Real World  |  NOV 2005

The Development Of A Futures Trader by Thomas Drinka, Nathan Losey, and Ryan Lauer

Stocks & Commodities V. 23:11 (34-38): The Development Of A Futures Trader by Thomas Drinka, Nathan Losey, and Ryan Lauer Here’s a look at the trading methodology implemented by two futures traders. By using Market Profile, they successfully traded the e-mini. In my opinion, the teaching of off-floor futures trading is a relevant part of academic curricula. In fact, at Western Illinois University there are six agricultural economics (AE) courses related to the use of futures and options for hedging and speculation. In one of the advanced AE courses, students learn about the traditional Market Profile theory devised by J. Peter Steidlmayer and the Chicago Board of Trade (CBOT) in the early 1980s. This course is concerned with simulated, real-time trading utilizing Market Profile. Students have access to six CQG terminals that disseminate real-time data from the CBOT, Chicago Mercantile Exchange (CME), Euronext.liffe, and the Singapore Exchange. There, they conduct simulated real-time trades. While in these courses, two of my former students configured laptop computers in order to trade electronic markets. This article reviews their trading methodology and the first-year trading performance for one of them.

by Thomas Drinka, Nathan Losey, and Ryan Lauer