Buying stock shares on the weekends

Question

What are the positives and negatives of purchasing common shares on the weekend when the market is closed? How does it work, any constructive advice is appreciated..

thanks

Answer 1

It all depends on your objectives. If i were a trader who opens and close positions based on weekly charts, trading on a weekend is good. The reason why i think that is good is because, at the end of that trading period (weekly) I see which positions, long or short that institutions are holding. Compared to open day trading, you will see a lot of "noise" in the market.

Another thing is that if you have a full time job, you may not be in the right mind set to monitor your investments. As there may be too much noise in the market, there may also be a lot of things that are going on in your own head that might affect your decisions.

One downside that I see is liquidity. If you were wrong about a position, there might not be enough buyers and sellers and you may have to close at a much lower price (or higher if you were short).

Hope this helps!

- Jim Syyap, Managed Forex Accounts

http://jsforex.blogspot.com

Answer 2

Can you clarify what exactly you mean by that.May be I can help you out.Anyways you can trade on normal trading days.