: Full PDF rules and video modules are available through the Specialist Trading Special Offer Indicator Scripts
, the core logic is widely documented by the trading community. Core Strategy Rules
The current price must be trading the 50-period Simple Moving Average. 2. Identify the Setup Bars
Steve Primo’s Strategy 4 is a high-probability trend-following trading method designed to identify explosive, short-term market momentum across stocks, forex, and futures. Developed by 40-year Wall Street veteran Steve Primo through his company, Specialist Trading, this specific setup focuses on capturing high-velocity moves right as a trend resumes. steve primo strategy 4 pdf
Strategy #4 is a designed to buy short-term dips in an uptrend or sell short-term rallies in a downtrend. Unlike complex systems that rely on lagging oscillators or messy chart overlays, Primo’s philosophy emphasizes simplicity and pure price action. Core Philosophy
A condition requires the price to be above both the 50 SMA and the 15 EMA (if the PET‑D confirmation is turned on), ensuring that the trade aligns with both the broader trend and the immediate momentum. Conversely, a trenddn condition signals a downtrend when the price is below both averages.
This acts as the ultimate trend filter. It tells you whether you are allowed to buy or sell. : Full PDF rules and video modules are
The trading community has actively adopted and adapted Steve Primo's Strategy 4, leading to several variations:
The financial markets are filled with thousands of trading indicators, complex algorithms, and charting setups. For many traders, this information overload leads to "analysis paralysis." Legendary trader Steve Primo, a 40-year veteran of the markets and former stock exchange floor trader, designed a solution to this problem. His proprietary system, specifically , focuses on extreme simplicity and high-probability trend following.
For MetaStock users, the strategy is available as a third-party add-on, which includes a 12-module video course covering rules, entry/exit techniques, stop placement, position sizing, and other topics. Identify the Setup Bars Steve Primo’s Strategy 4
Steve Primo often refers to the combination of his and Strategy 4 as "My Dynamic Duo of Trading." This integration is designed to eliminate two major hurdles that cause traders to fail: entering a trend too late and lacking the discipline to remain in the trade.
: Place a sell order one tick below the low of the Setup Bar. Trade Management Exit Targets