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Strategy Library·Intermediate· 5 min

Pullback continuation

Ride the trend by entering on the rest, not the run.

What it is

In a defined , wait for a to a structural level (last HL in an uptrend, last LH in a downtrend), then enter in the trend direction on .

When it works

Established trends, orderly pullbacks that respect prior structure, and pullbacks that stall into a support/demand zone.

Confirmation

Wait for a rejection , an inside bar , or a reclaim of a short-term high/low.

Entry & stop

Enter on the trigger. below the low () or above the pullback high (). the prior leg high/low for 1.5–3R.

Watch it on the chart
Chart breakdown
MA / trendENTRY on pullbackBUY THE DIP inside an uptrend
Uptrend with 3 HH/HL swings, pullback into last HL, entry marked.
Key takeaways
  • Trends give you multiple entries — you don't need the first one.
  • Pullbacks that respect structure > pullbacks that don't.
  • protects against catching falling knives.
  • often improves at the vs the .
Quick check

Uptrend has three clear higher lows. Price pulls into the last HL zone. What's the best action?

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Educational simulation only. Not financial advice. Prop firm rules vary between companies — always read the official rules of the specific firm before trading.