Hey traders,
Most traders blow up Mondays by doing these 3 things. Here’s how I play it instead.
There’s a particular kind of frustration that only Monday mornings can deliver.
You’ve prepped all weekend, marked up your charts, and convinced yourself this will be the week you avoid the opening bell traps.
Then, by 9:45 AM, you’re already down on some stock you swore wouldn’t break support.
I know that feeling better than I’d like to admit.Just last week I watched Direxion Daily (NASDAQ: TSLL) break its pre-market high, took the long, and promptly lost $29K as it reversed through my stop
The mistake wasn’t the trade idea – it was forgetting the first rule of Mondays: The opening hour isn’t for trading. It’s for watching.
Meanwhile, my D-Wave Quantum Inc. (NYSE: QBTS) long quietly netted $18K.
The difference? QBTS showed strength before the open, held key levels through the initial volatility, and only got my attention after the dust settled. No heroics. No revenge trading. Just patience.
Here’s what I’m doing differently next Monday:
- The 45-Minute Rule – No entries until after the initial liquidity rush (9:15-10 AM EST is for coffee, not trading).
- Focus on Survivors – Only stocks holding Friday’s levels get my attention.
- Smaller Sizes – My first trades will be 1/3 my normal position size.
The best traders aren’t the ones making the most money – they’re the ones losing the least.
You already know what not to do on Mondays – the hard way.
But here’s what nobody tells you: Monday’s chaos isn’t just something to survive – it can be your biggest opportunity.
While most traders are busy losing money in the first hour, the market is quietly setting up its real moves for the week.
That $18K QBTS win I mentioned? It wasn’t luck. It was about recognizing a simple truth:
Mondays reward those who let others make the first mistakes.
The Institutional Playbook
Big money managers approach Mondays differently.
They’re not looking at the same pre-market movers you are. Instead, they’re focused on:
- Liquidity Zones – Where are the largest clusters of buy/sell orders sitting?
- Friday’s Settlement – Which stocks cleared their weekly options levels?
- The Afternoon Shift – How are positions being adjusted after lunch?
This explains why QBTS worked when TSLL didn’t.
QBTS showed actual accumulation (big blocks being bought quietly) while TSLL was just retail traders chasing a gap.
Your 3 PM Edge
Monday’s most reliable moves often reveal themselves after lunch, once the institutions have finished repositioning their portfolios and the morning’s false breakouts have been flushed out.
While retail traders get caught up in the opening bell drama, the smart money is waiting for the afternoon session when the market’s true intentions finally surface.
Between 2:30-3:30 PM, after the emotional morning trades have been shaken out, you’ll often see the cleanest, most institutional-quality setups of the entire day emerge.
This is when the week’s real liquidity pools become visible and trends begin to develop – not with the explosive volatility of the open, but with the steady momentum that lasts through Tuesday moves.
The Monday Checklist
- Pre-Market – Note stocks showing unusual block trades (not just percentage movers)
- 10 AM – 2 PM – Watch for stocks holding key levels despite the chop
- After 2:30 PM – Look for breaks of the day’s established ranges
Power Signal members get this breakdown every Sunday night – complete with the exact levels institutions are watching. Join here to stop guessing and start trading like the pros.
Stay dialed in,
Jack Kellogg