What is the best time of the day for daytrading?

Question

a. from 9:30-10:30am
b. from 10.30-12:00pm
c. from 12:00-2:00pm
d. from 2:00-4:30pm

Answer 1

It is important to know what you are trading during the day. Stocks result in a certain answer, while futures and options result in another. For trading equity based products I would reccommend trading in the moring after the market opens, until around lunch time Eastern Time and resume sometime after lunch time Central Time. Many people who try to answer this question, however, do not understand what day trading is. The purpose is not to try to make long term investments in good stocks or try to predict the future. The purpose is to limit downside potential while increasing potential profit by taking advantage of VOLATILITY. Most individuals fail at this, because they do not understand what they are doing and have no knowledge or business day trading. I work at the CBOT and know that many of these "professionals" that make their liviing day trading are not privy to any more information than you or I have access to.

Answer 2

It belongs what time zone

I preffer to trade whole trading day by CET time 8am - 5pm.

From your suggested time frames I would choose
a) and b) i.e 9:30-12:00 because market has volatility
and
d) 2:00-4:30pm because usually all important news from US are issued at 14:30CET (13:30GMT) and at 15:30 open US markets

Answer 3

What time zone are the above answers listed?

Although I wouldn't necessarily say there is a 'good time', but if I had to suggest a time, I would suggest as late as possible prior to the market closing (4:00 p.m eastern/3:00 p.m central). Anything after that will get the next days pricing.

So, assuming the above times are eastern standard time, I would say "C". Now, I would say "D" as long as trading was done by 4:00 p.m eastern time.

Answer 4

I'd sort of say, from my limited experience, E) both B and D. You need a trend to establish itself, so 10-10:30 is a good time to see what is flying high that day. Then you need some time towards the closing to see what needs to be closed out for the day, and what needs to hang on to ride through on the next day. Of course, you need to check in the middle somewhere in case the original news that started a run was wrong or changed, whereupon you dump the things that may have abruptly turned around. IF I were to limit myself to check in only during a narrow time span, it would be B AND D. If I had to tie myself to any one and that was all, then the risks would be far too great for the potential rewards and I wouldn't day trade.

Answer 5

The question is not when is the best time for day trading. The question is whether a trader has the capability to daytrade. If one can do it, he or she can do it any time of the day.

Answer 6

This depends on your trading strategy. Certainly, if you are fading the gap, the only choice would be (a). Trend followers would likely prefer (b) and (d). In practice, (c) is usually the most boring, or the most risky, especially on FOMC meeting/announcement days.

Keep in mind, if you do trade in the (a) zone, it is inadvisable to open a position immediately after the market open.

Answer 7

There is no single 'best' time for day trading. The markets are always moving. You need to be monitoring your positions constantly to take advantege of sudden spikes & drops in price.

Answer 8

There is no good time for daytrading. Almost all daytraders end up losing big-time.

Answer 9

there is no good answer to this, it all depends on the situation. Instead of day trading and hoping it will result in your favor, try evaluating the stocks the old fashion way instead... see

http://ibooyah.com/blog/2006/11/evaluating_potential_stock_inv_1.html

Answer 10

Would you play poker against pros in Las Vegas (for real big money)? Then why are you trying to trade against professional traders?