Day Trading the Russell 2000
For many years the Russell 2k has been a favourite of active day traders. Its unique combination of volume volatility and liquidity make it a very desirable day trading market
The Russell 2000® Index is the recognized benchmark measuring the performance of the small-cap segment of the U.S. equity universe. The Russell 2000® Index is a subset of the Russell 3000® Index representing approximately 10% of the total market capitalization of that index. It includes 2000 of the smallest securities based on a combination of their market cap and current index membership. Mini Russell 2000® Index futures are available for trading on the ICE electronic trading platform for 22 hours a day.
Tick Size minimum price increment is .10 = $10
Although the TF trades 22 hours a day, the regular trading hours are generally agree to be the same as the other US based equity index products. 9:30 am to 4;15 pm EST
the TF futures contract is a highly tradable instrument In the past from inception to September 2008 it traded on CME exchange. Since September onward it is listed on the NYBOT (ICE) exchange and trades apart from other e-mini index futures listed on the CME. That in itself is actually a great benefit to this symbol, which didn’t seem likely at the time. Russell 2000 e-mini traders worried that the ER2 leaving its home base at CME in exchange for a different exchange would ruin the contract. It did result in lower volume traded, for a couple of reasons. Part of that was the usual uncertainty that any change in life creates. The other part was an absolute explosion of volatility = implosion of stock markets right when the migration from ER2/CME to TF/ICE occurred. Former ER2 players were dealt with dual variables of a new symbol/exchange inside extreme price movement through the entire marketplace.
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Category: Day Trading
