what do non-americans trade?

Discussion in 'Professional Trading' started by Technician, Sep 14, 2010.

  1. what do they trade in europe or asia or australia? what are the more active stocks indices/futures?
     
  2. Picaso

    Picaso

    German debt (Bund, Bobl, Schatz)

    DAX, Eurostoxxx

    Forex

    Major European stocks
     

  3. Cac40

    FTSE
     
  4. Claudius

    Claudius

    I've looked at the Australian, UK and HK markets.
    My conclusion was that is was just too expensive.
    1. Brokerage/exchange fees/taxes are too high.
    2. Limited liquidity means wider bid/ask spreads.
     
  5. obsidian

    obsidian

    I'm based in Singapore and day trade futures for a living so I can give some background on Asia

    For futures I trade the sgx nikkei, timsci (MSCI Taiwan), simsci (MSCI Singapore), nifty (the main India index), kospi, and spi future. All of these are very cheap. For stocks I do not recommend day trading because in HK you will need to pay stamp duty on top of commissions (10bps each way for stamp, adds up fast), and fat tick sizes (in HK and Singapore, vast majority of stocks are trading below 10 dollars with a tick size of 0.01, you will be too slow to queue and always pay bid/offer to enter/exit positions). But actually, because the stocks are so expensive to trade, you will often see interesting moves in the futures since the transaction costs to carry out index arb are so high. Commissions on futures are quite cheap, for instance on IB it is 300 yen/side for SGX Nikkei.

    There are T+1 (post-cash close) futures on nearly all Asian indices. These can also be quite interesting as there are some correlation and volatility reversions that happen because they get dragged up and down by ES and Eurostoxx.
     
  6. HSI Futures
    Mini HSI Futures (MHI)
    HK and China Affliated Stocks

    The transaction cost is higher but the volatility is also higher.