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u/NomadStar45 3 days ago

Am I missing something on futures trading, all I have to do is put in a stop.

I bought a gold contract and a DIA micro contract. Both i put in a 30.00 stop and went to work. My Gold contracts hit my stop but my DIA contract didnt. I was up and closed my futures contract for 510.00. So my question is besides some possible slippage, if it hit's my stop of 50.00, I'm good? I'm so used to trading options, this seems to easy.
3 comments held Reddit says 0 on reddit ↗
  1. u/HumbleCPA 1 3 days ago
    Lol yea that's it. A stop is a stop. Theres no Greeks on futures so your stop is your stop and you can actually break even if you move it TO BE.
  2. u/sainglend 1 3 days ago
    Stops aren't guarantees. Stops convert to market or limit orders, depending on which you choose, but generally people mean market orders. In a fast moving market, your order could get filled WAY past where your stop was. Plus there are such things as halts, gaps, etc. Know these edge cases. Stop limits put you in a greater bind yet because it converts to a limit order which absolutely won't fill if the market is even moving moderately but only in one direction, not bouncing around your limit price. In my opinion, the best was to trade futures is this: suppose you are about to go long. Buy a protective put. Hold onto it for the day. Then when you are done trading, sell the put. Yes you'll lose some money on the put but that peace of mind is priceless.
  3. u/YouNeedClasses 1 3 days ago
    Lmao futures is super easy compared to the riddle of options, yes