Futures

Hello

I'm quite a newbie in trading. I traded  only stocks and currencies. Don't blame me, if I ask it here but whats the big idea behind Futures? I searched in Google a few times but didn't get sufficient matchs. Does anybode know where I could increase my knowlegde?

Thanks :)  

Hey Unterweg, (<- never heard this name before)

futures are the real thing, everything else is for housewives, sorry girls...

Futures represent a certain value in points so that you trade with a margin. Thus you can move much more with your bucks than with stocks. To have a reasonable profit with stocks you need lots of money.

An example:

for 1,000 Microsoft you need 28,000 $
1 % gain at the market and you'll get 280 $ profit

for 1 mini S&P you need less then 5,000 $
1 % gain at the market and you'll get 680 $ profit

for your 28,000 % you can buy 7 future which would lead to a profit of 7 times 680 $ equals 4,760 $

Any questions?

cya

Tom  

;-)

a lucid explanation!!  

Hi there,

for the guys or girls who cannot understand the difference between DAX and DAX-"Future" / Euro Stoxx 50 and Euro Stoxx 50-"Future": Is there somebody who can explain it better than me? I think it was an interesting fact to know for everybody in this forum.

The guy called "Tom B" seemed to have good answers for such questions. Perhaps ho notized my question. But I think there are other wise guys, too, here.

browsers