Many trading systems use the 5 Minute chart, so it should not be ignored. Hammers are not always a good indicator of a change in market direction, but near 50% correction points, they do serve a purpose.
Today we had two good indications of completion of a 50% correction. Notice the long range bars on the $TICK at the completion of these corrections. We have longer than usual ranges on those $TICK bars, and they closed at the extreme end of the bar in the direction of the longer term trend. The $TRIN also indicated that we simply had corrections rather than a change in the longer term trend.
Charles
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