I don't know much about interest rates, but looking at the eurodollar chart, I am kinda perplexed by the daily range which often is not more or even less than 5 ticks. Who would be trading this, losing 10% of daily range just by getting in or out? Or am I looking at it wrongly somehow?
You can move farther out into more volatile sections of the curve, like into blue strip or further. In any case, it’s not something you’d want to day-trade
Not many people 'daytrading' these in the same way as for example equity index futures - a significant part of volume is done by spread traders - for example intracommodity (calendar) or intercommodity (example TED spread) trades. Note that few traders still leg into spreads through the individual legs. The majority will get in / out of positions by using exchange traded spread contracts.
I don't trade Eurodollar as I find it is not suitable for day trading. Its day range is extremely small but volume traded is extremely high. there are algo traders, calender spreaders who trade eurodollars and they trade in huge quantity hoping to earn 1/2 a tick or a tick. there are also intermarket spreaders, investors, hedgers etc etc trading eurodollar.