Glossary
Second leg (M and W)
A stop hunt in two pushes. A first leg goes through the level, price pulls back, then a second leg goes further and takes the stops the first leg left. Off a high it draws an M; off a low, a W. The bot's main setup, the Signature Trade, is built on it.
Why two pushes
The first leg takes the obvious stops and pulls in breakout traders. Their stops then sit just past the first leg. The pullback makes the first leg look like a high (or a low) that held; the second leg goes through it, takes those stops too, and fails. The close back under the first leg is the moment the second leg is shown to have failed.
How far the second leg goes
Measured where an M or W held, the second leg runs only a little past the first: a median of 6.1 to 10.7 pips on the majors. The bot's stop is far wider than that, one average daily range beyond the extreme.
| Market | Second leg, median | 75th percentile | 90th percentile |
|---|---|---|---|
| EURUSD | 8.3 | 14.3 | 22 |
| GBPUSD | 10.7 | 19.1 | 31 |
| USDJPY | 10.5 | 20.1 | 35 |
| USDCHF | 7.1 | 13.4 | 23 |
| AUDUSD | 7.1 | 12.8 | 20 |
| USDCAD | 9.3 | 16.6 | 27 |
| NZDUSD | 6.1 | 10.6 | 19 |
| XAUUSD | 3.9 | 7.2 | 13 |
What the bot needs
- A first leg beyond the Asian range in London or New York.
- A pullback from it.
- A second leg that makes a new extreme past the first.
- Then the first 15-minute candle that closes back past the first leg: the close back, and the entry.
Without the first leg it is a plain stop hunt: the check "Second-leg stop hunt" is then marked as not passed.
In the record: EURUSD buy, 7 October 2026, USDCHF sell, 14 October 2026, GBPUSD buy, 14 October 2026, EURUSD buy, 22 October 2026, GBPUSD buy, 22 October 2026.
Questions
Is the M pattern a double top?
It looks like one. The difference is what the second top does: in a double top the two highs are about level; in a second-leg stop hunt the second goes past the first, taking the stops above it, before failing.
Which is the M and which is the W?
An M forms off a high and leads to a sell; a W forms off a low and leads to a buy. The bot draws both the same way.