a key when buying breakouts is to: buy right above WHOLE DOLLAR HALF DOLLAR levels.... because this is then when the stock accelerates with upward momentum (when it is breaking out to "new" highs and/or above what would be termed psychological resistance levels (per human nature and whim)).TRADING PSYCHOLOGY (playbook)
• If a stock holds close to the high over a long period of time (3+ days), that weakens its hold (it is more likely to be OVER-EXTENDED and drop in price). <------good for SHORTS
• Imagine if you tried to short a stock against its highs on that FIRST HEAVY VOLUME DAY. Without the stock making a significant push lower, holding those shorts becomes harder and harder. <---------bad for SHORTS (i.e. SHORT-SQUEEZE POTENTIAL)
• On the flip side, if a stock falls away from the highs and stays away, like many of those #biotechs on DAY 1, it will take a lot of buyers (and volume) to break through that resistance area. <------------heavy VOLUME is needed (for a stock to spike) if it is far from its HIGHS
Before you take any trade after 9:45 AM, ask yourself, "how scared would i be if i were a short-seller in this position"?... Put yourself in their shoes to get a sense of what you might expect. -Bohen #TradingPsychology #ImportanceOfVolume #short-squeezes #squeezes
• If a stock holds close to the high over a long period of time (3+ days), that weakens its hold (it is more likely to be OVER-EXTENDED and drop in price). <------good for SHORTS
• Imagine if you tried to short a stock against its highs on that FIRST HEAVY VOLUME DAY. Without the stock making a significant push lower, holding those shorts becomes harder and harder. <---------bad for SHORTS (i.e. SHORT-SQUEEZE POTENTIAL)
• On the flip side, if a stock falls away from the highs and stays away, like many of those #biotechs on DAY 1, it will take a lot of buyers (and volume) to break through that resistance area. <------------heavy VOLUME is needed (for a stock to spike) if it is far from its HIGHS
Before you take any trade after 9:45 AM, ask yourself, "how scared would i be if i were a short-seller in this position"?... Put yourself in their shoes to get a sense of what you might expect. -Bohen #TradingPsychology #ImportanceOfVolume #short-squeezes #squeezes
https://stockstotrade.com/abcd-pattern/ ..........
Min 40 - Min 46:30 --------- Min 48:40 !!!!!!!!!! ------------- www.youtube.com/watch?v=tuKEAiE1z_k .........
Min 5:15 - min 10 ---------- For the afternoon VWAP hold pattern ------ if it is a LOW FLOAT stock , do not hold it overnight.......... DO NOT HOLD LOW-FLOATERS OVERNIGHT -------- www.youtube.com/watch?v=wHD1kgk1G0o ......... #Bohen
--Do not trade the "afternoon VWAP hold" pattern if it breaks support levels at around 2 pm and fades downward.
When the market’s quiet, the safest trades are usually in the afternoon. -Bohen
LATE-DAY VWAP HOLD
Miss the market open? Don’t worry — there are afternoon patterns to trade...
Trade the late-day VWAP hold, [the afternoon version of a Dip and Rip].
To find stocks for this pattern, I use the ‘52-week high’ and ‘VWAP break’ built-in scans on StocksToTrade.
Then, I filter down the list: https://stockstotrade.com/afternoon-trading-tips/?email=saloul10%40gmail.com .........
Some criteria for this pattern [VIDEO FOR MORE DETAILS ------- https://youtu.be/2gw4JwGThOU #Bohen]
- Big premarket move
- High volume
- Hot sector
- News
- Former runner
- 52-week breakout
Stocks closing high on the day [Afternoon VWAP Hold] style, CAN result in a [WEAK OPEN RED TO GREEN] play the next morning. -[Bohen commentary] #worg
Min 4:40 - Min 5:25 ------- THE AFTERNOON VWAP HOLD is always the highest probability DAY 1 setup ---------- www.youtube.com/watch?v=tsyCnjC037k ................ #bohen
Typically happens 2:30 pm - 4 pm (you can still get in after-hours or after market-close).
