I looked at adding the QQQ to my portfolio but it doesn't have much volatility compared to other stocks. Do beginners and people with huge portfolios primarily trade it, or is there some other attraction to it?
I don't trade the q's either, but if my memory serves me (and it has been known to fail me in the past) the q's don't have an uptick, or up-bid rule -- one BIG advantage. regards/greg
Wow, that would make it worth it. All my darn slippage is in my short positions. Thanks, I'll look into that.
How do you guys route your order? Is it possible to split the spread, or is a market order better ?(i never use a market order on Nasdaq stocks).
One thing a lot of people don't take into consideration is that you don't need much of an edge to make a lot of money. Taking .25 out of the QQQ's is a heck of a lot easier for me than trying to get a point out of CHKP on a consistent basis. You just have to up your size. It is not as volatile as a lot of stocks but this also reduces the risk immensely. You can short on a downtick and you could move a 100k shares and probably not change the spread more than a penny or two. I love'em.
The QQQ is great for scalping because of the fast entry/exits. I trade it intra-day on a regular basis. Check the chart setups thread I put a simple system I use on there. Seriously heavy volume!!!!