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servo

N00b Question About YM

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Hello everyone. I am very new to all this and had a question. What is a YM? I have see this term frequently in the past few days while perusing this board and have yet to find a good explanation of it.

Thanks

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The YM is the E-mini Dow futures. Basically, it's futures on the Dow index (INDU). The tick size (the smallest it can move) is 1 point, and is worth $5.

 

You've probably also seen these:

ES - E-mini S&P 500 Futures ($50/pt, tick size is 1/4 point)

NQ - E-mini Nasdaq 100 Futures ($20/pt, tick size is 1/4 point)

ER2 - E-mini Russell 2000 Futures ($100/point, tick size is 1/10 point)

 

Hope that helps.

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The cbot 'prefixes' mini contracts with a Y

The M might have just came from the pool of available letters

or it might come from mini too like in 'mini-dow ... :)

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Thanks for the good info, but if I may indulge you once more on this topic...

If recall correctly I remember reading more than a few posts stating that beginners start their trading with futures. Why is that? Easier to understand? Less risk?

Thanks again.

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Hi Servo,

A lot of people also use Forex due to smaller margin requirements than Futures.

 

I guess there is a split on most boards/sites between futures and Forex as to what people trade first up. It also comes down to what you are looking for with your money and what risk profile you want to fall into..

 

A lot of people err on the side of caution hence forex first....either way its got to be a lot of practice and learning before making money...best to learn on the least risk possible at first until your numbers show a consistent edge..

Be prepared to throw away at least $5-20K(and maybe then some !) on futures to start. Not a nice thing to say first up...with Forex one can trade a lot smaller and hence less risk...However different markets have different characteristics so be aware of that if you should switch from one to the other...etc

 

Hope that helps

 

Best

John

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Very generally -

The largest percentage of 'beginners', by far, start their trading in unleveraged equities.

A smaller percentage of beginners are attracted to the 'power' of leverage that futures provide seamlessly - etc.

Few realize that single lot futures trading is one of the hardest games out there...

Almost immediately most beginners begin to explore and migrate to instruments and timeframes that fit them individually

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After you understand market basics, you can probably get most bang for your buck trading a lower-leveraged forex account with small lot size. You can last longer on less money than trading futures, imho.

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IMO the main attraction to futures (at least initially) is there is no PDT. You can start with a few thousand and off you go.

 

Of course, many soon find out that a few thousand can evaporate in futures quicker than you could possibly imagine.

 

If you are curious, get a demo from Open ECry or another broker and just place trades for the hell of it and see how your P&L / Account Balance fluctuates.

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IMO the main attraction to futures (at least initially) is there is no PDT. You can start with a few thousand and off you go.

 

Of course, many soon find out that a few thousand can evaporate in futures quicker than you could possibly imagine.

 

If you are curious, get a demo from Open ECry or another broker and just place trades for the hell of it and see how your P&L / Account Balance fluctuates.

 

That's the major draw I would think, no PDT. If there was a buck a tick contract it would be easier to practice better position sizing on smaller accounts but I'm not holding my breath there. Futures are no different than options or even penny stocks really. Anything that lets you gain too much leverage where your money can disappear quick is dangerous, yet this is where most noob start. So a 2nd big reason could be none other than greed and the quest for quick easy money.

 

On paper trading...play around but be careful, I was making about 3k a week just mucking around on paper. Then I went live and it's a whole different ballgame. It's like riding a mechanical bull on low settings and getting amped up only to hop on a real bull and get bucked off. :o

 

There ain't no free lunch on the markets that lasts, screentime is a must and extreme dedication as well. :)

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I plan to just trade with my practice account for a while. After reading everything on this board I could for the last few days I am realizing how hard getting started is. Luckily I have lots of disposable time for learning.

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I plan to just trade with my practice account for a while. After reading everything on this board I could for the last few days I am realizing how hard getting started is. Luckily I have lots of disposable time for learning.

