Stop-loss and Take-profit

The stoploss should always be set on the opposite site of the congestion zone.

The take-profit is not strictly required, though if there is a congestion zone above (for a long position), it should be set on the mid of the rectangle.


Stoploss and Takeprofit


The prices break the congestion zone the other way

Sometimes when entering near a strong zone, price will just keep on downtrending and break it to the downside. The trade should be closed in this occasion. In any case this should be close to your set stop-loss.


Closing on Supply/Demand and Reversals

The trades should be closed when there is a supply signal (for a long position) from VSA, or a Reversal arrow. Congestion bars signal the price will probably be congested, but it shouldn’t be used for an outright closing of the position in most cases.


Price doesn’t rally for 20+ bars

The trades are taken when there are clear supply/demand signals, and as such, the market has to show results. If the price doesn’t go your direction for 20 or more bars, there were no results of the effort done, and most of the times the trade should be closed and you should wait for another opportunity.