The Small Exchange (www.smallexchange.com) - futures io
futures io futures trading



The Small Exchange (www.smallexchange.com)


Discussion in Traders Hideout

Updated
      Top Posters
    1. looks_one SMCJB with 11 posts (22 thanks)
    2. looks_two Big Mike with 10 posts (24 thanks)
    3. looks_3 snax with 7 posts (22 thanks)
    4. looks_4 platon with 3 posts (5 thanks)
      Best Posters
    1. looks_one Silver Dragon with 4.3 thanks per post
    2. looks_two snax with 3.1 thanks per post
    3. looks_3 Big Mike with 2.4 thanks per post
    4. looks_4 SMCJB with 2.0 thanks per post
    1. trending_up 8,829 views
    2. thumb_up 111 thanks given
    3. group 254 followers
    1. forum 55 posts
    2. attach_file 6 attachments




Welcome to futures io: the largest futures trading community on the planet, with well over 125,000 members
  • Genuine reviews from real traders, not fake reviews from stealth vendors
  • Quality education from leading professional traders
  • We are a friendly, helpful, and positive community
  • We do not tolerate rude behavior, trolling, or vendors advertising in posts
  • We are here to help, just let us know what you need
You'll need to register in order to view the content of the threads and start contributing to our community.  It's free and simple.

-- Big Mike, Site Administrator

(If you already have an account, login at the top of the page)

 
Search this Thread
 

The Small Exchange (www.smallexchange.com)

(login for full post details)
  #1 (permalink)
Legendary Market Wizard
Chicago
 
Experience: Beginner
Platform: Sierra Chart
Broker: Edge Clear
Trading: MES
 
snax's Avatar
 
Posts: 1,465 since Feb 2019
Thanks: 5,845 given, 5,805 received

Citadel and Jump capital invested $10M and are joining as liquidity partners for proposed small exchange

https://www.builtinchicago.org/2019/05/16/small-exchange-10m-funding

Visit my futures io Trade Journal Reply With Quote
The following 3 users say Thank You to snax for this post:

Can you help answer these questions
from other members on futures io?
how can I add ema to RSI ? on TS 95
TradeStation
Financial Modeling Prep (free to use: financialmodelingprepcom) API
Trading Reviews and Vendors
Trade Window - Maximum Show Quantity
Sierra Chart
Pyrapoint by Don Hall information
Traders Hideout
IG buys Tastytrade/Tastyworks/
Brokers
 
Best Threads (Most Thanked)
in the last 7 days on futures io
How did you learn to trade?
111 thanks
Big Mike in Ecuador
79 thanks
2020 profit and loss results
74 thanks
NinjaTrader buys TransAct Futures (Infinity Brokers), plans its own FCM
62 thanks
Whos afraid of the big bad Glitch
47 thanks
 
(login for full post details)
  #2 (permalink)
Legendary Market Wizard
Houston, TX
 
Experience: Advanced
Platform: Trading Technologies
Broker: Primary Advantage Futures. Also ED&F and Tradestation
Trading: Primarily Energy but also a little ES, GE, GC, SI & Bitcoin
 
Posts: 3,793 since Dec 2013
Thanks: 3,074 given, 7,348 received

Two large High Frequency Traders. Hmm Interesting...

Found It...

In addition to investing in the company, Citadel and Jump Trading Group will also participate on the exchange as liquidity providers

And as such will probably have beneficial terms unavailable to others.

Sorry just the cynic in me!

Reply With Quote
The following 3 users say Thank You to SMCJB for this post:
 
(login for full post details)
  #3 (permalink)
Legendary Market Wizard
Chicago
 
Experience: Beginner
Platform: Sierra Chart
Broker: Edge Clear
Trading: MES
 
snax's Avatar
 
Posts: 1,465 since Feb 2019
Thanks: 5,845 given, 5,805 received



SMCJB View Post
Two large High Frequency Traders. Hmm Interesting...

Found It...

In addition to investing in the company, Citadel and Jump Trading Group will also participate on the exchange as liquidity providers

And as such will probably have beneficial terms unavailable to others.

Sorry just the cynic in me!

What could these beneficial terms consist of do you think? I'm asking because I have some hopes for this since the e-micros have been a nice addition, and this could provide products to get familiar with other commodities potentially, though no list of proposed products has been made available that I'm aware of.

Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #4 (permalink)
Legendary Market Wizard
Houston, TX
 
Experience: Advanced
Platform: Trading Technologies
Broker: Primary Advantage Futures. Also ED&F and Tradestation
Trading: Primarily Energy but also a little ES, GE, GC, SI & Bitcoin
 
Posts: 3,793 since Dec 2013
Thanks: 3,074 given, 7,348 received

Probably nothing that would adversely effect you as a retail investor, probably more things that would hurt other liquidity providers competing with them.

