Phil Mibbutz
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Possibly not quite the right thread, T-D, but how much difference does it make to your trading now you're not using spread betting (presumably!)?
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Possibly not quite the right thread, T-D, but how much difference does it make to your trading now you're not using spread betting (presumably!)?
chilltrader
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Why are we expecting a bounce?
trader_dante
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I am finding it much harder to trade profitably in the direct market than I did when I was spreadbetting and my results are, as a result, worse although I've only been live for a little over a month so it's early days yet.
A professional setup - a ladder where trades are instantly filled - makes it far easier for the scalper or the very short term trader to be profitable because they don't have to suffer trade denials or requotes etc that you get when you spreadbet.
But seeing the prices move (particularly in the ladder format which enhances the LOOK of the volatility) and also seeing the rate of change of the best bids and offers, the spread between the best bids and offers that occur before news etc can mess with your head and cause you to exit early or break other rules if your self control is vulnerable.
I am essentially a swing trader. I like to hold positions. Because of the size of my stops, exiting early is detrimental to my success and I've struggled with that problem for the above reasons.
I find that its easier to win big when you don't watch the market.
dans_ya_man
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If I remember rightly the last time you thought there would be a turn around was coming off the May highs, you were dead right
So I will be waiting with eagle eyes on the 16th, I expect a extended drop (capitulation) before things turn around, maybe will get this on Monday or Tuesday, we will just have to wait and see.
barjon
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Sure thing, td. I've had some of my best days when I've stuck my orders in and gone off to play golf
good trading
jon
Sure thing, td. I've had some of my best days when I've stuck my orders in and gone off to play golf
good trading
jon
Admit it! You got a telepathic signal from me which put you off your stroke. That caused two disasters.
1. You had a bad day at the course and
2. You were too late to get to open a trade.
:clap:
Split
Pat494
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May I ask which platform you are using ? and are there other snags. like minimum bet size ( never did understand buying contracts ), huge deposit etc. ???
It's quite an expensive leap into unknown territory, but I have been pondering this problem for some time. Just reading around the net, Ninja and Ameritrade seem to be rated the top progs at the mo
Hope you don't mind me asking
Vaco
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I can really relate to this and its a dbl edged sword as you are also much more likely to place trades outside of your setup out of frustration because you got out too early now chasing the market and throwing more money away.
Trading using stop/limit orders with predefined stops and targets needs discipline but trading in the moment at the market price requires discipline on a completely new level.
Atilla
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Markets in uncertain periods obviously have high volatility with daily, multiple big swings . In these scenarios trying to trade with MAs and tight SLs in a sideways moving market are not good and I too can relate to this predicament of finding my price cutting over MAs entry system not as effective as in stable markets. These high volatility days are good for scalping.
During other periods when there is a clear trend and markets relatively stable then - personally speaking for my MAs it's great.
I like to think of trading as driving. When visibility is poor or you are travelling through town centre cut your speed and look out for hazards (Small time frames and scalp).
On A roads and motorways then put your foot down (Higher time frames and trending markets where signals and targets remain for days...).
Sometimes when the roads are treachorous like heavy snow and ice, simply cancel that trip and play tiddly winks at home...
I didn't used to use SL when going short as I used to think the upside was limited but now days I do.
During other periods when there is a clear trend and markets relatively stable then - personally speaking for my MAs it's great.
I like to think of trading as driving. When visibility is poor or you are travelling through town centre cut your speed and look out for hazards (Small time frames and scalp).
On A roads and motorways then put your foot down (Higher time frames and trending markets where signals and targets remain for days...).
Sometimes when the roads are treachorous like heavy snow and ice, simply cancel that trip and play tiddly winks at home...
I didn't used to use SL when going short as I used to think the upside was limited but now days I do.
Especially when you can't be there all the time because of work. Limit orders are all you can do then, when you get home, you find out whether you are in the trade, or not. Or whether your stop has been hit or, if it is a rolling bet, whether it rolled over too near a stop that could be triggered first thing in the morning.
Phil Mibbutz
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Interesting... and surprising, particularly if this applies to the Dow/YM. As you say, if you were making short-term trades direct access would probably be more beneficial.
Vaco
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The hard part in trading though is u dont always know what the conditions are going to be untill after the event.
This is a good reason why running multiple strategies will give you a smoother equity curve.
trader_dante
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Pat494,
I am using TT (Trading Technologies International, Inc.). The only broker I know that uses them is Velocity Futures (Futures Brokers, emini trading, Futures Trading).
When you trade futures in the direct market you must deal in contracts.
The value of each contract differs from market to market.
1 contract (which is the minimum you can deal in) in the Mini Dow future for example is worth $5 or £2.50.
So if you bought 1 contract in the Mini Dow at market you would essentially be £2.50 a tick long in spreadbet equivalent terms. If you bought 2 contracts you would be £5 a tick long etc.
In the Euro/Usd each contract value is higher and is a little over £6 a pip.
In order to trade you need to have enough margin in your account to hold a position to your stop. I believe the minimum amount you need to trade futures is $1,250 (£625) to hold a 1 lot intraday (it is more for overnights) but I've never had my own personal futures account so don't quote me on this!
Atilla
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Depends on visibility. You should never drive faster than your stopping distance as a rule.
If you can't see what's round a sharp corner, you should make sure the strategy you engage - just like the gears, is the right one for the bend.
By multiple strategies do you mean having multiple positions like short and long with different time frames or do you mean having multiple instruments like paired currencies?
Vaco
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by mutiple stratagies i mean for example having a stratagy for trading ranges and another for break outs.
If you trade to capture larger moves throughout the day then closing half your position when u have captured the same no of points tht you risked means tht you can let the rest of the trade run its course. this means you still get something out of the trade when conditions are choppy.
If you trade to capture larger moves throughout the day then closing half your position when u have captured the same no of points tht you risked means tht you can let the rest of the trade run its course. this means you still get something out of the trade when conditions are choppy.
Atilla
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I use BBand breakouts too sometimes as well as moving SL to break even/profit levels but when the market is so choppy with such big moves unless you are watching the screens full time and even if you are trading is still much more difficult than what may be termed average trading ranges.
I think it's only to be expected a big battle is likely to take place between bulls and bears over the 11000 mark. Perhaps more so than the 12800s. Might do some timely caculations to see what the periods are.
I'm also interested in Breadman's post re Gant time periods (Highlighted by Dan). This week should be interesting as the 16th falls on Wed midweek.
I'll be waiting watching listening and hopefuly learning.
I really would like to learn more about Gant to complement a little more of EW, DOW and Fibonaci theories. I really think over time they all gell so well together. It's like fusion of atoms - mind blowing stuff.
Pat494
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Thx for the info on contracts TD
Can't say I have heard of TT but will take a look.
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