i have a couple of times at night and in the morning that are defined as good times to trade. certain things will happen and you just go with it.
Omg the milk comment was classic. My dumbass was in a milk position years ago and it took me 3 days to get out. They crush on the fill
Institutions that control the markets use the ETH (Asia/London) to stage volume and by that I mean that they use those sessions to accumulate/mark up or down volume, anticipating economic news that often comes out at 5:30am PST. If you will notice, it is often the case that headlines suggest that the markets moved up or down "ahead of" economic news, or "in the runup to (fill in the blank) news". This is intentional and is meant to "TRAP" (uninformed) participants "OUT OF" profitable trades, so that they will either 1) chase when the RTH market opens or 2) get chopped up at the RTH open when it creates a trading range. Most retail traders don't take the time to figure this out and even if they did, don't have a profitable strategy for handling it. I plan my trades (on a weekly and monthly basis) by reviewing the economic calendar and researching the price action history that precedes/follows high impact reports. Once you see how the markets react (in front of the high impact events) it becomes possible to anticipate when to stay up and trade the overnight market. For the skilled participant, it can be a source of significant revenue.