Tag Archives : financial instruments

The Day Trading  Future

The Day Trading Future

Day trading is the process of buying and selling futures contracts. These contracts are held within a day and there are no open positions overnight. Day trade futures have many advantages and disadvantages as well. There are many markets for day trading but the market of choice for many day traders is the E-mini S&P 500.

Tips for Million Dollar Forex Investing

Tips for Million Dollar Forex Investing

if you’re a smart investor, you will make every effort to protect your trading float and plan for a stop loss i.e. you will decide and identify beforehand about the moment you will exit the stock. This practice can save you from errors or last minute indecision.

History of Futures Contract

History of Futures Contract

Futures are a name given to a financial derivative referred to as a forward contract. By a futures contract the seller is obliged to provide a commodity or other asset to the buyer at an agreed-upon date. For commodities such as sugar, coffee, oil and wheat futures are widely traded, along with these commodities they are also traded for…

What do you understand by the Term MACD?

What do you understand by the Term MACD?

MACD is an abbreviation for Moving Average Convergence Divergence. It is a mathematical indicator that is used by some financial traders for predicting future price movements of stocks, commodities and other financial instruments. Originally MACD was developed by…

Greeks and its Derivatives: Charm & Color

Greeks and its Derivatives: Charm & Color

In mathematical finance, the quantities that represent the sensitivities of derivatives such as options to a change in underlying parameters on which the value of an instrument or portfolio of financial instruments is dependent are referred to as the Greeks. This name is given to them due to the reason that most common of these sensitivities are…

What do you understand by Risk-Free Interest Rate?

What do you understand by Risk-Free Interest Rate?

The interest rate that can be obtained by investing in financial instruments with no default risk is referred to as the risk-free interest rate. However, other types of risk could be carried by the financial instrument, e.g. market risk (market is the risk of changes in market interest rates), liquidity risk (liquid risk is the risk of being unable to…

Foreign Exchange Market: Speculation

Foreign Exchange Market: Speculation

There is a regular recurrence of controversy related to currency speculators and their effect on currency devaluations and national economies. Nevertheless, it has been argued by the economists including Milton Friedman that speculators ultimately are a stabilizing influence on the market and they are performing an important function and that is they are providing a market for hedgers and they are transferring risk from…

Foreign Exchange Market: Financial Instruments

Foreign Exchange Market: Financial Instruments

In this article I have explained about different financial instruments that are used in the trade of currency in…

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