Skip to content
Signal Pilot
Updated 2025-10-31 10 min read

Quick Start - Getting Your First Signal in 5 Minutes

⚠️ EDUCATIONAL GUIDE

This quick start guide is for educational purposes only. This is NOT investment or trading advice. All examples are hypothetical and illustrative.

The path from zero to first potential reversal signal in 5 minutes. Pentarch v1.0 will be used - the simplest and most impactful indicator in the suite.

🎯 What You'll Learn

By the end of this guide:

  1. ✅ Install Pentarch on TradingView
  2. ✅ Understand the 5 signal types
  3. ✅ Set up your first alert
  4. ✅ Know how to use the signals

Time required: 5 minutes
Difficulty: Beginner-friendly

Step 1: Install Pentarch (1 minute) Beginner Friendly

On TradingView:

  1. Open any chart (Bitcoin, stocks, forex - any market works)
  2. Click "Indicators" at the top of the chart
  3. Search for: "Pentarch v1.0" or "Signal Pilot"
  4. Click the indicator to add it to your chart

You'll now see: - 5-phase system labels (TD, IGN, WRN, CAP, BDN) appearing on the chart - Colored dots below/above candles when signals fire

Step 2: Learn the 5 Signals (2 minutes) Beginner Friendly

Pentarch displays 5 simple signals that appear when specific technical conditions are detected. Each signal represents a different phase in the market cycle.

The Early-Cycle Signals

🔵 TD (Touchdown) = Early Warning
What the indicator shows: Early-cycle reversal conditions detected
Common trader interpretation: Often viewed as preparation phase; potential setups that many traders watch for

🟢 IGN (Ignition) = Momentum Breakout
What the indicator shows: Momentum breakout conditions detected
Common trader interpretation: Commonly interpreted as potential long entry signal; often used as bullish reversal indication

The Late-Cycle Signals

🟡 WRN (Warning) = Weakening Momentum
What the indicator shows: Weakening momentum conditions detected
Common trader interpretation: Often triggers risk management review; potential exits that many traders prepare for

🔴 CAP (Climax) = Late-Cycle Exhaustion
What the indicator shows: Late-cycle exhaustion conditions detected
Common trader interpretation: Commonly interpreted as potential exit signal for longs; often used as reversal preparation

⚫ BDN (Breakdown) = Bearish Breakdown
What the indicator shows: Bearish breakdown conditions detected
Common trader interpretation: Often triggers long position exits; commonly interpreted as potential short entry signal

✅ Knowledge Check

Question: Which Pentarch signals are considered "Early-Cycle" and suggest potential entry opportunities for long positions?

Step 3: Set Up Your First Alert (1 minute) Beginner Friendly

Set up an alert for IGN (potential long entry signal):

  1. Right-click the chart → "Add Alert"
  2. Condition: Select "Pentarch v1.0"
  3. Event: Choose "IGN Event"
  4. Options: Set "Once Per Bar Close" (important!)
  5. Name it: "Pentarch IGN - Potential Long Entry Signal"
  6. Click "Create"

Complete! You'll receive a notification every time a potential reversal up is indicated.

Commonly Monitored Alerts:

  • ✅ IGN Event (potential long entry signal)
  • ✅ CAP Event (potential long exit signal)
  • ✅ BDN Event (potential short entry signal)

✅ Knowledge Check

Question: What is the most critical TradingView alert setting for Pentarch?

Step 4: Example Trade Illustration (1 minute)

Example showing common Pentarch signal interpretation:

Example: Bitcoin Long Trade Scenario

The Setup: 

Price: $35,000, falling for 2 weeks

The Signals: 1. TD appears at $32,500 🔵 - Signal interpretation: "Early-cycle conditions developing" - Common response: Observation phase begins, no entry yet

  1. IGN fires at $33,800 🟢
  2. Signal interpretation: "Potential reversal up indicated"
  3. Example observation: Some traders might consider this signal around $33,900
  4. Example risk management: Many traders study placement below recent low at $32,000

The Trade Progression: 3. WRN appears at $41,500 🟡 - Signal interpretation: "Late-cycle warning" - Common response: Exit preparation and monitoring

  1. CAP fires at $42,800 🔴
  2. Signal interpretation: "Potential exit signal"
  3. Example observation: Some traders might consider this exhaustion signal around $42,500

Result: $8,600 gain per coin (25% gain)

