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This interview features Jason Sen, a veteran market technician trading since 1987 and known for his no-nonsense daily technical reports for banks, brokers, and retail traders. Recorded on the Desire To Trade podcast, Jason explains why he keeps things simple—trend first, levels next—and how that approach has kept him in the game for decades across FX, commodities, and stock indices.
In this piece, you’ll learn Jason’s core playbook: how to map support/resistance with moving averages, Fibonacci, and candlestick patterns; how to stitch multiple timeframes into one game plan; and why he prefers pullback entries over raw breakouts. You’ll also get his risk rules—tight stops, 1–2% risk, and preparation that kills stress—plus practical guidance on avoiding the classic retail traps of oversizing and chasing.
Jason Sen Playbook & Strategy: How He Actually Trades
Market Framework & Core Tools
Here’s the backbone of how Jason approaches markets: keep the chart clean, read the trend, and trade from well-defined levels. The goal is to make decisions fast because the prep is already done—no guessing once the bell rings.
- Identify trend on the higher timeframe first (daily/4H) using the 200 EMA and swing structure.
- Mark major support/resistance from weekly and daily closes; only keep the 6–10 most relevant levels.
- Use Fibonacci retracements (38.2%, 50%, 61.8%) only when they align with prior swing highs/lows or moving averages.
- Read candlestick cues at levels (pin bar, engulfing, inside bar break) as the trigger, not the thesis.
- Avoid clutter: if an indicator doesn’t affect execution, remove it.
Multi-Timeframe Alignment
Jason stacks timeframes so the bias flows from higher to lower without contradiction. This gives you context for swing direction and precision for entries.
- Define bias daily; refine context on 4H; execute on 1H/15m.
- Only take longs when the daily trend and 4H structure both print higher highs/higher lows (and vice versa for shorts).
- If timeframes conflict, skip the trade or wait for a retest that re-aligns the 1H/15m to the higher timeframe bias.
- Move down a timeframe only after the higher one is clear—never force alignment from the bottom up.
Level Mapping & Trade Triggers
He trades “from” levels, not “toward” them. You’ll plan the reaction zone and require a price to prove it at the level.
- Pre-mark zones where at least two factors overlap (S/R + MA, S/R + Fibonacci, or MA + prior swing).
- Entry long: bullish rejection wick or bullish engulfing off support; short: the reverse at resistance.
- If price blasts through a key level, wait for the clean retest from the other side before engaging.
- Only trade the first or second touch of a fresh level; ignore the third touch unless higher timeframe confluence improves.
Risk & Position Sizing
Risk is small and mechanical, so the next trade is always possible. Your job is to survive the cold spells and let prepared trades pay.
- Risk 0.5%–1.0% per trade; cap portfolio heat at 2.0%–3.0% total open risk.
- Place stops beyond the invalidation level, not at it (e.g., a few ticks/pips beyond the swing, or 1.0–1.2x ATR(14) past the level).
- Use fixed R multiples for planning: target 2R as the base; allow 3R–4R when structure supports a runner.
- If a trade moves +1R, move the stop to breakeven only after the level you traded from has been retested and held.
Entry Playbook: Pullbacks Over Breakouts
Jason prefers the pullback because it puts you on the right side of trapped traders. It also lets you define risk tightly and ride the trend.
- For trend continuation, wait for a pullback to the prior swing or 20/50 EMA cluster.
- Confirm with a rejection candle or inside-bar break in trend direction.
- Skip raw breakout entries; instead, trade the first clean retest of the broken level.
- If spread/volatility jumps on the retest, halve size or pass—the edge is precision, not heroics.
Trade Management & Exits
Management is simple: protect capital, respect the structure, and don’t smother winners. You’ll exit where the market says you’re wrong or where your plan says you’re paid.
- Hard stop goes in at order entry; never widen it.
- Take partials at +1.5R to +2R when structure is choppy; hold full size in trending conditions.
- Trail under/over swing lows/highs on the 1H once price has advanced +2R, or use a 2x ATR(14) stop for smoother markets.
