Yep. Just buy the Globex open at 5pm Central and sell it before 7:30am Central. In the past month that I've been trying this I profited about 70% of the time. And it's been true for the past 15 years at least that S&P futures trade higher overnight more often than not. As long as that remains true, this is literally all you have to do to make money.
Discussion
Great find!
Wow. Big if viable to play for a regular person like me. Thank you for sharing.
I will do a bit more back testing, but, having a quick look, indeed looks like the tendency is real.
If the losing trades are not much bigger than winners, and seems they are not, and if transaction costs are not eating too much of the profit, despite frequent trading, basically daily, looks promising.
I spent a lot of weekends a few years ago looking for a holy grail mechanical trading system. Of course I failed and concluded it cannot exist.
Could it be a tradable edge? With enough discipline and consistency... Until it lasts... Small size... Maybe
Are you going to continue trading it?
Live account?
Good luck, once again thanks for sharing.
Congratulations on July results.
I just set a 20 point stop loss. It's rare for the market to drop 20 points overnight but if it does something is wrong and I want out of my position at that point.