ER2 trading strategies
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There is lot a correlation between indexes.If Dow Jones Index moves, in most case SP500 and NASDAQ will also move in the same direction.But I cant find a market that correlates with ER2
Let say, you buy ER2 ) when it break resistance.Do you think itâs necessary to pay attention to other indexes like YM, ES or NQ and look if they break their resistance too to confirm your trade? You can do that, but you will probably miss a lot of moves.
I think that when trading ER2, you should not look at any other index because ER2 is a leading index at this present time in the cycle, but this could change and most prob will, as markets are changing all the time.What.I found is ER2 moves often ahead of YM, ES or NQ.When others indexes are moving upwards and ER2 go in the opposite direction, itâs generally a sign of market weakness.When I trade the YM I like to see Trans Nas IBM and sometimes bonds, to confirm a trade, But I cant find anything for ER2, but I will keep on looking. maybe the answer lies in one of the EFTs markets
Let say, you buy ER2 ) when it break resistance.Do you think itâs necessary to pay attention to other indexes like YM, ES or NQ and look if they break their resistance too to confirm your trade? You can do that, but you will probably miss a lot of moves.
I think that when trading ER2, you should not look at any other index because ER2 is a leading index at this present time in the cycle, but this could change and most prob will, as markets are changing all the time.What.I found is ER2 moves often ahead of YM, ES or NQ.When others indexes are moving upwards and ER2 go in the opposite direction, itâs generally a sign of market weakness.When I trade the YM I like to see Trans Nas IBM and sometimes bonds, to confirm a trade, But I cant find anything for ER2, but I will keep on looking. maybe the answer lies in one of the EFTs markets
I find the ER2 responds very well to basic pattern analysis -- you don't have to get complicated to trade this contract. For those who need indicator confirmation, a 5,3,3 stochastic on the 5min chart seems to work well as a cross-verification tool.
It's a great contract and I don't trade anything else. Feel free to PM me if the ER2 is driving you nuts and you'd like to mull over some strategies.
Mark
It's a great contract and I don't trade anything else. Feel free to PM me if the ER2 is driving you nuts and you'd like to mull over some strategies.
Mark
* Low volatility below the normal volatility.
* Volatility that lacks volatility spikes
Another Mark
(a.k.a. NihabaAshi) Japanese Candlestick term
