11# Grid Action Forex Strategy

Dimitri 2025

Grid Action uses a fixed pip-based grid system to define objective support and resistance levels across different timeframes, combined with simple price action confirmation for high-probability reversal entries.

1. GRID STRUCTURE BY TIMEFRAME

Price levels are anchored to fixed pip intervals depending on the timeframe:

1. GRID STRUCTURE BY TIMEFRAME

Price levels are anchored to fixed pip intervals depending on the timeframe:

Support and Resistance can ONLY be drawn on these fixed grid lines. No discretionary zones.

2. IDENTIFYING SUPPORT AND RESISTANCE

Support/Resistance is defined objectively by wicks interacting with grid lines:

• A wick piercing above a grid line = potential Resistance

  A wick piercing below a grid line = potential Support

Reinforcement Rule:
The more candle wicks touch/pierce the same grid level, the stronger the level becomes.

3. TIMEFRAME STRENGTH

• Lower timeframes (e.g. 1m): noisier, less reliable levels

  Higher timeframes (1H, Daily): more reliable, stronger reactions

  Best practice: draw grid levels from 1H chart, execute entries on 1m chart

4. TRADE ENTRY RULES – REVERSAL SETUP

SELL SETUP (Bearish Reversal)

1. A bearish candle touches or pierces a Resistance Grid Line with its upper wick

2. The next candle (green or red) closes below the open of the first candle

3. → Enter SELL at the close of the confirmation candle

BUY SETUP (Bullish Reversal)

1. A bullish candle touches or pierces a Support Grid Line with its lower wick

2. The next candle (red or green) closes above the open of the first candle

3. → Enter BUY at the close of the confirmation candle

5. STOP LOSS & TAKE PROFIT

Stop Loss (SL)

• Scalping:

  • SELL: Just above the wick of the setup candle

    BUY: Just below the wick of the setup candle

• Swing/Intraday:

  • SELL: Above the highest wick that touched the Resistance line

    BUY: Below the lowest wick that touched the Support line

Take Profit (TP)

• Initial TP:
  First reaction zone, typically next grid level (e.g., +10 pips on 1H level if scalping)