My day starts early. I watch the closing hour of the US market, and how SPI Futuers are following or not following. I then watch the close, how they pump it up or dump it in the last few minutes, then it stops. I don't spend much time analysing what happened yesterday, as that happened already. The US futures open before our futures do, so if the US was down 1 pct, and US futures open positively, then the XJO 'may' not go down 1 pct at all.. Our futures open 10 minutes before the XJO, so, they gap it up or gap it down, then the question is, is that open reality or a head fake, is it in line with what is 'supposed' to happen, or what 'should' or 'will ' happen', then the XJO opens, and it is a staggered opening, so takes 20 minutes or so, so, you basically have between 9:50 am and 10:20 am to take advantage of the futures following the overseas market, and then reverting back into an Australian product, as during the day, futures follow the cash, not the other way around, so either the futures will go to the XJO, or, the XJO will go to the futures. Hence, the opening gap trade, which has a 90 percent success ratio, but you need to do the backtest and prove it for yourself - and they push it around in those early minutes, so you have to be confident that your trade will be a winner... It's all there on the charts, you just need to look for it, and ... oh, know what you're looking for..
(20min delay)