Futures traders: how consistently does overnight bias hold?

[KCalhoun]

Zero correlation from after hrs initially . Many many times if futures down big by even 10 pm they reverse and are either barely down or green by rth. Correlation to opening is much much higher when futures strong green in early after mkt that they stay green till the rth.

Thanks, very helpful re correlation insights. I'll likely start keeping track of what happens in premkt following futs moving 200 or more points green/red night before by 7pm

 

[formikatrading]

Tend to agree with hafez.

I view overnight as noise OR a potential opportunity to get in a position at a better price than I originally anticipated. But I don't really read into the overnight action, if that makes sense.

Zero correlation from after hrs initially . Many many times if futures down big by even 10 pm they reverse and are either barely down or green by rth. Correlation to opening is much much higher when futures strong green in early after mkt that they stay green till the rth.

 

[fan27]

Here is a current look at my Night Trader strategy.

 

[hafez50]

There we go ken . Futures went from down 25 to almost flat . As i said many times when the futures tank before the 8 pm after hrs close they reverse before the opening bell . Now if they gaps up before the 8 pm close they usually stayed gapped up till the open

 

[hafez50]

Here is a current look at my Night Trader strategy.

View attachment 227757

You went long at 2848.75? Were's your stop ?

 

[fan27]

You went long at 2848.75? Were's your stop ?

Long around 2849. Stop around 2798.

 

[hafez50]

Long around 2849. Stop around 2798.

You'll risk 50 on the downside to make 15 on the upside ? I'm willing to bet if we take out the after lows of 2825 we'll see under 2800. I'll be very very shocked if we see your 2863 before the open . I hope we do because i'll short it silly

 

[fan27]

You'll risk 50 on the downside to make 15 on the upside ? I'm willing to bet if we take out the after lows of 2825 we'll see under 2800. I'll be very very shocked if we see your 2863 before the open . I hope we do because i'll short it silly

Yep...this strategy has performed well since 2007.

 

[donnap]

Yep...this strategy has performed well since 2007.

Good trade.

 

[hafez50]

Yep...this strategy has performed well since 2007.

It might work . Were flat now .Thats why one always takes short profits like tonight in after hrs . Poof it can be gone in the am

Yep...this strategy has performed well since 2007.

Nice trade fan . I'm surprised how high we went then again nothing really suprises . I shorted a few at 2874. if we go higher i'll short a few more at 2890. I have no problem holding