The exchange may raise the margin or expand the range of the price limit. Those who do the opposite may be forced to close their positions the next day because of insufficient margin, which will aggravate the price rise and fall in the short term.
Should the futures commission price be lower than the daily limit price?
When the futures commission price is lower than the limit price, the commission is unsuccessful. You must entrust between the daily limit and the daily limit to succeed.
In order to regulate the trading behavior in the securities market, maintain the order of the securities market and protect the legitimate rights and interests of investors, according to the Securities Law and other laws and administrative regulations, when buying and selling securities with price limits, the declaration within the price limit is an effective declaration. Declarations exceeding the limit of price increase and decrease are invalid.
Futures, whose English name is futures, is completely different from spot. Spot is actually a tradable commodity. Futures are mainly not commodities, but standardized tradable contracts based on some popular products such as cotton, soybeans and oil and financial assets such as stocks and bonds. Therefore, the subject matter can be commodities (such as gold, crude oil and agricultural products) or financial instruments.
The delivery date of futures can be one week later, one month later, three months later or even one year later.
A contract or agreement to buy or sell futures is called a futures contract. The place where futures are bought and sold is called the futures market. Investors can invest or speculate in futures.
main feature
The commodity variety, trading unit, contract month, margin, quantity, quality, grade, delivery time and delivery place of futures contracts are all established and standardized, and the only variable is price. The standards of futures contracts are usually designed by futures exchanges and listed by national regulatory agencies.
Futures contracts are concluded under the organization of futures exchanges and have legal effect. Prices are generated through public bidding in the trading hall of the exchanges. Most foreign countries adopt public bidding, while our country adopts computer trading.
The performance of futures contracts is guaranteed by the exchange, and private transactions are not allowed.
Futures contracts can fulfill or cancel their contractual obligations through the settlement of spot or hedging transactions.
condition
Minimum fluctuation price: refers to the minimum fluctuation range of the unit price of futures contracts.
Maximum fluctuation limit of daily price: (also known as price limit) means that the trading price of futures contracts shall not be higher or lower than the prescribed price limit within a trading day, and the quotation exceeding this price limit will be deemed invalid and cannot be traded.