Friday, September 23, 2011
Noticeable Difference Between TF and ES E-mini
We are often taught and told to trade high volume, liquid markets. The reason is that the probability of your orders being filled at or close to your entry prices are high and most important you will be able to get out of the market when need to. One such liquid market, that is very popular, is the S&P 500 e-mini (ES). But I dare to say that it is not the best instrument to trade and make money.
Not all liquid markets are good for trading especially if you are a beginner and have the mind set that you must trend trade. There are better markets, like the Russell 2000 e-mini (TF on my platform), to trade. The ES seems to be more suitable for scalping or ranging strategies because it doesn't move much and ranges most of the time. The big guys definately make money with the ES on the small movements. See the charts below.
For the same space of time ( from 9:30 am - 10:00 am ) I can do better with the TF than with the ES using a simple trend following strategy.
Tuesday, September 20, 2011
Daily Market Update
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Labels:
How to Invest,
Market Update,
Stock Ed,
Strategies,
Technical Analysis,
Trend
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