When the market pulls back, opportunity often knocks. At DayTradeToWin, we teach traders how to recognize those moments — when fear takes over, but smart money prepares for the next leg up.

If you’ve been watching the E-mini S&P 500 or other major indexes hit new highs, this simple price action approach can help you ride the next breakout — without relying on lagging indicators.

1️⃣ Spot the Setup

It starts with a new high.
Once you see that, wait for at least three to four red candles (days) — a clear retracement, not just sideways movement. This pullback shows the market is cooling down and ready to reset.

2️⃣ Apply the 50% Rule

Now, plot the 50% retracement level between the high and the low of the pullback.
Once price breaks above that midpoint, the market is signaling strength again.

Here’s the rule:

• Wait for a green candle to close above the 50% mark
• Enter on the next session’s open
• Target the previous high

Why? Because markets love to retest highs. It happens again and again — a reliable behavior that skilled traders use to their advantage.

3️⃣ Ride the “Pop”

As soon as price breaks through resistance, short traders get stopped out — triggering a quick pop higher.
That’s often a 20-30 point burst on the E-mini — and it happens fast.

This is pure, objective price action trading. No indicators, no guessing — just understanding how the market truly behaves.

Start Learning for Free

You can apply this technique on any charting platform, but if you want to master it, start by joining our community.

👉 Create your free member account at DayTradeToWin.com

Your free membership gives you:

• Access to trial software, including the ABC Software
• Lessons in real price action trading
• Insights into our Sonic System and Accelerated Mentorship Program

Stop chasing signals.
Start understanding price action the right way — and trade with confidence into every move.

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