Thursday 28 August 2014

Online Future Trading in India



Trading is done online in the country today, as it facilitates smooth trade and transaction anytime, anywhere from across the globe, without the need to travel to the actual trading site. The online Future Trading has helped a lot many prospective traders in the country to witness some good flow of money and efficient trading practices followed in the field. Future trading means trading in future, when the actual transfer of ownership of the underlying assets will take place for a money value.
The price value too gets decided in future. This type of trading is very much preferred by the sellers as this usually gets them handsomely rewarded as the price is not decided right at the spot but in the future when the actual buying and selling process will take place. As the price tends to increase as day passes hence when the trade affairs will take place future naturally it will fetch more money as price value of the “underlying asset”.

 It is unlike the spot markets where the exchange of goods for a price value takes place right at the moment. The difference between the price value of an underlying asset in question in spot market and that of the one traded in future market is termed as Basis. The more the difference will be the greater will be the profit earned by the trader. Every future contract is marked with the presence of a buyer, seller, price and expiry.

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