Memorize the three primary setups: Holy Grail, Opening Range Breakout, and MKT Reversal. Understand the exact stop loss placement for each. Raschke’s stops are notoriously tight—usually just beyond the pattern’s high or low.
A momentum-based retracement pattern that uses a stochastic hook to catch a move as it resumes its original direction.
The book’s premise was radical for its time:
: Use the first hour's range to establish the day's framework, and watch the last hour for the "smart money" trend. of a specific setup, such as the Holy Grail Turtle Soup
When the market reverses back through the 20% boundary, it signals that the initial drive was a false move. Traders enter a position targeting a reversal back toward the middle of the range.