Reply With Quote
The following user says Thank You to SMCJB for this post:
 
(login for full post details)
  #5 (permalink)
Legendary Market Wizard
Chicago
 
Experience: Beginner
Platform: Sierra Chart
Broker: Edge Clear
Trading: MES
 
snax's Avatar
 
Posts: 1,465 since Feb 2019
Thanks: 5,845 given, 5,805 received

More small exchange news: https://finance.yahoo.com/news/small-exchange-partners-cyrusone-access-130000701.html

I would love to try out all these different products and I hope it becomes successful, one of the things I intrinsically like about the markets is discovering all the different behaviors between the different products, this would be a lot of fun (in theory) if it happens.

Visit my futures io Trade Journal Reply With Quote
The following 2 users say Thank You to snax for this post:
 
(login for full post details)
  #6 (permalink)
Legendary Market Wizard
Chicago
 
Experience: Beginner
Platform: Sierra Chart
Broker: Edge Clear
Trading: MES
 
snax's Avatar
 
Posts: 1,465 since Feb 2019
Thanks: 5,845 given, 5,805 received

Products are defined now here:
https://smallexchange.com/products

Tastyworks has also set up a watchlist for "Small Exchange Cash Indices":



These are the contents of the watchlist and the products they correspond to:



PRE:SME -> SPRE - Small Precious Metals Futures Contract

GO:SME -> SMGO - Small Global Oil Futures Contract

FX:SME -> SFX - Small U.S. Dollar Futures Contract

75:SME -> SM75 - Small Stocks 75 Futures Contract

10Y:SME -> S10Y - Small 10YR U.S. Treasury Yield Futures Contract

Interested to see what this will develop into.

Visit my futures io Trade Journal Reply With Quote
The following 8 users say Thank You to snax for this post:
 
(login for full post details)
  #7 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,355 since Jun 2009
Thanks: 32,037 given, 96,607 received

Interesting.

But I wonder what the availability is? Which FCM's offer this Exchange? I couldn't find that information on their website.

Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
The following 4 users say Thank You to Big Mike for this post:
 
(login for full post details)
  #8 (permalink)
Hanover, Germany
 
Experience: Beginner
Platform: NinjaTrader
Trading: ES
 
Scalpingtrader's Avatar
 
Posts: 1,868 since Apr 2014
Thanks: 3,024 given, 4,831 received

Interesting stuff. But I'll quite certainly wait until NT Brokerage decides to offer them in their range of exchanges before looking further into this.

Not keen on being a fast adopter in this particular field

Reply With Quote
The following 3 users say Thank You to Scalpingtrader for this post:
 
(login for full post details)
  #9 (permalink)
Sweden
 
Experience: Intermediate
Platform: Multiple
Trading: Multiple
 
Posts: 46 since Jun 2009
Thanks: 87 given, 43 received

According to Tom Sosnoff start date is May 18. He also mentioned that Interactive Brokers , TD Ameritrade will participate.

Reply With Quote
The following 3 users say Thank You to platon for this post:
 
(login for full post details)
  #10 (permalink)
Legendary Market Wizard
Houston, TX
 
Experience: Advanced
Platform: Trading Technologies
Broker: Primary Advantage Futures. Also ED&F and Tradestation
Trading: Primarily Energy but also a little ES, GE, GC, SI & Bitcoin
 
Posts: 3,793 since Dec 2013
Thanks: 3,074 given, 7,348 received


That's very retail focused.

Reply With Quote
The following user says Thank You to SMCJB for this post:
 
(login for full post details)
  #11 (permalink)
Legendary Market Wizard
Chicago
 
Experience: Beginner
Platform: Sierra Chart
Broker: Edge Clear
Trading: MES
 
snax's Avatar
 
Posts: 1,465 since Feb 2019
Thanks: 5,845 given, 5,805 received


SMCJB View Post
That's very retail focused.

Indeed. I initially signed up to be a member the day before I traded my first live trade, around Jan 4 2019. I was really excited about this at the time because I was about to switch from sim-trading to actually trading the ES with real money and I thought these smaller contracts sounded amazing. This was obviously before the E-Micros emerged around May 2019.

They still haven't contacted me to collect the $100.00 to be an official member and I think I was pretty early on the list. A lot of the site is a work-in-progress too. I don't see anything on their calendar about going live and the fees aren't provided yet:


Visit my futures io Trade Journal Reply With Quote
The following 2 users say Thank You to snax for this post:
 
(login for full post details)
  #12 (permalink)
Napa, California
 
Experience: Intermediate
Platform: Tws, ToS
Broker: InteractiveBrokers
Trading: Crude, forex, options
 
Posts: 4 since Jan 2017
Thanks: 18 given, 2 received

That's good news, I also signed up for the small exchange

Sent using the futures.io mobile app

Reply With Quote
The following user says Thank You to pad6 for this post:
 
(login for full post details)
  #13 (permalink)
Houston TX
 
 
Posts: 23 since Apr 2020
Thanks: 29 given, 19 received

OCC approves Small Exchange go live on 5/18/2020:
https://www.theocc.com/webapps/infomemos?number=46917

Reply With Quote
The following 4 users say Thank You to NotKenGriffin for this post:
 
(login for full post details)
  #14 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,355 since Jun 2009
Thanks: 32,037 given, 96,607 received


platon View Post
According to Tom Sosnoff start date is May 18. He also mentioned that Interactive Brokers , TD Ameritrade will participate.

