Why are futures considered a better instrument for scalping?
- Thread starter MoneyGod
- Start date
one reason is you dont have to list every trade at tax time. if you scalp 15 times a day and 200 days a year, thats 3,000 individual trades you have to list if you trade stocks. Not to mention wash sale rules.
with futures you only list your P/L for the year and there's no wash sale rule.
there may be other reasons, but tax treatment is a good one.
with futures you only list your P/L for the year and there's no wash sale rule.
there may be other reasons, but tax treatment is a good one.
they aren't. equities, basically just u.s equities...its the most inefficient market i've seen. compared to say, the london stock exchange, its a joke.
people who couldn't use bullets or didn't have the chance always poked fun at those who did. price improvements, soes, rebating back when you could go gross neg and still be net.
all this stuff, guess which market that was in. and guess where its at now.
i can't think of a market thats liquid enough to trade/doesn't have some bs barrier, a market that is actually functional, that is as inefficient as the u.s. market. and you can see that it sticks out in the crowd.
honestly what do you think is more likely to happen....other markets devolve and become as gimmicky as the U.S. or the more likely scenario, that the U.S markets continue their trend to be like others, more efficient.
basically, us markets are easier to scalp, for now.
people who couldn't use bullets or didn't have the chance always poked fun at those who did. price improvements, soes, rebating back when you could go gross neg and still be net.
all this stuff, guess which market that was in. and guess where its at now.
i can't think of a market thats liquid enough to trade/doesn't have some bs barrier, a market that is actually functional, that is as inefficient as the u.s. market. and you can see that it sticks out in the crowd.
honestly what do you think is more likely to happen....other markets devolve and become as gimmicky as the U.S. or the more likely scenario, that the U.S markets continue their trend to be like others, more efficient.
basically, us markets are easier to scalp, for now.
This about sums it up.
Futures is inferior for scalping vs equities. It's not a question of preference, it's a question of competition and available data, as well as exploitable edges. All three of those favor equities.
I scalp futures for a living and every time I give a try to scalp equities, I got smoked...LOL
In december, I tried to scalp high priced stock with low volume because I read from a reliable source like NYOBscalper or trom that there was a edge there. Result : smoked...LOL... The algo kept pennying me and I quit.
I know that scalping futures successfully doesn't mean that you can begin to trade equities the same way and make money right off, but I thought I would figure out the differences... I was wrong
Also, you need a lot less capital to scalp futures and make a living, but I still think there are much more edges in stock trading, I just haven't found them yet.
In december, I tried to scalp high priced stock with low volume because I read from a reliable source like NYOBscalper or trom that there was a edge there. Result : smoked...LOL... The algo kept pennying me and I quit.
I know that scalping futures successfully doesn't mean that you can begin to trade equities the same way and make money right off, but I thought I would figure out the differences... I was wrong
Also, you need a lot less capital to scalp futures and make a living, but I still think there are much more edges in stock trading, I just haven't found them yet.