When a stock stays above VWAP, that can meet trapped short-sellers, and thus a SHORT-SQUEEZE potential... -[Bohen commentary] #short-Squeeze
LOOK FOR STOCKS THAT POP UP on their first day (up 10%), & HOLD NEAR THEIR HIGHS.... AND THEN THE NEXT DAY THEY CONTINUE POPPING UP THROUGHOUT THE DAY (a continuation play)..word.. -[connor pollifrone commentary]
ALWAYS LOOK TO PLAY STOCKS THAT ARE UP HIGH ON THE DAY AND HOLD THEIR GAINS... IF A STOCK GOES UP, THEN IS FADING/CRASHING BY END OF DAY, THE LIKLIHOOD THAT IT'S GOING TO CONTINUE UP AND BREAKTHROUGH IT'S YESTERDAY HIGH IS VERY UNLIKELY. -Connor
RUN A VOLUME SCAN CIRCA THE LAST HOUR OF THE OPEN MARKET:::::::: During the afternoon, consider running a volume scanner between 3 pm - 4 pm. This can allow me to capitalize on stocks closing strong with momentum / short-squeezing in the last hour of the day.
ABCD or Gun Pattern
This pattern usually follows a dip and rip. It’s also rectangular. -- https://stockstotrade.com/dip-and-rip-pattern ...........
The stock breaks high of the day in the morning. The old high of day becomes support, and the new high of day becomes resistance. The stock swoops down near the old high of day but holds it.
This creates a rounding bottom on the chart. The stock holds above the old high throughout the day and starts to creep up into the end-of-day ‘power hour.’ If it breaks above the new high of day, you’ve got a continuation on your hands.
This pattern has only two theoretical points of resistance. The chart itself may not look like a rectangle. But if you draw a horizontal line across the top and across the bottom, you’ll see
Min 10:46 ------ ABCD pattern is basically referenced as a "higher lows, toward a breakout" ------- www.youtube.com/watch?v=gxjIpB0bNzU .......
Yo... STT just released a new indicator called "ABCD" -- which pretty much is an indicator used to identify potential ABCD pattern setups on the chart...... check it out! ------------ https://cfn.stockstotrade.com/14daytriald ........
WHERE TO SET MY STOP LOSS ON THE AFTERNOON BREAKOUT:::::::: Min 46:40 ------ Trading Techniques (Dux DVD) -------- Part 2...............
VWAP -- I want the last price of the stock to be just over VWAP (giving it the best chance to run in the afternoon into the next day, maybe two or three days down the road if it does breakout).. The reason for this is I want strong stocks on the day.. If the stock price is below VWAP then short-sellers are in control making it more difficult for a stock to spike/run. -Matt Monaco
After a big run/SPIKE / a GAP UP on Day 1 (or any day of a stock being in play), you can expect to see some profit-taking and pressure from short-sellers... THIS LEADS To the stock being a watch for a [dip and rip] or a [weak open red-to-green] move the next morning... this pertains to a stock with NEWS, LOW FLOAT, HIGH VOLUME, and HEAVY FLOAT ROTATION. -[Bohen commentary]
TRADING PSYCHOLOGY (playbook)
• If a stock holds close to the high over a long period of time (3+ days), that weakens its hold (it is more likely to be OVER-EXTENDED and drop in price). <------good for SHORTS
• Imagine if you tried to short a stock against its highs on that FIRST HEAVY VOLUME DAY. Without the stock making a significant push lower, holding those shorts becomes harder and harder. <---------bad for SHORTS (i.e. SHORT-SQUEEZE POTENTIAL)
• On the flip side, if a stock falls away from the highs and stays away, like many of those #biotechs on DAY 1, it will take a lot of buyers (and volume) to break through that resistance area. <------------heavy VOLUME is needed (for a stock to spike) if it is far from its HIGHS
Before you take any trade after 9:45 AM, ask yourself, "how scared would i be if i were a short-seller in this position"?... Put yourself in their shoes to get a sense of what you might expect. -Bohen #TradingPsychology #ImportanceOfVolume #short-squeezes #squeezes
• If a stock holds close to the high over a long period of time (3+ days), that weakens its hold (it is more likely to be OVER-EXTENDED and drop in price). <------good for SHORTS
• Imagine if you tried to short a stock against its highs on that FIRST HEAVY VOLUME DAY. Without the stock making a significant push lower, holding those shorts becomes harder and harder. <---------bad for SHORTS (i.e. SHORT-SQUEEZE POTENTIAL)
• On the flip side, if a stock falls away from the highs and stays away, like many of those #biotechs on DAY 1, it will take a lot of buyers (and volume) to break through that resistance area. <------------heavy VOLUME is needed (for a stock to spike) if it is far from its HIGHS
Before you take any trade after 9:45 AM, ask yourself, "how scared would i be if i were a short-seller in this position"?... Put yourself in their shoes to get a sense of what you might expect. -Bohen #TradingPsychology #ImportanceOfVolume #short-squeezes #squeezes
For the [afternoon VWAP hold] pattern, I use the (high of the day) as my STOP LOSS. -Bohen #stopLossA low float stock with news and float rotation is exactly what we like to see for a potentially huge runner. -Bohen #breakouts #runners #supernova
source: http://tradetheticker.blogspot.com/2014/12/a-basic-example-of-spreadsheet-building.html ...
