Long and short positions in futures contracts. Margin and its role in futures trading. Thank god, help me.
When you think the price will go up, bulls are buying; On the other hand, short positions are sold at a high price when you think the price will fall. Margin is the amount actually spent when you buy or sell a futures contract. Under normal circumstances, the margin ratio of each variety is fixed. Futures is a hypothetical transaction for the future, so you can get the right to contract with a certain percentage of margin. Simply put, the margin is the contract price you want to buy or sell. The deposit gives you the right to buy or sell products in the future.