Monday, March 2nd, 2015

Futures Trading – New Practice of Trading

The Contracts Are Dealt on future exchange. Are Underlying commodities sold in future at a fixed price. The trend of futures trade is Gaining popularities day by day. However, this trend of trading Usually eat under fire by the Critics. They Believe That this practice of dealing interference with the normal cause and effect of supply and demand. However, in this competitive market economy, Many buyers and sellers Openly Are Engaged in trading. Futures trading is of two types: commodity futures contract and Financial Futures contract. Commodity futures contract deals with physical commodities like rice, sugar, wheat, oil, natural gas, gold silver, diamond, etc. Financial futures contract paper is about investment. It deals with treasury notes, mutual fund, bond, etc. So, Should people invest in right Which dog liquidate contract to Give maximum revenue. Large numbers of people invest in Both the Contracts. However, financial futures contract Are considers more risky as Compared to That of commodity future contract. Trader Should go long and when to liquidate the contract revenue is the chance of max. ‘Going Long’ Means Buying a contract. When a contract is sold, it is Called as ‘going short’. “Going long” is more Than Conventional going short. Those Who Are Involved in Futures Trading Is Called as future traders. They are in two groups: hedgers and speculators. Are seller of the hedgers in the market Economic selling Who are seeing the sell Underlying Risk assets due to price change. Futures trading is Highly leveraged. The Risk of loss exists in futures trading. Past performance not is indicative of future results. The Trading Platforms Also Provide REAL-TIME quotes on all the Traded Markets.

About Author John kumar Steve is author of this article and writes articles on topics like business, etc. for further information about trading Futures and Futures Trading Systems please visit the site.

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