Trading the XJO with CFDs

[Uncle Festivus]

I'm doing some research into intraminute trading of the XJO via IG Markets Mini 200 & thought I would post this chart with a couple of fib studies. Amazing how it all lines up. Can anybody with experience here in ta tell me if they are drawn correctly?. I managed to jagg it & got on a short trade at 5742, after the 3 uplegs from 5700, each with reduced range and finally the small double top, not to mention it was a record high.

 

[theasxgorilla]

Re: Trading the XJO with CFD's

Both look good to me...

The 50% retr. of the major range is telling, and bullish in my interpretation.

 

[Uncle Festivus]

Re: Trading the XJO with CFD's

Yes, still learning. Probably should have put a limit order in at 5690 to close the trade. How reliable is fib generally?. Though, the dow looks vulnerable with reporting season so we may not have seen the end of steep plunges?. The Plunge Protection Team will be kept busy

 

[theasxgorilla]

Re: Trading the XJO with CFD's

UF, all probably apply Fibonacci a little differently. I use it as a measure of where support occurs during a retracement, just as you have done with your XJO chart above. The number of times that price finds support/resistance at 38.2%, 50% and 61.8% is uncanny. In fact it occurs too frequently to be useful on it's own. You still need to base entries and exits on a trend following technique (form reading, moving averages, trendlines etc.).

 

[SevenFX]

Re: Trading the XJO with CFD's

Hey Uncle,

Just learning here 2, (disclaimer)

Here's my Take. imo

We should see the full fib extension of 5797 based on strong 50% retracemnt in chart...

Would it also be benifical to use the 7 & 21 ma for short timeframes such as this, suggesting when 2 take long/short positions

Cheers
SevenFX

 

[Uncle Festivus]

Re: Trading the XJO with CFD's

Here's the close of trade 10 min intraday chart today with some trend lines. Still in the short trade pending US financial news at 10am their time (tonight).

 

[>Apocalypto<]

Re: Trading the XJO with CFD's

Here's the close of trade 10 min intraday chart today with some trend lines. Still in the short trade pending US financial news at 10am their time (tonight).

Hi Festivus

But have you had any continual wins using those tick charts to trade?

 

[>Apocalypto<]

Re: Trading the XJO with CFD's

Guys

I am looking to start trading the ig xjo cash index soon but i do notice that sometimes it's way out.

But most of the time its up more which anit a bad thing!

I also trade options over it on Sanford any one else doing this??

 

[Uncle Festivus]

Re: Trading the XJO with CFD's

Hi Festivus

But have you had any continual wins using those tick charts to trade?

Hi trade it,
As it is a bullish trend with a minor & major trend channel it is reasonably predictable to get in & out of trades, as shown on the hourly chart. I use fibonacci to confirm.

As for IG data, I think it is based on the underlying SFE futures contract, so it will be different to the ASX XJO value, but fairly close.

Good luck

 

[>Apocalypto<]

Re: Trading the XJO with CFD's

Hi trade it,
As it is a bullish trend with a minor & major trend channel it is reasonably predictable to get in & out of trades, as shown on the hourly chart. I use fibonacci to confirm.

As for IG data, I think it is based on the underlying SFE futures contract, so it will be different to the ASX XJO value, but fairly close.

Good luck

Uncle Festivus,

On the same trend in the chart I got in at 5525 with 2 call options using my xao chart on Bourse.

what i want to do is try to use this chart to pick the entry and go long on the $25 contract, but i may only look to do this on the weekly not the daliy as mis timing will add up in $25 ticks!

tell you i have just made over 3000K as of today but on the same trade with one contract on the 200cash i would have 5k plus! major difference. (am i being greedy?)

your fib analysis looks very ingesting i currently don't use that.

 

[Uncle Festivus]

Re: Trading the XJO with CFD's

Good work TI, so are you trading both ways ie short & long, or running with the bull? Got to watch those $25 ticks, wipe you out if they go the wrong way. (Got burnt doing a 500 lot once, much more wary these days )

 

[>Apocalypto<]

Re: Trading the XJO with CFD's

Good work TI, so are you trading both ways ie short & long, or running with the bull?. Got to watch those $25 ticks, wipe you out if they go the wrong way. (Got burnt doing a 500 lot once, much more wary these days )

first i have to say, every time i see that avatar i laugh, all i can hear is serenity now! serenity now! from Sienfield if you are thinking what's he on about!

