overnight position

overnight position definition - finance
A financial investment that is held after the close of daily trading. This term is used mainly in the futures market, since some futures traders typically close out their positions at the end of the trading day in order to avoid any overnight developments that might produce a loss. It applies much less to stock positions, which typically are held for long periods of time.

Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.

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