That's great news for retail traders.

Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
The following 3 users say Thank You to Big Mike for this post:
 
(login for full post details)
  #15 (permalink)
Houston TX
 
 
Posts: 23 since Apr 2020
Thanks: 29 given, 19 received

It seems like fee schedule has not been released. Are people signing up for membership simply because it is so cheap?

Reply With Quote
The following user says Thank You to NotKenGriffin for this post:
 
(login for full post details)
  #16 (permalink)
Flagstaff AZ/USA
 
Experience: Beginner
Platform: NT8
Trading: micros
 
casey44's Avatar
 
Posts: 193 since Jan 2010
Thanks: 3,044 given, 243 received

I don't know if their offer below I first saw last year is still on or not, excerpt:

"Pay once. Save every time you trade the Smalls. A one-time payment of $100 gets you:

A Lifetime Subscription. No annual or renewal fees.
50% off exchange fees. Give up less to place trades.
Reduced market data fees. See our quotes for less.

https://www.thesmallexchange.com/

Visit my futures io Trade Journal Reply With Quote
The following 4 users say Thank You to casey44 for this post:
 
(login for full post details)
  #17 (permalink)
Legendary Market Wizard
Chicago
 
Experience: Beginner
Platform: Sierra Chart
Broker: Edge Clear
Trading: MES
 
snax's Avatar
 
Posts: 1,465 since Feb 2019
Thanks: 5,845 given, 5,805 received


casey44 View Post
I don't know if their offer below I first saw last year is still on or not, excerpt:

"Pay once. Save every time you trade the Smalls. A one-time payment of $100 gets you:

A Lifetime Subscription. No annual or renewal fees.
50% off exchange fees. Give up less to place trades.
Reduced market data fees. See our quotes for less.

https://www.thesmallexchange.com/

For quite a while tastyworks were also giving the memberships for free if you opened a new account. Not sure if that still stands.

Visit my futures io Trade Journal Reply With Quote
The following 2 users say Thank You to snax for this post:
 
(login for full post details)
  #18 (permalink)
Legendary Market Wizard
Chicago
 
Experience: Beginner
Platform: Sierra Chart
Broker: Edge Clear
Trading: MES
 
snax's Avatar
 
Posts: 1,465 since Feb 2019
Thanks: 5,845 given, 5,805 received


NotKenGriffin View Post
It seems like fee schedule has not been released. Are people signing up for membership simply because it is so cheap?

In my case, I signed up back in early January of last year because the small contracts (which hadn't been defined yet, only that they would be ~1/10 the size of the standard corresponding contracts) sounded like a great way to learn about different instruments in different asset-classes. The CME had not created the E-Micros yet so this was a novel idea to me at the time as a new trader.

To be fair, I'm feeling mixed about it now. I don't know if a composite or "global" oil or precious metals contract will have the same "feel" as CL or GC (ie. like what MES is to ES) or if I even have the same learning needs I had early last year. I think they sound interesting nonetheless and if I get the reduced-fees deal I will probably try it out.

It was never about the cheapness of the commissions/fees for me though, it was about the opportunity to learn at less overall risk. I would say some of my perspective on this has changed with time and some more trading experience. I know very little about trading interest-rate futures so maybe the S10Y would be good for that, who knows, maybe I should bite the bullet and trade /ZB or /ZN. But I always thought of these contracts more as tools for learning/experience/scaling-up and never really cared about the commissions, etc.

Visit my futures io Trade Journal Reply With Quote
The following 5 users say Thank You to snax for this post:
 
(login for full post details)
  #19 (permalink)
Singapore Singapore
 
Experience: Intermediate
Platform: NinjaTrader
Trading: ES
 
Posts: 9 since May 2020
Thanks: 22 given, 13 received

Small exchange has been officially launched on Jun 1:

https://smallexchange.com/

Reply With Quote
The following 3 users say Thank You to Rainmakersg for this post:
 
(login for full post details)
  #20 (permalink)
Indianapolis/IN
 
Experience: Intermediate
Platform: SC, NT, ToS, my own
Broker: Stage5, InteractiveBrokers
Trading: ES
 
Posts: 67 since Jan 2013
Thanks: 1,029 given, 109 received

Edgeclear.com has a webinar about this on Tuesday June 9. FYI

Sent using the futures.io mobile app

Reply With Quote
 
(login for full post details)
  #21 (permalink)
Legendary Market Wizard
Houston, TX
 
Experience: Advanced
Platform: Trading Technologies
Broker: Primary Advantage Futures. Also ED&F and Tradestation
Trading: Primarily Energy but also a little ES, GE, GC, SI & Bitcoin
 
Posts: 3,793 since Dec 2013
Thanks: 3,074 given, 7,348 received

So what are the contracts?

SM75 \ Small Stocks 75 - Small Stocks 75 finds the most active stocks from the five major sectors - technology, industrial, energy, financial, material - and adjusts with shifts in the equity environment to give you an engaging stock market at all times. What 75 stocks? What Index?

