Whatever market you’re looking at: E-mini, NASDAQ, currencies, etc., each exhibits general patterns of activity throughout the day. You will notice there are periods of fast and slow activity that occur around similar times every day. In some cases, you can divide the day into three segments: A, B, and C. In the following video, you’ll learn how to recognize the ABC Method or ABC Pattern. When there’s a breakout after a segment, you can place a trade.
With the E-mini, you can divide the day into three segments beginning at 9:30 a.m. US/Eastern. We start at 9:30 a.m. because that is the traditional time the market is considered to open. From 9:30 a.m. to noon, that is segment A. From noon to 2:30 p.m., that is segment B. From 2:30 p.m. to 4 p.m., that is segment C. Note segment C is shorter in duration than the others. Look for two consecutive candles closing above or below each segment. That is the entry point.
In the video, you will see the ABC Software in use for NinjaTrader. The software plots the entry points easily. Currently, you can get the software by purchasing the ATO 2 course and software or enrolling in our eight-week Mentorship Program.