Trading in a Futures Market

Course Feature

Cost

Free
Provider

Alison
Certificate

Paid Certification
Language

English
Start Date

No Information
Learners

No Information
Duration

No Information
Instructor

Khan Academy

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2.0

7,260 Ratings

This course provides an in-depth look into the world of trading in a futures market. It starts by introducing the concept of Contango and how it is used in the financial markets. It then examines how money is made based on the demand for a certain commodity and the trade-off between wanting a commodity now or waiting for it at a later date for a given price. It also covers the difference between Contango and backwardation and the Contango theory and the normal backwardation theory. Finally, it explains how futures market trading has been an important activity in the world of finance since the mid-1800s and how it affects the future prices of essential items. If you are interested in learning more about futures trading, this course is for you.

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Course Overview

❗The content presented here is sourced directly from Alison platform. For comprehensive course details, including enrollment information, simply click on the 'Go to class' link on our website.

Updated in [August 13th, 2023]

What does this course tell?
(Please note that the following overview content is from Alison)
In this free online course on trading in a futures market you will learn all about futures contracts and trading, and why futures trading is so important. A futures market is defined as a contract to buy certain quantities of a product or financial instrument at a specified price, with the delivery date set at a specified time in the future. It is considered a central financial exchange where people can trade standardized futures contracts.

What can you get from this course?
We consider the value of this course from multiple aspects, and finally summarize it for you from three aspects: personal skills, career development, and further study:
(Kindly be aware that our content is optimized by AI tools while also undergoing moderation carefully from our editorial staff.)
Skills and Knowledge Acquired:
This course will provide students with the skills and knowledge necessary to understand and trade in a futures market. Students will learn about Contango and how it is used in the financial markets, as well as how it reflects the demand for a commodity. They will also gain an understanding of how money is made based on the demand for a certain commodity and the trade-off between wanting a commodity now or waiting for it at a later date for a given price. Additionally, students will learn about the different commodities that are traded in the futures market, such as gold, silver, oil, and corn, and how future curves can give an indication of how much money can be earned by acquiring these commodities. Finally, students will gain an understanding of the difference between Contango and backwardation, and the Contango and normal backwardation theories.

Contribution to Professional Growth:
This course provides a comprehensive overview of the futures market and how it contributes to professional growth. It covers topics such as Contango, the demand for commodities, future curves, and the difference between Contango and backwardation. By understanding these concepts, professionals can gain a better understanding of how the futures market works and how it can be used to their advantage. Additionally, the course provides an in-depth look at the history of the futures market and how it has impacted the prices of essential items. This knowledge can help professionals make informed decisions when it comes to investing in the futures market.

Suitability for Further Education:
This course provides an in-depth look at trading in a futures market, including an understanding of Contango, how money is made based on the demand for a certain commodity, and the difference between Contango and backwardation. It is suitable for those looking to gain a better understanding of the futures market and how it affects the future prices of essential items. This course could be beneficial for those looking to prepare for further education in the world of finance.

Course Syllabus

Introduction to Trading in a Futures Market

This module outlines what futures trading is and how it works. This module explains the key terms and concepts in futures trading. This course begins by looking at contango and normal backwardation. It shows how these situations arise in commodity markets and highlights their defining qualities. This course demonstrates how to use futures curves to assess prices. This module will also describe spot prices, futures prices and the factors that affect prices.

Course assessment

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