Table of Contents
In this interview, Riz sits down with Krishna and KJ (one of the earliest “Vipers”) for a candid Words of Rizdom session about what actually turns a chart-watcher into a trader. You’ll hear how KJ’s journey started with BabyPips, detoured through crowded “indicator soup,” and ultimately clicked when mentorship, routine, and a clean chart met a rules-based edge. The trio digs into why enthusiasm for the craft—not just the money—is the real fuel, how “monk mode” habits create consistency, and why trading is a mirror for your life: discipline, patience, and self-awareness show up in your P/L sooner or later.
Read on to learn the core takeaways you can apply today: the gambler-vs-trader mindset shift, using routine as the “engine” behind any strategy, accepting risk in a true probability game, and journaling your psychology (not just your entries). You’ll also see how to build a flow state that survives losing days, why signals won’t teach you skill, and how to adapt your timeframe and pairs without abandoning your plan—so the edge follows you, not the other way around.
KJ Playbook & Strategy: How He Actually Trades
Core Edge: Clean Charts, Clear Bias, Consistent Process
KJ’s edge comes from stripping the chart to essentials, forming a high-timeframe bias, and then executing a tight, repeatable routine. You’ll see the same steps daily, so the results depend on discipline, not mood.
- Keep only price, session ranges, 20/50 EMAs, and session VWAP on the chart.
- Define daily bias from 4H→1H structure (HH/HL = bullish, LH/LL = bearish); no trades against bias unless a reversal pattern triggers at a major level.
- Cap daily trading window to your primary session (London or New York) plus 30 minutes; no off-session entries.
Daily Routine & Prep
The day is won before the open. KJ front-loads thinking into prep so execution can be mechanical when the session starts.
- Pre-mark HTF levels: prior day high/low, weekly open, and two nearest swing levels.
- Write a one-line “if/then” for each plan: “If price reclaims prior high and holds above VWAP, then long to range high; else stand down.”
- Set alerts at levels; close news/calendar tabs before the session to reduce distraction.
Playable Markets & Volatility Guardrails
Not every instrument or day is worth trading. KJ filters by spread, ATR, and the day’s likely structure.
- Focus on 1–3 instruments with tight spreads (e.g., one major FX pair plus one index); track each instrument’s 14-day ATR.
- If today’s opening range is < 0.6× the 10-day average, expect a range day and prioritize mean-reversion setups only.
- Stand down 15 minutes before and after top-tier news unless using a pretested post-news continuation setup.
Set up Library (Only These Trades)
KJ keeps a tiny menu of repeatable patterns. Fewer setups mean faster recognition and better metrics.
- Break & Retest (Trend): After a clean HTF break, enter on the first LTF rejection of the breaker zone with a close back in trend direction.
- VWAP Reversion (Range): Fade 1.5–2.0 standard deviation excursions back to session VWAP with a confirming LTF close.
- EMA Coil Expansion: After ≥3 candles coiling around 20/50 EMAs in trend, take the first expansion close with range increase vs prior bar.
Entry Triggers (No Hesitation)
Entries are binary: the signal either meets rules or it doesn’t. This removes doubt at the click.
- The signal candle must close beyond your line-in-the-sand (breaker boundary, VWAP band, or EMA zone) in trade direction.
- Place stop orders at the break and limits on retests; avoid market orders if average slippage > 0.2R in your journal.
- Skip if the signal bar > 1.2× the average of your last 20 signal bars (protects R: R).
Risk & Position Sizing
KJ survives losing streaks by keeping losses small and uniform, while letting winners stretch within structure.
- Fixed risk per idea: 0.5R–1.0R max; never more than two correlated positions at once.
- Initial stop: beyond invalidation (last swing for trend setups; outer VWAP band for range plays).
- Daily circuit breaker: stop trading at −3R or +4R, whichever hits first.
Trade Management & Exits
How you manage winners matters as much as entries. KJ uses rules to lock wins without killing edge.
- First scale/out or move to breakeven at +1R only after a structural event (e.g., LTF HH/HL in longs, LL/LH in shorts), not merely on price touch.
- For trend setups, target prior day high/low or HTF swing; for range setups, target VWAP first, then opposite band if momentum persists.
- Time stop: if price stalls for 30–45 minutes with no HH/HL (long) or LL/LH (short), reduce position by 50%.