- Exit fully if the higher-timeframe structure breaks (e.g., a lower low on 4H while you’re long).
Session Routine & Preparation
The win rate starts before the session. Jason’s routine is about building a small, focused watchlist and eliminating surprises.
- Each evening: update key levels on weekly/daily/4H charts; archive levels that price has chewed through.
- Build a watchlist with 3–6 instruments that have aligned timeframes and a clean room to target.
- Set price alerts at levels where you intend to act; do not “monitor and hope.”
- Note any scheduled events that could distort spreads and volatility; trade around them by reducing size or waiting for the post-event retest.
Instruments & Time Windows
He focuses on liquid markets with technical respect—majors, indices, and popular commodities. You’ll time entries when the order flow is real, not sleepy.
- Prioritize FX majors, stock indices, and high-liquidity commodities with tight spreads.
- Trade during active sessions (e.g., London/NY overlap for FX and indices).
- Avoid the first minutes of the session open if volatility is chaotic; wait for the first pullback to structure.
- If an instrument becomes erratic (news/illiquidity), park it for the day—edge is consistency.
News Awareness Without Prediction
Fundamentals can kick the table, but the plan doesn’t change: let the level confirm. This keeps you from impulsive “news trades” that don’t fit your method.
- Know the calendar; tag high-impact releases on your plan.
- Stand aside 5–15 minutes before and after major data if your edge is technical precision.
- Only re-engage on the retest once the level holds with a clear candle signal and spreads normalize.
Psychology & Discipline
The edge collapses without discipline. Jason’s fix is process over opinions and rules you can follow on a rough day.
- Write the day’s plan before the session: bias, zones, triggers, invalidation, and targets.
- Limit the daily loss to 2R–3R; stop trading when hit and review.
- If you miss a setup, don’t chase—reset, wait for the next planned level, and reduce size on the very next trade.
- Journal entries with screenshots at entry/management/exit; tag errors (late entry, size creep, news exposure) for weekly review.
Common Mistakes & Fast Fixes
Most pain points are repeat offenders. Here’s how Jason neutralizes them before they drain your month.
- Too many lines: cap the chart to a handful of levels and archive the rest.
- Over-trading: no more than one attempt per level per direction unless a higher timeframe improved post-retest.
- Premature exits: pre-select target logic (fixed 2R or structure-based) before entry and stick to it.
- Emotional widen stops: never; if you’re tempted, close the trade or reduce size, but do not move the stop.
Checklists You Can Use Today
Checklists make the entire approach plug-and-play. Run them before, during, and after the trade so you know exactly what to do.
Pre-Trade
- Higher timeframe bias clear?
- Confluent level identified?
- Trigger candle formed at the level?
- Stop location and R defined?
- News window checked?
During Trade
- Stop placed and left untouched?
- Price respecting structure?
- At +1.5R to +2R: partial or trail per plan?
Post-Trade
- Screenshoted entry/management/exit?
- Tagged mistakes or wins?
- Updated levels and watchlist for tomorrow?
Size Risk Small, Cap Portfolio Heat, Survive Bad Trading Days
Jason Sen drills a simple truth: tiny position risk keeps you in the game when markets get weird. He prefers risking a fraction of the account—small enough that any single loss is forgettable. That creates room for the next high-quality setup without emotional baggage. When the day turns messy, your risk stays mechanical, not personal.
Capping “portfolio heat” is his second seatbelt, so multiple trades don’t gang up on you. Add the open risks together and set a hard ceiling; if you hit it, you’re done adding exposure. Defined risk at the level that invalidates the idea—never wider mid-trade—prevents slow bleedouts. With those guardrails, Jason Sen can shrug off bad sessions and still be fully loaded when conditions swing back in his favor.
Trade Levels, Not Predictions: Multi-Timeframe Alignment Before Every Entry
Jason Sen keeps forecasts out of it and lets price levels do the talking. He starts on the daily chart to lock in trend and key zones, then checks 4H for structure and 1H/15m for timing. If the higher timeframes don’t agree, he does nothing—no “maybe it’ll work” trades. The goal is a clean stack: higher highs on daily and 4H before a long, or lower lows for a short. When that alignment clicks, the entry becomes simple: react at levels, don’t predict the future.
