Just a suggestion, in the beginning be careful trading earnings stocks while the conference call is on, even if you are listening to it. You might want to subscribe to briefing, its a good site with news and conference call information. Good luck with your trading.
Yea I will still work on the tape reading, but not so recklessly as I did today! getting chopped up in that vol can screw with your head. I think I have this as a question that I ask myself before every trade in the SPy...if not I will add it! Thanks
Ya I have briefing, I'll keep this in mind tho...things can reverse direction quickly when the earnings call starts
Ya i think so too , I've been focusing on the SPY since I started and have had good progress with it. I find PA and Vol rule in that instrument and it is very hard to manipulate unlike some of the stocks out there.
Shan, the SPY is probably the most manipulated product out there. Not intentional but because of the derivative factor. You have the e-mini and the large S&P contract. You have the options on the e-mini. You have the SPX options. You have the SPY options. You have the OEX and XEO options. Then throw in the double and triple ETF's. That's a huge mess man. That's a lot of hedging going on. Then throw in all the damn index spreaders (spoos vs dow, spoos vs nasdaq, etc) Try the IWM. A little cleaner.
John, I've had people tell me this before...but I know many people personally who trade the ES daily and do just fine. I've been watching the ES and the SPY for the last month and a half or so and I feel like I would be doing myself a disservice if I just keep hopping around everywhere if I feel comfortable with it thus far.
Would you think that the IWM would correlate with the ES. I look at the ES throughout the day and trade the SPY as the derivative instrument. I find that the ES volume and candle prints can differ from the SPY at times. The IWM could be a dervitave trade...of course in context, ill have to look into it. Any opinions tho?
One of the reasons I was asking about using the ES is because I've noticed that it tends to lead the ETF's at times IE, there are leading indications in the PA and especially the volume that can give cleaner indications.