NQ vs QQQ vs COMP

Discussion in 'Trading' started by roger2, Sep 1, 2001.

  1. Having watched both the Qs and NQ over a long period of time, I don't think there's any question that NQ is the more reliable indicator both in terms of speed and accuracy. Sometimes the Island boys try to front-run the QQQs, giving an impression that they're ahead of the market, but they are wrong a fair percentage of the time when they do that. NQ is far less subject to the kinds of manipulation that market makers ---- even in a tracking stock ---- are sometimes trying to pull off. So either NQ is faster than QQQ or the QQQ prices are questionable and not necessarily indicative of true value. (And for trading purposes, in my view, NQ is a far superior instrument to the QQQs ---- much smaller spreads and significantly faster executions.)
     
    #11     Sep 2, 2001
  2. roger2

    roger2

    this is off topic (but hey, it's my thread!)

    when trading the NQ, how does one get clues as to what it will do next, since there is no leading indicator for it?
     
    #12     Sep 2, 2001
  3. tymjr

    tymjr

    Dustin: ”First the S&P futures pit moves. Then the stocks react. Then the comp is recalculated from the values of those stocks.”

    I have found it very valuable, as a futures trader, to monitor specific stocks in both indexes. How these stocks trade and react has, with favorable conditions in the futures, given me a lead on the futures.

    Steven9: ”Please keep in mind that NQ are futures on the NDX (Naz 100). COMP is the whole Naz index.”

    Not sure if the above was acknowledged but it is important for traders to know.

    Armaniman: ”The futures - NQ and ES - are amazingly accurate leading indicators of where the indexes are going…”

    Unless you are receiving “fast” cash index quotes some vendors are quoting the indexes at about 1-print/15 secs. The “fast” cash quote jumps around as fast as the Mini.
     
    #13     Sep 2, 2001
  4. Dustin

    Dustin

    The futures aren't lead by anything. This is what makes trading futures short-term extremely difficult imo.
     
    #14     Sep 2, 2001
  5. tradex21

    tradex21

    Roger 2 The Five Horsemen of the Nasdaq are;Msft, Csco, Orcl, Qcom, Sunw:eek:
     
    #15     Sep 2, 2001
  6. roger2

    roger2

    tymjr: 'Unless you are receiving “fast” cash index quotes some vendors are quoting the indexes at about 1-print/15 secs. The “fast” cash quote jumps around as fast as the Mini.'

    are the cash index quotes referred to the SP & ND? and if so, are these the ones which should be of the "fast" variety?

    put another way, are there vendors who deliver the e-minis at 15 sec intervals? or is this not something to worry about?

    again, thanks to all...

    PS: tymjr, unless it is a secret (i'll understand), which stocks do you feel "given me a lead on the futures"?

    PPS: tradex21, what do you mean?
     
    #16     Sep 2, 2001
  7. tymjr

    tymjr

    Armaniman: ”NQ is a far superior instrument to the QQQs - much smaller spreads and significantly faster executions.“

    I can attest to the fact that there is virtually no liquidity if you are in the right place at the right time. I struggled with the Q’s not because I was wrong often but because I would either have to pay up considerably if I wanted a position or risk missing the move. By the time I finally figured out how to trade it I was so damn frustrated I just went back to the futures.

    I have no doubt that there are excellent traders doing well in the Q’s. My issues may relate directly to my trading methods or other issues.
     
    #17     Sep 2, 2001
  8. Fohat

    Fohat

    roger2,

    QQQ track Naz 100 (NDX). NDX = 40 x QQQ.

    NQ are futures on the NDX.
    1 NQ (approx.) = 20 x NDX = 800 QQQ.

    The Naz 100 stocks are subset of COMP. COMP will not always move like NQ, Naz 100 will.

    Fohat
     
    #18     Sep 2, 2001
  9. tymjr

    tymjr

    Roger2: “are the cash index quotes referred to the SP & ND? are these the ones which should be of the "fast" variety? are there vendors who deliver the e-minis at 15 sec intervals? or is this not something to worry about?”

    I have had experience with the “fast” cash SPX. My data vendor does not supply this, though, so I rely on standard quotes. I believe IB’s TWS will provide a “fast” cash quote. No chart, of course. Unless the index data is critical to some aspect of your trading then I do not think it is something to worry about. As the other traders have suggested, watching the Mini is quite effective. I believe that even some large contract's pit traders will now key of the Mini board quotes.

    “...unless it is a secret, which stocks do you feel "given me a lead on the futures"?”

    As for the stocks, shhhhhhhhh! This is just between you and me…. Hey, what are all you other guys doin’. I said, it’s between ME and ROGER2! :)

    No secret. I just look at stocks such as those tradex21 mentioned, but I have developed tools and methods to determine the character of these stocks. How I classify their intraday movement can offer clues to the likelihood or legitimacy of a potential rally or breakdown in the futures.
     
    #19     Sep 2, 2001
  10. Eldredge

    Eldredge

    I appreciate the information on this thread. I haven't had the opportunity to spend much time watching the futures, but it sounds like I should. I have been under the impression that it is difficult to know if stocks are leading futures, or futures leading stocks. Are the futures really as reliable a leading indicator as this thread indicates?
     
    #20     Sep 2, 2001