ER2 trading strategies

[lwlee]

Today was a contradiction to your theory. I watch the ES and YM when trading the ER. The ER has been leading the ES for much of the past year. Today, percentage-wise it lagged all the other indices but buying the low at about 719 and you would have had a strong trending run to 726. There was little downturn during the move.

Quote from scalper21:

I was wondering if any of you take into account what ES is doing to make your ER2 calls. I scalp ER2. I would be flying blind if I was not watching the spread between ER2 and ES.

For example if you are looking to get long ER2 and it is the weaker index you probably are going to get stopped out all day. The chart might make it look all pretty, but if ES is up 7 points and ER2 is only up 4.5 points it can be a hard day to buy ER2.

I am not a fan of charts. I do not use them during the trading day. They make trading look to easy!!

 

[scalper21]

Quote from lwlee:

Today was a contradiction to your theory. I watch the ES and YM when trading the ER. The ER has been leading the ES for much of the past year. Today, percentage-wise it lagged all the other indices but buying the low at about 719 and you would have had a strong trending run to 726. There was little downturn during the move.

My comments were far from a theory. My point is watching ER2-ES spread is very useful for intraday movement.

 

[scalper21]

Quote from lwlee:

Today was a contradiction to your theory. I watch the ES and YM when trading the ER. The ER has been leading the ES for much of the past year. Today, percentage-wise it lagged all the other indices but buying the low at about 719 and you would have had a strong trending run to 726. There was little downturn during the move.

As an active trader it is still important for me to pay attention to the weakness of ER2. For example if I attempt to buy "highs" of a range and I am wrong and ES goes offered ER2 bids will vanish and I will be looking at a 5-10 tick loser.

 

[dojistarz]

for the price Signal I am using a crossover of 50and 60 EMA
And I am using ECO and MA at he bottom.

Ideally I want everything one way or the other.

 

[trading_time]

Quote from scalper21:

I was wondering if any of you take into account what ES is doing to make your ER2 calls. I scalp ER2. I would be flying blind if I was not watching the spread between ER2 and ES.

For example if you are looking to get long ER2 and it is the weaker index you probably are going to get stopped out all day. The chart might make it look all pretty, but if ES is up 7 points and ER2 is only up 4.5 points it can be a hard day to buy ER2.

I am not a fan of charts. I do not use them during the trading day. They make trading look to easy!!

You are correct, however not completely. There are numerous opportunities from the ER’s spread versus ES, or even YM. I have found in premarket if ER is the weaker link, and you get positive news for European markets like DAX, or Euro Stoxx, and or buy signals (US markets too ES, YM) then ER is the one to buy. I have profited from his strategy on numerous occasions.

I would be missing maybe 30% of my trades if I did not watch the spread, and possibly even get on the wrong side.

 

[RoughTrader]

Quote from dojistarz:

for the price Signal I am using a crossover of 50and 60 EMA
And I am using ECO and MA at he bottom.

Ideally I want everything one way or the other.

Is the ECO the up and down arrows? If so, how is that indicator calculated?

RoughTrader

 

[dojistarz]

yes arrows

Ergodic = (Average (Average (Net, parameter 1), parameter 2) / (Average (Average (Abs(Net), parameter 1), parameter 2)


ECO - R Krauz

The Robert Krauz article I read described the ECO as "a double smoothed ratio of the difference between the close(C) and open(O) of each bar, and the difference between the high(H) and low(L) prices for each bar" originally created by William Blau.

FWI my interpretation is:

{ECO[Ergodic Candlestick Oscillator]}
(MOV(MOV(C-O,5,E))26,E)/MOV(MOV(H-L,5,E))26,E))*100

 

[LeonPhelps]

Hey, doji, "Long Dong Silver" is almost finished downloading.

 

[patrick_newB]

Best bet is to fade everything you read in a thread like this about strategies and theories.

 

[RoughTrader]

Quote from LeonPhelps:

Hey, doji, "Long Dong Silver" is almost finished downloading.

HAHAHA!

I recommend getting a second PC if you want to download porn....

RoughTrader