E-Mini Trading Overview

E-Mini Trading Overview

What is e-mini trading all about, and why should you do it? E-minis are merely pint sized futures contracts. Futures contracts involve two parties agreeing to sell a certain amount of some commodity or asset at an agreed upon price at a specific time in the future. All of these amounts and parameters are agreed upon today. When you trade in futures contracts, you are trading these agreements. You pay a premium to hold a contract for as long as you desire up to its expiration date, that’s that future date of delivery agreed upon in the here and now by the two parties. Your account gets credited with profits or debited for losses based upon the present market conditions of the underlying asset at that time when you decide to sell a futures contract that you purchased.

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