have u traded eur.usd future?

[wildflower]

I see no advantage of the futures contract over the cash.

As one who trades both the reasons I sometimes use Fx is for the much larger liquidity, ability to put on just about size I want, and having access to many more currencies. Using both futures & Fx gives more flexibility as to how I can trade currencies. Of course you should use a regulated Fx broker with a clean regulatory record.

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The issue is not FOREX vs other asset classes, it is FOREX Futures vs FOREX cash.

For the retail trader, except for possibly bitcoin, all instruments have plenty of liquidity with relatively tight spreads. But within an asset class, often the futures is cheaper to trade, or the cash is.

 

[caacapital]

If your trading big contracts cash will take your entire 10 - 100 lot order. In futures you would have to work that size of an order in or risk moving the market

I see no advantage of the futures contract over the cash.

As one who trades both the reasons I sometimes use Fx is for the much larger liquidity, ability to put on smaller size (I always scale in), and having more currencies to trade. Using both futures & Fx gives more flexibility. If you use a regulated Fx broker with a clean regulatory record your just as well off. The thievery is not just in Fx - It happens on the futures market as well.
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[comagnum]

all instruments have plenty of liquidity with relatively tight spreads


Right, everything that trades is liquid enough for a misinformed retail novice, not for any half seasoned pro. There are flash crashes occasionally on futures while the spot Fx, silver, gold, oil, etc. prices are not showing the same.

If you have the liquidity available you use it. If a new ES clone futures contract was traded that does 5,000% less volume than the ES you really would consider it be fine? What is the rational -whatever is listed must be good for trading?

 

[QuasWexExort]

If your trading big contracts cash will take your entire 10 - 100 lot order. In futures you would have to work that size of an order in or risk moving the market

No. You don't move the FX futures market by trading 10 to 100 lots/contracts.

 

[DeltaRisk]

What about counterparty risk?

"Hi this is Mike over here at JP*****, I don't think we can get this through over on our end. Do you happen to have anyone that can sign on with this deal?"

Collateral calls are no joke, but it's worse when you can't even get a deal done because you're too risky.

 

[maxinger]

I trade forex futures including eurusd futures.

The advantage of trading futures is that you can plot volume chart.
For eurusd spot, I don't think you can get the volume traded accurately and hence you can't plot volume chart .

 

[QuasWexExort]

I trade forex futures including eurusd futures.

The advantage of trading futures is that you can plot volume chart.
For eurusd spot, I don't think you can get the volume traded accurately and hence you can't plot volume chart .

Hardly an advantage. If you prefer spot, you can plot the futures volume for your analysis and trade the spot. They move 99.95% lockstep.

 

[mm2mm]

I only trade fx futures eurusd yenusd sometimes audusd
I only trade fx for exotics