DJIA Minis ?

Discussion in 'Index Futures' started by andy4, Apr 30, 2002.

  1. andy4



    is there a DJIA mini, and does anybody have any experience trading it ?

    I thought I'd read something about one being on a different exchange ?? But can't find the thread now, does it trade electronic like Globex ?

    If there is, any info' or links to go to would be appreciated, i.e brokers, charts etc..

    Thanks, Andy
  2. It trades on CBOT a/c/e. Nice structure. But it just needs time to build some liquidity into the contract.

  3. andy4


    Thanks :)

    Have you traded it ?

    Also is using the DJIA index reasonable for charting to test some strategies ?

    I couldn't get the link up, I'll try again tomorrow.

    Thanks again, Andy
  4. no haven't traded it.

    Not sure on backtesting on DJIA. Maybe one of those system traders can answer that.
  5. jeffm


    "Also is using the DJIA index reasonable for charting to test some strategies ? "

    Depends on your timeframe. If you are trading 30 or 60m bars, the index would be an acceptable surrogate for developing your trading system. Just be sure to toss in a healthy dose of slippage when you factor in the futures contract you will actually be trading.

    How much slippage? Depends on your size. Since the cbot ditched the $10 DJ on ace, liquidity has improved greatly on the $2 and the new $5. Plus the cbot has got a couple of firms making a market in those contracts. So if you watch it on ace for a few days, you will see 100+ contracts on the bid/ask, with an 8 to 10 point spread. Inside of that will be a number of smaller players narrowing the spread to as low as 3 points, but only in small size. 1-10 contracts.

    Unfortunately, DJIA cash is about the only thing you have to go on for system development. Volume in the DJ pit contract and on ace was never liquid enough for a small timeframe chart (5m lets say).

    Take your time before wrangling the DJ :) But having said that, the $2 contract does give you a way to play a DJ swing trade while risking little capital. Plus you keep your broker happy, since he will make most of the money on such a small contract. But its cheap education.
  6. With TS6 (Tradestation) I now have Charts and Times&Sales, but cannot trade with IB (no quotes).
    Spread seems to be 2 to 5 points for YM (YMM02) and enough liquidity to trade 1 or 2 contracts.
    IMHO Volume is increasing fast, this week I saw a lot of trades with size 10 and more.

    If you use IB and need Mini-Dow quotes:
  7. josbarr


    There's two (2) Mini Dow contracts. They both trade on A/C/E which is the CBOT's equivalant to globex. It's the same platform as Eurex. One Dow $5 per point and one $2 per point. The volume is about 4500 for the $5 Dow and 600 for the $2 Dow.
    The $5 has been picking up more and more volume lately.

    More info is at I have a few instructional Dow Videos as well if you're interested.

    [ads edited]
  8. andy4


    Hi everyone,

    thanks for all the info', a great help to at least look at the possibilities.

    Thanks again, Andy
  9. stevet


    with the mini dow - is it possible to get in an out of the $5 with say 10 contracts at one price, in the first hour of trading? whats the spread in the first hour?
  10. josbarr


    The spread is about 5-10 points during the first hour. It's not as active until the cash opens.

    J. Barry
    #10     May 2, 2002