[FUTURES] ThinkorSwim Tutorial – Td Ameritrade, TOS, Futures Trading, Interest Rate Futures

[FUTURES] ThinkorSwim Tutorial – Td Ameritrade, TOS, Futures Trading, Interest Rate Futures


– What’s up, everybody? It’s Jonathan, active day trader. Today, we’re gonna be
talking about futures, specifically, setting up
futures in Thinkorswim. If you like this video, please subscribe, leave a comment, let me know. I’m happy to put up more videos like this, helping with the Thinkorswim platform. So in front of you, I just went to Charts. I’m looking at S&P futures. Now, you can see, I want
everything super clean. Been trading for 18 years,
the last thing I want is a lot of lines on my chart. If you like looking at things relative to other instruments, like I do, the way that I do that
is, click the beaker here, scroll down, Comparison, Add selected, and now, we can compare the S&Ps to the 10-Year Future Contract. OK, Apply, OK. And we look at it like that, where the S&P is gonna be this yellow, and the 10-Year is gonna be the pink. If we wanted to look at contracts that are more correlated, we could look at the 30-Year against the 10-Year. When I’m looking for
different futures to trade, I like to just go to this carrot, go to the Futures, and then it’s got all the drop down right here, you can see, anything you wanna do an analysis against. So if I wanna analyze the ZN Futures against, let’s say, the
VICs, it looks like that. But, you can probably see that these aren’t very correlated, right? In fact, they seem to have
a reverse correlation. What I like to do in that circumstance, again, go to your beaker. And if you’re looking at ZN, what about if you flip the ZN around? Just put a minus sign. That’s gonna invert it. So instead of looking at it
as being negative correlated, you might see it as being
positively correlated. You could really see that if I take out the 10-Year,
and I put in the S&P. So S&P against the VICs will have a negative correlation, but
if you invert one of them, it’ll have a positive correlation. I like to do this because
it really, really shows when correlations are breaking down. That’s one way of comparing things. The other way you can
compare two instruments, you can just go, ZN minus ZB, and create it as one line. What we do, when you’re
trading bond futures, if you’re gonna be trading the
10-Year against the 30-Year, the proper ratio is not one to one. The proper ratio is actually
gonna be three to one. The way that you do that, with a ratio, is just go, forward-slash,
ZN, times three, minus ZB. And whenever I’m doing this, I like to look at things from a line. I just personally think
it presents better. And what this is showing,
this is notes over bonds. Or, we call this the NOB. The 10-Year, times three, minus ZB. It’s the difference
between the 10-Year yield and the 30-Year yield,
and you can see over time, it’s getting lower and
lower, and lower, and lower. That’s also called flattening. What you’re witnessing
here is the difference between the 10-Year yield
and the 30-Year yield are getting closer, and
closer, and closer together. Quick little tutorial,
helping you trade futures, helping you look at relative value. If you haven’t yet taken
up your opportunity to try a free week of
active day trader service, in the description
below, I’ll leave a link. Click on the link, try our free week, no credit card required,
see if it works for you. Thanks, Jonathan, I’ll
see ya on the inside.

3 thoughts on “[FUTURES] ThinkorSwim Tutorial – Td Ameritrade, TOS, Futures Trading, Interest Rate Futures

  1. the problem with micro futures is that they charge you the same rate than mini futures. let`s say you have TD Ameritrade and play 3 micros (/MES) that cost you $14.82 for the round trip! ($4,95 per one micro round trip)… …although if you buy one mini (/ES) cost you the same $4,95 per round trip … So the problem with mini is the commissions and fees… I was exited at the beginning with Micro Futures, until I find out this huge pricing structure. it is like paying the same to get much less… 10 times less. TD Ameritrade should check their rates, as other brokers offer Micros for less than a dollar per side

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