Requirements for AFTERNOON BREAKOUT
- After 2:30 Eastern ["afternoon" breakouts after all, and in my experience, later afternoon is more reliable]
- At least 1 hour of consolidation [The stock needs time to set up for the next leg up. Method: I look at intraday charts to determine this]
- Great trading range [I want to buy afternoon breakouts for stocks that are already up STRONGLY on the day. If the stock is up 10%+ already, that means there is volatility.]
- Much heavier than normal volume [I want a stock that is clearly drawing more interest than usual; look at the daily volume on a one-year chart to get an idea of how today compares]
- No key multiday resistance level close to breakout level [I don't want to buy an afternoon breakout if there's a major resistance level nearby that could stuff it]
True breakouts are confirmed by:
- heavy volume
- new highs or lows in the direction of the trend.
~ A breakout is often marked by a dramatic increase in volume (caused by losers selling/running for the exits].
~ A breakout on low volume SHOWS LITTLE EMOTIONAL COMMITMENT TO A NEW TREND ... IT INDICATES THAT PRICES ARE LIKELY TO RETURN TO THEIR TRADING RANGE..
* A true breakout should not be followed by a pullback into the range .. just as a rocket is not supposed to sink back to its launching pad.
* The best time to buy a breakout on a DAILY CHART is when the WEEKLY CHART suggests that a new uptrend is developing.
FALSE BREAKOUTS tend to have light volume.
Include these in my stats to track
- is the stock a former supernova? does it have a history of spikes and/or breakouts?
- how much did the stock's volume increase during it's past breakouts?
- what time of day was the breakout?
- how many times did the stock test PREVIOUS HIGHS before breaking out?
3:20 pm is a usual time for me to buy.. it gives me 40 minutes to see how the stock closes. -sykes
I will buy stocks closing strong on the day... into the market close! with the anticipation that it will gap up.. i will look to buy strong stocks into the close, with the anticipation they will continue to drive up the next day... -Bohen
When I see mediocre volume, and a 100 million dollar Float, it's always an afternoon idea (for trading it in the afternoon). . . -Bohen
Only if the stock is closing with high volume (end of day) should (you) really hold the stock overnight.. -Mason Fecht
ALWAYS LOOK TO PLAY STOCKS THAT ARE UP HIGH ON THE DAY AND HOLD THEIR GAINS... IF A STOCK GOES UP, THEN IS FADING/CRASHING BY END OF DAY, THE LIKLIHOOD THAT IT'S GOING TO CONTINUE UP AND BREAKTHROUGH IT'S YESTERDAY HIGH IS VERY UNLIKELY. -Connor
Min 5 - Min 9 ------- if the stock is above VWAP into the close, that's your signal to hold ----- VWAP can help you stay in stocks that are steadily uptrending ---- www.youtube.com/watch?v=DeDxNoAu9dI ....
Min 12 -------- the GAP FILL pattern explained (i think this whole video is about the GAP FILL pattern) -------- www.youtube.com/watch?v=Y30E0jsoFjc ........ #SMBCapital
Min 2:29:00 -------- when a stock has prior massive green-candle VOLUME SUPPORT at it's previous support levels, it is a very bullish factor ---- www.stevenduxi.com/trading-techniques-video-course/?_login=20b01b8e4b ........ #Dux #BREAKOUTS #DIPBUYS
One thing i notice is that stocks that close high on the day end up performing well in afterhours / pre-market the next day (and even perform that next day during market hours as well)................. this could just be a pattern that is working currently in the market however..... or it could be something that statistically occurs (based on certain positive catalysts/etc <--- i can review the charts that perform this way by taking note of what such stock tickers' PLAYS2PLAY ratings would be (green-rated? yellow-rated? and what the alphabetical facotrings/variables are that are most consistently associated with such good performancings on stocks clsoing strong into the close on the day)........ #word.............. all things worth tracking when playing the afternoon "VWAP hold" pattern.................
