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> LEVERAGE!!
Daytrading and leverage of the SP contract do no necessarily have
something to do with each other. One can trade happily long term
positions in the SP as an overlay to a stock portfolio without
leveraging the portfolio.
The main issue regarding daytrading is transaction costs and reaction
time. If you cannot compete in these two areas then you will not
succeed in daytrading since the floor tends to absorb most of the
small inefficiencies IMVHO.
Gerrit Jacobsen
> <<I don't know why
> people choose to subject themselves to this kind of pressure. Intra-day
> movement is a function of so many factors and participants. Position
> trading gets you in the trend direction which is more stable.>>
>
> LEVERAGE!! S&P at 1219 equals $304,750 (1219 x $250)
> margin required: approx $20,000 or about 6.75%
>
> With a very small account you can make a very decent living. Your way
> requires many, many times more capital.
>
> Tom Lisk
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