Thoughts on managing overnight risk in Asian equities?

asked by u/sarah.martinez · 5d · 1 answers

Hey everyone, fairly new here, been trying to get my head around trading Asian markets more consistently. I'm finding the overnight holds a bit nerve-wracking, especially with how quickly sentiment can shift between market closes. I try to manage position sizes, of course, but it still feels like a gamble sometimes waiting for the Tokyo open after the US close, or even HK after Tokyo closes. Does anyone have a particular strategy or framework they use for managing that overnight gap risk? Or is it just something you build a thicker skin for over time and good stop placement?

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  • u/anjali29· 1 pts· 5d

    Overnight risk is inherent. Beyond position sizing, are you considering a systematic approach to defining your maximum acceptable loss per trade or across your portfolio, particularly with these longer hold times? That might provide a bit more structure than just feeling it out.

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