How Many Contracts Have You Traded on Currency Futures?

sicktrader · #1 02-14-2010, 07:11 PM

While pondering my move to forex, I was wondering if I could execute 40 contracts on currency futures, I suppose I'll find out this week, but jumping from 20 to 40 I am not sure if I'll face some unknown problems. I hate unknown problems. What is the the most you have traded, or have witnessed others on currency futures? Thanks.

atto · #2 02-14-2010, 08:39 PM

You're worried about slippage? You should be fine as long as you're trading during normal market hours (for whatever currencies you're trading).

It all depends which contract you're trading, time of day, and if a couple ticks really makes that much of a difference for you (for a small target scalping strat, you might run into fill issues as you scale up). I've done more than that on 6E and been just fine.

sicktrader · #3 02-14-2010, 09:32 PM

Thanks. Not worried about slippage, I am usually in it for somewhere between 15 and 40 points. However, I suppose I am worried about unloading at say a double top, and only half of my contracts get unloaded and I take a bath on the others. That doesn't fit well into my plan. It is good to know though that the liquidity is there. Thanks for the heads up.

Tams · #4 02-14-2010, 11:56 PM

worry about it when you go live...

you should know when moving from 1 contract to 2.

BlowFish · #5 02-15-2010, 04:36 AM

Do you ever have a problem with 20? If you are doing OK with 20 you should have a good feel of whether you will have problems with 40. I am not clear from your post whether you are trading 20 now. You talk about a jump from 20 to 40 but you also talk about moving to FX?

Personally I would not double I would scale up incrementally. I guess it depends in how much of a rush one is in. There is an old adage more haste less speed. If moving to FX I would start with say 5. If scaling up from 20 I would go with 25.

brownsfan019 · #6 02-17-2010, 12:17 AM

It's a big function of the time of day the trades are being placed. Pull a basic chart and add volume to it. If you are trading where you see the peaks, you should be fine; otherwise you might get more slippage than you expect.

Also be weary of those offering advice here that have never shown any ability to trade in any fashion whatsoever. Where you talk of trading 40, they dream of trading 1.

Plus you'll find out quickly if there will be a problem based on how you trade.