Author Topic: Holiday trading  (Read 399 times)

Kim

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Holiday trading
« on: December 21, 2019, 02:50:40 PM »
Hi.
Does anyone have an opinion or thoughts on trading over the holidays?  I guess there will ve a lot less trading but will that mean prices stay flat or will they move more wildly?  Is there anything else to be aware of in holiday trading, like will my broker be open?  I am still only trading in demo but would like to know for future reference as much as anything.
Thanks in advance

Kaitsu

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Re: Holiday trading
« Reply #1 on: December 21, 2019, 04:37:47 PM »
It is certainly important to check broker trading hours during the holiday season. If they do not send an email then the hours are available on their website.

How one views the markets depends on one's trading objectives and timescales. A long term investor would maybe just sit through it like any other period.

But short term traders should be aware that markets are considerably thinner at this time of year. But this does not necessarily mean that markets will be flat. If there are unexpected events then there will be a reaction and that reaction could even be exaggerated in thin markets. But in all probability markets will be lethargic and erratic.

Another factor is that we are approaching the year end and many traders and institutions may be concentrating on accounting issues rather than trading.

Just some thoughts. I'm sure others can add more.... ;D
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Caesar

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Re: Holiday trading
« Reply #2 on: December 21, 2019, 05:03:10 PM »
Hello Kim.
Some very good points there from Emerson.  Another thing to note,  with there being fewer traders and lower liquidity you will likely see a widening in spreads. If you're trading long term that may not make much difference,  but it still eats into your profits, 
Also, as Emerson has alluded to,  low liquidity can mean market reactions to events are more exaggerated than normal,  so you might need to consider wider stops than you would usually be comfortable with.
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eddieb

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Re: Holiday trading
« Reply #3 on: December 22, 2019, 12:05:54 PM »
I'm all done for the holidays,  like has already been said the market is  not liquid enough to make reliable judgements should anything happen.
Enjoy your Christmas and New Year everyone :)
Disclaimer. Posts are just my thoughts,  not recommendations.  Do your own due diligence before trading

Kaitsu

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Re: Holiday trading
« Reply #4 on: December 22, 2019, 08:10:54 PM »
Enjoy your Christmas and New Year everyone
Thanks and Happy Holidays to you, too! :)
Ships are safe in harbour - but that is not what ships are for......

Kim

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Re: Holiday trading
« Reply #5 on: December 23, 2019, 04:40:54 PM »
Thank you all for your answers,  I'll stop trading and take a break. See you all next year  :)

Kim

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Re: Holiday trading
« Reply #6 on: January 09, 2020, 05:57:15 PM »
Thank you all for your answers,  I'll stop trading and take a break. See you all next year  :)

Hiya all. Sorry ive been away so long.  I tried signing in last night but had forgotten my password so I gave up. Back on again now and hope to getback into the trading groove