Trend following futures with £10k

[mcginty]

Hi there,

I've been trading for about 4 years, trend following stocks and holding positions for weeks at a time. Basically I want to move up the risk/ return ladder so I'm considering switching from stocks to futures.

I was doing a bit of research into Andreas Clenow as I was thinking about buying his book on the subject. However on his site, he recommends starting capital of no less than about a million.

What's everyone else's view?

 

[tar]

Between 10k and a million sounds about right , depends on how many markets you want to swing trade simultaneously .

 

[darktone]

10k doesnt give you much rope with full size contracts, less than 500 points in FDAX.
Youre in the UK so why not spreadbet? You can go down to 10p which gives you the same flexibility as a large acc trading futures. No tax and positive slippage on limits are other pluses.

Theres trend following and theres trend following, if youre not fading something youll likely struggle.

 

[malaguti]

Hi there,

I've been trading for about 4 years, trend following stocks and holding positions for weeks at a time. Basically I want to move up the risk/ return ladder so I'm considering switching from stocks to futures.

I was doing a bit of research into Andreas Clenow as I was thinking about buying his book on the subject. However on his site, he recommends starting capital of no less than about a million.

What's everyone else's view?

risk/return I'd be moving from stocks to options
I trend follow, has been great for me and have heard/read the reward on options can be significantly higher. I cant say from experience but when i get the time, that would be my next avenue

 

[tar]

risk/return I'd be moving from stocks to options
I trend follow, has been great for me and have heard/read the reward on options can be significantly higher. I cant say from experience but when i get the time, that would be my next avenue

Totally different animal , great avenue , many strategies to choose from :


http://www.optionseducation.org/strategies_advanced_concepts/strategies.html

 

[Pat494]

Leave the trend plodders in your dust trail and try forex ! If you are man enough.

:cheesy:

 

[dbphoenix]

.

 

[dbphoenix]

Hi there,

I've been trading for about 4 years, trend following stocks and holding positions for weeks at a time. Basically I want to move up the risk/ return ladder so I'm considering switching from stocks to futures.

I was doing a bit of research into Andreas Clenow as I was thinking about buying his book on the subject. However on his site, he recommends starting capital of no less than about a million.

What's everyone else's view?

If you understand your market and how to trade it, a million won't be necessary. If you don't understand your market nor how to trade it, a million won't be enough.

 

[darktone]

All look the feckin same to me, up down up down

Packet of ROLOS for anyone who correctly guesses, er i mean identifies through skill goodlooks and sheer expergism these markets

 

[Pat494]

Personally I wouldn't fancy the chances of somebody who is not profitable using only $500. Start with $10k or $100k and the chances are he will lose the lot whatever amount.

 

[mcginty]

Thanks for the responses everyone. Looks like I'll have to look elsewhere i.e. Forex or options for my risk fix.

 

[mcginty]

risk/return I'd be moving from stocks to options
I trend follow, has been great for me and have heard/read the reward on options can be significantly higher. I cant say from experience but when i get the time, that would be my next avenue

So would you be looking to combine options with trend following? Or pursuing different strategies with options?

 

[malaguti]

So would you be looking to combine options with trend following? Or pursuing different strategies with options?

the same strategies, all trend following and I'd look to use options
if the strategy works, I wouldn't look to change those

 

[mcginty]

the same strategies, all trend following and I'd look to use options
if the strategy works, I wouldn't look to change those

Had occurred to me to use trend following for the setup but to buy options instead of shares. Is that what you're thinking?

 

[malaguti]

Had occurred to me to use trend following for the setup but to buy options instead of shares. Is that what you're thinking?

yep, many comparisons have been made and the reward is much much greater. risk is comparible simply due to the range of options. again i cant speak from experience, its just what i would be doing. Tar was kind enough to supply a link to options resource, I just haven't had the time to look into it further. I rely on my strategy at the moment which is trustworthy and sound, but my results could be better it would seem

 

[AlexAlgo]

10k capital is not enough to trade divercified futures portfolio.

Trend following strategies performance on futures deteriorated in recent years.

 

[Bradtex]

10k capital is not enough to trade divercified futures portfolio.

Trend following strategies performance on futures deteriorated in recent years.

Agreed, to create a decent portfolio you will need minimum of $100k these day.