The System That Changed Everything

By Indy Karveli in News — 19 Jan 2026

I'm going to share something most traders never share—my actual edge.

Not theory. Not backtests. Not some course I'm trying to sell you. This is the exact framework I use every single day to trade crypto for a living. My family depends on this income. That reality keeps me disciplined in ways no mentor ever could.

A few years ago, I consumed everything I could find from traders who actually made money. Kristjan Qullamaggie. Pradeep Bonde. Mark Minervini. SMB Capital. What separated them wasn't some secret indicator—it was their willingness to share specific processes that worked.

I'm paying that forward.

If this helps one person avoid the years of noise I waded through, it's worth it. If you take this and do nothing with it, that's fine too. Edge isn't in the knowing—it's in the execution.

The Core Setup: 20 EMA Band with Multi-Timeframe Alignment

My entire approach boils down to one principle: trade pullbacks to the 20 EMA band when multiple timeframes agree on direction.

That's it. No 47 indicators. No neural networks. No galaxy-brain divergence plays.

Here's what I actually look at:

The Moving Averages

20 EMA (High/Low/Close) — My trigger zone. This creates a band that defines where I enter. Bounces off the 20 low for longs, rejections at the 20 high for shorts. The 20 close acts as the midline.
200 EMA — The big picture. This tells me if I'm trading with institutional flow or against it.

When price respects the 20 band and we're on the right side of the 200 across multiple timeframes? That's when I size up.

Multi-Timeframe Analysis: Top Down

This is where most traders get it wrong. They find a setup on one timeframe and force the trade. I work the opposite way—top down.

Daily Chart — The Boss

I start here. What's the dominant trend? Is price above or below the 200 EMA? Is it respecting the 20 band? The daily chart tells me which direction I'm allowed to trade. If the daily is a mess, I don't trade. Period.

4H Chart — The Filter

Once daily direction is clear, I drop to the 4H. Is the 4H trend aligned with the daily? Is price pulling back to the 20 band on this timeframe? The 4H confirms whether the daily trend is still active or if we're in a deeper correction. If 4H and daily disagree, I wait.

1H Chart — The Trigger

This is where I time my entries. Once daily and 4H are aligned, I watch the 1H for price to enter the 20 EMA band. This gives me precision without fighting the bigger picture.

The Rule: Higher timeframes have veto power. A perfect 1H setup means nothing if the 4H is chopping sideways or the daily is in a downtrend.

The Setup Criteria

I only take trades when:

Daily trend is clear — Price action respects the 20/200 structure
4H trend aligns with daily — No divergence between timeframes
Price pulls back to the 20 EMA band — On the 4H or 1H, depending on the move
Structure exists for a logical stop — I need a swing high or low to place my stop beyond. If I can't define where I'm wrong, I don't trade.
Volume confirms — Ideally 1.5x average on the entry bar. Conviction matters.

When all boxes check across timeframes? That's an A+ setup. I size accordingly.

How I Use the 20 and 200 EMAs

Look at any chart I trade and you'll see four lines: the 20 high, 20 low, 20 close, and the 200.

The 20 EMA band tells me trend health and entry timing. If price is riding above the band, consistently bouncing off the 20 low, I'm looking for longs only. If it's below and using the 20 high as resistance, I'm short-biased. The band gives me a zone rather than a single line—that's the edge. I'm not trying to nail a perfect touch; I'm waiting for price to enter my zone.

The 200 EMA tells me the dominant trend. Here's what most people miss: when you're above the 200 and pulling back to the 20 band, you're buying in an uptrend. When you're below the 200, even a beautiful 20 EMA bounce is a counter-trend trade. Counter-trend trades require faster exits and smaller size.

Across timeframes, I want to see:

Daily: Above 200, respecting 20 band
4H: Above 200, pulling back to 20 band
1H: Entering the 20 band for entry timing

That alignment is rare. That's the point.

Position Sizing: The Real Edge

Here's what nobody talks about: I don't risk the same amount on every trade.

A+ Setup (everything aligned):

All timeframes agree
Above 200 EMA on daily and 4H
Clean 20 EMA band entry
Perfect structure for stops
Risk: Up to $1,000-$1,500

A Setup (good but not perfect):

Daily and 4H aligned
20 EMA setup present
Stop placement adequate
Risk: $500-$700

B Setup (acceptable):

Trend present but one timeframe choppy
Setup exists but not textbook
Risk: $300-$500 or skip entirely

Most of my gains come from 2-3 A+ setups per week where I size up with conviction. The B trades mostly just pay for my A trade losses.

The Exit Framework

Entry is maybe 20% of the game. Exits determine whether you're profitable or just active.

My standard exit for trending moves:

25% off at 1R — I need to get paid. This makes the trade "free" psychologically.
25% off at 2R — Real money. This is where the monthly P&L is made.
25% off at 3-4R — Momentum capture. If we're trending, I want this piece.
25% runner — Trail with the 20 EMA or structure. Let winners run.

For choppy conditions:

50% at 1R
50% at 1.5-2R
Get out before the inevitable reversal

Risk Management: Non-Negotiables

This is where most people fail. Not setups—survival.

$500 base risk per trade (0.5%) — Enough to matter, not enough to blow up
Max 3 trades per day — Quality over quantity
Stop after 2 consecutive losses — Step away. Reassess. The market will be there tomorrow.
Hard stop at +$1,500 profit or -$1,000 loss — Know your limits in both directions

The math is simple: I can be wrong 60% of the time and still be profitable if my winners are 2-3x my losers. But I cannot survive ignoring my stops.

What I Track

Every trade gets logged:

Entry/exit prices
Stop placement
Position size and leverage used
Setup quality grade (A+, A, B)
Timeframe alignment notes
What I was thinking
What actually happened

Monthly I review:

Win rate by setup quality
Average R-multiple
Largest winner/loser
Consecutive loss streaks
Profit factor

If my A+ setups aren't printing 2:1 profit factor, something is wrong with my execution, not the strategy.

The Honest Truth

This approach works for me because it matches my personality. I'd rather wait for one great trade than take five mediocre ones. I sleep better knowing my stops are at logical levels, not arbitrary dollar amounts. I accept that I'll miss moves waiting for full timeframe alignment.

Will this work for you? Maybe. Probably not without modification.

What I can promise: if you focus on multi-timeframe alignment, logical stops, and proper position sizing, you'll survive long enough to find your own edge.

The 20/200 EMA framework across multiple timeframes isn't magic. It's a filter that keeps me from forcing trades when conditions don't favor my approach.

That's the whole game. Find a setup that makes sense to you. Wait for it. Execute it. Repeat.

What's Next

I'll be posting:

Weekly watchlist updates — What setups I'm watching across timeframes
Trade reviews — Wins and losses, no cherry-picking
Market structure analysis — Where the 200 EMA sits on daily/4H and what it means
Process refinements — What I'm learning and adjusting

If you have questions, ask. If you disagree, tell me why. I'm not here to be right—I'm here to be profitable.

Let's get to work.

Trading involves substantial risk. This is my personal approach, not financial advice. Do your own analysis and never risk more than you can afford to lose.

Why I'm Sharing This