SMGO \ Small Global Oil - Small Global Oil blends multiple crude oil benchmarks into a single index that reduces exposure to specific geography and represents a greater world of crude. What Benchmarks? What weighting?

Reply With Quote
The following user says Thank You to SMCJB for this post:
 
(login for full post details)
  #22 (permalink)
Sweden
 
Experience: Intermediate
Platform: Multiple
Trading: Multiple
 
Posts: 46 since Jun 2009
Thanks: 87 given, 43 received

SM75-https://indexit.dxfeed.com/
SMGO- This contract is not available yet.

Reply With Quote
The following 2 users say Thank You to platon for this post:
 
(login for full post details)
  #23 (permalink)
Legendary Market Wizard
Houston, TX
 
Experience: Advanced
Platform: Trading Technologies
Broker: Primary Advantage Futures. Also ED&F and Tradestation
Trading: Primarily Energy but also a little ES, GE, GC, SI & Bitcoin
 
Posts: 3,793 since Dec 2013
Thanks: 3,074 given, 7,348 received


platon View Post
SM75-https://indexit.dxfeed.com/
SMGO- This contract is not available yet.

Thanks. Surprising that information isn't available at the exchange website! Still don't see where it says what the SPRE (Small Precious Metals) financially settles against. The weightings are well explained but what is the reference price?

Reply With Quote
The following user says Thank You to SMCJB for this post:
 
(login for full post details)
  #24 (permalink)
Sweden
 
Experience: Intermediate
Platform: Multiple
Trading: Multiple
 
Posts: 46 since Jun 2009
Thanks: 87 given, 43 received

You have details for contracts if you click on the right side "Prices".
When you are on the contract site look at text under margin
"Click here for this index's components and weights". Click word "here" red text.

Reply With Quote
 
(login for full post details)
  #25 (permalink)
Legendary Market Wizard
Houston, TX
 
Experience: Advanced
Platform: Trading Technologies
Broker: Primary Advantage Futures. Also ED&F and Tradestation
Trading: Primarily Energy but also a little ES, GE, GC, SI & Bitcoin
 
Posts: 3,793 since Dec 2013
Thanks: 3,074 given, 7,348 received


SMCJB View Post
Still don't see where it says what the SPRE (Small Precious Metals) financially settles against. The weightings are well explained but what is the reference price?


platon View Post
You have details for contracts if you click on the right side "Prices".
When you are on the contract site look at text under margin
"Click here for this index's components and weights". Click word "here" red text.

Yeah I saw all that. Very interesting. I can see that the 'Small Precious Metals' is 69% Gold, 24% Silver and 7% Platinum. What I don't see is when this contract financially settles, what does it settle against? It needs a published price to settle against!

Reply With Quote
The following 2 users say Thank You to SMCJB for this post:
 
(login for full post details)
  #26 (permalink)
NYC, NY
 
Experience: Intermediate
Platform: Sierra Qtrader TT
Broker: Amp/CQG/TT, Optimus, ADM
Trading: Mainly CL. Spread researcher currently
 
Posts: 625 since May 2013
Thanks: 531 given, 330 received

I wonder if I sign up for the subscription and few years later this picks up I will now be considered a professional for CME - hopefully this will enable some market competition and CME fees get adjusted


Sent using the futures.io mobile app

Visit my futures io Trade Journal Reply With Quote
The following user says Thank You to jokertrader for this post:
 
(login for full post details)
  #27 (permalink)
memphis
 
 
Posts: 59 since Mar 2020
Thanks: 104 given, 13 received

I almost went ahead and paid the $100 to get signed up with The Small Exchange - but since it's so new and two of the markets.products have yet to be released ( Global Oil and the 10 Year ) I wanted to get other Traders perspective and thoughts on this new Exchange

The Intra-day and Overnight/Maintenance Margins are very appealing, especially since they would allow for Swing Trading, as well as Position sizing

Is anyone currently trading these Products?

Who did you sign up with/go through in Order to trade The Small Exchange?
What was the account minimum

I'm going to sign up soon - wanted to get others thoughts and perspective before I did so

Reply With Quote
 
(login for full post details)
  #28 (permalink)
San Jose, CA
 
Experience: Intermediate
Platform: Zaner360
Broker: DeCarley/Zaner/Gain
Trading: NG,6E
 
Posts: 17 since Aug 2018
Thanks: 29 given, 13 received

Hey,

I have the subscription but I got it for free with my TastyWorks account. I am a little disappointed that they only have 3 contracts types right now but they have at least 2 more coming (GO and 10Y as you mention) plus they keep talking about others that'll come out soon.

I haven't made any trades yet because I like to use Tradingview as a charting platform and they don't have Small Exhange Indexes or Contracts available yet.

