Archive for January, 2013


Futures Trading 101 – Types of Orders

Futures trades can be entered with a variety of different types of orders, and it is important for traders to understand each type of order, and what orders are allowed on each futures exchange.  Orders are generally broken down into three categories… market orders; stops and market-if-touched (MIT) orders; and limit orders. The most common [...]

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CTA Managed Futures vs. Futures Broker Discretionary Accounts

One area in the alternative investment universe that many investors are not familiar with is the CTA managed futures account.  I touched on the topic of managed futures in a previous article here, but it did not go into some of the details regarding how these accounts are opened and managed. A CTA is a [...]

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10 Year Note Yields Spike

10 year Treasury Note yields spiked on Friday, as the treasury market at the long end had its worst day since September.  While the yield on the 10 year is still not at its lowest in the last six months, it is getting ready to test those yields, as evidenced by Friday’s price decline.  This [...]

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What Futures Traders Can Learn From Apple

Apple (APPL) stock was down over $60 per share today after it’s earnings report did not meet investor expectations.  That represented a loss of over 12% on the day.  This caught many investors off guard, from professionals to amateurs, who continue to think that Apple should always stay ahead of the curve, so to speak.  [...]

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Investment Goals for a Futures Trading Account

One of the main reasons why most new futures traders end up losing most of their money is that they do not have the right priorities when it comes to their goals.  Most enter the arena of futures trading in the hope of getting rich quick, or making 100% annual returns.  While it is certainly [...]

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The Role of a Futures Broker

Back in 1994 I opened my first futures trading account with a discount broker whose advertisements I had seen on CNBC.  I intended to trade my own account based upon some spread trading strategies I had learned.   I then had learned the Turtle trend following strategy being sold by a participant in the Richard Dennis/William [...]

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Higher Gas Prices Ahead?

Don’t look now, but it looks like RBOB gas futures prices are about to breakout to the upside, which could spell higher prices at the pump in the not too foreseeable future.  Have a look at the chart below.  Prices bottomed in June and then rallied significantly, before entering a consolidation period in September.  The [...]

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Fundamental vs. Technical Analysis

When it comes to trading in the markets, traders and investors will often choose one method of analysis that they feel gives them an edge over most other participants, which allows them to be profitable in the long run.  Some traders prefer fundamental analysis, others prefer technical analysis, and some seek to combine the two. [...]

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Futures Trading Basics – Margin

Before you ever begin trading futures, it is important to understand the basics of margins, option premiums, price limits, and a host of other items.  First of all, margin when it comes to futures trading is better described as earnest money, or a performance bond.  A margin deposit assures the clearinghouse and brokerage firm of [...]

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