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Soultrader

[Tape Reading Video: Big Guys vs Little Guys]

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Here's a question for you Soultrader. Why not use the time & sales of the $10 pit-traded Dow contract (DJ) instead of the YM? I would have thought DJ leads YM and you could also see the really big positions coming through the pit.

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I think you have to subscribe to that one which I don't, $50 per month for it. It would be a better reading coming directly from the pit. They just introduced the BIG dow ($25 per point), should be even a better gauge of big money. Wonder how that works out. I don't trade YM so it's not for me.

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On eSignal it's $55 to get the pit contracts from CBOT and $55 for CME - cheap if it gives you an edge. I just added the $55 CME exchange fees to my account so I'll check out the difference between the ES tape and the pit traded S&P tape.

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Great! Would like to your input on that to see and understand the difference. Electronic volume is increasing more and more so it would be interesting to see how big influence the pit still carries.

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Here's a question for you Soultrader. Why not use the time & sales of the $10 pit-traded Dow contract (DJ) instead of the YM? I would have thought DJ leads YM and you could also see the really big positions coming through the pit.

 

I never really considered it... isnt the Big Dow not as liquid yet? I may have to look into that.

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I was led to believe that time & sales of the pit-traded SP would be available but it doesn't look like it is, not in real time anyway. All that's coming through is the prices, not whether it's at the bid or the ask or the size - pretty useless. I suppose you would expect that - it would be difficult to get all that information from the pit to the electronic system in real time.

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I never really considered it... isnt the Big Dow not as liquid yet? I may have to look into that.

 

It might not be liquid just yet but considering the big boys trade these to hedge or locals trading them would be good indications where big money is moving, i would think.

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I was led to believe that time & sales of the pit-traded SP would be available but it doesn't look like it is, not in real time anyway. All that's coming through is the prices, not whether it's at the bid or the ask or the size - pretty useless. I suppose you would expect that - it would be difficult to get all that information from the pit to the electronic system in real time.

 

I was told by one the ex-floor trader that the locals are using electronic volume for cues to trade off more and more, seeing how they can manipulate the prices but then again with electronic volume increasing they have to start taking it more seriously, wouldn't you say?

 

It's like looking at the mirror and trying to find out who's the real person making the movement and who's following.

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