As experience builds up, traders begin to notice some features of market behavior on every day of the week. Of course, this cannot be called laws. Nevertheless, it will not hurt to know about such observations. Friday has always been a special day of the week. And this applies not only to trade in markets, but also to almost any other type of activity. It seems to summarize everything done in a week. Today we will talk about how the market behaves on the last day of the week and whether it is possible to earn before the weekend. Trading on Friday , contrary to some opinions, may be quite successful. But for this you need to know about some nuances.
News output
So it turned out that on Friday, as a rule, important statistics are released. This is especially true of the United States. In this regard, the trader needs to see the news calendar in the morning. He will tell you what time statistics will be published, which can greatly affect the dynamics of the exchange rate. Trading on the news popular among some traders. But to do this, you need to have the appropriate knowledge and experience. If you do not have them, then it is better to suspend trade in the event of the expected release of important news.
Forecast for Monday
Price movements on Friday afternoon may suggest what will happen on the market in early trading on Monday. It is noted that if at this time the rate is growing steadily, then with a high probability the market growth will continue on Monday. Accordingly, if the price falls in the second half of Friday, then at the beginning of next week it will also be observed a decrease. Of course, we are not talking about any guarantees. Just the probability of such a development of a market situation is high.
A week candle
In order to earn money on Friday, you need to see which week candle formed by the middle of the trading day. If, for example, it has a long upper shadow, then this means that the bulls no longer have the opportunity to ensure an increase in price. Most likely, in the second half the day will continue to move down. Even if some important news comes out, after sharp fluctuations, the price will return to the previous direction of movement. You can open a sell warrant. A long lower shadow is a signal of a likely price increase before the end of the trading day. If by the middle of the day a candle was formed with a large body and small shadows, then with a high probability this direction of course will continue in the afternoon of the trading day. According to this, a trade decision can be made. At that generation such a weekly candle as a doji indicates uncertainty in the market. It is difficult to predict the further movement of the exchange rate of the currency pair. In such a situation, it is better to stay out of the market. And it is also necessary to take into account the fact that at the end of the trading day some traders begin to close warrants. They don’t want to leave them for the weekend. This, although insignificant, can still affect the exchange rate of the currency pair. Trading on Friday can be profitable if you learn how to correctly evaluate the market situation and take into account the peculiarities of trading on this day. Inga Fedorova 23.10.2021 Record Trade on Friday: features and recommendations first appeared forex-for-you.ru.