I often (not always but often) see that stock/commodity price rise sharply when market is approaching close. Shouldn't this be opposite (taking intraday profit)? What is the purpose of this strategy?


This is often the case where traders are closing out short positions they don't want to hold overnight, for a variety of reasons that matter to them. Most frequently, this is from day traders or high-frequency traders settling their accounts before the markets close.

Your Answer

By clicking “Post Your Answer”, you agree to our terms of service, privacy policy and cookie policy

Not the answer you're looking for? Browse other questions tagged or ask your own question.