📋 Quick Reference Cheat Sheet

Signal Color Meaning Common Interpretation
TD 🔵 Blue Early-cycle warning Observation phase - preparation only
IGN 🟢 Green Momentum breakout Potential long entry signal
WRN 🟡 Yellow Weakening momentum Exit preparation monitoring
CAP 🔴 Red Late-cycle exhaustion Potential long exit signal
BDN ⚫ Black Bearish breakdown Exhaustion for longs / potential bearish signal

🚫 Common Mistakes

Mistake #1: Entering on TD (Blue Signal)

❌ Common Error: "TD appeared, buying now!" ✅ Better Approach: "TD appeared, watching for IGN signal"

Why: TD indicates early-cycle conditions, not entry. IGN typically provides momentum breakout confirmation.

Mistake #2: Not Using "Once Per Bar Close" for Alerts

⚠️ Important Setup Consideration

❌ Common Error: Alert fires mid-bar, entry occurs, signal disappears ✅ Better Approach: Alert set to "Once Per Bar Close", only closed-bar signals trigger notifications

How to fix this:

  • Delete incorrect alerts
  • Create new ones with "Once Per Bar Close"
  • Review the Alert Setup Guide

Mistake #3: Trading Without Stop Losses

🚨 Risk Management Consideration

❌ Common Error: "Will watch and exit if it goes against me" ✅ Better Approach: Determine your stop loss before entry

Common stop placement patterns: - Longs: Below IGN candle low or below TD low - Shorts: Above BDN candle high or above CAP high

Note: Trading without predetermined stop levels is generally considered high-risk.

Mistake #4: Ignoring Key Levels

❌ Lower Quality: Evaluate all IGN signals regardless of level context
✅ Higher Quality: Focus on IGN signals at key levels

Why:

  • IGN at support often shows higher probability
  • IGN without level confluence typically shows lower probability
  • Identify key levels using Janus Atlas

Example: - ❌ IGN appears at $50,000 (no level) → Lower probability - ✅ IGN appears at major support $48,500 → Higher confluence

Mistake #5: Using Too Low Timeframe Initially

❌ Wrong: Start on 5m or 15m as a beginner
✅ Right: Start with daily or 4H charts

Why: - Lower timeframes = more noise - More signals = harder to learn which are good - Higher timeframes = clearer, higher quality signals

Beginner progression: 1. Start: Daily chart (cleanest) 2. Then: 4H chart (still clean) 3. Then: 1H chart (moderate) 4. Finally: 15m-30m (only when experienced)

Mistake #6: Revenge Trading After a Loss

❌ Common Pattern: Signal failed, immediately take the next signal to "make it back"
✅ Better Approach: Take a break after losses, review what occurred

Why: - Emotional trading is associated with poor decisions - Not all signals result in profitable trades - Clear mindset is important for analysis

Common practice: Many traders pause after 2 losing trades to reassess.

Mistake #7: Risking Too Much Per Trade

❌ Higher Risk: 10-20% of account can be risked on one trade ✅ Standard Practice: Risk of 1-2% per trade

Hypothetical Example (for education only): - $10,000 hypothetical account - Risk 2% = $200 maximum risk per trade (example) - Hypothetical entry: $50, Stop: $48, Risk per share: $2 - Example position: $200 / $2 = 100 shares maximum

Educational Context: Position sizing within 1-2% is commonly illustrated in risk management education. This is an example for educational purposes only.

Mistake #8: Expecting 100% Win Rate

❌ Wrong: "This signal should work every time!" ✅ Right: "Profitability depends on risk management and discipline, not perfection"

Reality: - No indicator is perfect - Even modest success rates can be profitable with good risk/reward management - Profitable trading = (win rate × average win) - (loss rate × average loss) - Example: 50% success + 3:1 risk/reward = profitable over time

Mindset: Process can be focused on, not individual trade outcomes.

Mistake #9: Not Paper Trading First

💡 Important for Beginners

❌ Higher Risk: Read the guide, immediately start live trading with real money
✅ Lower Risk: Paper trade for 2-4 weeks until you get consistent results

Common paper trading checklist:

  • ☐ Execute 20+ paper trades
  • ☐ Track win rate and risk/reward (R/R)
  • ☐ Maintain rule consistency
  • ☐ Analyze winning and losing trades
  • ☐ Achieve profitability over 2-4 weeks

Progression: Many traders start live with minimum position sizes after paper trading success.

