WikiFX Live Event: How To Identify Market Movers And Make A Profit

WikiFX will start a live event on WikiFX Live on July 27, 2022, at 3 PM PH Time (“https://liveroom.wikifx.com/en/live/202207268741740865.html”). The live session will cover “How To Identify Market Movers And Profit.” It will be hosted by Jhon Francis Rabe a CFMP, CATA, CAEA, Stock Investor, Forex Trader, Crypto Trader and, NFT Collector. He is also a Financial Advisor in Manulife Philippines. This will be an exciting conversation for traders to discover a new method to include in their daily trading plan. It's been an honor for WikiFX to provie informative live conversations to traders and encouraging them to engage by asking questions to the host.

What exactly is WikiFX？

WikiFX is a worldwide corporate financial information search engine. Its primary duty is to give the included foreign exchange trading organizations with basic information search, regulatory license searching, the credit assessment, platform identification, and other services.

Wikifx has created a big data solution that unifies data gathering, data screening, data aggregation, data modeling, and data productization using public data from government agencies, sophisticated sniffer systems, and scientific computer algorithms. Wikifx may then assess the supervision and risk levels of the associated organizations across several dimensions and give matching security solutions to individual users, corporate users, and government agencies.

A summary of the live event

Today's market movers are any news that provides direction and enhances volatility in the near term. Before their publication, the market is normally calm.

This shift may be shown by using the Bollinger Bands indicator on our chart. The gauge has a characteristic flattened design, with the top and bottom bands narrowing to create a funnel; this structure compresses the market. Regardless of the day's conclusion, the trader might profit from this market environment by using the break-out approach, which entails starting a position upon the break of support or resistance, which preferably corresponds to the outer bands.

But, returning to the main point, we may describe today's market movers as news, events, and data capable of affecting the performance of a certain financial instrument. Each market mover has a unique influence and breadth and may be either anticipated or surprising.

Macroeconomic data, which is anticipated on certain days and times and is accessible on an economic calendar, is one of the most predictable market movers. Market movers include macro data, central bank meetings and pronouncements, quarterly company statistics, political events, and elections. Every trader must constantly be prepared for these occurrences.

Market movers are generally one-of-a-kind occurrences. The outbreak of the coronavirus in Europe and the United States in March 2020 is a remarkable example.

As the chart below shows, this unexpected incident has caused significant market volatility.

Trading the After-Market Movers

Trading large changes after hours is the Wild West of stock trading. When volume is low(er) and fewer traders are purchasing stocks, swings may be dramatic and quick. It implies a high-profit potential but also a high risk, and in certain cases, determining the risk might be tricky.

Before we trade the aftermarket movers, let's define “after hours.” Why do stocks fluctuate after hours？ How to locate after-hours (large) movers, the advantages and disadvantages of trading after hours, and various trading techniques

Definition of After-Hours Trading

Normal stock market trading hours in the United States are 9:30 a.m. EST to 4:00 p.m. EST. It is the busiest trading day for the New York Stock Exchange (NYSE) and NASDAQ exchanges since banks and institutions are also open at this time. It is also the time when opening and closing prices are given (on websites and in newspapers). The pricing is open from 9:30 a.m., and it is closed at 4 p.m.

While this is the official open and close for the day, and the majority of the daily activity happens during these periods, trading also occurs outside of these hours.

Pre-market trading hours are from 4 a.m. (Nasdaq) to 7 a.m. (NYSE), but 4 a.m. for NYSE ARCA securities. The stock market then trades during its regular trading hours. Extended hours or aftermarket trading refers to trading that happens between 4 p.m. EST and 8 p.m. EST.

Why Do Stocks Change After Hours？

Beyond the closing bell at 4 p.m., there may still be traders wanting to enter or exit positions, keeping the activity running for an hour or more after the official closure. It may happen with equities that trade in the millions of dollars every day. These high-volume stocks may see some aftermarket action every day. Many equities, particularly those with smaller turnover during the regular session, may have no trading after hours.

Earnings reports, for example, are often issued after hours. Earnings may cause large price changes and are a major statistic that institutions and investors use to decide whether to purchase or sell a firm.

When earnings are provided after hours, traders attempt to act on the information (hoping to have a leg up on the majority of traders and investors who will not be trading until the following day). It produces large and quick movements in the share price. This volatility draws day traders who want to join and exit transactions quickly for a profit.

Finding (Large) Movers After Hours

There are a handful of locations to search for traders who want to get into trades following results, or day traders who want to trade the earnings volatility.

Companies announce in advance when they will release results (and whether it will be after hours). Yahoo! Finance displays all profits.

Traders may also keep an eye on equities that move after hours by using the MarketWatch After Hours Screener or the NASDAQ After Hours Most Active list.

Most trading and charting software have a pre-market and after-hours active list. Check with your broker and/or platform provider to determine whether you have access to this feature.

As previously said, results for well-known firms usually provide the finest trading chances. Price movement and volume are essential, therefore if no one cares about the stock, the volume will be absent (even though a few traders may cause the price to move).

There is one significant benefit to trading after hours:

• Less competition

Because there are fewer active traders, an individual may get attractive pricing that may not be accessible until greater liquidity returns to the market.

Unfortunately, this benefit has a drawback. Reduced competition means:

• Less volume

• Erratic price moves

What to Do After Market Hours

Some traders choose to create unique tactics for trading after hours or during news events, however, the techniques utilized after hours are often relatively similar to those used during normal trading hours.

Traders may choose between a news-based method and a trend-following technique. While the strategic principles for trading after hours and during normal market hours are the same, traders should account for greater spreads, reduced volume, and larger price changes when trading after hours. These circumstances may make stop loss ineffective, increasing the danger of big losses. As a result, if trading after hours, consider lowering your position size (from what you would typically trade during regular market hours).

The Last Word on After-Hours Trading

After-hours trading in US equities happens between 4 p.m. and 8 p.m. While after-hours transactions are possible at this period, this does not imply that all equities have after-hours trades. The majority of stocks don't. After 4 p.m., most stocks are deserted, with no one prepared to purchase or sell at the day's closing price.

After-hours trading may occur in stocks that trade millions of shares each day during the normal session.

Stay tuned for more live events about forex trading, forex broker, and, the market. You may access them on the go by downloading the WikiFX App from App Store and Google Play Store.