How to buy and sell foreign exchange futures contracts?
The buyer or seller of futures chooses to buy or sell, open or close a certain number of futures contracts through written entrustment, telephone entrustment and online entrustment. Subsequently, the brokerage company directly sends the customer's instructions to the futures exchange, and conducts matching transactions according to the principle of time priority and price priority.
Foreign exchange futures are traded on exchanges, and foreign exchange, like most futures contracts, can be completed through the open quotation system operated by floor traders or completely through electronic transactions.
After the foreign exchange futures are closed by public bidding, the buyer and the seller promise to deliver a certain standard amount of foreign currency at the current agreed price on a specific date in the future, that is, the contract signed by the buyer and the seller according to the agreed quantity, price and delivery date. Among them, OTC refers to the behavior of customers who do not have membership to conduct futures trading through brokerage companies.
It should be noted that investors should choose futures brokerage companies that are more formal, standardized in operation, excellent in service and strong in comprehensive strength. Subsequently, sign an account opening contract and other necessary related documents with the selected futures brokerage company, open a futures trading account, and invest a certain margin according to their own trading requirements.
At present, forex futures trading can be conducted in three ways: public bidding in the trading hall, off-site trading and using electronic automatic matching system.
Futures contracts are publicly traded and cannot be customized. Therefore, if users want to conduct forex futures trading, it is best to choose a futures company first, and then go through the relevant transaction procedures according to the prescribed steps.