Class III Milk Futures

Class III Milk futures can:
1. Discover the global price for Class III Milk which is used mainly in the manufacturing of cheddar cheese;
2. Manage effectively the price risk of merchandisers, producers, processors and others have related to the purchase or sale of Class III Milk;
3. Make use of arbitrage and spread opportunities with other dairy products;
4. Trade to hedge or speculate based on expectations of directional price, spread movement or volatility in Class III Milk;
5. Manage price risk across a series of contracts in a single transaction using packs functionality.

http://futures-tradings.com/

Paper Trading

Introduction and the Benefits of Paper Trading

The paper trading is the process of mock trading, or tracking trades and calculating profits and losses as if you were trading with real money. You could paper trade anything but we’re going to focus on commodity futures contracts and futures options.

1. It’s Free
All you need is paper and pencil and quotes & charts from a newspaper or your broker;
2. It’s Risk Free
because you are not risking any real money, you can’t lose;
3. Familiarity
Learn the characteristics of the various markets, how to calculate profits/losses, how margins work, and what to expect BEFORE your money is on the line;
4. Learn by Doing
There is no better way to learn something than to immerse yourself in it;
5. Flexibility
You aren’t limited to just a few markets, you can “trade” many markets, try new strategies and learn from past mistakes;
6. Efficient
Only takes minutes per day once your routine is figured out.

Soybean Meal Futures

Soybean meal futures are contracts designated by dollar at physical delivery 100 short ton (approx. 91 metric tons). Contracts are available for trading over 15 hours per day providing customers access all over the world. Soybean meal futures are traded electronically on CME Globex during the Asian and European daytime market hours as well as during the primary U.S. grain trading hours along with the trading floor. Soybean meal is the dominant protein supplement used in livestock and poultry feeds. Soy products are used in a range of food products as well as in adhesives, polyesters and other textiles.
Soybean Meal futures can:
1. Discover the global price for soybean meal.
2. Manage effectively the price risk that soybean meal merchandisers, livestock operations, food processors, importers and others have related to the purchase or sale of soybean meal;
3. Make use of arbitrage and spread opportunities with other commodities including related grains, oilseeds and livestock??
4. Evaluate both the current and future supply and demand situation for soybean meal;
5. Identify short and long-term cyclical price and volatility patterns for soybean meal??
6. Trade in deep liquid markets??
7. Trade to hedge or speculate based on expectations of directional price, spread movement or volatility in soybean meal.

http://futures-tradings.com/

Development Of CBOT

In the past 150 years or so, CBOT’s major trading way was open outcry trading, which traders face in the trading floor buying and selling futures contracts.
However, in order to meet the needs of global economic growth, CBOT successfully launched the first electronic trading system in 1994. In the past decade, with the increasing popularity of the use of electronic transactions, the exchange has the electronic trading systems upgraded several times. More recently, in January 2004, CBOT launched the other by a leading LIFFE CONNECT trading technology supported by the new electronic trading system.
When the CBOT was introducing new trading system, at the same time, the exchange also completed the liquidation of the business transformation. Chicago Mercantile Exchange (CME) was started for all CBOT products to provide clearing and related business services.
CME / CBOT common liquidation net connect the two dominant financial institutions, and increase the business, margins and capital efficiency. Thus bring the end-user of futures brokers and futures products benefit.

Whether open outcry or electronic trading, CBOT’s primary role is to provide customers with a transparent and liquid contract markets, the main function of which are price discovery, risk management and investments. Farmers, companies, small business owners, financial service providers, international trade organizations and other individuals or organizations can manage prices, interest rates, and exchange rate risks through a process known as hedging. By holding equal but opposite position to the position of the obliterated, hedging the spot market price risk inherent in the operation. Hedgers use CBOT futures market to protect their business in order to avoid adverse price movements may result in adverse effects on their earnings.

Through the interpretation and use of economic data, news and other information, the futures market also allowed speculators around the world to determine the transaction price and whether to enter the market as an investor,
Speculators fill the gap among the hedgers purchase and sale price, so the market has higher liquidity and cost efficiency. A variety of market participants all have different views and exposure to different market information, their trading leads to the price discovery and provide the benchmark price.
Currently, CBOT is a Delaware company of self-management, self-monitoring, non-profit and non-listed, and provide services for the members and individuals. There are several different kinds of CBOT membership; members with different identities may participate in whole or in part of the exchange-listed securities market in different capacities. Among the CBOT 3600 members in 1400 as full members, and full members can participate in all contracts exchange transactions.
Exchange management system includes the general manager of executive president, chairman, vice chairman and 15 other directors.

