Investment

A tick is the smallest price movement in all futures contracts. The exchange determines tick sizes, which vary by contract instrument. The NYMEX WTI Crude Oil contract has a tick size of 1 cent and a contract size of 1,000 barrels. As a result, a one tick move is worth $10. In futures, what is […]

Futures Understanding What exactly are stock futures? Futures are a sort of derivative contract in which the buyer and seller agree to buy or sell a specified commodity asset or security at a predetermined price at a future date. Futures contracts, or simply “futures,” are traded on futures exchanges such as the CME Group and

Futures are a sort of derivative contract in which the buyer and seller agree to buy or sell a specified commodity asset or security at a predetermined price at a future date. Futures contracts, or simply “futures,” are traded on futures exchanges such as the CME Group and require a futures-approved brokerage account. A futures

A futures spread is an arbitrage strategy in which a trader takes two positions on the same commodity to profit from a price difference. The trader completes a unit trade with both a long and short position in a futures spread. Is there a spread on futures contracts? Futures Spreads: An Overview Spreading, a transaction

Dow futures are financial futures that allow investors to hedge or speculate on the future value of various Dow Jones Industrial Average market index components. E-mini Dow Futures are futures instruments generated from the Dow Jones Industrial Average. Can futures prices be predicted? Most people who follow the financial markets are aware that events in

We can look at some particular examples of how we make money (or occasionally lose money) on our trades now that we understand margin and know that we can trade long or short with equal ease. These are extremely basic examples in terms of execution and trade management, but they should give you a solid

Each day, at 7:20 a.m. Central Time (8:20 a.m. Eastern Time), Dow Futures begin trading on the Chicago Board of Trade (CBOT), one hour and ten minutes before the stock market opens. When do the futures markets start trading? While the stock market in the United States begins at 9:30 a.m. EST and closes at

You’ll need a margin-approved brokerage account with access to options and futures trading to trade options. The CME (CME) and the Chicago Board Options Exchange (CBOE), where options and futures are traded, provide quotes for options on futures. Quotes are also available through options brokers’ trading platforms. What is the best way to invest in

Futures contracts, in other words, have a finite lifespan and will expire according to their corresponding calendar cycle. Our BTC 0925, for example, is a quarterly futures contract that will expire three months after it is issued. Can you keep futures for a long time? Traders will roll over futures contracts that are about to

Stock index futures, such as the S&P 500 E-mini Futures (ES), reflect expectations for a stock index’s price at a later date, based on dividends and interest rates. Index futures are two-party agreements that are considered a zero-sum game because when one party wins, the other loses, and there is no net wealth transfer. While