advice: futures: trade 10 yr notes or brent crude on ice

Discussion in 'Energy Futures' started by tolstoy, Dec 16, 2005.

  1. tolstoy


    I am currently being backed by a prop shop and have the opportunity to trade either brend crude futures on ice or the 10 yr note futures. The tick value on the 10 yrs in $15.625, tick value on brent crude is $10, but there is approximately a 95 tick average daily range on brent crude. I would appreciate it if anyone with experience trading either of these markets could give me some insight.

    It seems to me that it would be easier to scalp for 1-3 tick in the 10 yr notes because the ticks mean more, but it would be easier to catch bigger moves in brent crude as that market trends more inter-day.
  2. I'm a position trader with an average trade duration of 3 to 6 months. I trade a big portfolio of futures markets, including the two mentioned here: Brent Crude and Ten Year Notes.

    For what it's worth, my trading systems seem to extract more profit per trade from Brent Crude than from Ten Years. But my timeframe is waaaay longer than yours.
  3. tolstoy


    brent crude oil trades on the ice ""
    10 yr notes trade on the Chicago Board of Trade
    The 10yr volume from yesterday was a little over 800,000 contracts
  4. tolstoy


    I figure that anyone who was not an idiot would know that US fixed income derivatives trade exclusively on the CBOT
  5. ??

    Who are you talking too? Tone it down a little, its only your first couple of posts. By the way Eurex US traded the US treasury complex until recently and the PBOT is going to offer them soon.
  6. okwon


    Who is PBOT and will TT have access to them?
  7. Philadelphia board of trade, and I beleive that it isn't TT that needs to have access but your broker, I could be wrong though.
  8. tolstoy


  9. mcurto


    Seriously, why would anyone even think about trading Treasuries on PBOT. The liquid market is at the Chicago Board of Trade and will be for quite some time. Yes, exchange fees are somewhat higher, but liquidity is poor at any other exchange and you are being arbed against by machines so your fills will be crap. Would you rather save $12.50 a tick or $.30 in exchange fees?

    For now I would stick to Brent Crude Oil, much better swings intraday and can get away with trading smaller size. Treasuries might be the better trade mid next year if volatility begins to pick up.
  10. andy4444


    Are there any retail-brokers that offer electronic trading in Brent on the ICE?
    What are the comissions like?

    #10     Dec 21, 2005