Maybe Bollinger?
Seasonality is mildly bullish. Markets are struggling. I managed to avoid today’s big gap down. My algo was posting many bullish patterns but also a bearish one. Being strict I avoided it. Although if internals were good. But the crash was too strong to risk on the first day. It was a great decision that prevent me from a big loss. Now we can play. If SPY will close below the open tonight, six patterns will trigger (bullish), my rank system will trigger too. Bollinger system is not triggering unless we close under 181,95. But we are close, really close to it if we just close under today’s open (182,17). In this case internals will be good too. So I will take a long trade if this happens.
I have data (not my own, but I can share the source if you wish, as well as the full set of data) that argues that the overnight session is actually much more profitable if overnight trades are kept until one hour before close of the following day.
Do you have any knowledge of such an overnight trading strategy?
Alex
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