Power Hour

The final hour of the regular trading session (3:00 PM to 4:00 PM Eastern Time), known for elevated volume and volatility as institutional traders execute large orders, mutual funds rebalance, and day traders close positions before the bell. Some traders also use the term for the first hour after the open (9:30 AM to 10:30 AM). Both periods offer high liquidity and directional opportunities, but they also carry increased risk from sharp reversals.