Search results

Doublea, It seems you are not a daytrader, but at the same time you're not a swing trader. So are you a trend trader? In other words, are you trying to catch and ride a big move? If you are a trend trader, what is your strategy for moving up your stop loss each day to lock in profit? Also, I...

Mike, Regarding multi-day positions (i.e. not daytrading) I believe volatility-based stops have been shown time and time again to be superior to dollar stops given that volatility stops adapt to changing market conditions.

Candletrader, "Alexander Elder does a review of this approach in his books..." -- yes, I've read Elder's books, along with LeBeau, Tharp and others. A ratcheted trailing stop based on volatility has worked for me in equities. But I recently started reading this Futures forum on ET and it...

"The key when trading futures, which have so much leverage, long term is to limit your exposure." -- The dilemma here is that when trding equities it was fine to use ES to hedge portfolio risk. But when trading ES, that option goes away. What are you using for risk mitigation -- protective...

"The best method is to use your reversal signals as stop losts after breakeven point" -- yes, for daytrading not for trend-trading.

Newbunch, Can you share the basics of your approach without giving away your secrets (stop loss placement, average returns, discretionary or mechanical,... whatever you are comfortable sharing)...

Well, 83 views and not one post?

"As of now I am not confident enough in IB to use them for options on futures" -- specifically what problems were you having?

newbunch, I'm not a day trader and found it curious that most ES/YM traders were daytraders. I'm asking because I'd like to multi-day trade ES (more likely YM), catch a trend and trail with a volatility-based trailing stop. I'd do this only a handful of times a year, when a trend is evident.

ktm, I've read pretty much all your posts on ET (hundreds) related to writing options/spreads to collect premium. Can you suggest a strategy that uses ES options to hedge SPX short gamma positions (typically deep OTM SPX iron condors)? Much appreciated, Andy.

"Most people overlook that what makes this or any other strategy successful is risk managment." -- completely agree. I still think there is a creative, beneficial way to hedge with options on SPX futures (ES or SP). I'm sorry you have decided not to pursue that.

"For example, on the last dip in the market I grabbed the 1140/1155 put spread for September..." -- I always debate about waiting for dips because 1) they may not happen as anticipated 2) while waiting for them to happen my $ is sitting idle, 3) if the dip happens a week from now, that's a...

Is anyone using volatility-based stop losses or trailing stops to trade ES or YM? For example, initial stop loss at 2*ATR(10), breakeven at 0.5*ATR(10), trail with 1.5*ATR(10)?

Anyone trading ES and/or YM on a multi-day timeframe (i.e. not daytrading)? Seems like everyone is a daytrader.....

OptionsWizard -- what was your motivation for going from SPX to ES? Just the leverage? How's it working out? similingsync -- handles are typically 10 points, and yes the ES allows round-the-clock hedging capabilities. I've heard the benefits of round-the-clock hedging ability before but...

Phil, I'm trying the following approach in selecting my short strikes: 1) Locate where strong support and resistance lies 2) Add 10 to the resistance, subtract 10 from the support -- these are the points at which I will take action (adjustment,...) 3) Add 15 to the higher adjustment...

Hey Ozzy, Your comment is completely off-base. Next time, show some restraint and take the time to assess the situation first before commenting.

I've been writing credit spreads on SPX and am now exploring doing the same on S&P 500 futures; ES and SP. My understanding is that ES is not liquid enough whereas SP (the "big" one) is liquid but pit traded only (so can't use the 'ole IB account). I'm posting this for two reasons: 1)...

"In my opinion, the futures options have better moves than the SPY options since the SPYs are just 1/10th of the SPX. Therefore the index needs a large move to budge the bid/asks of the SPY. " -- But why would you use SPX futures options over SPX options? Is it because the futures options...

Phil, I've been putting in some time related to futures education. I have accounts at OX (closing it shortly), TOS (love it) and IB. TOS has just added e-mini futures for S&P500 and that is it for now (please double check with them to be sure). Their main purpose in adding the e-mini, I...