If you are new to trading the DAX I would use at least $5k for every one contract you trade. I don't trade the EUROSTOXX they move to slow for my likes. I don't trade the SMI or the CAC or the bund. I like the DAX because I can watch it top commponents and get an extra little feel for whats going on.
I don't believe its possible to use an auto system for scalping the DAX. Just because I don't think its possible doesn't mean it can't be done. If you have an idea play with it. Systems trading is not my thing so I'm probably not the best person to talk to about them. Most scalping "systems" I know of that work are an arb of some type between two markets.
I like that. If you use a 2% loss for your money management, then I guess you should set your stops at 4 points for the DAX. That is what i try to use, but sometimes get blown out I use the 2% rule on the DAX and/or the ES/YM. Are you suggesting that as you get more experience, you should relax the 2% rule?
This may not be applicable to your scalping method since I'm sure you're stops are very tight, but I wondered if you have any comment about the following observation. I've been trading DAX for about 6 months now, don't scalp but have noticed some interesting behaviour in regards to price action. I frequently get fills that are outside the range of what my charts or T&S show. For example I've got a stop on a short entered at 57.5 which gets hit. However Esignal charts show the hi at 56 and in T&S I never see that 57.5 trades. For that reason if I'm trading with an expected stop of 4 or 5 points which is typical for me I'll have a safety stop entered at 8 pts but then manually take the real stop at 4 or 5 and then quickly pull the safety stop. This is typically during the 1st couple hours of trading, apparently the electronic trading system doesn't keep up with reality. I've also had the same occurence on the really quick monster moves one time got filled about 10 points above the reported high on a long position which was great but it can work both ways. Something for new traders to keep in mind, you have to respect the dax or it can burn you.
IB/eSignal are just toys.IB is very often down,eSignal has again and again problems with connection to europe.I using J-Trader of broker where is day margin for DAX 2500.www.daytrade4less.com/ ... For charting I using myTrack.They have excellent connections to every market because they are really big player.Also RealTick would be interesting,I think about them.However myTrack (I have 8 ears experince with them) have no problems with data feed to europe. ... If you want to have really great access to trading,you HAVE TO HAVE DIRECACCESS broker for executions and for charts.If you have only online-broker like Man etc...its not good choice for fast market.You need real fast partner,fast plattform,fast broker.
Judging by your posts in Chit Chat you sound like a consummate Republican, yet here you sound like a total Liberal concerned that someone might get hurt. Well, if someone is too stupid to start trading 100 contracts right away after reading this thread then why should we care about it? I would rather start being concerned when someone like GWB starts another war because this does affect everybody, but as far as individuals are concerned, I say: let them do whatever their fancy is, no matter how stupid it is. That's what fredom is about after all.
Could you post about an hour's worth of scalps (from a recent day) in a spreadsheet format? If you do, I'll even annotate a sub minute chart with your trades and post it here for the edification of others. (I went thru this thread and couldnt find any trades posted. Maybe I missed them.) I have always been interested in how a true scalper trades. I'd like to see what they are keying off of.
Man Financial offers J-trader and Trading Technologies. I have no idea why you think they are a slow interent broker. They are one of the largest clearing firms, and do huge business on Eurex.