Hank Camp ProgramTrading.com | Trading Reviews and Vendors


futures.io - futures trading strategies, market news, trading charts and platforms


Trading Reviews and Vendors


Discuss and review vendors of commercial trading products, trading rooms and services, trading indicators or third-party paid add-ons




 

Hank Camp ProgramTrading.com

  #20 (permalink)

Elite Member
Orlando, FL USA
 
Futures Experience: Advanced
Platform: NinjaTrader
Favorite Futures: Futures
 
Posts: 9 since Mar 2015
Thanks: 1 given, 0 received

PREM


phantomtrader View Post
Was wondering if you use the premium/fair value in your trading? I found that it was nice information to know i.e. market mechanics - but did little for my trading simply because the peaks and valleys relative to fair value every day weren't reliable. It functions a little bit like the TICK - when the TICK hits -1000 or +1000 you expect a reaction in the market - well it doesn't always happen and even if it does, it's hard to catch a good trade.

I ran an MA over the $ESINX just to get a general idea of where it was reporting relative to that day's fair value. I didn't come up with anything that seemed consistently useful.

Funds that trade baskets of stocks may find it useful for timing their trades. For the typical day trader, however, I don't see it as being useful.





Phantom Trader,

No I don't use the PREM anymore. I talked to a guy working the Goldman desk and he said they do have it up on their screens but rarely use it for a trade decision. Arbitrage trades are all computerized now so the whole idea of watching the PREM is dated.

Reply With Quote
 
Page generated 2018-11-20 in 0.08 seconds with 11 queries on phoenix