Andy's Spread Trading Thread

What do you think about CZ7/CU7?

Andy/Jordan
This spread was bullish in recent weeks, improved even yesterday when Corn tanked. Curious read your expert opinon?
Cheers
 
Isnt it possible to scalp trades from spreads intra-day or is the movement in general insufficient.. ? Im just trying to get some feeling for the strength of movement in spreads and the dynamic nature of that movement intra-day

I am sure you can get enough movement in the indices, currencies and energies. But I am not doing it!

If you are in a trade and it moves against you in the opposite direction, I assume the way to rever the trade is first to exit the position via both legs, and then to establish the same spread and ratio in reverse ie simply reverse the buy/sell portion of each particular leg.. correct?

correct!

Are the fundamentals that move Futures prices relatively similar to diseminate and analyze as stock prices are? e.g. war or unrest could boost the price of energy futures in the same way stocks prices are boosted on good company news relating to growth and earnings? or is the Futures unusually idiosyncratic so as to make such comparison unwarranted?

I am not using fundamentals for my trading. I am looking at what happened but I don't use it to estimate future movement. It never worked out for me.

Regards,
Andy
 
Cz7/cu7

It's a bear spread (two different crop years). Usually the near month moves faster, this was the reason why the spread went up.

Regards,
Andy
 
Do you like this spread? What would make you buy or sell this spread. Or would you hold if long/short? thanks
 
I would probably not get into the spread right now, maybe too late.

If I would be in the trade I would use a trailing stop.

Andy
 
Hi Andy, intersting stuff. Where do you get/how do you construct your seasonal spread charts? Anywhere free?

Regards

David
 
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