Who this is for — Traders who want to separate signal from noise after context and trigger — without adding 10 indicators.
Confirmation answers: «are there independent elements supporting the trade?» It does not replace context or trigger; it raises confidence or filters false signals in chop.
In plain terms — Trigger = «go»; confirmation = «go with more conviction» — but each extra filter cuts frequency and often worsens R:R.
Hierarchy (decreasing weight)
| Level | Examples |
|---|---|
| Order flow / volume | |
| Correlations | Sector index, aligned correlated asset |
| Price indicators | RSI, VWAP — derived, lower weight |
Silver practical rule
- 2–3 confirmations max per setup
- Confirmations optional in playbook (tier A vs tier B)
- No mandatory confirmation that is not backtested
Typical mistake — Paralysis by analysis: 10 aligned indicators → late entry, degraded R:R.
Example — Long at support with pin bar trigger: tier-1 confirmation = positive delta on test; tier-2 optional = RSI > 40.
Summary sheet
- Role: quality filter, not infinite gate.
- Priority: volume > indicators.
- Limit: few filters, well defined.
Silver path — Setup module. Index: Silver path.