6 A.M. Continuation Guide
The guide has five parts: the explanation, key levels, the 10 PM / 2 AM reversal, the 6 AM continuation, and examples.
The slides from the video, with an explanation under each one. Watch the video, then keep the PDF.
The guide has five parts: the explanation, key levels, the 10 PM / 2 AM reversal, the 6 AM continuation, and examples.
A 6 AM continuation is built from a checklist: a 10 PM or 2 AM reversal profile, a key level within the 2 AM candle, a 6 AM wick formed inside that key level, SMT within the key level, and a CISD entry signature to get in.
The 10 PM or 2 AM candle trades to a key level and reverses. The key levels are gaps, highs and lows, and SMT. The important part: you are not trading that reversal. You are lining up the next 4H candle, the 6 AM, for continuation.
Example of the key level being a gap. On the 4H, price trades into the shaded fair value gap, reverses, and the 6 AM level is marked on the right so you can see where the 6 AM candle sits relative to it.
Example of the key level being a high or low. On the 4H, price takes an old low and reverses from it, with the 6 AM level marked.
Example of the key level being SMT. The daily is shown on the left and the 4H on the right, with the SMT marked on the 4H and the 6 AM level on the right.
The first of three 10 PM reversal examples. Price takes a low, reverses, and the 6 AM level is marked so you can see where it forms.
The second example. This time price takes a high and reverses down, with the 6 AM level marked.
The third example. SMT is marked at the high, price reverses down from it, and the 6 AM level is marked on the right.
When you're looking for the continuation, you want the 6 AM wick to form inside a key level, or inside SMT, around the EQ of the 2 AM candle.
Example of the 2 AM candle reversing from a gap, followed by a 6 AM continuation. The 4H is on the left and the 1H/30M on the right, so you can see how the same setup looks on both.
Example of the 2 AM candle reversing from a high or low, followed by a 6 AM continuation, shown on the 4H and on the 1H/30M.
Example of the 2 AM candle reversing from SMT, followed by a 6 AM continuation, shown on the 4H and on the 1H/30M.
The first of three entry signatures. Price runs the stops below a low, then a candle closes back above the marked level. That close is the CISD, and it's your entry signal.
The second entry signature. With SMT marked at the low, price then closes back above the marked level. That's the SMT CISD.
The third entry signature. Price trades into the gap, and then a candle closes back above the marked level. That's the Gap CISD.
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