1. Relative Value Trade
Long 2x Copper Mini & Short 5x Silver Micra

2. Big Picture

3. • Silver Micra has below average volatility
thereby making the condition of the market a
“quiet downtrend”
• Copper Mini has below average volatility
thereby making the condition of the market a
“quiet sideways”

4. Intraday Fundamentals
• Copper prices have been well-supported in
recent weeks amid indications the U.S.
economy
• Speculation demand from top consumer China
will increase in the near-term for Copper.
• Data released earlier showed that the U.S.
economy contracted for the first time since
2011 in the first three months of the year.

5. Technical Analysis

6. • The Ratio spread plotted between Copper
mini & Silver micra suggests we should
establish long ratio spread positions or none
at all.
• Long ratio spread is a relative trade where we
speculate that copper mini futures will
perform relatively stronger to silver micra
futures

7. Trade Management

8. • I bid for copper mini at 411.25 and made an offer
for silver micra at average 40050, thereby
completing both the legs of the inter market
spread trade or relative value trade or long ratio
spread trade
• I hit the offered copper at 412.45 and bid silver
micra at average 40050
• Based on the prices 2xCopper mini & 5xSilver
micra is 1 unit for having net exposure as close to
0 (approx-5.5k exposure per unit) as possible

9. Intuition
• NO

10. Review
• I did a good job waiting patiently for the trade
• I exited the trade early to make early cash flow to close
the day net positive as the connection server of my
broker is undergoing maintenance thereby causing
multiple outages to my trading platform so I decided it
was safer taking home the ca$h rather than risk
another outage of my trading platform.
• I need to develop a way to monitor the spread in a
dynamic way rather than my current static ratios.
• I CAN IMPROVE EVERYDAY