Midnight rally
- Thread starter Rickshaw Man
- Start date
And how do you know funds are not utilizing this strategy?
I think I just showed that it is profitable - although there will be deep drawdowns. That's why it's not good for compounding and probably the explanation of Rickshaw's large loss in March.
With additional filters/parameters to better anticipate a gap open the profitability could be improved.
The real question is if it beats buy and hold over the same time period? I have a hunch it don't.
Well yeah, deep drawdowns. That's the catch, isn't it? If you bought last Friday's NQ and sold at open, you lost 200ish points. If you then did the same thing every following night for the week, I do not think you would have recovered even half that loss back yet. (Didn't look back at charts, just going on memory of the bell-bell gaps.)
And this past Friday, if you bought the cash close NQ at ~12800, you'd be at BE, or +/- a few points this morning.
Indeed!
What a difference a few down days make. This is so freaking easy. If you are not making money in this strong bull market. Stop trading, this is about as easy as it gets. Buy anywhere, if it dips a little have no fear, the FOMC with its magic money machine will halt any and all dips.
Think your buying the top, don't be silly, its making higher highs weekly.
Think your buying the top, don't be silly, its making higher highs weekly.
Hop on board ZERO chance of a major correction...ZZZEERROOO Now with granny at the treasury its wide open doves for 4 years.
So easy making free money, so easy a cave man can do it.
So easy folks, buy the cash close....sleep....wake up Cha Ching $$$$$$$ free money while you sleep.
Do your research you will find 90% of all U.S. stock index gains are from the overnight futures session. Its not that hard folks. But I understand if your scared.
Do your research you will find 90% of all U.S. stock index gains are from the overnight futures session. Its not that hard folks. But I understand if your scared.
And where were you last week?
I posted some research for you last week.
I imagine that if you want to ride the up trend in stock indices, you should simply buy and hold. There's plenty of gains in the day time session, too. So, if you go flat on the cash open you'll be missing out on those gains.
Start building a position for the Sunday open. 90% of the time its a gap up on the 5pm cst open. Yes you will have an open position over the weekend. Chances of a comet hitting earth are very slim. That's the only thing that would knock the stock indexes lower.
We have been moving sideways for the last two days. Accumulation for the next leg up. Expect nothing but positive comments from the fake news CNN, MSNBC.