Follow me on Twitter Reply With Quote
The following user says Thank You to fxfool for this post:
 
(login for full post details)
  #29 (permalink)
memphis
 
 
Posts: 59 since Mar 2020
Thanks: 104 given, 13 received

fxfool ,
I just signed up/joined today ( paid the $100 Subscription ) cost

I look forward to seeing what other Markets/Products that they add in the future

Hopefully the Volume will start to increase and the Spreads will tighten a bit

Reply With Quote
 
(login for full post details)
  #30 (permalink)
Legendary Market Wizard
Houston, TX
 
Experience: Advanced
Platform: Trading Technologies
Broker: Primary Advantage Futures. Also ED&F and Tradestation
Trading: Primarily Energy but also a little ES, GE, GC, SI & Bitcoin
 
Posts: 3,793 since Dec 2013
Thanks: 3,074 given, 7,348 received

Is CQG the only way to trade?

I asked TT several weeks ago and they said they were evaluating!

Reply With Quote
 
(login for full post details)
  #31 (permalink)
Data Wizard!!!
Cincinnati Ohio
 
Experience: Intermediate
Platform: TastyWorks
Broker: TastyWorks
Trading: FX, Stocks, Options
 
Silver Dragon's Avatar
 
Posts: 1,929 since Feb 2011
Thanks: 5,479 given, 4,633 received

Small Exchange is launching a new product on Monday Sept 24. The STIX will be commission free for the next month.

Looking forward to trading this.

Robert

STIX- Small Technology 60 website overview

STIX- Components and weighting

STIX- Small Technology 60 Overview video




nosce te ipsum

You make your own opportunities in life.
Visit my futures io Trade Journal Reply With Quote
The following 5 users say Thank You to Silver Dragon for this post:
 
(login for full post details)
  #32 (permalink)
Data Wizard!!!
Cincinnati Ohio
 
Experience: Intermediate
Platform: TastyWorks
Broker: TastyWorks
Trading: FX, Stocks, Options
 
Silver Dragon's Avatar
 
Posts: 1,929 since Feb 2011
Thanks: 5,479 given, 4,633 received

The Small Exchange launched a new product in December for the 10 year treasury yield.

Robert

Desc:
Small 10YR US Treasury Yield simplifies variables in interest rates into a single, succinct yield so that you can skip the calculations that translate yield to price.

S10Y Overview

Composition of Index

nosce te ipsum

You make your own opportunities in life.
Visit my futures io Trade Journal Reply With Quote
The following user says Thank You to Silver Dragon for this post:
 
(login for full post details)
  #33 (permalink)
Data Wizard!!!
Cincinnati Ohio
 
Experience: Intermediate
Platform: TastyWorks
Broker: TastyWorks
Trading: FX, Stocks, Options
 
Silver Dragon's Avatar
 
Posts: 1,929 since Feb 2011
Thanks: 5,479 given, 4,633 received

I have been trading the small exchange for several months now and have found it to my liking. The overarching reason is because it allows me to hold a futures contract for a extended period of time (days) while reducing the risk of blowing up my account.

To put into context:
the SM75 which closely follows the Russel 2000 closed today 62.88. If the price were to go to zero the most you could lose is $6288.00. If the Russel 2K micro were to go to zero the most you can loss would be $98,200. (based on todays close). While the Micros are great products you can still end up blowing up your account in very short amount of time.

I would recommend any beginner trader to consider trading these products. Its a good way to learn trading while reducing overall risk and allowing you to have skin in the game for longer than 5 minutes at a time

Below is my results for 2020. Nearly every one of these trades I held for multiple days.

Robert

disclosure: I signed up to the Small Exchange when they first opened. As a result I receive reduced commissions for life.


nosce te ipsum

You make your own opportunities in life.
Visit my futures io Trade Journal Reply With Quote
The following 7 users say Thank You to Silver Dragon for this post:
 
(login for full post details)
  #34 (permalink)
Battle Creek MI USA
 
 
Posts: 1 since Sep 2018
Thanks: 0 given, 0 received

I hope these catch on and become more popular. I can't find much support for charting. I hope they get added to tradingview soon.

Reply With Quote
 
(login for full post details)
  #35 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,355 since Jun 2009
Thanks: 32,037 given, 96,607 received

Hi guys,

It is my pleasure to welcome Michael Gough @ The Small Exchange for our 408th webinar event, sponsored by DTN, on Thursday, January 14th @ 4:30 PM Eastern US.

I want to thank @DTN IQFeed for making this webinar possible by sponsoring it.

The title for the event is "Introducing The Small Exchange: Markets That Make Sense", and bullet points include:

The Small Exchange is making futures markets more accessible to more people with products that are small, standard, and simple. Stocks are expensive. Traditional futures are complicated. The Smalls are a new kind of product that pair the efficiency of futures with the clarity of stocks. Michael Gough will be guiding you through the Small Exchange offering and introducing its newest product - Small Treasury Yield - the first product to allow interest rate trading in yield instead of price.

- Access the exclusive efficiency of futures with products designed for the everyday investor.
- The Small Exchange offers small, standard and simple futures for the everyday investor.
- Pair the capital efficiency of futures with the clarity of stocks.
- The Small Exchange offers commodity, foreign exchange and equity index futures 10% the size of other futures.
- Futures contracts can be more capital-efficient than stocks, but their complex design and large size have kept investors from adopting them for speculative and risk management needs. The Smalls offer the best of both worlds with products that are small, standard, and simple.



