How accurate are dow futures in predicting stocks for that trading day?

if dow futures are up in pre-market trading is it most likely that the Dow Jones will go up along with Nasdaq and S%26amp;P?|||Not very. Study over months and years and you'll find little correlation. One reason why is because trading during the normal session dwarfs the volume seen in pre-market and after-hours futures trading.|||Dow futures, as well as the other two major index futures, are accurate predictors of how the market will OPEN. For instance, Dow futures was down over 200 points pre market on Monday morning and that led to a huge red opening on Monday. But it doesn't necessarily have any predictive powers on where the day will end.|||It all depends on the days news.





Many times premarkets will be up and the market goes down that day. And the vice versa happens also.





In terms of accuracy, I wouldn't make any decisions based on pre-market action alone.





Today will be a good example. Markets were up in pre-market, they are up mid-day, but how the markets end today is anyone's guess.|||Depends on the news for that day. If something occurs turning the day unexpected than the future has no accuracy.|||They can predict the open but news during the day influences the indexes.