Happy New Year and we’re off, off to the first trading day of the year.
At 9am (Chicago time) we had a nice little professional Gathering Pattern. It also came with a very high Volume Momentum reading (Exhaustion). This showed the Professionals’ appetite to buy everything offered, getting ready for a nice little breakout trend move.
Remember, we’re trying to trade from Exhaustion volume to Exhaustion volume.
Getting in after a Bullish divergence pattern (for a Long trade) and then getting out on the way up, near an Exhaustion buy signal. Pick your entry based on Professional bars (in this case a Gathering Pattern) and breaks of Resistance. Then set your target close to where the move goes into blow-off mode and signals Exhaustion.
Good luck with your Emini trading.
