategy. We're going to go over the stats of this strategy. I'm talking about the win rate, I'm talking about the average risk-to-reward ratio. We're going to dive into all of that so you see exactly how it has performed for me and why I feel confident trading it the entirety of 2026. Now Now keep in mind, this is the same strategy that I've been using for the past 7 years. So obviously over the last 7 years, I've been able to refine this thing. So it's as structured and systematic as possible. So I can just follow these 7 steps. Now let's get into this. So this strategy is a support and resistance strategy. If you don't know what support or resistance is, let me break it down for you. So imagine this box right here is a support zone. Always remember support is on the bottom of where price is. It's below where price is.. And this on the top, let's imagine, is a resistance box. Now resistance is always the roof or the top. I easily remember it by saying resistance is a roof. You can't really break above a roof. And same thing with the support. I remember support by it being a floor. I can't fall through a support zone. Now let's imagine this yellow line, this is the price of whatever we're looking at. Let's imagine right now that we're looking at, we're on a Bitcoin chart. So this yellow line is the price of Bitcoin. We know that when price gets up here, let's say this is $100, right? Bitcoin is at $100. When price gets to $100 a Bitcoin, people usually sell, and that causes price to go down. That in turn creates a roof, because every time price tries to go above $100, everybody sells, and that causes price to go down. That creates a resistance zone, otherwise known as a roof. Same thing down here. So imagine this bottom zone down here is our support zone, and it's at $50. Every single time Bitcoin gets to $50, everybody thinks that's super cheap, so they end up buying Bitcoin at $50, and that causes the price of Bitcoin to go up. Every time it goes to $50, buys up. Every time it goes to $50, buys up. So this is a simple example of resistance and support. Now, this is all I'm trading. I'm trading at known areas where price tends to reverse at, whether it's a resistance zone or a support zone. Now, I know what you might be thinking— price doesn't always stop at a resistance zone. There are times where price continues to go to the resistance zone, then it breaks above it. That's called a breakout. And that's good because the cool thing about support and resistance zones is that when they are broken out of, price likes to do something called a retest. And a retest simply means that if price, for example, broke above a resistance zone, it'll come down to retest that previous resistance zone and it'll actually flip it and treat it like it's a support zone and bounce off of it. I'm going to show you guys examples of this break and retest, which is what this type of setup is called. And it's obviously the same thing vice versa. When price breaks through a support zone, let's say it finally breaks through it, it usually comes back up to retest that previous support zone, and it treats it like a resistance zone and sells off of it. So this is how we could capitalize no matter what happens at these zones. We're waiting to see if price is either going to reject when it gets to a resistance zone, or it's going to break and then pull back and then reject. To give us a trade. So no matter what happens, we can catch a setup, and I'm going to show you guys exactly how. Now, it's important to understand that we're not just entering trades as soon as price taps into a resistance or support zone. As we've shown here, yes, price can bounce off these resistance zones multiple times, but that does not mean that every time price touches a resistance zone that it's going to sell off. So we shouldn't just automatically enter for a sell as soon as price touches a resistance zone. We want price to tap into our resistance zone, show us that it's going to reverse. There are some ways to get early signs so that we know price is about to reverse. I'm going to go over that inside this video. But we wait for those early signs that give us confirmation that price is still respecting this resistance zone, and then we would hop into the trade. Same thing with the support zone. We don't hop in as soon as it taps our zone. We hop in after price has shown us confirmation that it's going to continue to respect it, and then we ride the wave to the to the upside. So in simple, that is what support and resistance is, and this strategy is heavily based on support or resistance. That is the foundation of this strategy. Now let's go through this checklist really quickly. So the first step is we're going to mark our highs and our lows on the 4-hour time frame. Now you might ask, why the 4-hour time frame? So you have to realize that when you're drawing these support or resistance zones, or if you trade trend lines or any other type of strategy, The lower the time frame, the more price lies. The higher the time frame, the less price lies. What does that mean? A 1-minute support or resistance zone is not respected as much as a 4-hour support or resistance zone or a daily support or resistance zone. So the higher the time frame you find and see these support or resistance zones, the