Man you have no idea.. i could ask questions till your blue in the face.. i'm trying to read as much as I can so i don't wear you out.. I'm watching this video.. picking apart what the guy is saying.. He makes alot of sense.. Of course he is going for a tick or two.. which with the commission structure at advantage futures, is possible to make money on.. right now i'm working .05 and .07 stuff in flys in crude, and sometimes .02 stuff in single switches.. I like what he talks about, order management, He uses expressions like.. "working this, while leaning on these" all the trades he is talking have many legs.. they are flys against flys.. which in turn would imply a very low commision structure.. but the more abstract point that he is making is very important to me.. http://www.youtube.com/watch?v=qcB5Uw0V6Gg&list=UU1-7i1BQm8Ni0yOmK5vtlbQ
I obviously need to learn duration weighting.. . and the implications/risks of being out of balance.. or as you put it, define the actual bucket risk i'm taking.. I still like to know the seemly irrelevant risks i'm taking.. but if its insignificant, its insignificant..
Yeah, so this guy is describing what is very much a strategy for locals. If you wanna talk to peeps who do this stuff, there's a PROPboards chatroom, where there's a bunch of guys doing this type of stuff. I am there, as well, even though it's not what I do. Yes, once you do the work once and understand the procedure, you'll be able to apply it consistently. Once you do that, you'll be able to make informed decisions.
I haven't even watched all that , i keep trying to soak it in.. he starts throwing numbers out, that i dont' understand.. and i know he is just referencing a leg or something.. i pmed ya
heres the TED charted 3:2 exactly derived from the cme suggested on this page..http://www.cmegroup.com/trading/interest-rates/stir/eurodollar.html or maybe not.. idk.. hahah
sorry thats why i posted the second chart... its the H contract +3 ZTH / -2 GEH sorry i need my hand held on this stuff.. i'm catching the drift about the term strucuture risk associated with the eurodollar leg.. and thats a contract from the whites, not the reds.. and i saw that CME's combo are contracts from the red pack.. correct me please