Eurodollar Futures (GE)--anyone else trading these?

Quote from trdinglife:

As I originally said, I trade ED intraday and I don't do spreads, I take outright positions in the the first few months up to SEP05...there is increasing volume and volatility of late and this makes for an intraday traders dream...I look for very short term momentum plays ie: breakouts, figure related movements etc...I used to trade Euribor but ever since ECB has stopped moving rates it is pretty terrible from a volatilitly standpoint...so I switched to Eurodollar...I trade it exclusively on CME, but Liffe has a good platform, but nowhere near the volume.
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What are you looking for in a typical trade? My impression is most days ED trades in a pretty narrow range. I've always looked at it as a great long term trend following market, but maybe I've been overlloking something.
 
ditto - id be interested in those answers too.

also - order types - are u using limits? what r fills like with pro rata - given the average bid/offer size is 2000+ easy, what size do you feel is necessary minimum?

cheers
 
I trade this way as well. Intraday. 5-30 contracts at a time, depending on my target and stop. My trades last 1-2 days, although I will leave something on longer if I have enough into it to comfortably leave a break even stop. One of the beauties of this product is that it is widely used by "price in-sensitive" institutions that can actually move the market your way quite a bit and quickly. For trend trades, I do use spreads, but maybe 4-6 times a year. A base opinion of the Fed is helpful but if your a technical trader, not necessary.
 
Many do, but much more useful for longer term positioning then day trading. Friends of mine use it to help pick entry and exit levels. I myself, am not that familiar. Ranges in Eurodollars can be very tight for 3-5 days, then explode one way or the other.
 
I can see having looked at it,that the longer term makes more sense. If you dont mind me asking what sort of moves do you usually look for in a trade?
 
For me, it depends on recent volatility, and the recent trend. If I get a signal, I'm going with the trend and there is high recent vol, then I look for 4-8 whole ticks (ED futures trade in 1/2 ticks). If I'm scalping counter trend (even with high vol), then usually 1/2 to 1 1/2 ticks.
 
I typically look for short term momentum moves...sometimes as small as one tick some as long as two and a half...I usually go with the momentum..ie: breakouts. but if we near larger weekly or monthly levels, sometimes just prior days lows or highs, then counter trend positions are profitable...finally, as I mentioned, after economic releases the volatility is beautiful...in terms of how or why I take positions, depends on a lot of things obviously, but mainly I use Market Profile and tend to follow moves in the treasury market...as for the size...because the moves are so small, and the volumes are increasing (75% of volume of Jun05 and Sep05 ED futures are now on screen!) my typical position is anywhere from 250 to 500 lots...feel free to ask me anything else or send me a personal message if you want more details...





Quote from AAAintheBeltway:

What are you looking for in a typical trade? My impression is most days ED trades in a pretty narrow range. I've always looked at it as a great long term trend following market, but maybe I've been overlloking something.
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