Trading sucks!!

If you don't know where to start, start here! Don't be afraid to ask questions.

Moderator: moderators

paweldobkowski
rank: 150+ posts
rank: 150+ posts
Posts: 444
Joined: Mon Dec 27, 2010 12:12 am
Reputation: 0
Gender: None specified

Postby paweldobkowski » Tue Oct 09, 2012 10:51 am

es/pip wrote:It is just range contraction and expansion which is visual on the chart.

If things are real tight in a defined range then wait for the range to expand and volume to pick up.

Not sure where you are at with all of this as for as account size, but you can also look at DAX, CL and GC if currencies are not moving. Those three usually move regardless. Not for the faint of heart though.

You said earlier that commissions and spreads are getting you. What is your normal spread and commission rate?


Thank You. I will definitely look at these indexes.

Im trading EU exclusively (and looking at gold on futures) at the moment and counting everything in it's usually 2 - 2.5 pips (spread around 1.5 and another 1p in commisions). So it's tough to trade when I HAPPEN to end up it 5 - 8p range. Especially when You're looking for any kind or confirmation. Getting whip sawed etc. It's a mess really.

Im using a shitty polish broker though but it's a must for me because I need to "account for the tax office". Fck I dont know how to say that :wink:

I had some problems with tax office before and now I need to be extra careful. My accountant (again I dont know if that's the word) said that it'll be best to stick with polish broker, especially a big bank, so they wont be looking up my ass again :wink:

Next thing that I'll do is I'll create an offshore company and trade on low taxes with any broker I want to but that's for the future.

Putting that post together was A STRUGGLE. I learned new words :wink:
Sorry for any mistakes.


edit PS

I never thought about just waiting for volume and volatility to increase and break out of the range. It sounds like a great and simple idea but I need to see this in real time. Might not be that easy. Thanks a lot.

Also I need to slowly move to trading some higher timeframes so I can compensate the high commisions.

Please add www.kreslik.com to your ad blocker white list.
Thank you for your support.

User avatar
es/pip
rank: 1000+ posts
rank: 1000+ posts
Posts: 2898
Joined: Wed Jan 21, 2009 9:28 pm
Reputation: 0
Gender: None specified

Postby es/pip » Tue Oct 09, 2012 11:04 am

Is it an ECN where you can sell offers and buy bids? Or are you paying the spread and commish on every trade?

2-2.5 is a lot to pay all in for EU, i wouldnt scalp it myself if i had to pay that.

Would prob move out in time frames and trade it that way.

The + side to all of that is, if you can scalp eu at 2.=2.5 all in and make money then you are scalping pretty good and would do a lot better in futures, seeing that your costs would no where be near that.

What are the laws there? Are their futures brokers that have access to the american exchanges there where you live?
Bend over and assume the position for another 4 years of hope and change.

paweldobkowski
rank: 150+ posts
rank: 150+ posts
Posts: 444
Joined: Mon Dec 27, 2010 12:12 am
Reputation: 0
Gender: None specified

Postby paweldobkowski » Tue Oct 09, 2012 12:44 pm

No, it's not ECN. I have to pay the spread and commision on every trade.

Recently I managed to negotiate a lower spread on EU due to the volume of my transactions (it's easy to trade high volume scalping). I got 1 pip spread now on EU. It might sound like not a big difference between 2.5 and 2 but You know that it is in scalping.

Also I might have different definition of scalping than You. I dont go for less than 8 - 10 pips. I might take everything market gives me (even 1 pip) but I need to see some "decent" profit margin before I enter, also if prices goes strongly in my favor I will hold for everything between 30 - 60 pips. These are my real account pushers. But as I said getting involved in a tight range with 2p spread and making, lets say, 6 trades than losers can sometimes stack up. And they are not that small compared to the most winners. It's not killing me but certainly it's something that I need to work on.

es/pip wrote:What are the laws there? Are their futures brokers that have access to the american exchanges there where you live?


No, we have no futures brokers here THAT I KNOW ABOUT. So if I decide to try futures trading I have a free choice really. It might be an issue but my accountant says that tax office will HAVE TO honor any broker if there's no polish one. So maybe can You suggest any good futures brokers to start with? Or any pointers what to look for?

Im trying out some demo accounts currently on futures and I have to say that it's WHOLE DIFFERENT game. Much more consecutive winners, smaller loses, better execution etc. I just need to feel more confident at trading it and I'll probably give it a go.

You trade futures also?

User avatar
es/pip
rank: 1000+ posts
rank: 1000+ posts
Posts: 2898
Joined: Wed Jan 21, 2009 9:28 pm
Reputation: 0
Gender: None specified

Postby es/pip » Tue Oct 09, 2012 1:53 pm

yes pretty much all futures and some options for now.


