Just my reversal setup at S/R if it yields a minimum of 2 pt. I just want to keep tallying to see if there is some hotzone for them. These are all bogus hindsights... I took only one trade today.
I see what you mean with the 9:24(10:24ET) reversals. I used to follow these time of day reversals more closely and for quite awhile it would occur at approx. 9:10CT.
Traditionally they explained that there are 2 reversal times after the emotional opening. First one at around 10 am or 9:00 CT after the retail buying/selling chased after the price inflated/deflated by the market makers (pump the futures and force people to buy the stocks). The second one is at around 10:30 am or 9:30 CT when the amateurs get stopped out and the market makers will take profits on what they bought from the mass or replenish their inventory at lower price.
I just want to put out a warning that the time of day bias does not "have to" happen. I think I would probably lose money if I try to anticipate them. I would rather trade what I see and not what I think during the hotzones.
I'm not so sure it is amatuers buying. Amatuers buy the top to sell at the bottom. However the 10:30 reversal is often times buying near the bottom and selling up higher. Here's an interesting chart. Since the year started, if you went long at 10:30 on the YM and closed out the trade MOC, every day was profitable. Offcourse, now that this has been posted to a public forum the pattern will change from tomorrow.
1-12-2006 reversal (2 pts) review : S for setup; T for trend 10:35 S 10:58 11:30 11:51 S T 3:39 3:46 S Tally: #days = 2 Time #Reversals #Setups #Trends 10:00 1 1 0 10:30 2 1 0 11:00 2 1 0 11:30 1 0 0 11:45 2 2 1 1:00 1 0 0 1:15 1 1 1 3:45 2 1 0
I bucketed the last 2 reversals into the same 3:45 zone. I just try to put things into the closest bucket... There was a 10 am reversal which yielded 1 pt profit but I will only record reversals that yielded 2 pt profit after the bid-ask spreads.