The 5-Day Low Overnight Trading Strategy (S&P 500 Overnight in 2024 — A Tactical Approach)
We look at the performance of the overnight session when the S&P 500 opens at a 5-day low but at the same time, the close is higher than the open.
We backtest the following trading rules:
SPY must open at a 5 day low.
The close must be higher than the open.
If 1 and 2 are true, then enter on the close.
Exit tomorrow’s open.
Test period from 2005 until July 2013. Below is the profit curve.
You can find more info about this trading strategy here:
https://www.quantifiedstrategies.com/5-day-low-overnight-trading-strategy/