Is there an advantage of trading individual stocks versus the ETF?Especially for overnight? Often times the sector is more predictable... example xhb versus kbh. One can be right about the general move and be totally wrong about the individual stock.
i find that looking at stocks on an individual basis works for me, then i re-calibrate my stock picks every quarter. i've never thought of it this way, but i guess if lots of my strong trading candidates are in the same sector (or vice versa), i could trade the etf, but usually 1 or maybe 2 stocks end up following my criteria for selection.
etf = "safe" = index-like return while with individual stocks have more percentage gain (-/+) than index because one is exposed to the company risk.