Register for this event:
https://on.futures.io/gjn0y

Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
The following 7 users say Thank You to Big Mike for this post:
 
(login for full post details)
  #36 (permalink)
Legendary Market Wizard
Houston, TX
 
Experience: Advanced
Platform: Trading Technologies
Broker: Primary Advantage Futures. Also ED&F and Tradestation
Trading: Primarily Energy but also a little ES, GE, GC, SI & Bitcoin
 
Posts: 3,793 since Dec 2013
Thanks: 3,074 given, 7,348 received


Big Mike View Post
making futures markets more accessible

They are not more accessible if most brokers don't clear them and most software doesn't let you trade them. They are in fact 'niche'.

Reply With Quote
The following 3 users say Thank You to SMCJB for this post:
 
(login for full post details)
  #37 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,355 since Jun 2009
Thanks: 32,037 given, 96,607 received

That was their marketing text.

I like their product. More brokers signing up. Gotta start somewhere. We will see if they make it long term.
SMCJB View Post
They are not more accessible if most brokers don't clear them and most software doesn't let you trade them. They are in fact 'niche'.

Sent using the futures.io mobile app

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
The following 5 users say Thank You to Big Mike for this post:
 
(login for full post details)
  #38 (permalink)
Legendary Market Wizard
Houston, TX
 
Experience: Advanced
Platform: Trading Technologies
Broker: Primary Advantage Futures. Also ED&F and Tradestation
Trading: Primarily Energy but also a little ES, GE, GC, SI & Bitcoin
 
Posts: 3,793 since Dec 2013
Thanks: 3,074 given, 7,348 received

Like the idea but I'm skeptical. Futures trading can be divided into two categories hedging and speculation. I doubt anybody is hedging with these contracts so that leaves us speculation. I would divide speculative trading into three broad categories, 1/ Fundamental, 2/ Technical and 3/ Market Making/Arbitrage/HFT. While obviously you can trade the Small Stock 75 fundamentally how do you trade a 'Precious Metals Contract' that is a mixture of three differing precious metals. How does an Market Maker/Arbitrager trade a contract that small and that is also based upon three other contracts? Who does that leave? Technical traders trading against other Technical Traders?

Reply With Quote
The following 4 users say Thank You to SMCJB for this post:
 
(login for full post details)
  #39 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,355 since Jun 2009
Thanks: 32,037 given, 96,607 received

Valid, I hope you attend the webinar and ask them.

SMCJB View Post
Like the idea but I'm skeptical. Futures trading can be divided into two categories hedging and speculation. I doubt anybody is hedging with these contracts so that leaves us speculation. I would divide speculative trading into three broad categories, 1/ Fundamental, 2/ Technical and 3/ Market Making/Arbitrage/HFT. While obviously you can trade the Small Stock 75 fundamentally how do you trade a 'Precious Metals Contract' that is a mixture of three differing precious metals. How does an Market Maker/Arbitrager trade a contract that small and that is also based upon three other contracts? Who does that leave? Technical traders trading against other Technical Traders?

Sent using the futures.io mobile app

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
The following user says Thank You to Big Mike for this post:
 
(login for full post details)
  #40 (permalink)
Legendary Market Wizard
Houston, TX
 
Experience: Advanced
Platform: Trading Technologies
Broker: Primary Advantage Futures. Also ED&F and Tradestation
Trading: Primarily Energy but also a little ES, GE, GC, SI & Bitcoin
 
Posts: 3,793 since Dec 2013
Thanks: 3,074 given, 7,348 received

I tend to watch the recordings.

Reply With Quote
 
(login for full post details)
  #41 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,355 since Jun 2009
Thanks: 32,037 given, 96,607 received

Please make an exception in this case!
SMCJB View Post
I tend to watch the recordings.

Sent using the futures.io mobile app

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
The following user says Thank You to Big Mike for this post:
 
(login for full post details)
  #42 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,355 since Jun 2009
Thanks: 32,037 given, 96,607 received

I've personally asked they address your questions during the event. So either way, I look forward to answers.

SMCJB View Post
I tend to watch the recordings.

Sent using the futures.io mobile app

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
The following 3 users say Thank You to Big Mike for this post:
 
(login for full post details)
  #43 (permalink)
Clearwater FL US
 
Experience: Beginner
Platform: Etrade, Tradovate and TOS
Trading: SPX, /ES, /MES, Options
 
Posts: 20 since Jan 2019
Thanks: 13 given, 9 received


philwmich View Post
I hope these catch on and become more popular. I can't find much support for charting. I hope they get added to tradingview soon.

Two platforms I know they are on is TastyWorks and Tradovate.

