Power Hour Setups
Late-day continuation, reversal, and squeeze conditions.
Power hour refers to the final portion of the regular session when activity can increase again. Traders may rebalance, institutions may execute late-day orders, and positions may be closed before the settlement window.
Late-day setups often fall into continuation, reversal, or squeeze categories. Continuation occurs when the day trend resumes after consolidation. Reversal occurs when price rejects an extreme and returns toward value. A squeeze occurs when trapped traders are forced to exit quickly.
Respect the clock. A setup with thirty minutes left has different target potential than one with three hours left. Plan exits before liquidity changes into the close and avoid holding intraday ideas past the time they were designed for.