Trending intraday futures spread?

[MrAgi1]

Can futures spread trend intraday? I looked at some intra-commodity spreads, inter commodity spreads, crack/crush/spark spreads, and it seems all of them are always in extremely tight intraday ranges.

My question is, are there any commodity spreads you know of that significantly trend either up or down intraday, rather than always trading in a tight intraday range?

 

[Overnight]

@bone

 

[R1234]

Can futures spread trend intraday? I looked at some intra-commodity spreads, inter commodity spreads, crack/crush/spark spreads, and it seems all of them are always in extremely tight intraday ranges.

My question is, are there any commodity spreads you know of that significantly trend either up or down intraday, rather than always trading in a tight intraday range?

LE, HE, RB

 

[bone]

Intra Day futures spreads is leaving a ton of money on the table. You’re not exploiting the advantage and you’re needlessly enriching your broker and the exchange.

The REAL reason you want to trade futures spreads is because they’re a fantastic swing trade with incredibly cheap overnight margin rates.

You’re asking the wrong question for the wrong reasons.

Can futures spread trend intraday? I looked at some intra-commodity spreads, inter commodity spreads, crack/crush/spark spreads, and it seems all of them are always in extremely tight intraday ranges.

My question is, are there any commodity spreads you know of that significantly trend either up or down intraday, rather than always trading in a tight intraday range?

 

[traderjo]

Intra Day futures spreads is leaving a ton of money on the table. You’re not exploiting the advantage and you’re needlessly enriching your broker and the exchange.

The REAL reason you want to trade futures spreads is because they’re a fantastic swing trade with incredibly cheap overnight margin rates.

You’re asking the wrong question for the wrong reasons.

But what if they are mean reverting during a day or say 2-3 days? which means picking crumbs when somebody is cutting the bread ( individual legs) sure you pay lot more in % to the broker and exchange! but f it makes those crumbs for you then? your thoughts Bone?

 

[bone]

“Crumbs”? The biggest traders you’ll likely meet at a prop firm are monster spread traders. Why do you suppose that is?

Consistency and leverage are what makes a trader wealthy.

So much misunderstanding and downright lack of information on this board...

But what if they are mean reverting during a day or say 2-3 days? which means picking crumbs when somebody is cutting the bread ( individual legs) sure you pay lot more in % to the broker and exchange! but f it makes those crumbs for you then? your thoughts Bone?

 

[traderjo]

“Crumbs”? The biggest traders you’ll likely meet at a prop firm are monster spread traders. Why do you suppose that is?

Consistency and leverage are what makes a trader wealthy.

So much misunderstanding and downright lack of information on this board...

Could you please elaborate .... can't a retail trader with good negotiated conditions do part of what prop spread trader do?

 

[bone]

Could you please elaborate .... can't a retail trader with good negotiated conditions do part of what prop spread trader do?

Absolutely. And I don’t think that “good negotiated conditions” has any bearing or consequence on success for swing trading or position trading futures spreads.

A retail trader would be much better served swing trading futures spreads.

 

[traderjo]

Absolutely. And I don’t think that “good negotiated conditions” has any bearing or consequence on success for swing trading or position trading futures spreads.

A retail trader would be much better served swing trading futures spreads.

I get that for retail swing trading spreads is better but how exactly is "Short term trading in mean reverting spreads is not good or not possible " for retail traders? that is the part that is not clear

 

[Overnight]

...but how exactly is "Short term trading in mean reverting spreads is not good or not possible " for retail traders? that is the part that is not clear

I think it's because of what bone said above...

"Intra Day futures spreads is leaving a ton of money on the table. You’re not exploiting the advantage and you’re needlessly enriching your broker and the exchange.

The REAL reason you want to trade futures spreads is because they’re a fantastic swing trade with incredibly cheap overnight margin rates."