who is trading Japan?

Discussion in 'Technical Analysis' started by man, Jan 9, 2003.

  1. def

    def Sponsor

    I also never heard of the one round trip rule. Perhaps this is a retail restriction.
    #11     Jan 10, 2003
  2. man


    "1. Shorting is complicated in Japan. Short sales need to be flagged and you can not send in an order equal to or lower than the last traded price. If your order is already at the exchange, you can be filled at the last price."

    is IB offering Japan? if not, who are you trading with?

    What does it exactly mean that short sales need to be flagged?
    It would be fine for me just to use market orders.

    thanks for your post
    #12     Jan 10, 2003
  3. def

    def Sponsor

    we trade japan on our prop side and plan to offer futures in the near term. we may offer stocks but not at first. All electronic software would take care of the short flagging but it is a big issue as a number of large firms were sanctioned for not properly flagging shorts. The exchange also changed the rules about a year ago.
    #13     Jan 10, 2003
  4. Before you spend considerable time working on strategies related to trading in the land of the rising sun, be sure to find out what rules apply to trading in Japan. Kinda reminds me of the barn where a pair of 2's beats all - House Rules.
    I don't know about futures, but I'm under the impression that you can't day trade equities here. There is a required holding time of more than 1 day.
    Best of luck.
    #14     Jan 10, 2003
  5. man


    agreed. I would not spend unreasonable time without having done the homework. The only thing I am doing on the strategy side is to run our models with Japanese data. That's it in the first place.

    #15     Jan 10, 2003
  6. zuro

    zuro Guest

    Yes there is the uptick rule and you need to flag when you get short sales, but it is only apply to institutional investors. I mean individual investors or traders, individual traders can place an order for short sales whenever you like and even if the price you place is lower than the last traded price just like the e-minis trading so far. But I do not know in the future because the Japanese government always change its rule suddenly and most of them do not cause good result for the market.

    Yes I know many brokers because I used to trade Japanese stocks for five years. For example the E-trade Japan, if you get a margin account there the commission is 550 Yen (about $4.65 in the current rate) per side no matter how many shares you trade. But as I have mentioned you must have an address in Japan in order to open an account there. In fact stock market including all other financial market in Japan do not open its market for foreigners well, it is the governments policy as well. I can understand you feel strange about the one round trip per day rule but it also is a fact there and it is one of the reason for my shifting to the US market. Aa the result of the stupid rule investors and traders now be reducing in Japanese market.
    #16     Jan 10, 2003
  7. man


    thanks. amazing.
    #17     Jan 10, 2003