Intraday Futures Trading (FKLI)

[ikan_bilis]

Hi, does anyone trades futures for living? I would like to share my learning/analysis and get comments from all of you in the same line(i mean who trades in FKLI, i ain't trade for living so far...  )

Attached is my own analysis, pls comment! Thanks.

[Maxforce]

Look like you can trade for a living 
Rest is emotional control and discipline.
Best of luck 

[ikan_bilis]

Look like you can trade for a living 
Rest is emotional control and discipline.
Best of luck 

Thanks Maxforce, you had given me a strenghten one  . however i would like to receive more comments that would point out my mistakes before i could drive in my way, steady... the road is full of thorns...   

[Maxforce]

One thing I could think of is sample size. If you can consistently decipher it this way, then you re there already.
One danger is market condition could be choppy instead of a clear trend like the one you charted. Someone once said, Market spent 20% of the time trending. Rest is trading. How true the percentage I am not sure though.

And another is while candle is in formation, when do you take action. This one only you yourself will know.
And bear in mind, N2N candle is lagging by a minute or so. You will be at a disadvantage for a minute to those with real time software.
And 30 secs more disadvantage to fbr who trades as they key in their own orders.

[ikan_bilis]

glad to see your reply. 

refer to your comments:
1. i'm not a pro in candlestick charting yet hence i can't interprete signals that each single candle's represent. however, whenever there is an undecision, either undecision of market or undecision of enter/exit timing, i'll choose to observe until stronger/clearer signal appear. intraday trading doesn't mean that one must trade anyhow, one can barely observe if he knows himself can't make a correct decision in a uncertain market trend.

2. for my point of view, market condition forms the chart. chart is a tool to obtain information about the history, present and fututre of market.  however, no one can get the trend 100% correctly, that's why stop-loss order and some preset rules are there to minimize our loss.

3. refer to my candle-chart analysis in above, note 1) and 3) meant confirmation signals to take action. (i learnt it from Fred Tam's book, quite useful in minimize loss, although not maximize return)

4. it's true that N2Nconnect is lagging by minute, however it's a 15 minutes interval candelstick chart. then it is not an important point if there is delay unless i want a maximum return.

thanks! 



 

[Maxforce]

Good mindset.
Just to clarify on the N2N candle, these days by the time the candle is formed in N2N screen, the position already moved and by the time you get the broker, it will already move by a few ticks. Thats where the disadvantage is.
So, I overcome by looking at the tape and the tick chart - the line one.
And use a little anticipatory method. Rather than wait for confirmation, we anticipate the price movement.
of course, possibility of wrong anticipation ---> losses is there but you ve already said it, hence stop losses are there.
Think you re about there liaw

[ikan_bilis]

Thanks. 

In fact i dnt have an account to trade futures yet, i'm into equities all this while.   

but once i have enough knowledges to enter the futures market, i'll get it open. actually i was started to learn about futures only last wednesday    i'll study and equip myself with those stratergies before i'm going into futures.... tough time i'll try to post my analysis here and get comments, to fetilize my knowledge's growth.

by the way, do you have idea which securities firm that offer real-time candlestick charting for futures? and what is the brokerage fee to charge for a trade?

[Maxforce]

I suspected as much  (because when I mentioned disadvantage you dont seem to acknowledge it  )
What I would suggest now is paper trading. Yeap. Paper trading real time market, then you can appreciate what I am saying about the disadvantage. Allow yourself like 30 secs for "phonecall" then you see your entry price moved by few ticks. 
If N2N I think all would offer.
OSK does offer some charting tool with indicators but few secs delay - or so I was told. Sorry, not much help, as I dont use the tool.
FKLI trade if you re starting, the offer should be RM50 per round trade - thats one point breakeven.
Some I heard charge RM70 for newbies but I think that one consider expensive even if beginner.

If realtime charting, think leading one is Nextview and Telequote. Used before but found indicators not so useful. But this is personal preference la.
 

[ikan_bilis]

i heard about Nextview and Telequote, but the subscription fees is too expensive for me 

what do you mean by paper trading? how to perform it? 

mind to tell if you r a full time investor? so what kind of resource you refer to if you dnt use charting tool?

[Maxforce]

Agree NV and TQ is expensive, and probably not worth it.
Paper trading as if you re doing real trading but its fake lah.
Watch the market, using your strategy, then write down on piece of paper, Long what or short what.
But remember after write down, allow 30 secs, see if your entry price still will remain same or not.
The 30 secs is if you actually call a broker, it ll take that long to talk, and for him/her to key in. Some worst, take 1 min.

Nope, not yet full time here. Slight change in plans. Going to focus more on ES(S&P500 futures emini).
For Msian market, I think charting not so useful, not much volume. But for US, I already subscribed and paying monthly fees.
For Msia, using N2N tick chart loh and tape reading. Done.

[ikan_bilis]

paper trading...

something to ask you: if let's say now the index is 1370, and i plan to short at 1360. as i predict it'll keep falling if it had really reached to 1360, so could i just tell my broker that i want to short at 1360 while it's 1370 now?

what is tape reading? where could i get it?

[survivor]

"Going to focus more on ES(S&P500 futures emini)"

Max,

If you don't mind, can I ask you why you would go for the US markets instead of the FKLI ?

[Maxforce]

Ikan bilis,
Yes you can tell your broker to queue your order.
Tape reading, is just looking at the FKLI and see what is done, how many lots, what sort of movement, and get a feel of what is going to happen. Its like Livermore's time - no charts. His time was worse, telegraphic tape comes out telling you the price.

Survivor,
As mentioned earlier, disadvantage in FKLI. Big movement comes suddenly and often my orders are filled several ticks away.
As opposed to it, the ES, you can key in your own order directly. Done instantly.
ALso the charting is cheaper and more powerful.
And even the commish is cheaper. One tick and you could cover your comm.

[ikan_bilis]

Max,

     do you trade on FKLI? and what is ES? how to get it...?

[Maxforce]

FKLI yes.
ES, I opened an account with Interactive Brokers. Minimum to open is USD5,000.00. TT the money to US. No problem so long as below RM50,000.00 TT. Above then they banyak question. If not mistaken is the Exchange Control rule. Also, because non US resident, tax free.
1 tick = USD12.50
1 point = 4 ticks = USD50.00
Range each day about average 5 pts. Sometimes more, could be up to 20 pts like the other day.