Psychology & Session Discipline
Mindset shows up in metrics. KJ uses constraints to keep emotions from leaking into execution.
- Pre-commit to max three trade attempts per setup type per session.
- Enforce a 10-minute “cool-off” after any loss before opening the DOM again.
- No P/L on screen; show only R multiples and structure.
Journal & Review Loop
KJ improves by measuring specifics, not vibes. The journal captures what actually drives expectancy.
- Log every trade with: setup tag, HTF bias, entry trigger, stop basis, planned target, realized R, slippage %, and a one-line emotion label.
- Weekly review: compute hit rate, avg win/loss, and expectancy by setup tag; prune any setup < 1.5R expectancy over the last 40 occurrences.
- Create a “kill switch” tag for behaviors that cost R (chasing, counter-bias impulse); if ≥3 tags in a week, drop size by 50% next week.
Adaptation Rules (When Conditions Change)
Markets shift; rules define how you adjust without abandoning edge.
- If 14-day ATR drops below your baseline by 30%+, cut targets by 25% and size by 25% or skip until volatility returns.
- If the instrument’s spread widens beyond your max (e.g., >30% of average stop distance), trade a substitute instrument with similar structure.
- After two consecutive losing sessions on the same setup, the next attempt to be A+ only (HTF alignment + location + ideal signal bar), else pass.
Growth Framework (Scaling Without Breaking)
Scale only when the data earns it. KJ ties size increases to stable expectancy, not a hunch.
- Raise risk by +0.25R only after 50 trades with ≥1.8R expectancy and drawdown < 6R over that sample.
- Add a second instrument only when the first maintains those metrics for four consecutive weeks.
- Any equity drawdown of 8R triggers a hard reset to minimum size until the curve reclaims the prior equity high.
Krishna Sharma Playbook & Strategy: How He Actually Trades
Core Philosophy: Action Over Theory, Structure Over Noise
This is the backbone: Krishna prioritizes acting on a simple, defined process instead of chasing new tips. The aim is to eliminate hesitation and make every session a repeatable routine where outcomes come from execution, not luck.
- Keep charts minimal: price, prior day/week levels, and session VWAP or a 20/50 EMA pair—pick one framework and stick with it.
- Build a single daily bias from 4H → 1H swing structure; do not flip bias intraday unless HTF structure changes.
- Predefine what “no trade” means (e.g., tiny opening range, news chop, abnormal spread) and honor it without debate.
Daily Operating System (Prep → Plan → Execute)
Krishna wins the day before the bell. A crisp, timed checklist reduces decision fatigue and keeps the session focused on following rules, not finding trades.
- 30 minutes pre-session: mark prior high/low, weekly open, and two HTF swing levels; write a one-line plan for each scenario (“If price reclaims PDH and holds above VWAP, long to range high”).
- Set alerts at levels; close social/YouTube/Discord; open only chart, DOM/ticket, and journal.
- Define max attempts (e.g., 3 trades/session) and a session cutoff (e.g., 2 hours). Once either hits, you’re done.
Market Selection & Session Focus
You don’t need endless symbols; you need rhythm and consistent conditions. Krishna narrows instruments and sessions so the same patterns repeat.
- Trade 1–3 instruments with tight spreads and steady volatility (one major FX pair and/or one index).
- Commit to one session (London or New York). No off-session snipes.
- If 14-day ATR falls ≥30% below baseline or spreads widen >30% of the typical stop size, reduce size by 50% or stand down.
Setup Menu (Small, Sharp, Repeatable)
Fewer setups = faster recognition and better stats. Krishna keeps a lean library so he can measure and refine without confusion.
- Break & Retest (Trend): HTF break of structure → price returns to the breaker zone → LTF rejection + close in trend direction.
- VWAP Reversion (Range): In balanced markets, fade 1.5–2.0σ deviations back toward session VWAP after a confirming close.
- EMA Coil Expansion: After ≥3 bars coiling around 20/50 EMAs in trend, enter on the first expansion close with increased range vs prior bar.
Entry Triggers (Binary, No Hesitation)
Entries are mechanical yes/no checks. This section turns vague “feel” into objective action so you stop second-guessing.
- The signal candle must close beyond your line-in-the-sand (breaker boundary, VWAP band, or EMA zone) in the trade direction.
