One of the basic philosophies of my trading approach are trading “end of day”, I mean the trade after the close of New York, which marks the end of the current trading day. Often you receive email messages from many traders asking about things like “why close New York is so important?” and “how I trade the end of the day, and why should I do this?” and I will be in this article to answer these questions, so I hope after you finish reading this article that you have a good idea about the importance of trade at the end of the day.
My goal here is to explain why many trading signals price movement after a brief period of closing New York, that means “after the close of Wall Street.”
Why many traders entering trades in “day’s end”?
The answer is very simple:
1. trading signals “cleaner”-trading at the end of the day, removes noise and interference and gives a clear and useful for what happened during the trading day. Reference “WT” heavier and have higher probability of any other signal during the trading day. Many traders prefer trading on your charts signals the closure of New York because they are considered less onerous means of trading any other charges during the trading day. Especially for new traders who find difficulties in trading, stick to using daily charts and trading in “the end of the day” is very important to understand how to move markets every day and learn to trade using the most convenient way to market.
Here’s a chart of the day-15 minutes to pair GBPUSD followed by daily chart of GBPUSD pair. You can clearly see that the daily chart more clearly, and also notice that much easier for trading, in addition to the daily chart greatly reduce circulation under the influence of emotion feelings about a 15-minute chart:
2. time constraints-there is a key and very important in the lives of most traders, is time, so that at the end of the day trading allows traders to leave the everyday life and basic functions, and then come back later and take a look at the market at the end of closing New York, signal monitoring price movement. This approach is quite different from trading policy “during the day”, which sits where rolling in front of the computer all day long checks and combed graphs with short time frames in an attempt to find any reference to enter which inherently low probability compared to the same point on the daily chart.
There is also a “hidden” benefit here is that when you’re trading at the end of the day, you focus on the daily charts instead of graphs by “today”, you are less likely to impact the emotion and excessive trading. Traders who sit on their computers for long hours, and they desperately llathorh any reference to entry, likely found this reference. But it is likely that there is a high probability signals. And I always call for trading in the Forex market like sniper and not like machine gun, so using daily charts at the end of the day will make this much easier, especially for the trader who has disciplined day trading routine.
3. simplicity and clarity-analysis of price charts and decide on trading in the near term should be “chaotic” or “complex”, and therefore it is logical that you examine your graphs for a short period each day shortly after the close of New York. Trading in such a way to keep things simple and clear, and, frankly, this is how you use it in circulation for many years, but there are still many people overlook this approach to trading.
Trading at the end of the day may be so simple that you wait until the break key resistance level and then waiting for the market to confirm exit in New York closed, and then looking for a reference price movement in the hope of earning money with toward the exit, etc.