Two Emini trades – one from Thursday and one from Friday. Both were Long trades. One set up from a new Low for the day. The other set up from a new High for the day. And as usual, I took profits too early on both.
Thursday’s trade set up from a “Clean out” move. The Professionals had already bought in – they just needed to freak everyone out and get them Short at the structurally important 3,000 level. The energy for the uptrend move then comes from traders forced to cover and reverse.
Friday’s trade set up from a Professional “Gathering” pattern – buying new Highs for the day and in expectation of the Emini going much higher. The launch into fresh new territory forces longer term traders with Short positions to cover when their stops get hit above 3,010 – cascading up.
Click here to view the Clean Out and Gathering trades on the website.
Good luck with your Emini next week.