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Tag: Bitcoin Futures

More on bitcoin futures! and Futures Trading levels for 12.07.2017

Posted on by Ilan

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Voted #1 Blog and #1 Brokerage Services on TraderPlanet for 2016!!  

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Dear Traders,

TRADE SMART / BASE TRADING ON ACTUALS ONLY — for the  current rankings  as well as actual performance of trading systems traded at Cannon click here .

Cannon Trading Co, Inc. is registered with the CFTC and a member of the NFA. 

Last but not least…Bitcoin futures updates

CBOE to launch bitcoin futures on Dec. 10th. This will be the “mini” contract, controlling one bitcoin. We will offer access via most platforms hopefully as early as Monday Dec. 11th pending successful testing.

CME will launch its bitcoin contract on Dec. 17th ( Sunday night). This contract will control 5 bitcoins. Currently margin for large contract set approx. at $20k and for the mini at $5k.

I would highly recommend to use patience and observe trading, liquidity, bid-ask spread and more for a few days before jumping in, especially if you are on the “greener side of futures” or not well capitalized. We are here to share feedback, talk and try to help in any way we can.

You should be able to trade, day trade and trade options on bitcoin futures as long as you have the proper margin in the account.

Here is more specifically regarding the CBOE bitcoin contract. This applies for users of our E-Futures Int’l platform. Users of other platforms, please consult with your broker.

The CBOE will launch the Bitcoin Futures contract December 10, 2017.   The following link is to the CBOE Bitcoin information page http://cfe.cboe.com/cfe-products/xbt-cboe-bitcoin-futures?utm_campaign=bitcoin-futures&utm_medium=vanity-url&utm_source=na    We will be offering the CBOE Bitcoin via our platform, however, until live data is provided, the contract cannot be fully tested and proper due diligence performed, therefore, there will be a slightly delay in offering.  We do expect the contract to be tested and available within the first few days of trading.  We will keep you updated on the availability.

The CBOE has set initial margin at 44% of the current daily settlement price:

Yesterday’s bitcoin Settlement Price = $11,595.00

Price Fluctuation = $1.00 per Bitcoin

Contract Value = $11,595.00

Initial Margin = $5,101.80

As this is a new contract, with a highly volatile underlying contract, We will initially be setting the following Margin  Requirements:

Day Trade Margins 7:00am CT – 4:00pm CT – 100% of Exchange Initial Margin

Overnight Margins 5:00pm CT – 7:00am CT – 125% of Exchange Initial Margin

We will keep you updated on any changes or developments.

If you don’t have an account set up with us, all you need to do is fill out the online application  get the account approved, fund the account, practice in demo mode to get familiar with the platform and everything I wrote above will apply to you….

If you have ANY questions, feel free to call, chat or contact us!

Continue reading “More on bitcoin futures! and Futures Trading levels for 12.07.2017”

The Future of Bitcoin is Bitcoin Futures

Posted on by Ilan

Commodity trading has become a “niche area in the finance world that…has been gaining more interest among individuals who are seeking alternative trading instruments from the usual stocks and bonds,” says Timothy Ho, economics/finance professional.

Commodities categories include precious metals, oil and gas, and soft commodities (cocoa beans, coffee, sugar, wheat, etc.). Some commodities are considered “the fifth asset class,” and they can include cash, equities, and property.

A futures contract settlement will occur in the future but traded today.  There are also spot contracts that settle immediately called “spot contracts.” Most investors work with a commodities futures broker, someone who understands your financial portfolio goals and can place trades for you for a relatively small fee on futures contracts for your account

Some of the risks of futures trading include:

  1. Exchange rates
  2. Geo political events
  3. Supply and demand
  4. Weather
  5. Leverage and technicals
  6. Price fluctuations

What are Bitcoins?

Continue reading “The Future of Bitcoin is Bitcoin Futures”

BitCoin Futures, What you need to know…. 11-15-2017

Posted on by Ilan

____________________________________________________________________

Voted #1 Blog and #1 Brokerage Services on TraderPlanet for 2016!!  

