Saturday, September 22, 2007

Futures Options Brokers

There are two types of Futures Options Brokers:
  • Account executives ( brokers ) are brokers who take orders from the public and transmit the orders to the floor brokers
  • Floor brokers are brokers who execute the orders

The journey of Futures Options Orders :

  1. the futures Options trader calls the brokers and place the order
  2. the brokers will transmit the order to the firm 's representative on the exchange
  3. the firm 's floor clerk gets and times the order
  4. the clerk gives the order to a runner
  5. the runner passes the orders to the floor brokers
  6. the floor brokers will executes the orders and documents the futures options trade
  7. the runner returns the information back to the clerk
  8. the clerk notifies the futures Options brokers
  9. the futures options brokers notifies the trader

It takes time for futures options orders to be done, so we must consider the speed of futures options brokers to complete our orders. http://optionsbroker.blogspot.com/

What you need to know about Options ?

Options is different from futures contracts. Characteristics of Option contracts are :
  • Options give the owner a right not an obligation
  • Options give the seller an obligation
  • The price of options is called premium
  • There are two types of options : call options and put options
  • Exercise or Strike price of Options is the price at which the underlying asset can be bought or sold by exercising the options
  • http://onlineoptionstrading.blogspot.com/

Learning the characteristic of options is the first step to learn about online options trading.

What is Futures ?

What is futures?

Futures is
  • Futures is a financial derivative instrument
  • Futures contract is the same as forward contract but has been highly standardized and closely specified
  • Futures doesn't have default risk because futures is guaranteed by the exchange clearing house
  • Futures uses margin to trade

It's not enough to know what is futures to be succeed in futures trading. Please remember that futures trading using margin to trade. It gives you opportunity to make more returns but you can also lose more than your capital. http://discountfuturestrading.blogspot.com/

Futures Options Brokers

Futures Options Brokers will be discussing about three topics, which are Futures, Options, and Brokers. If you have any experience in Futures, Options, and Brokers, Please share them in this blog. Thank you and enjoy it !

Futures options brokers:

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