"True" and The Market Closes at or Below

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HOW TO TRADE A SMALL ACCOUNT

Conversely, let’s say gold futures are on an uptrend trading at $1254, and
you think the price of gold will reverse and close below $1250 at 1:30pm
EST.
● The market determines there is a 30 percent chance you are right.

● You would risk $30 on a market order to make $70 on this lower
probability trade.

● If you place a trade on this proposition, then your $30 risk is


deducted from your account balance.

o If your statement is “True” and the market closes at or below


$1250, then you receive a $100 payout. Your gross profit is
$70 per contract, less $1.80 in execution and settlement fees,
per contract traded.
o If your statement is “False” and the market closes at or below
$1250, then you receive $0. You forfeit the $30 you risked, plus
a $.90 cent execution fee. No settlement fee is charged.

Nadex is the North American Derivatives Exchange. It is headquartered


in Chicago and subject to regulatory oversight from the CFTC. When you
trade with Nadex, your orders are placed directly on the exchange without
a broker. You therefore pay no commissions to brokers.
Nadex charges a $.90 cent fee to place an order on the exchange, and
charges a $.90 cent fee if your trade settles in the money, or if you close
your position early.

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