Tick Tock Goes the Financial Clock: The Best Time to Buy Stocks

by whatsmind

Day traders are appropriately named because it’s rare that they keep anything overnight.

Tick Tock Goes the Financial Clock.

They hold positions on stocks, options, commodities, currencies, and futures for hours, minutes, or seconds before they sell again. They do all this while trying to manage risk to limit losses. 

People who work as day traders bring in around $76,258 per year in the U.S. 

Are you thinking of getting into day trading but not sure which times of day present risks or rewards? Keep reading to discover the best time to buy stocks.

Less Is More 

When it comes to day trading, one of the best trading tips to heed is to devote two to three hours a day to it rather than an entire day.

There is very little additional reward to spending all day trading. Stick to the specific hours that provide the best opportunities for day trading or risk losing money. 

Day Trade the Stock Market

When is the best time to day trade the stock market? The best time can be the first two hours the market is open and the last hour. In the U.S., that means from 9:30 to 11:30 am and 3 to 4 in the afternoon. 

Put in the time it takes to fully understand the hours of the stock market where you’ll spend time trading. Learn the most optimal times to make your efforts pay off. 

The first hour is usually the most volatile. Dumb money (people making trades based on what they saw in the news the night before) is flowing and prices can get crazy, providing both opportunity (and risk). 

Use Caution

Even professional day traders lose money when they trade outside the ideal trading hours, so keep that in mind. But also remember that handling the volatility of the first and last hour takes experience. 

When you’re new to the game, people will tell you not to trade in the first fifteen minutes of the day. This is the best opportunity for experienced traders; too risky for newbies. 

Also read: Amazon USA

Best Days and Months to Trade 

As discussing about Tick Tock Goes the Financial Clock. Monday afternoon is often advised as a good time to buy because markets drop at the beginning of the week, especially toward the middle of the month. Sell on Fridays before the Monday dip. 

Look at prices to drop in September and pick up in October. Prices also tend to go up in January. 

Learn more about Tradestation Automated Software and how it allows you to analyze the markets. See how you can use Tradestation Automated trading for stock, futures, forex, crypto, and more options. 

When Is the Best Time to Buy Stocks? Solved

Last about Tick Tock Goes the Financial Clock. Now that you have a handle on the best time to buy stocks, you can use your stock trading tips to get into the day trading game. Remember that it requires discipline and focus on your part. Don’t let it drain you so much that you end up making costly mistakes. 

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