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I cannot believe that this thread exploded into 54 pages based upon an impossible premise to prove factually. Geez Louise. But if there is a website with paid subscriptions and each member has to submit brokerage/FCM statements beforehand in order to get admitted... well, I'd be all for...

With spreads, sometimes you have to set an alarm on your charting package if you can ( in lieu of your execution platform ). Some of my clients even have that functionality forward an alert to their smartphones. I know that's not optimum, but it is one viable solution. The problem, of course...

My problem with simple calendar spread pairs, especially where the front month of the pair is so close to the spec/demand order flows, is that you are so delta directional with the front month flat price futures contract. IMHO, there are much much much much better spread construction options...

There are so many prop groups doing it currently as it is - personally I don't think there is any worthwhile edge in it for an independent. The margins are so small and the execution requirements so expensive to do it correctly ( without getting picked off yourself ). In fact, I have seen many...

Agreed. One other point to futures spreads: the ridiculously low overnight initial margin requirements provided by the exchange SPAN credits. You can carry spreads for cheap overnight - it's the cheapest futures leverage out there by far It might be a mistake to trade them intraday for...

This is a very wise and true comment about using technical analysis or statistical analysis. Don't get sucked into believing that a large sampling size of higher frequency data will give you the same trend profile and study metrics results as a smaller sampling size of lower frequency data. It...

Well, judging by the feedback ( more like pissing and moaning ) here on ET the past few years - clearly it has gotten much more difficult to scalp markets in the "traditional sense" manually using a point-and-click mouse and the DOM order ticket at higher frequency rates. It's all about...

The real message here is that if a trader has access to the underlying physical deliverable, it is a huge advantage. Notice the infrastructure that is mentioned in the article ( tankers, storage, power plants ).

Smartest post on this topic yet. Brilliant. If you are scalping manually ( using a mouse and market DOM ladder windows, for example ) at higher frequencies you are going to get flipped and gamed. In just about any market quite frankly. I think this has been thoroughly demonstrated over...

Further out in the curve, the order flows are primarily commercials and the supply factor is the driving dynamic. I personally can't stand choppy, neurotic trades ( i.e., the front month spec order flows ). I am always looking for spread combinations that "behave" and act smoother and model...

To me, the very front end of the curve ( first two months or so ) is so married to the front month spec flows. It is usually delta directional with the underlying. Myself personally, and my clients, are almost always active mid-curve and beyond. I have some clients who make very good...

Without getting in trouble with the paying clientele, I would just like to say that modeling and trading for mean reversion for interest rate spreads has not for me at least been viable longer term in terms of consistency. I used to trade for mean reversion throughout the '90's and into the...

Pure unadulterated uninformed naivety quite frankly. Swing trading or position trading spreads makes a great deal of sense for the average small retail futures trader. In fact, given the reality of automation/HFT in the markets these days - the honest truth is that scalping or day trading flat...

1. We deal with highly correlated instruments, and our experiences simply do not agree with your observations. There is no way that an intra market spread trade in the same instrument will produce more or faster losses than the flat price front month instrument. And I have seen only a handful...

I traded on the floor for three years before Project A started and I had the opportunity to become one of the first electronic traders. A few years later, I became one of the early DTB and Liffe electronic traders. I had a difficult time making money on the floor - even if I was first, the...

We had clerks in the S&P pit and the Bond pit as well with a headset broadcasting into a squawk box exclusively for our trading room. The firm principals owned seats, and so the clerks were our exclusive employees paid wages and benefits on a W-2 and were wearing our full membership badges...

When I was trading Chicago prop, we were U of M subscribers and indeed participated on the conference call - so we had a few second jump on the news outlets like Reuters or Bloomberg. True fact.

1. Many of my clients come to me as shorter term, higher frequency scalpers and day traders who are quite frankly frustrated trying to compete against the bots with a manual mouse and point-and-click DOMs. They are desperately looking for more consistency. 2. You are correct about a solid...

We use a specially derived technical study for the entry signal. We confirm that signal with multiple timeframes and a "non-technical" study. I am very cautious about piling on multiple technical studies for signal confirmation. Especially things like confirming one oscillator study with...

Well, to be fair you started this thread with a short call and today your are warning about a bottom being put in. In terms of longer term technicals and the larger trend there is no failure as of yet.