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Option trading is the buying and selling the right and responsibility to purchase a commodity at a set price - this is called an 'Option' to buy or to sell. The commodities in question can be anything - foodstuffs, minerals, or even other investments or currencies. Many people involved in options trading are not actually interested in purchasing or selling the commodity. Instead, they plan to sell their 'option' to someone else - either someone who does want the commodity, or someone who has a complementary option, which can be used to 'close', or finish, the 'option'.
What else can I help you with?
What are the FX option when trading currencies?
When trading in Foreign Exchange, large sums of money can be sold in one currency at an agreed price and time. A different currency can then be bought at an agreed price. Most trading is over the counter but some is through exchanges such as the International Securities Exchange.
How were trading cities able to develop into Kingdom?
The rulers of some trading cities in West Africa became wealthy by collecting taxes from the goods that were bought and sold.
What are the features of Commodity Future Option Trading?
All futures are bought and sold on margin. Profit and loses are magnified. The risk of leverage puts you at a risk of losing substantially more than you put in.
What are exchange traded funds and how do they work?
Exchange traded funds are funds that can be bought and sold throughout the trading day and they can also be bought or sold on short margin. They can do everything a regular stock can do.
Can iron ore be bought and sold?
No they have not come out with a trading or money system in minecraft yet, keep dreaming...
Which city holds an annual insect trading day when insects are bought and sold?
which city holds an annual insect trading day when insect are bought and soldfrankfurt
What do you do when you get to the trading post on Skullduggery Island?
On each of the five trading islands, there is a buyer and seller of cargoes. You can sell any of the four cargoes that you may have salvaged, or that you bought elsewhere. The plan of profitable trading is to buy the cargoes where they are cheap, then sell them where they are more expensive. Prices are different on each island.There is a clockwise circular trading pattern to keep in mind :Silk is always bought cheaply at Dragon Cove and sold for much more at Bouffant Bay.Medicine is always bought cheaply at Bouffant Bay and sold for much more at Parrot Port or Golden Harbor.Grain is always bought cheaply at Golden Harbor and sold for much more at the Pirate Outpost.Spice is always bought cheaply at the Pirate Outpost and sold for much more at Dragon Cove.Of course, you may sell any cargo, or salvage, anywhere, at any posted price.
Where are banker's receipt traded?
Banker's receipts are a type of trading material used in financial markets. They are typically bought and sold by bill dealers.
How do you trade etf?
No different to any other stack trading on the stock market. That's the who advantage of ETF's. They trade like a standard stock and can be bought or sold at any time during the trading day.
What are commodity trading charts used for?
Commodity trading charts are used for raw or primary products are being exchanged. These raw commodities are traded on regulated commodities exchanges, in which they are bought and sold in standardized contracts.
What is the purpose of a movie trading company?
The Movie Trading Company was originally a US store chain that bought, sold and traded VHS and DVD movies as well as games. It was bought by Blockbuster Video in 2002. The purpose of a generic movie trading company, however, would be to distribute, for profit, movies that have gone to video, whether new or second hand, and possibly also trade in games.
How did they corner the market in Trading Places?
They short sold at the highest price. (They sold stock they didnt own). Then they bought at the low price. All they had to do was buy as much as they short sold. The difference between the buying and selling price x the amount of trades they did was the profit they made.
