iCharts Discussions

[Rahulsharmaat]

I am trading it from last 2 years on below mentioned simple set up

;;;

Gold expires every 2 nd month
Gold mini every month

take trade 15 days before expiry of month--where Gold n gold mini both will expire..

For example Aug 12 --Gold n Gold mini both expired

So by 15th july-- see the rate of OCt gold-- and Sep mini

If difference is below 100--

short gold mini and buyt gold-- Book both when Diff is 160 plus

if difference is 170

buy gold mini and short gold -- Book both when diff comes below 100

in both case average your trade at every 30--35 point diff
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In july

I bought gold mini and shorted gold when diff was 160-- added more at 195---it came down to 125-- i have covered one lot-- again shorted at 170 plus

Today diff is below 130

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u will gain good where brokerage is low
and yes it needs huge margin also-- but tention less gains

[traderindian]

Hi Rahul,

Great spread trading strategy,, I was looking for a simple explanation for gold and gold mini pairs,,
Thanks for sharing !!

[Rahulsharmaat]

Gold pair traded at 170 diff-- covered at 122 Diff yesterday

===============================================

Now waiting for difference to be 95-- will
short gold mini and long long

will add more at 70-- and 50 Diff

will exit n book at 150 plus diff

[sivgates]

Hi Rahul,

Nice work

Keep Rocking

Regards
Sivgates

[sivgates]

Hi Rahul,

So, every month do we have chance to enter in our trade.

If 15 days before if the difference between gold and gold mini is not below 100 and not above 170.

Shall we wait for few more days to take trade?


or we need to wait for next expiry date.

Regards
Sivgates

[Rahulsharmaat]

Example:

August 4th-- gold and Gold mini expired

So any time in july--- watch Oct Gold and Sep gold mini

If diff is 160 plus--

Buy Gold mini and short gold-- add more at every 30--40 diff on higher side
sat at 195--225--265 so on

If Diff is below 100

Short Gold mini and buy gold--add more in 25-30 Diff--say as 70---40

and book when diff is 160 plus


when ever u get chance

=============================================

Now watch Oct gold and Sep gold mini

If u see diff at 160 plus-- Buy mini and short gols
If u see diff below 100-- short mini n buy gold

thats it ---

[sivgates]

Rahul,

Thanks for your explanation

Next on What date Gold and Gold Mini going to expire?

Regards
Sivgates

[Rahulsharmaat]

its 5th october

so any time now u can take position as explained -- diff last night was 122-- now 140--- if u see 160 n more -- start one-- next at 195

if diff below 100-- reverse it

[sivgates]

Rahul,

Keep tiz thread active..

Seeing first active forum for commodity after 2 months.

So, once u enter the trade please update in this forum.

Thanks

Sivgates

[Rahulsharmaat]

i have booked twice-- 70 and 48 points-- total 118 points booked
One position is opne-- will book when Diff is below 105--

and reverse position when its below 100---

[sivgates]

Rahul,

Any update in your gold trade?

Regards
Sivgates

[shekharinvest]

Nice low risk strategy.

Lead and Zinc is another good pair for spread trading. They have very nice correlation in their prices ( close to 80%) and maintains an even price differentials in a narrow range, spread gap is around Rs. 3.5 to 1, whenever one sees deviations a trade can be initiated either bull spread (i.e. buy lead sell zinc) or bear spread (sell lead buy zinc) same month contracts.

One can take entry as and when opportunity comes up.

SHEKHAR

[prst]

[Rahulsharmaat]

Diff in Gold now 115-- soon at 100-- i will cover

[Rahulsharmaat]

Gold diff came to 105--- didnt cover--

waiting for below 100


went to 120 plus-- again now 107