Anyone successfully trading ASX intraday ranges with CFDs?

[>Apocalypto<]

Intraday, it's just these big overnight moves are not the opportunity I thought they should be. On a swing trade type basis they seem to come counter trend. (Someone should blow pre and post market auctions up!)

I thought a 1c spread was ok, but with any volatility it blows out to 2 sometimes 3c which is a bit rich, although it seems to settle back to 1c ok.

I guess you may be doing well with some long positions later this morning, I have no knowledge of picking bounces during the day. Thanks for the reply.

CFD,

Intraday is a very tough gig to master mate.

You need a different system and a very fast mind to act on a sec no time to ponder you either go in or wait for the next opportunity.

Like TH said trends are not always to be trusted as they turn base continue base fall then spike all in a couple of hours if u walk away from a trade thinking its only going to go up or down u may be in for a rude shock.

Spreads.

I can not day trade with a spread more then two points. due to this I am very picky about the trades I take, sometimes I pass many good trades up. I look for a consistent pattern that is not wild and volatile with wide ranging bars. chopping and changing. I will let go of 5 points plus the spread per trade.

I look to lock in 5 points to more on a trade aim for more tried to just take 3 out but couple losses in a row there goes your win/loss ratio.

currently I hardly day trade as I work full time and I can't be bothered sitting glued to the screen for the whole day.

I prefer to position trade, short term trends on stock indexes FX commodities and some asx shares.

I read this in a John J Murphy Book:

"Master day to day trading before you look to master intraday trading."

All the best

 

[SevenFX]

With Intraday trading the trend is not your friend..

Not sure if I follow what you mean TH, as isn't Micro trending (tic, min, hr) always occuring with each greater Macro trending (day, week, month, etc)

Also can you explain what you describe as a "setup" or "edge". Is this like channel trading and shorting at the top of a channel given it is a reliable proven channel with a decent range to profit after spread....????

Thanks
SevenFX

 

[Trembling Hand]

CFD,
I read this in a John J Murphy Book:

"Master day to day trading before you look to master intraday trading."

All the best

I know what you mean as the skill to trade longer time frames is a good starting point. But I don't necessarily agree with this one. The personal make up that makes a good position trader may not transfer to what makes a good day trader and reverse. I know people that have struggle for years trying one thing. Only to switch market/time frames/instruments (like stocks to options) and it has just clicked. I say try everything. See what clicks with you and forget the rest.

Not sure if I follow what you mean TH, as isn't Micro trending (tic, min, hr) always occuring with each greater Macro trending (day, week, month, etc)

Also can you explain what you describe as a "setup" or "edge". Is this like channel trading and shorting at the top of a channel given it is a reliable proven channel with a decent range to profit after spread....????

Thanks
SevenFX

Very rarely do we get large range days in the direction of the daily trend. like what I posted about Here.

As far as a trading edge. Its a bit hard to explain what someone should do as everyone sees the market differently. But i will give it a go. IMO to day trade you do not need many setups. When I started trading the SPI, every day I printed out and keep the 5 min & 2 min charts for 2 years. After a while of going over the charts many times I found setups that would repeat time and time again. To turn this into a trading edge I then had to work on entry/exit and that was it. Now I can approach the market each day knowing if one of "my" patterns show up I have a high probability of making a profit. The only frustration that I get from the market is mostly on bad entries and to early exits (which is not from the market but my skill) This takes a lot of the frustration out of trading. Sure its still frustrating but that should not come from the market If you have the three things below,

Pattern + Entry/Exit skill + Balls to take The setup = trading edge. Forget the rest!

 

[CanOz]

I know what you mean as the skill to trade longer time frames is a good starting point. But I don't necessarily agree with this one. The personal make up that makes a good position trader may not transfer to what makes a good day trader and reverse. I know people that have struggle for years trying one thing. Only to switch market/time frames/instruments (like stocks to options) and it has just clicked. I say try everything. See what clicks with you and forget the rest.



Very rarely do we get large range days in the direction of the daily trend. like what I posted about Here.

As far as a trading edge. Its a bit hard to explain what someone should do as everyone sees the market differently. But i will give it a go. IMO to day trade you do not need many setups. When I started trading the SPI, every day I printed out and keep the 5 min & 2 min charts for 2 years. After a while of going over the charts many times I found setups that would repeat time and time again. To turn this into a trading edge I then had to work on entry/exit and that was it. Now I can approach the market each day knowing if one of "my" patterns show up I have a high probability of making a profit. The only frustration that I get from the market is mostly on bad entries and to early exits (which is not from the market but my skill) This takes a lot of the frustration out of trading. Sure its still frustrating but that should not come from the market If you have the three things below,

Pattern + Entry/Exit skill + Balls to take The setup = trading edge. Forget the rest!

Excellent advice here, also read about a trader that did something similar with the historical charts in New Market Wizards.

Incidentally, the two most common themes in the book were EDGE, and ability to take losses...or so i remember anyway.

A bit off topic.

Cheers,

 

[>Apocalypto<]

Excellent advice here, also read about a trader that did something similar with the historical charts in New Market Wizards.

Incidentally, the two most common themes in the book were EDGE, and ability to take losses...or so i remember anyway.

A bit off topic.

Cheers,

very on topic Can.

 

[CanOz]

very on topic Can.

I should add TI that i'm pretty confident of being very good at the latter theme!

Now, just to hone the EDGE!

Cheers,

 

[SevenFX]

But on a smaller time frame that is where the skill comes into it. Maybe even more than any Chart reading TA stuff.

With Intraday trading the trend is not your friend..

