Derivatives
Futures Spread
March 8, 2022
Islamic Finance
Ba’i al-Munabazhah
March 8, 2022

A futures trading strategy that involves taking a long or short position in one futures contract and an opposite position in another. More specifically, it is the practice of buying one futures and selling another or vice versa, with the aim of profiting from the change in the price difference between the two futures contracts. Futures spreads come in many forms including intracommodity spreads and intercommodity spreads.

Leave a Reply

Your email address will not be published. Required fields are marked *

Related Posts