Fridays

[Kap]

Whether you've had a good week, and now your complacent, or you've had a bad week and your desperate, Fridays have a habit of wiping out the other 4 days gains or doubling the other 4 days losses and hammering that final nail in the coffin.

In a bizarre superstitious way I sit on my hands on fridays, and so do a lot of my contemporaries. More of a pyschologoical thing perhaps.

I have learnt the hard way to leave fridays well alone.

 

[harrytrader]

This is general: at the end of a day, of a week, of a month,...

Quote from Kap:

Whether you've had a good week, and now your complacent, or you've had a bad week and your desperate, Fridays have a habit of wiping out the other 4 days gains or doubling the other 4 days losses and hammering that final nail in the coffin.

In a bizarre superstitious way I sit on my hands on fridays, and so do a lot of my contemporaries. More of a pyschologoical thing perhaps.

I have learnt the hard way to leave fridays well alone.

 

[x-or]

Reminds me an old post of mine in the Allenz Journal Thread :

http://www.elitetrader.com/vb/showthread.php?postid=134217#post134217

 

[cevans]

Why avoid friday...if your perception is that market behaviour is somehow different, why not identify the differences and try to exploit them.

I have done a few studies segregating normal fridays from options expirations and triple witching, etc.

Looking at each separately, and comparing normal fridays to the preceding week's price action, options expirations to the preceding expiration cycle's expiration pattern, and triple witching to the preceding quarter's price action yields some interesting results...

 

[harrytrader]

It depends on what one means by avoiding: as a daytrader you have no reason to avoid Friday. But for daily traders opening a new position on the day and carrying over the week can be considered as risky.

Quote from cevans:

Why avoid friday...if your perception is that market behaviour is somehow different, why not identify the differences and try to exploit them.

I have done a few studies segregating normal fridays from options expirations and triple witching, etc.

Looking at each separately, and comparing normal fridays to the preceding week's price action, options expirations to the preceding expiration cycle's expiration pattern, and triple witching to the preceding quarter's price action yields some interesting results...

 

[Tech Analysis]

I find that Fridays usually give you one good move in the morning then absolute chop the rest of the day, more times than not.

Today was a great example.

 

[SethArb]

I over traded and over leveraged myself today friday the 13th

and thus turned a profitable week into a losing one

and cut into my profits from last week by doing this

 

[Momento]

Quote from Tech Analysis:

I find that Fridays usually give you one good move in the morning then absolute chop the rest of the day, more times than not.

Today was a great example.

That one 'good' move was enough to wipe out my hard working week... quite a depressing scene this morning.

 

[Girlpower]

It is a problem that as the day/week goes by, we all become mentally tired and by Friday, we go into the day at the least rested and least fresh point of the week. Trading, and especially intraday trading, is very demanding at the best of times, and often moreso than we realise while we are doing it.

Being aware of this can often be a important saviour. Many is the time I've stopped part way through a day or not traded at all on a particular day when I feel that I am especially tired (mentally). Better to miss a good move than get everything the wrong way around and hurt the accont...

my 02 Cents

Natalie

 

[prox]

Quote from Tech Analysis:

I find that Fridays usually give you one good move in the morning then absolute chop the rest of the day, more times than not.

Today was a great example.

Yep, you'll likely see a lot of liquidating positions due to the end of the week and no one wanting to carry positions over the weekend. This doesn't really reflect the true supply/demand of the market, but rather just people buying/selling to get flat.

Then again, Monday usually over reacts at the open and gets the market back on track.