volatile markets or non volatile markets?

[jayjay121]

hi, just thinking, whats peoples opinion on this question?

is it better to daytrade (scalping, swing scalping or micro scalping, catching daily trends etc) volatile markets such as dax, er2 or do traders prefer non volatile markets such as bonds, interest rates futres, ftse etc.?

I notice the trading arcade futex where trader dante trades has a few guys there that make silly money, trader dante told me some guy made like £96k in one day and then said that was a bad day for him..........I wonder what these kind of traders prefer, i know that they are outright scalpers as trader dante told me so?

 

[Magos]

In trading houses like Futex. They do spreads, outright’s and fly's as short term trades.
But when they trade long term strategies they tend to do boxes.
For example they also can turn an outright to a spread, a spread to a fly , a fly to a box.

Trade all the combinations that they can find a range.

If you are wealthy / strong and you can keep up with the margins you can trade anything you ever imagine, and hold that position as long it will take to come back LoL

 

[jayjay121]

In trading houses like Futex. They do spreads, outright’s and fly's as short term trades.
But when they trade long term strategies they tend to do boxes.
For example they also can turn an outright to a spread, a spread to a fly , a fly to a box.

Trade all the combinations that they can find a range.

If you are wealthy / strong and you can keep up with the margins you can trade anything you ever imagine, and hold that position as long it will take to come back LoL

i must admit these kind of traders seem like they make far more than us home traders.................how can i find out more on this type of trading?

also do they use fundamentals at all?, do they use ta?
trade dante told me traders at his place do outrights with futures, not spread trading.

cheers

 

[Magos]

If the outright goes wrong.. you either accept defeat (close trade ) or spread it.
Outrights also are more volatile

 

[jayjay121]

ok thanks, one more question, what gets them into the outright in the first instance?, would it be from a chart using ta?, or only from a fundamental stance?....or is it purely scalping off the levels and eyeballing the tape?


i wish more arcade traders would post on here as they seem to trade completely different to most home traders and would be great to get to know a bit more on what they do exactly

 

[jayjay121]

one other question if u don't mind answering


is is viable to trade spreads and the way arcade traders trade from home, or will the comms kill yer as i guess your scalping so often it would?

 

[arabianights]

commission would kill you especially if you were daft enough to, say, scalp sterling spreads for half a tick (actually they more or less kill you even at arcade rates doing that)

however if you want to hold a spread for 25 ticks on a yield curve trade no problem doing that I'd have thought. Not much margin required either on a spread iirc.

 

[Rhody Trader]

is it better to daytrade (scalping, swing scalping or micro scalping, catching daily trends etc) volatile markets such as dax, er2 or do traders prefer non volatile markets such as bonds, interest rates futres, ftse etc.?

I'm curious how you're defining volatile vs non-volatile here, because all of the markets you've listed have been very volatile of late.

 

[Lord Lucan]

In trading houses like Futex. They do spreads, outright’s and fly's as short term trades.
But when they trade long term strategies they tend to do boxes.
For example they also can turn an outright to a spread, a spread to a fly , a fly to a box.

Trade all the combinations that they can find a range.

If you are wealthy / strong and you can keep up with the margins you can trade anything you ever imagine, and hold that position as long it will take to come back LoL

Futex don't do spreads, they do outrights.. And they certainly don't hold trades for as long as it will take to come back!!

 

[Magos]

Futex don't do spreads, they do outright’s.. And they certainly don't hold trades for as long as it will take to come back!!

Sorry but Futex does spreads.... and also hold position over night.
In terms of the period you hold a position. This depends on the team you are in, how much money you have + also your margin.

Also a spread consists is two outright’s

 

[Magos]

i must admit these kind of traders seem like they make far more than us home traders.................how can i find out more on this type of trading?

also do they use fundamentals at all?, do they use ta?
trade dante told me traders at his place do outrights with futures, not spread trading.

cheers

Some use TA, others Bloomberg or Reuters news.

They use CQG Homepage CQG for displaying graphs and they set their limits according to their research and believes.

There are momentum trades, which are done instantaneously with gut feelings.

Also some use Fibonacci, or other crazy TA analysis.

STIR’s are based on the yield curve theoretically speaking, but each month can react differently according to supply and demand.

If are interested in the BUND I can find some info when I go home and let you know

 

[jayjay121]

I'm curious how you're defining volatile vs non-volatile here, because all of the markets you've listed have been very volatile of late.

basically i usually scalp or trend trade the er2 mini russel, sometimes the dax..........these markets are great for scalping as they simply move in big wide ranges(voloatile)........the ftse on the other hand for example i tried it out the other day with the same system i have and i was bored stiff, waiting and waiting foreever for the same opotunities........the thing i was curious about was is the fact the ftse moves slower a good thing? as oppsoed to a fast moving volatile market such as er2?, because the one thing i did notice was although i had less opotunitues on the ftse futures, it provided a much better r/r but i had to also hold for longer


also i notice alot of arcade traders trade the bobl and scalp it, this market too does not move like the er2, so maybe its a good thing to scalp a non volatile market, i just alwasy had the idea the more volatility the better for scalping

 

[jayjay121]

Some use TA, others Bloomberg or Reuters news.

They use CQG Homepage CQG for displaying graphs and they set their limits according to their research and believes.

There are momentum trades, which are done instantaneously with gut feelings.

Also some use Fibonacci, or other crazy TA analysis.

STIR’s are based on the yield curve theoretically speaking, but each month can react differently according to supply and demand.

If are interested in the BUND I can find some info when I go home and let you know

thankyou very much would really apreciate it, by the way what would you say bradley young is?, a momentum gut feel trader?

 

[Magos]

thankyou very much would really apreciate it, by the way what would you say bradley young is?, a momentum gut feel trader?

30 under 30 trader magazine
Bradley Young
Age: 29
Firm: Futex
City: Woking, England
Trades: Futures (DAX, S&P, T-notes, gilt, bund, natural gas)

When you have exposure in all of those markets the only think I can say is WoW.

But then again for me is better to have a 100K stable salary + bonus.

Commission based traders are feeling the up and downs like no other profession.

One day you might drive a Ferrari, the other day you might be walking to work if still have one.:!:

 

[jayjay121]

so how does bradley trade?, what does he use ta, fundamentals? or a pure scalper
he must be doing like £10k per tick i reckon

 

[gooseman]

it's not just one way to trade. there are literally hundreds of strategies you can employ.....and you don't do £x per tick.

 

[jayjay121]

it's not just one way to trade. there are literally hundreds of strategies you can employ.....and you don't do £x per tick.

ok what do u do then ?, i don't do spreadbet either i do direct access with ninja trader but ok in terms what contract size then if you must look at it like this
bradley young is a scalper for his bread and butter and cleans up when he catches a trend, so what type of trader is he?, also how does he find his edge, through ta or fundamentals?

would anyone in an arcade trade using an indicator?, i guess not as i once had an interview at an arcade and they classed that as retail trading and basically thought it was not good

 

[gooseman]

i don't trade this way. different area.

FTSE: 1 contract, £10 per tick.
sterling: £12.50 for a full tick.

so £10k per tick in FTSE would be 1000 contracts which he won't be able to trade without moving market.

 

[jayjay121]

yeah i thought the same, 1000 contracts would not all get filled also and would stand out like a sore thumb, so how the hell is he doing it?, we know he is a scalper, we know the markets he trades but how the hell is he doing this size?

 

[gooseman]

don't know how he is doing it or how much money he makes. might make 40p a day and then get on a right move once in a while.