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

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

So why not SPY instead of the mini?

 

how do you easily short the SPY?


DO YOU NEED 'PERMISSION' FIRST?


LOL


ES IS FOR PROS.

 

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...

 

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.

 

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

 

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