If you observe NF daily, you will be able to observe these time periods yourself. Lots of times, the spread in NF would be more than 1 points, volumes low and we would be just in a 10 point range. These are resting points. In general, high volume activity and price movements happen around the closing of the 30 minute candle. There are good exit points.
Besides, you will notice the following time periods
- 9:15 to 9:30 is a high activity period usually because of overnight positions being adjusted and new positions being added.
- 9:30 to 12 is usually a low activity period. Activity "decays" as we reach 12. This usually puts SG to sleep
- Activity peaks around 12:30. Most intraday U-turns happens in the 12:30 candle
- 12:30 to 2:30 is medium to high activity period with 1:30 and 2:30 surges
- Between 2:45 to 3:15, individual stocks move because of people being wrong-footed in their intraday positions squaring off.
Others can add more, these are just my 2 seconds on time periods.
Regards,
E.
b) During which hour are markets generally more volatile? Is there a specific time period during the day (like 9.15-10AM) during which we should avoid buying options because of high volatility. Similarly, during which time period is volatility low?