An introduction into the basics of Calendar Spreads, and with some real time example with the Eurodollar Future.
Thoughts and commentary on daily market action, plus my trade log in equities and futures.
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Front month WTI Futures plunges to negative $37 as storage costs rocket
It was a move of epic proportions in the front month WTI Crude futures, the significance of which is not really known of yet, but was incre...
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Much has been said about the new phone and the response on the surface seems exactly how you would expect it to be. Regardless of what Appl...
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In the previous ECB meeting we had a split decision on whether to cut rates further or not but today Mario Draghi said the council decided ...
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With the raft of poor data out this morning, we got some strong selling pressure in all parts of the curve. The 2s-10s spread hit an all tim...
I'm just getting started in trading and am looking to implement a rule based strategy trading futures outright. Commissions obviously have a huge impact on final P/L, but this must be even more the case when trading spreads? Can you please comment on commission and margin and how they relate to spread trading? May I ask you how much commission you pay and if you can recommand a broker? Many thanks, Manuel
ReplyDeleteHi Manual,
ReplyDeleteCommissions are a huge part, and in spreads they add up, but margins are much lower cause you are hedged. I think paying between 80-90p per round turn in Fixed income products is good, I pay 84p, although you can get it alot cheaper depending on how much volume you do.
In terms of broker I trade through a prop house, but Global Futures is a good one with good rep too.