Why did price spike on my broker but not on the FTSE?

Apr 4, 2016
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#16
SB shops are gambling establishments. They don't do futures. They offer bettings products that resemble futures.

Yahoo/google show the futures price traded on a securities exchange. If you want to trade the futures, go ask a bank. But they might call the police if you tell them to do 50p/point.
 

et.

Active member
Mar 20, 2012
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#19
SB shops are gambling establishments. They don't do futures. They offer bettings products that resemble futures.

Yahoo/google show the futures price traded on a securities exchange. If you want to trade the futures, go ask a bank. But they might call the police if you tell them to do 50p/point.
Okay thanks.

50 pence per point is the sane way to lose money learning to trade. It still hurts to lose so it's experience.

Getting better but right now constantly mistaking end of Elliot wave 3 for the reverse. The spike up there I now understand was wave 5.

BTW I consider tomorrow to be an up-day on the FTSE- assuming that I've not made that wave 5 mistake again....
 
Aug 21, 2004
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#20
Okay thanks.

50 pence per point is the sane way to lose money learning to trade. It still hurts to lose so it's experience.

Getting better but right now constantly mistaking end of Elliot wave 3 for the reverse. The spike up there I now understand was wave 5.

BTW I consider tomorrow to be an up-day on the FTSE- assuming that I've not made that wave 5 mistake again....
Please don't make the mistake of assuming that the ftse will go up tomorrow.
The big news today concerning gbp clearly shows that trading sentiment favours strengthening of gbp. This being the case, it is highly likely that the ftse will go sideways to lower but not higher. As long as the gbp gains in strength, then expect the ftse to do the opposite in the short term. Approx 10 times the ftse is testing support. If it does break, it will be to the downside, likely target 7,100
 

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Apr 4, 2016
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#21
50 pence per point is the sane way to lose money learning to trade.
But this is not necessarily the best way. There's guy here who traded £5-£30/point. He learned pretty much instantly about trading. Now he doesn't even trade a penny. I used my best abilities on him to change his mind, but it was in vain.

Best lessons usually come with a premium price tag.
 

et.

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Mar 20, 2012
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#22
Please don't make the mistake of assuming that the ftse will go up tomorrow.
Actually, I shouldn't have said 'up day tomorrow' as I was thinking of a retracement to 7350 and after that it can potentially be down all day.

We might not get that retracement and it might just go down.

The trading strategy I'm following works better within days and can break down after close, and between days and is less accurate on the highest timeframe charts.

It's still pretty good between days but I would not hold any position overnight expecting it to go one way or the other.

This is, I believe, because high trading volume is needed for prediction because the high trading volume creates the 'purest' most predictable patterns that I try to read.

Overnight volume completely drops so anything can happen.


The big news today concerning gbp clearly shows that trading sentiment favours strengthening of gbp. This being the case, it is highly likely that the ftse will go sideways to lower but not higher. As long as the gbp gains in strength, then expect the ftse to do the opposite in the short term. Approx 10 times the ftse is testing support. If it does break, it will be to the downside, likely target 7,100
Interesting. I have been expecting down move too but longer term still up until 7900.
 
Aug 21, 2004
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#23
Actually, I shouldn't have said 'up day tomorrow' as I was thinking of a retracement to 7350 and after that it can potentially be down all day.

We might not get that retracement and it might just go down.

The trading strategy I'm following works better within days and can break down after close, and between days and is less accurate on the highest timeframe charts.

It's still pretty good between days but I would not hold any position overnight expecting it to go one way or the other.

This is, I believe, because high trading volume is needed for prediction because the high trading volume creates the 'purest' most predictable patterns that I try to read.

Overnight volume completely drops so anything can happen.




Interesting. I have been expecting down move too but longer term still up until 7900.
So One day on we see continued strengthening of GBP and FTSE weakened in line with expectation.
 

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Kaeso

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Oct 4, 2015
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#24
the FTSE100 does not seem to have done the same move..
i haven't looked into your discrepancy in detail but thought id add that have queried an incident of my own like this with my SB provider (only once a long time ago) and they agreed to put the trade back to how it would have been without the erroneous spike. im not saying yours would do the same but may be worth a try. they might have a reason like the widening spreads etc
 
Aug 6, 2017
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Et,

I think you may want to rethink some of the info you've been fed.

Correct me if I am wrong but you are trading the FTSE cash index which is what your Yahoo charts show. Yahoo , google does not keep futures charts.

The SBs make their derived cash products off a " fair value " model based on the nearest month futures contract, so of course there is a large correlation between their cash product and the futures.

Thus when the futures spikes, so will the SB cash product, though the real FTSE cash may not.

You are of course wise to use stops if you intend to trade decent money, obviously @ 50p - 100p is beginners stuff so it doesn't matter as much.

Then again if you are trading decent money I would advise swtiching to futures exchange products. You must also realise that this forum is sponsored by SB firms so only natural that their products may be defacto promoted.

Ultimately it is up to you to do what you want, not for me or anyone to dictate to you.

I have to warn you now that I have taken this seriously and tried to help you , this will be a que for trollers to jump in and vent their anger.



Imagine you are trading £50 per point and got in at the perfect point end of wave 2 ... and then this happened.



Fortunately I was trading only 50 pence per point. If I was trading serious money I would have been annoyed because the FTSE100 does not seem to have done the same move.

Was my analysis wrong or is one of these charts (Google and Yahoo data for FTSE 100) wrong?





Edit: I was shorting and my stop, somewhere above the high, was taken out by the spike that wasn't there on the actual? FTSE 100.
 

Kaeso

Active member
Oct 4, 2015
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#28
obviously @ 50p - 100p is beginners stuff so it doesn't matter as much...

Then again if you are trading decent money I would advise switching to futures exchange products..
hi wf,

seeing as you brought it up again, can you clarify what decent money/size is?
what size do you trade typically?
 
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Aug 6, 2017
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#30
hi wf,

seeing as you brought it up again, can you clarify what decent money/size is?
what size do you trade typically?
Well as the OP said if his size was bigger, then his account would have taken a much larger hit. What is big is subjective. As he also said he is a begginer and using very small stakes which is wise but of course things are much different when size becomes larger. So to him 5/point may be a large size, to me it is not, but to someone else a CTA perhaps 50 - 100 contracts is normal. At least the OP is honest and seems to be on the right path.