Market Maverick Linda Raschke's 12 Technical Trading Rules: 1. Buy on the first pullback after an all-time high. Sell on the first rebound after an all-time low. 2. Strength or weakness in the afternoon (end of day) often continues into the next day. 3. The best trading reversals usually occur in the early trading hours, not in the afternoon. 4. The larger the gap in the market, the higher the probability of trend continuation and formation. 5. The market's trading behavior near yesterday's high or low is a good indicator of the market's technical strength or weakness. 6. Yesterday's high and low are two very important pivot points because they clearly mark where buyers or sellers entered the market the previous day. Observe whether the market tests these levels and reverses or breaks through them and shows signs of continuation. 7. The last hour often reveals the true strength of the trend. Smart money will reveal its hand in the final hour, continuing to set closing prices in their favor. As long as the market closes strongly, an upward trend is expected to continue. If there is an initial rebound in the morning followed by a weak close, the upward trend is most likely ending. 8. Large trading volume at the close indicates that the direction established in the last half-hour will continue into the next morning's trading. In strong trending markets, pay attention to trend recovery at the end of the day. 9. The range of the first hour sets the framework for the remaining trading hours of the day. 10. Compared to the past, a significant portion of the day's volatility now occurs in the first hour, so if early trading shows signs of a strong trend, active and decisive trading becomes increasingly important. 11. Four basic principles of price action have stood the test of time. Only when traders are confident that a certain price behavior is genuine can they develop a systematic trading approach.