Charting combined contracts

Discussion in 'Financial Futures' started by AUDSpot, May 21, 2006.

  1. AUDSpot

    AUDSpot

    Newbie to the world of futures and am wondering how one creates a combined chart over contracts for say, a five or 10 year period.

    I see them like in the gold thread in this forum but wonder how it is done.

    Is there a symbol? Do you need special charting software.

    I use IB btw.

    Thanks,
    Ryan
     
    #1     May 21, 2006
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  2. Surdo

    Surdo

    It is called a "continuous contract".
    Most platforms will allow you to plot this, for example TradeStation and eSignal have this function.

    On TS it's @ZG.

    I do not have IB so perhaps an IB user can help you plot Continuous Gold!
     
    #2     May 21, 2006
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  3. nazzdack

    nazzdack

    At futuresource.com, type in the symbol "GC" with a daily, weekly or monthly time frame. Adjust the sizing to what you want. The price is right!
     
    #3     May 21, 2006
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  4. AUDSpot

    AUDSpot

    Excellent help guys, thanks.

    I actually have TS also and just for the info of any others reading this thread, you can put the "@" symbol in front of any contract to get the cont. contract.

    e.g @YM for the current YMN06 contract etc

    Ryan
     
    #4     May 21, 2006
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  5. Optionpro007

    Optionpro007

    I was actually looking at the continuous vs front month contract issue today.

    For example, in the continuous CT (cotton) contract, friday's close at 49.36 is still above the previous low of April 26.

    But in the present front month contract, friday's close at the same 49.36 is below the low of April 26 or a new low for the year.

    I am still rather new to futures, but I have purchased and sold contracts that would have been profitable trades, that became a scratch only because I had to roll the contract.

    Could any of you guys refer me to a book that delves in the subject of position or swing trading futures covering the rolling of front month contracts and how that affects the profitability of a position? Thanks ! I have not been able to find one.

    I had thought when I started trading futures longer term, that time was not an issue since I could just always roll the contract over, but I was mistaken.

    So if the futures is bad, holding options on futures is beyond crazy. Selling options has to be very attractive since you have huge time decay and future price "deflation" for lack of a better word as every month expires...

    Would love to hear comments on the above.

    Thanks again !!
     
    #5     May 21, 2006
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