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Re: [EquisMetaStock Group] Using Metastock to trade FUTURES?



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I trade daily, intraday, or position depending on how the charts 
look.  The reason I say "no sleep" is that I don't put stops in 
because all electronic orders can be viewed by other traders because 
the real time quotes puts them up for everybody to see. This means 
that stops will get picked off. You will experience this for 
yourself, when it goes down to hit your stop and then proceeds to go 
back up again.  Since it is electronic it means instantaneous fills 
or close to it.  When the price hits my loss target I put the order 
in at the market, This is the stop process the Turtles made famous 
and is probably the only thing that is useful from what they 
originally did. Of course I'm referring to electronic markets of dow 
mini and others. I do not trade the pit contracts unless I'm 
position trading even then I prefer the electronic.  The leverage or
granularity you talk about is only relevant if you talk about risk.  
The higher the point value the greater the risk to reward ratio. If 
you are beginning i would recommend the dow mini contract. $5 
dollars a point and $2500.00 a contract. Volatility meters and price 
range can help with money management portion of the trading. The Dow 
market are the easiest to trade because they trade in a range bound 
pattern. Take a look at a historical chart of the dow futures 
contract. Do not chart the mini. Trade by the Big Contracts and 
enter in the mini contracts.  
(example of my last trade would be: I shorted the mini sep dow at 
10700 with a target stop loss of 50 points or $250.00 and it went to 
10734 and collapsed to 10580 which then I exited at the market 
because it hit trend line support. I checked the stop orders place 
at the time the market went to 10734 and the last stop order was at 
that price 10734, then the market collapsed. So the reasoning is 
that if I could see it the big leverage players will move the market 
to pick off the buy stop and let the market go down to its proper 
trend.  My stop method is from years of experience in this market 
and requires the ability to immediately exit a trade when the target 
stop loss is hit. It does not matter if it goes back down. You get 
out. Any change in this money management technique will cause losses.
One quick note : I tested with real money with a coin flip. I 
entered long if it is heads and short if it is tails. I put the stop 
loss at 1% or $25.00 or 5 ticks. With this money management 
technique I was profitable.  Basically random entry into the market 
with a proper money management system made it profitable.  Trading 
is 90% money management 10% technical. I use to think it was the 
other way around but it took awhile to figure this out.
KS.


 
--- In equismetastock@xxxxxxxxxxxxxxx, "metastkuser" 
<andysmith_999@xxxx> wrote:
> KS,
> 
> If you don't mind a few questions:
> 
> 1) Do you daytrade ES and YM or trade multi-day? 
> 
> 2) Do you see any benefit from the added granularity of YM over ES
> (i.e. YM tick is $1, ES tick is $0.25, but YM is 10x ES which means
> ES=$0.25 and YM=$0.10 in apples-to-apples). Does YM's finer
> granularity allow your stops to be shaken out less?
> 
> 3) Leveraging cuts both ways, but e-mini traders only speak of it's
> goodness (as you are confirming). Why is that? Have you never been
> hurt by the high leverage?
> 
> 4) "Sleep is not an option because of night trading". I'm assuming
> vigilant stop placement for ES/YM end-of-day traders allows for 
sleep?
> 
> Thank you for your help, KS.
> Andy.
> 
> 
> --- In equismetastock@xxxxxxxxxxxxxxx, "formulaprimer"
> <formulaprimer@xxxx> wrote:
> > I can't speak for anybody else but I have been trading the Dow 
> > Futures and Dow Mini and S&P mini since it began. Once you trade 
> > them you will never go back to stocks. It is because of the 
> > leveraging.  All the indexes move in direct relation to the 
Stock 
> > Market indexes so any long term direction must be done with the 
Big 
> > Board not the mini's.  Be warned the Night Trading moves the 
market 
> > tremendously sometimes and sometimes sleep is not an option. 
> > Otherwise if your technical analysis is at a high level you will 
> > like it. August issue of Futures magazine I think has a good 
article 
> > on options.
> > KS.
> > 
> > 
> > --- In equismetastock@xxxxxxxxxxxxxxx, "metastkuser" 
> > <andysmith_999@xxxx> wrote:
> > > Vladimir,
> > > 
> > > Thank you for taking the time to answer my questions. 
> > > 
> > > In your experience, how would you compare trading the index 
versus
> > > trading the futures? For example, trading ES vs. SPX, or NQ vs.
> > > QQQQ,... I know the leverage is very different, but besides 
that 
> > how
> > > has your experience been?
> > > 
> > > I have heard that once a trader moves from stocks/indexes to 
> > futures,
> > > they never return to stocks...
> > > 
> > > 
> > > --- In equismetastock@xxxxxxxxxxxxxxx, "v" <entinv@xxxx> wrote:
> > > > From my experience future always track the index.  For 
example
> > > either you
> > > > trade QQQQ or NQ
> > > > the only real difference is the leverage.
