Morning Exhaustion
Exhaustion pattern for large caps.
What it looks like
Overextended charts that are pushing in the morning, towards key levels. Pattern occurs in the first 30 minutes of market opening and is purely a scalp. Smaller, reduced version of the Failed Follow Through.
Entry
Second candle after hitting key and slowing down. Stock should exhibit signs of slowdown after a strong morning into a key level.
Where I'm wrong
Any movement beyond entry (10-20 cents).
Targets
As this is a scalp, any hard pulls should be taken for profit. VWAP and key levels below should be kept in mind as well as exit points. Not a trade to marry, purely a quick in/out.