I have designed a short to mid term trading system for trading the QM - the mini Crude Oil contract. Trades long and short off a two minute chart. A basic trend following method. It works well (on historical data), but I was wanting to talk to someone here that actuall is active trading the QM in real time. How are the fills ? Slippage? How close does it track the big CL contract ? Suggestions ? Anyone ?
QM is just as liquid as CL on small lots, under 5 contracts, you will have slight slippage in QM since it trades in .025 increments vs .01. CL trades about 4-5 X as much volume these days. QM is usually within .01/.02 of CL in price. Good trading! suds'
You might be better off trading the full size CL contract as it is more liquid and the spread is typically one penny instead of the minimum 2.5 cents on QM, but if 500 bbls. is your risk tolerance the QM should work fine too.