Mistake #10: Overcomplicating with Too Many Indicators

❌ Common Error: Load all 7 Signal Pilot indicators + 10 other indicators on one chart
✅ Simpler Approach: Start with Pentarch, gradually add Janus

Why:

  • More indicators can lead to analysis paralysis
  • Conflicting signals create confusion
  • Simplicity often provides clarity

Common progression for beginners:

  • Week 1-4: Pentarch only
  • Week 5-8: Pentarch + Janus Atlas
  • Week 9+: Consider adding one more if needed (Volume Oracle or Harmonic)

✅ What's Next?

Master Pentarch:

Add Levels:

  • Janus Atlas Guide - Identify key price levels

    Why: Pentarch shows timing, Janus shows levels

Complete System:

💡 Common Best Practices

1. Bar Close Evaluation

  • Signals appear during the bar but only finalize at close
  • "Once Per Bar Close" alerts help avoid repaints

2. Level Confluence

  • IGN at a key support level often shows higher probability
  • Key price levels Identify by Janus Atlas

3. Stop Loss Planning

  • Common stop for longs: Below the TD/IGN candle low
  • Trading without predetermined stops is generally considered high-risk

4. Timeframe Selection

  • Daily chart typically shows cleaner signals with less noise
  • Many traders start with higher timeframes, then progress to lower ones

5. Single Market Focus

  • Learning one market (e.g., Bitcoin or one stock) before expanding is common
  • Each market has different behavioral characteristics
Reflection Check

Before moving on to more advanced topics, ask yourself:

  • Can I identify all 5 Pentarch signals on my chart? (TD, IGN, WRN, CAP, BDN)
  • Did my first alert fire successfully with "Once Per Bar Close" setting?
  • Do I understand the difference between Early-Cycle (TD, IGN) and Late-Cycle (CAP, BDN) signals?
  • Have I observed at least 10 signals on my chosen market's chart?

If yes to all 4: You're ready for the Trading Workflow Guide to learn multi-indicator combinations
If no to any: Review the relevant section above or ask the chatbot (bottom right corner)

What You've Learned
  • Five Pentarch Cycle Signals: TD (Touchdown - early accumulation), IGN (Ignition - early markup), WRN (Warning - late distribution alert), CAP (Capitulation - exhaustion climax), BDN (Breakdown - decline confirmation) - each representing specific cycle phase
  • Early vs Late Cycle Distinction: Early-Cycle signals (TD green, IGN blue) appear during accumulation and initial markup phases - Late-Cycle signals (WRN yellow, CAP orange, BDN red) appear during distribution, exhaustion, and decline phases
  • Signal Interpretation Framework: TD = potential accumulation at oversold levels, IGN = momentum building (consider long entries), WRN = distribution warning (tighten stops), CAP = exhaustion extreme (consider exits), BDN = decline confirmed (avoid new longs)
  • Installation Process: Search "Pentarch" in TradingView Indicators (locked icon indicates invite-only access), add to chart, signals appear as colored labels on price bars, default settings work for most users
  • Alert Configuration: Set TradingView alert on Pentarch indicator using "Once Per Bar Close" frequency (prevents mid-bar false signals) and "Any alert() function call" condition (captures all 5 signal types in one alert)
  • Common Patterns Recognition: TD often appears at support levels, IGN follows TD after basing, WRN appears near resistance, CAP marks potential tops/bottoms, BDN confirms downtrend continuation - confluence with levels increases probability
  • 5-Minute Learning Goal: By end of guide, can identify all 5 Pentarch signals by color/name, understand early vs late cycle distinction, know how to install and configure alerts, ready for advanced workflow learning

Next Steps: Master Pentarch basics? Review Trading Workflow Guide to combine with Janus Atlas levels, or start 7-Day Onboarding Checklist for structured practice.

🆘 Need Help?

Common Questions:

  • "Signals appearing then disappearing?" → Alerts set to "Once Per Bar Close" can help
  • "Too many signals?" → Higher timeframes (4H, Daily) often show fewer, clearer signals
  • "Not enough signals?" → Indicator version (v1.0) Verify

Resources:

  • FAQ - Common questions answered
  • Glossary - Terms and definitions
  • Support - Help from the team

🎉 What Has Been Learned:

  • ✅ How Pentarch signals can be installed and read
  • ✅ How alerts Set up
  • ✅ Common signal interpretation patterns
  • ✅ Risk management concepts

Next: The full Pentarch guide for deeper understanding can be explored.

More Indicators Can Be Explored

Pentarch is just one of 7 professional indicators in the suite.

All 7 Indicators Can Be Explored →