InPennyStock Blog

How To Successfully Trade The Hype When The Market First Opens

Mubarak here! I wanted to do a quick video on the best strategies for when the Stock Market opens.     I know you guys know that there's a lot of volatility that occurs when the Market opens and I wanted to talk about how I decide to play it and what strategies I use.     So really one of the most important aspects of trading, and one thing that you probably and already notice if you have been trading or virtual trading, is that there seems to be some unreasonable spikes that occur in the morning (almost every day!).     A lot of people utilize the previous day's market pattern history and price history to determine how it's going to trade today, so if it went down yesterday like an unreasonable amount (like 10%) they usually feel that it's going to go up an additional amount today.     One thing that I recommend in the morning time is to always be careful and definitely be diligent when you're trading.     The price is going to be higher but usually very shaky/volatile in the morning.     This usually levels off around 10:30AM EST, with the market open from 9:30 a.m. to 4 p.m. but that's generally the rule of thumb that I utilize if you are going to trade in the morning.     If you see a breakout, it is very useful to get in but you have to understand that everything in the morning is usually intensified.     Price moves happen a lot quicker so there is a lot more volatility that ends up occurring.     Breakouts happen a lot faster so if you are following the Double Catalyst rule when you are trading just keep that in mind.     It is important to know that this is going to occur and so you need to go in with the right strategy to deal with this situation.     Therefore, within your  broker platform, before you make a trade or even after, you can always setup an alert so that you get a notification when the stock reaches a certain price.     This strategy is best mixed for you to set alerts at points of support or resistance (depending on if you’re long or short), you can set it to get a notification at that time.     As I mentioned before, the morning panics and crazy stock price actions generally level off at about 10:30 and settle down a bit more.     It is always still possible that it will still have crazy price action all day depending on the news but I would recommend that if you are going to be trading the first hour of the market, from 9:30AM to 10:30AM, to just keep this in mind; volatility is the name of the game.     I’m going to follow this up with a video of the strategy for when the market closes and I just wanted to give you guys an insight of what happens when the market opens because it's a little different from the rest of the day.     So if you guys need any other video, definitely email me at admin, admin@inpennystocks.com and of course you can always contact me through my social media, YouTube, Instagram etc..     If you're looking to start trading today we actually have a special series that give you basically tutorials on how to start trading.     All you need to do is take your phone and text “Stocks” to the number 44222 and that will automatically enlist you too our trading webinars.

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