Long Eurostoxx & Short Bund

Bund_3 ticks_30062016




Hi all, This morning i was looking to short the German Bund (FGBL) but somehow it was difficult to read it. There’s really no absorption at the moment, and it seems to be played very technically with stop orders executing over the highs and under the lows.

I decided to play the Eurostoxx/FESX where i got long @ 2799 in the middle of an heavy absorption area. I did ride it up to 2815 as i saw a liquidation point.
Wish i had insider info and Level 3 depth so i could have been with it to around the 3030’s. But hindsight is not what builds a market :0).

I decided to short the Bund a bit later from 166.61 with a target around 166.53 – 166.52 but the OrderFlow was so damn slow. I excited @ 166.58 as it could easily snap back against me. Still 3 ticks in the bank.

I always have a hard stop on my trades which is not about account size in %, or max tick-drawdown. It’s about damage control, if shit happens. I will always kill the trade, if orderflow changes dramatically against me.

There’s a lot of context behind these trades, and the reason i wanted to short the Bund and Buy the Eurostoxx will be explained later. Hopefully i will have some time to
start up in the weekend.

Best of trading to all of you

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