Its the Close that really matters

Discussion in 'Trading' started by derektrader, Sep 10, 2020.

  1. Whatever the market does during the day is noise, unless a scalper.
    Its the close that counts.
     
    JSOP and wave like this.
  2. With that view, you miss much. Proper trading involves "trading around support and resistance with a tight stop". The close has nothing to do with that conceptually.
     
    Last edited: Sep 10, 2020
    Bugsy and Relentless like this.
  3. false.

    Common misconception (smart money at the close bla bla... it’s mostly automated etf, margin calls, risk management etc.)... stop trading (especially selling) after 2pm EST and you will come out ahead.
     
    Relentless likes this.
  4. Disagree. Proper S/R trades can occur at any hour. All are equally valid.

    I specifically check for a possible play at 3:50PM and also 4:00PM. There were both yesterday.
     
    Bugsy likes this.
  5. KCalhoun

    KCalhoun

    Depends on timeframe, correct re for swings I scale in or out during last half hour. For daytrading it's all price action regardless of time, with most trades 9:35 - 10:30
     
  6. Real Money

    Real Money

    Actually, it's the open that matters. Traders trade, and the NYSE open is the big leagues.

    Asset managers have to consider everything, not just the close.

    It's definitely important, but for different reasons.
     
    Tradex, KCalhoun, guru and 1 other person like this.
  7. SunTrader

    SunTrader

    Agree. Close matters ... until market re-opens next day. Then open is king.

    Obviously while also considering what globex overnight trading is doing.
     
  8. Tradex

    Tradex

    Yes the open is very important, and a lot of opening range breakout systems are based on that idea.
     
    KCalhoun likes this.
  9. And we closed down big time.
     
  10. Bugsy

    Bugsy

    And how well did selling the close work out for those who did it yesterday only for the market to reverse up 100 points the entire day today before reversing back down in today's close? 1 ES contract would have cost a person $5,000 just to sit through all of that. 100 points is far beyond any persons 1%-2% risk level.

    If trading were that simple to boil down to that 1 simple strategy anyone could do it.
     
    #10     Sep 10, 2020
    SPYAlgoTrader likes this.