Trading Futures
Trading Futures Like The Turtles
There are many types of financial instruments that traders and investors trade. Futures is one of them just like stocks and bonds. A stock gives you ownership of one part of a company. If you own 10,000 stocks of a company, you own 10,000 parts of that company. On the other hand a bond is an IOU that governments and companies issue to finance their operations.
A futures contract is a legally binding contract between two parties with a set of conditions for the delivery of the underlying asset such as a commodity or a financial instrument at some specific date in the near future.
Futures market is a very important financial market that sets the prices in the retail and wholesale markets of commodities like wheat, corn,heating oil, oil, gasoline, gold, silver, cattle, soybeans, meat, hogs, coffee and many other foodstuff. Futures market was primarily developed for helping farmers hedge their risk while growing agricultural commodities. Agricultural commodities are a very important part of the futures market. Over the decades, futures contracts become popular on a host of other commodities and contracts.
Now, futures contracts are by design time bound and expire at a fixed date. These contracts get regulated through a central clearing hours so the risk of one party backing out of the contract is minimal. This limits the time and risk exposure experienced by hedgers and speculators.
In the last decades, electronic trading has become highly popular among the traders. This includes futures as well. So, now you can easily trade these contracts by opening an account with a FCM brokerage and deposit an amount to start trading these contracts on margin. The minimum amount with most of the brokers is something like $5,000 but it can less too! Brokers allow leverage upto 10:1 when you trade on margin. Compare this to the leverage of 2:1 allowed by stock brokers.
In US, open outcry trading still takes place during the official hours at the different futures exchanges. However, most of these futures contracts also get traded electronically. GLOBEX allows electronic trading of most of these futures contracts 23 hours each day. Electronic trading provides a more level playing field, more price transparency and lower transaction costs.
The most popular futures contract that get traded on GLOBEX are S&P 500 stock index futures, NASDAQ 100 futures, Eurodollars, CME E-mini futures, foreign exchange rates, gold futures and crude oil futures. You can also trade options on GLOBEX.
Now, GLOBEX trading continues during the night after the official close of CME, CBOT and NYMEX at 4:15 PM EST. However, overnight trading can be thin and highly volatile as compared to the official hours. You can find GLOBEX quotes on CNBC and Bloomberg!
These quotes are real time. Futures trading can be highly profitable but risky as well. Before you dabble in them, you should paper trade these contracts for at least a month just to get a feel of how to do it. There are many contracts that you can trade and the possibilities of making money in futures trading are immense. Imagine the prices of crude oil going up again just like what happened in the summer of 2008!
About the Author
Mr. Ahmad Hassam has done Masters from Harvard. Know this shocking
Dow Futures
secret that can make you rich! Get this 49 page Quantum
Swing Trading
Report FREE!
|
|
(2) CRUDE OIL FUTURES TRADING SYSTEMS FOR TRADESTATION $1,899.00 |
|
|
(2) CRUDE OIL FUTURES TRADING INDICATORS FOR TRADESTATION INDICATOR $699.00 |
|
|
Right Line Trading Software and Mentorship Program – Futures-Forex-Stocks $349.00 |
|
|
►SuperADX Indicator Tradestation Metatrader MT4 FOREX STOCKS FUTURES Trading ► $199.00 |
|
|
NINJA AUTOTRADER FOR TRADING EMINIS FUTURES. SEE BELOW!!! $150.00 |
|
|
VERY GOOD INDICATOR FOR FOREX, STOCKS, FUTURES TRADING $99.95 |
|
|
Revolutionary Technologies in FUTURES DAY-TRADING $99.95 |
|
|
Forex Futures Mega Trend- Exact Entry Signal- Swing Trading- Day Trading System $49.00 |
|
|
MOORE RESEARCH Commodity Futures Seasonal Trading Books on CD Corn Cattle Hogs $40.00 |
|
|
►SuperADX Indicator Tradestation Metatrader MT4 FOREX STOCKS FUTURES Trading ► $16.50 |
|
|
Professional Trading System Forex Futures Stocks ETFs $10.00 |
|
|
Professional Trading System Forex Futures Stocks ETFs $10.00 |
|
|
Professional Trading System Forex Futures Stocks ETFs $10.00 |
|
|
Big Mouth Toys Kool Koozie, The Red Cup $7.76 The Red Cup Koozie is the next generation for the classic drinking red cup! Keep your bottles and cans cold enough to enjoy without chilling your hands thanks to this insulated red cup. Stop juggling your frozen drinks from hand to hand. Choose a wall and chill out with the ultimate party cup! Koozie cups are taking over college campuses around the world! Product dimensions: 4.75 inches tall x … |
|
|
The Candy Wizard – Automatic Candy Dispenser $15.00 Having The Candy Wizard around will guarantee all snack lovers will be satisfied! Ordinary snacking becomes a ton more fun when you’ve got the Candy Wizard by your side, a mini snack dispenser with a motion-activated sensor that lights up when dispensing treats. Fill the wizard with your favorite snack, be it gumballs, unsalted peanuts, or jelly beans, and choose your portion size with a dial at … |
