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Trade Date Order Sym Qty Price Paid* Comm. Amount
01/10/08 Buy BPH8.CME 650 122,006.2 25.00 -79,304,087.50
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Hi illuminatai,
well first I'm not in currencies, so beware, but I will tell you my understanding and others will surely correct me if I'm wrong on it.
First of all, I think that CME is the exchange, so you don't traded via Forex,
instead you have bought a future; namely BP with expiry H8.
So your price paid, was 122k for 650 contracts.
You paid 25 $ commission. Don't know if this is realistic, but anyway.
Now the 79 mio. $ are the total value of contracts, but not what you have paid. I think that no futures trader thinks about this total value, because its not realistic, that the contract goes to zero, or that he waits so long until ... .
But if the underlying would go to zero, thats the amount you have to pay
to your broker.
Hopefully this doesn't make it complicated, all what I like to say is:
122k $ are somehow your marging. 79 mio. $ is the total value of contracts.
And now you should be able to calculate your leverage.
Hope it helps.
Hal
P.S.: Leverage is is key to make
or loose
more money than others in a shorter period of time.