Momentum Scalp System
Exploit exhaustion and short-term reversals - only when conditions fit.
- Filter the regime with Channel. You want a flat or gently drifting channel where mean reversion works. If the channel is steep, avoid counter trend scalps.
- Use Waves to find exhaustion. Wait until the oscillator is in the oversold or overbought zone (OBL or OSL). The most reliable scalps start from these extremes, not from the middle.
- Look for the first reversal trigger on Waves. The core trigger is the oscillator crossing its signal line near the extreme. The built-in extreme-only buy sell dots help you avoid early entries.
- Use the Waves RSI+MFI read as a quality filter. When the Money Flow read and its short trend are already turning in your direction, the reversal has more probability. If Money Flow is still accelerating against you, wait.
- Use Mars to confirm transition. Mars tracks the RSI based MA versus its SIGNAL. The cleanest entries happen when MA crosses SIGNAL in the same direction as your Waves reversal, because it shows the transition is stabilizing.
- Use Advanced RSI for timing and invalidation. Focus on (a) RSI line versus RSI MA color and histogram, (b) divergence labels R and H near the extremes, and (c) diamonds when RSI crosses RSI MA inside oversold or overbought zones. These are your final timing clues.
- Build the trade plan with ABC or Grid. For scalps, you want ENTRY close to the extreme and targets at the nearest TP levels or the mid of the structure. Avoid aiming for far targets unless the reversal is clearly expanding.
- Exit rules are strict. First partial at the nearest objective level, then trail or exit when Waves loses momentum or Mars flips back. If price breaks the structure that defines the reversal, invalidate immediately.
- Scalping only. This system is designed for fast reactions, not holding.
- Do not use in strong trends. If Channel is clearly sloped, skip or switch systems.
- Only take setups near a planned structure point (ABC ENTRY zone, Grid ENTRY, or a Channel boundary).
- If signals appear without an extreme, treat them as noise and do not trade.
Explore Indicators
Quick visual overview of what each ZenAlgo indicator does - see the core idea at a glance and jump straight to docs or purchase.
Waves
Waves is a multi-layer momentum oscillator that blends wave structure, money flow, and trend states into a single decision system. It helps identify momentum cycles, exhaustion zones, and high-probability continuation or reversal points.
Mars
Mars is an advanced RSI-based momentum system built around a smoothed RSI moving average and its signal line. It focuses on momentum quality, divergence structure, and trend bias rather than raw overbought and oversold readings.
Advanced RSI
Advanced RSI expands the classic RSI into a full momentum and context tool by combining RSI, its moving average, and a dynamic histogram. It helps traders read momentum shifts, trend strength, and early exhaustion through divergences, crosses, and zone-based signals.
Grid
Grid is an automated Fibonacci and Smart Money framework that maps entries, targets, and continuation zones from real market pivots. It structures trades from A to B with clearly defined risk, profit targets, and extension areas.
ABC
ABC is a structured Fibonacci expansion and projection tool built around X-A-B market swings. It defines precise entry, target, and continuation zones while keeping risk and reward clearly mapped.
Channel
Channel is a regression-based trend framework that builds a dynamic price channel with volume distribution, value areas, and slope analysis. It helps traders define trend direction, strength, and actionable zones for continuation or breakout trades.