The Benefits of Open Access to Futures

If you are only an equity trader, when a market is closed and an opportunity arises, you cannot take advantage of it. And worse, if you need to exit a position, you have to wait until the market opens.

You are probably familiar with U.S. stock market hours. But political events and natural disasters do not wait for the market to open and in a true global economy, many markets that affect the U.S. market trade outside U.S. market hours.

Trade 24 Hours a Day

In the world of futures, you can make a move nearly 24 hours a day, 6 days a week. That means a futures trader can react as the event unfolds.

Twenty four-hour access does not mean you have to stay glued to your trading screen. Say you are long in E-mini S&P position and you are concerned that China's manufacturing PMI report may be negative and drive the market lower. Instead of waiting for the report, you can place a stop order several hours before the report is released. It will be working while you are enjoying your evening.

You also can have an order working to take advantage of market opportunities so that you will not miss out.

Conclusion

It comes down to one question: where would you rather be to take advantage of market opportunities or to manage risk, on the sidelines waiting for the markets to open or already trading futures?

With nearly 24-hour access, futures markets give you the ability to express your opinion and manage risk around the clock.

Test your knowledge

ACCREDITED COURSE

Did you know that CME Institute classes can fulfill CFA and GARP continuing education requirements? Every CME Institute course can be self-reported in your CFA online CE tracker and select classes can be used for GARP credits. See which of our classes qualify for GARP credits here.

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