E-minis Liquidity and Volatility question

I think in the after hours you can get it done barely moving the market if you work the order over a small time period (5-15 minutes). I would also work with the large S&P afterhours on Globex (since they are fungible).
 
Sputdr,

Thanks for the answer. No worry about me, not there yet, but working my way. It’s good to know, that an order around 1,000 contracts can be executed without moving the market at any time. One of the main premises of the system is liquidity.

redduke
 
Quote from RedDuke:

Spike500,

Thanks for the chart. What time zone is this chart in?

redduke
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This chart is 7 hours ahead of Chicago time.

If you're new to e-minis it sounds crazy to begin with 1000 contracts. Don't bet on the 24 hours trading for the opening or closing of such a position. Volume will be often far too small to get good fills. Only in realtime trading hours ( opening hours of Chicago) you can move this size without problems.
 
Spike500,

I will definitely start much smaller and will probably start with Dow just to get some real experience with e-minis. Is there any e-minis instrument where such volume can be freely executed staring from 2:30am New York time. This is when forex opening starts, and this is when I start trading.

redduke
 
Quote from RedDuke:

Sputdr,

Thanks for the answer. No worry about me, not there yet, but working my way. It’s good to know, that an order around 1,000 contracts can be executed without moving the market at any time. One of the main premises of the system is liquidity.

redduke
More...

Quote from sputdr:

If you are talking 800 contracts or 160 big ones that's a big order but you could get it done without moving the mkt too far. You would just have to be patient.

Let me know before you do it though.
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Quote from JayS:

I think in the after hours you can get it done barely moving the market if you work the order over a small time period (5-15 minutes). I would also work with the large S&P afterhours on Globex (since they are fungible).
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Hi redduke,

As JayS and sputdr suggested...

If you work the order you can get it done.

However, how long it will take is greatly dependent upon what time such is occurring within the overnight trading session.

For example...volatility in the Eminis usually doesn't start rising until Eurex DAX opens (3am est).

That volatility usually reaches its peak prior to 0330am est to only subside again until around 0815am est.

You may see some more volatility (very little) between 0330am - 0500am est...

However, such is more often than not directly related to price action in Eurex or European econ report price reactions.

Simply, if your going to be concerned about size while trading the Eminis in the overnight trading session...

Highly advised you monitor Eurex and key european econ reports.

The few institutional traders I know...do just that.

Last of all, sometimes volatility will increase in the overnight trading session due to comments from Asia.

Overnight traders really need to watch a lot more than regular hour traders...

Those that don't...usually complain about all the games being played (a few threads in the past here at ET by such traders unwilling to adapt via monitoring those other markets) eventhough they weren't trading big size.

NihabaAshi
 
Hi NihabaAshi,

Thanks for this info. I am already monitoring all news on every major market. Failing to do it might be very costly if you trade forex. I do not trade the news, since it is impossible (at least for me) to consistently predict what the market will do after the number comes out, I’ve seen the weirdest reactions.

Regards,
redduke
 
Quote from RedDuke:

Hi NihabaAshi,

Thanks for this info. I am already monitoring all news on every major market. Failing to do it might be very costly if you trade forex. I do not trade the news, since it is impossible (at least for me) to consistently predict what the market will do after the number comes out, I’ve seen the weirdest reactions.

Regards,
redduke
More...

Redduke,

Thanks for the follow-up.

After I posted that message...the first thing that came to mind was that this guy is a Forex trader and most likely know all about the impact of key econ reports or regular schedule market events via Asia, Europe and U.S. key econ reports.

I strongly agree...no predicting...just react and stick to the trading plan.

NihabaAshi
 
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