FTSE Charts

[avgjoe]

Hi there

Am a newbie to spread betting and am keen to get to grips with the FTSE100 index. My questions relate to live charts & prices during day trades. I currently use a CapitalSpreads demo account.

(1) I read somewhere that the spread is based on the FTSE future, so what charts/indexes do I need to keep an eye out for if I am going to buy live data? Currently I use ADVFN - and there are times when the price is say 5608 (on ADVFN) but the spread on CS is 5616 - 5617. If I wait on CS, the price never goes down to 5608 though...! What gives? What do I need to make the most educated guess possible?

(2) The charting software on CS is crappy as it's 15 min delayed - so am I right in assuming that there's no point even referring to that when making a decision?

Thanks

 

[Splitlink]

CS has a bad name so I would beware of using their demo account. I am with Fins and use their charts, although they, too, are painted black by people when things go wrong.....

Personally, I would not use a 15 min delayed chart. Fins is better than that! My view on these criticisms is that most losers blame everyone except themselves.

I do not buy live data. I used to when I was trading with a broker, Sierra, but my trading style does not justify it. Sierra used to give a free trial and cost $100 per month ( 8 years ago!) but they were good value, then, so probably are today.

However, Fins is worth a try, for what it costs, ie. nothing and I believe they start you off with 100 pounds. Spread on FT and other indices is 1 point.

I promise that I am only a client and win and lose like everyone else.

 

[tomorton]

Daytrading using spreadbetting is unsuccessful for most players. Spreads are too big and the quotes their charts represent are more volatile than the underlying instrument and these firms are just too good, they see you coming.

Don't forget, the SB firm's tick chart for e.g. the FTSE100, is not showing you the price behaviour of the FTSE100, its showing the prices they set for opening a position with them which is parallel to the FTSE100. Think of it like an estate agent's window - the prices they advertise houses at are not directly related to the prices the properties actually change hands at, these can be higher or lower.

The added volatility of SB tick charts also means that their TA patterns of things like candlesticks or bars will be different to the underlying: so what was actually an inside day on the FTSE100 can be an outside day on the SB FTSE100 chart.

Don't worry if the FTSE100 is 5,500 and the SB FTSE100 June is 5,520-5,524, the 20 points difference, or bias, does not mean you are being overcharged for buying.

 

[Splitlink]

Tick charts are no use to me, I must admit, I've never understood them. Scalping with SB companies is a dangerous game and I do not advise it but I do morning session trades and they turn out fine----always providing that I am correct in my own assessment of what is going to happen.

 

[pboyles]

Hi there

Am a newbie to spread betting and am keen to get to grips with the FTSE100 index. My questions relate to live charts & prices during day trades. I currently use a CapitalSpreads demo account.

(1) I read somewhere that the spread is based on the FTSE future, so what charts/indexes do I need to keep an eye out for if I am going to buy live data? Currently I use ADVFN - and there are times when the price is say 5608 (on ADVFN) but the spread on CS is 5616 - 5617. If I wait on CS, the price never goes down to 5608 though...! What gives? What do I need to make the most educated guess possible?

(2) The charting software on CS is crappy as it's 15 min delayed - so am I right in assuming that there's no point even referring to that when making a decision?

Thanks

Youd be better off forgetting about spreadbetting and trade futures. That way you don't have to worry about all these issues with SB companies.I doubt if anyone successfully daytrades with spreadbetting although plenty of people pretend they do.

 

[pboyles]

Youd be better off forgetting about spreadbetting and trade futures. That way you don't have to worry about all these issues with SB companies.I doubt if anyone successfully daytrades with spreadbetting although plenty of people pretend they do.

Should have added that if you really must spreadbet the get a demo account from FXpro they give you free live data and charts.

 

[Splitlink]

Youd be better off forgetting about spreadbetting and trade futures. That way you don't have to worry about all these issues with SB companies.I doubt if anyone successfully daytrades with spreadbetting although plenty of people pretend they do.

Here we go again.

I've been with both and trade within my own comfort zone. We can't "pretend" or "prove" anything on internet forums.

Just start off with the cheaper of two. 10,000 quid with a broker or a few hundred with an SB firm. Common sense is required in making a decision to fit your pocket. If one can't arrive at a logical decision like that then you should remind yourself that you will required to make tougher ones later.