Reply With Quote
 
(login for full post details)
  #44 (permalink)
Clearwater FL US
 
Experience: Beginner
Platform: Etrade, Tradovate and TOS
Trading: SPX, /ES, /MES, Options
 
Posts: 20 since Jan 2019
Thanks: 13 given, 9 received


SMCJB View Post
Like the idea but I'm skeptical. Futures trading can be divided into two categories hedging and speculation. I doubt anybody is hedging with these contracts so that leaves us speculation. I would divide speculative trading into three broad categories, 1/ Fundamental, 2/ Technical and 3/ Market Making/Arbitrage/HFT. While obviously you can trade the Small Stock 75 fundamentally how do you trade a 'Precious Metals Contract' that is a mixture of three differing precious metals. How does an Market Maker/Arbitrager trade a contract that small and that is also based upon three other contracts? Who does that leave? Technical traders trading against other Technical Traders?

I have used them for delta hedging, pairs trades and speculation. Precious Metals basically moves like gold which I believe is the largest asset. The biggest issue with them right now is the liquidity.

Reply With Quote
The following 2 users say Thank You to futs for this post:
 
(login for full post details)
  #45 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,355 since Jun 2009
Thanks: 32,037 given, 96,607 received

Webinar recording:



Please give us feedback and comments:

If you liked it, click here and share your feedback:
https://futures.io/email-feedback.php?title=801&liked=1

If you didn't like it, click here and share your feedback:
https://futures.io/email-feedback.php?title=801&liked=-1

Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #46 (permalink)
Little Rock, Arkansas
 
Experience: Advanced
Platform: NinjaTrader
Trading: oil
 
rayjth's Avatar
 
Posts: 4 since Jul 2014
Thanks: 0 given, 1 received

Video says unavailable

Reply With Quote
 
(login for full post details)
  #47 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,355 since Jun 2009
Thanks: 32,037 given, 96,607 received


rayjth View Post
Video says unavailable

Give it two and a half hours please.

Mike

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #48 (permalink)
Toronto
 
 
Posts: 47 since Apr 2019
Thanks: 25 given, 8 received

The small exchange is a great idea but I am wondering about the both: Liquidity and intra-day margin and maintenance margin.
S75 has a traded volume 203 ONLY - so I expect that trading actively bid/ask spreads on a market order can be huge cost. So only way is to trade on a limit such that market maker algo can fill you. How they can control the instrument follows the index without someone coming to manipulate the market... like if I pushed 10 contracts on a market order it would push the market higher with no liquidity !
On another hand, how come the intraday margin of these products are 5 times a normal micro MES ! and even the maintenance margin is so high ....
I think it is a great idea, specially for the yields SY10 but there is no liquidity at all in the market .. Only 40 contracts Yesterday,..
I hope by time they can bring more traders but till then this is somehow still not efficient for any active intra-day trading but the margins are huge to hold overnight .... Anyone traded this live ? May be my view is not right and we need someone who traded live to let us know their experience ... Hope they can tell us why such margin and why no liquidity. I will check the video once processed ...

Reply With Quote
The following user says Thank You to mosalem2003 for this post:
 
(login for full post details)
  #49 (permalink)
Edmonton Alberta Canada
 
Experience: Intermediate
Platform: Ninjatrader
Trading: Emini ES
 
Posts: 18 since Mar 2018
Thanks: 0 given, 15 received

Forgive me if this has been answered previously (I couldn't find it in this thread)....

But I am curious about trading costs.

How much does it cost to trade these products? What is the commission R/T cost for trading a single small contract?

Reply With Quote
The following user says Thank You to refine for this post:
 
(login for full post details)
  #50 (permalink)
Site Administrator
Swing Trader
Data Scientist & DevOps
Manta, Ecuador
 
Experience: Advanced
Platform: My own custom solution
Trading: Emini Futures
 
Big Mike's Avatar
 
Posts: 49,355 since Jun 2009
Thanks: 32,037 given, 96,607 received

This thread is about a new Exchange itself (competing against CME). Your question would be directed to the brokers that carry this Exchange.

refine View Post
Forgive me if this has been answered previously (I couldn't find it in this thread)....

But I am curious about trading costs.

How much does it cost to trade these products? What is the commission R/T cost for trading a single small contract?

Sent using the futures.io mobile app

We're here to help -- just ask

For the best trading education, watch our webinars
Searching for trading reviews? Review this list

Follow us on Twitter, YouTube, and Facebook

Support our community as an Elite Member:
https://futures.io/elite/
Follow me on Twitter Visit my Facebook Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #51 (permalink)
Rovigo (ITALY)
 
Experience: Intermediate
Platform: SierraChart, MotiveWave
Broker: Rithmic, Dorman, Interactive Brokers
Trading: Emini, Nasdaq, DAX, Bund, IBEX
 
SBtrader82's Avatar
 
Posts: 217 since Feb 2018
Thanks: 74 given, 368 received

I was just reading some posts by Sierrachart support concerning Rithmic and I came across a sentence that makes me believe that soon small exchanges will be tradable through Sierra. Look at the picture below.

