Whether you close trades before bed or hold overnight depends on your strategy, market, and risk tolerance. Let’s break it down clearly 👇


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🕒 1. If You’re Day Trading (Short-Term)

Close before bed.

  • Day trades are meant to last minutes or hours, not overnight.

  • Overnight, you can’t monitor price action or react to news.

  • Markets (especially crypto and forex) can move fast while you sleep — wiping out gains or hitting stops.

  • Best practice: Always close day trades before sleeping unless your system is automated with strict stop-losses.


🌙 2. If You’re Swing Trading (1-Hour Chart / Multi-Day Holds)

You can hold overnightbut only if your trade is properly protected.

Safe to hold if:

  • You’ve placed a stop-loss at a logical technical level.

  • The trade follows your swing plan (expecting moves over days, not hours).

  • You’re not overleveraged (especially in crypto).

  • You accept the overnight risk (e.g., sudden news, market gaps).

Better to close if:

  • You’re unsure about the setup or the market looks unstable.

  • Volatility is extreme (e.g., before big announcements, earnings, or FOMC meetings).

  • You feel anxious or can’t sleep thinking about it — emotional stress isn’t worth it.


💱 3. Crypto-Specific Note

Crypto trades run 24/7, so the market never “closes.”

  • If you can’t monitor trades overnight, it’s safer to:

    • Use a tight stop-loss and a take-profit.

    • Or simply close before bed if price is near your target.

  • If you’re confident in your setup, set alerts and let it run — but make sure your stop-loss is non-negotiable.


🧘♂️ 4. Simple Rule of Thumb

🔹 If you’re trading short-term or feel unsure → close before bed.
🔹 If it’s a swing trade with a solid plan and stop-loss → hold with confidence.


Bottom Line:
Close trades before bed unless you’re intentionally swing trading with proper risk control. The key is not whether you hold — it’s how protected your capital is while you sleep.

Here’s your Overnight Trading Checklist — a simple, 5-question guide to help you decide whether to hold a trade overnight or close it before bed.


🌙 Overnight Trade Checklist

1. Do I Have a Stop-Loss in Place?

  • Yes: Good — your downside is protected.

  • No: Close the trade. You should never sleep without a stop-loss in a live market, especially in crypto.


2. Is My Trade Aligned With a Swing Setup (Not a Day Trade)?

  • Yes: It’s okay to hold if your plan expects movement over several days.

  • No: Close it — day trades should never become overnight trades out of hope.


3. Is the Market Calm or Highly Volatile Right Now?

  • Calm: Safe to hold with stops and targets in place.

  • Volatile / News Pending: Better to close. Big moves can happen while you sleep.


4. Do I Feel Calm and Confident About This Trade?

  • Yes: You understand the setup and accept the risk.

  • No: Close it. Anxiety means you’re uncertain — and that’s your intuition warning you.


5. Is My Risk Size Comfortable If Price Hits Stop-Loss Overnight?

  • Yes: Losing that amount won’t affect you emotionally or financially.

  • No: Adjust your position size or close the trade before bed.


If you answered “Yes” to at least 4 out of 5 questions, you can safely hold the trade overnight.
If not — better to lock in your gains (or small loss) and sleep peacefully





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About the Author: Alex Assoune


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