One Hour per Month Trader... Now Technique...When to Trade

When to trade?

Last day of a month is ideal for this trading systems (and for some others too!) at around half an hour before the close.  Why?  First trading day in a month is statistically the best day for trading (if you pick the right stock)!  On the first in any month fund managers are reviewing their positions and entering new positions - more often than not for window dressing.  Say that you want to trade only one day per month - first of a month - buy at open and sell at close.  You know what - you'll achieve way better results then putting your money in S and P index fund!!!  Do Backtest and you'll understand!  But wait... fund managers are making "silent moves" (like in chess!) before the end of a month and hence - the correct trend (don’t get me wrong you’ll be right around 70% of the time, 30% oh well…) can be spotted on last day of trading in a month...  And this works like a charm...  Next blog: Technique continued: statistics games...  statistical sampling and other wonders