if you trade ES exclusively then what is the value of monitering YM, NQ, or ER2

lets talk math

its pretty easy for the brain to solve one or two variable equations

but then when you're dealing with an equation with 4+ variables its better to let the computer solve the problem for you - no need to overwhelm your brain with that kind of computation when computers are better suited to it.

so you trade es and have a simple trading system with one or two variables like i do then just moniter your variables and trade.

if you have a system with lots of other variables then don't bother frying your brain - automate the strategy and let the computer trade it.
 
Quote from chewbacca:

lets talk math

its pretty easy for the brain to solve one or two variable equations

but then when you're dealing with an equation with 4+ variables its better to let the computer solve the problem for you - no need to overwhelm your brain with that kind of computation when computers are better suited to it.

so you trade es and have a simple trading system with one or two variables like i do then just moniter your variables and trade.

if you have a system with lots of other variables then don't bother frying your brain - automate the strategy and let the computer trade it.
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I think your getting your personal preference confused with what's of value for others.

I'll explain the above statement.

Lets say there's a particular trader that can only handle 1 market variable while trading.

Therefore, for that particular trader its not too smart to try to monitor 2, 3 or more things.

In comparison, another trader has a limitation of 2 variables.

For that particular trader its not too smart to try to monitor 3, 4 or more things.

Another trader has a limitation of 3 variables...

I could continue but I thing you get my point that each trader has a different compacity for analysis.

For example via an analogy while using a single monitor versus multiple monitors.

I myself can't handle more than 3 monitors as part of a multiple monitor computer setup.

However, if you go into the thread here at ET called Pictures of your trading stations, you will see some traders with a multiple monitor setup > 3 monitors.

http://www.elitetrader.com/vb/showthread.php?s=&threadid=43661

Therefore, the issue with me isn't if there's value in having 6 monitors or whatever.

The issue is that I can only manage using 3 monitors while trading.

Anything more than 3 monitors is information overload for me along with giving my a quick headache.

Simply, with you (chewbacca), the issue really isn't if monitoring other markets is of value.

The issue for you is that you can only handle a few variables and that's it.

There's nothing wrong with that because I know several profitable traders that can only handle 1 - 2 variables of market study while trading just like I know some traders that only need 1 - 2 monitors while trading.

By the way, wouldn't it be easier to automate one variable in comparison to multiple variables ???

If so, are you saying you're using an automation system???

Mark
 
breadth and internals are key (to my trading methodology) when it comes to futures/index trading

thus, comparison between breadth, various indexes (both equal weighted and cap weighted and even price weighted) is instructive
 
A great example right of intermarket relationships is the yen. Markets know that the japanese have let the carry trade get out of control. Market players are borrowing yen to fund all sorts of stuff. If we wake up tomorrow and then yen rallies 200pips. Rest assured the stock markets is going to get crushed.
 
I have a question. I can understand why people look at other indices, but why do charts look so similar, even in a short timeframe? They have the same tops, the same bottoms, the same jumps. Similarities are remarkable. As if there was some kind of arbitrage.
Even volume looks similar
 
Quote from andread:

I have a question. I can understand why people look at other indices, but why do charts look so similar, even in a short timeframe? They have the same tops, the same bottoms, the same jumps. Similarities are remarkable. As if there was some kind of arbitrage.
Even volume looks similar
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Can you give a specific details using today's price action of the indices your talking about???

Mark
 
Quote from NihabaAshi:

Can you give a specific details using today's price action of the indices your talking about???

Mark
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Sure. You can look at the charts of YM and ES. Look at how they open, the top at around 9:15, how they go up to the top of the day, at around 10:15. Particularly intriguing are the two minutes at around 12:45. Exactly two minutes , for both, to fall far below the minimum. If I'm not wrong they are at the same time. And both have the second minute with very high volume, the highest of the day. I wouldn't expect these similarities if people were just 'monitoring'.
 

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Quote from andread:

Sure. You can look at the charts of YM and ES. Look at how they open, the top at around 9:15, how they go up to the top of the day, at around 10:15. Particularly intriguing are the two minutes at around 12:45. Exactly two minutes , for both, to fall far below the minimum. If I'm not wrong they are at the same time. And both have the second minute with very high volume, the highest of the day. I wouldn't expect these similarities if people were just 'monitoring'.
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I don't see any similarities in the price action around 9:15 cst but I do see similarities with the price action around 10:15 cst.

As for volume...I don't follow it...just volatility.

Also, your using the term or word minimum as if your talking about the intraday low.

The price action after 1pm est was very familiar in that its a reaction to the FED Chairman Bernanck speech.

Simply, when big price moves occurs via reaction to key market events in trading instruments with similar like price action...

I expect the big price moves to occur about the same time with different volatility.

I guess that's why the price action around 10:15am cst had similar like volatility to me because it wasn't the result of a key market event.

However, I'm still not sure what your getting at.

Mark
 
Quote from NihabaAshi:


However, I'm still not sure what your getting at.
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me neither :)
I don't know, it's just something I'm noticing, and it's not the first time. I also see similarities at 12,12:15,13:20,13:45, and at other times. As I said, I can expect people to follow other indices, but these reactions look to me very efficient. I was wondering if it's just me or if there is a reason. I guess it's just me.
Thanks for the comments
 
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