Discussion in 'Index Futures' started by increasenow, Jan 8, 2010.
Current Volatility: ES-gone YM-so so NQ-best of all 3
anyone else agree with this?
the last 2 days nq was very weak
today the nq is preety strong and the es and ym weak
when will the old days of HUGE moves in the eminis return?
He is not talking about which market is weaker or stronger, because that fluctuates every day, and throughout the day. He is speaking of daily range and volatility.
And I agree NQ is far superior to ES for day trading. NQ is my main trading instrument.
On any given day lately I have noticed the NQs range to be much better then ES, particularly the first hour of open.
NQ moves on average from my observations 8 to 12 ticks for every ES 4 ticks. In the long run you will make more in the NQ because the smaller tick size is going to allow for better fills. How often does ES fill a sell order (cover) at the ask when it just tags? So really It moved 3 ticks compared to NQ, because getting filled in the ES wont happen unless it sits there!.
great stuff man...thanks for your input...you said what I was trying to say..thanks...
how about the older days of 6pts a day being the norm?
the more interesting aspect to me is the dire volumes.
as the market (es) moves higher and edges up, there has been little volume/trade to facilitate these prices.
when looking at es on a composite weekly chart, it would seem clear there is a rolling top, which i guess the more ta inclined here would call an inverse cup, with the handle to follow.
this to me suggests were due for downside in the long term.
therefore, im buying and holding monday because my opinion is usually incorrect!
Your opinion(s) may be incorrect because of the malfunctioning way that index futures are taught and perceived.
It is my full belief that futures do not lead stocks. In my mind it is no way possible for this to happen, no matter how much volume the ES accumulates. It can carry a higher or lower premium from getting run way or the other. Stock volume and the numbers of stocks far outway the futures index's. Stocks Lead the index's.
futures lead because:
a/ they are cheaper to transact in
b/ require less margin than cash
c/ generally available 24 x 6 for many markets.
therefore, if you have a directional view, need to hedge, etc it will be beneficial to do so in futures - or other derivative rather than the cash.
hope that helps.
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