Thursday, February 08, 2007

ES sucks

Someone posted this statement in the chat yesterday and I begged to differ:

[14:38] (xx): ES sucks
[14:39] (croc): no xx, ES is the benchmark
[14:40] (croc): if ES goes down 0.25 points, the DAX does 5 to 10, ER does 1point, YM 5-8
[14:40] (croc): NQ I don't watch
[14:40] (croc): ES holding a major level is a reversal signal
[14:41] (croc): I use the ES to know how the market is doing, I don't trade it, it's too big for me, but it's very important to know how it trades
[14:42] (croc): ES ticking above 1455 triggered this dax spike


[14:42] (croc): the moment ES goes below 1455 again DAX will reverse
[14:43] (croc): very seldom a major market trades against the direction of the ES
[14:43] (croc): that's why I have one of my trend charts showing the ES during US RTH
[14:43] (croc): during european trading hours I use the YM for that
[14:44] (croc): it's thin, but it's well guarded, so it will make no huge move unless it's warranted as big market makers take care that this contract does not go out of line overnight

1 comment:

youtube said...

Great article

thanks

forex