Anybody REALLY trade S&P mini? Why not SPY instead?

Discussion in 'Trading' started by Publicus, Mar 20, 2012.

  1. Publicus

    Publicus

    SPY is extremely liquid, penny wide, and low commission (actual rebates for add liquidity?).

    So why not SPY instead of the mini?
     
  2. how do you easily short the SPY?


    DO YOU NEED 'PERMISSION' FIRST?


    LOL


    ES IS FOR PROS.



    :cool:
     
  3. 1) Futures and equities have differing tax treatment for US-based traders, which can make futures trading more attractive

    2) Futures can offer higher leverage, if that's what you're after...
     
  4. Commission:
    At same values, good broker, the ES is around 5 times cheaper.

    Trading hours:
    23.5h for ES, 8+ h for SPY

    Margin req (approx):
    25k cash buys you 100k value of SPY
    4k cash buys you 100+k value of ES

    The only downside to ES is that the ticks are slightly larger (0.25) but you get over it with a little experience.
     
  5. stoic

    stoic

    If your Day trading the ES the 25K minimum equity does not apply.
     
  6. nkhoi

    nkhoi Moderator

    2 of many reasons, better tax and less paper work.