WHEN TO BUY A STOCK END OF DAY --- LATE DAY SQUEEZES
You have support getting higher and higher.... and there's resistance, it's getting a little higher too.... so you have higher highs, higher lows, and a potential for a MONSTER short squeeze... also how many days has it been spiking -- 4 days... so you're going to have buy-ins coming tomorrow and the next day (potentially)... With high volume as well..... This is an explosive situation... [past spikes]... [press releases]...... [risk reward is good]........ [finishing near it's highs]...... You have a lot of indicators, you gotta trust the indicators, they work time and again..... -Sykes
For the [afternoon VWAP hold] pattern, I use the (high of the day) as my STOP LOSS. -bohenA GREAT PDT-RULE STRATEGY.......If you're looking to NOT be in and out the same day, you can look at stocks that are strong on that day going into the close, with the anticipation of holding them overnight and selling them quickly the next day..... it's a solid strategy for the PDT rule because you're don't use a day trade, and you take a quick gains... That's using the New High of the Day filter.... -tim bohen
Friday's--- stocks can spike because the news can spread over the weekend......................Stocks tend to spike on Fridays going into the close......because shorters don't want to have shorts over the weekend....... veteran traders buy the momentum on Fridays..newbies buy on Mondays...it creates a great probability for BUYING STOCKS ON A FRIDAY AFTERNOON AND SELLING THEM ON MONDAY..... stocks are more prone to squeeze as the market is about to close.
Min 8 - Min 12 -------- for weekend plays (on Fridays, and holding over the weekend), look for stocks that will be written about extensively in the media! Hot sector plays with big time media publicity! --------- www.youtube.com/watch?v=b7nFCzt9jgY ............ #news #catalysts #hotsector #sympathyplays #fridays #sykes
STRATEGY:::::::::: I like buying in the afternoon at like 3 pm, and holding overnight, to then sell in the morning... because the stair step pattern is predictable... during the stair-step process, you have morning spikes followed by sidestep action, and you have this going 2 3 4 times... then (on Monday) the stock drops drastically.. so the owners sell their stocks at the top.... these stocks drop very fast, within 1 hour sometimes.. -sykes
Min 54:40 --------- what Grittani tracks usually is always ENTRY POINT(market close if shorting is something you need to track | OR FOR AFTERNOON BREAKOUT (the breakout point is something you must track)... the stock's High and/or Low AFTER the entry point is another thing Grittani usually tracks....... if long, track: how much did it dip after entry? if I'm shorting, track: how much did it spike after? .. also tracking what is the largest draw-down i might have to sit through before that max profit level could be achieved ---------- CHAPTER 3 ------- TRADING TICKERS 2 ----------- https://members.timothysykes.com/lessons/trading-tickers-2-chapter-3 .............
Afternoon breakouts with VWAP involved (when the stock holds VWAP into the afternoon): a B/O like this on a listed stock is incredible.. This pattern is also known as the "ABCD pattern"; referenced in Grittani's Trading Tickers 2 DVD as the afternoon breakout pattern.. Monaco says he usually doesn't swing this pattern as much unless there's some crazy sector momentum [depending on market conditions]......
Min 24 —— great patterns to play end of day — https://m.youtube.com/watch?v=dsd5L5rOPCw ..................
Min 42 - 47 -------- https://www.youtube.com/watch?v=tuKEAiE1z_k ..........
