E-mini Trading can be a very profitable venture if done correctly and in this article we go over the worst times of the day to trade.

The e-mini trader has unprecedented access to the markets. He or she can trade from their office via the GLOBEX exchange almost 24 hours a day. This high level of access can be a huge benefit but tit can also be dangerous for the undisciplined trader. There are times when it is in the best interest of the trader not to be initiating new positions. These examples below explain when and why it is a good idea to step away from the charts.

1. 4:15 pm EST – 2:30 AM EST

Commonly referred to as the After Hours session the period directly after the US market shuts down can be extremely slow trading. Low participation levels often means the market won’t move a tick for several hours. The flipside of low volume is that important support and resistance levels where you would normally expect to see high participation can be wiped out without much of a fight. Moves that occur during this time period are best left to traders who watch and trade multiple markets.

2. 9:30 AM EST – 10:00 AM EST

The opening 30 minutes is often referred to as the wildest 30 minutes of the day. When the New York Stock Exchange opens up there is a flood of market orders. The orders are initiated by non-traders and there is little concern over exact fill levels. This can mean intelligent levels that would normally hold at any other point during the day are completely blown out of the water. Step away from you station and let the market orders die out before you start to analyse the trend for the day. This will save you from getting chopped up in the early morning rush.

3. 11:30 AM EST – 1:15 EST

In the middle of the trading day on the east coast the lunch break can often be a very rough time to look for new entries. Liquidity dries up from the morning and traders wait on the sidelines until the start of the afternoon. Price movement will often find a range and stay within that range until the afternoon push begins. Avoid trading this time period and you will save yourself commissions by not falling into the range trap.

4. 3:00 PM EST – 4 PM EST

Often referred to as the hour of madness the last hour of the day is seen by many as the single worst time to be initiating new orders in the markets. Avoid trading at this time at all costs. Price swings can be very violent and have absolutely no technical bearing whatsoever. If you are in a position you may want to tighten stops and look for an exit as the closing bell approaches. The closer 4:00 PM gets, the higher the number of market orders there are being placed, as traders climb over each other to get out of the market.

Avoiding trading during these times will allow you to focus on the times that are consistently profitable. You will have more energy and more focus when you do take some time away and you will see the benefits in your profit and loss statements. Profitable e-mini trading means trading your advantage and at these times of the day there simply isn’t any edge to trade.

Do you have the skills necessary to become profitable at e-mini trading? Start learning today at the internet’s #1 source for futures trading education.