FTSE futures trading systems are traded globally tick by tick around the world.
What is Futures Trading ?
Future Trading is a type of venture which includes estimating on the cost of a product going up or down later on. Futures Trading is principally theoretical “paper” contributing, i.e. it is uncommon for the investors to actually hold the commodity thing, simply a bit of paper known as a futures contract.
To the uninitiated, the term contract can be to some degree off-putting yet it is basically used because, like a contract, a futures investment has an expiration date. You don’t have to hold the contact until it expires. You can cancel it at whatever time you like. In fact, various transient traders simply hold their contracts for several hours or even minutes!
The expiration dates move amidst commodities, and you have to pick which contract fits your market objective.
For example, today is June 30th and you think FTSE index will rise in price until mid-August. The FTSE contracts available are February, April, June, August, October and December. As it is the end of June and this contract has already expired, you would probably choose the August or October FTSE futures contract.
The nearer (to expiration) contracts are usually more liquid, i.e. there are more traders trading them. Therefore, prices are more true and less likely to jump from one extreme to the other.
At the risk of repeating ourselves, its imperative to note that futures trading is not for everybody. You can invest into the futures trading in various diverse ways, however before taking the dive, you must make sure of the measure of danger you’re ready to take. As a futures dealer, you ought to have a robust understanding of how the business and contracts function. You’ll likewise need to decide the amount of time, consideration, and examination you can commit to the investment.