Turkey Day incoming: US stock market trader and investor alert
WASHINGTON – Investor Alert! This is a reminder for active traders and investors in US stocks and bonds. The upcoming holiday week involves limited trading hours. In other words, with Turkey Day incoming, remember that Thanksgiving Day, November 25 2021, is not only a national holiday. It’s also time for avid traders and investors to take the day off from the pursuit of endless wealth and filthy lucre, even these were tough game to play this past miserable Wall Street week.
More on 2021’s Turkey Day investor alert / trading hiatus
Thanksgiving Day’s trading hiatus, of course, delays settlement day for trades executed Wednesday, November 24, 2021 until Monday, November29.
Most trading in futures and commodities in US markets will remain closed from Wednesday, November 24 through Friday, November 26. There may be occasional exceptions, but check with your broker on these, if any.
The day following Turkey Day – aka “Black Friday,” November 26 2021 — finds US markets open again. But not for long. Trading in stocks and related equities closes at 1:00 p.m. ET. Bond traders can keep the game going a bit longer, but that market closes an hour after equities, at 2:00 p.m. ET.
Those who trade on global exchanges should check with their brokers as to available trading hours on those exchanges.
Beware misleading moves in stocks and even bonds next week
Unpredictable, erratic and often entirely oddball stock moves typically happen during each year’s Turkey Day trading hiatus. That’s due to many traders and investors taking the entire week off and ignoring their portfolios during this low-volume holiday period. As a result, given the low trading volume, some stocks can experience big moves both up and down. Such moves work like basketball head fakes. They don’t reflect investing reality.
But reality tends to resume the Monday following Thanksgiving Week. At any rate, this remains a good reason why experienced investors avoid making big commitments or big portfolio sales at this time. Helps avoid getting faked out one way or the other.
In other words, enjoy your Turkey Day week and don’t worry about Mr Market too much until Monday, November 29, 2021.
Meanwhile, we’ll offer an occasional column next week if necessary. Otherwise, we’re taking the trading week off ourselves. That seems reasonable, given that our portfolios misbehaved badly last week. Meaning, we need to clear our heads before diving back in again.
Headline image: Royalty-free image via Pixabay.com.