How much does a course in trading futures cost?
There is an online company that offers a course in Future Trading. It costs about 300.00 for the initial package, and you may have to pay a little more later.
Who can assist with information on stock futures from Bloomberg?
You can either ask a financial consultant, a stock broker, or a person who specializes in such a field in order to find out information about Bloomberg stocks and their future.
Why do some stock options have 2 expiration dates actively trading?
All stock options have more than one expiration date being traded. In fact, some stocks have up to 5 or 6 different expiration dates being traded at any one time.
Are Dow Jones Futures future contracts?
Yes. Dow Jones Futures are future contracts. This is because future contracts practically do not have an expiration date. It is also good because of the fact you can buy and sell single or bulk stock futures.
Are futures contracts long term contracts?
They can be. If you look at the futures pricing, you'll see futures contracts that settle in 2013--and futures contracts that settle next month.
Why a gold crash might be around the corner?
Gold, contrary to popular belief, is not an investment - it is a speculation. When the economy is limping, gold prices rise. When the economy is strong, gold prices fall. If the economy eventually recovers slowly but surely, gold will slowly but surely drop in price. If the economy should suddenly begin to recover strongly and rapidly, gold prices will fall through the floor.
How can you use stock option quotes?
You can use stock option quotes to get an estimated value of stock you own. You can also use the quotes to find the current offering price of a particular stock you're interested in.
Are reviewing stock option quotes necessary to understand trading?
Reviewing stock quotes are a must. You need to have a basic understanding of how the market exactly works. Even if they are fake they will give you an idea on how the system works.
Where can you find td ameritrade stock option investing center in Newark DE?
You can find a td ameritrade stock option investing center at the University Plaza Shopping Center, located on ATM Christiana Road. That is where you can open a td ameritrade account.
Is options trading something anyone can do?
Options trading is not for the meek. They are complex securities and the risks can be high. Do your homework if you are considering options trading for investments. There are many reliable online sites and advise for the beginner.
What is a reliable company involved in futures trading?
In Australia the most reputitable company involved in futures trading would be The Macquarie Bank. It has been a consistent player in the trading market of Australia for a long period of time. Macquarie bank being the largest clearer on the ASX, and is a member on a number of international global exchange. Macquarie bank has proven to be a excellent place to invest.
What is the settlement day when dealing with gold futures?
The settlement day when dealing with gold futures is the day you decide to cash in on the current value of gold. The amount you make will depend on the value of gold on that day.
Are there several ameritrade stock options?
There are many ameritrade stock options. They will provide you with their various stock options through there site on the internet. Visit it for more information.
Do some reseach and you might be able to answer your homework.
Is it wiser to exercise a call option when market price is lower than the strike price?
No. That would be an incredibly bad thing to do.
A call gives you the option to purchase a certain amount of a certain stock for a certain price on or before a certain date. Say, 100 shares of 3M for $90 with expiration date of September 2011, and you paid $2 per share premium. The reason you want this is to make money on the upside: you think the stock will go over $92, so you buy a call, wait till the stock goes over $92, exercise the call and sell the stock immediately, pocketing the difference between the $92 you paid per share ($2 premium plus $90 for the stock) and the money you earned by selling the stock.
That's all well and good if the stock goes up to $97--you earn $5 profit. If 3M is trading at $87, though, you'd be better off blowing off the option (which you can do--it's an option not a futures contract) and buying the stock on the open market.
And that, fine questioner, leads us to the First Rule of Options: Never exercise them unless you can make money doing it.
What is a key factor in option pricing for individual stocks?
There's no single key factor, but several key factors. These are
These factors affect the option price. See the related link for actual examples of option pricing in practise
How do you purchase a share from the share market?
To Purchase or become a part of company first of all you need to find a broker ( a broker is a plat form which deals between company and an investor). Once you reached near broker you have to open an demat account which helps you in share trading and it is an essential step for starting a share market trading account. Now once you opened a demat account then you can easily buy or sell your desired stocks online or through your registered broker.
Broker- A broker is play a role of mediator between Company and direct investors. You can easily find your nearest broker online through Google or may find in your city as stock market is a very large scale system so you will not face any difficulty in finding a broker.
Demat Account - Demat account will play a role of saving account of stock market. When you buy a share that will transfer into your demat account because with out a demat account you cannot able to hold them for more then 24 hours of time.
For More information visit the related link.
What are the similarities between a forward contract and afutures contract?
Forwards Contract:
A forward contract is the simplest of the Derivative products. It is a mutual agreement between two parties, in which the buyer agrees to buy a quantity of an asset at a specific price from the seller at a future date. The Price of the contract does not change before delivery. These type of contracts are binding, which means both the buyer and seller must stay committed to the contract. This means they are bound to deliver or take delivery of the product on which the forward contract was agreed upon. Forwards contracts are very useful in hedging
Futures Contract:
A futures contract is an agreement to buy or sell an asset at a certain time in the future at a specific price. The Contractual terms of the futures contracts are very clear. The Futures market was designed to solve the shortcomings in the forwards contracts. Unlike forwards, futures are traded in organized exchanges. They also use a clearing house that provides the necessary protection to both the buyer and the seller. The price of the futures contract can change prior to delivery. Hence, both participants must settle daily price changes as per the contract values.
Difference:
Futures are traded in Organized Exchanges while Forwards are Over-The-Counter (OTC) traded
What is the option to sell shares of stock at a specified time in the future called?
It's actually called a call option. I will provide you with a definition I just found for this, and some additional tips on options trading.
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The option to sell shares is a put. The option to buy them is a call.
When does gingivectomy become an option?
Gingival or periodontal flap surgery (gingivectomy) is indicated in advanced periodontal disease, in which the stability of the teeth are compromised by infection, which displaces ligament and bone
Why call option price cannot exceed the price of underlying asset?
Call options allow their buyers to purchase assets from a "counterparty" for a set price--which is called the "strike price." Say, 100 shares of Acme for $25 with expiration in June.
The reason you buy this thing is because you think the price of the asset is going to go up. If Acme stock goes up to $27, you exercise your option and pay $25 per share. If you paid less than $2 per share premium, you'll make money when you sell the stock.
If you exercised the option when Acme was $23, you'd pay $25 for $23 stock--which is a bad investment any way you look at it.
Call prices CAN exceed the price of the underlying asset. It happens all the time, but no one exercises the options when they're like this because you would lose money if you did.
Do you count stock options when counting shares of stock owned by managers of the company?
they are usually accounted for separately because they are not entirely exerciseable at that current time...this means that they will be able to be purchased at usually a much reduced price at a later time, but have no voting value now because they cannot be exercised until a later specified time.
Does the price of an option increase or decrease as the underlying asset becomes more volatile?
Usually, yeah. (Answerer shrugs...) In the derivatives business there are no absolutes, but in a lot of cases the premium rises with increasing volatility.