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Commodities options have a lot of advantages compared to the stock options like having a lower margin requirement, attractive premiums, diversification and fundamental bias. These advantages are based on experience with commodity trader.

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12y ago

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How does commodity options trading work?

Commodity options trading are virtual transactions of purchasing and sales using raw or primary commodities. Examples of Primary commodities are oil, gold. Examples of raw commodities are cocoa and fruit.


What is the difference between on-line stock trading and day trading?

Online stock trading refers to trading the stock market exclusively, placing orders through your computer.Day trading refers to the amount of time you hold a position in the market and simply means that you enter and exit the position between the open and close of that market on the same day.Day trading is normally online, but doesn't have to be - you can do day trading by placing orders over the phone with your broker.Day trading also is not limited to stocks - you can day trade futures, options, commodities and Forex markets as well.


Where can one find software for commodities trading?

Software for commodities trading can be found at a stock trading website. eTrade has software available for download. Most of the software found online for commodities trading is not free.


What is the difference between the strike price and exercise price in options trading?

The strike price and exercise price in options trading are the same thing. They refer to the price at which the option holder can buy or sell the underlying asset.


Which of these agencies regulates commodity exchanges and trading in agricultural metal and other commodities?

commodities futures trading commission


What are some of the best trading software available?

You can Get your own Algorithmic trading software system for Forex, Stocks, Commodities, Options etc from expert and specialized for trading software developers in India


What is the difference between buying to close and buying to open in options trading?

Buying to close in options trading refers to purchasing an options contract that you previously sold, effectively closing out your position. Buying to open, on the other hand, involves initiating a new options position by purchasing a contract.


Five countries who's economy depend on trading of commodities?

five countries who's economy depends on trading of commodities


What is equity trading and commodities trading?

Equity means shareholder ownership of the company. Equity is simply another partner of the company who can look over all the sectors of the company. He is a decision maker. Commodities mean products that are bought and sold. Commodities trading products are the main things. in Equity trading, you have the percentage of profit.


Where could one find commodities trading online?

ETrade and TD Ameritrade are very common and regularly used sites for commodity trading online. There are many other options but it's better to go with a known company than a site one is unfamiliar with.


What is the difference between call and put options?

From your question it appears that you need some basic education on this topic. You can get a primer on puts and calls at http://www.safe-options-trading-income.com/


What is a commodity trading account for?

A commodity trading account is needed to trade commodities. One can use a commodity brokerage also, which would assist in the trading or purchasing of commodities.

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