 

servo,

 

So you want to become a trader, a successful one, I hope. As you embark on your new adventure studying "everything" on this board and elsewhere, may I entice you to take this approach and suggestions:

 

  1. Do NOT study "everything' on this board or elsewhere. The variety of technical information will overwhelm you. You may find yourself lost and spinning your wheels trying each and every system, indicators, ideas, and software under the sun. The trading method you eventually adopt will only represent a small portion of how and what you can become as a trader. They are dime a dozen.
  2. Do NOT think about leverage and money management at this time. It will not impact much of your trading performance at the beginning. That will come to you in due time.
  3. DO spend a major portion of your initial study time to the STUDY of YOURSELF. If you don't know how and what heck I am talking about, do Skype me. WHY do you want to trade the markets (besides the money)? What got you interested in trading in the first place? Talking about money, you mentioned you are lucky to have lots of disposable time. Are you as lucky to have lots of disposable income and RISK money to trade? These questions should be part of the "YOURSELF" study.

 

Number #3 will be a MAJOR portion of what kind of a trader YOU CAN BECOME. Major on MAJOR things. This is how I start a new and/or wannabee trader in a program. The first two seems to always get Top Priority; so much emphasis and time given to it YET 90% of them traders fail. Go figure that out.

 

As far as YM, spend 10 minutes or less with me and you will learn "everything you always wanted and needed to learn about it. As far as trading it, it will take a heck of lot more time than that. BTW, I primarily trade YM and/or ES during the morning session and selected forex pairs prior to that.

 

There is a part 2 to this but FIRST things FIRST.

 

ENJOY!

 

ztrader

 

P.S. Oooooops! This post may NOT be well received here. Yikes! Sorry about that!

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servo,

 

So you want to become a trader, a successful one, I hope. As you embark on your new adventure studying "everything" on this board and elsewhere, may I entice you to take this approach and suggestions:

 

  1. Do NOT study "everything' on this board or elsewhere. The variety of technical information will overwhelm you. You may find yourself lost and spinning your wheels trying each and every system, indicators, ideas, and software under the sun. The trading method you eventually adopt will only represent a small portion of how and what you can become as a trader. They are dime a dozen.
  2. Do NOT think about leverage and money management at this time. It will not impact much of your trading performance at the beginning. That will come to you in due time.
  3. DO spend a major portion of your initial study time to the STUDY of YOURSELF. If you don't know how and what heck I am talking about, do Skype me. WHY do you want to trade the markets (besides the money)? What got you interested in trading in the first place? Talking about money, you mentioned you are lucky to have lots of disposable time. Are you as lucky to have lots of disposable income and RISK money to trade? These questions should be part of the "YOURSELF" study.

 

Number #3 will be a MAJOR portion of what kind of a trader YOU CAN BECOME. Major on MAJOR things. This is how I start a new and/or wannabee trader in a program. The first two seems to always get Top Priority; so much emphasis and time given to it YET 90% of them traders fail. Go figure that out.

 

As far as YM, spend 10 minutes or less with me and you will learn "everything you always wanted and needed to learn about it. As far as trading it, it will take a heck of lot more time than that. BTW, I primarily trade YM and/or ES during the morning session and selected forex pairs prior to that.

 

There is a part 2 to this but FIRST things FIRST.

 

ENJOY!

 

ztrader

 

P.S. Oooooops! This post may NOT be well received here. Yikes! Sorry about that!

 

Why would this not be well received? I'm gonna get skype and contact you as well sometime. You could have saved me probably about a year of indicator horseplay. I wish I had a legit mentor when I came into the game. :(

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for the 3rd portion of servo's post,there is a book about letting go of ego, " A New Earth",it makes no mention of trading,but it does give a few clues about how to be honest with yourself,we're all in denial to some degree,you have to get rid of that to become a good trader,as far as all the technical stuff,start at big charts .com(free) and download there interactive chart on spx or dow and start drawing trendlines,there is a section on there that will tell you how,you can start watching the market bounce between them and break thru them but you will get a sense of a bigger picture,good place to start

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Thanks for the reply ztrader

  1. Do NOT study "everything' on this board or elsewhere. The variety of technical information will overwhelm you. You may find yourself lost and spinning your wheels trying each and every system, indicators, ideas, and software under the sun. The trading method you eventually adopt will only represent a small portion of how and what you can become as a trader. They are dime a dozen.
  2. Do NOT think about leverage and money management at this time. It will not impact much of your trading performance at the beginning. That will come to you in due time.
 
