TOPI futures strategies

[logotino]

Hi, I recently started trading ALMI futures. My objective initially was purely educational - just to see how futures trading works. I haven't really been basing my trading on any sort of sound logical principles (essentially I have just been flipping a coin). I think, however, that I may want to start putting a bit more effort into futures trading in the near future. Can anyone perhaps recommend some good resources on potential strategies? Also, are there any (free) tools that can be used for intra-day technical analysis on the OST site or elsewhere? Correct me if I'm wrong, but the OST price charts are mostly useful for longer trading horizons and are not really applicable to intra-day trading.

[Bouwer]

You get some pretty useful tools with easy trader.. R 100 a month not too bad and has all the analysis you may need.. www.justonelap.com will probably have all the info you need..

[logotino]

Thanks. I will check those out!

[SimonPB]

strategies an more ==>> http://www.justonelap.com/SearchResults.asp?name=ALSI

[#5]

you can't day trade with Almi futures - period, so even using them for practise is probably not worthwhile. They are longer term instruments, because of the costs involved and the spread (not as liquid as alsi futures). The only instrument available for day trading is the Alsi futures contract. Trading is 90% mental - so if you aren't practising with the real thing, then you aren't really practising. Read 'Trading in the Zone' by Mark Douglas - the traders bible - a classic. Most of us have read it - some a couple of times. Simon is rumoured to read it to his nephews each night as a bed time story.

[Rams]

you can trade ALMI futures, if you tarding maube less thsn 3 contracts...its liquid enough for even intraday trading, but not very profitable for trading large number of contracts because the costs will eat into your profit....or be almost the same as your loss per contract.

[logotino]

Yes, I am trading only a couple of ALMI contracts at most. I don't have R40k lying around for the ALSI margin.

[#8]

allow me to repeat. You can't day trade Almi's. It will cost you R28 a contract. You will need to gain 28 points just to cover your costs - add another 20 points to cover the spread (maybe tighter at times, but unlikely, given the liquidity). That is 50 points more or less - just to break even. Assuming you are working on a 2 times risk reward ratio (which should be your minimum) - you will need to gain 100 points just to cover the spread and costs risk. Now, assuming you are working on an incredibly tight stop loss of 50 points, you need to double this - so a 200 point gain is about the right R/R ratio. Considering the Average true range of the JSE is usually around 500 points, you would need to be good enough to capture almost half of this every time you trade. A big big ask. The ALSI, however, has a 3 point spread - and you only need 3 points to cover the cost. A big big difference. If you don't have the cash for ALSI futures - stay away from day trading - you will lose. Period

[kwagga]

1 x Almi contract @ DWT Securities costs R1.47 + VAT. You use Swordfish to trade via DWT Securities. Excellent application for real time trading and real time charts. Look no further. In my opinion it's not worth while trading futures via SBK. http://www.swordfishonline.co.za/live/default.aspx https://www.dwt.co.za/

[Rams]

i agree....but see my post below

[Rams]

yes, a single ALMI contract should not be more than R2.50....in fact more likely R1.25 for intraday trading with "expiration" at end of day.

[leoridge]

You can also trade the alsi intraday with a half margin account with many brokers, DWT included. Be very confident in your plan/strategy and can't emphasize the impact of emotions on your performance enough.

[logotino]

Makes sense. Point taken. Thanks for the message.

[Rams]

Overseas Markets in a sea of green today....banks not too stressed, Ebola in NYC under control, what else?

[Cherry]

Almi and Alsi futures are the same thing. Its easier to reduce/add to your position with Almi's than Alsi. Both trade on the same principle. I neednt mention that the Almi is just 1 Alsi future divided into 10. I have been trading the Almi more successfully than the Alsi also depending on the market.

[Rams]

intraday?