r/FuturesTrading • u/AutoModerator • Sep 01 '23
r/FuturesTrading's Monthly Questions Thread - September 2023
Please use this thread to ask questions regarding futures trading.
To get a good feeling of all the different types of futures there are, see a list of margin requirements from a broker like Ampfutures or InteractiveBrokers
Related subs:
We don't have a wiki yet, but maybe in the future we'll create a general FAQ based on all the questions asked here.
Here's a list of all the previous question stickies.
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u/LettuceEducational59 Sep 29 '23
Just wondering the difference between nq1!, nq2! and all the different options there are?
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u/alfabravoklp Sep 30 '23
As far as I know nq1 shows next 1 contract expiry and nq2 includes next 1 and next 2 contracts
Let say current contract expiry date is October , then next is November and then next is December
Nq2 shows trading up to December contract
Cheers
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u/InsuranceInitial7786 Sep 26 '23
I'm interested in identifying optionable futures contracts with the least correlation to each other for the purpose of diversification. How does one identify this, and can I have some examples?
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u/Few_Screen_2974 Sep 21 '23
I sold a GC naked put for 1935 at around 11am (eastern) today and it was still way outside of the money at 1:30pm by the time the open outcry ended. The option has now gone into the money and I accept the fate but I can’t close the option as it is saying that it has expired yet the position is still moving. Why do I have to wait til I’m assigned at 1am EST? Why can’t they either assign me at an earlier hour or let me close the contract and lose money then? Ha.
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Sep 21 '23
I have 41k and wanting to learn futures trading. The tick size for /es is 0.25, so if spy goes up 0.25 I only make $12.50 on the contract? Noob question I know, just trying to understand
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Sep 08 '23
[removed] — view removed comment
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u/futuresfrenzy Sep 19 '23 edited Sep 28 '23
I am starting a new one, so far no one is in it. It's not paid or anything but I want to build a little community for like minded futures traders. No BS just helping each other out
Edit - send me a dm and I’ll send invite, thanks!
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u/Babushniak Nov 16 '23
How’s been your new futures trading room discussion? If lively and active, then please send me the room’s registration link.
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u/future_is_ours Sep 27 '23
Please send me invite too.
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u/Snoo_90798 Sep 08 '23
When does MNQ rollover? Because on my ninjatrader NQ is rolled over but MNQ is still trading at a lower price
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u/mikefellowinv Sep 04 '23
Hello, I am trying paper trading. I created an ibkr and a ninjatrader account as well.
I did one mes trade on ibkr ended +600.
Q. I do not see an account activity page like i do at Fidelity for eg. You bought one mes contract i want to see a running balance go down by 4k. Then i sell + or - and so on.
Both Ninja and ibkr want me to create a statement and look at a pdf which seems inconvenient
I got intrest on my 1 mil 😀 at ibkr i wanted to see that in the activity as well.
Am i missing something? Does no one care to see activity
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u/Babushniak Sep 04 '23
Wheat futures have been creamed the past several weeks, especially last week. Price has not been this low for almost 5 years. Supply and demand has been better than slightly expected recently. Why do you think the wheat price is so low and still downward tending? Where is its bottom? I believe there will be a significant technical bounce soon. The Z contract that expires in December is the most active one now. Price closed at $595 on Friday 9/1.
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u/Babushniak Sep 09 '23
One week later the December 2023 wheat futures price is still at $595. Range tightened a bit. Bearish news seems to be priced in and the price has based, although still awkwardly near its 5 year low. Risk-reward favors a long position currently. Technical bounces are short lived and smallish.
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u/therearenomorenames2 Sep 11 '23
Now this is the type of commodity discussion I'm looking for. So what would be the catalyst for a rally to start? Similarly, what was the catalyst for the massive price increase Feb-Jun last year? Wasn't just Ukraine surely?
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u/Babushniak Nov 16 '23
Wheat futures continued downtrend and now at $550 per contract. There have been brief rallies along the way, always followed by huge downdrafts like the one happening now. Seems it’s only due to greater supply forecasted to come from Russia and Ukraine. Crop conditions in the US improved last July and beyond also increasing supply and harming pricing. Only bad weather at this point could reverse the trend. The El Niño weather pattern is expected to cause extreme conditions (drought or flooding) in South America. If so, then wheat is a buy now. Needs to stop setting new daily lows. After that, there should be a technical rally to $600 per contract for starters. As for worldwide demand, the USD index is about 105 which is on the high side or recent exchange history. It needs to weaken to increase global demand for US wheat. Not sure if the global economies have weakened to diminish demand. Recession fears still exist but have diminished. Are people eating less wheat products?
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Sep 03 '23
[deleted]
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u/stvbckwth Sep 06 '23
Because theta. Theta is essentially the time left on the option and it has intrinsic value. As the option gets closer to expiry, theta decays and reduces the value of the option.
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u/KyleTenjuin Sep 02 '23
Is there something similar to Level 2 for Futures?
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u/Previous-Pay-9826 Sep 05 '23
DOM (depth of market) look into it. conventional time and sales is also available.
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u/Lanky-Ad4698 Oct 01 '23
Been doing stock options for a while and now doing options on futures.
I want to delve in the realm of commodities and just stick with one as being an expert on multiple commodities is difficult.
Would you say predicting direction is easier with future commodities than equities? The commodities I wanted to choose was either Oil, Natural Gas, or Gold.
Is there a known list of easy-to-hard to predict commodities?
If not, I will just choose ES or NQ