How different is trading index etf (SPY) against SP ES-Mini ?

Look into ER. IMO, much easier to trade than ES, with more opportunities.

Good luck.

 

Big difference in taxation:

SPY has a wash sale rule (unless you are classifed by the IRS as a trader);

ES does not.

 

Biggest differences are leverage and taxation.

It's more reasonable to start in SPY and as you become consistently profitable make the transition to ES.

Susana

 

Do you have the temperment to watch your p&l swing like a monkey on a tree in a matter of seconds? If not, stick with SPY. ES is like SPY on rocket fuel and steroids.

 

Thanks for all you responses.

I ran some analysis on my style of trading and came up that 500 shares of SPY = 1 ES mini. The main reason I wanted to find this diff is becasue my starting style is with 500 shres anyway.

One big difference is that with SPY I can get out on penny increments, where with ES I have to suffer .25 ($12.50) move (from what I read on the contract spec)

I suspect the ES liquidity is as good as SPY so slippage should be minimal ....

I am liking the futures becasue is less regualted and I do not have to get a series 7 for levelrage ! .....

As long as liquidity is there my current SPY/SPX tech analysis should still work with ES ...

Thanks again ....

 

I suggest you keep learning about the futures markets before putting real money at risk.

 

Thanks .. that was I been doing the past few weeks .. a different beast ...

Any good books you recommend ?