國際期貨市場運作6GettingStartedinTradingFutures

1、Chapter 6Getting Started in Trading Futures1The Role of the BrokerMany of the problems that occur between broker and client arise from unrealistic client expectations. 2How to Find a Good BrokerA broker makes money when you close out a position. The more a client trades, the more profit for the brok

2、er.Commissions are the lifeblood of the futures market and the brokerage business.3The novice. The experienced short-term traderThe long-term traderThe independent traderRules for selecting a Broker4 Answer the telephone quickly and take your order promptly and professionally. Place your order direc

3、tly to the trading floor, and not through another party. Report order executions to you promptly. Execute your orders with a minimum of errors. A Good Broker Should5 Encourage you to overtrade. Talk you into or out of trades. Urge you to trade based on emotion, rumor, or tips. Add to your insecurity

4、 or uncertainty.A Good Broker Should Not:6Opening an Account The paperwork is fairly simple and straightforward, and the broker will be more than happy to help with it. 7Different brokerage firms have different financial suitability requirements and standards. Some allow you to open an account with

5、as little as $1,000 while others require $5,000 or more.Financial Suitability8 The closed month is called the front, or the spot month, whereas the further months are called the back months. Contract Months 9Futures Corn Price in DCEDOHLCPre-seseU/D070515381546153615391531153980707158815951586159415

6、7415912007091655166716541665164616611907111660167416601670165016692008011668168416671678165816772008031677169316771689166816882110The Trading Volume in China In China the highest volume of trading occurs in the middle months ,creating the most liquid market.11Cntrct high low close volume Open-int 02

7、10 14780 14720 14780 -20 1954 15690 0211 14810 14730 14810 -20 1544 22688 0212 14830 14750 14830 -30 2184 38988 0301 14860 14760 14860 -40 6622 56750 0302 14880 14810 14880 -40 20434 79766 0303 14950 14870 14940 -30 3022 12782 0304 14970 14950 14970 -90 12 488 Futures Copper Prices in SHFE12 Cntrct

8、Open High Low Close Volume Open-intr 0210 14720 14760 14720 14750 2038 12024 0211 14550 14760 14550 14750 930 21266 0212 14630 14780 14630 14780 1302 35520 0301 14790 14800 14760 14790 2264 51868 0302 14820 14830 14790 14820 8336 84432 0303 14840 14870 14820 14860 3610 22996 0304 14900 14930 14900 1

9、4910 694 1658 Futures Copper Prices in SHFE13 Another Case on the change of price in futures market In a long-tend-to-short market, the further a contract is from the spot month, the higher the price.14Copper price in Shanghai Futures Exchange交割月前結(jié)算今開盤最高價最低價收盤價結(jié)算價漲跌1成交手041030610310003152031000314903

10、14808802582041129900303803079030280307903062089073540412291802951030050295103005029920870326820501285202887029370288502937029260850282120502280402806028880280602888028840840345405032765028420284702820028470284408201326050427290275002810027500281002801081041605052701027780277802760027720276907104015

11、In the futures market, a specified amount, also called margin, is deposited with the broker when a trade is made. This margin money does not purchase anything. It simply serves as earnest money. Margin and the “Margin Call”16Short Selling In the futures market, the trader who originally took a short

12、 position liquidates that position by taking an offsetting long position.17Brokers commissions are usuallyquoted at a price per round.Commissions18Many markets have similar contract sizes and calculation techniques. The following text shows some helpful hints on how to interpret prices in the newspa

13、per as well as on your trading screen.HOW TO READ FUTURES PRICES (page76 to page102)19CBOT WheatContract size: 5,000 bushels per contract. Minimum price fluctuation 1/4 cent. Each1/4 cent move = 5,000 bu. 1/4 cent/bu. = $12.50 per tickEach full penny move is 4, 1/4 cent moves or ($12.50 4) = $50/bu.

14、First limit move is 20 cents. ($1000/bu.)1 contract move=5000 $1000=5,000,00020 The United States is also the worlds largest consumer of copper, accounting for about 25 percent of total world usage. CIPEC, a trade organization comprising major world producers, accounts for about 70 percent of intern

15、ational trade in copper.CMX Copper21 _ 8105 +5 81.05 + .05 $12.50 8110 +10 81.10 + .10 $25.00 or 8200 +100 82.00 +1.00 $250 _Screen Net Change Paper Net Change Value22HIGH GRADE COPPER December 2004 (COMEX) Date Open High Low Last Change09/28/04 137.75 138.20 137.10 138.00 +0.2009/27/04 137.40 138.1

16、0 135.40 137.80 +2.0509/24/04 135.50 136.30 134.50 135.75 - 0.0509/23/04 134.90 137.00 134.70 135.80 - 1.1509/22/04 134.00 137.20 133.40 136.95 + 2.80If the copper price is $1.38/pound, do you know the copper price of $_ /ton? $304223PLACING AN ORDERPlacing the order is simply a matter of calling th

17、e broker and giving him or her the instructions.The trader must insist that the person who takes the order repeat the order back before ending the phone call.24 The MOC order (also affectionately referred to as “murder on close”) is a specialized type of market order that tells the pit broker to buy

18、 or sell for you at any price during the last minute of trading. Market on Close (MOC)25 In effect, it says to the pit broker, “Here is a market order; please use your best judgment in getting me a price fill. I will not hold you liable if I get a bad fill. You are not required to fill me in the all

19、otted 3 minutes.”Disregard Tape (DRT) or Market Not Held 26 It is used either to stop you out of a short position or to get you into a long position as the market rallies and shows its strength.Buy Stop 購買平出27 This is a buy stop order that is executed in the last minute of tradingBuy Stop Close Only

20、 (SCO) 28 This is stop order that specifies to the broker that you will only accept a fill at the limit of your price order.Buy or Sell Stop Limit29 An MIT order to buy is placed below the current price. When the market hits the buy price, the floor broker will buy the given commodity at the market

21、for you.Market if Touched (MIT)30 The pit broker will attempt to fill your order three times. In other words, the pit broker will bid or try to buy three times. If it is not filled then, your order will be “killed,” that is, canceled, and you will be told that your order has been “killed.”Fill or Ki

22、ll (立即執(zhí)行指令）31Spreads 套利As you know, a spread involves two markets traded at the same time. When a spread order is placed, there are two sides to the order, unless the spread sides (or “l(fā)egs”) are placed separately. 32 At times you may wish to place a contingency order. One Cancels the Other (OCO)33C

23、ancel Replace When you have an existing order that needs to be canceled and replaced with a new order in the same market, you simply advise your broker that you have a “cancel replace” order.34Tips for Order PlacementUse stop limit orders instead of stop orders.Fill or Kill orders can be used to you

24、r advantage in several ways. Use FOK orders to test a market.MIT orders are acceptable but not always efficient.35OCO orders, where accepted, are very helpful. Use First Open Only orders when appropriate.Insist on prompt reporting back of order fills.Tips for Order Placement36Tips for Order Placemen

25、tKnow which exchanges will accept certain orders.Find out how your broker places your orders.37Day Trading, Short-term Trading, And Position TradingA day trade is a trade that you are into and out of the same day.A short-term trade is one that is ten days or less in duration but longer than one day.38The