Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Rande Is . . . HOME -- Ignore unavailable to you. Want to Upgrade?

To: T. Ambrose who wrote (8321)	6/16/1999 2:28:00 AM
From: ~digs	Read Replies (1) \| Respond to of 57584

Hmmmm, Let's suppose that the NYSE currently has a late trading session. As a short-term trader, if you were interested in buying SCH late Monday for a gapping rebound in the AM on Tuesday, then I'd assume you absolutely have to watch SCH all the way till the close on Monday, and be up early to sell the gap on Tuesday. In this case, if you've overslept then you wind up with a losing position. Let's face it... Many, many daytraders do next to zero DD. They are reactive, thriving on the continuous ebb and flow of the market, scalping points as they go along. Nothing inherently wrong with that IMO, after all, who can't appreciate the liquidity in today's US stock markets? Anyway, I don't know about you guys, but I'd get a little burnt out having to monitor quotes for such long hours. I personally would much rather be doing proactive research about what sort of reception TDFX's new products are getting than watching intra-day charts for hours on end. You are right Ms. Ambrose. Those who have conducted thorough DD and are able to trade with conviction will not have the type of problems daytraders may come upon, and may actually find the extended hours to be quite advantageous. Who knows though really? I haven't thought it through enough yet to say with confidence what the implications of extended hours may be, but there is one thing I have concluded: Trading as we now know it will be different in many aspects. And as such, I suspect there will also be plenty of discussion of it on this here thread. A few questions to consider: 1. Can I watch the market for that long? Does it fit into my schedule? Would I even want it to? 2. Will the number of daytraders decrease? Drastically? How will liquidity be effected? 3. What might a typical five day chart look like for, say, Dell? Volume spikes in the morning, dips at lunch, spikes again at the time of the old closing bell, then again at the new close??? How will this effect TA? Will it strengthen the appearance of a resistance barrier because it may have been tested more often? 4. There will be an increased number of limit and GTC orders. How would a lack of market orders effect trading? Would the MMs have a greater advantage now that they can see so many limit orders all at once? So many variables, so few formulas...