Es Dom

Discussion in 'Index Futures' started by Neoxx, Aug 24, 2008.

  1. Neoxx


    Any tips on reading this?...
  2. Use a bot.
  3. Neoxx


    Come again?...
  4. The Globex can execute a trade every 13.7 milliseconds (as of May 2008 see news release at ) and can update the DOM even faster (since no price matching logic is involved).

    Can you process up to 100 DOM updates a minute? No, you can't. Thus you should use an automated trading robot AKA a bot to be able to take full advantage of the DOM.
  5. Error Correction: That question should be "Can you process up to 100 DOM updates a SECOND?"
  6. Neoxx


    Thanks for the clarification, Jeb. Interesting article to boot.

    The natural follow-on question would be do you really need to process every individual update in order to utilize the DOM as a trade-assist tool?

    My analogy would be a pitched medieval battle, 10,000 strong. At any one moment, there would be thousands of individual reactions and counter-reactions. However, from an aerial vantage, one could observe the ebb and flow, the tide of battle and, every so often, notice recurring patterns
  7. Neoxx


    I'm sure it takes a long time to get to grips with the DOM, and that there are no shortcuts.

    Saying that, does anyone have any useful advice for novice DOM/tape readers?
  8. bbqbbq


    i heard reading not the supply and demand, but reading the last trade is helpful. for example if last trade is 1000 sold, then you know a big buyer sold.

    by the way, does anybody know how you can figure out if those big orders are buy or sell orders?
  10. Neoxx


    Thanks for the link, Sarvise. There’s a lot of interesting stuff on Steenbarger’s blog.
    #10     Aug 25, 2008