Gap Trading

[yiehom]

Hi Adam,
I take good note of this correlation. It had never crossed my mind before, though I was aware of that with E/U.
Yes I do every thing manually. I wonder how gap trading is codable ? I trade mainly with cmc , some times with ig and learning oanda platform.

Fortunately I am also in a gold trade that has saved my week so far. Just hope all this NFP storm doesnt make me lie.

Uh-huh. Everybody makes those mistakes. That's why we all lose!

Plus you didn't mention one more mistake - AUD/USD and AUD/JPY are strongly correlated, you should have reduced your position size even more.

So you're not coding this? You're doing it manually. What platform do you use?

 

[yiehom]

Hi George, hope you are doing well. Its been a while ...

This weekend gap on A/U: stopped at break even

 

[options-george]

Hi George, hope you are doing well. Its been a while ...

This weekend gap on A/U: stopped at break even

hey there Yiehom, sorry for my lack of posting. I have been digesting six straight weeks of terrible trading results. From 1st Nov to now, it's been one-directional :cheesy:

So I have closed my trading book for the year with +17% for the year (was +30% on 31st Oct!!).

Regarding the gaps, I have actually not checked in the last couple of Sundays (and will not do tonight either) because my normal strategy for the gaps really just isn't working at the moment - so it's hands-off for me. Though the number of pairs I am looking at has also decreased for a couple of months already - none of the CHF pairs were viable anymore because of the large spreads.

The gaps on the US equity markets have also not been working for me - like I said it's been a great time!! :cheesy:

am just doing some reflecting and re-designing for the next trading year.

How are things for you then?

 

[yiehom]

Glad hearing from you again George. Well, if you can repeat just that + 17% next year, I am sure Mr Soros will hire you. That is 170.000 out of one poor million :!:
Some draw down is just normal.

The greedy ******* here is just slightly up on the year, due to some poor position sizing recently, but I am happy with my strategies overall.

This weekend I shorted aud/usd and gold at the open. Out now with little profit.
Will do but some quick scalps till the second week of january.

Best wishes, BTW !

hey there Yiehom, sorry for my lack of posting. I have been digesting six straight weeks of terrible trading results. From 1st Nov to now, it's been one-directional :cheesy:

So I have closed my trading book for the year with +17% for the year (was +30% on 31st Oct!!).

Regarding the gaps, I have actually not checked in the last couple of Sundays (and will not do tonight either) because my normal strategy for the gaps really just isn't working at the moment - so it's hands-off for me. Though the number of pairs I am looking at has also decreased for a couple of months already - none of the CHF pairs were viable anymore because of the large spreads.

The gaps on the US equity markets have also not been working for me - like I said it's been a great time!! :cheesy:

am just doing some reflecting and re-designing for the next trading year.

How are things for you then?

 

[stockmarketwaves]

Re:

You might want to try interactive broker ( IB) or tradeking. My friends use them. I use tradestation. Tradestation has at least two pricing policies, one based on shares, one is flat fee.

I am interested in scalp trading too. I mainly focused on commodity ETFs, such as UWTI, NUGT, UGAZ etc. Sometimes I check the momentum stocks too from yahoo finance or stocktwits.

I'd like to chat with you in the future. BTW, I provide stock alert service, see http://stockmarketwaves.wordpress.com

Good luck in your trading!

I am a UK-based trader, and have been trading the Sunday Night gaps on the FX markets since December and it's going ok. Together with someone else, I am now looking to trade opening gaps in the US equity markets. My preference at this point is to trade specific companies rather than the indices.

I have subscribed to briefing.com (trial for the month of June) to get a heads-up as to stocks looking to gap up or down at each day.

For this whole month I will be taking live trades, albeit very small positions, to develop and refine my strategy. With other strategies, I have found this approach to be a faster learning curve then back-testing.

The first thing I have come across relates to how to conduct the trades.
CMC seems to provide a good spread on the CFDs and covers the shares that i am looking to trade. However they charge $2 commission per 100 shares each way. Initial inquiries as to whether these rates are negotiable were answered with a resounding 'no'. Depending on the stop loss size, I will be looking to trade 2,000-10,000 shares per trade.
A half-hour chat with TradeStation was very useful - their commission are significantly lower however they only provide 4-1 leverage on intraday stock positions, whereas CMC does much higher.

I am not keen on the idea to transfer large portions of my trading capital to TradeStation just to take advantage of lower commission rates.

Can anyone comment as to alternate approaches to reducing the transaction cost issue for trading US shares?

 

[options-george]

You might want to try interactive broker ( IB) or tradeking. My friends use them. I use tradestation. Tradestation has at least two pricing policies, one based on shares, one is flat fee.

I am interested in scalp trading too. I mainly focused on commodity ETFs, such as UWTI, NUGT, UGAZ etc. Sometimes I check the momentum stocks too from yahoo finance or stocktwits.

I'd like to chat with you in the future. BTW, I provide stock alert service, see http://stockmarketwaves.wordpress.com

Good luck in your trading!

Hi Stockmarketwaves,
lol it's been a while since I traded gaps on Sunday nights.

I don't do any trading in stocks or ETF's.

In terms of futures, yes, am doing a lot of that lately - though on somebody else's platform. I am looking to replicate a lot of the trades I am doing on that platform into my account - for now I would be limited to TradeStation, though I am interested in giving Interactive Brokers a go. Do you have any feedback on them in terms of execution quality and commission structure?

Nice work on your wordpress site!

George

 

[stockmarketwaves]

Re

Hi George,
So far I heard the commission is low and no negative comments about order execution.

Thanks for your feedback on my website.

Hi Stockmarketwaves,
lol it's been a while since I traded gaps on Sunday nights.

I don't do any trading in stocks or ETF's.

In terms of futures, yes, am doing a lot of that lately - though on somebody else's platform. I am looking to replicate a lot of the trades I am doing on that platform into my account - for now I would be limited to TradeStation, though I am interested in giving Interactive Brokers a go. Do you have any feedback on them in terms of execution quality and commission structure?

Nice work on your wordpress site!

George