I am beginning to understand just how big the "Big Picture" really is. Right now I am just trying to get the overview. I have not started to narrow down to strategies or specific software...or even what I think I would like to trade. I think I need to get a better understanding of the market fundamentals.
 

DO spend a major portion of your initial study time to the STUDY of YOURSELF. If you don't know how and what heck I am talking about, do Skype me. WHY do you want to trade the markets (besides the money)? What got you interested in trading in the first place? Talking about money, you mentioned you are lucky to have lots of disposable time. Are you as lucky to have lots of disposable income and RISK money to trade? These questions should be part of the "YOURSELF" study.

 

 

Not a huge amount of disposable income, but by the time I am ready I think I will have enough. I got interested in finance and trading when I got my current job as a developer in a financial services company. I came from a transportation and casino background, so began to study the industry. Really fascinating stuff.

Number #3 will be a MAJOR portion of what kind of a trader YOU CAN BECOME. Major on MAJOR things. This is how I start a new and/or wannabee trader in a program. The first two seems to always get Top Priority; so much emphasis and time given to it YET 90% of them traders fail. Go figure that out.

 

Good advice. Actually I had not given that the attention it deserves. I'll have to sleep on it

.

As far as YM, spend 10 minutes or less with me and you will learn "everything you always wanted and needed to learn about it. As far as trading it, it will take a heck of lot more time than that. BTW, I primarily trade YM and/or ES during the morning session and selected forex pairs prior to that.

Thanks, Ill have to take you up on that. Like software development, I have a feeling that there is a set of knowledge you get from the books, and then there is what people do in the real world.

 

There is a part 2 to this but FIRST things FIRST.

 

ENJOY!

 

ztrader

 

P.S. Oooooops! This post may NOT be well received here. Yikes! Sorry about that!

 

servo,

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Thanks for the reply ztrader

 

Not a huge amount of disposable income, but by the time I am ready I think I will have enough. I got interested in finance and trading when I got my current job as a developer in a financial services company. I came from a transportation and casino background, so began to study the industry. Really fascinating stuff.

 

Thanks, Ill have to take you up on that. Like software development, I have a feeling that there is a set of knowledge you get from the books, and then there is what people do in the real world.

 

servo,

 

This is your lucky day. You have won the Mega Bucks Jackpot on machine #123. :) More on this later.

 

What an interesting coincidence in our background. I have developed an automated financial reporting system for a major medical transportation company. I have also worked with my nephew in the development and installation of some software systems and support services for POS, variety of tracking, and security surveillance for smaller casinos, resto bars, and entertainment lounges. Those were the good ol' FUN days in Las Vegas.

 

Now, for the Mega Bucks winning. In lieu of my Part 2 post, here is the Jackpot you can claim, if you accept and IF YOU QUALIFY. I have an offer you cannot refuse [but you still have the option to. I am not with the Vegas mafioso. :)]. It's a project I would like to work with you and here is a couple of the details:

 

  1. I will guide you through those 3-2-1 suggestions on my previous post. This will help you speed up your learning curve, save you time, money, lots of frustrations, stress and aggravations. Although, you will be tested in handling and managing them.
  2. You will go through my "Fibonacci 1-2-3 Steps to Trading Preparedness and Skills Development. It's like learning to dance Salsa, 1-2-3 pause, 1-2-3 pause. You will actually be trying out to be in the team so you will have to learn and run the plays FROM and BY my playbook. Typically, one should have already been trading at least 6-12 months to even get into the tryout camp.
  3. I hope you like watching football games and court trial type TV shows. That would be one of your assignments so you will understand and appreciate my analogy in reading and understanding the market. You will have FUN!

Now, please do not ask me for a proof of anything like, track record, account statement, etc.. I don't have to prove anything to anyone. On the hand, should you accept, YOU have to prove to me that you deserve it and qualify to be in the tryout camp. To claim your jackpot, you must contact me via Skype no later Sunday, 5:00 p.m. Pacific Time.

 

In the mean time, watch the following short video clips:

 

 

http://www.spikedhumor.com/articles/24078/Any-Given-Sunday-Inches-Speech.html?rh=116196

 

ENJOY!

 

ztrader

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