I am running with bull mate follow the trend till it breaks I used to try and play swings but i am now getting over the high stress and concentration required to sit and watch that much.

after our next correction i will look at starting a new idea of opening two trades at once one to follow on the weekly and other to follow the daily break away trend. ( if that is well used I am not claiming it as my own!)

I have always been very interested in trading the xjo. CUZ IT HAS NO GAPS!!!

Cheers

 

[Uncle Festivus]

Re: Trading the XJO with CFD's

Resilience of this market is amazing. Coming up to ex-div month so if left to it's own devices should continue to make records until at least march, then maybe the run down to 'sell in may go away' syndrome kicks in. The big x-factor is how much will the commodities correction spill over to the rest of the market, and if the US continues on it's claytons bull run. The volume for the Dow is just not there lately, suggesting 'correction' in big flashing lights.

 

[>Apocalypto<]

Re: Trading the XJO with CFD's

Good work TI, so are you trading both ways ie short & long, or running with the bull? Got to watch those $25 ticks, wipe you out if they go the wrong way. (Got burnt doing a 500 lot once, much more wary these days )

first time i traded the ticks in ig i was totally sure i pull nice 5-10 tick trades well i learn t the hard way about the spread and how fast it goes and then comes back in your favor!

i was saying yay nay every couple of minutes!

i did get caught on the wrong side once and kissed a nice peiece of capital good bye in 3 hours! they love jumping trend lines hey UF

 

[Uncle Festivus]

Re: Trading the XJO with CFD's

first time i traded the ticks in ig i was totally sure i pull nice 5-10 tick trades well i learn t the hard way about the spread and how fast it goes and then comes back in your favor!

i was saying yay nay every couple of minutes!

i did get caught on the wrong side once and kissed a nice peiece of capital good bye in 3 hours! they love jumping trend lines hey UF

TI I hope you were on the right side of this gap up today. Updated charts below. I still don't like the way the Dow is shaping up, & the XJO for that matter. Head & shoulders pattern with decreasing volume for the Dow since the last major high?.

XJO has hit the upper trend line of the minor channel uptrend and pulled back accordingly, looking for a retracement/consolidation from here?.

Retracement levels = 5875 or 5835?

 

[>Apocalypto<]

Re: Trading the XJO with CFD's

UF,

I agree with what your saying about weakness creeping in on the DOW.

But the DOW does love to break resistance lines when it looks weak.

I also think we are could see a correction on the Xao / xjo as well.

I have lightened my cfd contract sizes in case of this.

none of the above is any kind of recommendation or advice to trade from, it's just my humble opinion.

 

[>Apocalypto<]

Re: Trading the XJO with CFD's

TI I hope you were on the right side of this gap up today.

Yes UF I was on the right side!

I am still holding two march call options on the XJO in Sanford,

I am still going to hold tight till it breaks it short term trend line.

you had any good play's of late?

 

[Uncle Festivus]

Re: Trading the XJO with CFD's

I'm going short at these levels again, pretty solid gains so far this week, so looking for a correction from record highs.

 

[>Apocalypto<]

Re: Trading the XJO with CFD's

I'm going short at these levels again, pretty solid gains so far this week, so looking for a correction from record highs.

well that is backed by a interesting thing today on sanford the xjo options numbers went like this:

Calls Traded 2238 Puts Traded 8217 Put/Call Ratio 3.67


now that is saying somthing, I wonder why so many people buying puts...........

 

[>Apocalypto<]

Re: Trading the XJO with CFD's

Uncle Festivus

have you been making any trades over the ausie200?

did you get a short down on the drop?

i am waiting for the weekly xjo to show a solid rise with volume over my MA then its all a board!

i noticed if you had your stop just under the trend on the 2 year daily chart on IG then you would have been stopped and missed the carriage of the following days thats a plus of trading a 24/4 index!