Eurodollar Spreads/ Eurodollar
- Thread starter fandyur
- Start date
I trade ED spreads also. Have a Dec08-Dec07 on right now, and just riding it down.
All of the spreads look pretty week, and seem to be working their way down hard. But, I'm curious, why did you pick that particular projection number? There's nothing on the charts to indicate that as a floor (or target).
E
All of the spreads look pretty week, and seem to be working their way down hard. But, I'm curious, why did you pick that particular projection number? There's nothing on the charts to indicate that as a floor (or target).
E
I'm glad I found another person following the Ed spreads.
I was trading the June08/07 spread until March expires and then trade the sept. spread.
On 12/12/2006 the june spread was down to -68.5 and then started a (major, my term) correction.
According to the system I came up with, the september spread would have to hit -68.5.
Dave
I was trading the June08/07 spread until March expires and then trade the sept. spread.
On 12/12/2006 the june spread was down to -68.5 and then started a (major, my term) correction.
According to the system I came up with, the september spread would have to hit -68.5.
Dave
Given the shape of the forward yield curve, a butterfly is a pretty efficient way to play.
Take a look at:
EDU7-2EDU8+EDU9
Take a look at:
EDU7-2EDU8+EDU9
The trade is a futures butterfly. There's some more information here:
http://www.cme.com/files/JBCMETSYPresentation.pdf
(Search for butterfly--it starts on page 21)
Great suggestion about the butterfly. I have only focused on ED spreads, and read very little about butterflies (must admit I didn't see the logic at first).
But, given the current environment, I can see the use for them now. Especially with the uncertainty surrounding the feds next move, and the possible easing down the line, that butterfly could see some movement.
Thanks for the info!
E
But, given the current environment, I can see the use for them now. Especially with the uncertainty surrounding the feds next move, and the possible easing down the line, that butterfly could see some movement.
Thanks for the info!
E
Up to now I've been trading Eurodollar spreads.
I want to get into trading Eurodollars also.
One of the areas I've been looking into is the commitment of traders report.
I've noticed that the Netlarge positions and my Back outright, show a divergence at each trend change.
(Back outright is the 6th month traded. (use only Mar/Jun/Sep/Dec)).
Unfortunately, it also shows some false divergence.
I'm attaching a chart and data, if anyone would like to look into it.
Maybe we could come up with some rules for trading.
If I'm leaving any info out, just email back.
Dave
I want to get into trading Eurodollars also.
One of the areas I've been looking into is the commitment of traders report.
I've noticed that the Netlarge positions and my Back outright, show a divergence at each trend change.
(Back outright is the 6th month traded. (use only Mar/Jun/Sep/Dec)).
Unfortunately, it also shows some false divergence.
I'm attaching a chart and data, if anyone would like to look into it.
Maybe we could come up with some rules for trading.
If I'm leaving any info out, just email back.
Dave