What Is an Exhaustion Move?

An exhaustion move is a possible sign that a directional push is losing strength.

For example, NQ rallies into a major level after an extended move. Buying remains active, but price struggles to make further progress.

That may indicate diminishing effectiveness from buyers.

However, strong buying can continue for longer than expected. I need confirmation that price is actually turning or losing structure before considering a reversal trade.

A tired-looking move is not the same as a confirmed reversal.