|
|
Trading Centre Photo Mugs Intercontinental Trading Port Where Aircraft Land To Unload And Load Their Cargoes Of Merchandise …. |
|
|
Cirque du Soleil – Quidam $4.98 CIRQUE DU SOLEIL TAKES ONE OF ITS MOST POPULAR SHOWS, QUIDAM, OUT FROM UNDER THE BIG TOP AND BRINGS IT INTO THE HOME TO ENJOY FOREVER. FEATURING SOME OF THE MOST AWE-INSPIRING ACROBATICSEVER SEEN, QUIDAM IS AN UNFORGETTABLE EXPERIENCE, WHETHER YOU’RESEEING IT FOR THE FIRST TIME OR RELIVING THE WONDER AND MAGIC…. |
|
|
Bad Boys – Special Edition $2.23 Miami cops Marcus Burnett, a family man and Mike Lowry, a ladies’ man are given 72 hours to regain drugs stolen from their police station; matters are complicated when they have to pretend to be each other.Genre: Feature Film-Action/AdventureRating: RRelease Date: 27-MAY-2003Media Type: DVD… |
|
|
Awake $9.72 No Description AvailableNo Track Information AvailableMedia Type: CDArtist: SECONDHAND SERENADETitle: AWAKEStreet Release Date: 02/06/2007… |
|
|
Flash Gordon [VHS] $4.00 When the totalitarian planet of Mongo decides on a whim to obliterate Earth, it’s up to the lunk-headed quarterback Flash Gordon and his oddball companions to make the universe safe for democracy. Based on the classic (and infinitely more reputable) comic strip and its ’30s screen serialization, this cotton-candy-colored trash classic deserves immortality for Queen’s unforgettably pulsating soundt… |
|
|
Merry Widow [VHS] $14.98 Ernst Lubitsch’s last musical teamed him with his two favorite performers, Maurice Chevalier and Jeanette MacDonald. It proved to be his last picture with either of the stars. Working with screenwriter Samson Raphaelson, he transformed the operetta that Erich von Stroheim had made in 1925 as a lavish silent melodrama into a frothy farce with wit, understatement, and a modicum of sexual innuendo. C… |
|
|
Sister Act 2 [VHS] $2.65 Whoopi Goldberg returns in a gratuitous, poorly written sequel that contrives a reason to get her character back into Maggie Smith’s convent. The “socially conscious” plot finds Goldberg being asked to relate to a bunch of street kids and pull them together into a choir. Since a bad guy is needed, the script grabs that old chestnut about a rich guy (James Coburn) preparing to close down the conven… |
|
|
Perfect Solutions Touch Activated Key Hole Light $2.89 The Touch Activated Key Hole Light brings you out of the dark and into the easy way to guide your keys during nighttime, through dark hallways, and covered entrances! The Keyhole Light’s unique touch activated design is specifically made for 21st century living. Don’t struggle in the dark any longer fumbling with your keys. Place the keyhole light on top of doorways outside and inside to help guid… |
|
|
The Definitive Guide to Futures Trading $64.32 This earth-shattering new book reveals William`s most private trading thoughts, methods and strategies. Including the very same research that led to his winning last year`s World Cup Championship of Futures Trading, by turning his $10,000 account into $1,147,607! Includes his accumulation/distribution method, price pattern research, market forecasting methods. Plus 6 profitable Stock Index Future trading methods. An absolute must-read! |
|
|
Trading in Options on Futures by Colhurn, James T. Edition , 1 $13.49 Trading in Options on Futures. Colhurn, James T. |
|
|
Starting Out in Futures Trading by Powers, Mark J. Edition , 5 $13.99 Starting Out in Futures Trading. Powers, Mark J. |
|
|
Trading Futures For Dummies $33.77 Offers novice investors a guide to the latest strategies and techniques for building a portfolio through helpful information on index futures, commodities, discount brokerage companies, and more. Original. |
|
|
Futures 101 $34.64 Gives a basic overview of commodities trading, explaining why futures contracts exist, the difference between market price and contract price, and how contracts are prices, as well as defining terms such as longs, shorts, ticks, and limits. |
|
|
100 Million Dollars in Profits: An Anatomy of a Market Killing and a Realistic Trading Plan $2.24 Used – Kicks off with an exciting blow-by-blow account of one of the biggest killings in market history. A staggering profit made by a man who had never before traded a single futures contract! Kelly Angle has developed a trading plan based on the techniques used to make that killing — and his own observations of the market. This plan is the basis of his #1 ranked futures newsletter — which achieved average annual returns of up to 350% consistently. His complete usable trading plan is presente |
|
|
100 Million Dollars in Profits: An Anatomy of a Market Killing and a Realistic Trading Plan $19.25 New – Starting with an account of how one of the biggest killings in market history was made, Kelly Angle describes a trading plan based on his experience and observations of the market. This plan, which once averaged 350per cent profit per year, was the basis of his highly-regarded futures newsletter. |