Although the CBOT board of directors has handed the U.S. Securities and Exchange Commission (SEC), including submission of the preliminary proxy statement and prospectus relating to the restructuring of a Registration Statement on Form S-4, but the application has not yet came into force, that is, the application has not yet received final approval. When the application is finally approved and distributed to members of the above information, CBOT suggest the members to read about the proposed reorganization of the final form S-4 registration statement, including the final proxy statement and prospectus and other files that CBOT has been submitted or will be presented to SEC, and these files already contain or will contain important information on investment decisions. When the exchanges get these documents, members can be obtained a copy of the final prospectus in free; and other CBOT submitted information can be obtained from the SEC website. This information does not form the sale of induction suggestion nor a recommendation to sell the securities in some states whose state securities law stipulate that offering sale of induction before the registration and qualifications of audit is an unlawful act. According to the Securities Act of 1933 Chapter 10 (Securities Act, Section 10), the securities sale can not be arbitrary except by the prospectus.

October 17, 2006, the United States Chicago Mercantile Exchange (CME) the holding company announced that they agreed to merge CBOT Holdings. The merge plan cost 8 billion U.S. dollars by the form of cash and stock.

According to the clause of the agreement, CBOT’s shareholders will receive 0.3006 shares of Chicago Mercantile Exchange shares of Class A common stock, or with equal cash. At the current share price level, the program will cost about 80 billion U.S. dollars.
After the merge, the new company will be named as CME Group Co., Ltd., and the market value of 25 billion U.S. dollars. Also, the new company will become the world’s most extensive product with the most abundant derivatives futures exchange. The headquartered is still in Chicago.
The main products mainly covered U.S. dollar interest rate yield curve futures, stock index futures, foreign exchange futures, agricultural and industrial commodities, energy, and weather, and real estate index futures.
The new company will devote itself to Lead the international derivatives, and make the most liquid market in the world. The new company will daily trading 9 million contracts, transaction amount of every will reach 4.2 trillion dollars.

Mini Commodity Contracts

Never been lost in a sea of Futures News. Learn the best online resources to tap, allowing you to selectively use commodity news to your trading advantage giving you another tool to employ in your futures trading arsenal.

In this section, we’ll discuss news, its relative value to your commodity trading style, several varieties of futures news available to you, and how to narrow your focus so as not to get overly distracted.

In general, ‘fundamental’ analysis traders place a high premium on analyzing multiple variables called “fundamentals”, gathered from sources, data feeds and reports.

Many futures traders aren’t aware of mini commodity contracts. However, they’re a great way to hone your futures trading skills and reducing trading loss and allowing you to stay in the commodities game while you learn sound, fundamental trading practices and gain experience.

In this site we’ll discuss mini commodity contracts, the definition and their trading benefits and advantages.

The definition

The mini commodity contracts are smaller fractionally sized versions of full futures contracts.

A substantial advantage of trading mini commodity contracts is that the cost is also proportionately smaller, like their fractional size vs. full size futures contracts. And also, the risk is relatively small.

With some of the lower priced commodities, you can get into a trade with one futures contract for around $100 vs. $400 or more for a corresponding full size commodity contract.

And instead of trading one or two contracts maximum, on $10,000 of risk capital, you can trade 4, 6 or more mini commodity contracts if you so choose, on a reasonably sized, yet limited trading account.

Another advantage of far smaller contract sizes and cash outlays to trade, is the ability to learn proper futures Position Sizing…a very important aspect to solid money management. That’s a topic for another page.

And about the risk…

Instead of a one cent move in Corn moving against you costing $50, you’re down only $10 bucks.

When you’re on the negative side of a price move or trade it is much easier to deal with.

A 3x, 5x or 10x reduction in trading loss potential – is nothing to sneeze at. And as we said before, conserving trading risk capital will help keep you in the game longer and give you a better chance to succeed.

http://futures-tradings.com/

Daytrading Signals for Nasdaq 100

The approaches used in daytrading the Nasdaq 100 futures index are similar to some of the methods for the Real Time Signals of the S&P 500. Following is an example of how the signals work:

It is recommended to access to electronic trading. The experience of the trader providing the signals is that market fills can be accomplished in as little as one second through some brokers.

This means you choose the “Buy Market” or “Sell Market” in the computer, and in as little as one to five seconds you will know your fill.

We use a smoothed version of CCI that has 34 periods of CCI smoothed with a 10-period Exponential Average.

We rely on the significant mathematical levels the market achieves in relationship to the most immediate movement, in relationship to the day’s total movement and in relationship to the two-day total movement in many cases.

As road signs warn us of railroad tracks, hidden stop signs, and other such changes in condition as one might experience driving.

The 1-Min chart is a lot like a road map. If you remove the time legend from a 1-Min, chart it would be difficult to tell what time frame it is. If you remove the price scale from the chart, you will have trouble showing me the difference between a 1- Min chart and a daily chart. It just takes place faster.

You could compare this chart to the instrument panel in a completed aircraft used in instrument flying.

Any time frame chart tells us a lot about the market and what it is doing, and we soon learn to know if what we presently see is going to continue or change. It is these change announcements that clue us into the beginning of a new direction or trend.

We reference a 5-Min chart of the same market along with the 1-Min chart. We also reference the daily and weekly charts of the futures and the cash indexes appropriate to the market we are trading.

