3 AM EU dump-o-thon

Discussion in 'Trading' started by stock_trad3r, May 13, 2008.

  1. Anyone else besides me notice this pattern?

    Lets assume that on day one the US stock market rallies through the entire day. The EU markets rise with the US market until they close at around 12:30 AM Eastern time.

    Since the US market continues to rally for the entire day the EU futures also rise after the EU markets close to price in the US rally.

    Then the US markets close, Asian markets open, nothign happens, US futures up a tad, and the EU futures point to a positive gap up on the strength of US market.

    however, now comes the 3 AM EU dump-a-thon. Upon gapping higher I have noticed that almost without fault the EU indexes such as the DAX and FTSE will fill the gap, driving the US futures lower somtimes by up to .3%

    The reason for this could be because the UE markets are gapping higher on a previously strong day and this tends to be unstable.
  2. Why do you care?

    Just buy and hold my friend!

    Easy money..
  3. i would not buy MMM yet
    at least not this week
    but getting to be a buy
    73 would be best
    target 83

  4. where have you been ?

  5. I've been noticing some overnight trends, too (on YM and ES). I'm started to work on my code to collect the overnight trading, since IB doesn't collect that for me. Guess I'll add the Euro contract in, too.