Forex futures
Thanks BBB, a useful site. However, perhaps it is me but I can find practically everything on this site except "central bank interest rates for each currency". This seems to be the case for all these types of sites which I have found. I have found one or two which list them for a few major currencies only, but not for most of the significant currencies. Perhaps I just don't know where to look?
Is the data really on Oanda? If so can you point me in the right direction please? Thanks.
BBB said:
Thanks BBB, a useful site. However, perhaps it is me but I can find practically everything on this site except "central bank interest rates for each currency". This seems to be the case for all these types of sites which I have found. I have found one or two which list them for a few major currencies only, but not for most of the significant currencies. Perhaps I just don't know where to look?
Is the data really on Oanda? If so can you point me in the right direction please? Thanks.
I have come across an internet site which lists CB interest rates if anyone is interested. It is :
http://www.fxstreet.com/nou/continguts/centralbanks.asp?menu=interestrates .
I would still be interested if anyone knows of any others please. Thanks.
http://www.fxstreet.com/nou/continguts/centralbanks.asp?menu=interestrates .
I would still be interested if anyone knows of any others please. Thanks.
Noche said::?: :?: :?: :?: I know that futures is in a large period of time, not like spot that could be even in seconds... but what if some one gets a future, and the market never goes to the price one is looking for, or expecting to get?
Noche,
The spot price is the price deliverable in 2 days (1 day for CAD/USD). It is considered the immediate price. Futures are a form of forward contract that trades on an exchange, has a specified contract size, and has a set expiration date (usually in March, June, September, and December). Futures are a contract to buy or sell one currency for another at the specified date for the price that you agree to now. No money actually changes hands now except that you have to keep money with your broker to cover any losses that you incur; this is called margin but is a different concept than margin in stocks. For forex speculators (traders) who do not actually take delivery, your broker will automatically roll your spot position if you hold it more than 2 days and pay or take from you interest that is based on the interest rates in both countries. Retail forex brokers can do what they like because they take the other side of your trades: most pay/charge interest the usual way but some pay/charge intra-day and others only charge and never pay. There is no interest in futures: the "interest" is already reflected in the price of the future based on the interest rates in the two countries and the amount of time until the contract expires. As the futures contract gets closer to expiration, the price will get closer to the spot price until they converge at the end. You should also understand that the futures price can vary slightly from the current spread to the cash in the short term based on short term factors of supply and demand and the liquidity present. When trading either the futures or forex outright (not spreading or going for the carry trade, etc.) you simply buy or sell (the first one of the pair) based on which direction you think the currencies are going to move. If you are right you profit the number of pips that it moves your way times the tic/pip value, and if you are wrong you lose the amount that it goes against you. For both spot and futures you close a position by taking the opposite trade to your opening trade (buying or selling).
Noche,
the description provided by TRADERguy of the difference between the spot market and the futures market is one of the best I have read. Don't take this the wrong way but until you understand all that TRADERguy has written then don't even think about trading Forex. The Spot Forex market is one of the most liquid in the world and attracts some of the best traders, they will be queuing up to take your money.
the description provided by TRADERguy of the difference between the spot market and the futures market is one of the best I have read. Don't take this the wrong way but until you understand all that TRADERguy has written then don't even think about trading Forex. The Spot Forex market is one of the most liquid in the world and attracts some of the best traders, they will be queuing up to take your money.
I use TradeStation as my broker.
In terms of reliability, the TS platform and data feed have been very resilient, only one loss of connectivity during the whole time I have been using them and this was a globex issue.
I used IB for a month last summer and I found their system to be very unreliable. I dont know what its like now, but one of my trading buddies still seems to have trouble with IB whenever there is a fast market due to news etc.
If you do more than 500RT a month you can get a much better deal on commissions, plus you get the platform for free.
One big difference is the telephone answering speed and online support. TradeStationWorld forum is an outstanding support resource, and TS tradedesk pickup your call quickly, unlike IB.
In terms of reliability, the TS platform and data feed have been very resilient, only one loss of connectivity during the whole time I have been using them and this was a globex issue.
I used IB for a month last summer and I found their system to be very unreliable. I dont know what its like now, but one of my trading buddies still seems to have trouble with IB whenever there is a fast market due to news etc.
If you do more than 500RT a month you can get a much better deal on commissions, plus you get the platform for free.
One big difference is the telephone answering speed and online support. TradeStationWorld forum is an outstanding support resource, and TS tradedesk pickup your call quickly, unlike IB.
jpwone said:
In fact I am starting to learn how to trade with FOREX, I work at a comapny here in Mexico (relative new aprox. 3 years) and i dont know much yet, my boss is all the time with me, but still... i am learning.... and I want to learn some more, I want to become a real broker... but in Mexico taht is still new, and no courses or classes for that. :!: :!: :!:Wow, there were some large short term spikes today on US data release. I got hit with -72 pips on GBP futures. Ouch !
Interestingly though, comparing Globex with FXCM charts, the GBP futures spike was about 40 pips bigger than the spot spike & the EUR futures spike was ca 11 pips larger than the spot. I guess the futures are far easier for the big players to move due to less liquidity, and although I am loathe to admit it, this just might make a case for trading spot rather than futures, particularly for GBP, as long as spreads are tight, and I am seriously thinking of changing.
rog1111
Interestingly though, comparing Globex with FXCM charts, the GBP futures spike was about 40 pips bigger than the spot spike & the EUR futures spike was ca 11 pips larger than the spot. I guess the futures are far easier for the big players to move due to less liquidity, and although I am loathe to admit it, this just might make a case for trading spot rather than futures, particularly for GBP, as long as spreads are tight, and I am seriously thinking of changing.
rog1111
Hi ChowClown
I am trading GBP using the 1-8 GMT system, 70 pip stop, exit 20h30 GMT, 2 hours only allowed for entry. Recent results have not been great, but it's been a good learning curve at least. I will post a full set of futures actuals versus spot theoreticals in a separate post.
Which BO system and product are you trading ?
I very much like FXCM, their policies and service, but I see that other FX brokers are now offering at a 3 pip spread for GBP, which may make it worthwhile me switching from IB / Globex. No decision yet.
rog1111
I am trading GBP using the 1-8 GMT system, 70 pip stop, exit 20h30 GMT, 2 hours only allowed for entry. Recent results have not been great, but it's been a good learning curve at least. I will post a full set of futures actuals versus spot theoreticals in a separate post.
Which BO system and product are you trading ?
I very much like FXCM, their policies and service, but I see that other FX brokers are now offering at a 3 pip spread for GBP, which may make it worthwhile me switching from IB / Globex. No decision yet.
rog1111
ChowClown said:
Rog,
I'm trading the '1-8am (GMT) EUR/USD, 60SL, 2hr entry, 6pm (GMT) exit' (phew) BO.
Since 22nd April '04:
Max DD: 81, currently averaging 11 pips/day, using FXCM (3 pip spread).
If you have the inclination/time and it's not too much hassle, would you be able to include a backtest of the '7-10am (GMT) EUR/USD, 10SL, no entry time restriction, 11pm (GMT) exit' - for Apr/May/Jun spot.
Thanks.
I'm trading the '1-8am (GMT) EUR/USD, 60SL, 2hr entry, 6pm (GMT) exit' (phew) BO.
Since 22nd April '04:
Max DD: 81, currently averaging 11 pips/day, using FXCM (3 pip spread).
If you have the inclination/time and it's not too much hassle, would you be able to include a backtest of the '7-10am (GMT) EUR/USD, 10SL, no entry time restriction, 11pm (GMT) exit' - for Apr/May/Jun spot.
Thanks.
