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Daytraders/Tapereaders:
Assuming capitalization is not a concern and making money is the primary aim,
I am interested in knowing why anyone would trade bonds over the SNP. I have
long traded the latter (using simple price action) and find it mystifying that
anyone would prefer the former.
To use a seasonal metaphor, the few times I have dabbled in bonds, I felt like
a major leaguer who'd been demoted to the minors (with a corresponding
(dys)proportionate cut in pay). It was always a relief returning to The Big
Show (and pay scale). Typical trades:
Bonds (generous): 10 points (10/32) X 10 contracts X 31.25 = $3125
SNP: 5 points X 10 contracts X 250 = $12,500
Any questions?
At best I view Bonds as an adjunctive vehicle. A sidecar.
Seeking alternative views,
Dave
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