Dude, how much longer do we have to wait, before you continue posting. I am a subscriber and waiting, and waiting on more information regarding this spread trading.
The closest floor is 4250, which the spot is 20 pips above. if you want to go long from 4250 you need to wait till spot drops below it by about 15-20 pips. However, if you want to short the 4250 ceiling, 4270 is probably a good price to go short at. Sell the 4250 ceiling if its less that 10 pips. once the master spread hits what you paid for the ceiling, you can go long the master and be risk free completely...
only problem with that is, you dont have much time left AND there has already been a 100 pip move today from the open... not much opportunity left I would guess.
ideally price would open up exactly in between a floor and ceiling making it 37 pips away from each. That way, from the open, you would probably pay 10 points each and price would only have to move 37 pips to make some profit, given it happens before the time premium deflates. If the spot hits the price you paid for your floor/ceiling you can enter the master spread in the other direction and be risk free. its up to you, there are so many options to this...
@GrummelGrammel its late but if you wanted to go long u would choose the 1.4250-1.4400 because max lost/profit is $20/130 per contract.. should to go short it is trickier would choose the 1.4175-1.4325 max lost/profit would be 55/95. choosing other floor/ceilings depends on how strongly u believe the market will rise or fall.
Dude, how much longer do we have to wait, before you continue posting. I am a subscriber and waiting, and waiting on more information regarding this spread trading.
orionmoney1 1 year ago
Are we going to get any more information regarding Nadex & this new way of Trading?
orionmoney1 1 year ago
The closest floor is 4250, which the spot is 20 pips above. if you want to go long from 4250 you need to wait till spot drops below it by about 15-20 pips. However, if you want to short the 4250 ceiling, 4270 is probably a good price to go short at. Sell the 4250 ceiling if its less that 10 pips. once the master spread hits what you paid for the ceiling, you can go long the master and be risk free completely...
orionmachine 2 years ago
only problem with that is, you dont have much time left AND there has already been a 100 pip move today from the open... not much opportunity left I would guess.
orionmachine 2 years ago
Hi,
i have problems taking the rigt "floor-ceiling". For example, right now the EUR/USD spot is at 1,4270. Which floor-ceiling do i have to take?
There are the following:
1,4025-1,4175
1,4100-1,4250
1,4175-1,4325
1,4250-1,4400
1,4325-1,4475
Somehow i still do not understand how this works...hmm.
GrummelGrammel 2 years ago
ideally price would open up exactly in between a floor and ceiling making it 37 pips away from each. That way, from the open, you would probably pay 10 points each and price would only have to move 37 pips to make some profit, given it happens before the time premium deflates. If the spot hits the price you paid for your floor/ceiling you can enter the master spread in the other direction and be risk free. its up to you, there are so many options to this...
orionmachine 2 years ago
@GrummelGrammel its late but if you wanted to go long u would choose the 1.4250-1.4400 because max lost/profit is $20/130 per contract.. should to go short it is trickier would choose the 1.4175-1.4325 max lost/profit would be 55/95. choosing other floor/ceilings depends on how strongly u believe the market will rise or fall.
nelsonog87 2 years ago
Thanks man! Now i understand all this better.
GrummelGrammel 2 years ago
no problem! glad to help.
orionmachine 2 years ago