 

[tomorton]

Daytrading's a difficult and risky game if you play it badly, whether via broker or SB. Scalping via SB is virtually guaranted to lose.

But is daytrading any better an idea via a broker if you're a sloppy trader? The often-quoted figure of 90 + % for the number of traders who lose was born at the end of the 90's when scalping and very short-term daytrading became available to the US private speculator via the internet and at low cost for the first time. But as SB is unknown in the US markets this figure has to be based on broker access trading, not SB.

 

[Splitlink]

Daytrading's a difficult and risky game if you play it badly, whether via broker or SB. Scalping via SB is virtually guaranted to lose.

But is daytrading any better an idea via a broker if you're a sloppy trader? The often-quoted figure of 90 + % for the number of traders who lose was born at the end of the 90's when scalping and very short-term daytrading became available to the US private speculator via the internet and at low cost for the first time. But as SB is unknown in the US markets this figure has to be based on broker access trading, not SB.

Tom, I'd never thought about it before but choosing your trading platform is your first
lesson in account management.

 

[tomorton]

Agree that. Of course, one day I do hope to graduate from SB but as long as you don't abuse its inherent characteristics it works.

 

[shadowninja]

http://www.pistonheads.com/gassing/... Betting.. Has anyone returned made a profit?

 

[Splitlink]

http://www.pistonheads.com/gassing/... Betting.. Has anyone returned made a profit?

How did you manage to find that thread amongst all those car freaks?

 

[shadowninja]

I saw it appear in the what's new link last week.

Some PHers work in the industry... ie they're the ones apparently rubbing their hands with glee while a T2W noob is complaining about unfair practices from a broker or spreadbetter.

 

[pboyles]

Here we go again.

I've been with both and trade within my own comfort zone. We can't "pretend" or "prove" anything on internet forums.

Just start off with the cheaper of two. 10,000 quid with a broker or a few hundred with an SB firm. Common sense is required in making a decision to fit your pocket. If one can't arrive at a logical decision like that then you should remind yourself that you will required to make tougher ones later.

I'm afraid this is complete nonsense. You can open a futures account with Global Futures with no minimum account balance and trade 1 contract with $500 margin. You could probably expect to pay 2 or 3 dollars commission and no spread.

 

[Splitlink]

You can trade a margin of $500 with less than that in the account? They are trustworthy. I must say.

I admit that it is some years since I traded with a broker and the requirements may be less, now. However, at 10 pounds per point movement you are going to have to be right for $500 to last.

Some have done it from that level, most don't.

 

[pboyles]

You can trade a margin of $500 with less than that in the account? They are trustworthy. I must say.

I admit that it is some years since I traded with a broker and the requirements may be less, now. However, at 10 pounds per point movement you are going to have to be right for $500 to last.

Some have done it from that level, most don't.

I'm not saying you should trade 1 contract with only $500 in the account no more than I'd say you should SB at £10 per point with $500, the point is that this nonsense about needing 10 grand to have a proper brokerage account is totally wrong.

 

[Splitlink]

Ok, I concede that it is no longer necessary to have £10,000 in an account. As I said, it's years since I traded with a broker. Nevertheless, a small player has more chance with limited resources with a SB company than a broker, simply because he can trade, or bet, for less than 10 per point.

There is a body of opinion that says that to be a trader one must use a broker and pay less commission and spreads, etc.

I have proved, to myself, at least, that to have an opinion on the direction of a trend does not require the services of a broker. I wish to be clear, I do not include scalping or trading shares, necessarily, because I do not know.

SB companies are not angels, that I know, but neither are brokers and I believe that the less one has lying around in brokers accounts, the better.

 

[tomorton]

Newbies - definitely start with SB, and if you're consistently profitable after a couple of years, get a broker. If you're not, you won't make a profit with a broker either so don't bother.

Personally, I don't deposit money outside the EU, preferably not even outside the UK: they may be a bit clueless at times but I prefer the protection of the FSA and English courts.

Global Futures have a US address and are probably perfectly legit and well regulated, but it scares me when people on here start talking about trading with companies based in the British Virgin Islands or the Caymans or Panama etc.