I will buy stocks closing strong on the day... into the market close! with the anticipation that it will gap up.. i will look to buy strong stocks into the close, with the anticipation they will continue to drive up the next day... -Bohen
Min 6 - Min 16 ----------- afternoon breakout example --------- www.youtube.com/watch?v=ZV1QxK6t3Nc ........... #afternoonBreakout #holdOverVWAP
If you're trading an afternoon VWAP hold, wait for the stock to break the high of the day. -Bohen #afternoonVWAPHold
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Enter a stock when it breaks consolidation or previous highs (buy into strength). -Bohen #patterns #plays
Min 23 ----------- 3 pm to 4 pm creates a totally different trade for a stock, as that's when more volume comes in and the stock is culpable to adapt its trend #AfternoonPlays ---------- www.youtube.com/watch?v=Y30E0jsoFjc ............ #SMBCapital #dipbuy
Buying an afternoon breakout is not as good as buying a morning breakout (typically in the morning, it's spiking based on emotional buyers creating momentum); but typically in the afternoon, most people are emotional with the potential short-squeeze happening so there is more hesitancy. For the afternoon breakout i size in a little bit smaller than I do for the morning breakout.. -Dux
WHEN LOOKING TO TRADE THE AFTERNOON VWAP PATTERN, see if these boxes check-off:::::::::::::::::: is the stock:
- a multi-day runner / multi-day breakout
- Holding near its highs
- a Low float
- has Great volume
- is above VWAP during power-hour (2 pm - 4 pm)
Always focus on MULTI-DAY RUNNER stocks... multi-day runners have something these fly-by-night stocks don’t … PROOF! ....
let me tell you a little secret … A stock can run for days but usually fails (only) once!
That’s a big reason why I don’t like the sketchy biotechs that pop on news.
I prefer stocks that show me over a series of days, if not weeks, that they want to move higher.
Many traders struggle to find these stocks for two reasons:
- Multi-day runners have news that dropped before the current trading day
- Traders miss the trend reversal
let me tell you a little secret … A stock can run for days but usually fails (only) once!
That’s a big reason why I don’t like the sketchy biotechs that pop on news.
I prefer stocks that show me over a series of days, if not weeks, that they want to move higher.
Many traders struggle to find these stocks for two reasons:
- Multi-day runners have news that dropped before the current trading day
- Traders miss the trend reversal
^
"25% of afternoon breakouts tracked had a post-breakout low of 0% or higher from the breakout point." Cell C4 is saying "25% of afternoon breakouts tracked had a post-breakout high of 12.42% or higher." One last example, cell D6 is saying "50% of afternoon breakouts tracked closed up 8.1% or higher from the breakout point." -Grittani
QUESTION: What sample size would you consider as statistically significant? >30? Would you recommend generating different simple size per market conditions e.g. bullish, bearish accumulation / distribution markets?
GRITTANI: Yeah it's definitely important to take note of different market conditions, setups will definitely react differently. Statistically significant yeah I would say at the very least 30, enough to start seeing some consistent patterns at least
Min 5:15 - min 10 ---------- For the afternoon VWAP hold pattern ------ if it is a LOW FLOAT stock , do not hold it overnight.......... DO NOT HOLD LOW-FLOATERS OVERNIGHT -------- www.youtube.com/watch?v=wHD1kgk1G0o ......... #Bohen
Do not trade the "afternoon VWAP hold" pattern if it breaks support levels at around 2 pm and fades downward.
include these in my stats to track
- is the stock a former supernova? does it have a history of spikes and/or breakouts?
- how much did the stock's volume increase during it's past breakouts?
- what time of day was the breakout?
- how many times did the stock test PREVIOUS HIGHS before breaking out?
Strategy::: BUYING STOCKS WHEN THEY CLOSE HIGH.. NOT BUYING STOCKS IF THEY CLOSE WEAK...... price action is always paramount. -Tim Sykes
STRATEGY:::::::::::~~~~~~I aim to add ($) to the winning positions into the market close since positive news can have legs overnight.
STRATEGY::::::::::: My strategy in the early days::: BUYING STOCKS WHEN THEY CLOSE HIGH.. NOT BUYING STOCKS IF THEY CLOSE WEAKLY...... price action is always paramount. -Tim Sykes
~~~~~~3:20 pm is a usual time for me to buy.. it gives me 40 minutes to see how the stock closes.......
~~~~~~~I like buying into the market close since i'm betting on a follow-up spike the next day..
