As Emini traders, we all know what Emini trading is. Aside from that, we all know who Albert Einstein is and what his accomplishments were. But you must be wondering how Emini day trading has anything to do with Albert; especially because has passed away long before Emini trading came into existence. On the contrary, Albert Einstein really did contribute to Emini trading in ways that most of us are unaware of.
There is hardly anyone on this planet who hasn’t heard of Albert Einstein. Born in 1879, Albert Einstein came from a small town in Germany – Ulm. Albert was a theoretical physicist; at least, that was what he was basically known for. Whenever there is any kind of a problem, whether a minor one or a major one, we usually hear people asking the question “what would Albert Einstein have done?” even if the problem is not related to science in anyway. Thus, could it be possible for Einstein to contribute an insight on trading Emini futures, such as S&P 500 futures index?
S&P 500 futures contract first came into existence in 1982, as a full sized contract for the financial market and in 1997, its Emini version came into existence. In both case, Einstein had passed away quite a number of decades ago. Therefore, it seems to be rather oblivious to say that Einstein would’ve had anything to do with trading Emini’s and the market overall. However, this is not the truth entirely. In fact, it is pretty much wrong to assume because even though Einstein was known to be a physicist, people knew him as a very wise personality. His deep and meaningful statements about every other thing outside the walls of science confirm that quite well. In addition to that, some of his wise statements and proclamations can be seen in the Emini trading world. Are you wondering how come?
Let’s begin by using two of Einstein’s famous quotes to prove this assertion:
1. “I want to know God’s thoughts… the rest are details.”
When trading systems are being designed on the Emini market or other markets, you will wonder exactly what makes them successful and constantly ticking, what makes their dynamics and determines their patterns? In other terms, you will be curious about the ins and outs of the entire market. Knowing these ins and outs is almost like being the god of science, in which you will be the governing authority, toying the market however you want. As the Mr. Market, you will want to design your own system in a way to be able to bring about more profitable and robust ideas.
2. “Things should be made as simple as possible, but not any simpler.”
This quote perfectly applies to the designing of Emini trading systems. There are various simple trading systems in the market, like the one that is based on breakout trades within the range of the opening hour, which for inexplicable reasons, retail in the market for $1,000. Even though this is a very simple system, it can end up being an excruciating experience. It makes more sense to use these types of systems for learning purposes. Employing them in trading is not advisable. Good and stable Emini systems must utilize filters that will limit conditions that are not likely to bring profitable conditions. Extremely easy systems usually don’t have these filters.
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