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  • Q1. How to trade Hang Seng Index?
    When we are clear bout the definition about "Trading", we are embracing volatility. What I shared was about taking advantage of maket volatility. It appies to Hang Seng as well. In fact HSI is my favourite market durng Asia time zone, this is because of it's volatility. During our afternoon and night, I will start to eyeball into CME's products.
  • Q2. What trend do gold move in the coming month?
    My studies indicated likely an uptrend. I will focus on buying when opportunity arises. Please see disclaimer.
  • Q3. I observed, most index usually closed at around it's opening price. Is there opportunity everyday?"
    The last 12 months daily range for Dow Jones was 354 points, S&P at 40 points and Nasdaq at 137 points. I would like to capture a "fraction" of each of it's daily range. Yes, I see possible daily opportunity.
  • Q4. If volume is a critical part of price action, what is the best time frame to trade o delayed volume data? Since real time data can be expensive to get. "
    I believe being a clearing member of CME, Phillip Futures has real time data in their trading and charting platform, do check with them.
  • Q5. Do you mean we dont use indicators when trading?
    Yes, I still do. A explained, indicators are mostly lagging when It triggered for eg. crosses up or down. Therefore, I use it to discern the market general weakness and strength. However, for market entry decision, I need precision, therefore you may adopt and explore into the insight I have shared.
  • Q6. There are so many products to monitor. How do you narrow down to spot opportuities? I bet many people have positions before Wuhan and it took many by surprise.
    We have to diferentiate the difference between investment and trading. We can only invest now and then, but we can trade from time to time with volatility. Refer Q15, you will find the insight in managing the unexpect event like the Wuhan virus crisis.
  • Q7 High volume contracts exist in particular equity index like S&P, Nasdaq and Crude oil. Does relative lower volume of micro e-mini equity index make it less tradeable? "
    Liquidity to benchmark with trading volume is subjective from contract to contract. If the market bid / ask volume is usually at 100 lots per side, but if your typical trading volume is about 200 lots per trade, then thaat contract may not be too ideal for you. However, if you trade about 1 to 10 lots per trade, that contract should be just right for you. We should not benchmark whether a contract is tradeable by giving a rule of thumb for example as day market volume of at least 100,000 lots traded. Rather, if the contract you are trading, it's spread is tight and with constant flow of interest in every price moves, in my opinon, it is a tradeable contract. Once I qualifed that the contract is liquid enough to be included in my basket of tradeable contracts, the next variable is to study into it's volatility. I hope historically, it can present itself there is a good track record of good volatility.
  • Q8. Would you recommend to trade U.S. futures with broker that has their server located in Chicago? This is to minimise trade delay in excuting stop loss.
    If you are an arbitrager or spread trading between contracts. Yes, having a direct server connection is essential. If you are more like myself, trading into the outright contract, it will not be much of a consideration.
  • Q9. Do you consier risk reward ratio?
    I use few different matrix in different situation. Risk / reward of 1:1 or more, it is the most ideal. Howeve, it depends, at times, I may applies 2:1, this is when I am pretty confident my stop loss is unlikely to get trigger.
  • Q10. What time frame do you usually use and how do you usually hold your position before closing it?
    It depends on your trading plan. For example before my day started, if I knew I am avaialble to trade intra-day trades, I will likely focus on 5 min charts. If I knew I cannot afford the time for such short term trades, I will plan for having a position instead. Therefore, my studies wiill revolve around 60 min, daily or weekly chart and etc instead. I have prepared a trader's profiling quiz on our website, do attempt it when you have the time.
  • Q11. How do you see FX futures?
    CME FX futures has both the liquidity and volatility, they are in my tradeable contract basket as well.
  • Q12. Will interest rate, dollar inline with metals during critical period?"
    Fudamental dynamic and it's relationship changes from time to time. I personally do not subscribe to the idea of taking a contrarian view between the markets. Not to suggesting not to consider them at all, but take it as a reference instead, not as a decsion on precision entry.
  • Q13. Should I trade inidivually or have a mentor or fund consultant to trade?
    I depend on how motivated you are in managing your own investment. If we want to DIY, in all things in whatever we are persuing in, we have to put in the hours, finances and commitment to make it work. I studied engineering, I did the above three and I am still learning new thing each trading day. I hope you can join me, putting in all the hard work and it will be a rewarding journey when we stay till then end.
  • Q14. Does long weeken affect your trades? Is there a buliish tendency this long weekend?
    If I "planned" it as a longer term position and my reading is a busllish trend to come; I planned it before I engage in this position. I will "expect" for the best outcome and also be "prepared" for the worst, in case I am wrong with my trading judegement.
  • Q15. For trading signal 6 - CME NYMEX Crude Oil question - To sell. How to handle this if it is for Singapore market? No one will know how events will turn-out, impacting the markets. "
    Thank you for your question, it is a very good one. As discussed during my presentation. Technical analysis, it is also an analysis or a measurement of market behaviour. Will there be any warning sign before any market to react adversely to any news like Wuhan virus? It is likely a yes. On 21st Jan, "Trading signal 6" I have emailed, it indicated a sell for CME NYMEX Crude at around $59.15, see attached chart. Yesterday low was $52.13 or a 11.8% dropped. This opportunity yield more than any other markets. About if such studies can be applied to Singapore market? Yes. Applying the same principles shared, it can be applied to all markets as well. Do explore into other markets, it offers me an alternative investment opportuinty when the other is stagnanted.
  • Q16. For trading signal 1 - CME Micro E-mini Dow Jones questions To buy. Thank you for sharing so generously your knowledge and insights at yesterday's workshop. As a complete newbie to futures trading who has just embarked on the journey three weeks ago, my biggest take-away was in making meaning of the charts as well as the "Buy 2, Sell 1" strategy. I tried the strategy ealier, but entering the second trade at the dip to protect the first trade... just experimenting as I saw that the momentum was not strong at the point of entering the first trade. I need to strengthen my unerstanding on the entry point. "
    Could you elaborate "entering the second trade at the dip to protect the first trade"? It sounds like you are averaging on a losing position, which I do not advocate. Before anything else, try to develop a study to uderstand the market trend first. Only when we can somewhat confirmed on a trend, on the point of entry, we adopt the "Buy 2, Sell 1" strategy. The one sold is to take profit, the other is to ride since it is a pending uptrend.
  • Q17. For trading signal 2 - CME Comex Gold question - To buy. Buy on dip in the current geopolitical trends. It is good to go.
    Yes, agree with your startegy. It is inline with mine. Since uptrend estblished in July 2019, I have been adopting buying on dip strategy or similar to "Buy 2, Sell 1". Any sell-short, it will be for very short-term trade.
  • Q18. For trading signal 4 - CME Mirco Emini S&P question - To buy. Question, when you say "Buy 2, Sell 1", can it be applied to other indices?"
    For "Buy 2, Sell 1" or "Sell 2, Buy 1", it is a trading strategy. After identifying the trend (up or down) in each market, I apply this strategy in different markets from indices, to crude oil, to precious metals, to Bonds, to Commodities and etc.
  • Q19. For trading signal 6 - CME NYMEX Crude Oil question - To buy. Is it forecast to be down because of the extremely long inversed hammer that was marked in your chart?
    Yes, you are spot-on. Do look-out for inversed hammer that carries weighting. WTI Crude Oil has eased off more than $0.60 or about 12% since trading signal 6 was posted. Many of the trading signals posted are also reacting according. I will archive all of them and their outcome after this case studies exercises for your revision.

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