When I see mediocre volume, and a 100 million dollar Float, it's always an afternoon idea (for trading it in the afternoon). . . -Bohen
The more volume a stock attracts in the morning, the more liquidity it will lose in the afternoon (when a pattern is involved)... -Dux
Pro tip: don't buy breakouts when $SPY is going down. -ColeStash
A Smaller market cap (under 100M) is better for multi-day breakouts... the higher the market cap is (especially when it reaches 500m+), the more difficult it is for the stock to go up — first 3 mins — https://m.youtube.com/watch?v=9j7GfvSDAXE ......... #Dux
Min 2:29:00 -------- when a stock has prior massive green-candle VOLUME SUPPORT at it's previous support levels, it is a very bullish factor ---- www.stevenduxi.com/trading-techniques-video-course/?_login=20b01b8e4b ........ #Dux #BREAKOUTS #DIPBUYS
If you see a stock close high (in the afternoon) on it's first or second or third day, after a bearish morning panic holding support, it's likely to gap up the next day. -Dux
Min 32 ------- Grittani's patience with BREAKOUTS is usually TWO DAYS | he has NO PATIENCE when his risk is breached ---------- www.youtube.com/watch?v=LcH2C5YgCQE .......... #grittani #BREAKOUTS
Min 5:45 ------- Min 47 --------- stocks that have news released on Friday are great for you to buy and hold over the weekend, and sell into the spike on Monday (buy on Day 1, sell on Day 2 when it spikes again) ------ www.youtube.com/watch?v=CEKAxRfYGCE ....... #sykes
The GAP FILL INTO CLOSE pattern doesn't happen that often... THE CRITERIA FOR THIS PATTERN is only two things (if any one of the criteria is missing, successful odds for the pattern goes down dramatically):
[1] the stock gaps up (over 100%) hugely in the morning [even if it did nothing for 1 whole year prior; even if it traded very little volume over the past two years]
[2] the stock fills it's own gap at the market close (akin to Bohen's "AFTERNOON VWAP HOLD" pattern he harps about holding overnight)
**for this particular pattern, the stock DOES NOT need to be low float and does not need to have a low market cap.
***the higher the volume the better.... Any volume that is 800k+, the stock is considered to have decent volume on the day.
Typically for a gap-fill, your entry is supposed to be END OF THE DAY or in the AFTER-HOURS... -Dux
Take your profits ON THE SECOND GREEN DAY's morning spike..... or by also looking at the history of the stock -- otherwise use your maximum avg gain to take your profits... -Dux
GAP FILL (into) CLOSE happens 2:30 pm - 4 pm (you can still get in after-hours or after market-close) ---------- starts at Min 1:34:40 in "Part 2" of Trading Techniques DVD.... Min 1:42:50 of "Part 2 ORIGINAL" vid... TRACKING STATS: Min 47:10 AND Min 1:06:45 AND Min 2:43:00 of "Part 4" of vid...
Holding stocks over night is what you kind of have to do if you're under the PDT (as a part-time trader).......... -Tim Bohen
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I'm telling you, if you're part time and new trader, focus on the afternoon!............... -Tim Bohen
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I'im tellin' ya............. you don't need to trade early........ you don't need to trade middle of the day................ focus on late-day setups.................. (it is helpful if the stock has news | volume | or at a 52-week high)........... -Tim Bohen
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A hot sector | high volume (above the 60-day volume average) | the stock is holding above VWAP at 3 pm ============ a solid swing trade
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QUESTION: is it best to use VWAP after 2 pm........ advice being, for small accounts
ANSWER: i LOVE 2 pm, VWAP-hold, high of day breakouts............... you give me a big gainer, that's above VWAP, on unusual volume, ideally with news, that's potentially a low float stock breaking to high of day after 2 pm ======== that is one of the most BREAD AND BUTTER setups........... -Tim Bohen
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When the market’s quiet, the safest trades are usually in the afternoon. -Tim Bohen
How to play afternoon plays --------- RULES FOR TRADING THE LAST HOUR/CLOSE! --------- www.youtube.com/watch?v=Xkg9PhydvuU ............ [For the most part I don't trade the last hour. Most of the time, patterns and setups are weaker and I'm usually kind of mentally tired scalping all day. The combination of weaker setups and slower price movement when I'm not at my sharpest leads to more mistakes for me later. The exception like you said is one of those big down days that I love. Get that bounce and look for it to crater down into the close. I'll stick around the last hour those type of days]