New to trading and this site. I would like to start trading futures simply because I want to be able to trade at night after work.. Any input would be appreciated, haven't selected a broker yet, but would like 1 account that I could do everything in, such as stocks, options and futures.. Ideas, comments????
Actually havent made the first trade yet, spend a ton of time at work and don't have the energy when I get home. Had the MINI DOW in mind but this account is back burner for now.
Good news for smaller accounts, or someone who wants some real money practice without breaking the bank! Micro E-mini futures fit seamlessly within our current product suite and give all traders a simple way to access the equity index futures markets. At 1/10th the size of a classic E-mini contract, Micro E-minis require less cash to enter the market with lower margins. https://www.cmegroup.com/cme-group-futures-exchange/micro-futures.html
What's interesting about the micro's is the DOW. It's 50 cents per every dollar move. Let's say you had $2000 in your account, and you caught the whole 500 point move this morning. That $2000 allows you to trade 3 contracts. So, 500 point move, divided by 2 (50 cents per every dollar move ) , times 3 contracts = $750 profit Not bad
it is important that you know well Futures in trading are a financial product whose value is based on another asset, which is called an underlying asset. They have their origin in the already known "term contracts." Futures are trading operations, which consist of a contract or agreement between two parties with the support of a third party.
https://www.youtube.com/channel/UCe1m3zHrDsGT5TW96-mslgg/videos This guy trades as I do & seems to explain what he's looking for in a trade setup. May be useful for a newbie
why not come up with your own strategy? test it out on a demo futures account and then start trading micro's? Strategies fall under - Trend Following or Mean Regression If you buy a breakout, you're basically looking for a higher time frame trend to continue. If you buy the breakout and it fails, you can revert back to the mean. At least with futures, you get to see where volume lays, where the majority of business was done on any given day, and therefore where traders will be moving towards or away from. The concept of support and resistance is based on more buyers or sellers at different levels on your charts, which is what the volume profile gives you. I prefer breaking my day down into what is the Initial Balance, where is the price in relation to that. What volume target is nearby? If I am above the Initial Balance that is bullish. If it trades back inside, I have the halfway back level to watch out for or trade into.