Going long 100K QQQ's tommorow

Discussion in 'Trading' started by newestmember, Mar 15, 2004.

  1. ===========================================
    Title is a paraphrase of Cramer recently.

    I dont even paper trade that big all at once;
    and usually dont announce to all my paper trades , especially before the paper trade fact!:D
     
    #31     Mar 16, 2004
  2. I won't buy market gaps like this...I'm a buyer at yesterday's closing price or below....
     
    #32     Mar 16, 2004
  3. Gapped open 0.22 higher.
     
    #33     Mar 16, 2004
  4. Aaron

    Aaron

    How did you decide you want to take your position in the QQQ's instead of the NQ's? Are you not a US taxpayer? Perhaps you have such a big capital loss carryforward that the tax difference doesn't matter?

    It's worth considering the difference carefully if you haven't already.
     
    #34     Mar 16, 2004
  5. How are short-term capital gains on the NQ's any different than the QQQ's? Thanks!
     
    #35     Mar 16, 2004
  6. nitro

    nitro

    That is why I suggested not missing the overnight. Could have done it overnight with NQ, then hedged in the morning with QQQs.

    Last time I did that (traded the overnight session on ES) I was worthless for two days though. Trading 24 hours straight is hard. But I thought you had 100K QQQs when you were talking your position.

    Not really worth losing sleep to make 9 points on 4 NQ. Wait a minute...:eek:

    nitro
     
    #36     Mar 16, 2004
  7. dgmodel

    dgmodel Guest

    ...
     
    #37     Mar 16, 2004
  8. Aaron

    Aaron

    60% of capital gains from futures trading, regardless of the holding period, are considered long term capital gains. See IRS Form 6781 lines 8 and 9. This preferential treatment for futures vs. securities can make a big difference in your net profit.

    The only reasons I can see for trading the QQQ's instead of the NQ's is:

    - you aren't a US taxpayer
    - you have a huge capital loss carryforward
    - you want a small position and a single NQ is too big
    - your money is in a securities brokerage account rather than a futures brokerage account and you value the convenience of being able to trade QQQ's immediately.

    Everyone else (well capitalized, profitable, US traders with a futures account) should be trading the NQ's. If you don't have a futures account and do a lot of securities trading — IB has a nice "universal" account that will allow you to trade both securities and futures.
     
    #38     Mar 16, 2004
  9. There is so much to this market that I don't know...I started out 6 years ago trading momentum on the Nasdaq, and eventually developed a longer-term swing style...I've never picked up on futures and with the steep losses I incured the first 2 years trading, I hate the idea of paying my dues trying something new...but I think you're right that I should incorporate some future's trading into my Universal IB account..thanks!
     
    #39     Mar 16, 2004

  10. I'd guess: You're going to make a killing.
     
    #40     Mar 16, 2004