Trading Futures

Discussion in 'Trading' started by swingtradingman, Jul 11, 2018.

  1. I've been trading futures for 3 months, I found myself is fit to trade them.
    The spreads are tight and solid(normally) .

    One thing that seems not so good is the margin require a little bit too high,
    for example, /ES ~about $6000, /CL~about $3000...But on the opposite side it comes out with a good thing: this high maintain margin makes me avoid the over trading.

    I trade CFDs at the same time, but I don't like it gradually. The spreads always expand and the overnight interest is too high. One advantage is the maintain margin is much lower than futures.

    I'm from Asia and have an account at TD Ameritrade. I usually use 3 timeframes to analyze the market: Weekly chart for finding the Key support and resistance; Daily chart for looking at the mid-term trend and 8 hour chart for setting my entry and exit point.
    So I check the charts 2 times per day: 1 a.m.(EST) and 9 a.m(EST), my timezone is +8.
    I don't trade under 8 hour chart not even 4 hour chart, because once I trade 4 hour chart ,it means I must check the charts 5 times per day (start from 9 p.m EST to 1 p.m EST) and that makes me exhausted.

    Love to study from guys and share ideas to each other.
    Happy trading!
     
    Last edited: Jul 11, 2018
  2. wrbtrader

    wrbtrader

    Exercise regularly, healthy nutrition, sleep properly and have a social life outside of trading.

    Also, go see your doctor (a few times per year) to make sure you're in good physical condition...trading will wear down your body. Seriously, retail traders, institutional traders and anyone working in the financial markets are in a job that has a high tendency for depression & suicide & health related problems than the typical job.

    Simply, when someone uses the words makes me exhausted...there may be a reason associated with that.

    wrbtrader
     
  3. _eug_

    _eug_

    Im in Asia too and my sleep schedule is really messed up because of US market hours. Go to bed at 330am and wake up at 8am because I cant sleep in. I end up napping during the day and play catch up on the weekend.
     
  4. treeman

    treeman

    CFD's sound nuts to me. It's like the bucket shops of the olden days. They trade against you, right? Sheesh. Tough game.
     
    Peter10 likes this.
  5. Exercise regularly, healthy nutrition, sleep properly and have a social life outside of trading.

    Also, go see your doctor (a few times per year) to make sure you're in good physical condition...trading will wear down your body. Seriously, retail traders, institutional traders and anyone working in the financial markets are in a job that has a high tendency for depression & suicide & health related problems than the typical job.

    Simply, when someone uses the words makes me exhausted...there may be a reason associated with that.

    wrbtrader[/QUOTE]
    Yeah, you're absolutely right. I was sitting on a chair for hours that hurts my back and my belly has a little fat. So I walk and run for 3 to 5 miles every 2 days in order to relieve the pain and reduce abdomen.
    The fact is many of major moves happened from 9 a.m. to 4 p.m. EST´╝îbetween Asia session and EU session can catch some moves but not as much as the US session. Thus I check the charts twice per day and only trade H8 time frame , less stress, more time to live a life. I hope I can trade on Daily chart and Weekly chart eventually and skip the H8.
     
  6. Yeah, the prices and charts are chaotic.
     
  7. Peter10

    Peter10

    some brokers do hedge positions but nevertheless, CFD is only for traders who can't fund the initial margin for futures.
     
  8. Robert Morse

    Robert Morse Sponsor

    Sorry, I have to disagree. You get enormous leverage with these futures without the financial requirements in equity accounts where Portfolio Margin does not get close with ETFs and equities. Margin of 4% to 5% of the notional value! And, many FCMs and brokers offer more for day trading. We can offer up to 25% of SPAN margin for DT. That a little more than 1% of the notional value.
     
  9. Glad you found the futures. Agree with not checking charts too much -- just wondering, though, if you can check during more critical times of the US session. For instance, you mentioned 9:00 a.m. EST, but 10:00 might be a better time as the US stock market will have been open for a half hour. I make sure I check at 4:00 p.m. EST to catch the US stock market close which allows me to use the daily charts. In any event, best wishes to you.
     
    CSEtrader likes this.
  10. Handle123

    Handle123

    Always thought margins way too low, they put brokers/FCM's, who we need to make trades, in a precarious position of undue risk. And yet underfunded always say margins too high when it is them who cause the undue risk. Underfunded often go 90% of their accounts into the marketplace thinking they need to be in the market and yet longer one trades, understand the risk of ruin much better, and term "play another day" is taken lightly by new traders-well they can always bankrupt themselves caused by stupidity.

    It is not a question of "if" another 911 occurs, it is a matter of when, and if on wrong side, one's account can and will take huge bite, and no funds to "play another day".
     
    #10     Jul 13, 2018