# Markets/products to Day Trade while in Australia



## cjsimo99 (5 January 2017)

Hi everyone - I am making a move back to Aus. I am used to trading the US markets during the day and would prefer to keep that time range. I have not day traded the ASX before but, have heard it is quite small, not liquid etc etc to make a decent go of it - likely I have spoken to the wrong people.

I was wondering if anyone on here who actively day trades could give me an idea of what markets/products they trade during the day into early evening - if it is mostly ASX stocks or CFDs, forex etc. I have typically traded stocks, futures and occasionally options in the US. 

Thank you


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## The Bear (6 January 2017)

You can definitely make a decent living day trading the Asian Session....Whether that is ASX Stocks, Futures, FX Pairs or even Bonds. I know plenty of traders that just trade ASX stocks, prominently day trading but will also have other strategies which can involve holding trades for multiple days and trading the SPI if their setups present themselves.

While the liquidity of the ASX is nowhere near the US Markets and you won't get as many low float runners with as big moves there is still more than ample opportunities on the ASX....For example check out BUB this week...some nice opening drives there.

Depending on how big your account is you can trade ASX stocks to the long side using a low cost broker like Open Markets or Amscot.....However you can use CFD's to do this if your account is smaller (Though beware some of the small cap stocks will require 100% margin anyway) and you will need a CFD account to trade ASX stocks to the short side....I would only recommend a direct market access (DMA) CFD broker and would properly get two accounts with two different providers as Shorts can be hard to get sometimes....FP Markets & Invast are two examples. 

Another difference is to get familiar with the ASX Market Microstructure...as their is no premarket as such but a Market Opening & Closing Auction....

http://www.asx.com.au/about/trading-hours.htm

You can find some other helpful post already on this forum search for a user called SKC

https://www.aussiestockforums.com/t...kets-available-in-australias-time-zone.30923/

Also there is a good interview on the Chat With Traders podcast with a ASX Trader called Bryce Edwards....

https://chatwithtraders.com/ep-051-bryce-edwards/

Good Luck


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## cjsimo99 (6 January 2017)

Thank you very much for this. That is good to hear. I was figuring ASX stocks would be the best bet for day trading, though I will still look at longer term trades on the S&P. I am still looking at CFDs, hopefully the account is big enough. If so, I will likely stick with IB unless there are better recommendations....

Thank you as well for the other links.


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## banco (8 January 2017)

I am based in Australia and trade the first 1.5 hours of CL as I work full time during the day. It's workable if you build your sleeping pattern around it (ie sleep at 9:30, trade at 1-2:30 then back to bed). Out of interest I recorded about a month's worth of the SPI futures contract (DOM and chart). Volume is very low and I think would be very difficult to trade with more than 1-5 contracts. I've heard that the nikkei225 on the Osaka exchange is very liquid but don't have a free data feed like I do for the SPI so haven't investigated it.


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