more chance that those zones are going to be respected versus if you just draw 100 different support or resistance zones on the 1-minute time frame or even the 5-minute or 15-minute time frame. With this strategy, we're only using the 4-hour time frame. And there's a little trick here, and that is using Heikin-Ashi candlesticks, because that'll help you see actual support and resistance zones very clearly. We're going to go over what actual support or resistance zones look like in a second here, but I just want to go through these, uh, checklists first. So first step, like I said, mark up the highs and lows on a 4-hour time frame. Second step is set alerts. Alerts are extremely important because that will We know that if we have a support zone right here and price is chilling over here, we know we're not doing anything until price taps into here. So the cool thing about TradingView is we can actually set alerts right at our zones. That way we can get notified to our phone or notified to through an email that price just tapped into our zone, and we can go and look at our charts versus you sitting here all day hoping and waiting for price to end up tapping into your zone. And what ends up happening is you get bored, and then you enter a trade somewhere over here for no reason and you lose money, all because you couldn't be patient enough to wait for price to tap into your zone. So that's why it's important to set your alerts and kind of walk away. Step 3 is I sit on my hands until the alert goes off. I know that all of this is just noise. I'm only stepping in and taking action when price taps into either my resistance zone or either my support zone. All in here is noise, and I'm not trading this at all. So that's why I sit on my hands until an alert goes off. Now, once we do have an alert goes off and we see price has tapped into our 4-hour timeframe zones— and don't worry, I'm going to show you guys exactly how I draw these zones in a second here. But once we see that price has tapped into our zones, we're going to drop down to the 1-minute timeframe because that's what's going to show us that small indication or that early indication that price is actually going to respect our zone. Now, how does it do that? As soon as price taps into our zone, we go down to the 1-minute time frame. And on the 1-minute time frame, I'm waiting for consolidation to form. All consolidation means is that it just keeps going up and down and up and down like this. That's consolidation. Or I'm waiting for lower lows or higher highs to be broken. And once price breaks out of either consolidation or breaks a recent low or a recent high, depending if you're looking for a buy or a sell, that's when you're entering the trade. You're going to enter and put your stop loss below/above a recent low/high, and you're going to target recent highs and lows for profit. So when you enter— I'm going to show you examples of all this on the charts, but just a clear example right here for you guys to see with our illustration. So imagine price is selling down into our support zone right here, right? This is exactly how a trade would look. We're not doing anything in all of this, this, this area right here. As soon as price taps into our zone, we know that's when we are starting to make a move, right? So I told you guys, after it taps into our zone, we go down to the 1-minute time frame and we're waiting to see either consolidation— let's say we start seeing prices start doing this. Once price breaks above that consolidation, let's imagine this is the high point of the consolidation. As soon as price breaks above that consolidation, I'm entering into the trade. I'm putting my stop loss as I I have here on my checklist, below a most recent high or low, depending on if I'm entering a buy or sell. Since I'm entering for a buy, I put my stop loss below a most recent swing low, which is right here. And then I'm targeting recent swing highs, and I always have to get at least a 2:1 risk-to-reward ratio when I am trading this strategy. So I will target a recent high that gives me at least a 2:1, and that's how I'm entering the trade. Now I mentioned to you guys, either we want to see consolidation after price taps into our zone or we want to see a recent high/low be broken. Now, what does that look like? So price is selling down into our zone here, creating these highs and creating these lows. It taps into it at this point. This is the most recent high that was made. We have all these highs that are made, right? All these highs that were made. But this high right here is the most recent high. So as soon as price breaks above that most recent high,, I would enter into the trade with my stop loss again below, below the most recent low, and I would get into the trade and go for at least a 2:1 risk-to-reward ratio. Now we can see this vice versa on sells, right? So it's the same thing, price tapping into our resistance zone. If we get consolidation, we're waiting to see a break of that consolidation, and we enter on a break of that consolidation just like this. Then we target wherever we're targeting at to get at least a 2:1 risk-to-reward ratio, as you see right here. Or that's with a consolidation. Or if price doesn't consolidate but is creating these higher, um, lows, we want