There is an expiry date for all Futures Contracts. As in India, All the future contracts are expired on every month last Thursday. For example: Suppose you buy NIFTY future contract with a lot size of 50 on 1 st February 2016 of one month expiry at Rs. 7200. If you’re S&P 500 day trading, for example, you’ll be buying and selling the shares of companies, such as Starbucks and Adobe. In the day trading forex market, you’ll be trading currencies, such as Indian Rupees, US Dollars, Euros, and GBP. In the futures market, often based on commodities and indexes, you can trade anything from gold to cocoa. You can do derivatives trading in India through National stocks Exchange (the NSE), Bombay Stocks Exchange (the BSE) in stocks. Similarly, if your interest is to trade in commodities, MCX and NCDEX are there. The MCX stands for the Multi Commodity Exchange. While NCDEX stands for the National Commodity and Derivatives Exchange. For Free Training from bse2nse -- Fill the Form in the below link https://bse2nse.com/zerodha-account-opening/2250-zerodha-account-opening-brokerage-rates-ch
You can do derivatives trading in India through National stocks Exchange (the NSE), Bombay Stocks Exchange (the BSE) in stocks. Similarly, if your interest is to trade in commodities, MCX and NCDEX are there. The MCX stands for the Multi Commodity Exchange. While NCDEX stands for the National Commodity and Derivatives Exchange. Generally, the futures prices are higher than the spot prices of the underlying stocks. Futures Price = Spot Price + Cost of Carry. Cost of carry is the interest cost of a similar position in cash market and carried to maturity of the futures contract less any dividend expected till the expiry of the contract. Stock Futures trading - Commodity Futures trading - Index Futures trading Just like the above example of Stock Futures you can have commodity futures where instead of dealing with stock you deal with commodities - for e.g. gold futures, crude oil futures, etc. You can also have futures on Index. For e.g. Nifty is a stock market index in India. Each Futures Contract is traded on a Futures Exchange that acts as an intermediary to minimize the risk of default by either party. The Exchange is also a centralized marketplace for buyers and sellers to participate in Futures Contracts with ease and with access to all market information, price movements and trends.
FUTURES AND OPTIONS TRADING IN INDIA. You can trade using our online stock trading platform for making effective future investments in the F&O market. 1.3 A simple example of a forward contract is a contract for the supply of wheat flour In India, the standardized form of futures contracts is of very recent origin in India, is reportedly of the opinion that the Indian capital market is ready for options and index futures. Stock significantly efficient, thereby justifying the introduction of stock index futures. example, the Standard and Poor's (S and P). As volumes on the Indian equity derivatives market rise, here is a lowdown on how the futures and options segment can help you build your portfolio. Let's look at an example of going long. It's January and you enter into a futures contract to purchase 100 shares of IBM stock at $50 a share on April 1. You can buy and sell in the shares of the ICICI Bank, for example, India's largest In the futures market, often based on commodities and indexes, you can trade For example, if you own a portfolio of securities you may sell equivalent value of Nifty futures. Assume the market falls because of which your portfolio suffers a
A futures contract is a legal agreement to buy or sell a particular commodity or asset at a predetermined price at a specified time in the future. Futures contracts are standardized for quality and quantity to facilitate trading on a futures exchange.
If you’re S&P 500 day trading, for example, you’ll be buying and selling the shares of companies, such as Starbucks and Adobe. In the day trading forex market, you’ll be trading currencies, such as Indian Rupees, US Dollars, Euros, and GBP. In the futures market, often based on commodities and indexes, you can trade anything from gold to cocoa. It’s the most frequently traded futures tool, and in the Indian derivative markets; it has become the most liquid contract. For Indian equity market, NIFTY 50 index is the benchmark stock market index of National Stock Exchange of India, Nifty is a wholly owned subsidiary of the National Stock Exchange Strategic Investment Corporation Limited. India Index Services and Products (IISL) owns and manages the same. A related futures contract is traded for each of the calendar months. Futures Contract Example: There is an expiry date for all Futures Contracts. As in India, All the future contracts are expired on every month last Thursday. For example: Suppose you buy NIFTY future contract with a lot size of 50 on 1 st February 2016 of one month expiry at Rs. 7200.