Uhh - The spreads

[aBadTrader]

I am trading the indexes using CFD's. The spread at the moment is 4 points, and it is hard to find an entry point.

My question is, those of you who do trade CFD (I'm aware most of you trade REAL futures, and my hat goes out to you, really it does), how do you combat the spreads and choose your entries.

Might sound like an idiotic question as it sounds like im asking "where" to enter, but I didnt know how to word it properly. Honestly I still find the question vauge, so hopefully I can get an answer without sounding like an idiot.

 

[Wysiwyg]

I am trading the indexes using CFD's. The spread at the moment is 4 points, and it is hard to find an entry point.

Then don't trade them outside market hours (asx200 or DJ30 I suspect).

My question is, those of you who do trade CFD (I'm aware most of you trade REAL futures, and my hat goes out to you, really it does), how do you combat the spreads and choose your entries.

Trading Futures only means you can stump up the initial margin. For the smaller bank rolls, CFD is fine, without the prestige. See answer at quote 1.

Might sound like an idiotic question as it sounds like im asking "where" to enter, but I didnt know how to word it properly. Honestly I still find the question vauge, so hopefully I can get an answer without sounding like an idiot.

I and others on the path have spent countless hours and money improving our trading skills. However there are services that will trade for you.

 

[aBadTrader]

Then don't trade them outside market hours (asx200 or DJ30 I suspect).

Trading Futures only means you can stump up the initial margin. For the smaller bank rolls, CFD is fine, without the prestige. See answer at quote 1.

I and others on the path have spent countless hours and money improving our trading skills. However there are services that will trade for you.

I'd rather do my own trading - I'm trying to refine my skills (albeit, bad ones at this time haha)

I shall stick to trading within market hours, I guess this is the best advice.

Without the prestige indeed haha - my hat goes of to you Wysiwyg

 

[tech/a]

Simply trade strong momentum where moves are likely to be well over 10 ticks.
OR
Trade demo until you have enough to join us.

 

[aBadTrader]

Simply trade strong momentum where moves are likely to be well over 10 ticks.
OR
Trade demo until you have enough to join us.

Honestly, the second option is the best one. Trying to predict big swings makes me feel like a gambler even though I must be doing something right - I'm up for tonights trading of the Wall Street index offered by IG. Has been sideways most of the night :/

 

[tech/a]

Honestly, the second option is the best one. Trying to predict big swings makes me feel like a gambler even though I must be doing something right - I'm up for tonights trading of the Wall Street index offered by IG. Has been sideways most of the night :/

Rule (1)
Don't try and predict big swings.
Look at what people suggest.

Trade strong momentum

" Buy high sell higher "
" Sell low cover lower "

 

[aBadTrader]

Rule (1)
Don't try and predict big swings.
Look at what people suggest.

My utmost gratitude for your taking the time to educate me. Thank you Tech

You know what grinds my gears though - not being able to see VOLUME. I've read you trade using VSA method - would love to learn this but wow, without a volume indicator, or even depth (Like TH uses), its like a shot in the dark lol

 

[tech/a]

My utmost gratitude for your taking the time to educate me. Thank you Tech

You know what grinds my gears though - not being able to see VOLUME. I've read you trade using VSA method - would love to learn this but wow, without a volume indicator, or even depth (Like TH uses), its like a shot in the dark lol

It's part of a larger picture.
Most traders particularly futures traders
Fail due to under capitalization.
And under education.


Take your time to do as you suggest and satisfy both.

 

[aBadTrader]

It's part of a larger picture.
Most traders particularly futures traders
Fail due to under capitalization.
And under education.


Take your time to do as you suggest and satisfy both.

Well I'll keep trading DEMO until such time as I can get into some real futures

 

[Wysiwyg]

You know what grinds my gears though - not being able to see VOLUME. I've read you trade using VSA method - would love to learn this but wow, without a volume indicator, or even depth (Like TH uses), its like a shot in the dark lol

Apprenticeships take on average 4 years to complete and as the role suggests it is spent learning. Learning how to use the tools and equipment is part of the deal but there is no gain in lopping ones finger off in the process. At completion of the apprenticeship there is not necessarily a tradesman for while the basics are known, the learning goes on for long after.

In other words, the tool does not maketh the tradesman.

 

[aBadTrader]

Apprenticeships take on average 4 years to complete and as the role suggests it is spent learning. Learning how to use the tools and equipment is part of the deal but there is no gain in lopping ones finger off in the process. At completion of the apprenticeship there is not necessarily a tradesman for while the basics are known, the learning goes on for long after.

In other words, the tool does not maketh the tradesman.

Insightful... Though may I suggest that the tool may help paint a picture of current action (of course, I don't mean welders and power drills - maybe paint brushes)?

I suppose through-out life, we are always learning Thanks for the tips

 

[CanOz]

Insightful... Though may I suggest that the tool may help paint a picture of current action (of course, I don't mean welders and power drills - maybe paint brushes)?

I suppose through-out life, we are always learning Thanks for the tips

Have a search around the forum for the demo futures accounts we listed one time, there are heaps that offer free data and a demo platform. That should get you volume, even a depth of market maybe, but you might have to pay for level II, but hey, its an education right!

Also, just a personal view, but CFD's should be used AFTER you learn what you're doing and not until...

Cheers,


CanOz

 

[aBadTrader]

Have a search around the forum for the demo futures accounts we listed one time, there are heaps that offer free data and a demo platform. That should get you volume, even a depth of market maybe, but you might have to pay for level II, but hey, its an education right!

Also, just a personal view, but CFD's should be used AFTER you learn what you're doing and not until...

Cheers,


CanOz

Point well taken!

Also I didn't know that there were demo accounts for ACTUAL future providers - I thought it was merely the CFD providers allowing this.

I've been lurking the forums too and never came across this. Thanks heaps Canoz!