to see price create a new low. If we look here, we see all these lows be created— lows, lows, low, low, and low. As soon as price breaks the most recent low, which is this low right here, we would enter into the trade for a sell with our stop loss right above the most recent swing high and targeting a recent low point, at least giving us a 2:1 risk-to-reward ratio. Now obviously these are just drawings, these are just illustrations. Let's go into the actual charts and see this play out in real life. Like, what does this actually look like? So here we are on the actual charts. As you see, we're on the 4-hour time frame. I explained to you guys that we need to mark off as the first step. As we see here, the first step is to mark off the highs and the lows when we're on the 4-hour time frame. So what I like to do and how I mark off my highs and my lows is I take the rectangle box tool and I go from where I see price pivoting. Pivoting as in price was going up, then it started going down, then it started going up. As you see here, started going up, came down, went up here, went down. So I'd mark off all the most recent areas that it's done this. So the first one I see here is this high point, and I always drag it from the top of the body to the top of the wick, just like this. The top of the highest candlestick, which is right here, to the highest wick, just like that. And now I'm just going to drag my box across and wait for price to tap into it. Same thing when it comes to support zones down here. So this is a support zone right here. I drag it from the lowest wick to the the lowest body, which is right here, just like that. And then once I have that, I would just drag it across. And at that point, I'm just waiting for price to tap into either one of these zones. Now I have another high point created here, so I can mark this off. Obviously we have this high point created as well, but price has already went through that already, so this isn't a zone that I would keep on my chart. I would just delete that. But all of these haven't been retested again, so these are the main zones that I'd be looking at. Now, people always ask me how far back do I look. I like to look either the day before for a support or resistance zone. I like to see the price action create support or resistance zone the day before or the— in the past 3 days. I prefer the day before because those are the most recent and the strongest zones, but I will take a setup if it's bouncing off of a support or resistance zone that happened 3 or 4 days ago. Now, in this instance, this trade happened about 3 days ago. Well, this support zone was created 3 days ago and we tapped into it 3 days later. Okay, so price tapped into our 4-hour zone. The next step would be to go to the 1-minute time frame. Now, I did not mention to you guys that this strategy I only trade it between the hours of really 7 AM Central Standard Time all the way up to around 12 PM Central Standard Time. So even though price tapped into the zone right here already, it tapped into it at 5 AM. I'm not trading that. I want to see if price retaps into the zone later on inside the day, closer to the time when I actually trade. So, and as I mentioned, this is one of the trades that we took live inside of my Inner Circle. If you don't know what my Inner Circle is, it is where you can trade live with me every single day. I'm not only giving you the exact trades that I'm taking, where you can enter the same trades that I take exactly when I enter them, but you get to see exactly why I'm taking each trade. That way you can learn to do it for yourself. We have 4 other extremely profitable coaches in there that send out all of their trades and do live trading sessions as well. We have a dedicated trading psychologist to help you master your mental game when it comes to trading, which, if you did not know, is the biggest part of trading. I've literally made the Inner Circle something that I wish I had when I first started off trading that would have allowed me to get to my goals a lot faster than doing it on my own. So if you want access to be able to join my Inner Circle, hit the link for inside description down below. But as I mentioned, this is literally a trade that we had taken inside of my Inner Circle. But let's just fast forward here until we get, uh, close to the time when I actually trade. So this is 6 o'clock, this is the 7 o'clock candlestick. Perfect. This is right when I start actually looking for trades. Now if we come here on the 1-minute time frame, we can see a lot of price action was made all in this area. We see price creating all these highs and all these lows here. Um, but we're not doing anything. We already know we're not doing anything because this is not— it hasn't tapped into our zone yet. Now, it did tap into our zone here at 4 o'clock in the morning, but that doesn't matter to me because I was sleeping and I'm not trading at that time. So after obviously price tapped into it, it bounced off of it slightly, but because it's in the middle of the night, there's not a lot of volume, so the big move was not made. Now, as we get closer to the time where the market actually opens, if you look here, this is at around 7 o'clock. I start trading roughly around this time and looking for setups around