Commodity option system trading


Potential benefits of a commodity option system trading trading system: Futures Trading Systems Futures Trading systems are fully-automated trading programs able to execute orders at high-speeds following trading algorithms created by the trading system developer. An account carried by a Futures Commission Merchant in the name of an individual customer; the opposite of an Omnibus Account. Floor Trader An individual who is a member of an exchange and trades for his own account on the floor of the exchange.

The federal act that provides for federal regulation of futures trading. Also referred to as an Exchange. The highest price of the day for a particular futures or options on futures contract.

Aggregation The policy under which all futures positions owned or controlled by one trader or a group of traders are combined to determine reportable positions and speculative limits. The process by which a clearinghouse maintains records of all trades commodity option system trading settles margin flow on a daily mark-to-market basis for its clearing members. Open Trade Equity The unrealized gain or loss on open positions. Floor Broker An individual who executes orders on the trading floor of an exchange for any other person. Commodity option system trading Futures Trading Glossary of Terms.

Long One who has bought futures contracts or options on futures contracts or owns a cash commodity. List of commodity futures related terms used within the industry: A fee charged by a broker to a customer for executing a transaction. Futures Trading Systems Futures Trading systems are fully-automated trading programs able to execute orders at high-speeds following trading algorithms created by the trading system developer.

An expression of willingness to buy a commodity at a given price; the opposite of Offer. An option that has intrinsic value. Margin Call A call from a clearinghouse to a clearing member, or from a broker or firm to a customer, to bring margin deposits up to a required minimum level. A call option with a strike price higher or a commodity option system trading option with a strike price lower than the current market value of the underlying asset i. An amount of money deposited by both buyers and sellers of futures contracts and by sellers of options contracts to ensure performance of the terms of the contract the making or taking commodity option system trading of the commodity or the cancellation of the position by a subsequent offsetting trade.