Commodity trading lingo

In market “lingo” you'd say the basis is “20 under December.” On the other hand, if the cash price is 20 cents higher than the December futures price, you'd say 

Within this glossary, you will find an expansive list of trading terms covering commodity, option, and futures trading terminology. Bookmark this section as a quick  A situation in which the market is dominated by buyers, who 'accumulate' the commodity they are trading. Afforestation. The establishment of trees on an area   Commodity Price Index - An index reflecting the general commodity market through the price of a basket of commodities. Contract Size - The amount of underlying  GRDC Grain market lingo – What does it all mean? 4 commodities, as seasonality of supply and demand In commodity and financial markets, price action. 28 Mar 2007 Futures trading in commodity markets is a booming business these days in people know the technical terms used in commodity futures trade. The actual physical commodity as distinguished from a futures commodity. CFTC General Floor Term. The Commodity Futures Trading  Risk glossary. Search for CCP basis · Central limit order book (Clob) · Clearing member · Close-out netting · Commodity trading adviser (CTA) · View all "C" 

The knowledge of trading terms will help you to understand market operations. The Commodity Channel Index is an indicator developed by Donald Lambert.

Long position The net position of a trader holding / owning a commodity in the market. M. Mark-to-market An accounting mechanism that revalues trading positions  A term used to designate all contracts covering the purchase and sale of financial instruments or physical commodities for future delivery on a commodity futures  31 Oct 2011 As you start following the futures markets, you will find that brokers, traders, and individuals in the futures/commodities industry have certain  In finance, a short sale is the assumption of a legal obligation to deliver to a buyer a financial In practical terms, "going short" can be considered the opposite of the Traders or fund managers may hedge a long position or a portfolio through Short futures transactions are often used by producers of a commodity to fix the   Within this glossary, you will find an expansive list of trading terms covering commodity, option, and futures trading terminology. Bookmark this section as a quick  A situation in which the market is dominated by buyers, who 'accumulate' the commodity they are trading. Afforestation. The establishment of trees on an area   Commodity Price Index - An index reflecting the general commodity market through the price of a basket of commodities. Contract Size - The amount of underlying 

Arbitrage - The simultaneous purchase of commodities in one market and the to deliver or a request to receive delivery of a commodity under the terms of a 

Arbitrage - The simultaneous purchase of commodities in one market and the to deliver or a request to receive delivery of a commodity under the terms of a  Stock Trading Terms - Market Terms You Need to Learn to Invest Arbitrage - When a particular security or commodity trades on two different markets, investors  31 May 2015 Have you ever wondered about the meaning of commodity trading terms, or Incoterms? FOB…DES…DDP. Say What?!? Incoterms were  10 Feb 2010 Commodities were delivered by railroad cars, and one contract represented one car in theory. tick-the minimum movement in a market. so the  Hedging. A mechanism to avoid the risk of a decline in the future market of a commodity, usually by entering into futures markets. Hierarchy of needs. The 

A History of Commodities Trading Dealing commodities is an old profession, dating back further than trading stocks and bonds. Ancient civilizations traded a wide array of commodities, from

Sahej's answer is correct. Commodity futures contracts are actual physical contracts and the price traded reflects the very specific terms (generally, surrounding 

Glossary of Futures Trading Terminology This is the complete online glossary of commodity market terminology. Herein you will discover a vast wealth of information, futures and options terms and definitions .. from actuals to writer.

28 Mar 2007 Futures trading in commodity markets is a booming business these days in people know the technical terms used in commodity futures trade. The actual physical commodity as distinguished from a futures commodity. CFTC General Floor Term. The Commodity Futures Trading 

actual commodities, such as a grain elevator, bank, etc. Commodity Futures Trading Commission (CFTC): Futures market reporting terms: These terms are. Usually the currency of the home market in which a trader or investor is buying or selling. two currencies, where one currency is expressed in terms of the other. Foreign Exchange Dealer with the Commodity Futures Trading Commission  Copyright 2020 Intercontinental Exchange, Inc. Terms of Use · Privacy Policy · Security · Cookies · Supported Browsers · Data Protection · Registered Investment  Stock market glossary - Browse the A-Z glossary of financial terms, definitions and A commodity trading advisor is a firm or an individual that advises others on  Day Trading - Learn how to start with expert tips and tutorials for beginners. Fund” holds multiple stocks or commodities and is traded like a single stock), futures, Learn the trading lingo and vocabulary and you'll unlock the door to a whole