this time because that's when volume kicks into the market. We see we're in this zone right now. We're creating these highs and we're creating these lows, right? Price is still in this zone, giving a little bit of consolidation. We can fast forward a little bit and see exactly what's happening. This is at about 8 o'clock right now. We're still chilling inside the zone. Remember, when price is in our zone, we're looking for either consolidation and then a break of that consolidation, or we're looking for price to break one of the most recent high points created. In this instance, the high point would be right here, but in real time, the recent high point is right here. We have highs right here, created highs right here, but the most recent one is right here. So technically, we'd be looking for a break of this high for an entry. Let's see if we get that entry or if it makes another high, because price could also, as you see here, buy up, then it could sell down to create another high, and then we would have a break, or we would enter on a break of this high. But let's just see what price does here. Let's fast forward. This is getting close to market open. So you see we created actually another high right here. So now the most recent high is right here. So I would look for an entry above there if price gave it to us. All right, so fast forwarding to 8:30, this is actually when market opened, which is really when I start taking my trades. You see it broke above the most recent high, which is right here. I would have entered into the trade as soon as it broke that most recent high. And remember, we're targeting— or we're putting our stop loss below the most recent low, which in this instance is right here. So we put our stop loss right below there, and then we're going to target some recent high points. So we have a recent high right here that we could target, but as you see, that's only a 1.6 to 1. I wouldn't take that trade. Or I could target a recent high that's up here, or even a high that's up here. I believe for this trade we targeted somewhere in this range. Well, let's just see how this played out. Well, I know how it played out. We won the trade. Um, we can fast forward and we can see that it ended up winning the trade and actually going further than the trade, but we were happy taking our win here for about a 2.6 risk-to-reward ratio, meaning that if we risked $1,000, we would have— on this trade, we would have made $2,600. If you risked $100, you would have made $262. And so on and so on and so on. So, and this is all by following that same exact checklist that we literally just went over. We marked up our highs or lows on the 4-hour timeframe. We waited for price to tap into our zone. And then once it tapped into it, we went down to the 1-minute timeframe, obviously during our trading window. We went to the 1-minute timeframe and then we just waited to see any of our entry criteria, either that consolidation being made or a break of most recent swing low or recent swing high for an entry into the trade. We put our stop loss exactly where we're supposed to be, and we put our take profit exactly where it was supposed to be. Now, this is just one example. I told you guys that I'll show you guys a few examples, so let's go into the next example right now. As you can see right now, we're on the NQ chart. Keep in mind, I mainly trade this strategy on futures when it comes to NQ futures, ES futures, or YM futures. It can be traded across different pairs. I'll trade this strategy when I'm buying and holding stocks for a long time or cryptocurrencies and things like that. But when I'm day trading, most of the time I'm trading either NQ, ES, or YM with this strategy. Now here is a perfect example of the break and retest strategy that we went over. So if you remember, when we have a, let's say, support zone and then price finally breaks through it, it usually comes back up to retest it, and it treats that previous support zone as a resistance zone and it will sell off of it. This is a clear example of that. If we look here, we'll do the same exact thing. I can delete all these drawings right here, and we can see that price had a support zone that was created right here. We would mark this off same way we always do it, with the lowest wick to the lowest body, drag it across, and then we see price respected it multiple times. The first time bounced right here. The second time, it sold back down into here and then bounced off of here. This is a support zone, but we see right here on this candlestick, price broke down through it. It broke it, and now it came back up to retest it. So let's actually go back in time here to show you guys exactly what I look for. Keep in mind, it's really the same thing we literally just went over as far as the entries and the exits, but you'll see As soon as price came to tap back into this zone— let's fast forward. This is all in the middle of the night. Again, this is at 7 AM, so we're finally getting price to actually tap back into here at 7 AM. Once price tapped into it, we can go down to our 1-minute time frame and let's see if we get our entry criteria. Let's just fast forward a little bit. This is at 8 o'clock, almost 8:15. Right now we can mark off our lows, so we have a low created right here. We