Online Futures Trading Archives • Page 58 of 62 • Futures Day Trading Strategies

Posts in Category: online futures trading

Identifying Directional Reversals Instead of Picking Tops and Bottoms

 

Traders looking for new market opportunities are continuously looking for price tops and bottoms in an attempt to enter the market at the most optimal time. Tops and bottoms are often perceived from news hits with announcements of new highs or lows where traders may start to study the market more closely.

As prices continue to climb or descend, depending on the direction of the trend, traders line up to short a potential top or buy into a potential rally after a dip in price. Most of the time, however, this is done not by hard statistics or metrics, but based on feel or ‘intuition.’ While this strategy may work temporarily, out of sheer luck, the long-term implications of such a strategy tend to be much more erratic as traders place too much emphasis on feel or emotions rather than market signals.

[bctt tweet=”Identifying Directional Reversals Instead of Picking Tops and Bottoms

Read More


Why You Shouldn’t Drop Technical Analysis Even if You are a Day-Trader

 

The combination of volatile markets in 2008 and the rapid advancement of trading technology opened up new possibilities and an emphasis on the ‘day trader.’ Many amateur traders were drawn in to day trading after hearing unrealistic, although popular, promotional phrases such as ‘daily income’ and ‘don’t wake to disasters.’ However, day trading is not less challenging than the traditional long term strategies, and in fact requires deep analytical skills along with a deep mental focus to translate and filter market noise. Market noise can be thought of as institutional interest that is not related to speculation.

Interestingly enough, the most disturbing trend has been the neglect for traditional technical analysis that has been exercised for over 100 years, and also the general acceptance that traditional technical analysis does not work.

When many make the shift from long term trading to day-trading they often neglect technical analysis. “Isn’t technical analysis for long

Read More


How to stay focused on your method and stop overtrading

 

What most traders do not realize is that their mistakes are not unique. Rather, the mistakes can be summarized by two factors: Neglecting one’s methodology and trading based on intuition. This leads to overtrading. 

Focused on Trading Futures

 

In this article, we will examine why traders neglect their method and how to exercise more discipline and avoid intuition based trading.

  •  Avoid taking any trades that are outside your method. Trying to earn that “extra” based on your gut feel is nothing but baseless trading and could potentially lead to the loss of initial gains (if any).
  • Don’t trade large quantities during lower volume time periods such as lunch time. Quite often during these periods markets can experience choppiness in which traders can get stuck in a loop.For example, a choppy, ranging market can have traders constantly reversing losing trades to try and recover losses.
  • If losses

Read More


Orders not getting filled? Execute Potentially Faster with Rithmic Data

 

Watch the recording of the webinar to learn more about how you can use your favorite trading platform with the Rithmic data feed to obtain unfiltered streaming real time quotes and historical market data direct from the exchanges.

The webinar is hosted by Matt Zimberg, Founder and President of Optimus Futures and features an exclusive Q&A with Jonathan Walden, Founder and President of Rithmic as he talks about how you can enjoy fast order execution and stable, uninterrupted service to Sierrachart, Multicharts and  and a host of other trading platforms via Rithmic technology.

Watch the webinar replay and learn how Rithmic’s trade execution software delivers to you the low latency and high throughput performance formerly seen only by the very large trading houses and boutique hedge funds. With R | Diamond API™ you can achieve Tick-to-Trade latency of less than 250µs. That’s a quarter of

Read More


Overall Return on Investment: Is it the bottom line, or is there more to it?

 

An investor looking to diversify their portfolio may quickly become overwhelmed with the virtually limitless number of investment opportunities available to them. Simply narrowing down these options can prove to be quite time-consuming, and impatient investors usually end up quickly filtering out different investments based on the overall return. However, the truth is that overall returns represent only a fraction of the entire story, and taking the time to look beneath the surface of a CTA, automated system, or even a self-developed discretionary system can unearth risks that may have not been prevalent when searching based on the end result. No matter what option is chosen, it is important to note there is more than just a financial impact— there is also a deep psychological impact that can affect an investor in their day-to-day life. Let’s take a look at some different variables to keep in mind:

What type of

Read More