Mixed signals = congestion

Many mixed signals on multiple time frames usually lead to congestion, as the bulls and bear battle for ground. After such strong bullish trading today, I will not take short positions until the bullishness fades on longer-term charts.

Signals on the 1 hour, 15 minute, and 3 minute charts are all contradictory, and this usually leads to consolidation. It is time to wait it out. However, as the session end approaches, many will liquidate their positions, and this is a time of opportunity for astute traders.