DIA Example Short Entry-High Probability Trade

This is very simple, from where the DIA/Dow-30 is right now, a new high is easily within reach, that's where institutional money has the best chance of retail chasing that breakout high and where they have a better entry and enough volume to sell/short to retail's buying.

This is also the perfect head-fake set up.

A high probability trrade is not just the probabilities are high for a directional move in a certain direction, but they are also low risk, a new high offers low risk as you can put a stop just above it-please don't put it anywhere obvious, I like to always give new positions some extra room on the stop-especially with new highs/lows because of volatility. It is also high probability because the trade is coming to us, we aren't chasing it, some may call it top-ticking or picking tops which is frowned on, but we are following market behavior we see every day and 3C signals that back it up.

Here's why the DIA move would almost certainly (90% in my view-although waiting for intraday timing is important too) be a head fake move...

The 15 min chart went negative, deeper negative and then leading negative, the 30 and 60 are leading negative as well, there's a lot of distribution so any mover that draws in retail here above the local high is almost guaranteed to fail to the downside, "From failed moves come fast moves", this is one of the main purposes of a head fake move.