11:00 to 11:30 reversal usually so dependable was not today
11:15 – 11:30 EST. This reversal time tends to accomplish two very important things. Firstly, it tends to halt the prevailing trend preceding it, just like all the other reversal periods. For instance, if the E-mini S&P 500 futures contract is rallying strongly into the 11:15 to 11:30 time zone, chances are its advance will either be abruptly halted or a partial to complete reversal of that advance will ensue. We have further found that the stall or reversal that this time zone puts in tends to be enduring in nature.
In other words, tops or bottoms made between 11:15 and 11:30 have a tendency to remain in place for several hours. The second thing this reversal time accomplishes is the kick off of the period we commonly refer to as the mid-day doldrums. The mid-day doldrums is an elongated period that spans from 11:15 to 2:15. It represents the most troublesome period for micro-traders because during this extended time zone, many stocks, as well as the market as a whole, often go into a major lull. Follow-through during the doldrums is usually sparse at best and absent at worst, resulting in a higher than normal failure rate in all micro-trades. If there is one period during which we wish we could force traders to take a departure from the markets, it is the mid-day doldrums period. All our traders are encouraged to take a break or at least to trade very lightly during this time.
This article originally appeared in Traders' Magazine www.traders-mag.com. and you can find lots of additional information in Toni Turners books.
