ER2 Traders

I have recently looked at the Russel2000, and was completely suprised at the level it was trading. (ER2H4)

Spoken to some traders who trade in this instrument, they are all very positive and claim it trades better then any other of the e-mini products. If I look at the daily chart, this seems to be true, very orderly.

Let me know your experiences!

 

It can get a little sloppy if you chase every tick like an SP trader. The longer your timeframe, the better it is,IMHO.

 

Do a search on elite about this, there were good discussion about this earlier.

 

The ER2 is the only thing that I trade. I use wave theory, and I find that the wave patterns are so clear on the tick charts. ER2 rules!!!

 

I like it. Am very active with it.

 

I have lost a lot of money on it. Be very careful.

It has price gaps that are huge when you need a stop to be filled and often you will be filled so far from market price you wish you weren't.

Watch for the spreads....sometimes they are huge.

It is not as liquid so it it is for swing traders only.

People who can take large deep price swings should only trade it.


Looks great on a chart but in reality is a real bear to trade.

 

If you were trading ES/NQ/YM and are switching to ER2, take half the position size at first. Because it really moves more, your way or against you. Plus the occasional mad rinses and spreads. Start slow and you should be fine.

 

is ER2 comparable to DAX ? try to explaim why plz
thx

 

I have traded ER alot and would say it is very comparable to DAX in the way it trades. Crazy breakouts and retracements.

I really like it for breakouts, but be warned, use stops but give them enough room. The noise level can really play havoc with your brain, so keep a stop in place and dont move it. Hard market breaks can move this thing 4 points in minutes.

I find it a little difficult to trade on a retracement mode because of the fakeouts. It may be my way of trading failures, but this is where I have had the most trouble.

The characteristics of this contract have really changed in the last couple months. The volume has jumped considerably so that I think there are some bigger players hitting it now. It is diffently affecting the cash index, which now move all over the place.

Best,

Mike

 

thanks for all those great replies. I have added ER2 to my daily charts which I watch. As recommended I will start small, sit and learn.

Thks
TradePro