Follow me on Twitter Visit my futures io Trade Journal Reply With Quote
The following 2 users say Thank You to SBtrader82 for this post:
 
(login for full post details)
  #52 (permalink)
Site Moderator
Sarasota FL
 
Experience: Advanced
Platform: Sierra Chart
Trading: ES, YM
 
bobwest's Avatar
 
Posts: 6,237 since Jan 2013
Thanks: 47,605 given, 20,929 received


SBtrader82 View Post
I was just reading some posts by Sierrachart support concerning Rithmic and I came across a sentence that makes me believe that soon small exchanges will be tradable through Sierra. Look at the picture below.

Thanks. Link? I'd like to read their whole post. Sometimes there is good stuff earlier or later.

Bob.

When one door closes, another opens.
-- Cervantes, Don Quixote
Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #53 (permalink)
Rovigo (ITALY)
 
Experience: Intermediate
Platform: SierraChart, MotiveWave
Broker: Rithmic, Dorman, Interactive Brokers
Trading: Emini, Nasdaq, DAX, Bund, IBEX
 
SBtrader82's Avatar
 
Posts: 217 since Feb 2018
Thanks: 74 given, 368 received


bobwest View Post
Thanks. Link? I'd like to read their whole post. Sometimes there is good stuff earlier or later.

Bob.

This is the link: https://www.sierrachart.com/SupportBoard.php?ThreadID=51595
the thread was about another topic but if you search "small exchange" you will the post that I mentioned.

Follow me on Twitter Visit my futures io Trade Journal Reply With Quote
The following user says Thank You to SBtrader82 for this post:
 
(login for full post details)
  #54 (permalink)
Grande-Synthe
 
 
Posts: 2 since Jan 2021
Thanks: 1 given, 1 received


futs View Post
Two platforms I know they are on is TastyWorks and Tradovate.

And also with "edgeclear"...

Reply With Quote
 
(login for full post details)
  #55 (permalink)
Rovigo (ITALY)
 
Experience: Intermediate
Platform: SierraChart, MotiveWave
Broker: Rithmic, Dorman, Interactive Brokers
Trading: Emini, Nasdaq, DAX, Bund, IBEX
 
SBtrader82's Avatar
 
Posts: 217 since Feb 2018
Thanks: 74 given, 368 received

More on the same topic of SierraChart and the small exchange, I also found the following link: https://www.sierrachart.com/SupportBoard.php?ThreadID=53023

if I got it right, you can already trade the smalls with Sierra if you are with Interactive Broker or Gain Capital.

Follow me on Twitter Visit my futures io Trade Journal Reply With Quote
 
(login for full post details)
  #56 (permalink)
Legendary Market Wizard
Houston, TX
 
Experience: Advanced
Platform: Trading Technologies
Broker: Primary Advantage Futures. Also ED&F and Tradestation
Trading: Primarily Energy but also a little ES, GE, GC, SI & Bitcoin
 
Posts: 3,793 since Dec 2013
Thanks: 3,074 given, 7,348 received


Big Mike View Post
Webinar recording:

I thought it was a good presentation. Michael Gough did an excellent job. He was extremely clear and spoke at a very even pace. The presentation covered all the relevant topics in a succinct way. I really like the way they have sized their contracts, all with $1 ticks.

I know a lot of people like the fact that the S10Y/10 Year Treasury is priced in Yield rather than Bond prices. I myself do, especially after having started trading Eurodollars last year (which are also priced in Yield not Bond prices, but the price is 100 minus the Yield so 99 represents 1%). The problem is bond prices do not move linearly with a change in interest rates. So if you are a big trading desk you are more interested in a product that hedges the non-linear bond price, than you are one that hedges a linear yield price. This brings me back to my question of who is going to use these products. The answer seems to be very small traders. While they may be excellent products for those very small traders, the question then becomes will there be enough small traders to get these products to the critical mass needed? Obviously a product like MES (S&P500 Micro) has been amazingly successful. But it's a derivative of another highly liquid product. There's an endless list of companies willing to make markets in MES 1 tick wider than ES. If the exchange is paying designated market makers a rebate, then those market makers are probably making the market the same as ES just to earn the rebate. Unfortunately there is no comparison for these Small Exchange Products. What are you arbing a precious metals contract that is approximately 80% gold against? If you arb it versus GC or MGC, that 20% basis risk that isn't gold will easily kill the 1 tick profit you hope to make. Hence as impressed as I was with the presentation, and with the contract size design, I unfortunately remain skeptical.


futs View Post
Two platforms I know they are on is TastyWorks and Tradovate.

I spoke to Trading Technologies yesterday. They currently have no plans to add Small Exchange connectivity.

Reply With Quote
The following 7 users say Thank You to SMCJB for this post:


futures io Trading Community Traders Hideout > The Small Exchange (www.smallexchange.com)


Last Updated on January 20, 2021


Upcoming Webinars and Events
 

NinjaTrader Indicator Challenge!

Ongoing
 

Are you doing what it takes to trade right? w/FuturesTrader71

Jan 21
 

Journal Challenge!

February
 

Battlestations!

March
     



Copyright © 2021 by futures io, s.a., Av Ricardo J. Alfaro, Century Tower, Panama, +507 833-9432, info@futures.io
All information is for educational use only and is not investment advice.
There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
no new posts