Tuesday

I have a special attention about trading on Tuesday. In my opinion at the normal condition the weekly market open tend to be flat in all markets session. And therefore Tuesday opening tends to be trending. But again this is just my personal judgment; however using indicator may give us a better judgment.
In my post before, I use a combination of Keltner Channels and 2 Deviation Bollinger Bands to confirm trend condition. What a condition that may only easy by eyes looking. But using indicator is a trader choice. Every trader may use a different indicator. And even a same indicator can be used in different way by different trader. It’s trader’s gun in war.
A famous indicator that may be able to help us to detect trending market is Average Directional Movement Index (ADX). Many technicians suggest using 20 levels as a barrier to confirm a trend condition. This is a common use ADX indicator for trend following system. But the most useful information that we can get from ADX value if it’s value broke above 50 levels and then turning down. The common interpretation of this condition is market in correction phase. And as a counter trend strategy, this condition is a sign for our system. Market will be in tight consolidation, and give us trading opportunity.
Tight Consolidation After Long Rally