____________________________________________________________________

Dear Traders,

More BitCoin futures information from the CME Group….

Contract Specifications

Contract Unit
5 bitcoin, as defined by the CME CF Bitcoin Reference Rate (BRR)
Minimum Price Fluctuation
Outright: $5.00 per bitcoin = $25.00 per contract
Calendar Spread and Basis Trade at Index Close (BTIC): $1.00 per bitcoin = $5.00 per contract
Trading Hours
CME Globex and CME ClearPort: 5:00 p.m. – 4:00 p.m. CT Sunday – Friday
BTIC: 5:00 p.m. – 10:00 a.m. or 11:00 a.m. CT (4:00 p.m. London Time) Sunday – Friday
Product Code
Outright: BTC
BTIC: BTB
Listing Cycle
Nearest 2 months in the March Quarterly cycle (Mar, Jun, Sep, Dec) plus the nearest 2 “serial” months not in the March Quarterly cycle.
Contract months for initial listing: Dec 2017, Jan 2018, Feb 2018, Mar 2018.
Termination of Trading
Last Day of Trading is the last Friday of contract month.
Trading in expiring futures terminates at 4:00 p.m. London time on Last Day of Trading.
Position Limits
Spot Position Limits are set at 1,000 contracts. A position accountability level of 5,000 contracts will be applied to positions in single months outside the spot month and in all months combined.  The reportable level will be 25 contracts.
Block Minimum
5 contracts
Price Limits
Price limits for a given Business Day are made by reference to the most recent Bitcoin Futures settlement price, settled at 4:00 p.m. London time each Business Day.
Special price fluctuation limits equal to 7% above and below prior settlement price and 13% above and below prior settlement price and a price limit of 20% above or below the previous settlement price. Trading will not be permitted outside the 20% above and below prior settlement price.
Settlement
Cash settled by reference to Final Settlement Price, equal to the CME CF Bitcoin Reference Rate (BRR) on Last Day of Trading.

Subject to all requisite approvals and filings

Continue reading “BitCoin Futures, What you need to know…. 11-15-2017”

Bitcoin Futures? + Futures Trading levels 11.02.2017

Posted on by Ilan

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Voted #1 Blog and #1 Brokerage Services on TraderPlanet for 2016!!  

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Dear Traders,

The Evolving Economics of Bitcoin, Gold and Fiat Currencies

By Erik Norland, Senior Economist & Blu Putnam, Chief Economist, CME Group

Highlights

  • Value of a bitcoin has soared more than 6 million percent in seven years
  • Bitcoin is considered a good store of value as supply is limited
  • Regulators are working to bring cryptocurrencies into the mainstream
  • Growing network of users favors bitcoin’s continued success

Bitcoin Futures? + Futures Trading levels for 11.01.2017

Posted on by Ilan

____________________________________________________________________

Voted #1 Blog and #1 Brokerage Services on TraderPlanet for 2016!!  

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Dear Traders,

Make November an excellent trading month where you follow your rules, keep track of your trading, write a journal, expand your education and try to be the best that you can be!

Below some news pertaining to Bitcoin and our industry – The Futures Markets ( FYI I have been publishing the SR levels for the bitcoin index for a few weeks now, see section 2).

Bitcoin Surges After World’s Biggest Exchange Announces Plans for Futures

By 

Nick Baker

 and 

Matthew Leising

October 31, 2017, 7:01 AM PDT Updated on October 31, 2017, 8:29 AM PDT

Cryptocurrency soars to record high after announcement

  • Futures seen drawing in professional traders, investors

The allure of bitcoin was too much for CME Group Inc.

The world’s largest exchange owner reversed course today and said it plans to introduce bitcoin futures by the end of the year, only a month after dismissing such a plan. The largest cryptocurrency, which has surged more than sixfold this year, climbed to a record high after the announcement. Continue reading “Bitcoin Futures? + Futures Trading levels for 11.01.2017”

RISK DISCLOSURE: Past results are not necessarily indicative of future results. The risk of loss in futures trading can be substantial, carefully consider the inherent risks of such an investment in light of your financial condition.