THE AURABOT METHOD

Direction, Location & Execution

AuraBot separates a trade into three questions, which side is the auction on, where is price relative to the levels that matter, and do conditions permit an entry right now, and reconciles the answers into one live decision state per instrument.

Why three layers instead of one signal

Most losing trades on NQ and Gold are not wrong about everything. They are right about direction and wrong about timing, or right about the level and wrong about direction. A single indicator that outputs "buy" hides which part failed.

AuraBot keeps the questions apart. Each layer is owned by a separate TradingView engine, and the shared Aura backend only changes execution permission when the layers agree and the auction has produced evidence.

The three layers and the engine that owns each

Direction — SKELETON

SKELETON reads the auction state: structure, displacement, acceptance versus rejection, and the current market story, meaning which side is in control and whether the structure supporting that story is intact or failing.

Location — Anchor Rails

Anchor Rails maps where price is: session highs and lows, prior-day high, low and close, the overnight range, destinations and sweeps. It answers whether price is at a place where a decision is worth making.

Execution — Black Book

Black Book handles execution context and cues. Its job is execution permission: given direction and location, do current conditions actually allow an entry.

How the layers reconcile into one state

The three engines feed a shared Aura backend. It does not average them or vote. It reconciles them into a single live state per instrument, and the state only advances when the next layer provides its evidence.

  1. WAIT — no location of interest is in play, or direction is unclear.
  2. WATCH — Anchor Rails has price at or approaching a level that matters. Direction is being evaluated; execution is not permitted.
  3. ARMED — SKELETON has read a change in the auction at that location, such as rejection with displacement or acceptance after a sweep. A scenario is now defined, with a direction and an invalidation.
  4. ACTIVE — Black Book confirms execution context. Conditions permit an entry. This is the only state where execution permission is on.
  5. MANAGING — the scenario is live and being tracked against its destination and its invalidation as structure evolves.
  6. COMPLETE / INVALIDATED — the scenario either reached its destination or the evidence that justified it was broken. The state resets and the cycle begins again.

The order matters. Location before direction is trusted, direction before execution is permitted, and the state moves backward as readily as forward when evidence changes.

Doctrine

Knowing the destination is not the same as knowing the entry. A level being approached, touched or swept does not mean reverse. Aura waits for acceptance or rejection, displacement and structure before execution permission changes, and the trader remains responsible for the execution itself.

A worked NQ example through the states

Assume NQ built a tight overnight range with the prior-day high a short distance above the overnight high. This is one way a session might move through the states. It is a scenario, not a prediction.

Pre-open: WAIT

Before 9:30 ET the #daily-market-brief has framed the levels. Anchor Rails has the overnight range and PDH mapped. SKELETON reads the overnight structure as balanced. No location is in play. The NQ state is WAIT.

9:30 to 9:45 ET: WATCH

The open drives price through the overnight high toward PDH. Anchor Rails records the sweep and flags PDH as the next destination. The state moves to WATCH and the live message in #nq-intelligence updates. Nothing here says short. The sweep is information.

Around 10:00 ET: ARMED or reset

Price spikes through PDH and within a few bars closes back below with downside displacement. Lower-timeframe structure fails. SKELETON reads rejection. A scenario is defined: short bias, destination back toward the overnight range, invalidation on acceptance above PDH. The state moves to ARMED.

Had price pushed through PDH, pulled back and held above it, SKELETON would have read acceptance, the reversal would never have armed, and the state would return to WATCH with a different story. Same level, opposite meaning.

ACTIVE

Black Book evaluates the execution context around the rejection. When conditions permit an entry, the state moves to ACTIVE and a notification goes out, because execution permission has changed. The trader decides whether and how to execute.

MANAGING to COMPLETE or INVALIDATED

As price works lower, the state moves to MANAGING. Anchor Rails tracks progress toward the destination; SKELETON keeps reading structure. If price reaches the overnight range, the scenario is COMPLETE. If price reclaims PDH and holds, the evidence is gone and the state is INVALIDATED. Either outcome resets NQ to WAIT, and the session is stored for review.

Notice what never happened: no alert on the first touch of PDH, no claim that the level "would" hold, no trade placed. The method reads, maps, evaluates and reconciles, then hands you one honest state and the reasoning behind it.

Questions

Can the state skip from WATCH straight to ACTIVE?

No. A scenario has to be ARMED by SKELETON before Black Book can confirm execution context.

Does ACTIVE mean AuraBot has entered a trade?

No. ACTIVE means execution permission is on according to the three engines. AuraBot does not place orders. You execute on your own broker or funded-account platform, and you decide size, entry and risk.

What happens if the engines disagree?

The state does not advance. Disagreement is itself information, and the backend treats it as a reason to keep permission off rather than force a decision.