Posted By: Ilan Levy-Mayer Vice President, Cannon Trading Futures Blog
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Cannon Trading Co, Inc. is registered with the CFTC and a member of the NFA.
Last but not least…Bitcoin futures updates
CBOE to launch bitcoin futures on Dec. 10th. This will be the “mini” contract, controlling one bitcoin. We will offer access via most platforms hopefully as early as Monday Dec. 11th pending successful testing.
CME will launch its bitcoin contract on Dec. 17th ( Sunday night). This contract will control 5 bitcoins. Currently margin for large contract set approx. at $20k and for the mini at $5k.
I would highly recommend to use patience and observe trading, liquidity, bid-ask spread and more for a few days before jumping in, especially if you are on the “greener side of futures” or not well capitalized. We are here to share feedback, talk and try to help in any way we can.
You should be able to trade, day trade and trade options on bitcoin futures as long as you have the proper margin in the account.
Here is more specifically regarding the CBOE bitcoin contract. This applies for users of our E-Futures Int’l platform. Users of other platforms, please consult with your broker.
The CBOE will launch the Bitcoin Futures contract December 10, 2017. The following link is to the CBOE Bitcoin information page http://cfe.cboe.com/cfe-products/xbt-cboe-bitcoin-futures?utm_campaign=bitcoin-futures&utm_medium=vanity-url&utm_source=na We will be offering the CBOE Bitcoin via our platform, however, until live data is provided, the contract cannot be fully tested and proper due diligence performed, therefore, there will be a slightly delay in offering. We do expect the contract to be tested and available within the first few days of trading. We will keep you updated on the availability.
The CBOE has set initial margin at 44% of the current daily settlement price:
Yesterday’s bitcoin Settlement Price = $11,595.00
Price Fluctuation = $1.00 per Bitcoin
Contract Value = $11,595.00
Initial Margin = $5,101.80
As this is a new contract, with a highly volatile underlying contract, We will initially be setting the following Margin Requirements:
Day Trade Margins 7:00am CT – 4:00pm CT – 100% of Exchange Initial Margin
Overnight Margins 5:00pm CT – 7:00am CT – 125% of Exchange Initial Margin
We will keep you updated on any changes or developments.
If you don’t have an account set up with us, all you need to do is fill out the online application get the account approved, fund the account, practice in demo mode to get familiar with the platform and everything I wrote above will apply to you….
If you have ANY questions,
Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involves substantial risk of loss and is not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.
Futures Trading Levels
|Contract December 2017||SP500||Nasdaq100||Dow Jones||Mini Russell||BitCoin Index|
|Contract||Feb. Gold||Mar. Silver||Jan. Crude Oil||Mar. Bonds||Dec. Euro|
|Resistance 3||1277.6||16.36||58.76||154 27/32||1.1910|
|Resistance 2||1274.7||16.27||58.16||154 22/32||1.1883|
|Resistance 1||1270.6||16.13||57.06||154 10/32||1.1842|
|Support 1||1263.6||15.89||55.36||153 25/32||1.1774|
|Support 2||1260.7||15.80||54.76||153 20/32||1.1747|
|Support 3||1256.6||15.66||53.66||153 8/32||1.1706|
|Contract||Mar. Corn||Mar. Wheat||January Beans||Mar. SoyMeal||Jan. Nat Gas|
Economic Reports, source:
This is not a solicitation of any order to buy or sell, but a current market view provided by Cannon Trading Inc. Any statement of facts here in contained are derived from sources believed to be reliable, but are not guaranteed as to accuracy, nor they purport to be complete. No responsibility is assumed with respect to any such statement or with respect to any expression of opinion herein contained. Readers are urged to exercise their own judgement in trading.