I know Mark Rosalbo. He is a great guy. I have not seen him in the last couple years. He traded incredible volume that I have never seen in my life. He is also very savvy with the stocks that can move the SPY and QQQ. So he does considerable size after or before hours. Can you send the full article as link does not work.
Why would someone like Mark Rosalbo trade the QQQ and SPY over the mini futures. Whats the advantage of SPY over ES?
yes you can daytrade those numbers with the QQQQ and SPY allday. Personally I have over 10 million in BP. However, I would never use such a large amount.
He does kind of arbitrage with QQQ, SPY, DIA. He also has limit orders in AMEX to take advantage of the specialist prints. His real strength is after or before hours in which he can take advantage of the mispricings. He is also very succesful in trading the stock news with SPY, QQQ and DIA. Bottomline I think he has a better feel of SPY compared to ES..
If you have 20million to day trade why bother. If you do not have nothing else to do I take 200k and put it in a direct access broker or open up an account at an online casino.
I have 8 figures in BP and have used it all many times. I do not have to close out the positions so this is more 2-day than day-trading. One Friday the SPY ran up 5 pts after hours and I was able to short it while buying a basket of large cap stocks at or near last sale. I typically carry positions in the mid 7 figure range, but they are hedged in some way.
To do that amount it takes good coordination. I do not want to post publically on this but here is a good scenario to consider that I am involved in. You need to use a boutique rather than a regualr type brokerage. You will be using several accounts most likely and that calls for being fair among the accounts. I limit a money stream in one equity to 100,000 shares (think 30 dollar stock). So now you can see a distribution of capital and how several streams gets you to 20 mil. For the trading, there is an other trade off. I have gone to position trading for making money and i trade the most frequent cycles of good magnitude. This means 6 to 8 days for a hold and a return of 10% net out of a possible 20%. To move in or out, your account manager will give you his # and let you go to the trading desk directly in the boutique. there you request that the 100k shares be "bleed" in or out by prearrangement. My simple rule is: use normally tradied block size and always have the tab running at 10% of cummulative volume for the day. I know that you want an intraday suggestion and i am offering you a diffrent scenario. I believe that 10% every 6 days by rotation of ins and outs (6 streams @ 3 mil each) is easier than 1.7% per day, day in and day out for all of 20 mil. It comes down to a volume constraint in the part of the market than has high money velocity for making money.
so basically, you don't think it can be done. i don't think anyone disagrees that you can swing trade 20 million, but you provide some interesting insights on moving that size in relatively few stocks.