Futures Day Trading

Discussion in 'Professional Trading' started by streetprodigy23, Jun 14, 2006.

  1. I’m looking for some tips on Futures Day Trading. Please don’t try to convince me not to day trade which I have gotten abuse for in other forums :mad: . I have come across a chat room that offers Futures day trading picks. Its called millennium-traders.com. The performance is what got me interested in futures day trading period. I am looking for some reviews on what brokers you guys (and gals) suggest for futures, if you have ever heard of or used this millennium chat room and if you recommend them?

    P.S. Chaos or any other moderator. If I am not allowed to mention the millennium name please dletet the post and I will simply post again asking about futures. I just wanted to see if anyone had ever tried them.

  2. THe main reason for the abuse I think is that you want to enter daytrading as a newbie by simply following a chat room. No different than wanting to be a doctor and simply asking to follow a doctor around all day and get paid for it and call yourself a doctor shortly thereafter.

    The abuse is unwarranted but the message behind it is quite valid. Start with a few books and a simulated account before paying for a chat-room.

  3. Well I am an experianced day trader. Just seeing if anyone had any advice on Futures day trading?
  4. nlslax


    Hello Coach,
    I've noticed you spending more time on the ES and other short term threads. One of the benefits of your recent employment change?

    I'm still sticking primarily with the calenders - so much less stress than the CS's. Plus I'm mostly staying with the euro style indexes (mnx, ndx, xeo, rmn, xsp) as opposed to stocks.

    I see you on the s/t threads, so obviously I have an interest there. I would like to start slow and demo YM or perhaps FX (ECN broker). What suggestions would you make (leaning towards YM) for someone to begin trading the indexes short term (dare I call it daytrading)?

    As always, thanks in advance.
  5. Yes I haved moved to spending more time day trading the futures and it is an additional strategy I use with the credit spreads. Basically I like to have different sources of profits so I am not locked up into one strategy.

    If you want to start trading the YM, as in your example, and for the original poster, my advice is first put up a chart of the YM using 5 minute intervals as a start. Candlesticks are my preferred type. Then, assuming you have experience with a few technical indicators, lay them on the charts and spend a week just following the charts with your indicators and watching the price action. The best way to learn whether you are seeing high probable entries is not to put $ down initially and learn the expensive way but first get your eyes and mind used to watching a 5 minute moving chart as opposed to stock or index dailies.

    Train your eyes first before training your money.

    2 Books I highly recommend for day trading futures insights and assistance are by Bo Yoder and John Person. I met both recently at the Trader's Expo and learned quite a bit even now trading futures for a while. I think you and the OP will find a lot of useful info on daytrading the futures, positions sizing, risk/reward, set-ups and stop losses. Yoder likes 15-minute charts and his stlye may be more conservative than the 1-minute chart reader and might be the best place to start.

    After reading the Yoder book and watching the YM charts for a week with your indicators, you will have a good base to start some paper trades and then start with 1 contract max positions and good stop losses. With that you will not lose a lot of money while learning even if you are constantly wrong (as long as you have those stops).

    I guarantee the Yoder book and week-long following exercise will be priceless in beginning education.

  6. nlslax


    Printed out your response.

    Once again, thanks for your advice.
  7. Honestly the biggest adjustment for me was moving from daily charts for options to intraday charts and I spent a lot of time trying to train my eyes to see things in that time frame and doing so has helped tremendously.

  8. You say you are experienced so I will not waste any time....

    I trade stock index futures at CME. To be successful trading futures it is important to keep your transaction costs to a minimum. This will allow you the opportunity to trade actively throughout the day. The only way to accomplish this is by leasing or owning a CME membership. Either the IOM(ES contract) or GEM(ER2 contract). GEM leases for 200-300 and IOM leases for 800-1100.

    By keeping your transaction costs low you can exit losers quickly and ring the profit register often also. I make between 25-200 trades a day.

    Ask some specific questions, and I would be happy to answer.
  9. By the way I do not use charts. I think they are a waste of time.
  10. stereo70


    scalper21 wrote:

    Do you screen trade? And just watch price and volume?
    #10     Jun 14, 2006