Futures contract best stock trading strategy

You decide to deposit the required initial margin of 2,000 and buy one July crude oil futures contract. Further assume that by April the July crude oil futures price has risen to 16 a barrel and you decide to take your profit by selling. Here are briefdescriptions and illustrations of the most basic strategies. Buying (Going Long) to Profit from an Expected Price Increase, someone expecting the price of a particular commodity to increase over a given period of time can seek to profit by buying futures contracts. Selling (Going Short) to Profit from an Expected Price Decrease The only way going short to profit from an expected price decrease differs from going long to profit from an expected price increase is the sequence of the trades. The gain per unit will be the amount by which the purchase price is below the earlier selling price. Margin requirements for selling a futures contract are the same as for buying a futures contract, and daily profits or losses are credited or debited to the account in the same way. Describes basic futures trading strategies. Stock Futures; Emini S. To increase over a given period of time can seek to profit by buying futures contracts.
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