@neilzep here's an example of a realistic position and profit intraday. oil volume can easily handle 100 contracts of CL @ $10/contract, within a 1-3 minute window of execution. A trader is able to ride a $1 move in oil and he can make $100,000, in a session. Contrarily, s&p volume can handle 500-1000 contracts of ES @ $50/contract, within a 1-3 minute window of execution. A trader is able to ride a 4 point move in the s&p and he'd make $200,000+.
@prodigee411 true in theory,how many can afford 1000 contracts? I am not about to mortgage my house to play futures! not happening! risk capital is for fat cats and house money!
I think you are missing a fundamental concept of investing/trading. Returns are based on percentage. If you bought one contract of CL for $100 you are using $100,000. (I don't know where you got $10/contact from, it was no where near that when you wrote your post). If it moves $1 you make $1000, but that is only a 1% move and your money might be better put elsewhere. It is easier to work large amounts of money with futures though. Correct me if I'm wrong.
A lot of stealing went on there on the floor. FBI agents waited in the lobby of the CBOT with subpeonas for Pit brokers in the soybean pit for trading against public orders back in the 80s. This went on at the CME as well. Now the CME group is the largest derivatives exchange in the world donating millions to Congress to not scrutinize HFT. They say it makes markets efficient. It makes their stock worth over 300 a share. By the way the many of the directors got plenty of those layups in the day.
Ask Hillary Clinton about how commodity pits are useful to launder bribes ;)
ArtStone 1 year ago
s&p futures, probably the fast way to make a fortune, in my opinion.
prodigee411 1 year ago
@prodigee411 oil
neilzep 1 year ago
@neilzep here's an example of a realistic position and profit intraday. oil volume can easily handle 100 contracts of CL @ $10/contract, within a 1-3 minute window of execution. A trader is able to ride a $1 move in oil and he can make $100,000, in a session. Contrarily, s&p volume can handle 500-1000 contracts of ES @ $50/contract, within a 1-3 minute window of execution. A trader is able to ride a 4 point move in the s&p and he'd make $200,000+.
prodigee411 1 year ago
@prodigee411 true in theory,how many can afford 1000 contracts? I am not about to mortgage my house to play futures! not happening! risk capital is for fat cats and house money!
neilzep 1 year ago
@prodigee411
I think you are missing a fundamental concept of investing/trading. Returns are based on percentage. If you bought one contract of CL for $100 you are using $100,000. (I don't know where you got $10/contact from, it was no where near that when you wrote your post). If it moves $1 you make $1000, but that is only a 1% move and your money might be better put elsewhere. It is easier to work large amounts of money with futures though. Correct me if I'm wrong.
monetaryprosperity 9 months ago
@monetaryprosperity by CL@$10/contract he meant one tick(0.01$x1000 barrel) is $10 move per contract. ES is $50/point or $12.5 per tick
1985raymondtan 6 months ago
My comment below applies to the S&P pit at the CME>
plify777 1 year ago
A lot of stealing went on there on the floor. FBI agents waited in the lobby of the CBOT with subpeonas for Pit brokers in the soybean pit for trading against public orders back in the 80s. This went on at the CME as well. Now the CME group is the largest derivatives exchange in the world donating millions to Congress to not scrutinize HFT. They say it makes markets efficient. It makes their stock worth over 300 a share. By the way the many of the directors got plenty of those layups in the day.
plify777 1 year ago