Saty Mahajan · SPX / ES · 0DTE Options
Indicators. Levels. Setups. Rules. Everything that governs how we read the market and when — and when not — to pull the trigger.
Everything in the system flows from how these three tools interact. Read them together, never in isolation.
An EMA stack that defines trend structure, pullback entries, and regime shifts. The ribbon tells you where you are in the trend.
Measures momentum and where price sits in the cycle. The PO tells you how much fuel is left — and when it's running out.
Fibonacci multiples of the daily ATR anchored to the previous close. These are the targets and triggers — not support/resistance on their own.
The grid gives you a probability map for the day. Here's how levels interact with setups.
⚠️ Bilbo GG bear 90.2% has an audit flag — use as directional texture, not sole reason to oversize.
Only these setups are valid entries. Any trade outside this playbook is a hard rule violation.
The core ATR setup. Price reaches the 38.2% level and is expected to complete to 61.8%. The GG does not open at the trigger — it opens at 38.2%.
Enhanced GG with Phase Oscillator alignment. The PO must be in the right zone AND moving in the right direction for a Bilbo to be valid. This is the upgrade — not just price at 38.2%, but the 1h PO confirming momentum.
9:30–9:40 CT marks the Open Range High and Low. A clean break AND retest of either level is the entry. Never chase the initial break — wait for the pullback to the level.
A trending transition where price crosses the ribbon and closes on the other side. Vomy = bearish flip (8/13 bear cross + rejection). iVomy = bullish reclaim (8/13 bull cross + reclaim). Wait for the retest — anticipate the ribbon, enter on the touch.
A trending market setup. Price pulls back into the ribbon which acts as dynamic support. Anticipate the pullback — enter as price tags the 13 or 21 EMA. The ribbon must be acting as support, not broken.
A squeeze is building — EMA 21 and EMA 48 converge, ribbon goes gray/violet. Once the squeeze fires AND the EMA21/48 alignment supports direction, it expands. 180+ minutes of compression before expansion has an 83.7% bullish bias if EMA21 > EMA48.
A range market reversal setup. Price makes a swing high or low while the Phase Oscillator diverges — showing the move is losing momentum at an extreme. Used in range conditions, not trends.
Bull trigger was hit, but PDC is then lost. Price is now attempting the put trigger. A failed bull move becoming a bear setup — one of the highest probability intraday reversals.
A reversal setup exclusive to the 3:00–4:00 CT window. Phase Oscillator is near the middle — if a new high or low forms, anticipate divergence on the next push. Volume confirmation required.
Two parallel candles with matching bottom wicks forming a tweezer — a precision reversal signal. Entry on the reclaim of 50% of the down candle. Trail the stop as it works.
Counter-trend gap that fails to continue — OR is rejected at the Open Range. Small gaps fill with high probability. The bigger the gap, the more confirmation needed before fading.
Before naming a grade, score directional confluence across these seven factors. No setup is automatic — grade the conditions.
| Factor | Bullish ✓ | Bearish ✓ | Avoid ✗ |
|---|---|---|---|
| Price vs PDC | Above & holding | Below & holding | Chopping around |
| ATR ladder | Above call trigger path | Below put trigger path | Between levels, no trigger |
| VWAP | Above, dips reclaimed | Below, bounces rejected | Mean-reverting through |
| 10m Ribbon | Stacked / up-sloping | Stacked / down-sloping | Entangled / flat |
| 1h Phase Oscillator | High / rising for bull GG | Low / falling for bear GG | Mid against direction |
| Compression | Expansion aligns with trade | Expansion aligns with short | Box unresolved |
| Time of Day | First hour favors bull GG | Bear can persist later | Late bullish trigger = weak |
Named setup active, trigger present, HTF aligned, clear invalidation, nearby target with good R:R. Win or loss — process was excellent.
Valid setup but size smaller, demand better entry. Solid trade with minor deviations.
R:R below 1:2, emotional exit, incomplete checklist, or entry timing off. Observe/paper only.
No named setup, chop around PDC/VWAP, conflicting ribbon/PO, invalidation too wide. DO NOTHING.
Structure protects you from yourself. The process is non-negotiable.
ES/SPX overnight and pre-market markup. Quant Data (SPX + Tech). Broker prep. Mark ATR grid. Note PDC, gap, VWAP, key levels.
Identify potential setups. Pre-market or open trades only if setup is exceptionally clear. No guessing — wait for structure.
Record OR High and OR Low. This is the ORB reference for the day. No trades before this unless setup is undeniable.
Trade clear playbook setups only. Be patient. Let the setup come to you. No setups = no trades. First hour is highest-probability window for GG setups.
Hard stop. No exceptions. Trading in this window is an automatic hard rule violation regardless of "how good" the setup looks.
Clear playbook setups only. Primary focus: 1-min EOD Divergence and continuation setups. Time decay is real — size accordingly on 0DTE.
Review every trade. Grade the process. Log to Notion. What did the setup look like? Did you follow the rules? What would you do differently?
These cap your grade automatically. Break them and it doesn't matter what the chart looked like.
No single trade justifies more than $1,000 of maximum risk. Period. Oversizing is the fastest way to blow up a good system.
Adding to a loser is not position management — it's denial. The setup was wrong. Honor the stop and move on.
No setup name = no trade. Trading on "feel" or an unnamed thesis is a hard rule violation regardless of outcome.
If the entry was supposed to be at the ribbon and you bought 20 points above it because it was "moving fast," that's a chase. Wait for the level.
The most reliable setups appear after the break. Trading in the dead zone gives back gains, ruins focus, and costs psychological capital.
Missing thesis, stop, or sizing = incomplete checklist. You're not ready to trade. Six questions must be answered before entry.
If the risk/reward doesn't support the trade, don't take it. An R:R below 1:2 means the math doesn't work regardless of how good the setup looks.
Every single trade must answer all six before the entry button is touched.