This market has a firm bid, as mav has said. You can see it everyday and there are some major breakouts on the weekly charts across the board. We are due for a rest or a possible shake the tree, but that will be tough money! Honestly anything is tough money up here. Pullbacks are buyable. Leadership in the transports, industrial s, and energy has caught a nice bid here.
Anyone around ? Trying to figure out what to use for opening range for CL NG and ZS ? Read early in thread Mav felt that 45 minutes that fisher still publishes off his web site isnt best ? Talking maybe a 5 minute open ? How about the time frame 8:30-8:35 EST ?
All depends on what kind of trader you are. As Mav puts it 'If you're a counter trend trader use a wider OR time frame, if you're a trend trader then use a smaller time frame.' I believe nat gas open outcry begins trading at 9 am
It really depends on when you are going to trade these products. Most of them trade 24/7 so you need to create your OR around the times YOU are going to trade them. In terms of how wide, I prefer to use 5 min vs 45 min.
Thnx looking at this last night I agree with a smaller OR, but I think I am unsure of the time frame begin times Ng I think 830 maybe? CL I haven't any idea it's so global orientated I do like to use the ATR as A' and C values because it is accurate reflection of more recent volatility, MBF has been static A' values a long while and the CL A' value does not seem correct at 13 ticks ?
Re CL, I did an analysis for about 3 months of last year. I broke down the volume into Asian Session, European open to pit open, pit session, pit close to globex eth close. From memory about 70% to 80% of the daily volume was during the pit session. In terms of price movement you generally get decent movement in the pit session and then it quietens down after the pit close. Sometimes though the bulk of the days move happens from late Asian session through European session, so by the time the pit starts it's pretty much over bar the shouting. This typically when political or macro-economic factors are in the news, so not too often.
Thanks I was thinking of looking at volume clusters for some clues. So CL can begin at 900 am EST , seems late in the morning
About crude oil: contrary to popular belief, oil is not a US product. The volume in the physical market dwarfs the futures in magnitude. A large majority of oil is traded in London and Switzerland and now Singapore. The volume numbers you see on NYMEX are not a good indication of when oil is active. And to take this a step further, the front month futures on a relative basis are where the least mount of activity is as most big players trade the forward curve, not the near term delivery. So I only point this out to keep people from thinking that US sets the price of oil or even that US hours are where the action is. I suspect the best hours for trading oil are 2am to 7am central time. With 7am to 10am being the runner up. Having said that, you need to set your OR based on when YOU trade. I know I have said this repeatedly here but I still get the feeling there is a misunderstanding of this point.
excellent point Mav. Thanks thoughts on Gold..... with repspect to same... Opening Range time . etc . ?