have another low created right here. We have obviously lows down here, but we're looking for the most recent low or consolidation to be formed. We see a little bit of consolidation happening right now, but most of the time I like to wait for an entry after the market open candlestick, which comes out at 8:30 Central Standard Time. So we can fast forward a little bit, see what price ends up doing. So it broke it low, and this is again another trade— we— it broke it already, sorry. But again, this is another trade that we took live inside of my Inner Circle. I didn't take this because I was waiting for the 8:30 candlestick to come out, the market open candlestick, um, before I entered into the trade. So I didn't end up taking this even though it did give an entry criteria, breaking this swing low right here. But it didn't end up breaking this swing low right here. So this was the major swing low. This is a smaller swing low that we could have taken an entry off of. And as you see, this actually would have taking us out the trade. And that's sometimes why I like to wait until after 8:30, especially if the market is giving us an entry within 5 minutes of market open. If you don't know what market open is, that's when the stock market opens. And usually right at that time, at that 8:30 candlestick, that's when a huge candlestick spike will happen. You'll probably see in this example right here, if we fast forward, this is 8:29, this is the 8:30 candlestick. You see a huge candlestick, and that's always done at 8:30. So if price is giving me an entry close to when market open is happening, most of the time I'll stop, I'll wait, and just see what market open does first before entering into the trade. But either way, as you see, price bought back up into this zone. It created this low right here, so it created the most recent swing low right here. It still hasn't broken this overall low. It stopped right at it right here. So I would have done the same thing. I would have entered on a break of this swing low, stop loss right above the high point, same exact entry or stop loss criteria that we had for this trade right above the most recent swing high. And then I'm targeting recent lows, so we could target these lows, but that only gives a 1:1 risk-to-reward ratio. So could target a little bit lower down, I could target these lows right down here, and that gives about a 3.2:1 risk-to-reward ratio. And that's actually what we ended up taking in the Inner Circle. We ended up targeting all the way down here for our entry. I believe it was somewhere up here for our exit, sorry. And let's see how this plays out. So it sold all the way down and went to go hit our take profit, and we were able to profit on this trade simply by following the same exact checklist that we just went over here. The only difference is that we ended up taking a break and retest version versus a regular support or resistance zone. It's the same exact setup that I showed you guys where we waited for price to break below our most recent support zone and then come back up to retest it. And then we looked for the same entry criteria and then entered in on sales to the downside. And as you see, this trade played out beautifully. Now, as you can see, this strategy is nothing flashy, it's nothing cool, but this strategy allows for me to have consistency. I just need to follow the simple 7-step checklist that we literally went over in this video, and this boring strategy will make sure that 2026 is an absolutely amazing year. Now I know a lot of you guys are going to ask about the data behind this. I've obviously traded this for the past 7 years. I have an extreme amount of data with this strategy with a bunch of different tweaks and a bunch of different things that I've done to make sure this strategy performs as best as it can. Now the stats with this strategy is not that amazing. I honestly have a 55% win rate on average over the past 7 years of trading this strategy with an average risk-to-reward ratio of a 2.4, meaning I'm winning a little bit more than half of the trades that I take. But every single time I'm winning a trade, I'm winning more than 2.4 times the amount of money that I'm risking. That's how over a long period I've been able to get to the position I'm at and generate the profits that you guys see me generate. So as you can see, the strategy does not have to be something crazy, something super beautiful, something hyped up. It just has to be something that's repeatable, the same repeatable setup that allows me to take this trade over and over again and see consistency in my trading. Now I know what you're probably thinking next. You're like, okay, this makes sense. I understand the strategy, I understand the entries, I understand all that, but I don't have a bunch of money. How am I supposed to make juwelier money, or how am I supposed to make thousands of dollars a month if I only have a few hundred bucks? And that's why I made this video right here. This video shows you how to leverage other people's money and trade with other people's money. That way you can actually see real profits, not a couple hundred bucks a month, but potentially the opportunity to scale to 4 or 5 figures a month with trading. So I'll see you in this video right here.