- Use stop orders for momentum breaks and limit orders for retests; avoid market clicks if average slippage >0.2R in your journal.
- Skip if the signal bar >1.2× your 20-signal-bar average (protects R: R and avoids chasing).
Risk & Money Management
Longevity beats bravado. Krishna scales consistency by capping risk, managing correlation, and enforcing a hard daily stop.
- Risk per idea: 0.5R–1.0R; never stack more than two correlated positions.
- Initial stop goes beyond invalidation (last swing for trend setups; outer VWAP band for range plays).
- Daily circuit breaker: stop trading at −3R or +4R, whichever hits first.
Trade Management & Exits
Winners need structure, too. Krishna uses simple, structural milestones to move stops and take profit without micromanaging.
- Move to breakeven only after a structural event (e.g., HL after entry on a long, LH on a short) or at +1R with structure confirmation.
- Trend targets: prior day high/low or next HTF swing; range targets: VWAP first, opposite band second if momentum persists.
- Time stop: if no progress (no HH/HL for longs, no LL/LH for shorts) within 30–45 minutes, cut 50% and let the rest ride with structure.
News & Volatility Protocol
Events can blow up good plans. Krishna treats news and regime shifts with predefined rules to avoid impulsive trades.
- Stand down 15 minutes before/after top-tier releases unless you have a specific, pretested post-news continuation setup.
- If the first 30 minutes create a tiny opening range (<0.6× its 10-day average), prioritize mean-reversion setups; ban trend continuation until a clean breakout + retest.
- If volatility spikes (ATR expansion with unstable spreads), halve size and widen stops proportionally, or skip.
Psychology: Act Now, Not “Someday”
Krishna’s edge is action bias: fewer promises, more reps. These guardrails force you to do the work today instead of planning forever.
- Pre-commit to a fixed start time, even on red days. No shifting the session window to “find” better trades.
- Enforce a 10-minute cool-off after any loss before touching the ticket again.
- Hide account P/L during the session; display only R-multiples and structure notes.
Journal & Weekly Review (Expectancy > Opinions)
Improvement is math, not vibes. Krishna’s journal isolates what actually drives expectancy so you can prune what doesn’t work.
- Log every trade: setup tag, HTF bias, entry trigger, stop basis, planned target, realized R, slippage %, and a one-line emotion label.
- Weekly: compute hit rate, avg win/loss, and expectancy by setup tag; pause any setup <1.5R expectancy over the last 40 occurrences.
- Tag destructive behaviors (chasing, counter-bias). If ≥3 tags in a week, cut risk by 50% next week.
Scaling & Adaptation
Growth is earned by stable stats, not confidence. Krishna scales only when the data supports it and dials back when conditions shift.
- Increase risk by +0.25R only after 50 trades with ≥1.8R expectancy and max drawdown <6R over that sample.
- Add a second instrument only after four consecutive weeks of meeting those metrics on the first instrument.
- If equity drawdown reaches 8R, reset to minimum size until equity closes back above the prior high.
Size Risk First: Position to Survive, Then Aim for R
Krishna Sharma hammers this home before anything else: size the trade so a single loss can’t dent your week. KJ backs it up with his own routine—risk is fixed first, then the setup gets a yes or no. They both treat each entry like a coin flip with edge, not a destiny prediction; the only controllable variable is how much you’re willing to lose. That clarity makes losers boring and survivable, which is exactly the point.
When volatility jumps or spreads widen, Krishna Sharma cuts size automatically; KJ avoids stacking correlated positions so exposure doesn’t quietly double. A hard daily stop locks the door on tilt, while scaling up happens only after data proves expectancy—not because the last trade won. Protect the downside, let R take care of the upside, and your edge finally has the room to breathe.
Allocate by Volatility: Trade Bigger in Calm, Smaller in Storms
Krishna Sharma keeps sizing dynamically: volatility sets the throttle. When ranges compress and spreads behave, he’s comfortable nudging risk toward the upper bound of his playbook; when ATR expands or the tape gets whippy, he cuts risk without debate. KJ echoes it with a simple rule—if the opening range is tiny, he leans into mean-reversion setups with normal size; if the first impulse is explosive and messy, he halves risk or waits for a retest. The message is clear: volatility is a market mood ring, and your position size should read it, not fight it.
