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baseballeyeq

Futures trading settlement question...

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I am a new to futures trading. I understand that futures contracts are settled the same day. Does this mean when you buy, say 1 crude oil contract, then sell that contract, you can use those same funds again for trading? Once a position is closed out are you able to immediately re-use those funds in futures trading?

 

Thanks for the help.

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Guest cooter

Even better, some brokers will allow you to "compound" your P/L if you're in a winning position, before you close it out... proceed with caution!

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The technical term is "marked-to-market", no?

 

Your P&L is calculated real-time by your broker and the exchange.

 

Some brokers will even let you go full tilt for day trading as long as their is capital in your account to cover and loses. Sure way to go belly up for the novice trader.

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