Comparing Creeper Up-Trends Intra-Day

Nobody wants to be a “Creeper” but as traders we certainty do enjoy “creeper” intra-day up-trends like these. Let’s chart today’s price action with the most recent similar “creeper” intraday uptrend and draw some parallels as to what’s happening and what we can do about it.

5 Minute ES Chart

Put today’s “rally up from 2,250 toward 2,270″ in the same context as that of January 12th. Before we discuss the intra-day chart, know that 2,250 is a support (and reversal) price and 2,270 is an upper resistance target. In that sense, this “Creeper” Uptrend occurred within that Higher Timeframe Context (HTF).

In fact, let’s compare today’s action (January 24th) with that of January 12th:

Let’s draw parallels and study the lessons.

BEFORE the Creeper Trend developed, both “Creeper Trend” Days…

  1. took place at a HTF Reversal Point (target)
  2. had POSITIVE MOMENTUM Divergences AT the known HTF reversal price (roughly 2,250)
  3. initially surged higher with a KICK-OFF (new momentum and TICK high when price isn’t making a new high)

From that, we see now the characteristics of a Creeper Trend Day.  They….

  1. “Ride” or repeatedly scrape against the upper Bollinger Band
  2. Bounce up off the rising 20 EMA (5-min)
  3. Exhibit a 45 degree angle stable rise

The trading strategy – while the trend “creeps” higher – is to buy mini-pullbacks along the pathway higher. It would be a mistake to short-sell or fade/fight these type of environments when they occur. Price can “creep” higher, longer than you can anticipate – so don’t fight the money flow along the way.

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