These are solid places.

http://www.interactivebrokers.com/ibg/main.php

http://www.velocityfutures.com/


IB has offices outside of the US as well.

http://www.interactivebrokers.com/en/ibglobal_sites.php
Bend over and assume the position for another 4 years of hope and change.

tking
rank: <50 posts
rank: <50 posts
Posts: 32
Joined: Fri Jul 10, 2009 8:57 pm
Reputation: 0
Location: Colorado
Gender: Male

Postby tking » Tue Oct 09, 2012 3:03 pm

es/pip,

I want to thank you for all of your postings in the different threads here. I think you have done all you can do as far as conveying how you look at and go about your trading here. You have done all you can to help in this regard.

I have read and tried to investigate how trading futures vs spot is an advantage including reading an article by Seiden on the subject. Each time I look into it I either do not see the advantage or I get frustrated trying to decipher all the information I am not familiar with. I will look at the two brokers you mentioned above and try again to see the advantage.

Could you offer a simple explanation as to why you find futures and options better or preferred vs spot? Is it something that is better all around or does it only become better with larger accounts? Any explanation will be appreciated.

Please add www.kreslik.com to your ad blocker white list.
Thank you for your support.

paweldobkowski
rank: 150+ posts
rank: 150+ posts
Posts: 444
Joined: Mon Dec 27, 2010 12:12 am
Reputation: 0
Gender: None specified

Postby paweldobkowski » Tue Oct 09, 2012 3:21 pm

Thanks ES!

Are You still trading the same stuff that You did or maybe things have changed?

Asking just out of curiosity also I'd like to know when I'll start becoming "the new herd" :wink:

User avatar
es/pip
rank: 1000+ posts
rank: 1000+ posts
Posts: 2898
Joined: Wed Jan 21, 2009 9:28 pm
Reputation: 0
Gender: None specified

Postby es/pip » Tue Oct 09, 2012 5:01 pm

tking wrote:es/pip,

I want to thank you for all of your postings in the different threads here. I think you have done all you can do as far as conveying how you look at and go about your trading here. You have done all you can to help in this regard.

I have read and tried to investigate how trading futures vs spot is an advantage including reading an article by Seiden on the subject. Each time I look into it I either do not see the advantage or I get frustrated trying to decipher all the information I am not familiar with. I will look at the two brokers you mentioned above and try again to see the advantage.

Could you offer a simple explanation as to why you find futures and options better or preferred vs spot? Is it something that is better all around or does it only become better with larger accounts? Any explanation will be appreciated.



Futures = better for scalping

Spot better if you are going to be holding positions overnight. With futures you would have to meet the margin requirements if holding after the close. That may or may not matter based on your risk you scale your account at. Spot is much easier to build a smaller account up with, as you can increase your lots by a smaller amount.

scalping:
Futures offer a lower cost per transaction. Take e/u vrs 6e. In forex if it is trading 1.2885 x 1.2886 and is printing one of those levels you will always pay up ( long side) by 1 pip or whatever your spread is( if you are marketing in and/or not using an ecn). In futures it may be 1.2885 x 1.2886 printing .2886 and you can buy that because it is the offer and wouldn't have to pay .2887. You also can transact at the bid or offer. All of this is probably not that important unless you are scalping.

Options are just a good way to not tie up equity for long periods by holding the underlying position.


paweldobkowski wrote:Thanks ES!

Are You still trading the same stuff that You did or maybe things have changed?

Asking just out of curiosity also I'd like to know when I'll start becoming "the new herd" :wink:


Yeah same thing pretty much.
Bend over and assume the position for another 4 years of hope and change.

User avatar
MightyOne
rank: 5000+ posts
rank: 5000+ posts
Posts: 5251
Joined: Wed Dec 10, 2008 6:33 pm
Reputation: 47
Gender: Male

Postby MightyOne » Tue Oct 09, 2012 5:11 pm

"...With futures you would have to meet the margin requirements if holding after the close..."

You could leg into a spread to keep your margin req. down.

User avatar
es/pip
rank: 1000+ posts
rank: 1000+ posts
Posts: 2898
Joined: Wed Jan 21, 2009 9:28 pm
Reputation: 0
Gender: None specified

Postby es/pip » Tue Oct 09, 2012 5:24 pm

MightyOne wrote:"...With futures you would have to meet the margin requirements if holding after the close..."

You could leg into a spread to keep your margin req. down.



True.


Part of me wants to look at your space stuff, but part of me knows i may be too set in my ways at this point.

Could you do one thing for me? Can you please provide ES liquidity in the CL and keep the same ranges. hahah
Bend over and assume the position for another 4 years of hope and change.

tking
rank: <50 posts
rank: <50 posts
Posts: 32
Joined: Fri Jul 10, 2009 8:57 pm
Reputation: 0
Location: Colorado
Gender: Male

Postby tking » Tue Oct 09, 2012 5:52 pm

es/pip,

Thanks for the reply. It gives me a better idea how to compare them when I next take a hard look at them.

Please add www.kreslik.com to your ad blocker white list.
Thank you for your support.


Return to “beginners forum”