Thursday was another strong day for the market. But there was some disagreement among our indicators as to whether that strength would carry through the night. Below is a look at the Odds Sheet as it stood near the close.
There was not much color on the Odds Sheet. Only NQ met the Overnight Edges standard minimum criteria for a possible trade. It’s Odds were bullish. ES is what I trade, and its Averages were closer to breakeven. A closer look at the Averages will show you that Price Action was extremely weak while Seasonality was extremely strong. A special report was sent out to subscribers that detailed some of the Seasonality numbers a little further. Additionally, the EdgeFinder showed two bullish, and one bearish study. So there was quite a mix in the evidence and the minimum Odds that I generally require in order to trade were not met. So as I typically do under such circumstances, I sat out.
It was a back-and-forth night, with strong moves in both directions, but in the end Seasonality won out. ES managed to gap up this morning 3.25 points. It certainly has been an interesting market lately. I expect we will see more interesting edges emerge for overnight traders in the weeks to come.
Good luck if you trade tonight, and rest easy!
Overnight Edges was recently named one of the Top Trading Rooms by Dean Handley in Futures Truth Magazine! Check out the full article here.
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