A futures contract is an agreement to buy or sell a stock or index at a fixed price on a future date. While, Options give you a right, but not an obligation, to buy or sell at a fixed price.
In futures trading, success can bring you significant profits, but mistakes can be costly. Different types of futures contracts have distinctive features, though they are always an agreement to buy or ...
Despite its relatively short history, the energy futures contract has become an essential part of the modern financial system, thanks to its efficiency in controlling volatility in the price of ...
Take a look at some basic examples of hedging in the futures market, as well as the return prospects and risks.
Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...
Options on futures are a kind of contract that gives an investor the right to buy or sell futures at a specific price in a specific period. Options on futures, therefore, layer the "optionality" of ...
While most people can open a trading account and trade oil futures, starting to trade can be a daunting experience. In the U.S., there are restrictions as to who can open a futures trading account.
The "spot price" is the current price of an asset with payment being immediate and the buyer taking delivery immediately or within a few days. Spot price is determined by supply and demand and most ...
There are a lot of unknowns in investing. For example, you don’t know what the price of a stock will be tomorrow. If you did, investing would be a risk-free endeavor! Instead, it’s all investors can ...
The total number of active drilling rigs for oil and gas in the United States rose by 2 this week,… Oil futures are financial contracts that allow participants to buy or sell a specific quantity of ...