There are different "SPREADS"
1. Within the same product but different months (Intra-commodity)
2. Different products pair but same exchange (Inter-commodity)
3.Different exchanges (CBOT/CME/NYMEX vs LONDON or FRANKFURT)
To make simple, we keep to Calendar Spread for the same product/instrument which we engage in BUYING ONE TRADING month and SELLING A DIFFERENT month.
The challenge is one has to decide if one should remain trading calendar spread only or a hybrid of calendar spread with outright futures.
INVESTIGATE ...... ANALYZE ........ OBSERVE .... CONCLUSION
No comments:
Post a Comment