He wants confirmation at the level, not in the middle of nowhere. A rejection wick or engulfing candle off support or resistance is enough when the bigger picture already points the way. If a level breaks, Jason Sen waits for the retest from the other side instead of chasing. This keeps risk defined and stops tight, so a handful of good alignments can carry the week. Alignment first, trigger second—that’s the whole edge.
Prefer Pullbacks Over Breakouts For Defined Risk And Cleaner R-Multiples
Jason Sen favors buying the dip in an uptrend and selling the pop in a downtrend because the level defines the risk. A pullback to prior support, a moving average cluster, or a broken level retest lets him anchor the stop just beyond invalidation. That precision means smaller position risk and better R-multiples when the trend resumes. Chasing breakouts, by contrast, often stuffs you into wide stops and weak reward-to-risk.
He waits for the price to tap the level and print a clean rejection before committing. If the first retest is messy or spreads blow out, Jason Sen either halves the size or passes entirely. He’d rather miss a fast move than fund a sloppy entry that destroys the math. Let the market come to your level, prove it, then take the trade with tight risk and clear targets.
Diversify By Underlying, Strategy, And Duration To Smooth the Equity Curve
Jason Sen spreads risk, so one theme can’t sink the week. He mixes instruments—FX majors, stock indices, and key commodities—so a single macro ripple doesn’t hit every position the same way. Then he diversifies by method, pairing trend-continuation setups with mean-reversion plays to avoid a one-note book. The final layer is duration: intraday rotations, swing holds, and the occasional multi-day run, so P&L isn’t tied to one time horizon.
He tracks correlation like a hidden position size and dials down when markets start moving as one. If two trades are highly correlated, Jason Sen treats them like a single bet and sizes accordingly. He caps total portfolio heat and trims overlapping exposure first, keeping the book nimble when volatility jumps. By staggering timeframes and mixing uncorrelated edges, he converts choppy periods into manageable noise and keeps the equity curve climbing without drama.
Simple Process Discipline: Prep Levels, Set Alerts, Execute Without Hesitation
Jason Sen runs a tight routine, so decisions are almost automatic. He marks key support and resistance on higher timeframes the night before, trims any clutter, and builds a short watchlist. Price alerts go at the exact levels he plans to trade, so he isn’t staring at charts or chasing mid-move. When the alert fires, he checks the trigger candle, confirms alignment, and places the order with the stop already set.
There’s no debating after entry—Jason Sen lets the plan work. If the setup fails, the stop does its job, and he moves on without widening it or “giving it room.” If the trade reaches +1.5R to +2R in chop, he scales some; in trends, he trails under/over structure to hunt a runner. End of day, he journals screenshots and tags mistakes so tomorrow’s plan is cleaner than today’s.
Jason Sen’s core message is disarmingly simple: build a daily roadmap and let price prove itself at levels. He starts with the higher-timeframe trend, draws the truly important support and resistance zones, and treats them as decision points—nothing more mystical than that. Entries aren’t guesses in the middle of the chart; they come when price taps a level and leaves a clear footprint, like a rejection or engulfing pattern. If a level breaks, he doesn’t chase; he waits for the clean retest from the other side so risk can be tucked just beyond invalidation. Stops are placed where the idea is objectively wrong and never widened mid-trade, which keeps losses small and forgettable.
From there, Jason Sen runs a consistent routine so execution stays calm: prep levels the night before, trim chart clutter, set alerts, and only act when the plan’s conditions fire. He prefers pullbacks to raw breakouts for tighter risk and better R-multiples, uses multi-timeframe alignment to avoid fighting the bigger flow, and sizes positions modestly so a rough session can’t derail the week. It’s a blueprint any retail trader can adopt today—trend first, levels next, confirmation at the level, fixed risk, and a written plan you follow even when the market tries to drag you off script.
