Traders Transition from PATS to Order Flow-Validated Support/Resistance Strategies

Traders using Price Action Trading Systems (PATS) report persistent inconsistencies due to subjective pattern interpretation, false signals in choppy markets, and confirmation bias [1,2]. PATS relies on pure price movement (candlestick patterns, trendlines, S/R zones) often for short-term scalping/day trading (1-5min charts) but lacks reliability in volatile conditions [1].

Many traders are adopting strategies that combine traditional S/R with order flow analysis to validate levels before entering trades [3,7]. Key components include:

• Volume profile to identify high-volume S/R zones [3]
• Order absorption patterns at S/R levels to signal reversals [7]
• Institutional order flow confirmation for high-probability entries [9]
• Multi-timeframe alignment to improve accuracy [3]

Reddit users advise:

1. Prioritizing personal-fit setups over copying others [10]
2. Swing trading with limit orders and footprint/volume imbalances to confirm S/R [10]
3. Trading MNQ micros for more frequent opportunities than ES [10]
4. Using Volume Profile Highs/Lows (LVNs) with absorption/delta confirmation [10]

Small-account traders are warned to focus on risk management, including stop losses at recent swing lows/highs [3].