I was reading Toni Turner's book and she has an interesting breakdown of the day..I wonder how many people agree with this: 9:30 Equities open 9:45-10:10 - First reversal period 11:20-Beginning of lunchtime lethargy 1:30PM - lunchtime lethargy begins to clear - some stocks start to edge up for afternoon session 2:30PM stocks break out (or down) in a more definitive manner 3:00 PM Treasy bonds stop trading: market breathes a sigh of relief, possible shift in direction. 3:20-Active traders begin to close out positions for the day 3:30PM mild reversal possible 3:55PM additional revesal possible and more positions closed 4PM - Equities market close. What do you think??? I never paid much attention to lunchtime lethargy?
it's not always true but it is something to consider as a daytrader, only giving it a specific weight, like 10% it is best for a daytrader to get out by the end of the day no matter what, because stocks tend to make the biggest moves after hours, and so time analyzing can be of importance, but for someone like stock_trader who sits on trades, he could fucking care less, or the ugly chinese who sleep and wish to see their money triple by morning, one day will wake up to see it at half their investment, biggest changes must happen suddenly (meaning when markets are closed) so idiots don't have a chance of getting out, and if they do they have lost a great portion of their money
More important, is for the TRADER to analyze his/her trades by time of day. There may be patterns or correlations/non-correlations with time of day and actual results. Such findings are MUCH MORE USEFUL than a generic time-table or as I've been known to call it, a publicly shared, google schedule of daily market turns. I've never been able to find a working url for that schedule. Osorico