ER2-ES spread ratio ???????

Discussion in 'Trading' started by scalper21, Aug 3, 2006.

  1. scalper21

    scalper21

    I scalp the ER2 contract. I am looking to spread ER2 against ES. I am curious if anyone has any ideas on the correct spread ratio.

    ER2
    tick=$10
    point=$100
    Average True Range(30 days)=13.5


    ES
    tick=$12.50
    point=$50
    Average True Range(30 days)=13.6


    Am I correct in thinking 1(ER2)-2(ES) ratio is the correct spread ratio.


    Any thoughts are greatly appreciated.
     
    #1     Aug 3, 2006
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