Dax/FTSE futures data too thin to work with?

B

bootsyjam

I trade futures, mainly bund, eurostoxx 50 and sandp/dow, with some currencies mixed in for good measure (am intraday swing trader so can handle all the different charts, many of which are related anyway).

Have been looking closer at the Dax and FTSE, and have to say that I like what I see, but in terms of futures volume, there is not much info to be gained as the Dax has VERY thin volume, and the FTSE isn't brilliant. Does anyone know if there is a way to get realtime cash index data on volume, or are the cash indices not traded and just an indicative averaged value which the futures market then packages into a tradeable product through a centralised exchange? Not sure if people just use the thin futures volumes, cross reference the SandP/Dow Jones futures markets for levels and participation.



Thanks for any help that can be provided.

Bootsy
 
Which FTSE futures are you looking at? Last I looked Z (ICEEU) wasn't exactly thin. Definitely not as thin as FDAX.
 
Hi there, thanks for the reply. Well Dax traded about 103k and ftse about 113k so it's not a lot of volume at all really. Do you know if the spot/cash indices are traded and of there is volume for them? Have traded a while and am a bit embarrassed that I don't know the answer!
 
off course you can't trade the cash index ... :wtf: that's exactly why you have futures ... cash indexes are just averages calculated ... that's futures 101 ...
 
Well I did ask whether "are the cash indices not traded and just an indicative averaged value which the futures market then packages into a tradeable product through a centralised exchange?"

Well futures 101 is more the use of futures to lock in a certain price for your agricultural/commodity etc and/or to hedge against future price rises/falls rather than just trade an index, but thanks for your input just the same.
 
Dax has plenty of volume at 100k+ a day.

Look at its size, it's a mega contract.

25 Euros a point x 9750 = E240k

If you're trading under 25 lots the volume is no problem. Sure, you'll get slippage and it can have volume vacuums, but that's just the nature of the beast. Get it right and you've got the chance of an easy 50-100 ticks, probably in a straight line.

The alternative is Stoxx but the problem with that IMHO is it doesn't offer the half tick and you might have to wait several hours to take 10 ticks.

If you like it really racy, look at the Italian MIB, that's one contract which has zero respect for a tick. BOOM, that one can go. I remember it from many years ago alongside its beautiful brother the BTP.
 
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