Difference Between Emini Strategy Trading and Emini Systems Trading

Difference Between Emini Strategy Trading and Emini Systems Trading

Emini strategy trading and emini systems trading are two different approaches to trading E-mini futures contracts. Here’s a breakdown of the key differences between the two:

Emini Strategy Trading:

• Emini strategy trading is discretionary rather than systematic.
• It relies on a methodology based on non-correlated indicators and involves trading in a disciplined and rule-based way, but without following specific coded signals for entries and exits 
• This approach involves interpreting price to predict future movements based on unique formations of candlesticks, bars, or other graphical price representations .
• It is based on identifying market conditions suitable for trading a particular strategy effectively.

Emini Systems Trading:

• Emini systems trading involves using automated trading systems or trading bots to execute trades based on specific coded signals for entries and exits 
• These systems typically rely on price, volume, and trade-by-trade data to work effectively 
• Emini systems trading can involve trend following strategies, where trades are entered in the direction of the current market trend, or mean reversion strategies, where trades are made against the current trend, looking for a pullback to a specific price level .

Which is Better?

The effectiveness of each approach depends on various factors, including the trader’s preferences, risk tolerance, and trading style. Here are some considerations:

• Emini Strategy Trading: This approach allows for more flexibility and discretion in decision-making, which may be appealing to traders who prefer a more hands-on approach to trading. It also relies on the trader’s ability to interpret market conditions and make informed decisions based on non-correlated indicators.

• Emini Systems Trading: Automated trading systems can remove emotional bias and execute trades based on predefined rules. This approach may be suitable for traders who prefer a more systematic and hands-off approach to trading.

Ultimately, the “better” approach depends on the individual trader’s goals, preferences, and level of comfort with discretionary decision-making versus automated systems.

The choice between emini strategy trading and emini systems trading depends on the trader’s personal preferences, risk tolerance, and trading style. Both approaches have their own advantages and drawbacks, and the “better” approach is subjective and varies from trader to trader.