Before trading real money in the live market, it is important to understand the ins and outs of how to buy futures contracts. In this blog, we will take a look at five keys to competent buying in the marketplace.
Since the days of the ticker tape, traders have had a thirst for fast information and unfettered market access. With the advent of internet connectivity and software trading platforms, the modern marketplace now delivers an abundance of both to participants. Thanks to advanced technology, it’s never been a better time to be a trader.
Futures products come in all shapes and sizes, facing a broad spectrum of asset classes. However, no matter which futures contract you’re interested in―whether it’s crude oil or corn―it exists as a standardized, exchange-traded financial instrument.
In the contemporary marketplace, technical analysis is king. The study of price action itself is the backbone of many trading strategies and the go-to methodology for many active traders. Because of the widespread popularity of technical analysis, futures trading charts have become an essential part of everyday trading.
Before mastering any discipline, everyone must first grasp the basics. Futures trading is no different. Gaining an understanding of terminology, order types, and platform functionality is required before you enter the market.
One of the premier destinations for systems traders is the collection of E-mini futures contracts offered by the Chicago Mercantile Exchange (CME). Featuring products based on the leading equities indices, metals, currencies, and energies, the E-minis offer countless opportunities.
Once reserved only for institutional traders, spreads are gaining popularity among retail participants around the globe. Reduced margin requirements, limited risk exposure, and diverse strategic alternatives have made spreads an ideal destination for legions of active futures traders.
For about 20 years, software platforms have served as avenues to the marketplace for futures traders. Today, no matter if you’re dealing in commodities, equities, bonds, or currencies, you conduct your business mostly online.
One of the great things about being a modern futures and options trader is the ability to get an education on your own terms. No longer do you have to sign up for expensive seminars or spend four years earning a BS degree in financial management. A vast trading curriculum is available free of charge,… Read more.
When it comes to being successful in live market futures trading, there are several non-negotiable principles that are best respected. If you have a purpose, fully understand risk, and can trade efficiently, then a long career in the markets is possible. Should any of these elements be lacking, a blown-out brokerage account may be closer… Read more.