Basic trading in US?

[traderjo]

Not sure which thread I should post this...
Does any body know how one can take a basic trade in US Equity market?
and where one can find the Basis % ( on IB)
(Long Stock + Short Future on stock and hold till expiry)
But in US the SSF ( single stock futures) don't seem to be that liquid!
and even if it is somehow doable is it worth it? considering
1) Full payment for Stock
2) Margin call possibility on the Futures leg as no cross margin
3) Total brokerages and fees
4) Legging risk
Initially I thought of SPY + ES but SPY is an ETF not the exact underlying of the ES

I believe in the Indian market this is doable as SSF are very popular in that market ( can;t short stock)

here is a screen shot of Basis % for "Next" futures expiry ( not sure what Next means ? next moth or next 3 months)

 

[cvds16]

you 'believe' this is doable ... wake up, this is 2019, all easy arbs are being done in a nanosecond by electronic eyes, no such thing as a free lunch

 

[drm7]

Equity basis arb trading is still (barely) profitable in India, but profits are gone in US markets. Eventually, the HFTs will go to India (they are on their way) and take away those profits too.

 

[MKTrader]

you 'believe' this is doable ... wake up, this is 2019, all easy arbs are being done in a nanosecond by electronic eyes, no such thing as a free lunch

You mean I can't open two forex accounts, one of which has like a 30 second lag, and make a small fortune scalping by (sort of) seeing the future? Some ebook from 2005 says I can be rich and shows trading proof for like 2 weeks (before the brokers caught on).

 

[cvds16]

that's only going to happen in your dreams ...

 

[traderjo]

Equity basis arb trading is still (barely) profitable in India, but profits are gone in US markets. Eventually, the HFTs will go to India (they are on their way) and take away those profits too.

"but profits are gone in US markets" ok but how would one do it in US markets SSF are not visible? are they?

 

[traderjo]

you 'believe' this is doable ... wake up, this is 2019, all easy arbs are being done in a nanosecond by electronic eyes, no such thing as a free lunch

I dont know, that is why I am asking is it even possible in markets like India let alone USA where I can;t see the liquidity in SSF!

 

[drm7]

"but profits are gone in US markets" ok but how would one do it in US markets SSF are not visible? are they?

SSFs were never liquid enough in the US. Some of HFTs arb ETFs with futures (e.g. SPY/ES) or baskets of stocks with sector ETFs. Both take incredible speed and tons of capital.