Do you prefer YM or ES for scalping?

[Ares]

I mean a few ticks

...and possibly...for what reason... and what time frame do you use...

I am inclined to scalp YM, basically with the Pivot point technique ...15 min time bar

Thanks for reply

Ares

PS.: ER2 is too big for me

 

[tyler19]

i like to scalp ER2 because its less time I have to be in the trade and larger profit.

 

[whitster]

YM is my primary trade vehicle. it's how i make my living, and i mostly scalp it - so i think you know my answer

1) much better spread (two times better)
2) respects pivots better
3) better gapfill dynamics
4) easier to get a grip on (30 stocks vs. 500)
5) price weighted vs. cap weighted (S&P)
6) not infected by 10 trillion hypercaffeinated arcade traders, thus less noisy imo

 

[Ares]

Quote from whitster:

YM is my primary trade vehicle. it's how i make my living, and i mostly scalp it - so i think you know my answer

1) much better spread (two times better)
2) respects pivots better
3) better gapfill dynamics
4) easier to get a grip on (30 stocks vs. 500)
5) price weighted vs. cap weighted (S&P)
6) not infected by 10 trillion hypercaffeinated arcade traders, thus less noisy imo

Thank You, whitster.

Do you think YM leads the ES (most of the time during the trading day) or viceversa?

Do you use other technical stuffs, like $TIKI or some individual stocks to predict the next move?

What time bar (tick/volume/range) do you use?

Ares

 

[virgin]

I would think the less volume, the more
noise in an instrument so less noise in
the ES, maybe not true for ES<>YM

 

[Trader273]

Quote from virgin:

I would think the less volume, the more
noise in an instrument so less noise in
the ES, maybe not true for ES<>YM

I actually think the opposite. Pull up and intra-day chart of the ES and compare it to the ym, nq, er2, ec. I think all those are much cleaner then the es. But, its just my opinion

 

[whitster]

i don't think either always leads the other

the ES more frequently leads the YM because the majority of the volume is in the spooz pit, and the demand spills over into equities in general when heavy buying comes into the spooz

what is more important is paying attention to divergences BETWEEN the indexes to identify better trade opportunities.

i do not use TIKI. i do use Tick

i look at a 5 min, 2 min candle

and a 15 min chart with market profile on it

no lagging indicators

i also watch tape

 

[Lucrum]

Quote from Trader273:

... Pull up and intra-day chart of the ES and compare it to the ym, nq, er2, ec. I think all those are much cleaner then the es. ..

Agreed, my YM charts almost always look "cleaner" than ES. Obviously this is subjective though.

 

[ramora]

Quote from whitster:


i do not use TIKI. i do use Tick

no lagging indicators

i also watch tape

Isn't Tick a lagging indicator by the time you get it?

Is there a better way to calculate Tick to measure the momentum of an index?

Perhaps only monitor the 'most active' stocks in an index instead of all the stocks in the index.

I don't know the answer but would like to find something that is very much like TICK but better....

Thank you

 

[JimmyJam]

Quote from virgin:

I would think the less volume, the more
noise in an instrument so less noise in
the ES, maybe not true for ES<>YM

A lot of traders find the ES to be choppy and full of mixed signals (for every 2 good signals you get, you're going to have at least 1 bad signal).

The YM tends to be more consistent and has a little bit better persistency of trend.
***
There are studies you can do on the indices and the tools used to measuring and track them to determine their optimal relationship to each other in terms of what leads, when and how, and what directional trade will probably yield the best result, but that information usually isn't dispersed for free on anonymous bulletin boards.

Study, experiment, and see what you find.

Good trading,

JJ