01 December 2011

Traded Markets : Narrowing Focus

  • Have spent last month getting to understand fully the Saxo system. There is much to be impressed about (vis-vie PATS and Reuters Eikon combo). But due to some system limitations, I have decided to reduce my traded markets to the following, in futures only. (Even for FX, I prefer doing futures due to tidy funding).
  • Metals (2) : Gold, Copper
  • Grains (3) : Corn, Soybean and Wheat
  • Currencies (6) : AUD, CAD, CHF, EUR, GBP and JPY
  • Equity Indices (1) : S&P500
  • Rates (2) : EuroDollars and US 10 year Notes
  • Notice these are all traded on Globex (free live feeds) and priced in USD. 1 Exchange, 1 accounting currency.
  • Basically I do not like the way SaxoTrader manages multi-currency margins, hence will restrict myself to trading products with P&L in USD only.
  • Will also make USD/SGD cash hedges infrequently to manage final relevant SGD P&L.
  • Do not think I am giving up too much with this reduced set. These days the entire market is one giant Risk On/Off play anyway.

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