One example, on Hang Seng futures... currently the Aug future is about 27090 with the spot at 27160... so -70 for the EFP, while earlier it was about -50...
Can you trade on that? Perhaps, but you can't really hedge it that quickly, not me and you.... so why bother?
20 points is almost 0.10%... that's a pretty decent gap... in ES that would be more than 2 points... there are some people on here that know for sure they make 2 points every day with $500 margin in ES... apparently that's 20% /day and 5000% /year (not compounded)...
It's now -80 in HSI... so what do you do?
meh....
Can you trade on that? Perhaps, but you can't really hedge it that quickly, not me and you.... so why bother?
20 points is almost 0.10%... that's a pretty decent gap... in ES that would be more than 2 points... there are some people on here that know for sure they make 2 points every day with $500 margin in ES... apparently that's 20% /day and 5000% /year (not compounded)...
It's now -80 in HSI... so what do you do?
meh....