A futures is an agreement between two parties to buy or sell assets at a certain point in the future at an agreed price in advance. Futures are standardized and traded on stock exchanges. And futures contracts can be exercised on or before the due date of the compensation. It's kind of futures contracts are a form of derivative instrument that the seller and buyer agree on the tools of physical and financial products for the future to settle at a certain price. The future is a stylish futures are financial instruments based on the elegance of the S & P, which is the reference for the NSE. Work is the appropriate type of market where trading is based on the attached index S & P CNX stylish.
Nifty is an index of 50 leading company in the NSE (National Stock Exchange), representing the performance of this company. Funny cover about 60% of the total market value. The size of a lot of futures contracts is a stylish 50 and above. The future of the owl has a maximum of three months of the business cycle, the first man in the next month, next month in the second and third months. On the day of settlement for the future on the one hand is on the last Thursday of every month or after the last day of trading last Thursday, if it becomes a holiday. Settlement price is the final price of the shares is the day the final settlement price is the final price of the share is mounted in the previous trading day.
Contract there are two types of colonies of wisdom, and MTM (mark to market) and occurs on an ongoing basis at the end of each day, and the final agreement which will happen in the last session of the futures contract. Celebration when the market value of assets is determined on the basis of market price at the end of each day. All futures contracts are wise to indicate that the prices of daily transport futures in the relevant market at the end of each day. Income statement for each of the calculated from the difference between market price and the price for the day to settle the contracts executed during the day, and the purchase price and the selling price of the contract during the day, and a yard of.
Nifty is an index, is calculated on the basis of the value of their companies, and the price is 50, and is known as this value as the value of an owl. Based on the amount healed to be traded on exchanges that are suitable futures contracts, the price here represents the true value of the owl at some point, but there are some premium associated with the price and the premium is the premium owl knows the future, and the reason is why the future of the owl appear first at the level of a certain price , while the market, and if the owl is listed in the future at a lower price from the market, and the state so it is wise to trade at a discount is.
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Ritika Tondan write About Nifty Futures and indian stock market tips.
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