Should You Invest in Futures Trading?

Mark Crisp Futures trading is a different type of trading in comparison to trading Stocks and bonds. When you purchase Stocks and bonds you have physically bought something that you own, but that is not the case with futures. In futures trading you are speculating about whether the price of a commodity will rise or fall. For example, let_s say that you decided to speculate on hogs. If you thought that hog prices would be rising in the future you would purchase a hog futures contract. If you thought that hog prices would be falling then you would sell your hog futures contract. Whether you wanted to buy or sell, there has to be a buyer and a seller. Investors are attracted to futures trading because it isn_t terribly complicated. In traditional stock markets there are literally thousands of Stocks to choose from, whereas in... [read full story]