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Dow Futures Trading Explained (Part II)

Posted in : online-forex.alivedownload.info

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  Fri, Sep 11 2009, 03:00

Stock index futures like the Dow Futures or the S&P 500 Futures are traded for speculation as well as hedging purposes. Stock-index futures are by far the largest category of futures contracts traded as a percentage of the total number of futures contracts traded. The dominance of index futures clearly speaks of the major role that stock-index futures play in risk management for the entire stock market. There are many advantages of trading stock index futures like the Dow Futures. Stock index futures like the Dow futures are a better option than trading individual stocks. Some of these advantages are gains in the futures markets are taxed at a lower rate than the stock market capital gains. Many futures brokerages offer lower commission rates as compared to stocks. If something happens on the stock market overnight when it is closed and you want to hedge your risk, you can trade Dow Futures on Globex. Globex is a 24 hour electronic trading system for a wide... http://online-forex.alivedownload.info...

[More related posts here] tags :  currency trading

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