There are no magic indicators, no magic tricks or tools; there is nothing secret that has not been written about in many of the books written about trading and how to trade.

Normally the beginning and ending of these waves is mathematically determinable to some degree of approximation before they end and a new one begins. This is the “artsy” part of day trading in this writer’s opinion. Only experience over hundred’s of trades will help solve the puzzle of how and in what way one might make consistent profits in any of these markets.

We hope that by following along with our teaching indications you are able to help, or improve, even develop your own successful trading techniques as we broadcast live orders during the trading day in the ND or the NQ markets, as well as the S&P 500.

http://www.futures-tradings.com/nasdaq-futures/Daytrading_Signals_for_Nasdaq_100_3278.html

Time Schedule of Globex Markets

GX2 Schedule
Commodity
Code
Tick Increment
Tick Value

3:45pm – 8:15am
S&P 500
SP
10 basis points
$25.00

3:45pm – 3:15pm
E-Mini S&P 500
ES
25 basis points
$12.50

3:45pm – 8:15pm
S&P Midcap
MD
5 basis points
$25.00

3:45pm – 8:15pm
Goldman
GI
5 basis points
$12.50

3:45pm – 8:15am
Russell 2000
RL
5 basis points
$25.00

3:45pm – 8:15am
S&P Growth
SG
10 basis points
$25.00

3:45pm – 8:15am
S&P Value
SU
10 basis points
$25.00

3:45pm – 8:15am
NASDAQ
ND
5 basis points
$5.00

3:45pm – 8:15am
MXN IPC
MX
1 basis point
$10.00

3:45pm – 3:15am
E-Mini ND
NQ
50 basis points
$5.00

1:30pm – 2:00pm
Bankruptcy Index
QB
20 basis points
$25.00

Currencies
GX2 Schedule
Commodity
Code
Tick Increment
Tick Value

2:30pm – 7:05am
Australian $
AD
1 basis point
$10.00

2:30pm – 7:05am
Brazilian Real
BR
1/2 basis point
$5.00

2:30pm – 7:05am
British Pound
BP
2 basis points
$12.50

2:30pm – 7:05am
Canadian $
CD
1 basis point
$10.00

2:30pm – 2:00pm
Deutsche Mark
DM
1 basis point
$12.50

2:30pm – 7:05am
Euro Curr Unit
EC
1 basis point
$12.50

2:30pm – 2:00pm
E-Mini Euro
E7
1 basis point
$6.25

2:30pm – 7:05am
French Franc
FR
2 basis points
$10.00

2:30pm – 7:05am
Japanese Yen
JY
1 basis point
$12.50

2:30pm – 2:00pm
E-Mini Yen
J7
1 basis point
$6.25

2:30pm – 7:05am
Mexican Peso
MP
2 basis 1/2 points
$12.50

2:30pm – 7:05am
New Zealand $
NE
1 basis point
$10.00

2:30pm – 7:05am
Russian Ruble
RU
2 1/2 basis points
$12.50

2:30pm – 7:05am
S. African Rand
RA
2 1/2 basis points
$12.50

Interest Rate
GX2 Schedule
Commodity
Code
Tick Increment
Tick Value

4:30pm – 4:00pm
Eurodollar
GE
1/2 basis point
$12.50

2:10pm – 7:05am
Libor
EM
1/2 basis point
$12.50

4:30pm – 4:00pm
Eurocanada
KJ
1 basis point
$25 Can $

2:30pm – 7:05am
Mexican Cetes
TS
1 basis point
50 Pesos

2:30pm – 7:05am
28-Day-Tlle
TE
1 basis point
50 Pesos

2:10pm – 7:05am
13-Wk T-Bill
TB
1/2 basis point
$12.50

4:30pm – 4:00pm
Overnight TurnRate
TZ
1 basis point
$12.50

4:30pm – 4:00pm
Fed Fund Turn
FT
1/2 basis point
$12.50

*BRADY BONDS*

2:30pm – 7:05am
Argentine FRB
AB
1 basis point
$10.00

2:30pm – 7:05am
Argentine Par
AX
1 basis point
$10.00

2:30pm – 7:05am
Brazilian C
CB
1 basis point
$10.00

2:10pm – 7:05am
Brazilian EL
MB
1 basis point
$10.00

Currency Cross Rates
2:30pm – 2:00pm
EC/BP cross
RP
1/2 basis point
$6.25

2:30pm – 2:00am
EC/JY cross
RY
1 basis point
1,250 yen

2:30pm – 2:00am
EC/SF
RF
1 basis point
12.50 franc

Weather Contracts
3:45pm – 3:15pm
Atlanta Heating Idx
H1
1 index point
$100.00

3:45pm – 3:15pm
Chicago Heating Idx
H2
1 index point
$100.00

3:45pm – 3:15pm
Cincinnati Heating
H3
1 index point
$100.00

3:45pm – 3:15pm
New York Heating
H4
1 index point
$100.00