> > > > 
> > > > Comparing futures to equities if you mean individual stocks, 
the 
> > future
> > > > never goes bankrupt therefore it's
> > > > safer to buy.  Futures, both commodities and indexes appear 
to
> > > better comply
> > > > with the technical analysis
> > > > studies in comparison with individual stocks.  Many 
individual
> > > stocks are
> > > > not liquid enough to trade and
> > > > those most liquid would track corresponding industry/group 
> > indexes.
> > > > 
> > > > Never heard about Track N TRade before.  Looks interesting
> > > > 
> > > > 
> > > >   -----Original Message-----
> > > >   From: equismetastock@xxxxxxxxxxxxxxx
> > > > [mailto:equismetastock@xxxxxxxxxxxxxxx]On Behalf Of 
metastkuser
> > > >   Sent: Saturday, August 20, 2005 11:56 PM
> > > >   To: equismetastock@xxxxxxxxxxxxxxx
> > > >   Subject: Re: [EquisMetaStock Group] Using Metastock to 
trade 
> > FUTURES?
> > > > 
> > > > 
> > > >   Vladimir,
> > > > 
> > > >   "It doesn't provide continuous contracts, but for ES and 
YM 
> > you can
> > > >   use SPY/SPX and DIA/DJI if you need longer term picture."
> > > >     -- yes, it occured to me that I can use SPX instead of 
ES, 
> > and DIA
> > > >   instead of YM. But, does the future always track the 
index? 
> > Wouldn't
> > > >   the future move much faster than the index if the index 
made a 
> > sudden
> > > >   large move?
> > > > 
> > > >   How do you like trading futures compared to equities?
> > > > 
> > > >   By the way, have you heard of Track N Trade for 
backtesting 
> > futures?
> > > > 
> > > >   --- In equismetastock@xxxxxxxxxxxxxxx, "v" <entinv@xxxx> 
wrote:
> > > >   > For EOD futures I'm using HSQuote from
> > > >   > http://www.downloadjunction.com/product/software/4358/
> > > >   > It doesn't provide continuous contracts, but for ES and 
YM 
> > you
> > > can use
> > > >   > SPY/SPX and DIA/DJI if you
> > > >   > need longer term picture.
> > > >   > Intraday I'm using MetaServer RT for Interactivebrokers.
> > > >   >
> > > >   > I don't trade options on futures.
> > > >   >
> > > >   > Regards,
> > > >   >     Vladimir
> > > >   >
> > > >   >   -----Original Message-----
> > > >   >   From: equismetastock@xxxxxxxxxxxxxxx
> > > >   > [mailto:equismetastock@xxxxxxxxxxxxxxx]On Behalf Of 
> > metastkuser
> > > >   >   Sent: Saturday, August 20, 2005 8:18 PM
> > > >   >   To: equismetastock@xxxxxxxxxxxxxxx
> > > >   >   Subject: Re: [EquisMetaStock Group] Using Metastock to 
> > trade
> > > FUTURES?
> > > >   >
> > > >   >
> > > >   >   Vladimir,
> > > >   >
> > > >   >   If you don't mind answering a couple of questions:
> > > >   >
> > > >   >   1) I'm only interested in S&P 500 e-mini (ES) and mini-
Dow
> > > (YM). I use
> > > >   >   Reuters for stock/indices end-of-day data. I don't 
want to 
> > pay
> > > for the
> > > >   >   omplete futures eod package. Do you know where I can 
get 
> > eod
> > > data for
> > > >   >   just ES and YM?
> > > >   >
> > > >   >   2) Options on futures. I currently trade options credit
> > > spreads on SPX
> > > >   >   and would like to try credit spreads on ES and YM. Do 
you 
> > trade
> > > >   >   options on futures? Can Metastock support this?
> > > >   >
> > > >   >
> > > >   >   --- In equismetastock@xxxxxxxxxxxxxxx, "v" 
<entinv@xxxx> 
> > wrote:
> > > >   >   > Yes, I do.
> > > >   >   >
> > > >   >   > Vladimir
> > > >   >   >   -----Original Message-----
> > > >   >   >   From: equismetastock@xxxxxxxxxxxxxxx
> > > >   >   > [mailto:equismetastock@xxxxxxxxxxxxxxx]On Behalf Of 
> > metastkuser
> > > >   >   >   Sent: Saturday, August 20, 2005 5:53 PM
> > > >   >   >   To: equismetastock@xxxxxxxxxxxxxxx
> > > >   >   >   Subject: [EquisMetaStock Group] Using Metastock to 
> > trade
> > > FUTURES?
> > > >   >   >
> > > >   >   >
> > > >   >   >   Anyone using MS to trade futures?
> > > >   >   >
> > > >   >   >
> > > >   >   >
> > > >   >   >
> > > >   >   >   SPONSORED LINKS Business finance course  Business 
to 
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> > > >   finance
> > > >   >   > Small business finance
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finance 
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