It is true that quite a reasonable number of people have gained trading benefits from trading in futures market. Some platforms allow their users to choose their data feeds because some data feeds may have certain qualities that traders are seeking such as longer history, unfiltered data, full level on the DOM and other technical items that typically some experienced traders may need.
The clearing members shall be responsible for performing settlement with the non-clearing members, collecting and supplementing security money, and bearing the liabilities for breach of contract on the non-clearing members' account with the clearing security money, risk reserve and their own fund, and adopting other related measures.
This true-ing up occurs by the "loss" party providing additional collateral; so if the buyer of the contract incurs a drop in value, the shortfall or variation margin would typically be shored up by the investor wiring or depositing additional cash in the brokerage account.
For instance, if you are long a futures contract, you are exposed to the risk of the overall market turning bearish due to an economic crisis no matter how stable you think the asset and industry is. Systemic emini futures trading risk is one risk that cannot be overcome by diversification and is the market risk that all futures traders will be exposed to unless market neutral futures strategy such as futures arbitrage is used.
There is a possibility that you may sustain a loss equal to or greater than your entire investment regardless of which asset class you trade (equities, options or futures); therefore, you should not invest or risk money that you cannot afford to lose.
The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes.
Securities, investment advisory, commodity futures, options on futures and other non-deposit investment products and services are not insured by the FDIC, are not deposits or obligations of, or guaranteed by, ETRADE Bank or ETRADE Savings Bank, and are subject to investment risk, including possible loss of the principal amount invested.
Farmers, ranchers and other food growers along with food producers, petroleum companies who either drill for oil or natural gas or refine these products - or both, financial institutions with enormous holdings in treasuries, equities or currencies, mining interests and their buyers - all these areas of production and distribution employ futures trading spreads from time to time as an important aspect of their businesses.
Third, in 1982 the Commodity Futures Trading Commission approved cash settlement - delivery that takes the form of a cash balance - on financial index and Eurodollar futures, whose underlying assets are not deliverable, as well as on several non-financial contracts including lean hog, feeder cattle and weather (Carlton 1984, 253).
Blog Search
Blog Archive
- February 2021 (50)
- January 2021 (48)
- December 2020 (47)
- November 2020 (46)
- October 2020 (40)
- September 2020 (51)
- August 2020 (49)
- July 2020 (61)
- June 2020 (66)
- May 2020 (70)
- April 2020 (70)
- March 2020 (77)
- February 2020 (84)
- January 2020 (80)
- December 2019 (74)
- November 2019 (77)
- October 2019 (76)
- September 2019 (62)
- August 2019 (75)
- July 2019 (82)
- June 2019 (63)
- May 2019 (75)
- April 2019 (62)
- March 2019 (52)
- February 2019 (40)
- January 2019 (41)
- December 2018 (39)
Comments
There are currently no blog comments.