Not sure if I follow what you mean TH, as isn't Micro trending (tic, min, hr) always occuring with each greater Macro trending (day, week, month, etc)

Thanks for your reply about setups, and makes more sense, perhaps like SPI triangle this morning at 5988...????

Can you also confirm what you mean't about your quote above, and what charts wouldn't help on a intraday micro level...?????

Thanks
SevenFX

 

[professor_frink]

I have made 19 trades so far this morning. Only 5 have been short. Also this is hard to do this stuff with CFds because of the spread.

19 trades in an hour and a half

All on the SPI, or was there other markets involved as well?

 

[Trembling Hand]

19 trades in an hour and a half

All on the SPI, or was there other markets involved as well?

SPI. You Can't do this with CFDs.

 

[professor_frink]

SPI. You Can't do this with CFDs.

Nice work. Looks like a very busy morning! If you don't mind me asking TH, what's your average win/ loss ratio?

 

[Trembling Hand]

Nice work. Looks like a very busy morning! If you don't mind me asking TH, what's your average win/ loss ratio?

Today was a good day for me Frink, 73% winners. thats higher than normal.

 

[CanOz]

The penny has finally dropped about your user name TH! If i tried that, i think i would have a trembling head!

Cheers,

 

[professor_frink]

Today was a good day for me Frink, 73% winners. thats higher than normal.

well done

It looks as though that kind of method would sometimes struggle when we get a strong trend. Looks like it would work a treat in the chop though

 

[Trembling Hand]

well done

It looks as though that kind of method would sometimes struggle when we get a strong trend. Looks like it would work a treat in the chop though

Spot on Professor. I Have to change my game if its trending.

 

[CFD]

~~
I prefer to position trade, short term trends on ~ some asx shares.

I read this in a John J Murphy Book:
"Master day to day trading before you look to master intraday trading."
All the best

This is what I do, but I get profits/reduced risk wiped out (with stop losses) on days like today. Thought on these days I should be able to trade intraday and get some money back.

Thanks for the replies, I will leave intraday in the overflowing too hard basket.

 

[>Apocalypto<]

This is what I do, but I get profits/reduced risk wiped out (with stop losses) on days like today. Thought on these days I should be able to trade intraday and get some money back.

Thanks for the replies, I will leave intraday in the overflowing too hard basket.

CFD,

nothing saying u cant do it look at the xjo intra day ranges today not the best day to play on the intraday.

now if u watch the ig xjo and dow index at night u can enter in and catch the drop but be prepared for any wild swings on the dow.

cheers

 

[Trembling Hand]

CFD,

nothing saying u cant do it look at the xjo intra day ranges today not the best day to play on the intraday.

You have got to be kidding! If you carn't take money intraday on a day like this what do you need? 8% move?

now if u watch the ig xjo and dow index at night u can enter in and catch the drop but be prepared for any wild swings on the dow.

cheers

That's some weird way to trade. that's a crappy risk reward TI. looks more like a gamble than a trade

 

[>Apocalypto<]

You have got to be kidding! If you carn't take money intraday on a day like this what do you need? 8% move?

after looking at the xjo intraday i see your point TH, I take that back. I have been playing the intraday on on FX SORRY I WAS MISTAKEN CFD.

That's some weird way to trade. that's a crappy risk reward TI. looks more like a gamble than a trade

after looking at the xjo intraday i see your point TH, I take that back. I have been playing the intraday on on FX SORRY I WAS MISTAKEN CFD.

LOL, works a treat for me. and that all the matters a super trader!

 

[>Apocalypto<]

CFD,
now if u watch the ig xjo and dow index at night u can enter in and catch the drop but be prepared for any wild swings on the dow.
cheers

let me elaborate on this, now if the chart pattern is not there this can be a risky way to trade.

here is a example.

on the 2nd and the 3rd there were two minor rallies on the xjo, plus the dow made to rallies only on the last 30 min of biz these are not rules only added evidence to set the tone.

on the night of the 3rd i check the dow futures at 8.30pm they are weak then i see the IGXJO is not very negative so thats a good time to enter and a excellent risk reward TH! I place my short with a 25 ponit stop loss then I watch the futures into the open as I see them fall away I can see that minor rally will be sold down on the following day. Due to my early enter my spread is gone and my profit is growing that is nice and normal you dont want it to be acting too jumpy minor rallies ok but nothing that really drives back at u. I watch into the open of the US markets and yes I see its opened down hard and that's it case closed I go to bed. then in the morning you pocket the 60-100 premarket lead for the xjo. (if it did not swing u out)

I use it to get out of longs in profit before the carrnige as well.

a word of warning you need to see a pattern or lead up plus see the futures not acting right to make this a valid play, you can and will get hit be wild swings but hey who does not get hit by them time to time.this is great to use in times like this with huge sell downs, times where people are very nervous.

I suggest you open your mind and think out side the square TH.

Good trading.

 

[CanOz]

Not exactly on topic but i need help here...

IG Ripped me off bigtime. I entered a short trade today just before they shut the HK futures exchange for a typhoon. The price just froze, and the market went to 'call'. When it reopened i found i had been stopped out of the trade. They told me that because they use the SPX to calculate the after hours HS market (15:1) i got stopped out when the SPX spiked. But as you can see thier data did not show the spike. They admitted this as a mistake due to thier SPX data feed from Reuters. I argued that if it spiked i would have attempted to get out earlier. As it was i thought that i should have still been in the trade, and in profit.

Any thoughts on this? They said they will send me an email detailing why they did what they did...i think its time to finish my IB application.

Cheers,