Trading Futures Keeping Track of Rollovers
There is a lot of little stuff to keep track of when your trading futures, and since you have your money on the line it is important that you do it right.
Scale trading makes me lazy because all I really do is check the price of any positions I have sometime during the day to see if there is any chance of an order getting filled. I usually do this first thing when I wake up and then I just wait for the next trading day.
I don’t want to enter any more trades until after the end of the year so I am not really paying attention to my trading, other than the 1 minute a day to check the prices.
Well my broker sent me an email:
Just wanted to let you know that you are still Short 2
DEC TY Notes. The last Trading day MONDAY, DEC 19.
You can BUY 2 DEC TY Notes and be FLAT. If you have
any questions, let me know.
T-Notes trade differently than anything else I am trading. The major difference is that T-Notes trade in reverse, so I am short the T-Notes and I would never short any other futures contract because with anything else, if you are short, the amount you can lose is unlimited.
With T-Notes if you’re long then the amount you can lose is unlimited. I should figure out why that is but I really don’t know it’s just something that I have to remember.
Ok, so with all other futures you have to be out before the contract month starts, because if you’re long then a short can deliver on you anytime during the month.
They don’t really drive up to your house with a truck load of cows (unless you want them to). But if you hold your positions and someone picks you to deliver to I guess it costs you some extra money or something. I just know it is suppose to be a large problem and some expense so I don’t ever do it.
Since I am short the T-Notes I can hold them into the delivery month because I am not going to request delivery form anyone, so I don’t have that problem to worry about unless I hold them until the last trading day. Then I have a similar problem.
Scale trading makes me lazy because all I really do is check the price of any positions I have sometime during the day to see if there is any chance of an order getting filled. I usually do this first thing when I wake up and then I just wait for the next trading day.
I don’t want to enter any more trades until after the end of the year so I am not really paying attention to my trading, other than the 1 minute a day to check the prices.
Well my broker sent me an email:
Just wanted to let you know that you are still Short 2
DEC TY Notes. The last Trading day MONDAY, DEC 19.
You can BUY 2 DEC TY Notes and be FLAT. If you have
any questions, let me know.
T-Notes trade differently than anything else I am trading. The major difference is that T-Notes trade in reverse, so I am short the T-Notes and I would never short any other futures contract because with anything else, if you are short, the amount you can lose is unlimited.
With T-Notes if you’re long then the amount you can lose is unlimited. I should figure out why that is but I really don’t know it’s just something that I have to remember.
Ok, so with all other futures you have to be out before the contract month starts, because if you’re long then a short can deliver on you anytime during the month.
They don’t really drive up to your house with a truck load of cows (unless you want them to). But if you hold your positions and someone picks you to deliver to I guess it costs you some extra money or something. I just know it is suppose to be a large problem and some expense so I don’t ever do it.
Since I am short the T-Notes I can hold them into the delivery month because I am not going to request delivery form anyone, so I don’t have that problem to worry about unless I hold them until the last trading day. Then I have a similar problem.
