Any reason not to trade 6E over EURUSD?

Discussion in 'Forex' started by davewolfs, Aug 11, 2009.

  1. Are we still talking about forex here.....you guys have totally lost me (mind you that's not hard to do!) :D

    Triangular arbitrage I kinda get the principle, the rest is a mystery!
     
    #31     Aug 14, 2009
  2. My point is that riskless or not 200x for a 6% net is like a better performing certificate of deposit. It isn't even worth having a fund for those returns.
     
    #32     Aug 14, 2009
  3. Is a CD risk-less above $xxx,xxx? LIBOR is at 50bp. I'd rather have money >FDIC protection at FX Concepts than at Citibank. If you can find a 6% CD, let me know.
     
    #33     Aug 14, 2009
  4. Exactly. It is essentially a CD for higher net-worth investors.
     
    #34     Aug 14, 2009
  5. ....ok then, I'll just play with my building blocks here in the corner and talk to myself shall I :D
     
    #35     Aug 14, 2009
  6. I wasn't aware you had a question. ;)
     
    #36     Aug 14, 2009
  7. http://en.wikipedia.org/wiki/Triangular_arbitrage

    Your profits are the hair you shave:

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    #37     Aug 14, 2009
  8. sakhter

    sakhter


    You are quick to judge as to any speculation of what the strategy is.

    Had a tough year? It's ok.

    And No, I wasn't talking about some fantasy correlation hedge. You yourself said that adding binaries will just involve more loss.. hence my next comment was that large firms already do this for minimum profit. As they spend more $ on insurance(options) for meager returns.

    I was going with the idea of "wraping several positions into one" and someone elses comment about using tri-arb (where correlation is important, unless u have some other definition).. combine that with intraday binaries for some exotic spreads and viola. If the little guy figured out how to do it, kudos. Did you see my call it a loosing strategy? Nope. Because I don't know what he has, neither do you.

    I could tell you that my strategy works. You can tell me that it's a loosing strategy based on the bits of information I give you. But if I am constantly profiting when you say I should be loosing. The joke's on you. Maybe you don't see what I see in the strategy.

    The difference between you and I, is that you trade like the textbooks taught you. I inquire about the possibility of the strategy, test it, if it blows up--it blows up, if it does not then I have something 98% of you don't even have. the process of inquiring about a strategy may lead you to discover something else. I have stumbled upon many strategies while trying to dissect so called "prop trading strategies"

    Fortunately for me, I conducted a lot of my research at a early age, with no stress of job, marriage, kids etc. Whereas most of you come into this realm 40+ years old, jaded about your career choice & with all that baggage(bills, kids, wife & no job) thinking you're going to crack the markets before the next mortgage payment. Seriously, Good luck.
     
    #38     Aug 14, 2009
  9. wrong
    E6 is the only future contract with some liquidity, i wouldnt touch E7 or M6E (yet)

    a rookie with low cashed account i would still advise to start
    with a bucketshop like oanda, at least untill more liquidety
    is provided on the smaller future contracts

    average daily volume

    M6E 300 contracts
    E7 2200 contracts
    6E 203725 contracts

    attached a 1min chart of E7 ( try find liquidity here )
     
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    #39     Aug 14, 2009
  10. LOL Atticus has numerous journals with hundreds of time-stamped trades that if you compounded over the last 5 years would yield north of 400%. You should consider directing that nonsense elsewhere.

    FWIW, Atticus would never say "You are loosing "because he understands English. If you can't figure that one word out you have no business talking about arbitrage.
     
    #40     Aug 14, 2009