Both Krishna Sharma and KJ track a rolling ATR and a “spread/stop” ratio, so the math, not the mood, drives sizing. If spreads creep above a set percentage of the planned stop, they either switch instruments or reduce size until the ratio makes sense again. In calm markets, they don’t get greedy—they scale gradually, tie size to recent expectancy, and cap total exposure across correlated names. In stormy periods, they survive first, trade second, and let the playbook—not adrenaline—decide when to press.
Diversify by Instrument, Strategy, and Holding Time to Smooth P&L
Krishna Sharma points out that diversification isn’t just “more tickers”—it’s mixing uncorrelated edges across instruments, setup types, and holding periods. He’ll pair a trend-following break-and-retest with a VWAP mean-reversion, so on grindy days, one picks up what the other drops. KJ adds the duration angle: combine intraday scalps with occasional swing holds from a clean 4H structure, which flattens the equity-curve bumps when any single tempo goes cold.
Both Krishna Sharma and KJ cap exposure per “bucket” so no cluster dominates the day: max two correlated positions, max risk per strategy, and hard limits by session. They rotate capital toward the buckets showing current expectancy while freezing or downsizing the ones slipping below the threshold. The effect is a steadier curve—less boom-and-bust—because you’re not betting the farm on one rhythm, one setup, or one symbol. Spread the edge smartly, size them sanely, and your P&L trades smoother than your heartbeat on FOMC day.
Follow the Playbook: Mechanical Entries, Planned Exits, No Predictions
Krishna Sharma frames trading as execution, not forecasting—your playbook decides, not your hunch. He builds if/then statements before the session (“If price reclaims prior high and holds above VWAP, then long to range high”), so the chart either meets conditions or it doesn’t. Entries require a confirming close beyond the level, not a guess; stops live at structural invalidation, not “where it feels safe.” By removing prediction and locking in rules, Krishna Sharma turns hesitation into a binary yes/no and keeps emotions from rewriting the plan mid-trade.
KJ applies the same blueprint with ruthless consistency. He won’t click until his signal bar meets size and location criteria, and he already knows the first take-profit and when he’ll move to breakeven—usually after a structural shift, not just a price touch. If the tape gets sloppy or the spread ruins the R: R, he aborts and waits for the next if/then to trigger. In KJ’s and Krishna Sharma’s world, the edge isn’t in calling tops and bottoms—it’s in following the script so tightly that randomness has fewer places to leak into your P&L.
Prefer Defined Risk; Respect Undefined Risk with Strict Exposure Caps
Krishna Sharma draws a hard line between defined and undefined risk: one you can measure and pre-plan, the other can creep through your stop and torch your day. He leans into defined-risk structures—clear invalidation, clean stops, and fixed R—so a loser stays a paper cut. When the trade carries tail risk or event risk, Krishna Sharma either sizes down sharply or avoids it entirely. The goal isn’t heroics; it’s survival with a predictable distribution of outcomes.
KJ echoes the same discipline with exposure caps that don’t bend: max risk per idea, limits on correlated positions, and an absolute daily drawdown stop. If spreads blow out or a catalyst introduces gap risk, KJ reduces size, widens stops proportionally only if R: R remains intact, or simply stands aside. Both traders treat undefined risk like open water—cross only with life jackets: smaller size, fewer simultaneous bets, and time-of-day constraints. That’s how Krishna Sharma and KJ keep the edge intact while the market throws curveballs.
The clearest takeaway is that trading works when life works: routine, discipline, and clean rules show up as steadier P&L. Krishna Sharma keeps the chart minimal, builds a single HTF bias, and makes the session a series of if/then decisions—execute or stand down. He sizes risk first, caps daily drawdown, and treats every entry as a probability bet, not a prediction. Journaling doesn’t stop at entries and exits; it tracks mindset, energy, and emotional triggers so the operator improves as much as the strategy.
Equally important, adaptation beats opinion. Krishna Sharma and KJ both adjust size to volatility, refuse to stack correlated exposure, and rotate among a tiny set of proven setups—trend break-and-retest, VWAP reversion, and EMA coil expansion—so expectancy comes from repetition, not novelty. They prefer defined risk and respect tail events with hard exposure limits and time-of-day boundaries. The message is simple and durable: protect downside with rules, let winners work within structure, and measure everything—because edge lives in process, not prediction.
