Shorting at ASK , Buying at BID

Discussion in 'Index Futures' started by coolweb, Jun 30, 2005.

  1. Hey guys,

    I find shorting at ask and buying at bid, keeps me from chasing markets, and keeps my risk lower, although I Do miss movements, I find when I do get filled , I find myself in a great position where my position is a much lower risk then paying the spread in NQ / ES

    or buying @ market price

    What do you guys think about this?

    My strategy for entry right now is LIMIT price for entry
    MKT price for exit

    How are your entries? Do you find yourself chasing markets with MKT order and paying spreads?

    For successful traders,

    Good idea or no?
  2. It's easy to do in mkts that don't move but when a little volatility comes into the mkt you are gonna give back all your gains one of those times when you get steamrolled.

    That's from experience.
  3. TimP


    We have tried to address this risk management objective without squandering opportunities in volatile markets. With sensitive analytics using fresh data for bid and ask quotes, the balance can be struck.
  4. syrre


  5. sputdr,
    I totally agree with you, Being a begineer as I am, I try to avoid volatile markets (FOMC meetings before and after) or really wild swings,

    I LMT orders ONLY for entries by the way...
    I MKT to get out of stop losts etc.

    Man looking over your spots that you enter on is inspiring, I can see the reasoning behind most of the trade, very similar to mine, buy extremes but after confirmation, cross 8ma, selling on big expansion bars etc. I find I'll be needing a lot more one lotting experience to push my contracts up to your level.

    I made $40 today trading NQ 1 lot.

    Almost as good as yours, but just a little off :)

  6. vikana

    vikana Moderator


    Think about it thsi way: You may get filled on trades going in your favor, but you will ALWAYS get filled on trades that immediately go against you.
  7. kubilai


    I'll never forget that observation.
  8. vikana,
    So when buying at market, how many points is your stop lost set at?

    Thanks :D
  9. It won't work.

  10. skalpz,

    You must have forgotten, you don't trade futures.
    #10     Jul 1, 2005