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Strategies & Market Trends : DAYTRADING Fundamentals -- Ignore unavailable to you. Want to Upgrade?

To: JavaAdict who wrote (1127)	6/19/1999 11:09:00 PM
From: -	Read Replies (2) \| Respond to of 18137

She trades the S&P Futures because it is one of the most beautifully liquid, highly-leveraged markets in the world... a trader's dream. Tough to trade, though -- for many reasons. I'm sure ISpec will be back to elaborate. I would say, to use a musical analogy, that trading the S&P Futures is like playing classic music, while trading NASDAQ stocks is like The Smashin' Pumpkins... it's a more refined art. If you can do it, it's the best. I think ISPec trades both, so they will probably have their own spin on it. -Steve

To: JavaAdict who wrote (1127)	6/20/1999 3:40:00 AM
From: Teresa Lo	Read Replies (1) \| Respond to of 18137

I trade only S&P futures and Canadian stocks when they are going nuts. In the futures markets, the locals who trade on the floor for their own accounts take advantage of stops left by other traders. But it's easy to figure out where they are, and we can join in the action, much like a cleaner fish attaches itself to a large shark for food and protection. The reason I will trade Canadian stocks that are "in play" is because they are 100% electronically traded and there are no market makers to play games against. The pros, institutions and retail are all on a level playing field. And the Toronto Stock Exchange CATS system gives preference to fill client orders first over pro orders, in addition to not requiring an uptick to short. So if I had been trading Bid.com (Take a look and compare intraday charts if you wish BIDS/NASDAQ & BII/TSE), I would have traded it on the TSE rather than NASDAQ when it was running. On NASDAQ and NYSE, you have to deal with MM and specialists - guys who hold the order book - and I can't compete with them in the day trading arena. With the amount of "day" traders (who really are scalpers and I'm sure most of them lose) now involved in NASDAQ trading, you can see some very disturbing patterns in the opening and closing 30 minutes of each day as the MMs ramp the stocks up and down to get their own accounts/pockets lined and whip the "day" traders around. To me this is no longer trading - the market is not level and I won't play. I know a lot of new books profess to tell you how to read the actions of the market makers, but I for one, am not going to worry about stuff like that, since I have to use what energy I have to listen to the mind of the market and it's whispers. The only solution I can think of to compensate for this short term ramping/whipping action is trading a smaller amount and using a longer term horizon. I think Kevin had the same thoughts as I do - Message 10193540