Recent content by PBS

OK. I will answer myself after finding this on the web: Microsoft Word - FPB 09-01 - Clearing Fees for Member Firm Accounts CME - CBOT - NYMEX - COMEX - June 2009.doc (cmegroup.com) "The trading activity of individual customers/traders conducted in the name of the firm is not eligible for...

I am considering a business idea of an arcade-type business for trading futures on CME. I am thinking of setting up an LLC that would become an exchange member of each CME division. Then getting a "prime broker" FCM and negotiating heavy discount on commission, promising huge volume. Then...

@Ironbeam @Robert Morse Does every FCM require a personal guarantee of an LLC's member when opening the account for this type of entity? Is there any difference in this regard when the entity is of a similar type but registered overseas? Will the LLC benefit from the same reduced CME rates...

Perhaps this is the answer to "how many contracts to trade at most?". If they have done all the job for you and come up with a number that basically says how much you can lose in a day on 1 contract then this could be a good base to the max position size in your account - taking a multiple of...

@Ironbeam As a side question - can you, or any other FCM demand a margin that is higher than what the exchange says it is? When would that be the case?

How do exchanges like CME calculate the margin for a particular futures contract? Do you use that value, or a multiple of it, as a guide as to what your maximum position size should be? For instance, if the margin is $2,000, you trade up to 1 contract per $4,000 in your account ($2,000 for...

How would that work with only one leg? Will the formula be SPREAD(EU6,CUR)?

It could be ticks. Just some measure of how much I stand to lose if the position was liquidated. Now I have to do these calculations mentally which is not most efficient and quickest way of doing this.

Can anyone please explain to me why do two major trading front-end providers, i.e. CQG and Trading Technologies, not have a feature in their platforms that shows the theoretical PnL on the price ladder if the position was liquidated at a particular price? It is such a simple but so useful...

Is anyone aware of a futures trading platform that would automatically place a stop-loss (stop market order) and then, also automatically, reduce the quantity of this stop market order to keep it in line with the current position size? Example: 1. the account is flat 2. a trader places a buy...