Spread Trading

[Mietesh]

Mr SumeetSJ

Good Post by you. I read about Calendar Spread in Gold - Silver and want you to elaborate more about it. How you take SPREAD CALL in Gold & Silver Calendar spread and also from your experience how much Gap one can get regularly on an average. All fellow members will be glad to get your detailed post reply on the above.

Rgds MIETESH.

 

[Mietesh]

Dear Spread Traders,

Today we got chance to make Reverse position in Zinc - Lead spread at 14.20 gap which is now 13.50 (Profit of .70 Less Brokerage .10 = .60 x 5000 = Rs.3000). Now one can surely take Spread position between 14.50 ~ 15.00 S.Gap with Tgt of 12.00 & SL of 16.75 ~ 17.25.
Do give feedback one who take position as per above analysis.

Rgds Mietesh.

 

[sumeetsj]

http://www.tickerplantindia.com/

An integrated analytical software developed by Financial Technologies,
calculates "Spread Gaps" between commodities on a real time basis.
It does for equities also!!
Very useful tool for Spread traders.

 

[Mietesh]

Mr. SUMEETSJ,

Its good post by you, sharing software information. I did checked the link that you posted in your Post but I didnt find what you mentioned about Spread Gap calculation. Can you please inform if One need to buy this software or its FREE and where can one get Spread Gap in this website of tickerplantindia. Await your reply soon.

Rgds MIETESH.

 

[PitBull]

Whereas taking trades in Gold/Silver,
Calendar spreads proves much more profitable,
taking into consideration the moves and the volatility in Silver.

I have been successfully implementing calendar strategies in Gold and Silver and gaining consistently.

Can you explain a little more about this ?
I did a little analysis on Gold calendar spreads a while ago but focused more on the Lead Zinc spread.

The Lead Zinc spread is less profitable , true, but needs less tracking. I can spend about 15 minutes at EOD to track this.

Gold and Silver , I feel need to be tracked more.

 

[sumeetsj]

Can you explain a little more about this ?
I did a little analysis on Gold calendar spreads a while ago but focused more on the Lead Zinc spread.

The Lead Zinc spread is less profitable , true, but needs less tracking. I can spend about 15 minutes at EOD to track this.

Gold and Silver , I feel need to be tracked more.

The point want to make here is,
We tend to check the spread gap only on EOD basis. In fact all my back testing was done on closing rate(EOD rate).
Where as the gap keeps changing all the while on real time basis.
Hence a spread trade looking good on paper, is less feasible to trade.
Also volumes need to be good enough to make decent amount of money.
If we devote the time spent here to some other trading activity we might gain more than here.

 

[sumeetsj]

Mr. SUMEETSJ,

Its good post by you, sharing software information. I did checked the link that you posted in your Post but I didnt find what you mentioned about Spread Gap calculation. Can you please inform if One need to buy this software or its FREE and where can one get Spread Gap in this website of tickerplantindia. Await your reply soon.

Rgds MIETESH.

There is no free lunch my dear friend..
call these guys, ask for a demo (they give a 7 day demo i think),
they have stocks too so it might be useful to you

 

[Mietesh]

Hello Fellow Traders,

If One Would Have Taken SPREAD POSITION in Lead - Zinc @ S.G of 14.50 (10th June intraday gap) Then Could Exit @ 13.25 Today making Profit of Rs.5750 (after brokerage).
Post Given On 8th June : "Now one can surely take Spread position between 14.50 ~ 15.00 S.Gap with Tgt of 12.00 & SL of 16.75 ~ 17.25."

** I Did got entry and exit as mentioned above. Hope My Thread Benefit Fellow Traders Too.

 

[Mietesh]

Hello Friends,

I found this group called Spread Trend ( http://in.groups.yahoo.com/group/spreadtrend ) where one can share and gain knowledge of Spread Trading Strategy. Its New Group but we all can join and make more better platform to interact with each other & share know how of Spread Trading. Hope you all find this good.

Happy Grouping.........Bye.

 

[sumeetsj]

We need to calculate spreads between MCX and NCDEX,
have been checking the movements of Gold and Silver on both these exchanges,
spreads can be setup using the same commodity but in different exchanges.

If anyone has any info, or can gather, please share.
I am currently on to it and shall post results soon.