question archive You sell one December futures contracts when the futures price is $1,010 per unit
You sell one December futures contracts when the futures price is $1,010 per unit
Subject:FinancePrice: Bought3
You sell one December futures contracts when the futures price is $1,010 per unit. Each contract is on 100 units and the initial margin per contract that you provide is $4,000. The maintenance margin per contract is $2,500. During the next day the futures price rises to $1,012 per unit. The balance of your margin account at the end of the day is $2200. What does margin represent?
