questions on Hang Seng future (HSI)

E

enlightedtrader

Hi there,

I'm living in the west coast of US. I'm interested in day trading Hang Seng future (HSI) in the evening. I've tested trading HSI on IB simulator. Here are what I've observed:

1) The chart is not updated in time. You can see the clear difference from the price of bid/ask and the price shown on the chart.
2) The volume is not correct. Very little volume is shown on the chart.
3) The stop order fill is so terrible, you can't believe your eyes. I'm using 20 points stop. The fill is usually 30 to 100 points away from the stop level I set. I don't know what the hell is going on? If that is the case, how can we day trade HSI?

Hope some experienced HSI traders can give me some clue.

Thanks a lot.

enlightedtrader
 
Quote from enlightedtrader:

Hi there,

I'm living in the west coast of US. I'm interested in day trading Hang Seng future (HSI) in the evening. I've tested trading HSI on IB simulator. Here are what I've observed:

1) The chart is not updated in time. You can see the clear difference from the price of bid/ask and the price shown on the chart.
2) The volume is not correct. Very little volume is shown on the chart.
3) The stop order fill is so terrible, you can't believe your eyes. I'm using 20 points stop. The fill is usually 30 to 100 points away from the stop level I set. I don't know what the hell is going on? If that is the case, how can we day trade HSI?

Hope some experienced HSI traders can give me some clue.

Thanks a lot.

enlightedtrader
More...

Are you sure you have things set-up correctly?
In the chart parameters, make sure you have the "Keep Chart up-to-date" "Update evey second" ticked. Try the line chart, 15 minutes - this will make it easy for you to check that the data is coming through correctly.

Volume should also be correct - are you watching the front-month? Front-month is May. Around 22,000 traded this morning.

Stops? Again, are you sure you're trading the front month? June is 50 points wide. You can experience slippage in volatile times, and the HSI can jump around alot, and 30-100 point slippage is possible - but definitely should not be the norm.
 
Quote from Steve_IB:

Are you sure you have things set-up correctly?
In the chart parameters, make sure you have the "Keep Chart up-to-date" "Update evey second" ticked. Try the line chart, 15 minutes - this will make it easy for you to check that the data is coming through correctly.

Volume should also be correct - are you watching the front-month? Front-month is May. Around 22,000 traded this morning.

Stops? Again, are you sure you're trading the front month? June is 50 points wide. You can experience slippage in volatile times, and the HSI can jump around alot, and 30-100 point slippage is possible - but definitely should not be the norm.
More...


Thanks for your kind reply. I checked the set-up as you suggested. I found the reason for the problems - I used June 07 contract instead of May 07 contract. The front month for HSI is different from here in US. Now things worked pretty well.
 
Last Trading Day = The Business Day immediately preceding the last Business Day of the Contract Month
Trading Hours on Last Trading Day 9:45 a.m. - 12:30 p.m. and 2:30 p.m. - 4:00 p.m.


Convert day to HK day (probably tomorrow for u guys).

Rollover to trading the new contract on the morning of the last trading day as volume will be on the prior contract until then.

<img src="http://www.elitetrader.com/vb/attachment.php?s=&postid=1464368">
 

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Quote from kiwi_trader:

Last Trading Day = The Business Day immediately preceding the last Business Day of the Contract Month
Trading Hours on Last Trading Day 9:45 a.m. - 12:30 p.m. and 2:30 p.m. - 4:00 p.m.


Convert day to HK day (probably tomorrow for u guys).

Rollover to trading the new contract on the morning of the last trading day as volume will be on the prior contract until then.

<img src="http://www.elitetrader.com/vb/attachment.php?s=&postid=1464368">
More...

In US, there are many economic reports released regularly. These reports often have tremendous impact in the stock market. Stock index future day traders are aware of the time of the reports and adjust their trading accordingly. Does HSI have the same kind of character? If so, where can we get the information on the time of the reports/news driving the HSI?

Thanks.
 
No problems.

I believe all reports must be outside of market hours. If any sneak thru they don't seem to have a big impact. Not like the US morning spikes.
 
Quote from kiwi_trader:

No problems.

I believe all reports must be outside of market hours. If any sneak thru they don't seem to have a big impact. Not like the US morning spikes.
More...

kiwi_trader,

I've studied some charts on HSI during the last couple of days. I've some observations and some questions for you.

1) The gap between different days and two different sessions in the same trading day for HSI is quite big. The intraday range in the same session of a day is relatively small. Is this observation correct?

2) Pivot points are not as important in HSI trading as that in US index futures (ES, NQ, ER2, YM). Is this true? If so, how do you determine the S/R level and potential profit target?

3) Are HSI more influenced by US stock market or Chinese stock market?

Thanks.

Enlightedtrader.
 
I always roll to the new contract on the morning of the last trading day. I have done this because that is the day when the volume becomes highest in the new contract.

The gap observation is often true on big gap days. It is not always true. It is not true on small gap days.

I've never got a lot out of pivots so I can't comment.

The gaps are generated by the US/Euro market's overnight activity. I suspect that the HSI is most influenced by the Nikkei.
 
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