Jump to content

Spread between the prices on IG and the underlying market when the underlying is open on the Aust 200 (XJO)


Recommended Posts

Can anyone explajn why there is a such a spread between the prices of the Aust 200 (XJO) and the underlying market when the underlying is open. Aren’t the two prices supposed to converge during the times when the underlying is trading? Today for example, there is a 20 point spread..

Link to comment
5 hours ago, WHLN17 said:

Can anyone explajn why there is a such a spread between the prices of the Aust 200 (XJO) and the underlying market when the underlying is open. Aren’t the two prices supposed to converge during the times when the underlying is trading? Today for example, there is a 20 point spread..

Are you talking about the spread between buy and sell price of each market (the spread) or the difference of price of each market. If the latter then that's interesting but can you actually use it for anything? Is one constantly lagging and the other leading that would allow you to get in front of price change?

I've often watched the IG Dax and Index side by side and there was no pattern to take advantage of, they would randomly orbit closely around each other with usually just a couple of points difference, occasionally up to 10 but only lasting a second or 2 and very rarely 20 points for a fraction of a second when there was a sudden surge in volatility.

Link to comment

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • General Statistics

    • Total Topics
      19,042
    • Total Posts
      85,807
    • Total Members
      68,241
    • Most Online
      7,522
      10/06/21 10:53

    Newest Member
    Sayasith98
    Joined 02/07/22 07:51
  • Posts

    • If we could get some news about negotations and a possible ceasefire in Ukraine then i would say this is the bottom https://edition.cnn.com/markets/fear-and-greed "That indicator previously fell to 0 in August 2002, July 2008, September 2011, September 2015, January 2016 and March 2020, observed Hartnett. When it has previously zeroed out, except in the case of a double-dip recession such as 2002 or in the event of systemic events, as in 2008 and 2011, three-month returns have been strong, as the table below shows." https://www.marketwatch.com/story/based-on-history-the-next-bull-market-is-just-months-away-and-could-take-the-s-p-500-to-6000-says-bofa-11655475414
    • The CME Bitcoin futures BTC main contract was at $19,370 late Friday (Chinese time) in New York, up 3.25% from Thursday's New York session, and trading in the $18,630-20,790 range during the session, down 8.87% for the week. the CME Ethereum futures DCR main contract was at $1065.50, up 5.08% from Thursday, and trading in the 1009.50-$1118.00 range, down 13.02% for the week.Maybe there is still a possibility of decline.
×
×
  • Create New...