[Dow Jones] Asia Session Fake Out + Bearish Outside Candle

Sorry I haven’t been posting much guys, I am upgrading some of the tools we use in the War Room and that’s a fairly intensive set of projects.

But today I wanted to get a chance to post this interesting set of price action events on the Dow.

Initially I was looking to get looking here after doing my weekend analysis, but guess what happened at the market open! A breakout occurred straight up during the Asia session which I thought was highly suspicious.

These kind of moves tend to be a big hint that the move has no substance and ends up faking out. The Asia breakout close is marked in yellow.

Then London opened and we seen the bears fade the breakout and give us an outside candle – which is a bearish reversal signal.

Now the market looks like it is going to sell off here, the US session is about to open so we will soon find out where this index wants to go as this market becomes most active during the US session.

Looking to see if I can get the pull-back entry, but these outside candles tend to just take off without pulling back much.

Let’s see how it plays out.