chrisw
I am going to discuss trading strategies in the Index Futures.I feel are much better to trade than currencies. These strategies can be used for YM S&P NAS markets and most trading styles. These are a few thoughts that you might explore if you haven’t already. . I feel that the Mini-Dow offers the maximum amount of opportunities and is a very user-friendly market What exactly makes the Mini-Dow move? Some might say the Mini Nasdaq or Mini S&P's. But what makes them move? Cash markets Stocks.bonds,
Start to watch the stocks and sectors that move these markets. For instance, when Microsoft and Intel are making a move, the NDQ is going to be affected. I find that I am able to pick and choose better entries and exits using this method. The larger market moves are more obvious when watching the stocks that comprise them. also take a look and the bonds and see what they are up to,
Because the Mini Dow isn’t a lead market, you have the luxury to sit back, be patient and get in at the right time for the right reasons. I might accumulate a short position while watching IBM, and GE and some of the oil stocks sell off, and make a profit in the YM because I saw this move coming.
Another strategy would be to know the players in your market and familiarize yourself with how they trade. . Whenever I change markets I take a few days and watch who is in there, what they are doing and why. Who is trading a 100, 50 or 1 lot? I try and to notice patterns or traps. For instance, does the 500 lot bid always disappear after a few of the offers are lifted? Or what orders cancel after an up-tick or down-tick of prices.
trading doesn't have to be stressful, so I sit and wait. i am not always right, but I wait unitl it is the right time to get in - . My stats don't really indicate that I over trade I think instinct and intuition is very important. But I can't speak for every trader or TELL you what is the right way of trading and what isnt. I can only comment on what has worked for me. I trust my "Feeling's"
But I know for sure the currency market don't offer you (early signs) of early moves intarday like the indices.
CJ