Es profit on 1/4 point can it be done? Part II
- Thread starter saxon22
- Start date
Not to beat a dead horse but... I just found an interesting article. The full version can be viewed here:
http://i-found-my-holygrail.blogspot.com/2005/09/worlds-most-successful-trader-paul.html
In 2003 I received an email from a former Man Financial broker in London who said, "One of our private customers has been the highest volume trader on Eurex for the last 8 years. He trades approx 3 million lots a month and makes himself â¬50 million a year, which he has apparently been doing for the last 10 years." In 2004 I learned that it is Paul Rotter. He is notoriously called "the flipper".
and .... this is how he makes his $$$$$$$:
Q: you are known as the orderbook-scalper, could you please explain to our readers what you are doing and what your strategies look like? what is your tactic?
A: it's some kind of market making where you place buy and sell orders simultaneously, making very short-term trading decisions b/c of certain events in the orderbook (level2). for example, i usually have lots of orders in different markets at the same time, pretty close to the last traded price. the resulting trades are usually a zero sum game, but i get a pretty good feeling for what is going on and then ultimately can make a decision for a larger trade.
Q: how long are you usually in a positon?
A: since i do trend plays very seldom and actually scalp the market, i constantly get fills in different markets on both sides which can cause constantly changing positions for hours. sometimes i change my opinion several times within a couple of minutes, which is not pretty hard for me, since i'm only looking for the next 3-5 ticks.
I wonder what the big heads on ET have to say to this??????
http://i-found-my-holygrail.blogspot.com/2005/09/worlds-most-successful-trader-paul.html
In 2003 I received an email from a former Man Financial broker in London who said, "One of our private customers has been the highest volume trader on Eurex for the last 8 years. He trades approx 3 million lots a month and makes himself â¬50 million a year, which he has apparently been doing for the last 10 years." In 2004 I learned that it is Paul Rotter. He is notoriously called "the flipper".
and .... this is how he makes his $$$$$$$:
Q: you are known as the orderbook-scalper, could you please explain to our readers what you are doing and what your strategies look like? what is your tactic?
A: it's some kind of market making where you place buy and sell orders simultaneously, making very short-term trading decisions b/c of certain events in the orderbook (level2). for example, i usually have lots of orders in different markets at the same time, pretty close to the last traded price. the resulting trades are usually a zero sum game, but i get a pretty good feeling for what is going on and then ultimately can make a decision for a larger trade.
Q: how long are you usually in a positon?
A: since i do trend plays very seldom and actually scalp the market, i constantly get fills in different markets on both sides which can cause constantly changing positions for hours. sometimes i change my opinion several times within a couple of minutes, which is not pretty hard for me, since i'm only looking for the next 3-5 ticks.
I wonder what the big heads on ET have to say to this??????
I do not know how many retail traders are emotionally capable of such a feat, but I would like to stress that it has been done successfully by this fella for 10 years straight and since he is 32 now, he must have started when he was 22 which did not make him a senior trader with years of experience.
All I am trying to convey is that sometimes what looks like a sure way to lose one's shirt might have a quiet surprising end result.
This trader is doing it very successfully and has been for a long time.