How To Spot Market Reversals
Successful Traders Know How to Spot Market Reversals
On Tuesday June 29 I made a video about market reversals and how to spot them. Successful Emini traders (and Micro-Emini traders) know that market reversals reveal low-risk entry points and also where to exit an existing trade. How to spot market reversals is a question I get asked by Emini traders who are interested in enrolling in my emini trading course and existing students who want to know more about finding a reversal in order to establish a point of a high probability, low-risk trade.
In order to find a market reversal basically what needs to be understood is that a market reversal reverses a trend. In the case of intraday trading, we are talking about a short-term trend of course. A reversal has to reverse something and that’s why we want to find an existing trend. Trends are often not easy to recognize as their forming but are easily seen in hindsight.
In this video, I chose a three minute chart because three minutes is a fairly good timeframe to see what buyers and sellers are doing over a reasonable period of time. One minute I think is a little too small a time period to tell where the trend is, as the market vacillates up and down.
Market trends and their ability to provide information on low risk, high probability entries and exits result in more consistently profitable trades. The ability to spot market trends and act on the information is a highly important skill that profitable traders Emini traders have in common.
If you are a beginner or novice Emini trader, you should check out my course “Trading Mastery for Financial Freedom” to learn how to spot market trends and how to profit from this valuable information.