Rule of Thumb: Continuation Days

Friday was a big reversal day – downtrend into uptrend. So the likelihood was that we were always going to get some continuation, or follow through, the next trading day, Monday. In fact the strength started from the Sunday evening Open and resulted in a gap up Open in the Emini on Monday morning.

You can expect the uptrend to continue until you get Exhaustion buy signals on Better Momentum. And I always look for these signals to occur “during the full liquidity of the day”. That is, during the day session when there is maximum volume available to large players to take profits.

Click here to view the Rule of Thumb video on the website.

Good luck with your Emini trading this week.