ea futures way more liquid when stock market open than not
-
-
Replying to @mpp75214 @FREAK0NAUT and
Even when the market is open, all the price discovery happens in futures. SPY is a sideshow. Don’t get me started on the constituents.
1 reply 0 retweets 0 likes -
Replying to @macrocephalopod @FREAK0NAUT and
when market is open there is no difference between spy and futures... you can’t be saying that all the price discovery happens overnight!
1 reply 0 retweets 0 likes -
Replying to @mpp75214 @FREAK0NAUT and
I’m saying the the futures lead the etf intraday (at HFT timescales) because they are the more liquid market.
2 replies 0 retweets 0 likes -
Replying to @macrocephalopod @mpp75214 and
i had heard spy was more liquid that futures. (obviously.. i know nothing.)
2 replies 0 retweets 0 likes -
Replying to @FREAK0NAUT @mpp75214 and
It's not even close, futures do 10x the volume than spy on most days
2 replies 0 retweets 0 likes -
Replying to @macrocephalopod @FREAK0NAUT and
ok, but they reference the same underlying basket of stocks... that is the real volume, not whatever prints on some etf or futures contract. ivv has similar liquidity to spy (even though volume is way lower) b/c it can be created/redeemed for the same underlying names
1 reply 0 retweets 0 likes -
Replying to @mpp75214 @FREAK0NAUT and
Sure, they track. But where does price discovery happen? When there's a big news print, do market participants rush to trade stocks, and that causes futures to move? Absolutely not. They just pile into futures because that is way easier, and stocks follow.
1 reply 0 retweets 0 likes -
Replying to @macrocephalopod @mpp75214 and
People get hung up on the fact that futures are a derivative instrument and completely ignore the fact that the futures market is where almost all of the action is. The level of the index tracks futures, not the other way around.
1 reply 0 retweets 0 likes -
Replying to @macrocephalopod @mpp75214 and
it doesn't seem like a derivative to me, everything else is a derivative of /ES. /ES is the underlying.
2 replies 0 retweets 0 likes
At some point it's just semantics :)
-
-
Thanks. Twitter will use this to make your timeline better. UndoUndo
-
Loading seems to be taking a while.
Twitter may be over capacity or experiencing a momentary hiccup. Try again or visit Twitter Status for more information.